1. LYNNE PILLAY (Labour—Waitakere) Link to this
to the Minister for Social Development and Employment
Has she received any reports on the number of New Zealanders reliant on a benefit?
Hon RUTH DYSON (Minister for Social Development and Employment) Link to this
Yes, I have. I am advised that the number of New Zealanders reliant on a benefit has continued to reduce. At the end of October there were 261,409 working-age people on a benefit—35 percent fewer than when the Labour-led Government was elected. Even more pleasing is the low number of those on an unemployment benefit. The numbers have continued to drop, and there are now fewer than 22,000 people on that benefit—the lowest number since 1980, and 89 percent lower than in 1999.
Yes, as a matter of fact, I have. I am pleased to inform the House that New Zealand currently has the lowest unemployment rate ever recorded of 3.5 percent. For more than 3 years, unemployment has been under 4 percent. We are the only OECD country that has sustained such a low level of unemployment. That result is a testament to the continuing success of the Labour-led Government’s economic management and employment policies. That result should be contrasted with the outgoing National Government’s record in 1999 of 6.2 percent.
Judith CollinsWhy is it that in the period of so-called record low unemployment, almost 130,000 people—5 percent of the working-age population—are too sick to work, which is a 50 percent increase since 1999 and is yet another record high?
It would pay the member to be a little more robust with the accuracy of her figures. In fact, the number of people of working age on a sickness benefit is 1.5 percent of the total population, and the number of people of working age on an invalids benefit—
Madam SPEAKER
Rt Hon Winston Peters Link to this
I raise a point of order, Madam Speaker. We could not hear any part of that answer whatsoever.
My answer advised the member who asked the supplementary question to be a little more robust in the accuracy of the information she provides in those questions. The number of people of working age on a sickness benefit is 1.5 percent of the total working-age population, and on an invalids benefit it is 2.4 percent.
Sue BradfordWill the Government give serious consideration to lifting core benefit levels and linking them to a fixed percentage of the average wage—as already happens with superannuation, which is another kind of benefit—now that we have far fewer people on working-age benefits than we did at the end of the 1990s?
As the member will know, we are working on the issue of a core benefit, and announcements about that will be made in the first half of next year. The rate will obviously be reconsidered annually, as it is currently.
Te Ururoa Flavell Link to this
Tēnā koe, Madam Speaker. Kia ora tātou to the Minister. What response will she make to the Waikato, northern South Island, te kaunihera, Auckland, and Wellington branches of the Labour Party, which are demanding that the Government urgently consider enhanced income assistance for those on low incomes who are not currently entitled to support under Working for Families?
As with any representation from within my own party, I would give it very serious consideration. It is not a surprise to me that members of our party are concerned about people who are dependent on benefits and then have a comparatively low level of income. Our party’s policy has always been to support those people into independence as much as possible, and the results in terms of the unemployment rate that I announced to the House in answer to the primary question are certainly testament to the success of that policy.
I have seen a report from 1999 where the Hon Bill English promised that if the country stuck with National’s policies people would enjoy an unemployment rate of 6 percent, and said that any promises of an unemployment rate lower than that were unrealistic and “a hoax”. I am pleased that the country chose to reject National’s failed policies in 1999, in favour of the Labour-led Government’s approach to employment. Unlike the National Party, we are aspirational about New Zealand’s future, and as proven with today’s announcement of a 3.5 percent unemployment rate, it shows how little confidence National had, and holds, for our country.
Te Ururoa Flavell Link to this
Kia ora nō koe, Madam Speaker. What response will she make to remit 38 concerning welfare benefits, as tabled at the recent Labour Party conference, which called for “urgent consideration for enhanced income assistance for family members taking on caregiver roles”?