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Beneficiaries—Sickness and Invalids Benefits

Wednesday 9 May 2007 Hansard source (external site)

Collins9. JUDITH COLLINS (National—Clevedon) Link to this
to the Minister for Social Development and Employment

Does he stand by the statement of his predecessor, the Hon Steve Maharey, who, in May 2005, said of the $127.8 million to be invested into new services to help sickness and invalids beneficiaries get back to work: “While we understand the reasons for growth in numbers on these benefits, we believe with this strong investment and support and incentives we can reverse this trend”?

Benson-PopeHon DAVID BENSON-POPE (Minister for Social Development and Employment) Link to this

The member has the amount of investment wrong, but, yes, this Government does believe in investing in the well-being of New Zealanders. That investment in people certainly appears to be paying off. The latest statistics from Work and Income show that over the month of April this year alone, the total number of people receiving the invalids benefit fell by 103, the total number—[ Interruption]

WilsonMadam SPEAKER Link to this

The member has asked a question. The Minister is responding. Please let all members in the Chamber hear the response.

Benson-PopeHon DAVID BENSON-POPE Link to this

The latest statistics from Work and Income show that over the month of April this year alone, the total number of people receiving the invalids benefit fell by 103, the total number of people receiving the sickness benefit fell by 848, and the total number of people receiving the unemployment benefit fell by 2,167. In fact, all main benefits saw reductions, so that in total, in 1 month benefit numbers dropped by 4,176. That is a reduction of 2 percent in just 1 month. As the members opposite have historically had some difficulty understanding these facts, I have taken the liberty of preparing a graphical representation to explain the matter. If I could explain this graph—[ Interruption]

WilsonMadam SPEAKER Link to this

The member did give me notice that his reply would be of some length—not too much longer, I hope—and we will now hear it in silence.

Benson-PopeHon DAVID BENSON-POPE Link to this

Madam Speaker, I—

WilsonMadam SPEAKER Link to this

Please—you have displayed the graph, so it can now be removed. There is not a policy of displaying such material all the time. You can display it, but then you must remove it.

Benson-PopeHon DAVID BENSON-POPE Link to this

Madam Speaker, I do need to explain what the graph represents.

WilsonMadam SPEAKER Link to this

No. I have given my ruling. [ Interruption] I have given my ruling—the member will be out of the House. Now will the member please finish his reply to the question succinctly.

Benson-PopeHon DAVID BENSON-POPE Link to this

That representation shows quite clearly that from 1996 to 1999, during the dying years of the National Government, there was a consistent increase in the total benefit roll. For Ms Collins’ and others’ benefit, I point out that “total” means all benefits. Since that time, benefit numbers have dropped from the range of around 400,000 under National to consistently just above the 250,000 figure.

CollinsJudith Collins Link to this

If the Minister can spend an extra $128 million—from his own figures—to get sickness and invalids beneficiaries back to work and end up with thousands and thousands more sickness and invalids beneficiaries in just 2 years of that programme, how many more does he think he can get on to that benefit after another 2 years of such assistance?

Benson-PopeHon DAVID BENSON-POPE Link to this

I would be delighted to repeat those figures of the drops in sickness benefit and invalids benefit statistics in the last month, but the most important part of the factual response to the member’s question is simply that in the year following Mr Maharey’s announcement the reduction in benefit numbers in the 2005-06 year achieved savings of $850 million against forecasts.

CollinsJudith Collins Link to this

If one quarter of all sickness beneficiaries are saying that they can work, then why are they not working, especially once he has spent $128 million to try to reduce sickness benefit numbers and they just keep going up?

Benson-PopeHon DAVID BENSON-POPE Link to this

I am happy to assure that member that as long as Labour is in Government she and her colleagues will able to access the sickness or invalids benefit should they be unfortunate enough to need to. But those numbers are reducing, thank goodness—and we should all be glad for that—because of the level of support this Government is putting into people in our community.

CollinsJudith Collins Link to this

Why has the number of unemployment beneficiaries jumping to the sickness benefit increased by over 8,500 in the past year alone—from his figures—and how does that square with his plan to get more sickness beneficiaries into work?

Benson-PopeHon DAVID BENSON-POPE Link to this

First of all, let me remind the member that access to sickness and invalids benefits is by way of the medical profession. If that member is prepared to accuse members of the medical profession of unethical behaviour, then I challenge her to either name them in this House or provide me with the information so that I can investigate.

CollinsJudith Collins Link to this

Why has the $128 million not helped those 16,000 people who have been on the temporary sickness benefit for more than 2 years, or even those 6,000 people who for more than 4 years have been temporarily unwell?

Benson-PopeHon DAVID BENSON-POPE Link to this

I think it is a rather sad reflection on that member and her party that we have this constant attack on people who are sick or in need of support because they are on an invalids benefit. What I would say is that it is quite clear that that very significant investment in New Zealanders by this Government is why in the last month every benefit figure has reduced.

CollinsJudith Collins Link to this

In what way can a temporary benefit be temporary, when not only have 6,000 people been on that benefit for over 4 years, but 1,000 people have been temporarily unwell for now more than 10 years?

Benson-PopeHon DAVID BENSON-POPE Link to this

I suggest that the member ask exactly those questions of the medical professionals who sign those authorisations.

KingHon Annette King Link to this

Has the Minister been provided by the member who is asking these questions with the names of any doctors who are ripping off the system by providing incorrect certificates for people who are sick or on an invalids benefit—because that is the way in which people get those benefits; if he has not, then does he believe that the member is really genuine in her questioning about this issue?

Benson-PopeHon DAVID BENSON-POPE Link to this

Sadly, I can confirm that I have had no such communication or information from that member. I will repeat my invitation to her to raise the matter with the representatives of the Medical Council, or to name the doctors she is accusing of behaving unethically, either in this House under privilege or by providing that information for me so that I can have it appropriately investigated.

CollinsJudith Collins Link to this

I seek leave of the House to table a document showing that $128 million was promised by this Government to reduce sickness and invalids benefit numbers—

WilsonMadam SPEAKER Link to this

Leave is sought to table that document. Is there any objection? There is objection.

Benson-PopeHon DAVID BENSON-POPE Link to this

I seek leave of the House to table the graph I displayed earlier, which displays exactly the value of the—

WilsonMadam SPEAKER Link to this

Leave is sought to table that document. Is there any objection? There is objection. I just remind members that those who interrupt during the seeking of leave will leave the Chamber.

Benson-PopeHon DAVID BENSON-POPE Link to this

I seek leave of the House to table the employment statistics for the months of March and April, which show the net reduction benefits that I referred to earlier.

Document, by leave, laid on the Table of the House.

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