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Recession—Job Support Scheme

Wednesday 11 March 2009 Hansard source (external site)

Goodhew2. JO GOODHEW (National—Rangitata) Link to this
to the Minister for Social Development and Employment

What is she doing to help employees in the current economic situation?

BennettHon PAULA BENNETT (Minister for Social Development and Employment) Link to this

This afternoon the Prime Minister has announced the Job Support Scheme to help keep people in jobs where their company is struggling in a tough global economy. This will support those workers who might otherwise lose their jobs. This Prime Minister is prepared to listen to ideas from outside the Beehive and to back the good ones.

GoodhewJo Goodhew Link to this

What help will the Government provide for smaller businesses that are also facing hard times?

BennettHon PAULA BENNETT Link to this

Work is progressing quickly on small to medium sized businesses. Their needs are more diverse. Therefore, a scheme was more complex to develop, but this is weeks away, not months.

KingHon Annette King Link to this

Will the Job Support Scheme be made available to the nearly 600 State employees whose jobs are being cut in the Ministry for the Environment, the Ministry of Social Development, and the Tertiary Education Commission; if not, why not?

BennettHon PAULA BENNETT Link to this

This scheme is for private businesses that are having a downturn in their production. It is not appropriate for it to be for the Public Service. It is for private companies that are suffering a cut in their production, and as a consequence are looking at laying off staff. This is about keeping workers in their jobs.

GoodhewJo Goodhew Link to this

What groups and organisations has the Government been working with, to develop this scheme?

BennettHon PAULA BENNETT Link to this

We have had great cooperation from businesses and unions. We had cooperation before the Job Summit where a lot of work was done. On the day, a lot of work was done. We heard from National Distribution Union boss, Laila Harré, who said that the Job Summit was a success and a genuinely tripartite process. We promised action from the Job Summit, and we have delivered.

BradfordSue Bradford Link to this

Will the new Job Support Scheme be actively and immediately promoted in the retail sector, which employs over 230,000 workers and includes a number of really large companies, where many jobs are being lost every day at the moment?

BennettHon PAULA BENNETT Link to this

If those companies have 100 employees or more, and they voluntarily sign up to the scheme and make an arrangement between them, then, yes, they will fit into the scheme.

KingHon Annette King Link to this

What advice would she give to workers in a company of, say, 99 workers who are facing the prospect of unemployment and hardship for their families but who do not qualify for the 9-day fortnight package?

BennettHon PAULA BENNETT Link to this

I would say to them “Watch this space.” Thank goodness they have a National Government that is delivering action and not just words.

GoffHon Phil Goff Link to this

Why has the training proposal, which was at the heart of the original announcement, been dropped when it would have allowed workers to upgrade their skills on that 1 day in a fortnight when they were not working? Surely that was the intention of the original proposal?

BennettHon PAULA BENNETT Link to this

After the Job Summit and after looking at the proposal that came from that, the absolute was that we wanted to save jobs. This Government is committed to upskilling and training opportunities, but this measure was about saving jobs and giving employees who had the potential to be made redundant the ability to stay in their jobs.

GoffHon Phil Goff Link to this

I raise a point of order, Mr Speaker. The question was quite straightforward: why was the training proposal dropped. I do not think that question was addressed.

SmithMr SPEAKER Link to this

I think that, in fairness—

Hon Member

She said “Watch this space.”

SmithMr SPEAKER Link to this

No, that was not part of the answer to that question, if I recollect correctly. The Minister did say that clearly there was a change of view and that the focus went on to saving jobs. That may not be exactly the answer the honourable member wanted, but I think it was a reasonable answer to the question.

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