6. TODD McCLAY (National—Rotorua) Link to this
to the Minister for Social Development and Employment
What reports has she received on unemployment?
Hon PAULA BENNETT (Minister for Social Development and Employment) Link to this
Today’s latest figures are a concern but not a huge surprise. That is why we announced the Youth Opportunities package for 16,900 young people just this week.
Hon PAULA BENNETT Link to this
We have just heard “14 percent” from the other side, which is actually not the correct figure. Let us be clear that we have 17,000 young people on the unemployment benefit right now. We understand that it is our young people trying to enter the workforce who are finding it hard to get a foot in the door. That is why we are doing something about it. All Labour members can think about is welfare; we are working on jobs.
What measures is the Government taking to help young people get connected to the workforce in these difficult economic times?
Hon PAULA BENNETT Link to this
Young New Zealanders who cannot get started in employment face the prospect of becoming disassociated from the workforce long term. We have to act now to protect them during the global recession. That is why this Government is spending some $150 million on the Youth Opportunities package, which the Prime Minister announced just on Sunday, creating jobs and opportunities for 16,900 young people during this worst recession.
Are the people who have been made unemployed in the last quarter, as announced in the household labour force survey today, just “predictions” of unemployment, as she claimed in the House on Tuesday, or are they real Kiwis without a job who are hurting desperately at this time—24,000 of them; about the size of the population of Taupō?
Hon PAULA BENNETT Link to this
I think we need to be careful when we talk about those 24,000 people who have been made unemployed, and about those 15,000 women who, I have just heard someone yell, have been thrown out of their jobs. Actually of those 24,000 people, 10,000 were in employment and are now in unemployment, so, yes, they did lost their jobs; but 14,000 of them are new to the labour force, so they are quite a different group of people who need our help. We recognise every single one of them as individuals; their households are being affected and they are affected individually, and that is why we are stepping up and doing what we can.
I raise a point of order, Mr Speaker. My question was very specific. I asked it in response to an answer the Minister gave earlier in the week. I asked whether those who were made unemployed and named in the household labour force survey today were “predictions”, as she said in the House, or were real people who were unemployed. She did not answer that.
My dilemma in trying to assist the member there is that the Minister gave some very good information on the information released today. I am not sure how the member is expecting her to answer that question, because clearly the information released today is actual information.
Has the Minister seen any reports on the value of encouraging unemployed people to do voluntary work in communities?
Hon PAULA BENNETT Link to this
Yes, I have seen a report that said “Communities should be able to create new real jobs by allowing the unemployment benefit to be a wage subsidy. Voluntary work is a worthwhile activity to be undertaken while people are looking for work. The Government could contribute to the expenses of voluntary agencies taking on unemployed people.” That was in 1997 and it was from the Hon Annette King.
What percentage of young unemployed people will benefit from the jobs element of the Government’s package, if it is not 14 percent as she has stated?
Hon PAULA BENNETT Link to this
I am pleased to have the opportunity to clear this up for the member, because she clearly does not understand what the household labour force survey is. We have seen that the percentage of 15 to 19-year-olds looking for work, under the household labour force survey, has gone up to 22.9 percent. That is a concern, but some of those 15-year-olds are looking for an hour’s work a week at the local supermarket. Some of them are just looking, but they fit in with the household labour force survey, for which one must be looking at least for 1 hour’s work a week. Those young people are very different from those who are going on to the unemployment benefit and are struggling, and it is those young people we are putting our attention to first and whom we are going to help. There are 17,000 young people on the unemployment benefit, but 16,900 jobs are being offered. I think that is pretty impressive.
I raise a point of order, Mr Speaker. I quite clearly asked the Minister simply for the percentage of young unemployed people who would benefit from the Government’s job creation package. Because she clearly believes that 14 percent is not the number, then I assume she has a percentage she does believe this package will help.
In fairness to Jacinda Ardern, I believe that the question she asked appeared to be a perfectly fair question. I must say that in responding to it, the Minister did not help the situation—and one saw the reaction to that. I would now ask the Minister, if she has the information, to actually answer the question asked by Jacinda Ardern.
Hon PAULA BENNETT Link to this
I clearly said that 17,000 young people are on the unemployment benefit at the moment. In the last week we have said we are creating 16,900 opportunities for those young people—that is nearly 100 percent.