Social welfare reforms: “September is pretty short notice to find them all jobs, especially in Golden Bay”

It’s been a month since the Government announced its intention to implement a broad range of social welfare reforms, starting in September. More than 60,000 beneficiaries of all types (nationwide) now face having their payments cut if they fail to comply with the tough new work tests, and the reality of this latest welfare crackdown is hitting home here in the Bay.
Single parents on the Domestic Purposes Benefit (DPB)will soon be subject to part-time work obligations when their youngest dependent child is six or older, and Golden Bay Workcentre manager Alli Gardener says she has seen a marked increase in single parents, all women, coming through the door of that training provider.
“Suddenly there’s a sense of urgency about them, that they have to implement a plan and do it now. I see this as coming from all the publicity surrounding these centrally driven policy changes. That’s maybe OK for the Government to expect that of them, but it takes time to come up with a sustainable plan for future directions. September is pretty short notice to find them all jobs, especially in Golden Bay.” 
Alli’s concerns were echoed in The Nelson Mail (24 March) by Nelson Tasman Chamber of Commerce chief executive Dot Kettle, who said unemployment nationally was running at a 17-year high.
“I’m not sure that this in itself will help at all because it relies on suitable jobs being around, and if the jobs aren’t there then you end up putting all your attention on the totally wrong part of the equation.”
Janine Dowding, Nelson’s regional commissioner for social development, advises that across the Nelson-Marlborough-West Coast region there are 1574 people receiving the DPB whose youngest child is six or older.
“The requirement for these DPB recipients to seek part-time work will be introduced in stages from 27 September, and we will be working with these people to help them find employment. We do understand that some may not be able to work immediately and exemptions may be given in genuine cases, such as those with children with special needs or people who have just separated. However, if this is the case, they may still be required to plan for work when they can. There will also be an exemption for sole parents who study full time at level 4 or above.
“The new rules for people who have been receiving unemployment benefit for one year or more will require them to reapply for a benefit. This will be alongside a comprehensive work assessment of their situation. In Nelson/Tasman we have very few people in his category; in March across the whole Nelson, Marlborough, West Coast region, there were 159 people who had been getting unemployment benefit for over 12 months. We are working with employers to maximise job opportunities for our clients. This sometimes involves employers coming along to work seminars to talk to job seekers and in some cases do interviews on the spot. Our Nelson/Tasman offices have also been doing well in helping people to find work even before they need to go onto the unemployment benefit. In March at least 40 per cent of Motueka/Golden Bay people who made contact with our local staff have not needed to go on to apply for a benefit.”
One Rangihaeata solo mother of two children, who did not want to be named in The GB Weekly for fear of being labeled a “bludger”, believes the DPB 15-hour work expectation is not as workable as the Government makes it out to be.
“My children have always come first and I want to be home for them after school. I already do four hours’ gardening a week for someone down the road and I’m always on the lookout for more part-time work, and it’s really difficult to find jobs during school hours. They’re all taken up. It totally defeats the purpose if I have to pay for care or babysitting.”
UNEMPLOYMENT BENEFIT: Beneficiaries must reapply after a year and face comprehensive work assessments. Beneficiaries will lose half their benefit the first time they fail to comply with job search obligations, such as not attending an interview, but will still receive supplementary assistance, such as the accommodation allowance. A second failure will result in the benefit and any assistance being suspended. A third failure will see the benefit and assistance cancelled.
DOMESTIC PURPOSES BENEFIT: From September 27, single parents on the DPB face part-time work tests once their youngest child is six or older. They will lose 50 per cent of their benefit if they do not comply with work obligations, but will still get supplementary assistance.
SICKNESS BENEFIT: From May 2011, sickness beneficiaries assessed as able to work part-time (15 to 29 hours a week) will be obliged to look for suitable work. Beneficiaries will lose 50 per cent of their main benefit the first time they do not comply with work obligations, but will continue to receive supplementary assistance. On second failure, the main benefit and any assistance will be suspended, and on the third time cancelled. Everyone receiving the benefit for more than 12 months will have a compulsory review by their case manager.
INVALID’S BENEFIT: Invalids likely to be able to work part-time in the next two years will receive the sickness rather than invalid’s benefit, meaning they will face more frequent reviews of their condition and a “strong expectation” they will get back into work.
HARDSHIP PAYMENTS: People who receive hardship payments three or more times in a year will be required to apply in person (rather than over the phone). People applying for a third time or more in a year will have to show they have taken reasonable steps to increase their income, reduce costs, or improve financial management, and complete budgeting programmes. People applying for assistance for the sixth time in a year will have a comprehensive interview.
Gerard Hindmarsh

Friday 30 April 2010 

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