6. JUDITH COLLINS (National—Clevedon) Link to this
to the Minister for Social Development and Employment
Can he confirm there were 115,357 people on sickness and invalids benefits when his predecessor, the Hon Steve Maharey, said in August 2004, “We are pretty hopeful that we can start to make some serious inroads into these numbers.”; if so, can he confirm that 3 years later, numbers on sickness and invalids benefits have increased by another 9,124, almost 8 percent, to over 124,481 today?
Hon DAVID BENSON-POPE (Minister for Social Development and Employment) Link to this
I understand that the member is referring to a Dominion Post article of August 2004 titled “Maharey’s dream run”, and that of course continues to this day. As the member is well aware, we have made very good progress in this area. The rate of growth in these numbers has significantly slowed. I am advised that the rate of receipt of sickness and invalids benefits in New Zealand is around 4.5 percent of the working-age population, which compares favourably with Australia’s higher rate of 5.2 percent, and with the United Kingdom, where 7 percent of the working-age population is in receipt of a sickness or invalids benefit. I know that the member and her Opposition colleagues find it difficult that benefit numbers, including those on sickness and invalids benefits, have fallen by 136,000—34 percent—since 1999, but that does not mean, in turn, that a relatively small group of people should be vilified because they have become ill, pregnant, or disabled, or have a short life expectancy and need support.
Does the Minister think New Zealanders are getting value for money when this Government announced in Budget 2005 $128 million to get sickness and invalids beneficiaries into work, when 2 years later the number of those beneficiaries has increased by 7,000 in just those 2 years; is that good use of money?
Hon DAVID BENSON-POPE Link to this
Yes, I do. As the member herself demonstrates, the workforce is taking on an older profile. The population aged from 40 to 64 years has been increasing rapidly since the early 1980s as the baby boomers move into this age group. This age group is, of course, more susceptible to illness and disease than those who are younger. The number of people on invalids or sickness benefits who are aged from 50 to 64 years, as a percentage of the total number of those on invalids and sickness benefits, has steadily increased from 36 percent in 1999 to 42 percent today.
Steve ChadwickWhy are people granted a sickness or invalids benefit, and what is the Government doing to support them?
Hon DAVID BENSON-POPE Link to this
People are granted sickness and invalids benefits if they become sick, injured, pregnant, disabled, or otherwise cannot work. People who are granted invalids benefits are sick, have an injury or a disability that is expected to last at least 2 years, have a life expectancy that is expected to be less than 2 years, or are blind and otherwise qualify for an invalids benefit. However, many people do not want their illness or disability to stop them from becoming economically independent and working if they can. The Social Security Amendment Bill is about just that—supporting people into work now and in the future, based on what they can do, not what they cannot do. I look forward to National Party support for that bill.
Madam SPEAKERMembers, the level of chat has risen quite considerably in the House, so it is becoming quite difficult to hear. If you have to conduct private conversations, would you please take them outside the Chamber.
Can the Minister explain to the House how he can put in $128 million to get fewer sickness and invalids beneficiaries, but end up with 7,000 more—just how did he do it?
Hon DAVID BENSON-POPE Link to this
Could I reinforce for the benefit of the member, who is obviously having some difficulty in grasping this, that these benefits are available to people who are sick, because they are sick.
Will the Minister confirm that of a target of 15,000 eligible people in Manukau, his PATHS programme has managed to get only 343 people into work; and would he say 343 out of 15,000 was a really good achievement for that $128 million?
Hon DAVID BENSON-POPE Link to this
I am delighted with the success of the PATHS programmes, and more will be rolled out in the immediate future. This Government is keen to support people, not to make up—as the Opposition does—reasons for not supporting them.
How can the Minister spend $128 million on getting sickness and invalids beneficiaries into work, when 2 years later 7,000 more people are too sick to work?
No, he did not. I think he has given up. Has the Minister ever thought that if he spent less money, he might actually get more people off the benefit?
Hon DAVID BENSON-POPE Link to this
I suppose that is benefit cuts in the National Party style, yet again. It might be instructive for the member—[ Interruption]
Please be seated. I will ask the Minister to give his reply in silence so we can make some progress here.
Hon DAVID BENSON-POPE Link to this
It might be instructive for the member to realise that doctors are the people who assign eligibility to these benefits.