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Rebalancing incentives and obligations

Rebalancing incentives and obligations

Future Focus changes in effect today underline National’s commitment to rebalancing incentives and obligations in the welfare system.

“There is a responsibility attached to receiving a benefit and those who are able to work should be making every effort to do so,” says Social Development Minister Paula Bennett.

“The economy is slowly recovering and as jobs become available we expect people to take them and if you’re not looking, you won’t find them,” says Ms Bennett.

“Welfare is a vital support system for people in genuine need,” says Ms Bennett.

The new measures require some Domestic Purpose Beneficiaries and some Sickness Beneficiaries to look for part time work.

Those on an Unemployment Benefit will have to reapply after one year.

“We expect solo parents with children over six and Sickness Beneficiaries who are medically assessed as capable, to look for work,” says Ms Bennett.

Work testing will begin with 4,500 DPB recipients from today and Sickness Beneficiaries assessed as work ready, will be work tested from May next year.

“There is a clear expectation that those who can work, should,” says Ms Bennett.

As part of this commitment, Work and Income is fostering closer relationships with recruitment agencies and industry partners.

“We recognise the economy is still in recovery mode, so we’re identifying existing employment opportunities and creating new ones,” says Ms Bennett.

“In fact, currently we’re working with Tainui in the Waikato to fill vacancies in the Accor Hotel chain,” says Ms Bennett.

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The Future Focus package also provides incentives to work by increasing abatement thresholds.

“This means 28,000 people will be able to earn more before their benefit is affected,” says Ms Bennett.

Those on the DPB, Veteran’s Pension, Invalid’s and Widow’s Benefits can earn up to $100 a week (was up to $80) up to $200 a week (was up to $180) “Many beneficiaries are willing and able to work, they just need the chance to prove themselves and we’ll back them to do that,” says Ms Bennett.

ENDS

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