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Youth Rates—Support for Reintroduction

Tuesday 10 May 2011 Hansard source (external site)

Roy9. Hon HEATHER ROY (ACT) Link to this
to the Minister for Social Development and Employment

Why did she oppose a bill which sought to reintroduce youth rates, and will she support a bill to introduce youth rates now that youth unemployment has hit an all-time high of 27.5 percent and 36.6 percent for Māori?

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

The National caucus opposed the bill at the time as we were not persuaded that it alone would reduce youth unemployment. In relation to the second part of the question, like any other member’s bill, caucus will consider it if it comes out of the ballot box.

RoyHon Heather Roy Link to this

Does she accept any responsibility for the 12,000 young people who cannot get work because of the removal of youth rates, and how does she justify spending $55 million of taxpayers’ money to employ less than half that number, as announced in her youth employment package last week?

BennettHon PAULA BENNETT Link to this

I contest the fact that 12,000 young people are not getting jobs because of the youth rates. The rates that she is talking about are for 15 to 19-year-olds, and they are a tough group to find jobs for. The number is taken from the household labour force survey. Often those people are looking for only an hour’s work a week while they are studying. We actually recommend that young people stay in education and training for as long as they can; our focus is on schooling. We want to see them in schools, we want to see them in work, and we want to see them in training as much as we can. That is this Government’s focus.

RoyHon Heather Roy Link to this

Does she agree that youth rates give “employers a reason to hire younger people and give them a chance to get experience.”, as stated by John Key in December 2007; if not, what has changed?

BennettHon PAULA BENNETT Link to this

Yes. That is why we also supported the training rates, and why we support those other rates for young people—so, yes.

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