Rena Support

November 2nd, 2011 at 3:06 pm by David Farrar

Stuff reports:

Tauranga businesses will receive compensation from the Government, if they can prove that their company has been affected by the Rena grounding.

Social Development Minister Paula Bennett announced today that small businesses would receive some support.

“This Rena Support Subsidy will give the worst-affected businesses, which rely on the sea and coastline, a hand to keep paying their staff,” she said.

The business must operate within or near the maritime exclusion zone to be eligible.

They would need to show that they have already used any insurance cover and were unable to relocate their operation.

“From Monday, businesses that meet these criteria and have no other way to pay their staff can apply for the six week support package,” Bennett said.

The package included a $500 subsidy for full-time staff and $300 for part time staff. It was only available for sole traders and small businesses with fewer than 20 employees.

Sounds very reasonable.

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22 Responses to “Rena Support”

  1. East Wellington Superhero (1,151) Says:

    What!?

    I’ll be voting National like the next sane person, but why is this the tax-payers’ responsibility? I get that National wants to ease the emotion in that neck of the woods but it seems like a rort. Everyone wants a handout for every inconvenience in life. I hope the threshold is high.

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  2. plebe (271) Says:

    Maybe john could divert his PMs salary here to help out(NAH)no way, after all he only made $5000000 last year
    you can tell this national voter below dosnt give a copulation

    East Wellington Superhero (484) Says:

    November 2nd, 2011 at 4:05 pm
    What!?

    I’ll be voting National like the next sane person, but why is this the tax-payers’ responsibility? I get that National wants to ease the emotion in that neck of the woods but it seems like a rort. Everyone wants a handout for every inconvenience in life. I hope the threshold is high.
    Remember its only our country New Zealand,who gives a stuff,right nat posters

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  3. RightNow (5,391) Says:

    Todd, even when you post under the name plebe you still don’t make any sense.

    “Brains Brains” was actually the most coherent plea for help you ever typed.

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  4. Nookin (2,514) Says:

    Plebe
    It’s entirely possible that he will.
    http://www.stuff.co.nz/national/politics/573560/Key-pledges-PMs-salary-to-charity
    How much are you giving? Or do you just like bitching?

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  5. ben (2,366) Says:

    Purpose of this relief? So that the businessman who did not buy insurance can buy his third flat screen a week earlier? Colour me unimpressed.

    Will the government be bailing out uninsured businesses for events that do not make national headlines? If not, why not?

    Arbitrary. Wasteful. Rewards the irresponsible. And sets a bad precedent. Thanks National!

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  6. big bruv (11,204) Says:

    This disgusts me. The Nat’s are using my money to shore up support in the bay.

    Had this been an election year I bet the bastards would not be so generous with my fucking money.

    I am starting to think that it might be a good thing if the Nat’s do not win the upcoming election, perhaps we actually need to go flat fucking broke before we realise that it is not the job of everybody else to bail you out of the shit, it is YOUR job and only YOUR job.

    So come on Goff, form a coalition with the lying communist Greens, the corrupt Winston Peters, the Aparthied party, and the Mother fuckers party.
    Of course any government formed by Goff will send the country broke but at least we can then deal to the “oh,somebody else will pay” mindset that is spreading like a disease all over this nation.

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  7. vto (1,098) Says:

    Bullshit.

    I thought there was some kind of welfare policy, shouted down from on high yesterday, about support for people who are quite capable of looking after themselves.

    Hypocrites.

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  8. KH (680) Says:

    Actually I am feeling more than a little upset about this pointless policy.
    Accordingly with current practice can the government please send my cheque ASAP

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  9. gump (658) Says:

    I would have thought that business interruption insurance was designed for exactly this set of circumstances?

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  10. MT_Tinman (2,228) Says:

    Similar assistance to that made available in Christchurch after Feb. 22.

    Sounds fair.

    Rena would have had a crew of less than 20 and their business is not relocatable (except in case of big waves), do they qualify?

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  11. tristanb (1,115) Says:

    Plebe
    It’s entirely possible that he will.
    http://www.stuff.co.nz/national/politics/573560/Key-pledges-PMs-salary-to-charity
    How much are you giving? Or do you just like bitching?

    Some people think charity is telling other people what they should do with their money.

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  12. Pauleastbay (3,726) Says:

    V 2 , Lofty etc

    Seriously, how would have small business’s have been affected?
    Theres been no summer holiday season, the beaches were all open on Labour weekend.

    If anything I would have thought small busness’s will have done huge business. There’s been 100 reporters needing accommodation and feeding. Theres been the army in town, eating, drinking etc. Parlours will have been going off.
    Theres been the ,well intentioned volunteers!!!!!, that have needed accommodating and feeding ( in fact these people will have run up a huge bill for the Tauranga taxpayer and that is one that will bite ). Any how.

    So how has business been affected?

    Tinny

    Chch was a wee bit different as they lost infrastructure.

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  13. Mary Rose (372) Says:

    Key words in the post:
    _ if they can prove that their company has been affected

    _ the worst-affected

    _The business must operate within or near the exclusion zone

    _They would need to show that they have already used any insurance cover and were unable to relocate

    _businesses that meet these criteria and have no other way to pay their staff

    Sounds like there’s a stiff check-list to meet, rather than the government chucking free money at anyone with their hands out. And it’s only available to small, sole traders, so pretty small sums.

    So:
    EWS> Everyone wants a handout
    Gump>I would have thought that business interruption insurance
    PEB>If anything I would have thought small busness’s will have done huge business.

    Answer; see the checklist.

    Those without insurance is a thornier issue, though.

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  14. Mary Rose (372) Says:

    Afterthought (!): if a few thousand each firm now stops them going out of business and their workers going on benefits, it’ll be cheaper for taxpayers in the long run

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  15. gump (658) Says:

    I spoke to a business insurance loss adjuster earlier this evening (as a hypothetical question).

    He said business interruption insurance wouldn’t cover this situation as there is no physical damage or deprivation of machinery, premises, or other business assets. A downturn in business is not in itself an insurable event.

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  16. Rich Prick (1,101) Says:

    “Sounds very reasonable”

    Really, why must the taxpayer come yet again to the rescue of those who have befallen hard times? I’ve taken a hit on GBP/NZD exchange rate thanks to a crisis (albeit far away), can I please have a hand-out to compensate me. If not, why not?

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  17. toad (3,549) Says:

    It is good that the Government has got on and announced this now – earlier they were saying that they would make a decision around Christmas. I guess someone realised that there is an election on.

    The bit I don’t get is why the package will last for only six weeks, when Nick Smith himself is saying the cleanup will be “a 12-month exercise”.

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  18. KiwiGreg (2,798) Says:

    It might be corporate welfare but it’s still welfare. It might be small beer but that’s how governments fritter our money away – the death of a thousand small and large cuts. Bad things happen, it’s not always the job of the government to “fix” it.

    if the weather is bad should we subsidise the skiing industry?

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  19. alex Masterley (1,146) Says:

    Toad,

    One year is optomistic any way you look at it, so I think that the government has underestimated the need for the support.

    There will be on-going issues as long as;

    a) the wreck of the Rena is sitting on the Astrolabe reef, and when it falls off
    b) what is left of the wreck is being broken up and removed.

    Given that the MSC Napoli took two years to break up in comparitively benign conditions I’m picking a a far longer period for the Rena. And some-one will be unhappy as it is likley that a large chunk of the vessel will be parked on their beach while it is broken up.

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  20. Dave Mann (988) Says:

    Well it doesn’t sound reasonable to ME. It sounds like a blatant election bribe and frankly it disgusts me. I hope the electorate sees this cynical attempt at manipulation for what it is… but they probably won’t because the sheeple have been conditioned to run to the government tit at every turn so this revolving display of socialist paternalism is just par for the course.

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  21. Tauhei Notts (1,259) Says:

    Although I hate welfare, corporate or otherwise, I am pleased that the Tax Department are doing something about those Hawkes Bay exporters who had stuff on the Rena.
    Imagine you had a $920,000 sale on the Rena. It was zero rated because it is being exported. It only got as far as the Astrolabe Reef, so it was not exported and the tax man will take 15% GST, that is $120,000 of the sale. It would piss you off a little.
    Steps are being taken to fix that anomaly.
    Good work.

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  22. Paulus (1,687) Says:

    Mount Maunganui businesses assistance.

    Clever move – Insurance Policies, which such an event, do not necessarily cover, unless material damage is shown to your business – it not a consequential/business interruption loss claim.

    But, like any insurance policy the insured has to quantify, and prove his/her loss. Its no good saying so, but often proving the loss is difficult for small businesses. Audited accounts for last year(s) for example, are generally required to prove the differential loss.

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