Category: Business

Source: Radio New Zealand

The managers of the country’s $86 billion Super Fund failed to properly address human rights issues when considering whether to exclude companies from its investments, the High Court has found

Justice Simon Mount granted an application by the Palestine Solidarity Network Aotearoa (PSNA) for judicial review of Guardians of New Zealand Superannuation’s policies relating to ethical investment.

In a decision released Thursday, Justice Mount declared part of the fund’s policy documents, standards and procedures, and its sustainable investment framework were “unreasonable and unlawful”.

The court also ordered the crown entity to pay PSNA’s legal costs.

The sovereign wealth fund was created in 2001 to partially provide for New Zealander’s superannuation costs.

By law Guardians are required to invest the fund’s on a prudent commercial basis, manage and administer the fund with best-practice portfolio management, and avoid prejudice to New Zealand’s reputation as “a responsible member of the world community”.

That last duty formed the backbone of the case taken by PSNA, who have long lobbied the Guardians to divest from companies it claims to be complicit in human rights abuses in the occupied Palestinian territories.

The Guardians excluded development, construction and technology companies involved in settlements in the occupied territories in 2012.

In 2021, following years of lobbying by PSNA, the Guardians also excluded five Israeli banks from its portfolio on the grounds there was an unacceptable risk the banks were materially contributing to breaches of human rights standards and that engaging with the banks themselves was unlikely to be effective.

PSNA continued to request the exclusion of other investments on the grounds of alleged human rights breaches and focused on four companies that featured on a United Nations Human Rights Council database identifying companies trading with illegal Israeli settlements – Airbnb, Booking.com, Expedia, and Motorola.

Justice Mount said the chief executive of the Guardians replied to the group in mid-2024 noting none of the companies “currently meets the exclusion threshold under our Sustainable Investment Framework”.

In later correspondence the Guardians’ Head of Sustainable Investment reiterated that stance, which led PSNA to indicate it would seek the judicial review.

The judge noted the Guardian’s approach to making decisions to exclude investments was not “entirely coherent” and the policies failed to meet the basic requirements of the law that created the fund when it came to excluding investments where an alleged breach of human rights standards was concerned.

Justice Mount said the Guardians had a duty to reformulate its policy documents to be consistent with the Act.

Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

New data shows buyers are cautious around the country, but sellers in a number of suburbs face a particular struggle to sell.

Cotality data shows that sellers in Kihikihi, Waipa, are waiting a median 50.5 days to sell their properties, up from a one-year average of 45.

Second-slowest was Te Kauwhata, Waikato, where properties took a median 46.5 days to change hands, but that was down from an average 73 over the past year.

Third was Omokoroa, Western Bay of Plenty, at 45 days down from an average 78 over the past year.

Te Atatu South and Karaka were the only Auckland suburbs featured in the top ten, taking 39 and 38 days, respectively. Karaka had taken an average 75 days over the past year.

It comes as Real Estate Institute (REINZ) data shows a seasonally adjusted dip in activity in March and a median days to sell across the country of 41, the same as a year earlier.

At a regional rather than suburb level, Canterbury had its highest median days to sell since 2011 according to REINZ data, at 38. Waikato was the highest since 2013 at 47.

But Nelson and Southland had their lowest since 2011.

Northland had the highest regional wait time to sell, at 53, followed by Gisborne at 51.

REINZ chief executive Lizzy Ryley said buyers were active but more measured as they considered the impact of pressure on fuel prices due to war in the Middle East.

“I think towards the end of the month when people started to think about the length of this conflict and the fuel prices, we just started to see a bit of caution.

“Our members across the country started to talk about a bit of caution, but certainly the numbers look like the market’s holding its nerve.”

The median national sales price eased by 0.3 percent year-on-year to $788,000.

Excluding Auckland, it lifted 1.4 percent to $710,000.

The house price index, a measure that smoothes fluctuations caused by the type of properties selling, was down slightly over the month and 14.9 percent below the peak.

Ryley said what happened to the market from here would depend a lot on external factors.

“When you look back at the previous wars, like the Gulf War … obviously there’s a whole lot of other factors that go into anything when you’re looking at a market, but it seemed that from what we could see looking back, that the housing market sort of just continued its stable trajectory.

“It didn’t seem to affect the housing market. Now, this seems to be a bit more of a potential energy crisis, which has its flow on impacts, and so we don’t necessarily know if that will in fact impact the property market.

“I think it’s a watching brief and our members across the country, they’re obviously like everybody in New Zealand, watching to see what happens with these talks, whether it’s starting to look like it might ease, but it’s all about the length of time this goes on.”

She said new listing numbers were stable and increased in seven of the 15 regions that REINZ tracks.

She said the market had been relatively stable ever since the trough after the Covid peak.

“The last two, three years … some areas of the country doing better than others. Nothing much increasing dramatically.

“It’s pretty good market for the first time home house buyer … More challenging for owner occupiers, some of whom still focus on, maybe they bought at the peak and then had that 15 percent drop. But since then, it’s pretty much stabilised.”

Sign up for Money with Susan Edmunds, a weekly newsletter covering all the things that affect how we make, spend and invest money

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

The fuel price crisis “is no longer a short-term situation” for airlines while the government is promising to hold oil companies accountable.

The Board of Airline Representatives chief executive Cath O’Brien told Morning Report that New Zealand does not have a supply problem, it has a price problem as uncertainty in the Middle East continues to spike all fuel costs and disruptions to air travel.

She said airlines that fly to New Zealand are very committed to the market, but hard decisions will have to be made where route profitability is unsuccessful, or if demand drops away.

“This is certainly no longer a short term situation,” O’Brien said. “We are starting to see this fuel price as something that is going to be quite elevated for quite a long time.”

On Wednesday the latest government update showed that fuel supplies in New Zealand dropped by three or four days across each type but remained stable.

O’Brien said cutting routes was “among the last things” that the airlines wanted to do but difficult decisions would have to be made as this was now an ongoing issue.

“Airlines could reduce services, frequencies, they could hypothetically come off routes. I don’t really see that I think airlines will do all they can to actually stay connected to New Zealand, that’s really what we’re in the business of.”

At the end of last month, a Jetstar NZ spokesperson said 12 percent of scheduled services had been impacted, including some services between Auckland and Christchurch as well as Auckland and Wellington, and some international flights between Auckland and Sydney and Auckland and Brisbane.

Air New Zealand also earlier said that it would cancel around 1100 flights from early March through until early May, but that most passengers would be moved to flights on the same day.

On Tuesday ABC reported Quantas also announced it will cut domestic flights due to higher fuel costs and the uncertainty of the Middle East war, with as much as AU$800 million (NZ$966m) in extra fuel costs.

O’Brien said it was difficult to predict what ticket prices were going to be in the future as it was also difficult to predict the costs of Jet fuel.

“I think it is reasonable to say that we’ve already seen some price increase in ticketing, and it is likely that we will see more of the same.”

She said airlines are coming into the period where they are planning their routes for 2027 and will be doing this in the knowledge that fuel prices are potentially going to be 100 percent higher.

O’Brien had worked through the Covid period as well and said the current fuel crisis presents one or two main issues, whereas Covid had multiple.

“In New Zealand we do not have a supply problem for jet fuel we have availability of supply here and out into the future months, but we do have a price problem for fuels not just jet fuel.

And I think that is the problem that we are going to have to manage is the price issue.”

‘Continuous price problem’- Shane Jones

Associate Energy Minister Shane Jones told Morning Report that the main issue was with the cost of fuel and it was going to be a “continuous price problem”.

The latest fuel stock figures – accurate to midday Sunday – showed 56.3 total days of petrol, 45.4 days of diesel, and 47.0 days of jet fuel either in country or expected to arrive in the next three weeks.

That was down from the 59.7 days of petrol, 49.1 days of diesel and 50.7 days of jet fuel reported on Monday – which was also a decrease.

Jones said that in 2024, oil companies pledged New Zealand would not suffer any major crisis because of an absence of fuel and the government would hold them accountable.

“If they do not obey and maintain the law, the punitive fiscal costs on them are enormous.”

He said the government had put money forward for additional storage capacity which will come online at Marsden Point in about four or five weeks at the end of May.

“So it’s really important for the credibility of these major players, one of them is an Australian listed company, Ampol, that they abide by their word, because the public has a great deal of trust invested in the system.”

He said while the issue was mainly with the cost of fuel, the government had explored the options for the Crown to work with the import companies and bring “more molecules” to New Zealand.

Jones said the government was working closely with Australian advisers and politicians and the Prime Minister has been in “regular contact” with leaders in Singapore as part of the fuel response.

He believed the government was doing all they can.

“I do genuinely believe that we’ve left no stone unturned… And I’ve seen no information that would cause me to believe that the actions of the fuel companies means that they are failing their statutory test.”

Prime Minister Chris Luxon said on Wednesday that fuel importers were continuing to report “no material issues with future orders or future shipments”, and the government had reassurances about orders to the end of May, as well as planned orders through to end of June.

“We are staying at phase 1 of the national fuel response plan, but the ceasefire is fragile and the Strait of Hormuz remains effectively closed, so the risks to New Zealand’s fuel security is still elevated.”

Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

The New Zealand founded but US based footwear company Allbirds is to make a surprising pivot from shoes into AI computing.

The Nasdaq listed company once valued at over (US)$4 billion announced this month it was selling its intellectual property and other assets to a private firm, American Exchange Group for (US)$39 million.

In a statement on Thursday, the company said it was now going to focus on AI under the name of NewBird AI.

The company also announced a deal to raise up to (US)$50 million in funding to carry out the new strategy.

It said it expected to use the money to acquire AI computing assets and serve customers needing dedicated access to AI computing services.

Shares in the company surged on the news, from around $3 a share to $18 giving the company a market value of around (US)$160 million.

Allbirds, known for its merino wool sneakers, was founded in 2015 by former All White Tim Brown and Joey Zwillinger, and listed on the Nasdaq in 2021.

Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

KiwiSaver funds are likely to invest more money in private assets over the coming years, the Financial Markets Authority (FMA) says.

It has released a new report which looks at how the managed fund sector is approaching private investments.

Private investment refers to investments that are not traded on public markets.

It is something that has been discussed increasingly in recent years. Last year, Commerce and Consumer Affairs Minister Andrew Bayley said more KiwiSaver schemes investing in private assets would bring “substantial benefits” for New Zealand – although not every fund manager was convinced.

The FMA said seven managers reported investing in private assets and most held them both directly and indirectly.

“Direct investments make up the majority of investment value, with respondents disclosing over $1 billion in private assets, more than double the value of indirect investments, or third-party private assets. However, fewer respondents invest directly in private asset investments than indirect private asset investments.”

Private equity, private debt and real estate equity were the most common directly held private investments.

Real estate equity was the largest investment, in terms of value.

The FMA said where private assets were held in retail funds, they accounted for less than 5 percent of assets under management, on average.

But most KiwiSaver providers planned to increase their allocations to private assets over the next three years.

John Horner, director of markets, investors and reporting at the FMA, said the findings confirmed the global trend towards more private asset investment was likely to happen in New Zealand too.

He said it was not necessarily going to lead to higher returns but over time should be positive for investors.

“It’s going to expose them to a greater range of options when it comes to investing in assets generally.”

He said other countries had more exposure already.

“I think Australia would be the logical comparative and they’ve got a much larger pool of funds for the superannuation regime and significantly more money invested in private assets as a proportion of overall holdings. I think it’s closer to the 15 to 20 percent range.”

Horner said it would create challenges for managers because they would need systems to provide regular valuations of their investment assets for KiwiSaver members who could withdraw or move their money at any time.

“It raises different challenges to investing in public markets where you can buy and sell and see a valuation for a particular security at any particular time.”

He said while investors might not notice a lot of difference if their managers were increasing their investments in private assets, it would be good for them to take an interest in what their fund managers were investing in and how risks were being managed.

“We’d really encourage those investors to ask questions so that they get comfortable with the information that’s being provided.”

Sign up for Money with Susan Edmunds, a weekly newsletter covering all the things that affect how we make, spend and invest money.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

Owners of Ford plug-in hybrid vehicles that currently cannot be fully charged should ask for a refund or compensation if the problem is not fixed soon, Consumer NZ says.

Ford has contacted owners of some Escape PHEVs about a battery issue that could be a fire hazard if the vehicles were fully charged.

“A manufacturing defect in one or more of the vehicle’s high voltage battery cells may cause the cell to develop an internal short circuit. Ford globally has had no incidents reported and the batteries we’ve checked, again globally, less than 1 percent have shown it to even be a potential issue.

“In NZ, we’ve had no known incidents and no batteries have yet been found to have the issue in question.

“However, as an added safety precaution, Ford has asked customers to limit the charging to 80 percent and drive in auto EV mode only. This is not a ‘stop drive’ issue.”

Consumer NZ communications and campaign manager Jessica Walker said it was a frustrating time for people who owned the cars during a period of high petrol prices.

“Under the Consumer Guarantees Act (CGA), goods – including cars – must be of acceptable quality and fit for purpose. If Ford has advised some of their hybrid cars should not be fully charged and should only driven in auto EV mode, we think these guarantees will have been breached.

“This means consumers could be entitled to a remedy under the CGA. If the problem can be remedied, the retailer can choose whether to repair, replace or refund a customer and must do so within a reasonable time.

Walker said if Ford failed to provide a solution soon, customers should be entitled to reject their cars and request a full refund – or compensation to reflect the reduction in the car’s value.

“They can also claim back any additional costs they incur as a result of the defect. For example, if they incur additional fuel costs, they could ask the retailer to cover these costs.

“If Ford fails to assist, we recommend customers consider lodging a claim at the Motor Vehicle Disputes Tribunal.”

A Ford spokesperson said the estimated EV-only range of the Escape PHEVs affected was 52km, and reducing the charge to 80 percent would limit that to 41.6km.

“If using fuel for that 10.4 kms, they’d be using approximately 0.73 to 1.06 litres depending on driving conditions. We haven’t yet offered compensation for the loss of 10.4 km EV only range.

“We do recognise and acknowledge how frustrating this can be for customers and we know Ford’s global engineering team is working as fast as they can on a solution. It’s due very soon, just a few weeks I’m told.

“We’d recommend if customers are demanding compensation for the difference or have any concerns, they contact their local dealer.”

Sign up for Money with Susan Edmunds , a weekly newsletter covering all the things that affect how we make, spend and invest money.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

The Department of Conservation has warned a proposed gold mine near Cromwell is an unprecedented threat to wildlife, while Heritage New Zealand fears it will modify or destroy most of the area’s recorded archaeological sites.

More than half the 53 invited parties who commented on the Bendigo-Ophir project explicitly opposed it, including environmentalists, locals and mana whenua.

The plans also had strong support in some quarters, including nearby landowners and a group of local residents.

Australian company Santana Minerals applied in November for consent to build four open-cast mine pits, which fast-track panel members are expected to approve or decline in October.

The company said the mine could employ hundreds of people and be worth $6 billion in export revenue and more than $1 billion in taxes and royalties for New Zealand.

The application reflected years of detailed technical and environmental work, it said.

However, in comments made public this week, the Department of Conservation (DOC) estimated as many as 600,000 native lizards could be killed as a result of the project.

The Otago Conservation Board warned the tailings storage facility could attract wetland birds to surface water high in toxic cyanide.

Both recommended the fast-track expert panel should decline consent.

Fish & Game Otago was also opposed and cautioned there was a lack of evidence showing trout and game birds would be protected from contaminants.

Environmental Defence Society chief executive Gary Taylor said his group’s independent ecologists had reached similar conclusions about the environmental effects.

“We’re not opposed to mining, per se, but this mine is the wrong mine in the wrong place and the environmental impacts of it are just completely over the top,” Taylor said.

“What the applicant is facing … is a bit of a reality check that there’s now a tsunami of expert evidence contesting its application and we think that, in aggregate, meets the test for the panel to decline the application.”

Parliamentary Commissioner for the Environment Simon Upton described New Zealand as an immature mining destination, lacking the technical expertise or stringent standards found in jurisdictions like Canada or Australia.

Unless the panel could independently verify risks would be mitigated “as far as reasonably practical for at least a century after closure” then the application should be declined, he said.

Santana Minerals was due to respond to comments by Friday.

Case for economic diversification

Support for the mine came from the New Zealand Minerals Council, Shine Irrigation Company, two neighbouring landowners and the Santana Mine Supporters community group.

The supporter group’s head and Cromwell local Bill Sanders said there was a substantial and informed group of locals backing the project.

His group had grown to 8600 members and many saw the mine as a chance for economic diversification, he said.

“In Central [Otago] at the moment the cherry orchards and the vineyards, they’re not having a very good time of it. So here’s an opportunity for people to get a decent job in the mine and let’s not forget that the mine won’t be the only thing. There’ll be downstream industries where people will be able to work and earn good money in those as well,” Sanders said.

He was confident the mine would be monitored closely and would only be approved if it was up to standard.

“Modern day mining is a lot cleaner than what it used to be and the people that are running this aren’t cowboys. These people are very experienced,” Sanders said.

Sustainable Tarras, another community group, was opposed and said the project’s adverse impacts were overwhelming.

More than 9000 people had signed their opt-in email list to confirm their opposition to the project, the group said.

Sustainable Tarras chair Suze Keith said its primary concern was contamination of surface and groundwater.

“It’s very easy to find examples where water downstream of mine sites has become contaminated and, once an aquifer is contaminated, it’s very difficult to reverse that,” she said.

“From the get-go we’ve said that this project isn’t well suited to fast-tracking … the gold’s not going anywhere. It would have been far preferable for Santana to go through the standard Resource Management Act process.”

Mana whenua, heritage opposition

Kuma Southern Māori Business Network told the panel there had been insufficient recognition of wāhi tapu (sacred sites) and mining risked disturbing kōiwi (human remains) through large-scale excavation.

Kā Rūnaka argued granting consent would be unlawful as it was inconsistent with the Ngāi Tahu Treaty Settlement and the mine could cause intergenerational harm.

Some neighbouring landowners also expressed opposition to the project, claiming house prices in the area had already “dropped dramatically”.

One family said their homestead and farming infrastructure were in a “red zone” where a tailings dam failure could lead to one to three metres of toxic inundation, while another said their quiet rural gravel road had already become a dust bowl with Santana traffic.

Heritage New Zealand said Santana Minerals had understated the existing heritage values of the project area and underestimated the adverse effects of the project.

“The proposed works will have an overall major impact on the heritage and archaeological values of the project area seeing an almost total loss of heritage values within the footprint of the mining operation,” it said.

Councils and ministers weigh in

The Otago Regional Council (ORC) and Central Otago District Council (CODC) did not take a stance supporting or opposing the mine but raised concerns about its environmental risks.

The ORC said its geotechnical consultants found the proposed tailings storage facility did not currently meet stability standards, while the CODC noted that the project’s proposed noise and vibration activities would need additional land-use consents.

Six ministers gave feedback on the project with only Māori Development Minister Tama Potaka explicitly stating he supported the application.

Infrastructure Minister Chris Bishop expressed “broad support for projects which deliver positive outcomes for New Zealand, including the Bendigo-Ophir Gold Project” and South Island Minister James Meager highlighted the project’s “substantial economic benefits” for the region.

Regional Development and Resources Minister Shane Jones said the project aligned with the Minerals Strategy for New Zealand which aimed to double mineral export revenue by 2040.

Santana responds

Santana Minerals chief executive Damian Spring said, in a statement, the company would respond to the feedback through its submission to the panel.

“The project is backed by a substantial body of technical work developed over several years by independent experts and that material is now being examined through the process. It’s not appropriate to address individual points in isolation – the legal framework is designed to assess all questions against the full evidence base,” he said.

“Our focus is on engaging directly through the process and providing comprehensive responses to the panel.”

Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

Food Safety NZ has announced a recall of sprout products due to the possible presence of listeria bacteria.

The affected products – which if already purchased should be returned or thrown out – are sold at supermarkets around the country.

They are several batches of 120-gram Southern Alp Sprouts brand alfalfa and onion sprouts:

• Batch J197 with a best-before date of 21 April 2026
• Batch J197 with a best-before date of 23 April 2026
• Batch J199 with a best-before date of 23 April 2026

Pam’s onion sprouts combo (120g) which is batch J199 and has a best before date of 23 April 2026.

Vince Arbuckle from Food Safety said the sprouts should not be eaten, as they could make people sick – and listeria infection was serious for vulnerable groups, including pregnant women.

Customers can return the products to the retailer for a full refund.

Anyone who consumed the products and were concerned about their health should seek medical advice.

Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

ANZ, the country’s largest bank, is increasing some of its fixed home loan and term investment rates.

It is raising its home loan rates on terms between one year and five years by 10 basis points or 20 basis points.

The two-year special rate lifts from 5.09 percent to 5.29 percent and the one-year rate from 4.59 percent to 4.69 percent.

Term deposits of between 18 months and five years will lift by either 20 or 10 basis points.

It follows an update to the bank’s official cash rate forecast this week.

Chief economist Sharon Zollner said she now expected the OCR could rise three times this year, starting as soon as July.

ANZ managing director for personal banking Grant Knuckey said the changes reflected moves in wholesale interest rates.

After a fall in late March, the two-year swap rate has risen from about 2.85 percent at the start of the month to more than 3 percent.

Markets are pricing in the likelihood that interest rates will have to rise to counteract inflation due to fuel price rises driven by the Middle East conflict.

“Lower interest rates have flowed through to customers with around 82 percent of our home loans on a rate below 5 percent,” Knuckey said.

More than 44 percent of ANZ home loan customers were ahead on their repayments by six months or more.

Knuckey urged anyone with concerns to contact their bank sooner rather than later.

“People shouldn’t be nervous about talking to their bank, we’re here to support customers with the various options available to them.

“There are steps you can take to manage your home loan and things you can do to help relieve some financial pressure,” he said.

Sign up for Money with Susan Edmunds , a weekly newsletter covering all the things that affect how we make, spend and invest money.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

Older New Zealanders are contributing to a structural economic shift through increased work, tax, and spending, according to a new economic study.

The report from the New Zealand Institute of Economic Research found population ageing was happening faster than expected.

NZIER’s latest Business of Ageing report for the Office for Seniors used official population and labour force projections to track the economic contribution of people aged 65 and over.

It found people aged 65 and over made up a larger share of the workforce than at any point since the Business of Ageing series began in 2011, with their paid work valued at nearly $9 billion a year.

Self-employment income was reported to be worth around $5b.

The number of older people in work was projected to increase from 217,400 in 2024 to 477,800 by 2074.

Earnings from paid work was projected to rise from $8.7b to $50.2b by 2074, but more than half of this ($29.3b) was expected to come from self-employed income.

More people were relying on accumulated assets, which was set to rise from $14.2b to $104.7b.

Older people’s tax contributions were also set to rise sharply, as both incomes and population numbers increased, and their consumer spending was projected to grow from $54.7b to $357.7b.

“These projections show that population ageing represents long-term structural economic change, with effects that go well beyond fiscal settings, shaping labour markets, household incomes, spending patterns, and community life,” the report said.

“Understanding this shift will be essential for sound policy, business decision-making, and long-term planning in the decades ahead.”

However, the report also found the value of unpaid activity (such as caregiving, volunteering, and household work) exceeded $20b a year, and unpaid work was predicted to reach between $121b and $138b by 2074.

NZIER acknowledged its modelling sought to value the income of the older workforce, but not issues affecting potential or performance.

It pointed to existing reports around physical and mental wellbeing, issues around succession, retirement, and ageism, and reports that suggested a growing number of senior entrepreneurs would shift the value of remuneration towards the self-employed.

Minister for Seniors Casey Costello said the report quantified in economic terms how big the contribution of seniors was.

“Older people are also contributing through taxes, spending and investment, and importantly, through unpaid work that often goes unrecognised. That work is not just economically valuable – it strengthens our social fabric, supporting families and sustaining community organisations and services.”

Costello said understanding how ageing was reshaping the economy meant governments could make better decisions on how to support them to continue to contribute.

“A key takeout is that New Zealand needs to think a lot differently about the older workforce and how to utilise its skills and provide opportunities for the increasing numbers of over-65s who will be in work,” she said.

Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand