Hon Louise Upston
Minister for Social Development and Employment

15 July 2024

A new over-the-phone employment case management service will see thousands more job seekers under the age of 25 supported to find work, Social Development and Employment Minister Louise Upston has announced.

“MSD case managers provide valuable support to help people into work, but less than a third of those receiving the Jobseeker Support benefit currently receive this service.

“It’s important our welfare system responds to the current economic climate by engaging directly with as many job seekers as possible. That is why we are launching a new phone-based case management service that will initially provide 4000 more job seekers with case management support.

“This service is targeted at work-ready job seekers aged 18 to 24 and will provide similar support that any other client would receive in case management. It is expected to increase the number of engagements MSD has with job seekers by around 50,000 per year.

“Obligations for these clients are the same, and if they miss a phone appointment without a good and sufficient reason, sanctions may apply.

“We are targeting young job seekers because helping them back into work is critical for their long-term prospects. Under-25s on Jobseeker Support are currently forecast to spend almost two decades of their working lives on welfare, which is something this Government is not prepared to sit back and accept.

“We have an ambitious target to reduce the number of people receiving Jobseeker Support by 50,000 in six years. Steps we have taken to achieve this now include:

• The Government making its view clear that benefit sanctions should be fully applied, rather than used sparingly, to incentivise job seekers to fulfil their work obligations.
• Introducing work seminars that job seekers attend within two weeks of coming onto jobseeker support to help them understand the help that is available, what is expected of them, and decide their next steps to find work.
• Introducing work check-ins that job seekers attend after six months to confirm they are taking sufficient steps to be work ready, are applying for jobs, and whether they need more support.
• Continued investment of $1.1 billion in MSD’s frontline employment programmes and financial supports through Budget 2024.

“We are focused on lifting New Zealand families out of hardship and giving them more opportunities to get ahead by helping all who can work into jobs.”

Notes on phone-based case management

• The service began on July 1 with about 1500 job seekers and will expand to 4000 within about two months.
• It will be targeted at people aged 18 to 24 who are new to the Jobseeker Support – Work-Ready benefit.
• It will begin with a focus on the Auckland, Wellington, and Bay of Plenty regions.
• If a client misses a phone appointment without a good and sufficient reason, an obligation failure will be initiated which may result in a sanction.
• Job seekers will be engaged as required, based on need, but must be contacted at least every 28 days.
• This new service will take the total number of job seekers receiving employment case management at any one time from about 53,000 to 57,000.
• While phone-based case management was used as a temporary measure during COVID-19 restrictions, this is the first time MSD has offered a regular phone-based service alongside its in-person service.

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