"ACT strongly welcomes the addition of new non-financial sanctions to the Traffic Light System,” says ACT Social Development spokesperson Dr Parmeet Parmar.

“If you can work, you should work. New sanctions are a crucial lever to deal with a persistent minority of people who choose to remain on a benefit long-term when they could be working.

“In short, if a beneficiary fails to take steps to find a job, they can be given new obligations to undertake job-search activities or upskill. If they fail to meet these obligations, stronger sanctions can then kick in – including having spending limited to household essentials via electronic money management, an ACT coalition commitment.

“With ACT in government, the free ride is over. We’re bringing accountability to the benefit system, so beneficiaries are incentivised to return to the dignity of work, and so the working taxpayers who fund the benefit system are respected.

“Shifting people off the lifestyle of dependency, and back onto the path of productive work, is how we build better lives, boost economic growth, and break generational cycles of misery."

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