7. JUDITH COLLINS (National—Clevedon) Link to this
to the Minister for Social Development and Employment
What resources are available to Work and Income case managers to help people into work?
Hon DAVID BENSON-POPE (Minister for Social Development and Employment) Link to this
The greatest resources at Work and Income’s disposal are its own expertise, training, and support processes, which have helped reduce unemployment numbers by 85 percent since 1999, from 161,000 under National to around 24,000 today. Over the same period, total benefit numbers have reduced by 35 percent. I am pleased to advise the House today that Work and Income can properly take credit for the recent trends in sickness and invalids benefit numbers, which together have fallen for the second consecutive month. I am also pleased to advise that sickness and invalids beneficiary numbers alone have fallen by 1,299 in the last 2 months, at the same time that unemployment benefit numbers have fallen by 4,231. I am sure that the member, and other members, will want to join me in congratulating Work and Income staff on the good work they are doing in supporting people into work and independence.
Can the Minister confirm that in order to get people into work, Work and Income case managers have unlimited budgets; if not, can he explain the comments of British Labour MP and chairman of the UK Work and Pensions Select Committee, Mr Terry Rooney, who informed the UK Parliament this year: “We saw in New Zealand that the personal advisers have absolute flexibility. I found it a bit dangerous, in fact, because it seemed that they could spend any amount of money as long as someone accepted a job.”?
Hon DAVID BENSON-POPE Link to this
Although I clearly have no responsibility for a British MP, I am delighted at the resources and the initiative that our Work and Income staff use. However, their budgets—as the member will be aware—are very tightly controlled. For example, employment subsidies to help people gain the skills employers need are capped at $34 million. The Jobs Partnerships with Industries fund is capped at $7 million. Those programmes are jointly designed to move clients straight to work. Frankly, I think all members of this House would be only too pleased that around 136,000 New Zealanders who were receiving an unemployment benefit when National was in power are now in work.
Russell Fairbrother Link to this
What reports has he received on the success of Work and Income’s Jobs Partnerships with Industries schemes?
Hon DAVID BENSON-POPE Link to this
The Ministry of Social Development recently won the Vero Excellence in Business Support Award for the “most significant” contribution by a Government department, recognising Work and Income’s Jobs Partnerships with Industries programme. Through this programme alone, Work and Income has assisted 3,550 people into employment or employment-related training. It has 42 partnerships operating with large employers and industry associations, all of which involve working closely with industry and employers to understand their needs. Work and Income, I am pleased to inform members, has not stopped there; it is working on partnerships with a further 15 industry sectors.
Te Ururoa Flavell Link to this
Tēnā koe, Madam Speaker. Kia ora tātou. Will the Minister be introducing measures to suspend or reduce the benefit of sickness and invalid beneficiaries if they fail to meet the new planning and activity requirements outlined in the Social Security Amendment Bill; if so, will he not consider that this punishes those who are sick or disabled?
Hon DAVID BENSON-POPE Link to this
I am sure the member will agree that the attitude of this Government has been not to be punitive as advocated by other parties but to support people into work. I would draw to his attention, for his information, the very considerable success of exactly that approach with domestic purposes beneficiaries, whose numbers are trending down very strongly, and would assure him that that approach will be adopted with those who currently receive sickness or invalids benefits. Frankly, I say to the member, many people who are sick get better, and I do not believe that—and I believe that New Zealanders do not consider—it is unreasonable to expect them to plan for an eventual return to work, if and when their circumstances permit.
Do those tightly controlled budgets allow Work and Income staff to pay money for beneficiaries to buy a car to get a job?
Hon DAVID BENSON-POPE Link to this
Work and Income often provides levels of support necessary to get people into work, on all sorts of bases—most of them recoverable.
Te Ururoa Flavell Link to this
Kia ora, Madam Speaker. Does the Minister agree with the analysis of Dr Louise Humpage and Dr Susan St John that the move to enshrine paid work as the only source of well-being demonstrates “That a Labour Government is undermining the original notion of ‘well-fare’ would have Michael Joseph Savage turning in his grave”; if not, why not?
Hon DAVID BENSON-POPE Link to this
No, I certainly do not. I believe that the greatest testimony to the success of our policies is the numbers I have mentioned today at least twice, and on several other occasions. The fact of the matter is that, for example, in terms of youth unemployment, in 1999 when National was in power around 17,500 18 and 19-year-olds were receiving the unemployment benefit; that number is now around 1,200.
Hon Annette KingHon DAVID BENSON-POPE Link to this
It is 1,200. That is an extraordinary testimony, I believe, to the success of our policies in supporting people into work.
Can the Minister confirm that Mr Rooney was correct when he said of Work and Income case managers: “They even told us of cases where they had bought people cars, because the job was 70 or 80 miles away … They were not buying Bentley convertibles—they were TR7s—”; if so, what is the upper limit for car purchases under Work and Income?
Hon DAVID BENSON-POPE Link to this
As I said earlier, I have not seen the report of Mr Rooney’s conversation with either his mirror or his microphone. I would be happy to investigate any particular instances the member might be concerned about, if she were to give me any details.
Would one of the cases referred to be that of the new taxi driver who had $12,000 worth of driver training provided for him, then another $15,000 provided so that he could pay for his taxi; if it is, just how many cars has Work and Income helped to buy in this way under the Minister’s stewardship?
Hon DAVID BENSON-POPE Link to this
I would be delighted to find out that information for the member, if she would ask a question.
What sort of signal is this Minister sending to hard-working New Zealanders who try to be independent, if people who go on a benefit and need a car can have Work and Income pay for it—the Government will pay—whereas people who struggle on their own and try to cope do not get any help at all?
Hon DAVID BENSON-POPE Link to this
Well, I have the natural concern about the accuracy of any statements that member makes, actually. But I can say that I am sure most New Zealanders are only too pleased at the level of support being provided by Work and Income, which has moved 136,000 people or more back into work in this community. We have done that by providing support for people, not punishing them—and loans.
Madam SPEAKER