November 2000

Regional Plan Taranaki

CONTENTS:

• Message from the Chief Executive
• Regional Commissioner’s report
• Our region
• Our regional strategies
• Objectives and key tasks
• Achieving our key tasks
• Our community commitment
• Consultation

MESSAGE FROM THE CHIEF EXECUTIVE

I am very pleased to have the opportunity to introduce this Regional Plan to you. It is a summary of what we’ve achieved for this region during the year, but it is also a strategy for how we will be doing even better in future.

I am always very proud to be able to tell people about the Department of Work and Income’s successes,and the hugely significant role our staff play in achieving that. I believe this Plan illustrates just how hard they have been working for the people of this region. While highlighting the positive steps we’ve taken in the local labour market to really make a difference for those living and breathing the special nature of this region, this Plan also looks further ahead, to the goals we’ve set our sights on for the coming months.

We are taking every opportunity we have to meet our commitment to help all New Zealanders achieve independence. We are engaging with communities more than ever before. A strong foundation for our ability to do this is our regional flexibility strategy – local solutions to local needs.

Already we’ve seen good indicators that this focus will move us ahead very quickly in meeting the needs of the individuals who make this region the special place it is. As always,we will be closely focused on the local client base. We’ll be organising our resources to target local needs in the most appropriate way for a particular area, or client group.

‘Closing the Gaps ’is also at the forefront in every case. The Department is in a special position to make a difference here, with our Maori and Pacific clients already a key target area for our specialised programmes to assist people in taking a full part in the economic, community and educational life of their locality. I know this Plan sets the right challenges to meet the needs of this community, and I believe it demonstrates the special local understanding, knowledge and expertise our staff can offer.

Working together, and in local partnership, we can only have success.

CHRISTINE RANKIN

REGIONAL COMMISSIONER’S REPORT

I welcome the opportunity to reflect on our success in the last year and share the regional focus developed for next year in discussion with business leaders, Maori groups/individuals, training providers, community organisations and other public sector service providers. The community is a great source of ideas, advice and local labour market information and this is assisting he Departmen of Work and Income strategy development in this region.

There is a strong belief that, wherever possible,moving people from being financially dependent on benefits towards self-reliance and paid employment is imperative for the well-being of our communities. The region recognises the challenges and aims to reduce social exclusion through participation in employment and community activities.

As Regional Commissioner I have been ensuring the Department is connecting with Government activity in such areas as education, training, welfare and business development within Taranaki, Wanganui, Ruapehu and Waitomo districts. Some key highlights and achievements follow.

Key achievement 1999/2000

• Forty Maori clients who had been withou work for an average of over one and a half years were rained and assisted to move to Wellington for work at the WestpacTrus Stadium. This initiative resulted in further employment partnerships with Te Ati Kimihia Education Trust and a national employer involved with the security sector.
• Local Employment Co-ordination groups are active in Taumarunui, Te Kuiti, Taranaki and Wanganui. Outcomes from initiatives have involved: Energy Retrofit programme, One More Worker Campaign/Taranaki, youth forums and other community employment-related developments.
• Training and employment package negotiated with the Tongariro Sawmills enabled 28 longer- term unemployed people in the Taumarunui area to return to work. This has long-term benefits for the community.
• Development of local site advocacy forums to establish relationships and improve service delivery.
• Keeping Independent Now seminars have been held for aged citizens providing valued information that can assist independent living.
• Major recruitmen campaigns have been undertaken in the meat processing and fast food industries at Wanganui, Hawera and New Plymouth. Employment outcomes for individuals have been excellent and as a result unemployed people have been assisted back to work.
• Over 550 people have received funding to investigate self-sufficiency employment options.
• 190 entrepreneurs who were previously unemployed have been supported financially to set up in a range of business ventures throughout the region.
• Up to 1,200 wage subsidy contracts have encouraged employers to take on unemployed people.
• A total of 4,300 people have obtained work with the help of Work Brokers and Case Managers within the region. Key features of these results are that over 320 of these people had been without a job for more than four years with a further 550 being withou work for between two to four years. 37% of these placements have involved Maori.
• Over 4,500 job seekers have participated in development and training activities that have enhanced their work prospects and competitiveness in he labour market. Of these activities, 50% have involved Maori.

Moving forward

Through our work and our co-operation with partners we make a considerable difference in the lives of many people within our region. We are taking innovative steps tha mean our Departmen is evolving in new directions. Some examples that demonstrate this are our current partnerships with Te Ati Kimihia Education Trust and the security industry, Wanganui and Taranaki economic development agencies, local authorities and other business and community works.

As the Government identifies emerging social and economic priorities, it will require us to take action in meeting them. This will call on the partnerships we have built with other Governmen departments, all sectors of society and communities.

We all know that each year brings new opportunities and challenges – we must continually strive for new ways to improve our service and help people within our communities to become the best that they can be.

Some ways in which we will do his over the coming year will be through the introduction of specialis Case Managers to work with youth, Maori, and the long-term unemployed. Service centres and individual staff will be empowered to develop community partnerships that will provide new employment opportunities. And Case Managers will focus on securing paid work and work experience opportunities for clients who are participating in client development activities, TOPS courses from Skill New Zealand and other training opportunities.

This regional plan identifies the issues that are likely to affect us most during the next 12 months. Our in erventions need to address and lead to greater work readiness, and promote participation in the community by disadvantaged and at-risk individuals and groups.

It is necessary to prepare people who have been out of the workforce for some time or who are otherwise alienated from the labour market. A pilot scheme working with family groups rather than just one individual has been trialed in Te Kuiti with success. We have evolved new approaches to current contracted services for youth and developed community leadership initiatives in an effort to address employment needs.

Communities that experience multiple disadvantages rapidly become dysfunctional, and any development process must address the real issues before progress can be made. We will focus on priorities and the steps that will be most visible and valuable to our communities.

I know that the people of this region have always demonstrated their professionalism and commitment to the people and communities that they serve. Our vision is to go beyond confirming the role of the Department in this region by supporting an environment that achieves

• employment access
• equitable participation
• income security
• support for individuals and families
• community capacity-building.

OUR REGION

Introduction

This region is one of 13 Department of Work and Income regions. In the centre of the region are the larger provinces of Taranaki and Wanganui. These are bordered in the south by the Rangitikei River, Waiouru in the east and by the King Country and Waitomo districts in the north. The Taranaki region operates in nine localities – New Plymouth, Waitara, Stratford, Hawera, Wanganui, Marton, Taihape, Taumarunui, and Te Kuiti. We are also operating part-time outreach services on a weekly basis in Ohakune. This service will be expanded in the new year. The area has a network of regional and local Government, featuring three regional councils and seven distric councils. The region is served by six Members of Parliament.

The geographical features of this region are its mountains, rivers, national parks, rugged coastline and a skyline punctuated by Mount Taranaki and Mount Ruapehu. It has a mountain to sea character, and the community relies on its natural resources for its social and economic well-being. Internal migration to major cities has had an economic impact resulting in decreasing services and no population growth. Some areas, particularly the smaller isolated rural communities, are experiencing a decline in the number of permanent residents.

Population
The region’s population of 195,321 equates to 5.4% of the national population. Over 51% of the region’s population are residents of the two major cities of New Plymouth (53,607) and Wanganui (46,905). The remainder live in the rural and provincial districts spread around the region that exists primarily to service the farming communities. The working age population is 121,338 (62%). This is below he national average of 65%. The total Maori population is 36,993 which represents 18.9% of the total population. However the distribution of Maori is not even throughout the region. For example, the Te Kuiti population is 37.8% Maori, whereas in Stratford Maori make up 9.1%. The youth (under 24 years) population makes up 38% which is in line with national figures. People over the age of 65 years number 24,948 and represen 13% of the region’s population, which is 1% above national figures.

The job market in the next 12 months
The Taranaki region has the only deepwater port on the west coast of New Zealand. The main trunk line passes through the north-eastern section of the region. A freight line also travels south from Westgate Port to Wanganui linking up with the main trunk line at Marton. There are two serviced airports linking with Auckland and Wellington. Several of the main arterial road routes are subtect to closure given the nature of the country they traverse. This causes major problems for industry and the public at large and has the potential to be a disincentive for new development. Transit NZ is, however, in the process of making major upgrades to the main highway north from New Plymouth, which will improve services for both freight and tourist traffic. The predominant industries within the region are agriculturally based.

Taranaki had the third highest unemployment rate in the March 2000 quarter at 9.8% (the national average unemployment rate is 6.3%). Current unemployment levels demons rate that there is a time lapse between the improving economic indicators and employment levels tha will follow.

Oppertunities

Primary sector
This sector is the largest employer group in the region. It includes agriculture, horticulture, farming, forestry, and fishing. The farming sector production levels are benefiting from a favourable summer, especially in dairying. Therefore farmers are expected to increase stock numbers and export levels of beef and sheep.

Wood exports are picking up with the improving Asian economies particularly in the Wanganui region. Large areas of hill country previously farmed continue to be planted in pine.

Horticulture – the region’s soils and climate have made it a favourable area to establish plant nurseries. A significant proportion of the plants supplied to garden centres around the country originate from this area.

Alternative land use towards cropping, as climatic conditions continue to change, and diversification trends, including organic farming, provide other potential revenue for the region. Primary production is expected to be boosted by the low exchange rate and improved world growth. Overall, it is likely that the regional economy should recover further in mid 2000.

Oil and gas
Two major petro-chemical finds within the region promise further economic growth. Existing reserves and these new finds suggest that the industry will retain a substantial presence in the region for at least the next two decades.

Maori business development
There are significant activities being undertaken by Maori with regard to land and river claims, west coast leases, iwi and boundary recognition, which could bring further investmen into the region. Maori are continuing to increase their interes in enterprise development that will increase opportunities for both employment and the creation of new business ventures. Recent business development conferences have seen an increase in participation of local Maori keen to build their capacity within his area.

Tourism and hospitality

Adventure tourism and hospitality are seen as likely growth areas in the region with particular emphasis on the natural resources within the province such as mountains, surf highways, rivers and lakes. The disrupted ski seasons of the past three years mean a decline in revenue for the areas of Turoa and Whakapapa, but it is looking more favourable this year. Wanganui promotes itself as a sports city and is recognised nationally for events such as the Masters Games and as a venue for rowing and cycling. New Plymouth is investigating proposals to build a new sports stadium.

Manufacturing
Trade apprentices are required by industry and the recently announced Modern Apprenticeships scheme will hopefully encourage a more supported environment to develop training opportunities that are affordable options for employers. Comment from the industry sector is that the lack of qualified trades-people is affecting expansion plans. With the average age of tradespeople growing, the industry needs to look at providing more opportunities for youth.

Small businesses There is a national trend towards smaller businesses. The majority of vacancies notified to the Department are from businesses that employ fewer than seven people. These businesses have special needs, requiring business mentoring and guidance. There continues to be the need to nurture enterprise development throughout the region. The trend to technology-based solutions for businesses provides opportunity not only for local and national, but also global market access. This provides an untapped potential for the region.

Our clients
The total benefit population is 66,594 as at end of June 2000. By far the largest group is NZ Superannuation (34,828, which represents 52%). The next largest group is Community Wage (Job Seeker) with 11,470. Sole parents and other people on the Domestic Purposes Benefit make up 8,933. Those unable to work because of illness or disability account for 7,154. Maori represent 18.9% of he total regional population, however they represent 38% of those receiving the Domestic Purposes Benefit and 34% of those receiving Community Wage (Job Seeker).

As at the end of June 2000, 14,045 job seekers were registered with the Departmen in the Taranaki region. Maori represent 40% of the total unemployed, compared to 30% nationally. As the duration of unemployed increases, Maori make up a higher proportion of the total. Maori are approximately 50% of those registered over four years. The following table highlights the distribution of Maori job seekers within the region.

Service centre	Maori	Non-Maori	Total
Te Kuiti	518 (68.7%)	236	754
Taumarunui	594 (62.8%)	352	946
Taihape	322 (56.9%)	244	566
Waitara	415 (43.9%)	531	946
Hawera	592 (44.5%)	738	1,330
Marton	265 (42.3%)	362	627
Wanganui	1,723 (41.2%)	2,454	4,177
Stratford	143 (27.0%)	387	530
New Plymouth	990 (23.7%)	3,179	4,169
Total	5,562 (39.6%)	8,483	14,045

The Taranaki region has significantly fewer Pacific Peoples and other ethnic clients (3%) compared to the national figure of 17.1%.

Those who have been withou work for long periods of time experience greater disadvantage in the labour market.

Duration	Maori	Non-Maori
0-26 weeks	1,495 (35%)	2,780
26-51 weeks	1,170 (39%)	1,857
52-103 weeks	1,290 (40%)	1,940
104-207 weeks	1,103 (43%)	1,437
208+ weeks	505 (52%)	468

Youth (15-24 years) equate to 23% (3,251) of the regional register of job seekers. With inter-generational unemployment becoming of more concern, atachment of youth to the labour market is important for their future.

Low levels of educational qualifications are a feature of the long-term unemployed. Among the key findings from a survey of the Department’s clients, the following barriers to gaining employment were identified.

Limited mobility
Long-term unemployed people reported that a lack of transport or no drivers licence as barriers to searching for work. Maori long-term job seekers reported mobility barriers in their job search to a greater exten than other groups.

Discouragement
The longer a person is unemployed the more pessimistic they become about finding work. Consequently, job search efforts often diminish. Fearing rejection by employers, many people lack confidence at job interviews.

Lack of skills/experience and qualifications
Lack of appropriate skills or work experience are common factors among long-term unemployed people.

Numeracy and literacy
Many people lack numeracy and literacy skills which demonstrates a need to provide quality training opportunities.

Health problems
Many people considered their long-term injury, disability or overall poor health contributed to continuing unemployment.

Caring responsibilities
Some people reported that their commitment to caring for children and the difficulties associated with finding suitable and affordable care were barriers to finding employment.

Perceived discrimination
Some job seekers considered that employers were prejudiced against them because of their gender, age, ethnicity, unemployment duration or previous criminal convictions.