The victory of the National Party at the polls was due to the bankruptcy of the right-wing Labour Party leadership that had no real meaningful reforms to offer workers. This resulted in the lowest turnout since 1978 and the second lowest turnout in a general election since 1902. A large proportion of workers didn't vote Labour or just didn't vote.
The forthcoming elections in New Zealand have been overshadowed by the world financial meltdown and the oncoming recession, which have highlighted the huge level of debt in the country’s economy. This all puts at risk the very ability of any government to guarantee basic social reforms. In New Zealand as elsewhere the choice is between whittling down the welfare state or a radical socialist transformation of society.
Prime Minister Helen Clark has called the general election for November 8th hoping to win a fourth term. The problem for the Labour Party is that it is well behind in the various opinion polls which give the National Party between an 8% and 18% lead over the Labour Party. With such a lead in the opinion polls the Labour Party is most likely to be defeated.