Key Notes: Reforming benefits

39 Comments
26 March 2010
Key Notes: Reforming benefits

In this issue I talk about our initiative to reform the benefits system, Future Focus. I also talk about mining, the Productivity Commission, rural broadband, my Youth Parliament choice and some of what's in my diary for the days ahead.

Key Notes - Reforming benefits

Click to watch my video on Reforming Benefits

REFORMING BENEFITS

I have a strong commitment to the safety net welfare provides. When I was young, and my father died, my mother relied on the Widows Benefit until she could get back on her feet and into a job.

This week Social Development Minister Paula Bennett and I announced our Future Focus package of benefit reforms. Our aim is to stop welfare dependency and encourage people back into work.

The welfare system is there to support people when they are most in need. But National believes every New Zealander who can work should work. We want to make sure our welfare system is fair for everyone.

That's why we are introducing new obligations for beneficiaries and more support for those who need it.

New obligations - We want DPB beneficiaries whose youngest child is over six to work at least 15 hours a week where possible. We'll also reassess sickness beneficiaries more often and encourage those who can to work part-time. And we'll make sure those on the unemployment benefit reapply after 12 months and undergo a comprehensive work assessment. For those who don't meet their obligations, we're introducing more graduated sanctions.

New support - We've increased the amount of money some beneficiaries can earn before their benefit payments are affected. We'll also increase benefits in line with inflation. And we'll support sole parents who are studying with a new study loan and provide more childcare options for sole parents.

Click here for a PDF summary
Click here to read my speech notes

MAXIMISING OUR MINERAL POTENTIAL

This week the Government released a discussion paper on how we can maximise the potential of New Zealand's mineral resources. It includes a proposal to allow potential access to a small amount of land which is protected by Schedule Four of the Crown Minerals Act.

Our goal is to unlock the potential of mineral resources for the benefit of all New Zealanders. A small amount of discrete mining has the potential to earn us millions of dollars, with little impact on the environment.

We want to hear your views, so share them with me on my website or make a submission.

BOOSTING OUR ECONOMY

National is determined to lift New Zealand's economic performance. We need to grow our economy to create jobs, increase incomes, and help you and your family get ahead.

Last week we announced that we're setting up an independent Productivity Commission early next year. This is one more step in the Government's programme to lift New Zealand's economic performance. It will give us advice on improving efficiency in the public and private sectors.

BETTER BROADBAND FOR RURAL COMMUNITIES

Communications and IT Minister Steven Joyce last week announced National's plans to accelerate the rollout of broadband to rural and remote areas.

We know it's vital that businesses, schools, and families in rural communities have access to fast broadband. They are an important part of our economy and our future. We can't let them fall behind.

Under the $300 million rural broadband initiative, 97 per cent of households throughout New Zealand will be able to access broadband speeds of at least 5Mbps. And 99.7 per cent of students will be able to access broadband speeds of at least 100Mbps at school.

FROM MY DIARY

I was in my electorate yesterday to choose the Youth MP for Helensville. I'm really looking forward to having Sylvie Admore from Carmel College representing the electorate at Youth Parliament later this year.

Today I'm in the Kapiti Coast and Horowhenua with local MP Nathan Guy, and tomorrow I'll be at the opening of AUT's Manukau campus.

Best wishes,

John Key
Prime Minister

Click here to comment on this newsletter (needs to be posted to the website to get a link for this)

Click here to follow me on Twitter
Click here to support me on Facebook

Click here to read Bill English's Focus on Finance
Click here to subscribe to newsletters from Ministers

Posted by admin in News release, Newsletter Trackbacks: (0)

Trackbacks

Trackback specific URI for this entry

No Trackbacks

Comments

Display comments as (Linear | Threaded)

#1 - Mike Lowe 2010-03-26 14:37 - (Reply)

Well, that's not too bad a start on welfare reform, but it still leaves a lot to be desired. My 2 suggestions would be: 1. Anyone on the DPB should have no additional taxpayer assistance of any sort after the first 2 babies. 2. After a set period of time, all benefit payments should be reduced by 10% every 6 months. This would give beneficiaries plenty of notice of the point at which their income will be insufficient to live on, and will require more effort to train so that an earned income can be gained. I am looking forward to the Newsletter which will explain why you have dropped that ETS sceme, based as it was upon fraudulent data from so-called climate scientists but which was just their means of protecting their taxpayer funded sources of income. Surely you no longer believe in Al Gorer's lies?

#1.1 - Cyril J Moore said:
2010-03-26 15:03 - (Reply)

Great work on Reforming benefits . Much needed & will encourage people back into the work force. Please use us extreme caution with the Foreshore & Seabed legistration as this will have seriouse repercussions if it causes restrictions or costs on the general public in the future. Emphasis is needed that we are all!! New Zealanders and are all! immigrants. This angle needs to be promoted.

#1.2 - Maria 2010-05-08 21:19 - (Reply)

Get a reality check! In this economic climate your ideas are too damaging. No-one wants to be unemployed. The unemployment benefit is living below poverty line. I beat you wouldn't be able to live on it?

#2 - Don Jones said:
2010-03-26 15:04 - (Reply)

In my opinion the changes will acheive very little over the medium term. Defenceless young mothers pitted against the East Coast wewanta tribe.The dole problem can only be solved by providing work of public use with payment on a daily basis. Turn up, do a days work, get paid. If more money is wanted, it can come from a better job in the private sector. A line in the sand now will allow all before to run out over time, without too many vote losing eruptions. There are too many cowardly actions from the community at large and the proposed treatment of solo mums, many of whom would not be with proper government and family support, smacks of cowardice. We should all refrain from calling men, MEN, unless they really are men.

#2.1 - Maria 2010-05-08 21:39 - (Reply)

You have got a very narrow view let me enlighten you. First importantly anyone on a benefit earns much less than the poverty line. Try surviving on a benefit before you pass judgement. It is too easy to attack those who don't have the means to defend themselves. The government should be concentrating on effective governing of this country by increasing opportunities for employment, not taking away what little those on benefits have. John Key should be concentrating on making it easiler to set up business in New Zealand. Therefore providing employment for those who wish to work. Work is not easy to find. There is too much competition in obtaining work. I applied for a job where 160 applied, only 6(I was one) were given interviews for one job. That is ridiculous and is typical of what is happening in the work force. This hightlights that there is not enough work out there to go around. I am seeking work and can't get into the work force. I get interviews and interview well but are told I just missed out. Second is not good enough!!!

#3 - Ian Mitchell 2010-03-26 15:55 - (Reply)

Benefit reform, long overdue and a good thing. Mineral resources, get into it but make sure its NZ owned. Broadband, about time, great. Carbon tax, silliest thing you have done, will come back and haunt you at the next election.

#4 - Paul Rossiter 2010-03-26 16:33 - (Reply)

The time to get people off benefit and into work is when the economy is good and there are jobs out there. This is not a good time to frighten solos about the loss of their income. Labour had many good years when they could have forced people back to work but they only made a half hearted effort. Certainly check to see unemployed people are willing to work before giving them a benefit. Also bring any avaliable jobs to their attension but remember this is not an easy time to find work. Please keep the lack of jobs in mind before making public servants redundant.

#4.1 - John Buckley 2010-03-27 11:43 - (Reply)

Hi John, OK to get bludgers back into the workforce but how many are realy in that catagory, not so many I think. I agree with Paul Rossiter this is not a good time to persue this agenda. As an example a daughter of mine has worked ever since she left school even when she had her two chidren she returned to work within a six months. Now her business (real estate) has collapsed, no help from the franchise, not even a single dollar, but at the age of 50 years there is no hope of a job despite being very well qualified in several areas. After 9 months trying and countless applications, no success. what chance is there for people with fewer or no qualifications. And no she has never been on the dole.

#5 - Max Legg said:
2010-03-26 16:43 - (Reply)

Hey John, You are doing a fantastic job. I was thrilled hear you were going to use our God given resources to help build the NZ economy.Thats why those resources are there.For 40 years now, I have been going to many farms on the Northern tip of the Coromandel, and I know for a fact, that 20yrs ago the Colville Post office was paying out $5m a year to 350 dope growing/smoking hippies, who were marketing there product in Auckland high schools. The tax payer can't carry all this nonsence any more. These are difficult times and every body that can work, should work, produce..and take responsibility.Thirty years ago the Greenies stopped the mining down there,and Janette stopped the dredging of $2B worth of Gold in the Coromandel harbour.The bible says in Eccles:10:2 says, "The heart of the wise inclines to the right, but the heart of the fool to the left, even though he walks along the road, the fool lacks sense and shows everyone how stupid he is." The 12 farmers voting against 350 hippies is unfair...democracy doesnt work in these areas, as the immature outnumber the wise . Keep Going John,and your great team are carrying out things that should have been done years ago.Keeop pressing on the upward way, and you will reach your goal.Thanks again. Max

#6 - Tomm Stanley 2010-03-26 16:47 - (Reply)

RE: reforming DPB "... youngest child is over six to work at least 15 hours a week where possible." This is weak. It looks good until the phrase "where possible" comes in. Gov't already re-imburses nursery care to 20 hours a week for pre-schoolers yet no expectation for a DPB parent to do anything with those 20 hours that might move them closer to a day when they can re-enter the workforce. Now, once the kids are six, do something where possible? Is there actually a point where the parent MUST do something?

#7 - Pat Deady 2010-03-26 16:48 - (Reply)

Hi John, Top presentation on benefit changes. Could never understand why they didn't have to toe the line as workers do. These areas need a tidy up too: 1.Not turning up for WINZ appointments (try that with a boss)needs to be dealt with. 2.Three different fathers for three children in the same family and the DPB never missed a beat. (definition of a CLOSE relationship?) 3. And one of Labours BIGGEST mistakes. They are NOT clients...they are beneficiaries. Case Managers should have more clout to enforce the same discipline as expected in the workforce. Cheers, Pat.

#8 - Gabi Buechel 2010-03-26 16:56 - (Reply)

I welcome the idea to maximise the potential of New Zealand's mineral resources. This will create jobs and wealth throughout the country. What I would like to see is a firm commitment to reinvest a percentage of the revenue back into New Zealand’s environment in form of cleaning up rivers and streams.

#8.1 - Brad Mac 2010-03-26 19:42 - (Reply)

Yes I agree - and I'm sure that can easily happen - The tourism sector seems worried it will kill tourism, where they should be asking for more international airports 1 in the Far North where back packers can fly in 1 end of the country and out the other end. or subsided coaches that are looping around the country all being a fair spin off from mining. Open the door to mining with your key MR Keys

#8.2 - Maria 2010-05-08 21:57 - (Reply)

I don't have anything against mining as long as it benefits New Zealander and not overseas interests. My biggest concern is that the mining will be done by overseas companies and the financial benefit will go too. The only income will be for the licences to mine that will be kept in New Zealand. Tourism will earn us more than mining in the long term.

#9 - Gary Westwood 2010-03-26 17:39 - (Reply)

A great week John! Well done on the proposed benefits reform. Paula still needs work on dealing with the media though. A great initiative with minerals - & Goff still has to explain why the Labour administration granted 218 mining consents on DOC land. Please don't let him off the hook. The big problem for me though is your untypical shortsightedness with ETS. You are trying to explain it as a necessity to keep our European trading partners happy. That is not so & will becoming increasingly irrelevant as AGW is exposed as the giant fraud that it is. Maybe Tim Groser is getting too close to his Conservation portfolio. If we go ahead with carbon taxes it will be a major factor for me come Novemeber, 2011.

#10 - Tom Mitchell 2010-03-26 18:03 - (Reply)

Congratulations to you both best thing to help reign in welfare payments but I don't think you have gone far enough. What I would like to see is all benefits are cancelled and you have to reaply at that time either finger print of photgragh each person thereby erradicate duplication. All for the mining provided it is underground. Believe that conservation department have too much land and cannot effectively maintain the areas, particularly the high country in S.I. and the central plateau in N.I.

#11 - Farquhar Calder 2010-03-26 18:20 - (Reply)

Mining. I have voted National since my first vote in 1957 (age 21) so am not a greeny. However, remember history when Jack Marshall put his head in the sand and ignored the Save Manapouri protest in 1972. We had three years of Labour as a consequence before Muldoon recovered the situation in 1975. Better to listen to the public now before you charge ahead with mining the conservation estate.

#12 - Daniel 2010-03-26 19:29 - (Reply)

Hi! John, It has been a great week of politics in the history of our beloved country. Yes, there is the need for social welfare to provide a safety net for the unfortunate ones in our society but for some people to make a career out of the benefit system is highly untenable. The labour party in the past made people so dependent on the benefit system out of political expediency just to keep them in power. Good on ya for taking such bold decision which is a step in the right direction. Too long overdue. Tariana Turia about 2yrs ago did comment that Maori party wanted the welfare system revamped as it has encoureged laziness and dependency among her people. On the issue of mining, this country needs to move forward. Those natural resources do not benefit anyone so far as they remained underground. Its all about a balancing act. Just ignore Labour's double standards.It takes a great leader with vision to make such bold decisions. I know of many people who share these same views with me. Go for it John!! On a lighter note, keep on those lovely smiles . My wife calls you the smiling PM.

#13 - Jo 2010-03-26 20:01 - (Reply)

Good work on both mining and welfare. We need to get these resources paying our way where the world will be paying top dollar for them.I belive in Welafare only when its needed as a last option only.I don't belive in paying people to do nothing.There are far too many people taking advantage of this today and guess what we cannot afford it thats why we are borrowing 250 million per week.

#14 - celia Thomas 2010-03-26 20:11 - (Reply)

I'm pleased about the review and reforming of benefits. Is there some way that stay at home parents can be rewarded for their fine efforts raising children, the future of our nation. Not all those single parents on the DPB are needing to be given a push back into work. John watch the ownership of our land and fonterra being taken over by the Chinese. A very serious concern for our nation.

#15 - Paul McGill 2010-03-26 20:49 - (Reply)

On Mining. This mineral resource the Govt talks of on Schedule 4 land. Millions of dollars. NZ does not need millions of dollars it needs Billions of dollars Mr PM. The resources that return the most foriegn earnings to NZ are our Climate and Soils(agriculture) and our natural captial and biodiversity(Tourism). Mineral wealth for this country won't come from the "postage stamp" our Govt talks of. It is more likely to come from the "envelope" that is our territorial waters. If you are looking for the Billions of dollars NZ needs look no further than improving the effiency of our farming systems. At the same time you will improve the environmental outcomes this country also needs. Before digging up more worms lets make sure the ones we have perform to their potential. That is where our wealth creation is. Farmer Paul

#16 - Ivan McCutcheon 2010-03-26 20:49 - (Reply)

we cannot leave that amount of wealth in the ground . To mantain a good standard of living for New Zealanders in this world we must utilise it .The way we do this however is very important . To convince the public we need to demonstrate our ability to control the damage and restoration of the land that has been mined . Could we not have a " place show " to sell it

#17 - Des Schumacher 2010-03-26 21:13 - (Reply)

Hi John, well done on your Mining proposal. I believe it is the turning point to getting the country's finances back on track. Sure, some people won't be happy about it but they haven't come up with another solution for us to become a wealthier country. I will listen to the objections but that's it unless the objectors have a better solution. The only proviso' I would make (to the mining) is that we do not employ people from outside NZ, and it should be a set up as a state owned enterprise - under the strict control of an elected MP. Kiwi Rail, ACC and Air NZ should be under control of an elected MP, who will be able to report to you and the country on how the businesses are going, if no profits - the MP can hire or fire the CEO or the board etc. This method will prevent huge salaries to staff and over expenditure. Maybe we will be able to buy back Telecom, the Power companies and some other businesses and run them appropriately when the mining produces the goods. Also, good on you for looking in to the benefit system. There are a lot of employers out there who do not mind the 'job-share' scheme, this would work well for mum's or dad's who look after school-age children. I think you may need to present a speech to the nation about job-share, as I think the public are thinking they have to find a job that may not be there, but if the businesses consider allowing or better still promoting job sharing, the public may (and should) accept it far better.

#18 - Mary Foster 2010-03-26 23:45 - (Reply)

So the welfare policies of the 1990s are being dusted off again. We will see if they are any more successful this time. With regard to mining of our National Parks and protected areas, I am totally opposed to it. Already we are hearing contradictory statements about many aspects of the policy (eg the costings, the amount of mineral wealth yields, the methods to be used). No one I have spoken to in the last two days supports it. This will not fly Mr Key.

#19 - Roberto Hettinga 2010-03-27 06:45 - (Reply)

Please eccept the Private bill From Lianne Dalziel Labour to save our pension ANZ ING has "stolen" our pension by the "blackmail contract" we had signed . Do it !!!!!!!!!!!!!!!!

#20 - Di Sadler 2010-03-27 14:07 - (Reply)

I welcome the exploration for mineral wealth in New Zealand but you must ensure that the profits stay in New Zealand and are re-invested in this country, With regard welfare handouts, it takes time to get people into the habit of working at a set job, at a set time! but the idea is certainly on the right track.

#21 - Richard Harcourt 2010-03-27 14:50 - (Reply)

Hi John, Why dont you talk your buddy Henry Van derhayden into investing in NZ dairy, ie Crafer farms, instead of investing in China. Lets keep those profits inside NZ.

#22 - Chris 2010-03-27 15:01 - (Reply)

An average week - keep it going - agree on mining as we need to do it - just get all your information more accurate first - whats happening to helping leaky house owners who are struggling badly. Should this not be just an important issue!

#23 - Max Legg said:
2010-03-27 17:20 - (Reply)

hey John, In Pukekohe High school in 1964, I enered a National speech competition at TeRapa Racecoarse club rooms.We had to speak on an Industry in our own area.. I chose The Kopuku Coal mine, and the link by causeway to Meremere Power station. I went for a drive through the area last year and was shocked to see a huge sign saying "This mine in closed down"..John there is a huge seam of high quality coal in this enormours seam.It goes from Kopuku to Maramarua and its rediculous not continuing to mine it.This coal mine closure and the moth-balling of Meremere Power Staion are a metaphor to where New Zealand has gone in the last 50 years..i.e. backwards.Oh you must include the Kopu brige as well as a powerful metaphor for the lack of progress.. Solomon was right when he said, "without a Vision the people perish"..Just for the record, I got 2nd in that competition. Keep going on this mining thing, those that protest have never produced anything worthwhile for the country..Max

#24 - Rudi 2010-03-28 08:41 - (Reply)

The welfare reform may have some unwanted side effects. Whereas the more educated mind sees the incentive in working once a child has reached school age there is a large group of socially mal adjusted that will see this as an incentive to breed and increase the number of future wellfare dependents. Disclosure of the father should be made mandatory to qualify for any DPB benifits.This will establish relationships force some of them to either forego benefits or if they are able contribute to the mother/child.

#25 - John Finch 2010-03-28 13:55 - (Reply)

The Wefare reforms must sound good to those who like the term DOLE BLUDGERS. For the DPB beneficiaries where are all the partime jobs that allow school holidays,days off for sick children etc going to come from? What about the older people.When I was made redundant at age 57.I was told to try and find work for six months then forget about it.NO help from WINZ at all.???

#26 - Margaret Moffat 2010-03-28 16:41 - (Reply)

I totally agree about the Welfare System needing to be overhauled, but I would like to see the apprentice system re-introduced for the young people of NZ. Everything and everyone has to go through polytec or some other institution these days and far too often the courses being run have absolutely no bearing on actual careers. When we had young plumbers, electricians, builders etc. the apprentices were in employment. Even the nurses trained in the hospitals were paid to train and had a "hands on' approach. Having just had contact with a hospital I have to say the manners of the charge nurse stunned me! She had no compassion for patient or relatives and her lack of common sense and knowledge were to say the least deplorable. Perhaps a case of too many chiefs and not enough indians? The hospitals used to run like clockwork under a medical superintendant, matrons, sisters etc.

#27 - Karen Hughes said:
2010-03-29 08:06 - (Reply)

I am always interested in the same people who decry the lack of resources available due lack of money and then try and block any avenue for the country to make more. Why any media that insists on promoting the negative is quite beyond me, let's smell the flowers. Selective and sensitive mining makes sense. Producing jobs in areas that often complain about their lack of growth and income. We are all saddened to see the "Closed" signs on what have been great lifestyle businesses. I hope that any, who make comparisons about our living standards with Australia and their apparent wealth, remember where majority of Australias wealth came from, and support any government move to find some for ourselves. Karen Hughes

#27.1 - Jill J 2010-06-17 17:48 - (Reply)

Hi John I applaude your encouragement for Kiwi's to save. In this respect I believe minerals, gold and coal are NZ's "savings" for the future. Keep them in the "bank" until such time as we have developed methods of extraction that will not leave residues of environmentally harmful chemicals, and we have processes in place to ensure earnings are retained within NZ. Mining in haste will risk our reputation and income from our major cash cows (tourism and primary exports). International requirements for traceability & product analysis will eventually be our undoing if we do not work hard to maintain our "clean, green" image, in which case we will repent at our leisure.

#28 - john strevens 2010-03-29 13:03 - (Reply)

Great to have a productivity commission. Low productivity is our major problem. But why wait till next year? This govt has waited 18 months to address tax rorts and will now wait 2 and a half years to comprehensively address low productivity.

#29 - Robert Clearwater 2010-03-29 13:11 - (Reply)

John I have just been summoned to Jury duty and balloted out Why are the Jurors worth $31 for half-day when Dept labour Fact sheet quotes adult minimum wage is $12-75 or $102 for eight hours The New Zealand Jobs Situation web page quotes Public sector average hourly earnings $32-36 Regards Robert Clearwater

#30 - Rod (Banjo) Hinchco said:
2010-03-29 13:16 - (Reply)

It all sounds pretty swish John, but why do you side step issues raised by veterans, and I don't mean Grapple and Vietnam Vets, but all the rest who are paying, suffering and even dying because you have stripped funding from them to meet your requirements for the chosen few. This is disgusting. We put you in power for a fair deal, and it is even more corrupt now than it was under Labour. So many of our fellows are falling, that we have reserved seats at every funeral service, with your name and Judith Collin's name on them. Why let an Army/Vietnam dominated system drop you in it so deeply?

#30.1 - David 2010-04-05 23:17 - (Reply)

Dear John key, Hello, believe me we will turn the corner in June this year.You have done an excellent job managing a country in very difficult times. Best Regards, David Morton.PhD.

#31 - james 2011-01-22 10:57 - (Reply)

hi john im concerned i was recently let go from work and your talking about cutting benefits and time limits, i have applied for some 60 jobs and had three replies i have 15 years work exp, i would be happy to work for the dole twice a week just for a reference or do volunteer work will i have to live in a cardboard nxt year let me know thanks

Add Comment

Name
Email
Homepage
In reply to
Comment	E-Mail addresses will not be displayed and will only be used for E-Mail notifications To prevent automated Bots from commentspamming, please enter the string you see in the image below in the appropriate input box. Your comment will only be submitted if the strings match. Please ensure that your browser supports and accepts cookies, or your comment cannot be verified correctly. Enter the string from the spam-prevention image above:
	Remember Information? Subscribe to this entry
Submitted comments will be subject to moderation before being displayed.