Where there’s voting, there’s a Deciding Vote
There’s a lot of focus on how much power Winston Peters (i.e. NZ First) currently has in coalition negotiations. He can choose which of Bill English or Jacinda Ardern is Prime Minister, and he’ll probably get some generous policy/baubles concessions from whichever one he chooses.
A lot of people seem to be saying it’s MMP that gives Winston this power. It’s obvious why people would say this: he’s had this power twice in our eight MMP elections, and he never had it under FPP. Still, I don’t think it’s the whole truth.
Rather, I think kingmakers/queenmakers (or, in general, people with a lot of power because they hold a deciding vote) are produced by the practice of making decisions by voting.
For example: in practice, the most contentious legislative matters in the United States of America are currently decided by one person: Supreme Court Associate Justice Anthony Kennedy. He was appointed by Reagan, but he’s more left-leaning than the other four Republican-appointed justices and more right-leaning than the four Democratic-appointed justices. So he’s often the deciding vote when the justices vote along broadly partisan lines. For example, he allowed same-sex marriage to be legalised, and he could also strike down partisan gerrymandering.
Of course, he’s not literally deciding by himself: it takes a majority vote to make a decision. However, where majority rules, whoever finds themselves in the position where they can tip the majority one way or another decides what the majority that rules is.
Of course, voting is not the only way things can be decided. In consensus-based decision-making, decisions are reached in much messier but more democratic and empowering ways. In dictatorship, decisions are made by one person or party, not because they find themselves at the centre of the people’s preferences like Winston or Anthony, but because because they’re in power and people are following them instead of resisting or supplanting them.
But when there’s voting (e.g. the votes that happen in Parliament, as well as the votes for who will be the members of Parliament in the first place), there is what we can call the “deciding vote”. And it’s inevitable that whoever holds the deciding vote has a lot of power: the people on either side of the decision can try to motivate them to vote the way they want. This is especially true when it’s clear who holds the deciding vote and when it’s concentrated in the hands of just one person or party (e.g. Kennedy or NZ First). But even when it’s unclear, parties from either side can still speculate about what the deciding voters are likely to want. This is why political parties try to win the centre over to supporting them.
What determines who has the deciding vote is who has a vote and how they’re willing to use it. Who’s made up their mind to support one side in a vote, who’s made up their mind to support the other side, and who’s undecided. A voter among the undecideds who can make or break a majority with their vote has the deciding vote.
Sometimes the deciding vote is held by just one party/person, and it gives that party/person a lot of power. For example, on the US Supreme Court, if four justices have decided to vote against gerrymandering and four have decided to vote for it, Anthony Kennedy has the deciding vote all by himself. But if four justices have decided to vote against gerrymandering and only one has decided to vote for it,1 the remaining four justices share the deciding vote among themselves: any of them can decide to kill gerrymandering.
The Deciding Vote in government formation: the King/Queenmaker
A “kingmaker”/”queenmaker” is someone who holds the deciding vote on who will be Prime Minister. If we directly elected our Prime Minister/government, the deciding vote would be held by members of the general public. It wouldn’t be clear who held it, and it wouldn’t be concentrated in one person’s/party’s hands.
But in parliamentary systems, we don’t elect a PM/government; we elect a Parliament. The members of Parliament elect a PM/government by voting to support the government in votes of confidence and, usually, supply.
So the deciding, king/queenmaking vote is held by an MP or some MPs. (This is the case in all parliamentary systems, not just MMP systems.)
In a way there’s always a king/queenmaker, because there’s always a deciding vote on who the Prime Minister will be. When one party wins a decisive victory in an election, they win the deciding vote, and they get to king/queenmake their own leader. In 1999 and 2002, Labour won the deciding vote; they got to decide how to make up a majority from among the Alliance, the Greens, and United Future. In 2008 and 2014, National won the deciding vote; they got to choose how to make up a majority from among ACT, United Future, and the Māori party.2
It’s only in close elections where neither the left nor the right wins a decisive victory (and when left and right parties aren’t willing to form a grand coalition) that the parties in the centre become king/queenmakers. They get to decide whether to create a centre-right majority or a centre-left majority. And they get to choose which of the two major parties will lead the government and provide the Prime minister.3 And I think I’m OK with that.
When the king/queenmaker is just one party, it gives that party a lot of power. E.g. NZ First currently, or in 1996.
When it’s a group of parties, the power they have is reduced by being shared and requiring coordinated action. For example, technically United Future, the Māori party, and NZ First were joint kingmakers in 2011: if all three had joined Labour and the Greens they could have made Phil Goff Prime Minister with a one-seat majority. But they weren’t willing to do that. Instead, two of them kingmade John Key.
Similarly, Winston is often referred to as the kingmaker in 2005, but technically to kingmake Don Brash, he would have had to bring the Māori party on board too. And that was not going to happen.
Why is NZ First currently the king/queenmaker?
Currently NZ First is the sole king/queenmaker. This is because of which parties won seats and who they’re willing to support in government. There are essentially only four parties, and three have essentially made up their minds which way to vote about who the Prime Minister should be. So that leaves the fourth party with a monopoly on the deciding vote.
It doesn’t have to be this way. Germany (whom we copied MMP from) also recently had an election, but they had six4 parties cross the line. If NZ had more parties represented in Parliament, the kingmaking power would be shared amongst various parties (e.g. TOP, Māori, or even the Conservatives might have been able to make or break governments). This is one reason I support eradicating the undemocratic 5% threshold. When the left, the right, and the centre are all dominated by one party each, those three are more likely to find themselves the sole king/queenmakers.
Germany also have more of a tradition of parties being willing to form coalitions across the left-right spectrum. Until this year’s election, Germany was governed by a grand coalition between their equivalents of National and Labour. But their equivalent of Labour have pulled their support. So now it looks like they’re going to have something roughly equivalent to a National-Conservative-UF-ACT-Green coalition to keep the Alternative for Germany (the closest thing to the Nazis in Germany since the Nazis) out of power.
If a “Teal Deal” was a real option in NZ, the deciding vote would be shared by NZ First and the Greens: Either of them could kingmake Bill English, or they could decide together to queenmake Jacinda Ardern. However, a Teal Deal isn’t a real option in NZ right now—for very good reasons. So NZ First are left as the sole king/queenmaker. (This is presumably why National supporters want to promote the possibility of a Teal Deal: to weaken Winston’s power, as well as Labour’s).
When a party with 0.22% of party votes was the kingmaker and nobody seemed to mind
It’s not often noted in these discussions, but actually even before this election, a minor party held the deciding vote. Moreover, it was a tiny party with only one MP (and 0.22% of the party vote at the previous election): United Future, aka Peter Dunne.
After National lost the Northland seat to Winston Peters in the 2015 by-election, National lost the deciding vote to Dunne.5 In practice, Dunne usually used his deciding vote to support the National-dominated government. However, on some matters he sided with the parties to his left. For example, he (and all other parties except National and ACT) supported Sue Moroney’s bill to extend paid parental leave to 26 weeks. Dunne’s vote was the 61st vote that allowed the bill to pass its second reading. However, then-Finance Minister Bill English implemented a financial veto to stop the bill becoming law. This means Dunne and the Māori Party effectively voted both for and against this bill: while voting for the bill, they were also voting to support the National government in confidence votes, and therefore allowing National its financial veto power.
When this power is a problem, and how it can be addressed
People generally don’t like it when the king/queenmaker is a small party (especially a small party they don’t like); they prefer it when it’s a big party (preferably the big party they like).
People rightly observe that the power of the deciding vote is disproportional to the level of support voters gave that party (whether it’s NZ First’s 186,706 party votes or Peter Dunne’s 5,286 party votes + 13,569 local votes).
This sometimes makes people dislike MMP itself. As I hope I’ve established by now, the deciding vote is not created by MMP: it’s created by the act of voting and distributed by particular voters’ choices. Nonetheless, when New Zealand used First Past the Post instead, we didn’t have this situation. Either National or Labour won the majority of seats every election from 1935 to 1993, even though they rarely won a majority of votes (National only got 35.05% of votes in our last FPP election).
FPP makes it more likely that the deciding vote is held by one of two major parties for one simple reason: because it stacks the deck in favour of major parties. FPP makes it very hard for smaller parties to gain representation: the only way is to earn pluralities of support in certain local constituencies (e.g. the Scottish National Party in most of Scotland, or Rātana in the Māori seats, until they joined Labour).
FPP still doesn’t make small-party king/queenmakers impossible. In Australia in 2010, Labor and the Liberal-National Coalition won 72 seats apiece, and the sole Green MP plus three independents queenmade Labor’s Julia Gillard.6 The same year in the UK, the Liberal Democrats were (technically) kingmakers, because if they’d banded together with some of the tiny parties, they could have kingmade Labour’s Gordon Brown. In 2017, the conservative Northern Irish party the Democratic Unionist Party (1.5% of seats, 0.9% of votes) queenmade Theresa May. They wouldn’t have kingmade Jeremy Corbyn, but nobody else was going to queenmake May, so if the DUP had refused also, a fresh election would have been required. Thus, they had a lot of leverage and won a lot of concessions from the Tories.
Moreover, FPP has other problems that, to my mind, outweigh the greater risk of a small party exercising disproportionate power when it finds itself with the deciding vote. Here are three pretty major problems:
- Under FPP, the party that wins the most votes doesn’t necessarily win the most seats. Labour got more votes than National in 1978 and 1981, but Robert Muldoon got to remain PM because National had a majority of seats. Similarly in the USA (where the electoral college votes work like Parliamentary seats in voting for the executive), the popular vote winner often doesn’t win: this is what gave George W. Bush and Donald Trump the presidency. Small parties may produce king/queenmakers we don’t like, but big parties produce PMs and presidents we don’t like, even when they only get a minority of votes.
- Under FPP, parties often receive a large proportion of votes, but few if any seats in Parliament. Again in 1978 and 1981, Social Credit won 16.1% and 20.7% of votes, but they only got one and two seats. In 1993, the Alliance got 18.21% of votes and only two seats. Similarly in Australia, for the last three elections their Green Party has got about 10% of votes but only one seat.6
- Under FPP, “swing states” or “swing electorates” often receive the vast majority of the attention and policy promises. This is most obvious in the US: in last year’s presidential election, 12 states received almost all the advertising and visits from candidates. The disproportionate power centrist constituencies hold is similar to the disproportionate power centrist parties receive when they find themselves with the deciding vote.
So solving the “Winston too likely to become kingmaker” problem by going back to FPP is undesirable for other reasons.
I would rather address the problem with an approach that’s desirable for other reasons: making MMP more genuinely proportional and democratic. We should eradicate the 5% threshold that lets National, Labour, and NZ First dominate the right, the left, and the centre. We should also introduce elements of preferential voting. Electorate votes should be selected by a Single Transferrable Vote, like city councillors are. And if we insist on keeping a party vote threshold, we should allow people to name a second choice, so if their first choice doesn’t make the cut, their vote won’t be wasted. These changes would make it more likely that NZ First would have to share the deciding vote with other parties in the centre. They would also make it easier for major parties to win the centre and the deciding vote, by giving them more support parties at the far ends of the political spectrum.
I’ve previously suggested that the Opportunities Party should devote their considerable resources to making MMP more democratic in these ways. Their dislike of Winston Peters and desire to strip him of his “monarch maker” powers is yet another reason for them to do so.
- Gorsuch, I assume, cos he’s a dick. Though, to be fair, he’s not the worst. ↑
- Shrewdly, they chose all three even though they only needed one or two, to ensure none of the three had too much power. If they’d just chosen ACT, that would have been enough for a majority, but if ACT ever considered voting against National, the deciding vote would have flipped into ACT’s hands. With three small support parties, all three of them would have had to decide to vote against National in order to seize the deciding vote. ↑
- Technically, it’s not impossible for a junior coalition partner to provide the Prime Minister. This happened in NZ in 1931: the third-biggest party, United, provided the Prime Minister, George Forbes, in their coalition government with the second-biggest party, Reform. This is a very different situation to our current Parliament, because United and Reform ran as a coalition (and eventually merged to form the National party). However, the United-Reform coalition was formed precisely because United, the kingmakers, broke away from Labour and united with Reform. In both governments, United kingmade their own leader as Prime Minister. Anyway, I’d be astonished if Winston will become PM in this case, despite what David Seymour might say. If either National or Labour/Green gave him the top job, the voters would severely punish them in three years. ↑
- Technically seven, but the Christian Democratic Union and the Christian Social Union of Bavaria are basically one party. ↑
- Technically Dunne shared the deciding vote with any other party willing to vote with National/ACT. But on questions where Dunne voted against National/ACT, it would have been unusual for Māori or NZ First to vote with them to give them a majority. I don’t know of any votes where this happened. ↑
- Australia doesn’t actually have FPP, but it does have single-seat constituencies in its lower house. They’re distributed via Single Transferrable Voting in each constituency. They almost always go to a candidate from either Labor or the Liberal/National coalition. STV doesn’t really help Green candidates get in, but it does ensure Green votes are redistributed to voters’ second choice (usually Labor candidates, it seems) instead of splitting the left vote and letting the Coalition win every time. ↑
I have undertaken cutting-edge statistical analysis of the Register of Pecuniary and Other Specified Interests of Members of Parliament, which has revealed some shocking information.
People of the following occupations are all extremely likely to own real property beyond the family home and Māori land interests:
Labour MP: 50%
National MP: 76.27%
Green MP: 50%
NZ First MP: 58.3% or 61.54%*
United Future MP: 100%
These rates are all extremely high – far higher than any ethnic or national group, for example. It is clear what we must do to curb property speculation and solve the housing crisis: Ban MPs from buying property in NZ.
*Info not available for new MP Ria Bond.
I’m a huge fan of minimum wage laws, which were introduced in NZ before any other nation-state, in 1894. Along with a good welfare safety net (remember when we had one of those? I don’t), they ensure employers can’t take advantage of prospective workers’ desperation to exploit their labour while paying them barely enough to survive, like upper classes have done for most of history and most of the world. They also put more money in the pockets of lower-income earners, which means more money circulating in the local economy, rather than the ‘trickle-down’ approach that directs more money to Swiss banks and Hawaiian holiday homes. All this is good for all workers, and good for society. As a Christian, I can’t help but agree that minimum wage laws as a necessary (though not sufficient) response to James 5:4-5, and enactment of Luke 6:20-21.
Employers and right-wingers often respond to the minimum wage (or proposed increases to it) in the same way they did to the abolition of slavery: countering that minimum wage laws end up hurting the people they mean to help, by making jobs unaffordable for employers, and therefore increasing unemployment. However, as the Sydney Morning Herald reports, most economists now agree that reasonable increases in the minimum wage don’t increase unemployment, and may even decrease it. They’ve found room in their theories to explain this, by observing that reality is more complex than their older models.
The SMH also offers plenty of real-life examples of minimum wage increases not increasing unemployment. New Zealand’s history, Treasury and Department of Labour corroborate this, as does recent US experience, various other research and this very rich man. The Living Wage movement adds evidence of employers actually getting more value for each wage dollar by paying employees better, as their staff are healthier, less likely to need long hours or second jobs, more loyal to their workplaces, better-motivated and often more productive. New Zealand has notoriously low productivity, so higher wages may help improve this.
If the old, baseless myths of minimum wages harming workers and employers are cast aside, there remains no economic or ethical justification for a minimum wage below a living wage, “the income necessary to provide workers and their families with the basic necessities of life” and “enable workers to live with dignity and to participate as active citizens in society.” The living wage is currently calculated at $18.80 per hour.
I thought it would be useful to survey the various political parties’ policies and past records on the minimum wage and/or Living Wage, to see what each of them may do if in power after September the 20th.
There’s some quite significant differences, which I’ve roughly quantified in scores out of ten for the sake of TL;DR readers who probably haven’t read this far anyway.
The parties on minimum wage
Alongside the below, please note that Bryan Bruce recently asked all parties “whether they would or would not support in principle the introduction of a living wage rather than a minimum wage.” “The Green Party, Labour, Mana, Maori Party. Alliance and Internet Party said Yes they would. ACT, United Future, Conservative Party, Democrats For Social Credit said No. NZ First gave no answer, while Bill English for National refused to answer saying the question was hypothetical.”
Policy: National typically don’t campaign on policy, and they have barely have any policy on their website compared to every other party – including nothing on the minimum wage. We can assume current trends will continue.
Past record: The 1990s National-led government was famously committed to lowering, not raising wages, due to similar beliefs to the minimum wage myths discussed above. They let it stagnate except when NZ First forced them to increase it in 1997 (nice graph here), and left it in 1999 at about 40% of the average wage. The current National-led government have done better; they’ve maintained it basically where Labour left it in 2008 – around 50% of average wage. They’ve increased it gradually, though much slower than the last Labour-led government – 18.75% in six years (just above inflation) compared to 71.43% in nine years (considerably above inflation; they also introduced Working for Families – see below). Their latest increase has been the highest – 50c to $14.25. They promote this a lot in their media releases. If their ‘status quo’ policy continues, it will further increase inequality, because it’s well out of step with economic growth.
National also re-introduced lower minimum wages for young and new employees, because of the minimum wage myth that it would increase youth employment. This bill passed with the support of ACT and United Future, with all other parties opposing.
Policy: Labour have a clear policy to “Increase the minimum wage by $2 an hour in our first year,to $15 an hour in our first hundred days in government, and increased [sic] again to $16.25 an hour in early 2015.” They will also “Set a target of returning the minimum wage to two-thirds of the average wage by the end of our second term, as economic conditions allow,” noting that the minimum wage “averaged around two-thirds of the average wage in the post-War period until the policies of Muldoon, followed by the neoliberal period, slashed it to just 40% of the average wage by 1999. The sixth Labour government brought it up to half of the average wage, but it has flat-lined since then.”
They also intend to reform employment law to be more in the interests of workers, and support the Living Wage movement in a number of ways: they’ll “Ensure that all core public service workers are paid at least the Living Wage, and extend this as fiscal conditions permit,” favour private sector firms who pay living wages, and “progressively address inequities in the pay of the publicly-funded aged care and disability care workforce and non-teaching staff in … schools.” The latter would be great for our huge numbers of hard-working, poorly-paid aged-care workers. Anecdotally, I’ve heard that government subsidies are currently not enough for rest homes to pay their staff a living wage.
Past record: While the fourth Labour government kick-started “the neoliberal period” they mention in their policy, the last (Clark) Labour-led government raised the minimum wage much faster than inflation, and much faster than the current National-led government, as mentioned. They also introduced Working for Families to top up sub-living wages with government subsidies – John Key called this “communism by stealth” at the time but now supports maintaining it rather than making employers pay more. They also passed a diluted version of Sue Bradford’s bill for youth to receive the same minimum wage as older adults, which National have essentially reversed (see above).
Policy: The Greens’ policy is to “increase the minimum wage and ensure it cannot fall below 66% of the average wage.” 66% of the average would translate to $17.16 as of a year ago, but as a friend pointed out, raising the minimum wage would also raise the average, so the final figure would be higher than that – it would take a smarter statistical mind than mine to give you a firm figure. The advantage of a relative measure is it deals with the material, absolute effects of inequality, as well as the material effects of poverty. Superannuation is indexed to average wages, and I think it’s a good idea for the minimum wage to be also. The Greens also say they are “committed to full employment with dignity and a living income, and reject the idea that economic stability requires either a significant level of unemployment or a low level of protection for those in the paid workforce.”
Past record: Former Green MP Sue Bradford led the charge for youth to receive the same minimum wage as adults, and the Labour-led government passed a version of this. Contrary to what right-wing bloggers and politicians say, it didn’t cause any adverse affect to youth employment; in fact it decreased youth inactivity.
Policy: Their policy is to raise the minimum wage to $16 “in the first instance.” It’s not clear what would happen next; Winston Peters has previously said that after an initial raise they will “then add margins for skill and good service,” which isn’t particularly clear either. This lack of clarity means I’ve given them a score below Labour’s, despite their increase being higher until April 2015. They’ll also make employment law better for workers, and reverse National’s policy of lower minimum wages for young workers, preferring a more constructive policy of “subsidizing wages for employers who take on young, unemployed people for trade training and skills programmes.”
Past record: In their confidence and supply agreement with Labour in 2005, NZ First asked Labour to “continue the practice of annually increasing the minimum wage, with a view to it being set at $12.00 per hour by the end of 2008,” which happened. Also, the only significant increase to the minimum wage in the 1990s National-led government was prompted by NZ First. All their media releases on the minimum wage advocate for raising it (or oppose reintroducing the youth rate), and in a speech to the Combined Trade Unions Peters boasts that “New Zealand First has supported every increase in the minimum wage.”
Policy: The policy section of their website hasn’t been updated for this election, and suggests raising the minimum wage to $16 as of 2011. More recently, they announced a policy of raising the minimum wage to the calculated living wage of $18.80. The Living Wage movement’s figure, which is updated each year, is based mostly on absolute measures. The advantage of this is that it deals with the material necessities of living a full life in society, can’t be written off as “merely relative” – though of course this writing-off misses the point spectacularly.
Past record: They haven’t let their role in National-led government blunt their criticism of its slow increases in the minimum wage, saying “The Government should be ashamed of themselves” for raising it a mere 25c to $13.75 in 2013. In the same release, they described “the increase in income inequality over the last 25 years as a major threat to our economic well-being and social cohesion,” and said “The Government should focus on reducing wage inequality by targeting high wages of excessively high income earners” as well as increasing the minimum wage.
Policy: Mana’s policy is to “Increase the minimum wage to $18.80 per hour (a living wage) and index it at 66% of the average wage to ensure it remains a living wage.” This combines the advantages of the Māori party policy (combating material deprivation by adopting a living wage) and the Green Party policy (combating the material affects of inequality and relative poverty by ensuring the minimum wage never goes below 66% of the average wage). Their economic justice, livelihoods and social wellbeing policies also include many other ways to “Raise the incomes of low-income earners,” including better protection for workers, working towards full employment by creating community service jobs for the unemployed, reversing National’s lower minimum wages for youth, finally increasing welfare support from the poverty-level it’s been at since 1991, abolishing GST which disproportionately impacts on the poor, and working towards a Universal Basic Income, as recommended by Gareth Morgan.
Past record: Mana is only three years old as a party, so their main past record has been advocating for the last three years for a higher minimum wage, and opposing the reduction of the minimum wage for young and new workers.
Policy: If ACT had their way, minimum wage laws would be “gone by lunchtime” (to quote their former leader on NZ’s nuclear-free stance). This is part of their welfare [or lack thereof] policy, which they note would be a continuation of the current government’s approach to welfare. It’s interesting that even though the minimum wage is not about benefits, but work, ACT lump it under welfare policy – presumably because it goes to poor people, not rich people.
Past record: All their releases on the minimum wage advocate for lowering it, oppose raising it, or oppose it altogether. They successfully lobbied National to have it lowered for young and new workers. They frequently repeat the minimum wage myths discussed above; that minimum wages are a “barrier to unemployment,” and that a “myth that minimum wages protect the poor.”
2/10: Seems to support the status quo, whatever that might be
Policy: The policy section of their website is in progress, and mostly still lists 2011 policy. I can’t find anything on their 2011 policy or even their media releases on minimum wage, except for saying they’d require “foreign charter vessels … compl[y] with New Zealand minimum wage laws and labour conditions,” which is a good and much-needed policy.
Past record: United Future have been confidence and supply partners of both the last National government and the last Labour government, and from what I can tell, they’ve supported what both their big sisters have done, despite the contradictions. This news report clarifies what I couldn’t find in their 2011 policy: they didn’t support a higher minimum wage last election (not sure about since). Last year, Peter Dunne’s one vote allowed National’s lower minimum wage for young and new workers to pass.
Policy: Their policies are still in progress, and I can find barely anything even being discussed on their policy forum and/or policy incubator – I found a few comments here, which aren’t too encouraging. Ironically, their media releases lack the basic internet feature of a search function, so I’m finding it hard to see if they’ve even mentioned the minimum wage anywhere (except for this release from Hone Harawira on behalf of Internet Mana). Perhaps the most solid statements they’ve made are one-off responses to questions: their affirmative response to Bryan Bruce’s Living Wage question above, Bruce’s other questions and #3-ranked candidate (#6 in Internet Mana) Miriam Pierard’s strong response to bFM on inequality.
Past record: Since they don’t even have policy yet, they certainly don’t have a past record. I suppose Kim Dotcom’s past record is worth mentioning; though here’s another perspective on it. In any case, while Dotcom does have a largely undefined “oversight” role, there are plenty of others involved in shaping policy: candidates, members and even to some extent the Mana party.
Policy: I only found one thing about the minimum wage on their website; it’s an undated response from Colin Craig to a reader’s question about the living wage and unions. Craig’s answer shows he believes in minimum wage myths as much as “tough on crime” myths, but it also clarifies his policy, which is to “increase the [non-existent] tax free threshold to $25,000” [now $20,000, and with an undefined flat tax after that] instead of raising the minimum wage.
A tax-free threshold would be great for low-income earners (and is one of the few policies the Conservatives have in common with Mana), but isn’t really a substitute for fairer wages. Quick calculations show if there was flat tax of 20% above $20,000, a minimum wage worker would end up with the equivalent of about $15.50 per hour on current tax rates (though presumably less public services). If it was 30% flat tax, they’d end up with the equivalent of $15/hr on current tax rates. If it was 40% (unlikely, given their low tax rhetoric), they’d end up with basically the same net wages as now.
Past record: I can’t find anything apart from the above.
Scores/10 according to me:
NZ First: 6.5
United Future: 2
EDIT (August 2015)
I’ve made a table showing how quickly the last three governments have raised the minimum wage.
In the last few days, many have noted National’s blatant self-interest in ignoring the Electoral Commission and maintaining the MMP status quo. The Commission suggested lowering the threshold to 4% and removing the “coat-tailing” exception, but National refused to do so because they wanted to continue having cups of tea with John Banks, Peter Dunne and (if needs be) Colin Craig. And now their chickens are coming home to roost with the Internet Mana strategic alliance. (In theory, the Conservatives and ACT could follow suit – but I’d argue there’s less common ground between Jamie Whyte and Colin Craig than between Kim Dotcom and Hone Harawira)
Certain Labour members (edit: though not Louisa Wall) are taking a far more critical view of coat-tailing and strategic use thereof. Many have (rightly) criticised Labour for being anti-strategic, anti-small-parties and anti-anyone-further-left-than-them. Some have also (wrongly) suggested they’re hypocrites for not consistently criticising “coat-tailers” on the left and right. In fact, they are consistently criticising coat-tailers – condemning both Epsom and the Internet Mana alliance as “rort[s] of the system,” “ruse[s]” and “scam[s],” and proposing to get rid of the rule that allows them.
So they’re not being inconsistent. But they are being hypocritical, by condemning coat-tailers in the first place – for at least four reasons.
They’ll no doubt say the difference is voters “genuinely liked” Jim Anderton (and their ex-buddy Peter Dunne), whereas Epsom voters only vote for the ACT candidate because they want to see his party represented. Perhaps this is true. But under First Past the Post, millions of voters across the country voted for Labour candidates not because they liked the candidate, but because they wanted to see the party represented. And still under MMP, many Green/Mana/etc supporters vote for Labour local candidates because they prefer a Labour local MP to the only other realistic alternative.
So they’re also hypocritical because they’re happy for Labour voters in Wigram or Green voters in Wellington Central to vote strategically for another party’s candidate, but not National voters in Epsom (or Labour voters in Te Tai Tokerau, for that matter).
Thirdly, they’re hypocritical because they call the “cup of tea” strategy a “rort” and in the very same press release endorse their own “reverse cup of tea” strategy: Labour voters voting for National’s Paul Goldsmith in Epsom. The only way this can possibly be ethically coherent is if they see all local seats as “rightfully” belonging to the same party that won the most party votes in that electorate (ie, always either National or Labour)… but in that case they’d have to give up most of their 22 electorate seats from the last election (some examples). And, of course, it would be pointless having a two-tick system if that was how it worked.
Lastly, they’re hypocritical because what is a political party but a strategic alliance of disparate factions and individuals, with some common purposes, banding together to pursue those purposes in elections and government? There’s at least as much diversity of views within Labour or National as there is between the Internet Party and Mana, and considerably more in-fighting (so far). But Labour have inherited a respectable and safe “major party” status that will never be described as an unholy “rort,” due the historical accident of being descended from a party that once represented the labour movement. This means that by condemning Internet Mana, they’re condemning a “sin” they’re not “tempted” by. Like National but unlike anyone else, they’ve never had to work doubly-hard for each vote, by first convincing potential voters a vote for them won’t be wasted. They’ve never had to resort to creative MMP strategies to provide this assurance. Blinding themselves to the privilege the system gives them, they blame the parties the system doesn’t privilege for taking the opportunities available to them.
Fixing the real problem
These days, Anderton is representing a dead fake building instead of Wigram, and Dunne is serving casinos instead of Clark… there’s no small parties left Labour actually likes. So, very nobly, they’re proposing to enact the Electoral Commission’s suggestions if elected.
But these high-minded condemnations and proposed solutions misdiagnose the problem entirely. The problem is that the threshold built into our MMP system stops it being truly proportional. It stacks the system against small and new parties, threatening to waste their votes and making them work far harder for them… thus creating the need and incentive for the so-called “rort” strategies.
That won’t change by getting rid of the coat-tailing exception, or even by lowering the threshold from 5% to 4%. We’d still have small parties banding together – only they’d be doing it to get across the 5% (or 4%) threshold, like the original Alliance. And we’d still have artificially skewed results – like the Labour voters who vote NZ First to make sure they get above 5% (or 4%), or the voters who shy away from small parties because they’re worried they won’t reach 5% (or 4%), often leading to a self-fulfilling prophecy.
The only way to stop disadvantaging small parties and incentivising “dodgy deals” is something neither National, Labour or the Electoral Commission suggest, but the most evidence-based/least reactionary submitters, international experts and bloggers across the political spectrum do: make MMP fully and straightforwardly proportional, by eradicating the threshold system that causes these problems in the first place. 1% of the votes, 1% of the seats – end of story. No need for the controversial coat-tailing exception, nobody’s vote robbed of effect because the party wasn’t big enough, and no need for creative strategies to negotiate coat-tailing versus wastage.
The Electoral Commission acknowledge that lowering or abolishing the threshold “would be a solution more consistent with the principle of proportionality that underpins the MMP system”… the only reason they won’t do it is because of a fear of a “proliferation of small parties.” Yes; you read that right; a supposedly independent commission are biased towards large parties, considering them “safer” than small parties; even though there’s no evidence high thresholds or few parties brings stability. And, of course, both big parties agree with them – neither of them suggest lowering the threshold below 4%.
The stupid thing is, at the moment we do have a proliferation of small parties; but we also have a proliferation of the strategies Labour condemns, because that’s basically the only way small and new parties can get in. If the Electoral Commission get their way, there may be less opportunities for small parties and their strategies, but (as they admit!) this would come at the cost of true proportionality. Is this anti-democratic knee-jerk response and anti-proportional threshold rule really worth it?
Even Christian Right radio have reported this.
So why are Stuff ignoring it?
Instead they’ve only reported their own poll the next day. The results showed a more modest leftward shift (National down 1.1%, Labour down 0.3%, Greens up 1.1%, NZ First down 0.4%). But the reporting emphasises Labour’s failure to increase its support, and National’s resilience to maintain its support! They also speculate about future woes for Labour, heap praise on the Conservative party and don’t mention the Greens’ rise.
Why does poll reporting matter? In 2011 we had the lowest election turn-out since the 1880s after the media told us constantly for 3 years that John Key was wildly popular and the election was a no-contest.
It’s been obvious for a while that Stuff loves John Key as much as Cut Your Hair
hates fundamentally disagrees with him. But you could have attributed that to an uncritical, stupid, lowest-common-denominator corporate ‘political’ media caring more for cults of personality than politics.
(PS: Even with their bias, Stuff seem quite critical of the GCSB bill, and their poll shows three-quarters of us are worried about it.
PPS: With one-seat majorities for such important legislation, the election definitely wasn’t a no-contest.)