Overview: Briefing To The Incoming Minister For Senior Citizens 2002

Introduction

Scoping the portfolio

The number of older people in New Zealand is growing both in numbers and as a percentage of the total population. This trend will continue to raise the profile of older New Zealanders as a group of critical importance to the future of New Zealand society.

Persons aged 65 years and older make up 12% of the total population. This will rise to 18% by 2021 and 26% in 2050.

At the end of March 2002 there were 463,000 people aged 65 and over living in New Zealand. Under medium population projections, the older population will number 551,000 by 2010, 1 million by 2030 and will level out at around 1.2 million towards the middle of the century.

Role of the Minister for Senior Citizens

The role of the Minister for Senior Citizens is to advocate for older people at Cabinet and in other government policy forums. The increasing proportion of older people means that issues within the portfolio are becoming more prominent and are subject to greater political debate and public interest.

The scope of the portfolio is broad, incorporating positive ageing, health, retirement income, housing, security, transport and other issues. The advocacy role of the Minister for Senior Citizens is complicated by the fact that the older population is a diverse group with differing needs and expectations.

These expectations will be different to the expectations of future generations of older people. It is therefore essential that the advice provided to the Minister for Senior Citizens takes into account not only the views of older people today, but also considers the potential impacts of policy decisions on future generations of older people. The purpose of this briefing is to provide a broad overview of the major issues relevant to the portfolio of Minister for Senior Citizens. Key information and messages are provided in this summary of each chapter.

Contents overview

Chapter 1: Portfolio of the Minister for Senior Citizens

Chapter 1 provides information on the establishment of the portfolio of the Minister for Senior Citizens and outlines the roles and responsibilities of the Minister. It explains the relationships between the Minister and the Office for Senior Citizens, and the work undertaken by the Office. The role of the Advisory Council for Senior Citizens is described, with information provided on the current membership.

The chapter notes the increasing importance of the Senior Citizens portfolio and a greater public interest in issues relating to ageing and to the ageing of the population. It notes that the effectiveness of the portfolio is dependent on the Minister for Senior Citizens receiving comprehensive advice on a wide range of issues. The chapter advises that the ability of the Office for Senior Citizens to meet this demand, and to undertake work with other agencies and older people's organisations, is determined by the level of Vote funding. The chapter breaks down the components of the Vote: Senior Citizens appropriation.

Update

In October 2002 the then Minister for Senior Citizens indicated an interest in reorganising the Advisory Council for Senior Citizens. The Minister considered that as a key source of advice the Council could be structured in a way that enabled timelier, broad based, expert, diverse and cost effective advice. A paper on options for reorganisation has been prepared and will be submitted to the new Minister for her consideration and direction.

The term of appointment for all current Advisory Council members expired on 31 December 2002. The Office for Senior Citizens is well placed to progress the appointment process for Council members early in 2003, should the Minster make a decision to that effect.

Chapter 2: Profile of the older population

Chapter 2 provides a demographic profile of the older population and sets the context for the chapters that follow. The statistics provided illustrate the diversity of the current cohort of people aged 65 years and over. Statistical disaggregation of the 65 plus population into the 65-74, 75-84 and 85 and over age groups, and by gender and ethnicity, also indicates considerable variation according to those population groupings.

The chapter analyses the impact that changes to the older population will have on current policies and the challenges they will present in the development of new policies.

The chapter emphasises that there will be changing needs and expectations among older populations in the future, as diversity increases within this group. The fast growth in the numbers of older people aged 85 and over, the increasing numbers of Māori and Pacific people, and the high proportion of women in older age are identified as key factors for policy consideration.

The specific statistical information covered in the chapter pertains to the demographic composition of the older population in New Zealand.

Chapter 3: The Positive Ageing Strategy

This chapter outlines the process for the development of the Positive Ageing Strategy, which is a cornerstone of the Senior Citizens portfolio. The uniqueness of the Positive Ageing Strategy as a real action framework is described, as is the progress that has been made by the Government sector in the years since the first Positive Ageing Action Plan was developed.

The chapter describes a number of recent positive ageing initiatives in the Government sector and notes that changing attitudes about ageing is the first step to promoting positive and productive ageing in retirement years. The role of intergenerational programmes in developing positive attitudes to ageing and older people is also discussed.

The key message is that there are many opportunities for future generations of older people, as they are expected to be healthier, more educated and skilled, and remain longer and more actively involved in the workforce than their predecessors. Older people have the skills, experience and knowledge to contribute to society, and the benefits of positive and productive ageing are described.

The many ways in which older people participate in and contribute to society are described, including the increased opportunities for workforce participation.

Update

On 4 December 2002 the Minister for Senior Citizens released the Positive Ageing Strategy Action Plan for 1 July 2002 to 30 June 2003, and the Positive Ageing Strategy Annual Report for the period 1 July 2001 30 June 2002. In December 2002 responsibility for managing the Positive Ageing Strategy, including the preparation of Annual Reports and Action Plans was transferred from the Ministry of Social Developments Equity and Population Policy team to the Office for Senior Citizens.

Chapter 4: Maintaining independence

This chapter identifies key policy areas which influence the ability of older New Zealanders to maintain independence and "age in place". Current issues in housing (affordability and appropriateness), home support services, access to the community (older driver licensing, public and other transport and communication technology), and safety and security are outlined.

Update

On 18 December 2002 the Land Transport Safety Authority released for public consultation, a draft of the Land Transport (Road User) Rule. Several changes proposed by the rule, which affect the use of mobility scooters, have particular relevance to older people, who are the highest users of these mobility devices. The proposed changes include a requirement that a 'mobility device' may only be operated on a footpath in a careful and considerate manner, and at a speed of not more than 10 km/h. Public submissions on the draft Rule close on 18 March 2003.

Chapter 5: Retirement income

This chapter outlines the impact of changes in the population structure on the level of publicly funded retirement expenditure. It describes the economic well-being of the current 65 plus population as indicated in the Living Standards of Older New Zealanders 2001 report.

The chapter outlines the current retirement income strategy, in particular the 'Super Fund' established under the New Zealand Superannuation Act 2001. The issues of saving for retirement, factors affecting the sustainability of New Zealand Superannuation, and managing the changes in retirement income policy are also discussed.

The chapter describes the role of the Retirement Commissioner in promoting public education on retirement income issues. Information on current expenditure on New Zealand Superannuation and recipient numbers is also provided.

Update

In December 2002 the Minister of Social Services and Employment announced the appointment of a new Retirement Commissioner. Diana Crossan has been appointed to the position and replaces Colin Blair. Also announced in December 2002 was the appointment of the Periodic Reporting Group (PRG), which is required under the Retirement Income Act 1993, to be established at 6 yearly intervals. With the assistance of the Retirement Commissioner, the Secretary to the Treasury, the CEO of the Ministry of Social Development and the Commissioner of Inland Revenue, the PRG has until 31 December 2003, to prepare a report on the retirement income policies of the New Zealand government. The Terms of Reference for the PRG require the report to focus of the private provision of retirement income.

Chapter 6: The health of older people

This chapter outlines in detail the recently released Health of Older People Strategy. The principles, goals and key actions of the Strategy are described. The Disability Strategy is also described, as older people, particularly those in the 80 plus age group, are disproportionately represented among the disability population.

It discusses in detail how the strategic goal of maintaining independence is being supported in health policy for older people, and provides detailed coverage of residential care issues including residential care services and the residential care subsidy.

The chapter describes the general health characteristics of people in their 60s, 70s and 80s. It notes that as New Zealand's population ages, changes to health services will be required to meet the health needs of the increasing number of people aged 80 and over.

It discusses a number of developments which have the potential to at least partially offset the expected higher health costs of an ageing population. These include public health education strategies, reductions in disability rates, research and technology, and ways of supporting older people at home for as long as possible, to delay entry to residential care.

The chapter identifies the health issues that can be expected to require attention in the next two to three years. These are increases in dementia among the older population, private health insurance costs, availability of new pharmaceuticals, and asset testing for the residential care subsidy.

Update

Government has made a commitment to implement by the end of the current parliamentary term, the removal of asset testing from the assessment of residential care subsidy. The removal of asset testing has considerable financial and operational implications. For this reason a range of possible options are being carefully considered.

Chapter 7: Protecting people's rights and interests

This chapter outlines key social service, policy, and legislative initiatives aimed at specifically protecting older people's rights and interests. It discusses in detail the Retirement Villages legislation introduced by the previous Minister for Senior Citizens, and work undertaken to date on limiting the misuse of enduring powers of attorney through amendment to the Protection of Personal and Property Rights Act 1988.

The issue of elder abuse and neglect is also looked at and the current status of elder abuse and neglect prevention services in New Zealand is discussed.

Update

Following the General Election the report back date of the Justice and Electoral Select Committee on the Retirement Villages Bill was extended to November 2002 and then to 28 March 2003.

Policy work on amendments to the Enduring Power of Attorney Provisions in the Protection of Personal and Property Rights (PPPR) Act has now been completed. It is intended that Cabinet approval for amendments to the PPPR Act will be sought in the near future.

In August 2002 Age Concern New Zealand released an analysis of elder abuse and neglect prevention services referrals for the period 1 July 1998 to 30 June 2001. That report, and a subsequent strategic funding proposal presented by Age Concern New Zealand to the Minister for Senior Citizens and the Minister of Social Services and Employment, has led to a renewed focus on elder abuse and neglect prevention funding issues in the Office for Senior Citizens work programme.

Chapter 8: Volunteer Community Co-ordinators

This chapter backgrounds the development of the Volunteer Community Co-ordinators Programme which was established in the International Year of Older Persons 1999. Projects that have been undertaken by the Volunteer Community Co-ordinators (VCCs) are described and the factors that have made the programme a success are discussed. This chapter also discusses the role of older people as volunteers and the contribution that older people make to the voluntary sector.

Update

During October and November 2002, the Office for Senior Citizens prepared a manual for Volunteer Community Co-ordinators and nominating organisations. The VCC manual provides clear guidelines in terms of the roles and functions of those involved in the programme, and will serve as a resource and reference tool. The manual, developed at the request of the Minister for Senior Citizens was completed and distributed early in December 2002.

Chapter 9: Organisations and agencies

The advocacy focus of the Senior Citizens portfolio, and the growing number and proportion of older people, make it imperative that the Minister is actively aware of the views, concerns and policy interpretation of older people. These are generally reflected in the activities and publicly articulated positions of older people's organisations and groups.

The Office for Senior Citizens has also formed partnerships with older people's organisations and agencies in the policy development process, through consultation and reference group processes. For this reason, this chapter is divided into two sections: government agencies and community organisations. Brief descriptions of the agencies and organisations are provided within each section.

Chapter 10: Challenges and opportunities

The final chapter outlines the opportunities and challenges the Senior Citizens portfolio presents to its Minister. The opportunities for the Minister for Senior Citizens to make an important contribution to government policy on behalf of older people are outlined. The mechanisms available to the Minister to make the most of those opportunities are described.

The chapter also describes the potential constraints of an advocacy role with no specific statutory or service delivery functions. The expectations the older population places on the Minister for Senior Citizens as their advocate and champion are described as both a risk and a challenge.