10. JUDITH COLLINS (National—Clevedon) Link to this
to the Minister for Social Development and Employment
Does he stand by his statement that he expects the Government to make decisions on the single core benefit in 2008; if so, why?
Hon DAVID BENSON-POPE (Minister for Social Development and Employment) Link to this
As the member is well aware, the Government split this policy process into two phases last year. [ Interruption] I refer the member and those other interjectors to my policy announcement of 26 October 2006. Phase one, I am pleased to say, is almost complete and the supporting legislation is currently before the House in the form of the Social Security Amendment Bill. Phase two is about further simplifying the benefit social support system and reducing the number of benefit categories to better align with our support services. Phase two is currently being worked on by officials and as I have previously said on a number of occasions, including 3 weeks ago at question time, final decisions about the detail of phase two will be made in 2008.
If the Government is not planning to make any decisions until 2008, why did Steve Maharey say on 22 February 2005 that a Cabinet paper to be released that day would show that the Government expected to save between $40 million and $70 million a year from merging seven welfare benefits into the single core benefit?
Hon DAVID BENSON-POPE Link to this
My colleague Mr Maharey says a great deal of accurate and completely sensible things. I say to the member that she should not be surprised, nor indeed should any New Zealander be surprised, to see that the Government has been completely focused on the area of policy development that delivers the most quality of life changes and improvements for New Zealanders—specifically, a reduction in unemployment from 161,000 when that party was in power, to fewer than 24,000 now, and the extraordinary reduction in youth benefit uptake that I detailed in an earlier question today.
Hon DAVID BENSON-POPE Link to this
This Labour-led Government is clearly keeping its commitment to help families young and old by reducing, amongst other things, welfare dependency. Unemployment benefit numbers have fallen by the extraordinary numbers that I have just detailed. The total working-age benefit numbers—which I tell Mrs Collins includes everything—have reduced by 35 percent, and that is the lowest figure since 1988. Working New Zealand, which is the first phase of this policy development, recognises that there are still areas for improvement, by expanding and developing new employment services that support people into work where appropriate. The new service approach helps to determine the most appropriate services for a client, based on his or her individual circumstances and need for assistance, and the new job search service is for those who are ready for work. Access to employment and training assistance has been significantly widened for all clients. There is more funding for wage subsidies, and greater in-work support assistance to help new employees with travel, childcare, and financial bridging costs. We will work with people not yet ready to enter the workforce, for whatever reason—be it health, ill health, or caring responsibilities—to plan for an eventual return to work, if that is appropriate.
What extra information does Cabinet need, when in 2005 the Minister’s predecessor, Steve Maharey, refused to name the single core benefit reports that had already been taken to Cabinet, for the reason that they were too numerous to list?
Hon DAVID BENSON-POPE Link to this
I am not very interested in the member’s semantic confusion or her obsession with what something might be called. I, like the members of this Government, am absolutely focused on delivering real gains for the people of this country, and nothing could better demonstrate that than the extraordinary change in the unemployment numbers.
Hon DAVID BENSON-POPE Link to this
I cannot understand why the member has such difficulty with an unequivocally clear answer. I said at the select committee investigation yesterday, during the last session of the House, and earlier today, that those decisions will be made by Cabinet in 2008.
Why does the Minister think that his predecessor Steve Maharey announced on 22 February 2005 that legislation for the single core benefit would be introduced that year if, as the Minister now says, Cabinet has not decided on it yet?
Hon DAVID BENSON-POPE Link to this
Because like our Cabinet colleagues, we are interested in good policy development and in the sort of things that deliver real gains for New Zealanders. Although Mrs Collins and some of her colleagues may find this difficult to understand, I think that most New Zealanders understand the difference between 161,000 people on the scrap heap under a National Government, and fewer than 24,000 now.
How would the Minister explain these two divergent statements—Helen Clark announcing at her post-Cabinet press conference on 14 February 2005 that Cabinet had approved plans for a new single core benefit, or this Minister repeatedly telling Parliament, and again today, that Cabinet has not made those decisions yet—because both of them cannot be right?
Hon DAVID BENSON-POPE Link to this
Yes, they can. Phase one and phase two are different. Phase one is the first step, and I tell Mrs Collins that phase two is the second step.
I seek leave to table some documents. The first, which is headed “Universal benefit listed as current priority policy work”, is dated 19 September 2001.
The fourth, from the Manawatu Standard, is headed “Single benefit announced” and is dated 22 February 2005.