ACT is welcoming the first reading passage of the Social Security Amendment Bill, which delivers on an ACT coalition commitment to implement sanctions, including electronic money management, for beneficiaries who can work but refuse to take agreed steps to find a job.

"This is real change that will make it far harder to exploit the benefit system," says ACT Social Development and Employment spokesperson Dr Parmjeet Parmar.

"Benefit sanctions are a crucial tool to deal with those who take taxpayer money while refusing to take basic steps to support themselves. Finally, we are respecting the honest efforts of Kiwis who pay tax and fund benefits as a safety net, not a lifestyle option.

“Electronic money management is an ACT initiative. A similar programme has been successfully trialled in Australia. It issues an electronic card with tracked spending and restrictions on alcohol, gambling, and tobacco expenditure. Almost all of the benefit comes in this form, with a small amount left in discretionary cash. It has been shown to improve child well-being by reducing spending on harmful habits and increasing spending on children.

"With ACT in government we're encouraging Kiwis back into work, so they can make a difference in their own lives while contributing to their community. I’m proud we are taking action against long-term welfare dependence and its impact on the well-being and morale of so many New Zealanders and their children.”

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