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Special Issue Volume 10 – Issue 3 – August 2014 SPECIAL ISSUE Ageing Population Sir Frank Holmes Memorial Lecture 2014 – Age Discrimination in the Workplace Learning from Regulatory Disasters Judith Davey 42 Julia Black 3 Later Life in Rental Housing: Adapting to an Ageing Society: current New Zealand issues the need for cultural change Sally Keeling 49 Simon Biggs 12 Living Alone as a Lifestyle of Older Focusing on the Future: a summary and People in New Zealand: policy implications critique of the 2013 retirement income report Peggy Koopman-Boyden and Sheena Moosa 54 Robert Stephens 17 Old and Poor or Old and Cared for? Decumulation 101: the basics of drawing Some policy reflections on data from down capital in retirement the first two waves of NZLSA Geoff Rashbrooke 23 Charles Waldegrave 60 What Has New Zealand’s Retirement Policy Improving New Zealand Water Governance: Framework to Offer the International Debate? challenges and recommendations Susan St John 29 Elizabeth Eppel 66 Labour Force Participation and Well-being among Older New Zealanders Michael P. Cameron and Matthew Roskruge 35 Editorial Note Population ageing is one of the most significant As Simon Biggs points out, ‘everyone wants to issues facing New Zealand in the coming decades. live a long life, but no one wants to grow old’. Lasting Volume 10 – Issue 3 – August 2014 Its implications are crucial for government and solutions to the challenges of population ageing must all policy-making bodies. It will affect individuals, be based on intergenerational complementarity, on Policy Quarterly (PQ) is targeted at readers households, communities, businesses and voluntary progressive and well-based policies which balance in the public sector, including politicians and organisations. An understanding of how ageing relates the opportunities and risks of an ageing world. their staff, public servants and a wide variety of to other social and economic changes in New Zealand The first article in this issue of Policy Quarterly professions, together with others interested in public issues. Its length and style are intended and an in-depth knowledge of behavioural factors that is the text of the 2014 Sir Frank Holmes Memorial to make the journal accessible to busy readers. promote positive ageing is fundamental to successful Lecture, presented annually by the IGPS. The The journal welcomes contributions of adjustment as the age composition of the population presenter this year was Julia Black, professor of law about 4,000 words, written on any topic changes. The nine articles on ageing in this issue of and pro-director for research at the London School of relating to governance, public policy and Policy Quarterly all contribute to this understanding Economics and Political Science. Her title is ‘Learning management. Articles submitted will be and the ‘cultural adaptation’ called for by Simon from Regulatory Disasters’. For New Zealand readers reviewed by members of the journal’s Editorial Biggs, who visited the Institute for Governance and the mention of ‘regulatory disasters’ immediately Board and/or by selected reviewers, depending Policy Studies (IGPS) in February this year. He points calls to mind events such as the Pike River mine on the topic. Although issues will not usually have single themes, special issues may be out that the challenge of ageing is facing both mature explosion in 2010 and the ‘leaky buildings’ built and published from time to time on specific or and emerging economies and exercising the minds of identified in the 1990s and 2000s. In her article general themes, perhaps to mark significant policy makers throughout the world. Professor Black also draws on the Macondo oil spill events. In such cases, and on other occasions, Three articles relate to retirement income in the Gulf of Mexico, the explosion at the Buncefield contributions may be invited from particular policies. Bob Stephens presents a critique of the 2013 tank storage depot in the south of England, and people. retirement income policy review, looking to the future the 2008 collapse of the Royal Bank of Scotland, a Subscriptions: The journal is available in PDF and exploring the options for keeping present policies contributor to and casualty of the global financial format on the Institute for Governance and sustainable. He calls for more public discussion crisis. Each of these cases revealed regulatory Policy Studies (IGPS) website: http://igps. victoria.ac.nz/publications/publications/list/10. around this issue. Geoff Rashbrooke focuses on the failures often stemming from tensions within and Readers who wish to receive it by email should decumulation phase, which will become especially between different approaches to regulatory regimes. register as PQ subscribers [email protected]. important as KiwiSaver accounts mature. How will Detailed, prescriptive regulation can quickly become This service is free. people use their lump sums and what is the role of outdated, but performance-based or outcomes- For all subscription and membership public policy in this area? Susan St. John places the focused regimes require a supporting scaffolding enquiries please e-mail [email protected] or New Zealand retirement income support system in an of guidance. From her case studies, the author post to Institute for Governance and Policy international context and finds it has much to offer, identifies key lessons for regulators and those who Studies, P.O. Box 600, Wellington. Electronic Access: The IGPS directs despite its flaws. oversee them. interested individuals to its website: www.igps. Workforce ageing is an aspect of population ageing The final article, from Elizabeth Eppel, was held victoria.ac.nz where details of the Institute’s and also calls for policy responses. Michael Cameron over from the previous issue of Policy Quarterly to publications and upcoming events can be and Matthew Roskruge analyse the trends, pointing to account for the government gazetting on 4 July of found. significant increases in labour force participation by amendments to the 2011 National Policy Statement Permission: In the interest of promoting debate older New Zealanders, especially compared to other for Fresh Water, which came into effect on 1 August. and wider dissemination, the IGPS encourages OECD countries. Age discrimination can be a barrier In it Elizabeth addresses the difference between use of all or part of the papers appearing in to such participation and Judith Davey, drawing on what she calls ‘good governance’ and ‘effective PQ, where there is no element of commercial gain. Appropriate acknowledgement of both the impressions of employers and other informants, governance’, where the latter depends on bringing author and source should be made in all cases. finds that legislation cannot combat it without other a complexity lens to the issue of designing and The IGPS retains copyright. Please direct action. enacting policy. Water governance is such a case. requests for permission to reprint articles from Housing is a third area in which population ageing There are multi-layered and complex institutional this publication to [email protected]. will make its mark. Sally Keeling cites research which arenas for decision-making, and interacting and Editors: Jonathan Boston and Bill Ryan indicates a growing demand for rental accommodation, interdependent complex systems, and the entire Guest Editor: Judith Davey and the disadvantages experienced by older renters framework must be adaptive and sustainable. She Editorial Board: Guy Beatson, David Bromell, when policies assume that home ownership is the then explores the conditions that are necessary for Valentina Dinica, Don Gray, Gerald Minnee, Mike Reid and Andrea Schollmann. norm. Living alone has become a common lifestyle effective governance, concluding that New Zealand ISSN: 2324-1098 (Print) for older people and increasing numbers among has some distance yet to go in order to achieve them. ISSN: 2324-1101 (Online) oncoming cohorts. Drawing on interviews with older She argues that lessons learned elsewhere point Volume 10, Issue 3 – August 2014 people, Peggy Koopman-Boyden reports on what particularly to the need for improved collaboration, Copy Editor: Rachel Barrowman makes their lives meaningful and how their situation more adaptive learning, and more comprehensive, Design & Layout: Aleck Yee could be improved. Housing tenure is also one of open and transparent information, particularly Cover Design: Aleck Yee/Alltex Design the areas covered by the New Zealand Longitudinal pertaining to actual outcomes. The fresh water Production: Alltex Design Study of Ageing, alongside income, poverty, asset problem demands effective governance processes Proof Reader: Vic Lipski accumulation and well-being. Charles Waldegrave, in compatible with its complexity. his article, points out the fundamental influence of policy in these areas, linking with some of the points Judith Davey and Bill Ryan raised by Stephens. Sir Frank Holmes Memorial Lecture 2014 Julia Black Learning from Regulatory practices led to significant Disasters losses for home owners caused by leaky buildings. In 2010 an explosion in the Pike River mine in New Zealand Estimates of the losses range killed 29 people, and, on the other side of the world, a to as high as $NZ11.3bn blowout at the Macondo oil well killed 11 people and caused (PricewaterhouseCoopers, major environmental damage as four million barrels of oil 2009). spilled into the Gulf of Mexico. In 2005 a cloud of petrol These disastrous events from opposite sides of
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