Update

Update

Key Income-related Statistics

This information comes from the Budget Economic and Fiscal Update 2004.

Who Pays tax... and How Much

Individual Taxable
Income ($)

Number (000) and
Percentage of People

Tax Paid
($m)

%

Zero

176 6

0 0

1-10,000

499 17

320 2

10-20,000

986 33

2,420 12

20-30,000

349 12

1,610 8

30-40,000

326 11

2,230 11

40-50,000

241 8

2,320 12

50-60,000

137 5

1,770 9

60-70,000

103 3

1,710 8

70-100,000

127 4

2,920 14

100,000+

78 3

4,850 24

All

3,023 100

20,140 100

This table includes tax on NZ superannuation and major social welfare benefits, but excludes ACC and anyone who is under 15. Data are projected for the year ended June 2005.

Average Incomes

Average Individual Wage Earnings
Full-time earner*
Part-time earner

$
41,304
15,442

Average Family Gross Income**

Couple with children

Couple with no children

Sole parent

Single person

$

78,759

65,872

24,239

25,840

* Full-time earner works for more than 30 hours a week.

** Includes benefits and other non-wage income for year ended June 2005.

COGS Open for Applications

The Community Organisation Grants Scheme (COGS) is accepting applications for its 2004/05 funding round until 30 July. Established in 1986, COGS has made more than 40,000 grants, totalling almost $200 million, to community and voluntary groups around NZ.

Its 41 Local Distribution Committees, served entirely by volunteers, allocate $12 million a year to more than 3,000 community groups. The scheme enables grass-roots community and voluntary groups to pay their ongoing running costs such as rent, travel costs, volunteer and administration expenses, or host hui, fono or community workshops. Most grants are $3,000 or less.

This is the first year that COGS has set a national opening (1 June) and closing (30 July) date for all applications. In previous years, opening and closing dates differed across regions.

Applicants are encouraged to apply online through http://cogs.cdgo.govt.nz. Groups who have applied online previously will not have to re-register. If they have forgotten their user name or password they can email webmaster@cogs.cdgo.govt.nz, or phone COGS on 0800 824 824. COGS Online also contains an information guide and "frequently asked questions" page offering application advice. COGS is administered by the Community Development Group of the Department of Internal Affairs.

Winston Churchill Fellowships

NZers wanting to travel abroad to benefit this country are again invited to apply for Winston Churchill Fellowships. Since it was set up in 1965, the Winston Churchill Memorial Trust has helped more than 600 NZers, in as diverse occupations as entertainers, scientists, teachers and community workers, undertake research overseas. Britain's wartime Prime Minister Sir Winston Churchill strongly believed in people going overseas to develop a particular area of expertise, and returning to make a greater contribution to their community back home. Churchill Trusts also operate in the UK and Australia.

Churchill Fellows are granted up to 80 percent of their travel costs. They typically spend from three weeks to three months overseas. Past fellows have researched a vast range of topics. For example, Doug Drysdale, Principal at Bunnythorpe School in the Manawatu, compared professional development opportunities for rural school principals in Canada, Scotland, England and NZ. Jo Hume studied whether customers care about the sustainability of NZ's key exports, and Ian Platt looked at sustainable forest management in Baden-Wurttemberg, Germany.

Application forms for travel in 2005 can be obtained from the Winston Churchill Memorial Trust, administered by the Department of Internal Affairs, PO Box 805, Wellington, e-mail tanja.schutz@dia.govt.nz, or phone (04) 495 9431. Applications close on 31 July. For more information on the Winston Churchill Memorial Trust, see www.dia.govt.nz

Abortion Statistics: 2003

The general abortion rate (number of abortions per 1,000 women aged 15-44 years) rose from 20 in 2002 to 21 per 1,000 in 2003. There were 18,510 abortions performed in NZ during the December 2003 year, 1,130 or 6.5 percent more than in 2002.

The age group 20-24 years remains the most common age for abortions, accounting for about three out of 10 abortions in 2003. Women in this age group had the highest abortion rate of any age group (41.3 abortions per 1,000), followed by those aged 25-29 years (28.2 per 1,000) and teenagers aged 15-19 years (26.1 per 1,000). Over the last decade, abortion rates have increased for all age groups, though by varying amounts. The increases range from 40 percent for women aged 35-39 years, to 70 percent for women aged 20-24 years. The median age of women having an abortion has remained stable over the last decade, at around 25 years.

National Climate Summary - Autumn 2004

  • Summary. Autumn's climate was cooler than usual, especially in the west of the North Island from Northland to King Country, with average or below average rainfall over much of the country. However, rainfall was above average along the Southland coast. Soil moisture levels were lower than normal in Central Otago. It was sunny in the North Island, as well as in the east of the South Island. The climate patterns in autumn were dominated by more frequent southwesterlies in March, anticyclones ("highs") in April, and more frequent northeasterlies in May.
  • Temperature. The autumn national average temperature of 12.7°C was 0.6°C below normal, the lowest since 1997. Mean temperatures were below normal in many regions, and at least 1.0°C below normal in parts of Northland, Auckland, Waikato, and King Country. They were near normal in eastern Bay of Plenty, Gisborne, Hawke's Bay, Nelson, North Canterbury, Fiordland, and Central Otago.
  • Rainfall. Rainfall was below average in the far north, and the west of the North Island from Auckland to Wellington, as well as Tongariro/Ruapehu, Wairarapa, central Marlborough, and Fiordland. Above average rainfall occurred on the Southland coast.
  • Sunshine. Sunshine totals were above normal throughout much of the North Island, and the east of the South Island from Marlborough to Southland. Totals were below average in the west of the South Island from Buller to Fiordland.
  • Main Centres. Of the four main centres Wellington was the sunniest and Christchurch the driest. Rainfall was near average in Dunedin and below average in the other three centres. Temperatures were below average in all four centres. Sunshine hours were above normal in Wellington and Dunedin, and near normal in the other two main centres.

Information Source: National Institute of Water and Air (NIWA)

Landmark UK Smoking Study

Results from a very important study of male smokers have been published in the British Medical Journal. The findings come from a 50-year study involving 34,439 UK men (all doctors and all born between 1900 and 1930) which began in 1951 (when participants were each asked about their smoking habits). Researchers contacted them periodically over the next 50 years to see if those habits had changed. They also gathered information on those who died during the period. The average age of these men when they started smoking was 18. On average, they said they smoked around 18 cigarettes a day.

The main findings from the study are:

  • men who have never smoked lived, on average, 10 years longer than those who smoked for most of their lives;
  • men who smoked were at least twice as likely to die before the age of 70 as non-smokers; and
  • they were up to three times more likely to die before they were 90 compared with those who never took up the habit.

It was already known that about half of all persistent cigarette smokers are killed by their habit, a quarter while still in middle age (35-69 years). The biggest killers are cancer, heart disease and stroke. But the study also revealed that giving up cigarettes at any age has major health benefits. It found that men who had stopped smoking by the time they were 30 lived as long as those who never smoked. Those who quit at 40 lived just one year less than those who had never smoked. Those who stopped smoking at 50 added six years onto their lives, and those who stopped at 60 added an extra three years to their life.

Information Source: BBC

HIV Infections Rising ...

The number of people contracting the HIV infection that leads to AIDS is still rising in NZ. In the first three months of this year, 39 people were diagnosed with HIV. Last year, 154 people were diagnosed with HIV in NZ.

Thanks to "NewsRoom"

... and New Treatment Funded For HIV/AIDS

Pharmac has decided to give people with advanced HIV/AIDS access to a new fully-funded treatment, Kaletra, from 1 July 2004. Around 50 to 100 people will be prescribed this drug. About 600 NZers are prescribed subsidised treatments for HIV/AIDS.

Trucks Fail Brake Tests

Two-thirds of heavy vehicles are failing minimum brake standards in roadside tests carried out by the Land Transport Safety Authority (LTSA). The failure rate is up by a third since the first tests in 1998. The latest tests also found substandard brakes on more than eight out of 10 trailers - a situation the LTSA describes as "staggering". The LTSA is proposing two rule changes as one way of helping alleviate this issue. One change would see brakes tested while vehicles are loaded, and the other would require more hi-tech brakes on combination vehicles such as truck and trailer units.

Thanks to "NewsRoom"

New Supported Bail Programme

  • new supported bail programme is one part of a recently announced package of projects to improve residential services for young people. The pilot bail programme (costing $3 million over three years) will provide intensive community-based support and services, such as activity-based day programmes, for young people on remand for alleged offending, especially young people who are at high risk of breaching their bail conditions and being remanded into a custodial facility.

The pilot starts in January 2005 and will involve four providers in the first year (delivering services to 60 young people on remand) increasing to six providers in 2006 and 2007 (delivering services to 120 young people on remand each year). There will be a report-back to government Ministers on the scheme's effectiveness in December 2006.

New Disability Reference Group

As part of the Budget, the Office for Disability Issues has received an extra $390,000 per year to set up a disability reference group. The group will enable disabled people and their families to have a say about how the NZ Disability Strategy impacts on their lives.

Further details on the reference group will be available over the coming months at www.odi.govt.nz

Improved Access to Vocational Services

More streamlined funding aims to improve access for vocational services for disabled people. Many vocational service providers currently receive funding through service contracts. They also charge attendance fees which most people pay from their disability allowance. From 1 July 2005, WINZ will increase the service funding to providers so that the current services are maintained without the need to charge a fee. Payments out of the Disability Allowance will be stopped. Note: People who are living in residential care are not eligible to receive Disability Allowance for other costs, as these are part of residential care. The change is to be phased in over nine months, starting in September this year. During this time, service provider contracts will be re-negotiated. People's Disability Allowance will also be reassessed.

Older People Survey: Coping Without a Car

Older people are being surveyed on how they cope without private transport. Commissioned by the Office for Senior Citizens, the "Coping Without a Car" research is being conducted by the NZ Institute of Research on Ageing (NZiRA). The key questions being asked are:

  • how do older people who do not have access to private transport meet their transport needs; and
  • what are the factors that have helped older people without access to private transport meet their transport needs?

The research is based on over 75 interviews throughout NZ with individuals and couples living in private dwellings. They had no access to private transport for at least six months before they were approached for the research. A final report will be published and available from the Office for Senior Citizens in August this year.

Value of Community and Voluntary Sector to Economy

Funding for the collation of statistics, which will show the value of the community and voluntary sector to the economy, was announced in the Budget. This is because NZ does not have an official basis on which to measure the full value of non-profit organisations, and no systematic collection of information on volunteering and unpaid work.

The funding will enable Statistics NZ to develop two "satellite accounts" - one for non-profit organisations and one for households (satellite accounts provide in-depth analyses of parts of the economy that are not currently well described in the country's National Accounts):

  • the non-profit satellite account will provide a picture of the size, structure and revenue of the non-profit sector, including information on membership numbers, employment and volunteer input; and
  • the satellite account for households will add a picture of unpaid work and informal volunteering that takes place outside of non-profit organisations.

Having satellite accounts will enable NZ to join an international project run by John Hopkins University in the US, which compares data on the non-profit sector around the world. A local advisory committee will be set up later this year to oversee NZ's involvement in the project. It will take about two years to compile initial data, with additional information being added each year thereafter.

More Funding for Youth Development Programmes

As part of this year's Budget, $4.8 million, over 4 years, is going into youth development programmes administered by the Ministry of Youth Development (MYD). There are 153 programmes funded by MYD and delivered by community organisations throughout NZ. They help young people achieve success, find work or new education opportunities, and improve confidence and self-esteem.

The new funding will be directed to three types of programmes: the NZ Conservation Corps, the Youth Services Corps, and the Specialist Youth Service Corps. It will allow the programmes to:

  • address participants' special needs including counselling, drug and alcohol rehabilitation, literacy and numeracy issues;
  • buy safety equipment for all participants to meet OSH and Department of Conservation requirements;
  • recruit and retain quality programme supervisors; and
  • improve the case management of people participating in the Specialist Youth Service Corps.

Steep Rise in Complaints from International Students

There has been a steep rise in the number of complaints from international students since the introduction of a compulsory code of practice. The International Education Authority got 69 complaints in the first year the code operated, compared with 15 in the year before its introduction at the end of 2002. Most complaints involve disputes over student fee refunds.

Thanks to "NewsRoom"

CAB Service for International Students

The Citizens Advice Bureau recently opened an International Students Service Centre in Auckland. It is the first free, independent information service dedicated to international students in NZ. It is open to students of all ethnicities who can contact its trained Citizens Advice advisers by phone, email, or in person. The centre will also arrange workshops and clinics by specialist agencies in a range of languages. Private funding will support a three-month pilot of the service. CABAdmin, the collective of 10 Auckland City bureaux which administers the new service, hopes to secure additional funding to allow this new initiative to continue. If successful, this model could be used in other main centres to cater for the needs of international students.

Universities Fare Well in International Student Survey

International students attending NZ universities have responded more positively to a recent survey (done by Victoria University and prepared for the Ministry of Education) than their counterparts attending schools and private language schools. Specifically:

  • in the survey section on educational experiences and academic progress, tertiary students reported better progress and gave more favourable evaluations than secondary and private language students; and tertiary and private language students felt more positively about cultural inclusion than secondary students;
  • tertiary students rated their institution's facilities as good or excellent; and
  • in terms of "life satisfaction", students in language schools were less satisfied than those in secondary schools and tertiary institutions.

A further positive outcome for universities from the survey was that most international students from China planned to remain in NZ, rather than their home country, for further education at tertiary level. In general, survey students from Asian countries appeared relatively more concerned with education per se, obtaining good value for money and a high-quality education.

International Student Levy for Primary Schools

The international student levy for state primary schools is to rise from $600 to $900 per international student from 1 January 2005. This rise is to meet the increased costs of international students on taxpayer-funded school infrastructure and resources. Taxpayer spending on international students includes capital depreciation and maintenance of buildings, English for Speakers of Other Languages (ESOL) support, Education Review Office assessments of programmes for international students, and the costs of recruiting and training additional teachers.

The international student levy was introduced in 1992 as the means by which school boards reimburse the government for the money it spends on international students. The levy rate has not changed since 1998. International enrolments in primary schools rose 700 percent from 480 in 1997 to 3,846 in 2003; international enrolments in state secondary schools rose 119 percent from 3,853 to 8,447 over the same period.

Seven Thousand Primary Teachers to Receive Laptops

Additional government funding of $12 million will see some 7,000 primary school teachers receiving laptops, as part of the Laptops for Teachers scheme. All permanent, full-time primary teachers of Years 4 to 6 students in about 2,300 schools will be eligible for the laptops as a result of this funding. More than 17,000 principals and intermediate and secondary teachers throughout the country have already received laptops through the scheme. The scheme reimburses schools for two-thirds of the cost of leasing a laptop, with schools or teachers paying the remaining cost.

Teachers can register for the laptops through their school on the Ministry of Education website.

New Version of asTTle

A new version of the asTTle (Assessment Tools for Teaching and Learning) has been developed. AsTTle, first introduced to schools in 2002, tests what students have learned, against the rest of the class and against the rest of the country, and it then pinpoints what they should be learning next. AsTTle also gives parents and caregivers a much more accurate picture of how their child is doing early on.

The new multi-user version of the asTTle tool has the advantage that it can be networked across the school. At the push of a computer button all the teachers in the school will be able to see students' results and use them to track the progress and achievement of both individuals and groups of students. This version of asTTle will be in schools at the beginning of next year.

New Police Targets

The police are planning to hand out nearly 25 percent more speeding tickets next year, in a major clampdown on motorists. Their annual statement of intent sets a target of between 350,000 and 400,000 speeding tickets for next year. That is up from between 275,000 and 325,000 for this year. Police are also planning to increase the number of mobile breath tests on motorists to 900,000 next year. This year, between 700,000 and 800,000 drivers had breath tests carried out. The latest projection also sets a target of up to 70,000 penalties for not wearing seatbelts. Thanks to "NewsRoom"

Campaign: Raising Skill Levels in Four Industries

A joint government, business and union campaign to raise skill levels in four key industries targets tourism, furniture, retail and hospitality employers, and promotes the benefits of on-the-job training customised to meet their industry needs. It is being run under the banner of Skill NZ campaign which aims to lift participation in industry training from the 127,000 learning on-the job today to 150,000 trainees by 2005, and from there on to 250,000 trainees. Tailored brochures have been written for employers in each industry describing how the industry system works and the benefits of getting on board.

New Department of Building And Housing

The Ministry of Housing is to be expanded by transferring relevant functions from the Ministry of Economic Development, Department of Internal Affairs, and Ministry of Social Development. The expanded Ministry of Housing will be renamed the Department of Building and Housing. The reconfigured department will:

  • carry out the present work of the Ministry of Housing;
  • manage the administration of the Weathertight Homes Resolution Services Act 2002;
  • be responsible for administering the new Building Act (including absorbing the functions and employees of the Building Industry Authority) and the occupational licensing regulation associated with the building and housing sector;
  • administer the Retirement Villages legislation currently administered by the Ministry of Social Development and Ministry of Economic Development;
  • perform a range of other duties including regulation of housing standards, administration of the legislation around the fencing of swimming pools (currently with the Department of Internal Affairs), and Electrical Workers Licensing; and
  • provide policy advice to Government in relation to the dispute resolution and regulatory responsibilities.

The new department is expected to be in place by November 2004, with the transfer of functions to be carefully phased in over the next couple of years. The department will work closely with Housing NZ Corporation, which will retain its current responsibilities including leadership of the development and implementation of the NZ Housing Strategy. Staff will be offered continuing employment on their current terms and conditions of employment when functions move into the department.

The cabinet paper outlining this decision is available on www.ssc.govt.nz

Funding for Pastoral Lease Reviews

As part of Budget 2004, an extra $79 million is being put into the process of removing big tracts of South Island high country from pastoral leases, to create a network of wildland parks. Specifically, Land Information NZ will get up to $46 million for a fund to cover settlements with farmers who agree to sell part of their pastoral leases back to the Crown. In return, and in a process that is already underway, the leaseholders can buy the remaining and most productive land freehold, free of the restrictions under the current leases that have limited the land's use to grazing.

Over the next 4 years, LINZ will also get an extra $15 million to fund the tenure review process, which potentially involves about 300 farmers and more than two million hectares. The Conservation Department will get $18 million to administer the new conservation land. The tenure review started in 1998 and so far 30 deals have been negotiated. A third of the mainly high-altitude land has gone into the conservation estate and the remainder has been made freehold.

High-Country Purchase for Conservation Park

Almost 10,000 hectares of Clent Hills Station on the shores of Lake Heron have been purchased for the public. Clent Hills covers 12,181 hectares from the shores of Lake Heron, 76 km north-west of Ashburton, all the way to Mt Taylor on the summit of the Old Man Range. The purchase came from an initiative by three high-country farmers with properties around Clent Hills. They approached the Nature Heritage Fund with a proposal to work co-operatively to enhance the surrounding farms, while furthering conservation. Together, the farmers bought about one fifth of the station, notably the areas of it that are the most agriculturally valuable. The government agency that purchases conservation land, the Nature Heritage Fund, has paid $2.55 million for the remainder.

Getting Rid of Wilding Pines

The Department of Conservation (DOC) will launch a major assault on one of the largest weed problems in the South Island high country, wilding pines. A $718,000 a year increase in funding has been earmarked for the task. Although much of the new control would be focussed on conservation land, it is likely neighbouring farmers would also benefit. It is expected that DOC will seek to conduct wilding pine control on farmland neighbouring conservation land, where it has the permission of the landowner.

Wilding pines are a significant threat to regenerating forests and the tussock grasslands of the South Island High Country. The pines are long lived and can out-compete plant species in most environments enabling them to swiftly dominate open landscapes and ecosystems, completely altering their character (they can produce cones at between eight and thirteen years of age, and produce vast quantities of seed that can be dispersed for distances of over 10 km). Dense infestations of wilding pines can also reduce water yields from stream catchments, reduce the profitability of pastoral farming, and restrict access for recreation.

Community Grants Assist Resource Management Understanding

The Ministry for the Environment has given $250,000 to community groups throughout NZ to improve public involvement in resource management processes. Projects include regional community workshops on the Resource Management Act (RMA), funding for community advisers and educators, and the development of guides on landscape management and coastal development under the RMA. Ten projects have been allocated funding this year. The groups approved for funding to carry out local projects are Community Law Canterbury, Community Legal Advice Wanganui, Nelson Environment Centre, Ngatiwai Trust Board in Whangarei, Tairawhiti Community Law Centre in Gisborne and Tauranga Environment Centre. Groups funded to carry out national projects with a community focus are Environmental Defence Society and Royal Forest & Bird Protection Society of NZ.

Increased Funding For Treaty Negotiations

A further $1.2 million a year will be put into Treaty settlement negotiations. The government is currently in discussions with 25 claimant groups, and more groups are expected to join. Recent developments have seen negotiations commence with central North Island iwi Ngati Manawa and Ngati Whare, and mandates recognised for Te Arawa, Ngati Tuwharetoa and Moriori. The upcoming months will also see legislation introduced into the house for the Ngati Awa and Ngati Tuwharetoa (Bay of Plenty) settlements and work continuing towards finalising Deeds of Settlement for Ngati Mutunga and the Te Arawa lakes claims.

Varroa Research Gets SFF Fund Grant

MAF's Sustainable Farming Fund has approved the National Beekeepers' Association's application for bee research. This means that work will go ahead on:

  • organic methods of control;
  • ensuring current methods of control are continued;
  • scoping potential methods of biocontrol; and
  • some work on a breeding programme for varroa-resistant bees.

More Union Members

The number of NZers joining unions continues to rise, with membership increasing for the fourth year in a row, according to a survey by Victoria University's Industrial Relations Centre. About 342,000 NZ workers now belong to unions, a rise of 13 percent (or 39,000 people) over the four years to December 2003, ahead of a labour force growth of 11 percent for the same period. The increase in membership for the year ended December 2003 was two percent. The number of unions active in NZ has more than doubled since the Employment Relations Act (ERA) was passed in the year 2000, with more than 180 unions registered. The Centre calculates that 21.7 percent of wage and salary earners are union members.

Tourists Spend $16.5 Billion in 2003

According to Statistics NZ, tourism expenditure in NZ was $16.5 billion for the year ended March 2003, 5.8 percent higher than the tourism spending of $15.6 billion in 2002 (in the years ended March 2001 and 2000, tourists spent $15.1 billion and $13.7 billion, respectively).

Tourism expenditure includes spending in NZ by overseas visitors and by domestic household, business and government travellers. International tourism expenditure includes spending by international students studying in NZ for less than one year. The international visitor share of total tourism expenditure was 45.0 percent (or $7.4 billion) in 2003. Households accounted for 43.3 percent ($7.2 billion) and business and government travellers 11.7 percent ($1.9 billion).

Other tourism statistics for the March 2003 year show that:

  • tourism directly added $5.9 billion to the national coffers, which was 4.9 percent of the total industry contribution to NZ's gross domestic product (GDP);
  • when indirect flow-on effects are included, a further $5.6 billion was generated by industries supporting tourism (e.g., accommodation, transport, restaurants etc., and their suppliers);
  • around 104,000 full-time equivalent employees were directly engaged in producing the goods and services purchased by tourists; and
  • tourists paid $1.2 billion in GST on their purchases.

$2.7 Million More for Business Incubators

As part of the Incubator Support Programme, eleven business incubators have been given a combined $2.7 million funding boost, an increase of 50 percent over last year. The $2.7 million granted will be used to help cover incubators' operational costs and best practice initiatives. Incubators housing high-growth potential companies with export opportunities are targeted for support. Incubators typically provide workspace, support services, an intensive mentoring programme and access to capital for entrepreneurs and new businesses at the start-up and early stages of development.

Above-Average Growth Companies in NZ

NZ tops the list for the country with the highest proportion of above-average growth companies, according to Grant Thornton's International Business Owners Survey (IBOS) 2004. In NZ, 69 percent of companies have shown above-average growth in the past year, compared with 58 percent in countries such as Australia and Ireland, 57 percent in the UK, and 50 percent in the US and France. A group of Asia-Pacific countries follows NZ in the above-average league with Hong Kong scoring 67 percent, Taiwan and India 63 percent and Singapore 62 percent.

But...

But when it comes to "super growth"* companies, NZ is well outpointed by Sweden. Compared with a 15 percent global average, 24 percent of companies in Sweden are "super growth". Sweden is followed by the US (22 percent of companies), India (21 percent), the UK (20 percent) and Ireland (18 percent). In NZ, however, only 6 percent of NZ businesses are regarded as "super growth" companies (Grant Thornton sees getting more companies into the "super growth" category to be one of the main challenges that NZ business faces).

"Super growth" Characteristics

· Such companies are more likely to have more women involved in senior management than companies in general: 46 percent of "super growth" companies have two or more women in the senior management team, compared with a 34 percent among companies as a whole.

· "Super growth" companies are much more likely to improve performance by a merger or acquisition than companies in general (56 percent compared to 34 percent). They are also more likely to increase marketing spend and invest in technology.

· These companies appear to get paid quicker with the average sales invoice payment period dropping from 46 days for companies as a whole to 42 days. They also feel more constrained by red tape than companies in general.

* Note: "Super growth" companies are defined as those which have grown considerably more than the average. To identify "super growth" companies, four indicators were used to create a weighted index. The four indicators were: absolute growth in turnover (adjusted for inflation); the percentage growth in turnover (adjusted for inflation); absolute growth in employee numbers; and the percentage growth in employee numbers. By this measure, 15 percent of all medium sized companies worldwide are "super growth".

Grant Thornton release, 7 June

World's Priciest Cities

According to CNN, the weak American dollar and strong European and Asian currencies helped make Tokyo and London the most expensive cities in the world. American cities were absent from the top 10, with the most expensive US city, New York, dropping two spots from last year to 12. Moscow ranked in third place, with Osaka, Japan, and Hong Kong rounding out the top five most expensive cities. The twice-yearly survey of 144 urban areas, ranks cost of living for foreign workers, not local residents, and is used primarily by multinational companies to determine pay for US expatriate employees. One notable result was the climb of Australian and NZ cities up the list, a shift caused by those nations' strong currencies. Sydney moved from 67 last year to 20 this year, and Auckland climbed 35 places to 80.

Restructuring the Transport Sector

Big changes are being made to the government transport sector. The policy functions of the Land Transport Safety Authority (LTSA) and Transfund will be transferred into the Ministry of Transport. The operational functions of LTSA and Transfund will be brought together in a new agency. In particular, the safety programme and national land transport programme will be integrated. The relationship between the LTSA and its various service agents will be unchanged following the LTSA's operational responsibilities being transferred to the new agency.

There will be no change to the safety and regulatory roles of the Maritime Safety Authority (MSA), the Transport Accident Investigation Commission (TAIC) and the Civil Aviation Authority (CAA), including the Aviation Security Service (AvSec). There will be no big changes for Transit. There are expected to be very few redundancies as a result of these changes. Legislation will be needed to effect some of the changes and will be introduced later this year.

More Funding for Securities Commission ...

The Securities Commission received a Budget cash injection of $6 million over four years, to increase the commission's capacity to carry out surveillance of the market participants and securities exchanges. The funding also anticipates the commission's expanded role in policing re-vamped insider trading, market manipulation and investment advisor disclosure laws in the forthcoming Securities Trading Law Reform Bill, scheduled for introduction to the House later this year.

... and For Accounting Standards Review Board

The 2004 Budget gives a $1.09 million boost, over four years, to the Accounting Standards Review Board to help NZ develop and adopt international accounting standards. The Government says that adopting international standards will ensure NZ is perceived as complying with international best practice, and will provide an important signal to the investment community that this country has efficient and effective capital markets. NZ is currently in the process of adopting international accounting standards, and entities will be required to report in accordance with the international standards for periods starting from 1 January 2007, with optional compliance from 1 January 2005.

Parole Board Under Review

The Parole Board could soon have to reveal its reasons for allowing offenders out on parole in a bid to increase transparency. The Justice Minister says a review is underway looking at the issues around home detention and how to make the Parole Board more accountable for its decisions. The review will examine the Parole Board's procedures and processes, and if necessary, legislative changes will be made. It will also look at who should decide whether home detention is appropriate.

Thanks to "NewsRoom"

More Australia/NZ Co-operation: Competition and Consumer Protection

The Productivity Commission is to examine the potential for greater co-operation, coordination and integration of the general competition and consumer protection systems in Australia and NZ. The research study will look at the core restrictive trade practices and consumer protection provisions of Australia's Trade Practices Act 1974, NZ's Commerce Act 1986 and Fair Trading Act 1986, and the associated institutions on both sides of the Tasman. It does not include industry-specific regimes such as telecommunications or electricity.

The Productivity Commission has been asked to consult widely with interested parties on both sides of the Tasman and to report to both Governments within six months. However, the outcomes of the study will not bind either government. Any subsequent changes to policy following the study will require a separate process in each country, which would include a further round of consultation with interested parties in each country.

False Claims Breach Fair Trading Act

The Commerce Commission is reminding traders that falsely claiming membership or approval of a trade organisation is a breach of the Fair Trading Act. Green Acres Trade Service Limited, a major franchising group offering a range of home services, has acknowledged its advertising, in both the Wellington and Auckland editions of the Yellow Pages, breached the Fair Trading Act by being liable to mislead the public into believing it was a member of the Electrical Contractors Association of NZ Inc (ECANZ) when this was not the case. In a settlement with the Commission, Green Acres has agreed to publish public notices in the Dominion Post and NZ Herald apologising for any misunderstanding which the advertisements may have caused to members of the public.

The advertising, which promoted electrical services offered by Green Acres, featured ECAN's registered "ME Master Electrician" and "Safepower Assured and roundel device" trademarks. Green Acres was not a member of ECANZ and was not entitled to use the trademarks when the advertisements were placed, nor at any subsequent time during which the two editions of the Yellow Pages were valid.

Air NZ to Buy New Longhaul Fleet

Air NZ has announced it has entered a $1.4 billion deal with Boeing for a new fleet of long-haul aircraft. It is to buy four eight Boeing 777 200-ER passenger aircraft and lease another four, with the first five aircraft to be delivered between next September and April 2006. Air NZ will also buy two new generation Boeing 7E7 aircraft. The deal will require shareholder approval. Thanks to "NewsRoom"

Charities Commission Applicants

The Ministry of Economic Development has received about 380 applications from experienced and qualified candidates for the inaugural Charities Commission Board. It's expected the Commissioners will be appointed after the Charities Bill has been passed into law, sometime towards the end of 2004.

NZ's Growing Ballet Audience

The Royal NZ Ballet, in its 2003 annual report, has reported a huge jump in ballet attendance (a 38 percent increase in audience numbers from the previous year). It presented three main productions in 2003: NZ Post Tutus on Tour, The Meridian Energy Season of Romeo and Juliet and The Lotto Season of Peter Pan. The company also starred in The Montana World of Wearable Art Awards. In total there were:

  • 131 performances (2002: 81) in 51 centres;
  • 126,000 attendees at performances (2002: 91,000);
  • 7,000 attendees at 75 educational activities (2002: 2,400 / 54); and
  • 91,000 attendees at five exhibitions on the Royal NZ Ballet.

The Royal NZ Ballet's turnover in 2003 was $7.3 million. Of that government funding accounted for 38 percent; sponsorship, 16 percent; and box office takings, 42 percent. It posted an operating surplus of $400,000, and carries $1.2 million as reserves into 2004.

New Grants for Elite Athletes

A new grants system, "Performance Enhancement Grants" will help elite athletes to meet living costs while they concentrate on excelling in sport. The scheme starts in September and will roll out over four years. It will initially focus on internationally ranked athletes and expand over subsequent years. The NZ Academy of Sport will finalise the details of the eligibility criteria and rollout with national sports organisations over the coming months. Eligibility for grants will be subject to regular reviews based on continuing performance, including performance at key international events.

The grants are worth $11.75 million over four years. Decisions about the size of the grants and how many athletes will benefit will be made later in the year. The new performance enhancement grants scheme will be administered by the NZ Academy of Sport, SPARC's high performance network.

First Mobile Phone Virus Found

The first ever computer virus to infect mobile phones has been discovered. The "Cabir" virus infects the operating system used in several mobile phones, notably Nokia phones, and is passed on using Bluetooth wireless technology. Bluetooth wireless phones use a short-range radio link to connect with electronic devices, or other phones with the same technology nearby. Vodafone says although there are phones in NZ with Bluetooth technology, the virus has not arrived here. It was first discovered by anti-virus software developers in France. Anti-virus experts have been warning that mobile phone viruses are set to multiply, given the increasingly diverse uses of mobile phones.

Thanks to "NewsRoom"

Military Spending Near Cold War Peak

Military spending increased by 11 percent around the world in 2003, surging to US$956 billion, nearly half of it for US operations in Iraq, Afghanistan and the "War on Terror". The amount was up 18 percent from 2001. It accounted for 2.7 percent of the global gross domestic product, said the Stockholm International Peace Research Institute, and was very close to the Cold War peak in 1987. The US led the world in defense spending, accounting for 47 percent of the total, followed by Japan with five percent and Britain, France and China, with four percent each.

Thanks to "NewsRoom"

Previous PageTable Of ContentsNext Page

Contact for Enquiries

The Ministry of Agriculture and Forestry
Pastoral House
25 The Terrace
PO Box 2526, Wellington

Tel: 0800 00 83 33
Fax: +64 4 894 0720
Contact this person

 
Print this page Print this page




WebSite survey