Archive

Archive for the ‘Media’ Category

Letter to the editor – Mark Weldon’s fan club offers support

.

Frank Macskasy - letters to the editor - Frankly Speaking

.

It appears that there are now two supporters for Mark Weldon;

.

mark weldon - tv3 - mediaworks - letter to editor - dominion post - 7.5.16

.

It demanded a response…

.

from: Frank Macskasy <fmacskasy@gmail.com>
to: Dominion Post <letters@dompost.co.nz>
date: Mon, May 9, 2016
subject: Letter to the editor

.

The Editor
Dominion Post

.

“It concerns me that Mark Weldon has become a scapegoat”, writes Gaylene Freeth (7 May) She asks, “why should all the finger pointing be directed solely at him, when surely the responsibility and accountability rest primarily with the Mediaworks chairman and board members”.

The reason is quite simple. As CEO, Mark Weldon carried out certain policies – policies ostensibly in accordance with Mediaworks’ Board directives.

However, no one forced Weldon to carry out those policies. No one held a gun to his head as he oversaw the mass-redundancies of highly skilled, experienced professionals from their jobs and cancellation of “Campbell Live”.

He could have resigned at any time.

The old argument that “he was only following orders” is one that was firmly rejected as recently as 1945.

When Ms Freeth – herself an experienced businesswoman – demands to know “why is Weldon the only one being targeted at present”, the answers are glaringly obvious;

1. He agreed to carry out Board directives
2. He was paid to do the job
3. CEOs are ultimately responsible for their actions

Ms Freeth says that “any board directive must be implemented regardless”.

No, Ms Freeth. Mark Weldon had a choice and he exercised it. The buck stops with him.

.

– Frank Macskasy

[address and phone number supplied]

.

.

.

References

Radio NZ: MediaWorks CEO Mark Weldon resigns

Previous related blogposts

Campbell Live, No More

Blogger threatened with lawsuit over questions of conflict-of-interest regarding Mediaworks

Mediawork’s Julie Christie at war with NZ on Air – Possible conflict of interest as first reported last year on TDB

.

.

.

weldon - tv3 - mediaworks

.

This blogpost was first published on The Daily Blog on 17 May 2016.

.

.

= fs =

Categories: Media Tags: ,

Mediawork’s Julie Christie at war with NZ on Air – Possible conflict of interest as first reported last year on TDB

22 February 2016 1 comment

.

the-jc

 

.

In June last year, as news of the cancellation of Campbell Live rocked the nation, I reported on possible conflicts of interest between Mediaworks’ programming decisions, and one of it’s board members, Julie Christie;

.

Just when you thought Mediaworks couldn’t possibly dumb-down their television service any further;

.

Come Dine with Me to replace Campbell Live

.

When I first heard this, my initial reaction was someone on Facebook, with a wry sense of humour, was playing ‘silly buggers’ at Mediaworks’ expense.

Then I was pointed to the media report on Fairfax’s website.

Honestly – how does one react to a decision like this? Deep sobbing tears and face-palming – or maniacal laughter that might do The Joker proud?!

If this is Mediaworks’ idea of a joke – exacted against Campbell Live supporters as revenge for daring to question executive decisions – then someone has a rather cruel, demented sense of humour.

If this is what passes for sound business decision-making in Mediaworks’ boardrooms these days – then their next round of bankruptcy will not be far away. I’m picking three months.

Whoever was responsible for this awful programming decision would be wise to never, ever admit  their part in this insanity. Their career would be in tatters if word got out. To quote a Mediaworks press release describing ‘Come Dine With Me‘;

“Week one features Monika, a Slovakian child carer, who’s all about silly with a side of spice; Tony, an eccentric real estate agent with some cutting critiques and a few ‘endearing quirks’; Hinemoa, a part-time tattooist and full-time eyebrow enthusiast; motor-bike riding, insurance broker Kyle; and stylish yoga enthusiast Sarah.”

Perhaps an answer to this incomprehensible decision to replace a highly successful, well-respected current affair show like ‘Campbell Live‘ with another (and somewhat gormless-sounding) “reality” programme lies with Mediaworks’ board member, Julie Christie.

.

julie christie - gerry brownlee - mediaworks - minister - national government - TV3

“Politicians have also had a strong affection for her over the years. Murray McCully and Gerry Brownlee have been photographed out and about at her bar in the Viaduct.” John Drinnan, 15 February 2013

Image acknowledgement: Postman Productions

.

In 1991 Christie founded television production-company, Touchdown Productions.The company was responsible for “reality” (aka “unscripted television“) programmes such as ‘My House My Castle’, ‘Whose House Is It Anyway’, ‘DIY Rescue’, ‘Trading Places’, ‘Treasure Island’,Game of Two Halves’,  ‘Pioneer House’,  ‘Dragons’ Den’, and others.

Julie Christie quickly acquired a reputation for being New Zealand’s own television “Reality Queen“, as TV3 itself described her, two years ago;

.

Reality TV queen quits production firm - Julie Christie - Mediaworks - Eyeworks - Campbell Live - John Campbell

.

More on Christie’s involvement with reality-TV and TV3 in a moment.

In February 2006, Touchdown was sold to Dutch media group, Eyeworks. She remained as CEO of Eyeworks NZ until 31 October 2012, when she resigned. Eight months later, in June the following year as Mediaworks was put into receivership, Julie Christie was appointed to the board of directors.

There is no telling how much earlier  Christie’s June appointment had been planned by parties involved, though this had been tipped by NZ Herald media columnist, John Drinnan four months earlier.

Julie Christie remained closely involved with the company, as confirmed by Eyeworks on their website;

Former CEO Julie Christie will no longer work for Eyeworks New Zealand but remain connected to the Eyeworks Group (15 territories, HQ Amsterdam) working in an international creative role.

There is indeed a strong, formal link between Christie and Eyeworks.

The directors of Eyeworks New Zealand Ltd are;

  • Greg Anthony HEATHCOTE (NZ)
  • Johannes Petrus Christoffel KERSTENS (Netherlands)
  • Peter LANGENBERG (United Kingdom)
  • Michael David Joseph MOLLOY (NZ)

The parent company of Eyeworks New Zealand Ltd is Eyeworks Holding New Zealand Ltd. It’s directors are the same four individuals;

  • Greg Anthony HEATHCOTE (NZ)
  • Johannes Petrus Christoffel KERSTENS (Netherlands)
  • Peter LANGENBERG (United Kingdom)
  • Michael David Joseph MOLLOY (NZ)

Christie has a separate company, JGM Investments Ltd, whose directors happen to be;

  • Julie Claire CHRISTIE
  • Greg Anthony HEATHCOTE (Director)
  • Michael David Joseph MOLLOY

And JGM Investments No2 Ltd, whose directors are also;

  • Julie Claire CHRISTIE
  • Greg Anthony HEATHCOTE
  • Michael David Joseph MOLLOY

Christie’s JGM Investments No2 Ltd company is described as;

JGM Investments No. 2 Ltd. is a public hotels and motel founded in 2010. With 11 employees, the company is larger than the average hotels and motel.

By “coincidence”, the New Zealand version of ‘Come Dine With Me‘ – which has taken ‘Campbell Live’s‘ “plum” 7pm time-slot – is produced by none other than – Eyeworks NZ.

Eyeworks was not wrong when it stated that Christie “remains connected to the Eyeworks Group”.

Not exactly conspiracy theory stuff – but a possible conflict of interest?

.

For full story, see related blogpost: Blogger threatened with lawsuit over questions of conflict-of-interest regarding Mediaworks

Written questions put to Eyeworks and Mediaworks on this issue went unanswered. Instead, Rod McGeoch, Chairperson of Mediaworks, responded with a thinly-veiled threat of legal-action for defamation.

My investigations failed to uncover a further salient fact about Christie’s on-going “close relationship” with Eyeworks – Michael David Joseph Molloy is Julie Christie’s brother. Molloy happens to sit on Eyeworks’ board (now known as Warner Bros NZ), as well as Christie’s own  JGM Investments Ltd.

On 14 February, this story appeared in Fairfax’s Sunday Star Times;

.

TV row erupts over $5m funding of soap that reflects modern NZ as a bit 'mongrel' - Mark Weldon - Julie Christie

.

Journalist Amy Maas reported that NZ on Air has rejected an application for a Mediawork’s soap opera;

The funding pitch proposed the drama would run five nights a week at 5.30pm. The concept pitched to NZ on Air said Trinity Point was a fictional mid-sized beach town, 90 minutes north of Auckland “and one of the last bastions of the Kiwi dream”. It would feature a white-sand beach and an estuary, the main road of the town would host a Santa parade, Dawn Parade and feature a large Four Square supermarket.

[…]

Confidential emails sent six months before funding was declined, and obtained under the Official Information Act, revealed Christie accused NZ on Air board members of questioning her integrity because she used to own Eyeworks/Warner Bros NZ – the production company awarded the proposal to make the drama, despite 50 other applications.

Christie was not impressed, and was scathing in her response to NZ on Air;

After a meeting between MediaWorks and NZ on Air board members, Christie emailed chair Miriam Dean saying: “Your management continues to use this as one of the reasons to decline the necessary level of funding for MediaWorks’ serial drama to proceed”.

“I am assured by leading drama producers in our industry that the only people perpetrating this rumour are your own management and, as a result, TVNZ who are now gleeful that they have been successful,” Christie wrote.
Ad Feedback

Christie pointed out that not only did she not have any conflict with the potential producers of the show, she had not worked there for nearly three years and had sold the company seven years ago. She said she had not even met with the current Warner Bros NZ owners.

However, Dean said it was necessary to question her because she previously owned the production company, and her brother, Michael Molloy, was a director of Warner Bros NZ. But “after appropriate probing”, Dean said NZ on Air found there was no conflict, but she could not provide any evidence that the other production companies had expressed concern.

Evidently, charges of conflict of interest had come from several sources;

But in the June 2015 exchanges between Christie and Dean, the NZ on Air chair explained that some of those whose proposals had been rejected had raised the issue of a potential conflict of interest with it being awarded to Warner Bros NZ.

“The complainants expressed their concerns in confidence by telephone, with no records taken. Several production companies conveyed a sense of disquiet regarding the selection process to the effect that, despite the [request for proposals], the outcome was predetermined.”

Christie then referred to her close connections to various government bodies;

In her emails, Christie made a point of mentioning that she currently sat on three government boards, New Zealand Trade and Enterprise, New Zealand Story Board and the Flag Consideration Panel, and had a “deep knowledge of responsible public funding”. 

“It is clear that the Government considers me to be a board member of the upmost integrity. I was awarded ONZM for services to film and television. Yet, NZOA continues to suggest I would behave inappropriately.”

And then, to drive home the point of her and Mark Weldon’s “connections” to the National government, threatened NZ on Air;

Christie said she would like to bring the matter “to the attention of the minister”.

Christie’s and Weldon’s close relationship with National is a matter of record, as pointed out in this story by Rex Widerstrom, in the Daily Blog; Thirteen things you (probably) didn’t know about Mark Weldon (CEO of Mediaworks.

.

julie christie - gerry brownlee - mark weldon - john key

.

Mark Weldon also lashed out at NZ On Air;

During the mud-slinging, MediaWorks chief executive Mark Weldon also waded in to the debate with a terse email to NZ on Air’s chief executive Jane Wrightson, accusing them of prioritising funding for TVNZ programmes.

In the email he wrote that he “had someone do some work” on the discrepancy between funding received by both TVNZ and MediaWorks. He pointed out that TVNZ had been awarded $27m in the last funding round, compared to MediaWorks’ $4m.

“Looking at the documentation, it does not appear to be the case that you have budget constraints … It is clear that you do have budget choices.”

For Amy Maas’ full story, click here.

As I wrote last year;

I seem to have “touched a nerve”. When thinly-veiled threats of defamation lawsuits start flying, it suggests that someone finds the tenor of questioning to be uncomfortable.

To make it crystal clear for Mr McGeoch and his 40 year old lawyering career, I am asking questions, not making assertions. It would be a fairly simple matter to refute the questions with simple answers.

Thus far, no refutations or clarifications have been forthcoming.

However, an apparent conflict-of-interest still remains to be addressed by Mediaworks. Especially when the programme that replaced ‘Campbell Live‘ was created by a company – Eyeworks – with which Julie Christie is still associated, and whose Board members also sit on two companies with which Christie is involved with.

The perception of murkiness in all this cannot easily be overlooked.

[…]

There is no telling how Christie has benefitted from Eyeworks acquiring the contract to produce ‘Come Dine with Me‘. But what we do know – from Eyeworks’ own admission – is that Christie continues to “remain connected to the Eyeworks Group… working in an international creative role”.

Whilst Christie is no longer a Director of Eyeworks, she is still closely associated with two  Eyeworks Directors via two other companies.

We do not know how Eyeworks acquired the contract to produce ‘Come Dine with Me‘. But we do know that Christie is on Mediaworks’ Board of Directors.

We do not know what role Christie played in the production of ‘Come Dine with Me‘, except;

  • her involvement in the reality TV industry is well known
  • Eyeworks admits that she continues to “remain connected to the Eyeworks Group… working in an international creative role“

The 7pm-7.30pm time slot is prime time, and a lucrative slot for advertising within programmes, as  Rod McGeoch, Chairperson of Mediaworks, stated candidly on 11 April 2015;

“We put news on, but only because it rates. And we sell advertising around news. This is what this is all about.”

For Eyeworks to produce a product and schedule it at prime time would have meant a profitable exercise for the company. That required, first of all, to get rid of ‘Campbell Live‘, thereby leaving the slot open.

It has taken nearly eight months, but after my initial findings, this story has finally been reported by the msm.

.

.

.

References

Fairfax media: Come Dine with Me to replace Campbell Live

TV3 “News”: Come Dine with Me launches on Monday

Mediaworks: Management

NZ on Air: Julie Christie

Wikipedia: Eyeworks Touchdown

TV3 News: Reality TV queen quits production firm

Scoop media: Sale of Touchdown Television to Eyeworks Group

NZ Herald: Julie Christie quits Eyeworks

NBR:  MediaWorks in receivership

NZ Herald: Media – MediaWorks eyes TV queen Julie Christie

NZ Herald: Anger over Campbell Live’s replacement Come Dine With Me

Fairfax media: TV row erupts over $5m funding of soap that reflects modern NZ as a bit ‘mongrel’

The Daily Blog: Thirteen things you (probably) didn’t know about Mark Weldon (CEO of Mediaworks)

Additional

NZ Herald: Political roundup – Who killed Campbell Live?

Previous related blogposts

Campbell still Live, not gone

The Curious World of the Main Stream Media

Producer of ‘The Nation’ hits back at “interference” allegations over ‘Campbell Live’

Radio NZ – Mediawatch for 24 May 2015 – TV3’s Mark Jennings interviewed re Campbell Live

Friends, Kiwis, Countrymen! I come to praise John Campbell, not bury him

Campbell Live, No More

Blogger threatened with lawsuit over questions of conflict-of-interest regarding Mediaworks

.

.

.

Campbell - TV3 - cartoon - walking the plank

.

This blogpost was first published on The Daily Blog on  17 February 2016.

.

.

= fs =

The slow starvation of Radio NZ – the final nail in the coffin of the Fourth Estate?

26 November 2015 2 comments
.
save radio new zealand - facebook
.

The chilling of the mainstream media

Whether by machiavellian, subtle and covert political pressuring from on-high; bad management decision-making,  or an inevitable process of  dumbing-down brought on by the never-ending need for advertising revenue and rapacious returns to share-holders, news media in this country continues to suffer at the on-going impacts of “market forces”.

The demise of Campbell Live and the loss of Mihingarangi Forbes from Maori TV’s Native Affairs and Dita De Boni from the NZ Herald should give all thinking New Zealanders cause for concern. Those three were amongst the most talented and critical voices from the mainstream media, and their dumping no doubt had a chilling effect throughout the media in this country.

With few exceptions, journos have mortgages and  bills to pay; mouths to feed; and careers they are passionate about. The constant possibility  of sudden termination of their contract is a sword of damocles that probably weighs on their minds when considering how critical of the Establishment they really want to be.

The may be risking their jobs if they stick their heads too far above the parapets.

The only people whose jobs are apparently safe are Mike Hosking and Paul Henry (who seems to bounce from company to company without any deleterious effects to his credibility).

Interestingly,  each has been ’embedded’ with  the two major television networks, TVNZ and Mediaworks’ TV3. Neither are journalists and  both Hosking and Henry  are unashamedly  linked to National.

This is “independepent media freedom” in New Zealand, circa 2015AD.

Who watches the Watchmen?

The last bastion of an independent  freedom, free from commercial imperatives and political interference (hopefully) is, Radio NZ. Despite an incident three years ago, where blogger Martyn Bradbury was banned from Radio NZ for making comments highly critical of our esteemed Dear Leader, the broadcaster maintains a strong ability to project itself as a serious, credible news and current affairs medium.

It continues to carry out strong investigative reporting; interviewing government ministers; State sector leaders;  and other public figures; and offering political analysis from both the Left and the Right.

One of Radio NZ’s most insightful (and often under-valued) programmes is  Mediawatch, which scrutinises, analysis, and holds to account, New Zealand’s mainstream media in a way that is not matched anywhere else by any other MSM outlet. As the Radio NZ promo-blurb states;

“Mediawatch looks critically at the New Zealand media – television, radio, newspapers and magazines as well as the ‘new’ electronic media. It also examines the performance of the agencies, corporations and institutions that regulate them. It looks into the impact the media has on the nation, highlighting good practice as well as bad along the way – and it also enquires into overseas trends and technological developments which New Zealanders need to know about.

It aims to enlighten everyone with an interest in the media about how it all works, how quickly things are changing – and how certain significant stories and issues are being covered. It’s also intended to be essential listening for those who work in the industry itself – as well as those who simply enjoy well-produced and lively radio.”

A recent prime example was on 9 August, when TV3 reporter, Tova O’Brien was taken to task for attributing a quote to someone who never actually said what she claimed;

@ 2:50 –

Colin Peacock: In New York, Tova O’Brien also got a second opinion on Murray McCully’s lofty dream of reforming the veto powers of the so-called Big Five at the UN. And 3 News introduced that story like this;

TV3 News: Former Prime Minister Helen Clark thinks Murray Clark is dreaming if he thinks New Zealand can rid the UN Security Council veto. Russia used the veto yesterday during… [fade-out]

Colin Peacock: Though Helen Clark had actually applauded Murray McCully for his ambition. It was Tova O’Brien who used the word ‘dreaming’ in a question to Helen Clark.

Helen Clark: It [New Zealand] should go for it. It [New Zealand] should follow it’s [New Zealand’s] dream.

Tova O’Brien: But in this case he’s dreaming.

Helen Clark: It’s not a short-term objective.

That was downright dishonest reporting.  Only Radio NZ’s Mediawatch picked up on it.

Last year, on 7 July, Mediawatch was the only  mainstream media team that questioned and criticised the NZ Herald’s dubious stories surrounding unsubstantiated claims of large donations made by migrant businessman, Donghua Liu, to the Labour Party. (Those claims were later “clarified”  with a half-hearted  retraction by the Herald.)

No other mainstream media questioned any of the astounding and unsupported claims made by Donghua Liu, and reported uncritically by the Herald.

It is a sobering thought that aside from the toothless “watch dog” of the Press Council, and only marginally more effective Broadcasting Standards Authority,  there is no real scrutiny of  mistakes, omissions, and mis-reporting made by our media.

Self-criticism does not come easily to the Fourth Estate.

Gutting by slow starvation?

Funding for Radio NZ is channelled through New Zealand on Air – a body described on Wikipedia, as “…an independent New Zealand broadcast funding agency” and  “autonomous crown entity separate from central Government and governed by a Board of six appointed by the Minister of Broadcasting. NZ on Air is responsible for the funding of public-good broadcasting content across television, radio and new media platforms“.

The funding figure of $31.816 million is an easy one to remember – it has remained unchanged since 2009-10, when National assumed the reins of government. The figure has been maintained until next year.Using the Reserve Bank inflation calculator, Radio NZ’s funding should have risen to $35.26 million. In effect, by not keeping pace with inflation, Radio NZ’s funding has been cut by around 10%.

By contrast, Budget data showing increases to the Prime Minister’s Department makes for sobering reading.

  • Michael Cullen’s last budget,  2008/09, allocated $25,470,000 to Vote Prime Minister and Cabinet.
  • In the same 2008/2009 Budget, Radio NZ was allocated $31,718,000 through NZ on Air, an increase of $2,644,000 (approx 8%) from the previous year.
  • In National’s first Budget, 2009/10, Vote Prime Minister and Cabinet was allocated $33,021,000 – an increase of $7,551,000 – or just under 25%!
  • In the same 2009/2010 Budget, Radio NZ’s allocation went up by $98,000 to $31,816,000 – not even a 1% increase.

For the first time, the Prime Minister’s Departmental budget exceeded that of Radio NZ. Furthermore;

  • Since 2009/10, Radio NZ’s allocation has stayed the same; $31,816,000.
  • By contrast, the amounts allocated to the Prime Minister’s Department has increased, and in the 2015/16 Budget was allocated  $49,298,000 – an increase of $24,476,000 since 2008 and  a near-doubling of John Key’s department and Cabinet expenditure since Michael Cullen’s last budget, seven years ago.
  • In the 2015/16 Budget, Radio NZ was allocated  $31,816,000 – a nil increase.

Framed another way, a news media organisation – dedicated to informing the public about government activities – has had no increase in resourcing since John Key’s administration came to power in late 2008.

By contrast, the Prime Minister’s Department – dedicated to promoting the power of the Government and more specifically, pursuing National’s political agenda – has had a doubling of taxpayer funding.

Where to for funding Radio NZ?

On 17 August, I wrote to NZ on Air’s Chief Executive, Jane Wrightson and asked;

“In your Annual reports, NZ on Air’s income from  Crown revenue went from $109,813,000 (for the year ended 30 June 2008 ) to  $128,726,000 (for the year ended 30 June 2015) – an increase of nearly $19 million.

Can you explain why none of that increase, according to your Annual Reports,  was directed at Radio NZ?”

On 21 August, Ms Wrightson responded;

“NZ On Air does not set Radio New Zealand’s Crown funding. This is done by Ministers. I am not aware of any government-funded entity that has an automatic inflation provision to increase funding.”

When questioned whether “Radio NZ’s funding has been frozen (effectively reduced, after inflation is factored in) because it is considered to be politically “inconvenient” or “embarrassing”  to the government”, Ms Wrightson replied;

“NZ On Air is a funding agency independent of Government in terms of our content funding strategy and decisions. Radio New Zealand’s funding has been static in the same way that all publicly funded agencies in the cultural sector have been static, during a time of fiscal constraint.”

Fiscal constraint” does not appear to be a limiting factor when the Prime Minister’s Department is funded from the tax-payer’s purse/wallet.

Questions for the Broadcasting Minister

On 6 September, I asked the Minister of Broadcasting, Amy Adams;

It is my understanding that Radio New Zealand’s funding has not increased since 2009, when it’s budget was set at $31,816,000.

With it’s funding frozen, and no means of other revenue, it has effectively had a funding cut after inflation and salary increases are taken into account.

Can you explain why Radio NZ’s budget has not, at the very least,  been inflation-indexed?

Can you explain why Radio NZ’s budget has been frozen whilst at the same time, the Prime Ministers Department has had a budget increase since 2008 from $25,470,000 to $49,298,000 in 2015/16 – a near doubling in just seven years?

Are you committed to increasing Radio NZ’s budget next year? If not, why not?

How do you expect Radio NZ to deliver excellent service  when it has effectively had a cut in funding?

On 20 May this year, you were enthusiastic about Radio NZ’s growth in market-share;

“While there has been a decline in listenership across traditional platforms, over the last twelve months RNZ’s online audience has grown significantly as their multi-media strategy is implemented.”

For example:

  • In 2013/14, 3.5 million podcasts were downloaded.
  • In 2013/14, radionz.co.nz page views reached 21 million and over 2014 unique users of the website grew by over 50 per cent.
  • In 2013/14, regular user of the RNZ mobile app grew by almost 62 per cent.

Ref: https://www.beehive.govt.nz/release/bill-update-radio-nz-charter-passes-second-reading

Whilst this is evidence that Radio NZ is a prudent manager of it’s funding, it is unreasonable to expect that this situation is  sustainable for the foreseeable future.

If the Prime Minister’s Department required a 100% increase from 2008, then why has Radio NZ not been accorded the same benefit?

There have been suggestions that Radio NZ’s frozen funding is a covert attack on the broadcaster and an attempt to reduce it’s effectiveness. What is your response to this assertion?

On 17 September 〈¹〉,Minister Adams replied to my questions;

“I have been pleased to see the steps RNZ is taking to ensure its success in the
changing media environment and the ways it has expanded to reach new audiences,
such as The Wireless, an online service for young people. Although operating
within a static funding environment, RNZ continues to meet it’s objectives and
has become an established multi-platform broadcaster with the annual funding of
$35 million it receives.

While I share your concern about the funding constraints RNZ has faced over
recent years, this is common across all public services. In a time of fiscal
constraint, it is especially important that the Government manages the public
finances in a prudent and responsible manner and makes sustainable choices about
the prioritisation of public funds. I welcome the approach RNZ has taken to
ensure the business is run as efficiently as possible and that public funds
are utilised as effectively as they can be to maximise the public value of content.”

Adams went on to state;

“While I recognise your concern about the funding constraints RNZ has faced over
recent years, this is common across all public services. In a time of fiscal
constraint, it is especially important that the Government manages the public
finances in a prudent and responsible manner and makes sustainable choices about
the prioritisation of public funds. I welcome the approach RNZ has taken to ensure
the businrss is run as efficiently as possible and that public funds are utilised
as effectively as they can be to maximise the public value of content.”

To put it mildly, her response was utterly unsatisfactory, and in no way offered any sensible answers. Her comments also did not appear to reflect realities surrounding Radio NZ and required clarification.

Awkward Questions and Questionable Answers

On the same day, I wrote back to the Minister, seeking new answers;

As I pointed out to you in my 6 September email,

It is my understanding that Radio New Zealand’s funding has not increased since 2009, when it’s budget was set at $31,816,000.

With it’s funding frozen, and no means of other revenue, it has effectively had a funding cut after inflation and salary increases are taken into account.

Can you explain why Radio NZ’s budget has not, at the very least,  been inflation-indexed?

Can you explain why Radio NZ’s budget has been frozen whilst at the same time, the Prime Ministers Department has had a budget increase since 2008 from $25,470,000 to $49,298,000 in 2015/16 – a near doubling in just seven years?

In your response to me, dated 17 September, you stated in-part;

“While I share your concern about the funding constraints RNZ has faced over
recent years, this is common across all public services. In a time of fiscal constraint, it is
especially important that the Government manages the public finances in a prudent and
responsible manner and makes sustainable choices about the prioritisation of public
funds. I welcome the approach RNZ has taken to ensure the business is run as
efficiently as possible and that public funds are utilised as effectively as they can be to
maximise the public value of content.”

This response does not address the questions and issues I raised in my email.

Namely; why has Radio NZ’s funding been frozen since 2009 – whilst funding for the Prime Minister’s Department has doubled  since 2008 from $25,470,000 to $49,298,000 in 2015/16.

 The next point I raised was;

Why has Radio NZ’s funding been frozen since 2009 – whilst funding for the Prime Minister’s Department has doubled  since 2008 from $25,470,000 to $49,298,000 in 2015/16.

You state that “In a time of fiscal constraint, it is especially important that the Government manages the public finances in a prudent and responsible manner and makes sustainable choices about the prioritisation of public funds” – yet this constraint does not seem to have been applied to the Prime Minister’s Department, with funding increases every year since 2008.

Can you shed light on  why Radio NZ’s funding has been frozen, but the Prime Minister’s Department has not?

And the last point I raised;

Secondly,  you write that “ it is especially important that the Government manages the public finances in a prudent and responsible manner and makes sustainable choices about the prioritisation of public funds“.

Can you explain the meaning of term, “sustainable choices” in the context of your letter? What, precisely, do you mean by “sustainable choices“?

Lastly, you refer to Radio NZ as a “business”. Considering that RNZ is non-commercial; has very little revenue; does not return a dividend; and has no profit-making capability – can you explain in what sense the broadcaster is a “business”?
This time, the Minister’s response was not so promptly forthcoming, and after sending a reminder on 1 October to her office, I was advised on 15 October;

The section of your email relating to the budget of the Department of Prime Minister and Cabinet has been transferred to the Department, as it is better able to respond to your query.

Minister Adams will respond to your questions regarding the funding of RNZ.

It was now apparent that I was asking awkward questions that could not be fobbed off with a three-paragraph letter written in bland political jargon-speak.

Having transferred part of my OIA to the Prime Minister’s Department, I suspected it would be a long wait for a response.

On 13 November, Minister Adams responded to my request for clarification to her statement on 17 September. She first said;

“With regards to the first matter you raise, no government agency’s budget is inflation
linked. Ministers make decisions on an annual basis about potential funding increases
based on the requirements of the agencies. As you will be aware, these decisions involve
prioritisation across the entire public sector to ensure that any additional funding is
focused on the areas of most need.”

The Minister’s claim that “no government agency’s budget is inflation linked”appears to be at variance with the fact that the Prime Minister’s Department’s budget has doubled since 2008. This is an area which she obviously has no answer to, hence “transferring” my query to the PM’s Department.

However, Adams’ assertion that “ministers make decisions on an annual basis about potential funding increases” is actually at the nub of this problem. It is precisely the fact that Radio NZ’s budget has been frozen by a decision at a  ministerial level, that Minister Adams herself admits.

In effect, by deciding that Radio NZ’s budget is not to be increased, it is a form of political interference in an otherwise independent agency’s affairs.

National has long since abandoned Muldoonist-style direct interference in state sector departments and agencies. The more subtle – but just as destructive technique – is to quietly starve a recalcitrant independent body of funding.

When Minister Adams insists that “Ministers make decisions on an annual basis about potential funding increases based on the requirements of the agencies“, she is being duplicitous.

No one could sensibly suggest that a nationwide broadcaster could operate on a long-term basis without an increase to it’s funding.

Executives warn Parliamentary Select Committee of dire financial situation for RadioNZ

Radio NZ’s growing financial problems was raised during the 2012/13 financial review of Radio New Zealand,  by the Parliamentary Commerce Committee. The Committee referred to the issue at the beginning of their Report;

“Crown funding for Radio New Zealand has not increased in six years; we asked how this had affected staff and services.”

Labour’s Kris Faafoi was direct when he asked RadioNZ’s, Deputy Chief Executive, Ken Law;

“…you’ve been under a pretty difficult financial situation for 5 or 6 years now. I notice in the questions that you gave back to us that you’ve managed to make some savings of around $2 million in the last year, but how much longer can you cut your cloth until there is no more cloth to cut?”

Law, responded;

“I would suggest that that funding will have to be externally generated. But we have been very successful. We’ve made a number of
savings, particularly in production systems. We have some excellent expert staff in audio production. They’ve made some major savings in audio production systems and procedures. We’ve taken out some of the resilience or some of the duplication in transmission networks. That’s been a very calculated risk, but one that we think we’ve been able to manage and we can manage into the future. But really your question—how much longer? Not much longer.”

That was review was held around 8 May 2014. Despite putting on a brave face to the Parliamentary Committee and voicing up-beat comments, Radio NZ’s executives are clearly concerned that they are fast running out of cost-saving options.

Also noteworthy is that, in an attempt to cut costs, managerial decisions have been implemented to cut “some of the resilience or some of the duplication in transmission networks“.

Law described  cut-backs to “resilience” as “a very calculated risk”. This can be taken as to mean that Radio NZ’s technical infrastructure has been undermined and compromised for cost-saving purposes.

“Sustainability” and job losses looming

Minister Adams’ also explained what she meant by the term, “sustainable choices” and  in what sense was the broadcaster  a “business”, considering it is non-commercial, and has no revenue-income to speak of;

“With regards to the term ‘sustainable choices’ as used in my previous
correspondence, I meant choices about fiscal policy that keep government debt at
prudent levels and manage fiscal risks. As mentioned above, when Ministers make
decisions about agency funding they have to prioritise initiatives from across the
state sector to achieve this.

[…]

Although RNZ is not a commercial business, the Crown expects commercial disciplines
to be applied to the use of public funds and for RNZ to act in a professional and
business-like manner.”

Minister Adams’ candour was startling. She was admitting that her use of the phrase “sustainable choices” referred not to Radio NZ – but to National’s own attempts to balance it’s Budget and post a surplus.

Like other areas of the State sector – health, education, housing, police, etc – National has been cutting budgets to meet Budgetary demands. Those demands were exacerbated by National’s tax cuts of 2009 and 2010. Using the Minister’s phraseology, those tax cuts were ultimately “unsustainable choices“.

A year and a half  after  Ken Law’s fateful words to the Commerce Committee, Radio NZ’s chief executive, Paul Thompson, announced that the broadcaster would be shedding jobs;

RNZ chief executive Paul Thompson confirmed staff had been sent memo outlining the proposed changes at the state-owned broadcaster on Tuesday.

Newsreaders and producers at Radio New Zealand are in the gun, with the national broadcaster planning to shed jobs in their push into digital.

RNZ chief executive Paul Thompson confirmed staff had been sent memo outlining the proposed changes at the state-owned broadcaster on Tuesday.

This included cutting the overall headcount at RNZ from 283 to 270 by July next year, with 20 jobs disestablished and seven new digital roles created.

“We are having to find some savings which is no surprise.”

National’s on-going refusal to adequately  fund Radio NZ  has  predictably been  “un-sustainable“.

The Prime Minister’s Office confirms doubling of their Budget

Having heard nothing since 15 October, when the Broadcasting Minister’s office transferred part of my OIA request to the Prime Minister’s Department, follow-up enquiries were made on 23 October as to what progress they were making;

“It is my understanding that Radio New Zealand’s funding has not increased since 2009,
when it’s budget was set at $31,816,000.

With it’s funding frozen, and no means of other revenue, it has effectively had a funding
cut after inflation and salary increases are taken into account.

Can you explain why Radio NZ’s budget has not, at the very least, been inflation-indexed?

Can you explain why Radio NZ’s budget has been frozen whilst at the same time, the Prime
Ministers Department has had a budget increase since 2008 from $25,470,000 to $49,298,000
in 2015/16 – a near doubling in just seven years?”

By 12 November, a month after Minister Adams’ office had transferred part of my OIA request to the Prime Minister, no reply had been forthcoming and I asked again whether I could expect a reply.

A little over twentyfour hours later, I received a two-page response from the Department of the Prime Minister and Cabinet. (The full text of the document is available for viewing here.)

In response to my questions;

“Why has Radio NZ’s funding been frozen since 2009 – whilst funding for the Prime Minister’s Department has doubled  since 2008 from $25,470,000 to $49,298,000 in 2015/16?”

“This [funding] constraint does not seem to have been applied to the Prime Minister’s Department, with funding increases every year since 2008. Can you shed light on  why Radio NZ’s funding has been frozen, but the Prime Minister’s Department has not?”

– the answers were “interesting” to say the least.

Anne Shaw, Director of the Office of the Chief Executive, confirmed that the budget for the DPMC had doubled  since 2008 from $25,470,000 to $49,298,000 in 2015/16.

She described the doubling of the Prime Minister’s Department as taking on “new responsibilities“;

“The Department of the Prime Minister and Cabinet (DPMC) serves the Executive (the
Governor-General, the Prime Minister and the Cabinet) through the provision of high
quality impartial advice and support services. DPMC is comprised of five business
units: Cabinet Office, Government House, Policy Advisory Group, Security & Intelligence
Group, and Ministry of Civil Defence & Emergency Management. The functions of DPMC
have changed significantly over the period of time covered by your request with taking
on new responsibilities. The changes in funding largely reflect this.”

Interestingly, Shaw refered to political management  and the Civil Defence  bureacracy as “business units”. Are those “business units” run with the  expectation of  commercial disciplines  to be applied to the use of public funds and to act in a professional and business-like manner” – as Minister Adams demanded of Radio NZ?

Shaw then provided alleged examples which appeared to justify the doubling of funding for the Prime Minister’s office.

However, Budget documents are not always clear as to what “additional fundings” were made from the Prime Ministers Department (DPMC), as purported by Shaw. In several instances, there was no apparent reference to any increase for a given purpose;

(1) “Additional funding” for the  “conservation of Government House in Wellington” between 2009/10 and 2010/11:

Vote Prime Minister and Cabinet 2009/10 Budget: $20.1 million

Vote Prime Minister and Cabinet 2010/11 Budget: $17.4 million

Vote Prime Minister and Cabinet 2011/12 Budget: $1.1 million

Vote Prime Minister and Cabinet 2012/13 Budget: $1 million

(2) “Payments made as a result of the September 2010 and February 2011 Canterbury Earthquakes, including support for response and recovery as a result  of the 22 February 2011 Canterbury Earthquake“. There were no payments found  for “support for response and recovery activities”  relating to the earthquakes within the 2010/11, 2011/12, or 2012/13 Budgets.

(3)  “Relocating the intelligence and security functions to a new purpose-built facility for the New Zealand intelligence community” 2010/11.  There were no payments found  for any such “relocation” within the DPMC Budget.

However, the Budget for Vote Communications Security and Intelligence increased massively during the 2010/11 period which Shaw claimed as justification for the DPMC’s budget increase:

Vote Communications Security and Intelligence 2008/09:  $49.368 million

Vote Communications Security and Intelligence 2009/10:  $59.142 million

Vote Communications Security and Intelligence 2010/11:  $73.926 million

Any increase for “relocating the intelligence and security functions to a new purpose-built facility for the New Zealand intelligence community” appears to have come from Vote Communications Security and Intelligence, not Vote Prime Minister’s Department.

(4) There is no reference to expenditure for “Cabnet”  or establishment of the National Cyber Policy Office within the 2012/13 Budget for Vote Prime Minister’s Department. If it exists, it was “buried” under one or another classication.

(5)  Shaw also referred to costs incurred for “depreciation funding for the refurbished Government House“. These entries do exist in each DPMC Budget.

“Funded depreciation” is described as “… a fixed asset management method that helps a company set aside funds to renew machinery and equipment that it uses in operating activities“.

It is highly unlikely that any government will be building a new Government House any time soon.

(6) Shaw gave another explanation to the ballooning Prime Minister’s Department’s budget; “In April 2014, the Ministry of Civil Defence & Emergency Management (MCDEM) became part of the DPMC. This meant an additional funding increase in 2013/14 with the transfer of civil defence and emergency management functions from Vote Internal Affairs and an additional 39 staff“.

Ms Shaw is correct, and the cost of transitioning – according the the 2013/14 Budget – $1.354 million.

Even with three related costings included, the sum reaches only $3.6 million. This hardly explains why the PM’s Department’s budget has doubled since 2008.

(7)  Ms Shaw’s final explanation for the budgetary increases for the DPMC was perhaps the most galling, citing “an increase in 2015/16 reflecting the expected costs of supporting the process to consider changing the New Zealand Flag“.

However, Shaw’s explanation is not convincing. The 2015/16 Budget reveals a figure of $4.4 million for the DPMC’s “Supporting Flag Consideration Process” – not the full estimated costing of $26 million.

Even so, considering that Ministers have consistantly fetishsised  the “need for fiscal restraint”, it is hard to see that funding the flag referendum is a necessity that excuses the need for on-going “fiscal restraint”.

Especially when agencies such as Radio NZ have not had funding increases for seven years.

It appears that money can be readily found when John Key needs it.

Solutions?

On 17 September, broadcasting spokespeople for Labour, the Greens, and NZ First were approached for comment on Radio NZ’s funding.

The Greens and NZ First did not provide any response.

Labour’s Clare Curran responded and said;

In October I released a private member’s bill to put to an end Radio New Zealand’s punishing
six­year funding freeze that matches funding to inflation and population growth and assists
the broadcaster’s transition to a multimedia public service network

The Radio NZ (Catch­Up Funding) Amendment Bill, which has been placed in the private
member’s bill ballot, provides for an 11 per cent increase based on total inflation and an
overall population increase of 6.7 per cent from June 2009 to June 2015.

Current NZ on Air funding for Radio New Zealand for the 2015/16 year is $31,816,000. The
one­off ‘catch up’ for the 2015/16 year would be an increase of around $6.5 million.

The Bill provides for the catch­up funding to be sustained and for inflation and population
adjustments to occur annually. It is the first step in a broad strategy by Labour to improve the
quantity and quality of New Zealand voices in broadcasting.

Public service broadcasting is gradually being eroded in New Zealand. Despite the population
of New Zealand growing ever larger and more diverse, the range of voices in broadcasting is
narrowing.

This bill is a stake in the ground on the importance of public interest media.

Ms Curran also replied to several specific questions I put to her,  if Labour was to be part of the next government, post­-2017;

Frank Macskasy: Will you make an immediate capital-injection into Radio NZ, to take into account inflation since 2008?

Clare Curran: Labour’s broadcasting policy for 2017 is yet to be announced. However I draw your attention
to the private member’s bill in my name which provides for an immediate funding increase
for RNZ based on inflation since 2008 and population increase.

FM: Will you inflation-index any subsequent funding for Radio NZ?

CC: Bearing in mind we haven’t announced formal policy I think you take that as a yes.

FM: What strategy do you have, if any, to entrench regular funding increases for Radio NZ to take such funding  decisions away from ministers and eliminate/reduce potential covert political interference by chronic under-funding?

CC:  This is an excellent question and one that Labour takes very seriously. We are undertaking
community engagement as we speak about these very matters. As Broadcasting
spokesperson, and as a former journalist, I believe editorial independence from ministerial
interference is a fundamental tenet of democracy. Recent events inside Maori TV have raised
serious questions about the ability of a Minister to influence programming decisions which he
doesn’t like. Political party That’s deeply concerning no matter which political party is
involved.

I don’t believe our publicly ­funded media is arms­-length enough from government. What’s
happening in Australia with the ABC and even in the UK with the BBC is testament to that.

In order for true democracy to flourish, commercial –free public interest media is an essential
pillar. Just as we have established and entrenched the watchdogs of government in the
Ombudsman, Auditor General, Human Rights Commission, Privacy Commissioner etc.. so
must we ensure that our public media entities are given a public mandate to operate
independently from state influence, overtly or surreptitiously. As you rightly point out,
removing funding decisions from ministers may be an important mechanism to do that.

However, I make the point that it must be a political policy decision to move in that direction.
I signal that Labour will move in that direction.

FM: Would an independent decision-making body, such as the Remuneration Authority which rules over MP’s salaries, be a practical solution to this problem?

CC: This is a matter for further discussion which I welcome and will participate in, in any forum.

Clare Curran’s response was appreciated.

It also gives hope that a future progressive government will not only restore Radio NZ’s funding – but will implement a policy that will entrench and safeguard this taonga from covert under-mining by unsympathetic governments.

The job of media is not to serve up infantilised ‘pap’ for an increasingly disconnected audience. The job of media is to hold truth to power, full-stop.

A democracy simply cannot function without a flourishing, well-resourced, critical media.

Governments without a watchful media is authority without brakes. It is political power without independent over-sight. It is dangerous.

At a time when print media is “down-sizing” (ie, sacking) skilled, experienced staff, and electronic media serves up a daily evening diet of superficial “current affairs” and even more vacuous “news”; gormless formulaic “reality shows”; and a never-ending stream of stomach-churning crime “drama” – Radio NZ is the last bastion of serious, professional media.

It is the last institution left standing. It is holding the line.

But only barely.

Note1 – Minister Adams responded to my OIA in one and a half weeks. This is an outstanding achievement for any National Minister’s office. Most National Ministers take weeks, if not months, to respond.

NZ Treasury: Budget 2015 – Vote Prime Minister and Cabinet

Additional References

NZ on Air: The Board

NZ on Air Annual Report: 2008

NZ on Air Annual Report: 2009

NZ on Air Annual Report: 2010

NZ on Air Annual Report: 2012

NZ on Air Annual Report: 2013

NZ on Air Annual Report: 2014

NZ on Air Annual Report: 2015

Additional

The Daily Blog: CBB supports Private Members Bill to increase funding to Radio NZ

Labour: Labour bill to stop stealth cuts to Radio NZ

The Standard:  David Cunliffe on the state of the media in New Zealand

Parliament: Radio New Zealand (Catch-up Funding) Amendment Bill

Previous related blogposts

TVNZ7, Radio New Zealand, and distracting trinkets.

State Media Bans Dissident!

Karl Du Fresne has a public baby waa-waa cry-session

Karl Du Fresne has a public baby waa-waa cry-session – part rua

Talkback Radio, Public Radio, and related matters

NZ media; the Good, the Bad, and the Very, Very, Ugly

Campbell Live, No More

The Donghua Liu Affair: One Year On

.

.

.

charlie hebdo

.

This blogpost was first published on The Daily Blog on 21 November 2015.

.

.

= fs =

TPPA – media reports and blogposts

12 October 2015 2 comments

.

TPP_map-660x330

.

On Tuesday 6 October, the announcement was made that  TPPA negotiations had been completed and signed by the twelve participating nations. The following Radio NZ interviews, as well as other media reports and blogposts, present a wide-ranging picture of this event…

Radio NZ – Morning Report

.

Trans-Pacific Partnership signed in Atlanta - radio nz

Trans-Pacific Partnership signed in Atlanta

The Trans-Pacific Partnership deal has been reached in the early hours of this morning in Atlanta. (alt. link)

 .

Special trade envoy says TPP dairy deal was always going to be tough - radio nz

New Zealand’s special agricultural trade envoy Mike Petersen returned from Atlanta early this week, but has been kept up to date on the latest developments. (alt. link)

.

Some key facts about the TPP deal - radio nz

The deal once ratified by the twelve countries will be phased in with some parts not coming into full effect for as long as 25 years. (alt. link)

.

Former US trade representative reacts to TPP announcement - radio nz

Former US trade representative reacts to TPP announcement. And as we’ve been reporting this morning the Trans-Pacific Partnership deal has been reached in the early hours in Atlanta. (alt. link)

.

Labour's reaction to overnight TPP deal announcement - radio nz

Listening to that is Annette King — the Labour Party’s acting leader.(alt. link)

.

International trade policy expert on overnight TPP deal - radio nz

Joseph Stiglitz on the Trans-Pacific Partnership deal,  reached in the early hours in Atlanta. (alt. link)

.

More analysis on the TPP deal with our economics correspondent - radio nz

With us again is our economics correspondent Patrick O’Meara. (alt. link)

.

Fonterra's chairman John Wilson on TPP deal - radio nz

Fonterra’s chairman John Wilson says the TPP outcome for dairy is far from perfect but he appreciates the effort made by the trade minister Tim Groser and his negotiators and some progress in market access has been made. (alt. link)

.

Radio NZ – Nine to Noon

.

The trade pact TPP - what will it mean for NZ - radio nz

“It’s been called the most sweeping trade pact in a generation, and will affect 40 percent of the world economy. The Trans-Pacific Partnership was finally signed overnight in Atlanta. It will cut trade barriers and set common standards for 12 countries. But the devil remains in the detail … and the written details have yet to be released. Crawford Falconer is a professorial chair in Global Value Chains and Trade at Lincoln University and a former trade negotiator with the Ministry of Foreign Affairs and Trade.” (alt. link)

.

Business commentator Rod Oram - radio nz

Business commentator Rod Oram;

The TPPA, the Government’s new science investment strategy and banking arrangements. (alt. link)

 

 

 

 

.

Jane Kelsey, Scoop media

National government betrays NZers in TPPA deal

Tuesday, 6 October 2015, 12:16 pm
Press Release: Jane Kelsey

‘This deal is a travesty of democracy’, said Professor Jane Kelsey about the conclusion of the Trans-Pacific Partnership Agreement (TPPA) in Atlanta, USA.

‘The government has ignored, insulted and lied to its citizens.’

‘Minister Groser has misled New Zealanders. He always knew he was on a hiding to nothing on dairy. I have predicted many times that he would not do as he said and walk away from a lousy deal, but would make claim that there were some intangible future gains from being in the club. That’s exactly what’s happened’. (read more)

.

TVNZ  News

.

TPP deal agreed, but not an ‘ideal result’ for NZ key exports

7.03am

The Trans Pacific Partnership (TPP) has been sealed in the US overnight with New Zealand agreeing to terms with 11 other countries.

Trade Minister Tim Groser told TVNZ’s Breakfast this morning it hasn’t been an “ideal result” for New Zealand’s key exports.

However, TPP opponent Professor Jane Kelsey said “government has ignored, insulted and lied to its citizens” and that “this deal is a travesty of democracy”.

Access for our dairy products to key markets Canada and Japan have not been as fulsome as first hoped, with several countries refusing to remove all blocks to free trade for New Zealand’s beef and dairy exports. (read more)

.

‘This deal is a travesty of democracy’ – reaction to TPP agreement

1.27pm

The controversial Trans-Pacific Partnership was sealed in the US overnight, with New Zealand agreeing to terms with 11 other countries including the US and Japan. 

Here is some of the reaction: (read more)

.

Fairfax media

.

Ministry breaks down TPPA tariff gains; dairy, meat the biggest winners

Countries negotiating the Trans-Pacific Partnership may have finally come to an agreement but the dominant source of support for the New Zealand dollar is still the United States interest rate debate. 

New Zealand and 11 other Pacific Rim countries, including the United States, Japan and Canada, reached a deal on the Trans-Pacific Partnership (TPP) after the anticipated announcement on Monday was dragged out due to a sticking point regarding access to international markets for New Zealand dairy.

The Kiwi was trading at US64.64 cents on Monday afternoon, lifting to US65.09c on Tuesday morning. (read more)

.

Labour to carry on regardless of TPPA – Ardern

Benn Bathgate
Last updated 15:42, October 6 2015

A Labour Government will make laws without regard to the controversial Trans-Pacific Partnership Agreement and if necessary “face the consequences”.

That was the view of Jacinda Ardern, Labour MP and spokesperson for small business, speaking at a Chamber of Commerce event in Rotorua on Tuesday.

“When we’re in Government we’ll continue to legislate as we would and we’ll face the consequences,” she said. (read more)

.

Canty manufacturer excited about TPPA

Alan Wood
Last updated 15:43, October 6 2015

Christchurch Metal foundry AW Fraser expects to be one of many manufacturers to benefit from the Trans Pacific Partnership Agreement (TPPA).

Canterbury manufacturers say the needs of the dairy sector have dominated too much when it comes to the pluses and minuses of reaching the trade deal.

Members of the New Zealand Manufacturers and Exporters Association (NZMEA) say that dairy only represents 20 per cent of the country’s exports. (read more)

.

Tv3 News

.

TPPA countries reach deal

Tuesday 6 Oct 2015 5:20 a.m.

New Zealand’s failed to get all trade barriers for its beef and dairy exports lifted as part of the Trans-Pacific Partnership Agreement (TPPA).

After several days of intense negotiations in the US city of Atlanta, trade ministers from the 12 countries involved in the TPPA announced they had reached agreement on the world’s largest free trade pact early today (NZ time).

One of the major sticking points in the negotiations was securing greater access for New Zealand dairy products to a number of protected markets. (read more)

.

TPPA response swift, varying

By Aziz Al-Sa’afin and 3 News online staff
Tuesday 6 Oct 2015 10:09 a.m.

An urgent law change proposed by New Zealand First would mean international treaties need to be approved by Parliament before they are signed.

The policy comes after the massive and controversial Trans-Pacific Partnership Agreement (TPPA) was agreed to by New Zealand and 11 other Pacific countries today.

Reaction to the TPPA has ranged from descriptions of it being a “betrayal” and “disappointing” to hugely congratulatory.  (read more)

.

TPPA: What you need to know

By 3 News online staff

After years of tough negotiations, New Zealand and 11 other Pacific Rim countries have agreed to the massive Trans-Pacific Partnership deal, but what does it mean?

The deal was agreed to early this morning (NZ time) and gets rid of 93 percent of tariffs on New Zealand exports, but Prime Minister John Key admits not eliminating tariffs on dairy was “disappointing”.

The deal is expected to be worth $2.7 billion a year by 2030. (read more)

.

TPP agreement boosts NZ shares

Tuesday 6 Oct 2015 6:25 p.m.

New Zealand shares have gained after agreement was reached on the Trans Pacific Partnership deal.

The S&P/NZX 50 Index rose 37.57 points, or 0.7 percent, to 5668.11 today. Within the index, 30 stocks rose and 11 fell. Turnover was $113 million.

Overnight 12 Pacific Rim nations including New Zealand reached a deal on the controversial TTP, which covers 40 percent of the global economy. (read more)

.

NZ Herald

.

Fran O’Sullivan: TPP deal – Tim Groser puts foie gras on dead rats

Tim Groser’s brinksmanship in the final brutal hours of the marathon Trans Pacific Partnership negotiations secured New Zealand a deal on dairy.

The Trade Minister had to swallow a “few dead rats”. But there’s still plenty of what Groser earlier termed “foie gras” to make for an tasty trade package estimated to be worth $2.7 billion a year for NZ by 2030.

Groser has not secured a gold-plated outcome – as far as NZ’s prime export is concerned – but considerable gains have been made through controlled market access for dairy to major consumer markets like the US, Japan, Mexico and Canada. (read more)

.

TPP deal: Now 90 days for scrutiny

Now the Trans Pacific Partnership talks have concluded, New Zealand and the 11 other countries must tick several boxes before the agreement can be brought into force.

Under a rule set by the United States, any agreement cannot be signed until 90 days after negotiations end, to allow time for full consideration of its pros and cons. The same rule also says the agreement’s full text must be made available to the public after 30 days.

In New Zealand, the Ministry of Foreign Affairs will provide a report to the Cabinet on the costs and benefits. The Cabinet will then decide whether to approve the agreement. (read more)

.

TPP deal ‘failed to deliver for NZ’ – Labour

The Labour Party says the Trans Pacific Partnership appears to have failed to deliver for New Zealand with few gains for dairy farmers and potential implications for medicines.

Deputy leader Annette King would not say this morning whether the party would back the deal because details about its contents were “scant”.

“[Trade Minister] Tim Groser did say that there would be some ugly compromises,” she said. “We would now like to see what those ugly compromises were.” (read more)

.

TPP deal: New Zealand and 11 other countries strike Pacific trade pact

Audrey Young & Jamie Gray,

• TPP deal struck after final, brutal hours of negotiations
• Hailed as the biggest deal of a generation
• Has power to affect 40 per cent of world’s economy
• NZ dairy sector is disappointed
• Tariffs on 93 per cent of NZ exports to new free trade to be eventually eliminated
• But no change to the 20-year patent period for pharmaceuticals

After years of talks, the controversial and secretive Trans Pacific Partnership trade deal has been finalised. (read more)

.

Dr Pat Neuwelt: Doctors not prepared to swallow TPP pill

11:20 AM Tuesday Oct 6, 2015

Now that the Ministerial Trans Pacific Partnership Agreement (TPPA) meetings in Atlanta are completed New Zealanders are one step closer to being locked into a comprehensive new set of rules.

At this stage we still don’t know the details of what Minister Groser’s self-confessed “ugly compromises” are, but we know enough to be certain the agreement has us on the road to stagnation in health and to drive up the cost of medicines. The only question is, by how much?.

It is difficult, at this point, to trust that the government has fully assessed the pros and cons of the deal for New Zealanders now and in the future. (read more)

.

Charles Finny: TPP quite different, isn’t it?

1:55 PM Tuesday Oct 6, 2015

I was interviewed on Morning Report by Kim Hill on the TPP outcome. I answered every question as accurately as I could based on the facts that had been made public on the negotiating outcome.

Clearly there were a few inconvenient truths there as I was attacked pretty solidly and pretty viciously by a number of people from around the world on social media.

This should not have surprised anyone. (read more)

.

‘What do I do now?’ – Tim Groser

After the completion of exhaustive TPP talks in Atlanta, Trade Minister Tim Groser sounded anything but elated as he talked down the phone at 3 am.

“I feel like I used to feel after university exams,” he said with a certain battle-weariness.

“I would be studying 20-hour days and I would be thinking ‘I cannot wait for the exams to finish’ and then when they finished I would feel slightly ‘well, what do I do now?'”  (read more)

.

The Dim Post

.

First thoughts on the TPPA

October 6, 2015 6:46 am

I am a little staggered that they actually made a deal. The Herald article on the deal is here:

  • ‘Mr Groser is very upbeat about the overall result, which will be published later today, but less so on dairy.’
  • Access for dairy was literally Groser’s one job when negotiating this deal and he has, characteristically, failed to do it. I’m not that worried though. We’re already well over the environmental capacity for dairying. It’s probably costing more in long-term environmental costs than its earning in export revenue. So the last thing we needed was a trade deal incentivising more dairy. Best case scenario is that this new deal encourages exporters to move up the value chain and make high quality high wage products instead of shipping raw logs and milk powder.
  • ‘There will be no change on the current patents for biologic medicines, although an extension on copyright by 20 years will be phased in.’ (read more)

.

The Standard

.

TPPA agreement reached

Written By: mickysavage, 7:28 am, October 6th 2015

The deal has been done. We are told that it is the best thing since sliced bread although we are not allowed to know the details.

Tobacco companies will not be allowed to use the investor state resolution procedure which is a good thing. All other industries will however which is very bad. Stand by for the lawyering to start.

Dairy will have a minuscule increase in the amount it can export. Milk powder access will be phased in over 25 years. Fran O’Sullivan describes Groser’s analysis of the deal as putting fois gras on a number of dead rats. (read more)

.

As expected, TPPA gives a peanut return

Witten by: lprent,  9:15 am, October 6th 2015

In 15 to 25 years, the expected tariff reduction return to NZ will be (summarized by kiwiblog)

The Beehive site has some details on the deal. The savings on tariffs, once full implemented by sector are:

  • Dairy $102 million
  • Meat $72 million
  • Fruit and vegetables $26 million
  • Other agriculture $18 million
  • Wine $10 million
  • Manufacturing $10 million
  • Forestry $9 million
  • Fish $8 million
  • Wool $4 million

Somewhere around $260 million per year in possible benefits long after I have retired. The upbeat guesstimates by the beehive propaganda sheet say

“The full benefit of TPP is estimated to be at least $2.7 billion a year extra in New Zealand’s GDP by 2030.” (read more)

.

No Right Turn

.

Just a bit shit really

So, the biggest trade deal in a generation has been finalised. The thing National was pinning all of its hopes of economic success on, John Key’s “something special”. And it turns out to be just a bit shit really, because it doesn’t include dairy. New Zealand’s primary industry, the whole reason why we engage in these talks, and absent some reduced tariffs on cheese in twenty years or so, its excluded. Slow clap, Mr Groser. Heckuva job you’ve done there. You’ve totally earned that knighthood you were gunning for, you royalist suckup. (read more)

MPs are listening on open diplomacy

One area of huge public disquiet around the TPP negotiations is secrecy: everything about them is secret, and a precondition of negotiations was accepting a “confidentiality” agreement forbidding the release of negotiating material for five years after any deal is agreed. The net result is that “our” government has been telling its negotiating partners things without telling us, enabling them to lie to us about what they are negotiating away. And they were explicitly caught doing so on the issue of the investment-state dispute settlement clause. (read more)

 

.

Public Address

.

TPP, eh?

by Rob Salmond, 11:05 Oct 6, 2015

As everybody knows, the TPPA deal is settled, and we can expect a full text to scrutinise within a month.

The deal really is a very big one globally; it’s just not such a big deal for New Zealand.

It looks to me like the biggest loser in the deal is Mexico. It doesn’t get much in the way of market access that it didn’t already have via NAFTA, and the US-Japan deal on autos hurts a lot of Mexican factories purpose-built to supply auto parts from Japanese car companies into the US. (read more)

.

Pundit

.

TPP can help lift incomes in New Zealand but to make a difference for people, there’s a lot more work still to do.

The TPP was never going to be the miracle that shot New Zealand to the top of the global supply chain. Neither was it ever going to be the Darth Vadar of deals where American corporations got to destroy the planet. 

It was always going to be a little bit disappointing to everyone. The deal calls for Vietnam to allow free unions and Malaysia to stop people smugglers, but in most countries there aren’t enough gains for politicians to campaign on it. Stephen Harper doesn’t want the text made public until after the Canadian election and Hilary Clinton’s team just want the damn thing off the agenda by 2016. (read more)

.

The Daily Blog

.

How bad is the TPPA? Read this now!

By Martyn Bradbury, October 6, 2015 

We have been conned into agreeing to this madness. This is a geopolitical war it isn’t a bloody trade agreement and our media have utterly ignored this dimension to the TPPA.

This isn’t a gold standard deal, it’s a gold plated deal. Groser and Key have come back after selling our cow at the free market with 3 magic TPPA beans.

The winners here are corporations and the people have lost. (read more)

.

Gordon Campbell

.

On the TPP deal reached in Atlanta

October 6th, 2015 If the TPP was the Rugby World Cup, the New Zealand team probably wouldn’t be making it out of pool play. While the final details will not emerge for a month, the TPP is offering disappointing returns for New Zealand… and over a very long phase-in period… of up to 25 years in major areas important to us, even though many of the concessions we have made would take immediate effect. Typically, Prime Minister John Key has already been spinning the “93% tariff free” outcome across the TPP region, as if that situation was entirely due to the TPP deal. To get that figure, Key is adding all pre-existing tariff reductions and adding them to the TPP. To take a relevant example… 80% of US trade with other TPP members is already duty free. (read more)

.

.

.

TPPA jack of all spades - cartoon

.

This blogpost was first published on The Daily Blog on 7 October 2015.

.

.

= fs =

Categories: Media, The Body Politic Tags: ,

Polls and pundits – A facepalm moment

25 September 2015 3 comments

.

color-chart-graph-glass-positive-1000

.

19 September – This morning’s  episode of The Nation on TV3 featured leaders from Labour, Greens, NZ First,  ACT, and Steven Joyce spinning for National. The episode was an appraisal of National’s performance since last year’s election.

Joyce, Little, Shaw, and Peters were given decent time to respond to questions from hosts Lisa Owen and Patrick Gower. David Seymour seemed short-changed with an unseemingly hasty, brief interview, though at 0.69% of the Party vote his five minutes of question-and-answer might be deemed appropriate. Except that ACT has considerable influence on National out of proportion to it’s miniscule electoral support.

Perhaps the most disappointing aspect to the episode were continual references to poll ratings for John Key and National being “unchanged” and continuing to ride high. The implication being that National and Key’s poll ratings remain unchanged.

Nothing could be further from the truth.

A Roy Morgan poll reported on Radio NZ on Friday – the day before The Nation went to air – gave a shock result for National;

.

roy Morgan - radio nz - poll

.

According to the poll, National National’s support  has plummeted  by six percentage-points, with support for the  Labour/Green bloc jumping by eight percentage points.

NZ First support had also fallen by 2.5 percentage points.

The inescapable conclusion is that, according to this poll, Labour and the Greens had achieved the Golden Rule; increase support by taking from their opponants, and not by the two Left-wing parties cannibalising each other. As Patrick Gower pointed out;

@5.27

“They have to find a way to take votes of National. They can’t just shuffle it around between the Greens and New Zealand First to get to 33, 34. That ain’t gonna do it.”

In the Roy Morgan poll, National and NZ First’s fall mirrors almost exactly the rise of the Labour-Green bloc. No “shuffling” – National’s support has moved over to Labour and the Greens.

How was this reported on The Nation? Not at all. No mention made whatsoever of a poll – which while it should not be taken in isolation – should still give government party strategists cause for alarm and rate a mention from our current affairs media.

This made a mockery of Patrick Gower’s comment to Labour leader, Andrew Little,

@ 2.05

“But still the poll ratings haven’t changed. John Key is exactly where he has always been.”

@ 4.40

“That’s what the polls say. The polls put them at 47%.”

Or this comment from Lisa Owen;

@ 0.01

“So while National’s well ahead in the polls, it’s not been a year without its challenges.”

During the Panel discussion with Guyon Espiner, Patrick Gower, and  Tracy Watkin, similar  mis-leading references were made by professional political journalists who should know better.

Guyon Espiner

@ 0.18

“I think it’s tracking pretty well, if you look at the polls. I mean, 47% for National is extraordinary at that point.”

Tracy Watkins;

@ 1.15

“47%, if that’s that the numbers in the latest poll, I mean  that is quite incredible, it really is.”

Tracey Watkins;

@ 7.15

“Well I’m going to have to say John Key [is the winner]… Well, I mean, if he’s still on 47% [interruption] Winner! Winner! He’s…Despite everything,  y’know, third term and he’s still massively popular  and his government is still hugely popular.”

To be fair, if  the interviews for Saturday morning were pre-recorded throughout the week, the Roy Morgan poll results appeared too late to be included in questions asked of Party leaders. Though the lead-in from Lisa Owen and Patrick Gower was a live (?) broadcast. They should have been aware of the shock result only twentyfour hours previous.

The reality is that Roy Morgan polls are rarely reported by either TV1 or TV3. Both broadcasters have their own contracted polling companies and ignore all other results.

What is totally inexplicable is that the producers and hosts of The Nation ignored polling from their own company, Reid Research.

Polling from Reid Research has shown a steady decline in John Key’s popularity, as I reported on 13 July and  28 July;

As was reported previously, the personal popularity of our esteemed Dear Leader, John Key, has been in slow free-fall since 2009;

Oct/Nov 08: 36.4%

(Source)

Feb 2009: 52.1%

April 2009: 51.1%

Aug 2009: 51.6%

Oct 2009: 55.8%

Feb 2010: 49.4%

April 2010: 49.0%

June 2010: 49.6%

Jul/Aug 2010: 48.7%

Sept/Oct 2010: 50.6%

Nov/Dec 2010: 54.1%

Feb 2011: 49.1%

April 2011: 52.4%

May 2011: 48.2%

Jun/Jul 2011: 50.5%

Aug 2011: 53.3%

Sept 2011: 54.5%

Oct 2011: 52.7%

1-8 Nov 2011: 50.0%

9-16 Nov 2011: 49.4%

16-23 Nov 2011: 48.9%

Feb 2012: 45.8%

April 2012: 44.2%

May/Jun 2012: 40.5%

July: 43.2%

(Source)

Feb 2013: 41.0%

April 2013: 38.0%

May 2013: 41.0%

Jul 2013: 42.0%

Nov 2013: 40.9%

Jan 2014: 38.9%

Mar 2014: 42.6%

May 2014: 43.1%

Jun 2014: 46.7%

Jul 2014: 43.8%

5-3 Aug 2014: 44.1%

19-25 Aug 2014: 41.4%

26 Aug-1 Sept 2014: 45.1%

2-8 Sept 2014: 45.3%

9-15 Sept 2014: 44.1%

Jan 2015: 44.0%

May 2015: 39.4%

(Source)

The most recent 3News/Reid Research Poll is no better for John Key. His PPM ranking has slipped again;

July 2015: 38.3%

From the rarified-atmosphere heights of 55.8% (2009), Key has dropped 17.5 percentage points in the Preferred Prime Minister rankings by July of this year.

Not referencing a polling company that Mediaworks has no contractual relationship with is, perhaps understandable, even if it means not presenting their audience with a full picture of New Zealand’s ever changing political environment.

But not referencing a polling company that Mediaworks is contractually bound with, and has previously used their results for several years? Especially when that polling company has recorded a massive fall in popularity for Key since 2009?

The only explanation for this strange over-sight of data is that it did not fit with The Nation’s narrative of a “hugely popular Prime Minister”. Otherwise, Owen and Gower would have had to completely change their interviewing tactics with Little and Shaw.

Perhaps this is one reason why Key’s popularity has “remained so high” – a reluctance by certain MSM not to reassess the narrative around our esteemed Dear Leader. In doing so, the perception of Key’s “high popularity” is artificially maintained, creating a perpetual, self-fulfilling scenario.

In part, this provides an answer why Key is so “hugely popular”. Because we are told it is so.

Tim Watkin Responds

When the issues raised in this story were put to The Nation’s producer, Tim Watkin, he generously took time  give his response;

“On your Roy Morgan critique:

Media organisations always refer to their own polling, not others. The Roy Morgan poll is well known as the most volatile. Indeed, to emphasise why we wouldn’t base a programme discussing the past year in politics around a single poll by another organisation, Radio New Zealand and no lesser poll-watcher than Colin James reported this in just the past few days: http://www.radionz.co.nz/news/political/284109/national-back-in-poll-position

Polls are about trends, as you know, not single results. So I’m afraid your “nothing could be further from the truth” couldn’t be much further from the truth.

On your quotes of Lisa, Paddy, Tracy and Guyon:

Looking at the 3News-Reid Research poll, National has been remarkably consistent since 2011. National is indeed at 47%, as those on the programme said. When Guyon mentioned 47% he was likely referring to RNZ’s poll of polls, which also has National at 47%. Labour is in the low 30s. So all the quotes you mention are absolutely correct. Paddy’s mention of John Key being unchanged I took to mean ‘still well ahead of you, Mr Little’.

On John Key’s numbers:

Though you’re changing the goalposts by switching from party numbers to personal numbers, you’re right that Key’s own preferred PM numbers are down and right to focus on the trend, rather than a single poll. But when you say a couple of times that we didn’t reference that, you have simply ignored our final couple of questions to Steve Joyce. We didn’t mention those numbers precisely, but the ones behind that, on honesty, capability, narrow-minded etc. We put to Joyce that Key was sliding, exactly as you argue. So your outrage at our pre-ordained narrative is somewhat misplaced, isn’t it? We raised the point that you say we didn’t.

Still, to take a step back, the thing about those numbers is that while trending down (as Lisa stressed with Joyce), they are still at a level any other politician in the country would give a limb for. So when you talk about “freefall” etc, I think you’re missing the big picture, which is how those numbers are a) so much higher than others, b) unusually high for a third term PM and c) have gone down before, only to bounce back up.

So there’s no agenda or telling people how to think; just a cold hard look at the trends.”

Appendix1

Acknowledgement: some quotes have been used from transcripts provided by The Nation, to this blogger.

Appendix2

Roy Morgan polling is conducted by calling  both landline and mobile telephones throughout New Zealand, and is the only polling company to do so.

.

.

.

References

The Nation: Steven Joyce interview

The Nation: Andrew Little interview

The Nation: Winston Peters

The Nation: James Shaw interview

The Nation: David Seymour

Wikipedia: 2014 General Election – Overall Results

Radio NZ: Labour, Greens support outstrips National

The Nation: The Panel discussion

Previous related blogposts

Mr Morgan phoned

Census, Surveys, and Cellphones (Part rua)

Census, Surveys, and Cellphones

The slow dismantling of a populist prime minister

The slow dismantling of a Prime Minister continues

Colmar Brunton-TV1 News – not giving us the complete picture

 

.

.

.

The people will believe what the media tells them to believe

.

This blogpost was first published on The Daily Blog on 20 September 2015.

.

.

= fs =

NZ Herald changes – For Real?

24 September 2015 1 comment

.

typewriter-bleed

.

The following two reports were posted on Radio NZ’s website within a few hours of each other on Friday 18 September (ignore the date given on one item; Updated at 2:39 pm on 20 August 2015).

The first item reported that “APN [parent company of the NZ Herald] plans to begin registration of visitors to its New Zealand Herald website before the end of the year, as the company’s profits fall“.

The article went on to outline how “The Australian-based APN News and Media – parent company of NZME which owns the Herald – has indicated it wants to charge customers for online content“.

.

NZ Herald to start digital registration of readers

.

The next item reported that some of NZ Herald’s most experienced columnists were being dumped;

.

High-profile NZ Herald jobs under review

 

.

Now call me old-fashioned, but it strikes me as a rather bizarre business strategy that, on the one hand, the owners will shortly be raising a paywall on NZ Herald’s on-line content, and demanding payment to read material…

… whilst on the other, they are cutting some of their most experienced contributing writers?!

How does that work?

Actually, it doesn’t.

Expecting consumers to pay for a product that the company owners are busily gutting is an insane proposition. Reducing the content of the paper, written by some of the most insightful, respected columnists in this country,  is a self-defeating policy. It will only achieve one thing; a reduction in quality leading to an eventual  loss of readership.

In commercial-speak: No sound business model can succeed if consumers are presented with a lower standard of quality of product.

In plain english: gutting a newspaper is bad business, and harmful to the democratic process.

This is not a solution, this is an ill-considered panic-move. As usual, it is workers who will pay for bad management decisions that any fool can see will not work.

.

.

.

References

Radio NZ: High-profile NZ Herald jobs under review

Radio NZ: NZ Herald to start digital registration of readers

Previous related blogposts

Pay Walls – the last gasp of a failed media business-model?

.

.

.

"WTF?!?!"

                                                   “WTF?!?!”

.

This blogpost was first published on The Daily Blog on 19 September 2015.

.

.

= fs =

Categories: Media Tags: ,

An unfortunate advertising placement, child poverty, and breathing air

2 September 2015 3 comments

 

.

mike hosking - simon collins - 300000 plus kiwi kids now in relative poverty - nz herald

.

I was reading Simon Collins’ piece on child poverty in the Herald, and a small advert caught my eye… (See image above)

I’m not sure if Mike Hosking wants to be associated with our mounting child poverty crisis. It’s simply not his style. More accurately, it makes people like him feel queasy and uncomfortable. Rich people don’t like feeling uncomfortable – that is what wealth is supposed to eliminate. It reminds Hosking, and others like him, that whilst he is enjoying their wealth, others are surviving their poverty.

That sticks in his mind, deep down, somewhere, in the places where his parents tried to instill values of fairness in him when he was a child. That makes him resentful.

That is why the affluent; the rich; the powerful; the Comfortable Classes,  hate the poor so much. Otherwise, why do they invest so much time writing so defensively and caustically, when a blogger like Chloe King airs her views, in defence of the poor and the powerless? What is Chloe King to them?

Why bother?

Because they feel guilty.

Especially when she reminds them why they should be feeling guilty.

When  Mike Hosking made his views on child poverty perfectly clear on 9 April;

“Children cost money. If you can’t afford it, don’t have them. It’s not hard.”

– he was in full vengeful retaliation mode.

This was Mike Hosking – mouthpiece for the Comfortable Class – sheeting blame for poverty to the victims who have to endure it.

It would be like the victims of the Great Depression being blamed for being out of work; no money; and relying on soup kitchens to survive each day.

Now, when I was young, growing up, we lived off my dad’s sole income; mum stayed home and herded us kids. Dad’s income paid for the mortgage, food, power (a bill once every two months!), fuel for the car (an American  gas-guzzling, noisy, metal beast that I swear was a reincarnated T29 Soviet tank  in a former life), insurance, doctor’s visits (medicine was free – remember that?), and even a camping holiday to Taupo or somesuch place. We weren’t rich by any means. But dad’s income was sufficient for the things that average Kiwi families enjoyed.

And funnily enough, we didn’t need mass consumerism or seven day shopping and other such nonsense to get by.

The point is this; not being able to “afford kids” is like telling someone they are not worthy to breathe the air or drink water.

When did an act of nature become dictated by the amount of money a person had? Especially in New Zealand – a country  once upon a time we thought to be egalitarian?!

If our fellow New Zealanders “can’t afford” to have children, I suggest it’s not the cost of having children that is the problem. It is the inadequart income being earned by New Zealanders that is the core problem (I refuse to call it an “issue”) here.

In his article, Simon Collins presented two charts showing the growth (or lack thereof) of incomes since 1982;

.

Table1

.

Table2.

Notice how incomes for the lowest paid have stayed low – even after Working for Familes was introduced in 2004? The lowest ten percent have moved from $15,400 to $17,700. Last year, they failed to be counted as Collins pointed out;

The report does not include figures for the poorest 10 per cent of households, who include most beneficiaries, because the names of benefits changed in 2013 and some beneficiaries appear to have reported only how much they received since the new benefit names were created, missing out their incomes for the first half of the 2013-14 year.

Very convenient for the government, no?

Meanwhile, the top ten percent have increased their income by fifty percent, from $50,200 in 1982 to $75,400, last year.

Let’s be clear here. When right-wing ‘pundits’ and cheerleaders for the rich deride the poor for having children, this is barely-coded moralism and victim-blaming.

It is attempting to paint the poor as suffering “deeply flawed character”, almost to a DNA-level.

In fact, many right-wingers openly refer to welfare recipients as “inter-generational”; the subtle nod to ‘bad DNA’ being made without recourse to the more clumsy eugenics policies of you-know-who.

By blaming the poor for the temerity to have children, the Right shift the blame and deflect attention from the real question; why are people so poor that they cannot afford to raise a family as we used to, before the advent of Rogernomics?

Is it because, since 1986, Baby Boomers have voted seven tax cuts for themselves?

Is it because, as taxes were cut, GST was introduced and increased, as was user-pays in areas such as education?

Is it because simple things like medicine has gone from being free – to five dollars for each item?

Is it because trade unions are no longer able to advocate for their members, and wages have not kept pace with productivity, as this chart from the New York Times showed for US workers (and most likely applies here as well)?

.

04reich-graphic-popup

.

Yes. All of the above, and more.

The next time a right winger is ranting on about the “breeding poor”, remember that what they are really trying to say is;

… it’s their fault they are poor; they are unfit humans. Their bank accounts prove it.

… it’s not my fault I’m paying less tax than my counterparts did, thirty years ago. I just voted for it.

… only the Comfortable Class should breed. For we are superior because we have the moral fortitude (and good genes) to make money and keep it.

… don’t bother me about the poor. I’m trying to enjoy my Beluga caviar and Bollingers, thank you, without being reminded…

Well, too bad.

We will continue to remind you.

Don’t choke on your bolly.

.

tumblr_m7dd68VOFK1qjc27fo1_500

 

.

Create a society that values material things above all else. Strip it of industry. Raise taxes for the poor and reduce them for the rich and for corporations. Prop up failed financial institutions with public money. Ask for more tax, while vastly reducing public services. Put adverts everywhere, regardless of people’s ability to afford the things they advertise. Allow the cost of food and housing to eclipse people’s ability to pay for them. Light blue touch paper.” –  Andrew Maxwell, Irish comedian

.

.

.

References

NZ Herald: 300,000+ Kiwi kids now in relative poverty

The Daily Blog: Now we got bad blood – being poor in a rich world

Newstalk ZB: Mike’s Editorial – The cost of a child

NY Times: Bill Marsh/The New York Times
Sources: Robert B. Reich, University of California, Berkeley; “The State of Working America” by the Economic Policy Institute; Thomas Piketty

Previous related blogposts

When the teflon is stripped away

Mike Hosking as TVNZ’s moderator for political debates?! WTF?!

Mike Hosking – Minister for War Propaganda?

.

.

.

hosking - National - flag - wanker

.

This blogpost was first published on The Daily Blog on 28 August 2015.

.

.

= fs =

Follow

Get every new post delivered to your Inbox.

Join 1,164 other followers