While there are many causes to these problems requiring long term solutions, the design and delivery of social assistance is one area where Government can make a difference in the shorter term.

The system was developed to deal with a simpler society where needs were more likely to be short term. Benefits and allowances have been added and subtracted since then. Programmes have been constantly targeted and modified. The result is a multi-layered, complex system that is difficult to understand and use.

Fundamentally, people should know what benefits they are eligible for, and how to get them. They should be helped through the various stages, rules and requirements so they can be confident that they will get what they need when they need it. The social security system also needs to be more responsive to local needs and better tailored to individual circumstances.

THE NEW APPROACH

Ensuring eligibility information about benefits is easily understood and accessible

Information about entitlements is being improved. Benefit manuals are now available to advocacy and community groups. New technology is being used to help people establish whether they are eligible for benefits or allowances. More use may be made of the Internet for information on entitlements and jobs. Further down the track, people may well be able to apply for benefits on line.

We are also rewriting the Social Security Act 1964 to make it more understandable and user friendly.

Making the system simpler and up to date

The Community Wage is being replaced from 1 July 2001 with a work-tested Unemployment Benefit and a non-work-tested Sickness Benefit. From 1 July everyone applying for a work-tested benefit will have a Job Seeker Agreement which will set out clearly their work test responsibilities, what the Department of Work and Income will do to help them into work and what they will do to help themselves. The sanctions regime is much simpler and easier to understand. The rules for getting a Special Benefit have also been clarified.

The Government will address issues around the work test for those on the Domestic Purposes Benefit. The aim will be to achieve a better balance between work and family responsibilities, while acknowledging that work must be the goal when family responsibilities allow.

Over time, we will work to:

• Remove unwarranted discrimination in the benefit system, such as discrimination on the basis of gender.
• Remove any unnecessary complexity from the current structure of benefits and supplementary assistance so that it better meets people’s needs.

We question the need for five different benefits for people of working age – unemployment, sickness, invalids, widows and domestic purposes benefits. One option could include a move towards a ‘universal’ benefit with standardised eligibility rules and conditions that would greatly simplify the system for both the beneficiary and administration. Add-ons would be provided to recognise the particular needs of individuals, such as a care of children supplement, a disability allowance, and an accommodation allowance.

Such an approach would involve substantial policy, legislation and systems changes. Because it would involve major changes to the way income assistance is currently delivered, we will consider these issues carefully and consult with the public before any decisions are made.

Tailoring Services to the Needs of Individuals and Regions

A system that takes a ‘one size fits all’ approach cannot hope to meet the needs of our country. We need to make an effort to understand the underlying causes of people’s problems and genuinely address them.

People require different levels of assistance; some need little more than information, others may need a range of help.

Where people live often has a huge bearing on their circumstances and our system needs to become more responsive to local needs. The Department of Work and Income’s regional commissioners are being empowered to do what works best for people in their region. More flexible regional plans are being developed which incorporate specialised forms of case management, alliances with local businesses and partnerships with community groups. Rising to these challenges, the Department has introduced a new charter, which sets out its commitment to improving service standards.

Services are being tailored for particular groups such as Maori and Pacific peoples, and for those with particular difficulties, for instance mature workers, or those unable to work because of sickness or family responsibilities.

Improving employment prospects for disabled people is also vitally important. The Government has consulted widely on the New Zealand Disability Strategy which, along with the review of vocational services, will provide enhanced opportunities for disabled people to participate in paid work, if that is their wish.

The Government is providing $3 million over the next three years to pilot initiatives that will help Sickness and Invalids benefit recipients improve their opportunities to participate in the paid workforce. These initiatives, which will be entirely voluntary, are scheduled to be announced by the end of this year.

We have also allocated nearly $4 million to support job seekers and school leavers with disabilities through the implementation of the interim findings of the vocational services review. The funding will go primarily towards the Job Support Programme and transition to work for disabled school leavers.

New Strategies for Mature Workers

An effective system must cater for the needs of particular groups. Three Department of Work and Income regions – East Coast, Nelson and Southern – are now piloting programmes for mature job seekers aged 40-64 years. People in this age group often face different employment problems and challenges than their younger counterparts. In some areas, mature job seekers can make up as much as 40 percent of the total number of job seekers.

These pilots are designed to provide mature job seekers with practical assistance, such as job search skills, motivational training, and facilitated contact with potential employers.

Another pilot project is to be launched in the Christchurch area aimed at changing employer attitudes to taking on mature workers. It will be a partnership with the Canterbury Development Corporation that aims to actively raise awareness and promote to employers the advantages of employing mature workers.