Latest news with #TrafficLightSystem
NZ Herald
26-05-2025
- Business
- NZ Herald
New sanctions drive benefit accountability: Govt
'Community Work Experience means people with work obligations who don't comply may have to find and participate in at least five hours of community work experience per week at one or more community or voluntary sector organisations, for four weeks.' The minister said that it's now mandatory for some people and their partners to have a completed Jobseeker Profile before their benefit can be granted, also from today. 'And an obligation failure will now count against a person for two years, instead of one,' Upston said. 'These very fair and reasonable sanctions will allow clients to continue receiving their full benefit, instead of the 50% reduction they would have experienced with a financial sanction.' The introduction marks the launch of the second phase of the Traffic Light System. The first phase was launched last year to help beneficiaries better understand their obligations and what they need to do to stay on track. 'The new sanctions will ensure accountability in the welfare system for people who don't meet their obligations, while also recognising that reducing benefits isn't the answer for everyone,' Upston said. 'Around 98% of beneficiaries are complying with their obligations – those who don't are the ones who need to consider the increased consequences. 'Overall, these changes will ensure we have a welfare system proactively supporting those who can work to get off the benefit and into employment. This will contribute to the Government's target to have 50,000 fewer people on Jobseeker Support by 2030.' The minister recognised the efforts of frontline Ministry of Social Development (MSD) staff working with job seekers. 'I thank MSD staff who have undergone training to support clients around the Traffic Light changes,' Upston said. 'We know the faster we can help beneficiaries find suitable employment, the better the outcomes for them, their families, our communities and our economy.' Two more non-financial sanctions, Report Job Search and Upskilling, will become available to some clients in October this year, further expanding the Traffic Light System. Non-financial sanctions will only be available to clients for a first-obligation failure if they are in active case management or have dependent children. If they do not meet this criteria, they will have a financial sanction imposed as before. These clients will also need to have an appointment with the MSD within five working days and meet any other eligibility criteria. MSD staff will consider a client's circumstances before imposing a non-financial sanction, to ensure it is the most appropriate option for the client. Young people getting the Youth Payment or Young Parent Payment will be assigned a Traffic Light colour, so they can easily see if they're on track with their obligations. No other Traffic Light System-related changes will apply to these beneficiaries or young partners with youth activity obligations.
Scoop
26-05-2025
- Business
- Scoop
New Sanctions Drive Benefit Accountability
Press Release – New Zealand Government Social Development and Employment Minister Louise Upston says the Money Management and Community Work Experience sanctions can apply to a first obligation failure while getting a main benefit, such as Jobseeker Support. Hon Louise Upston Minister for Social Development and Employment From today, beneficiaries failing to meet the obligations they agreed to can expect two new measures to encourage people off welfare and into work. Social Development and Employment Minister Louise Upston says the Money Management and Community Work Experience sanctions can apply to a first obligation failure while getting a main benefit, such as Jobseeker Support. 'From today, Money Management means people who don't comply may have half their main benefit put on a payment card for four weeks. This is a sensible move,' Louise Upston says. 'The card can only be used at approved shops for groceries, transport, health, and education-related items. People will continue to get the remainder of their main benefit, as well as any supplementary assistance (such as for ongoing accommodation costs), directly into their bank accounts. 'Community Work Experience means people with work obligations who don't comply may have to find and participate in at least five hours of community work experience per week at one or more community or voluntary sector organisations, for four weeks. 'Also from today, it's now mandatory for some people, and their partners, to have a completed Jobseeker Profile before their benefit can be granted. 'And an obligation failure will now count against a person for two years, instead of one. 'These very fair and reasonable sanctions will allow clients to continue receiving their full benefit, instead of the 50 per cent reduction they would have experienced with a financial sanction,' Louise Upston says. The introduction marks the launch of the second phase of the Traffic Light System. The first phase was launched last year to help clients better understand their obligations and what they need to do to stay on track. 'The new sanctions will ensure accountability in the welfare system for people who don't meet their obligations, while also recognising that reducing benefits isn't the answer for everyone. 'Around 98 per cent of beneficiaries are complying with their obligations – those who don't are the ones who need to consider the increased consequences. 'Overall, these changes will ensure we have a welfare system proactively supporting those who can work to get off the benefit and into employment. This will contribute to the Government's target to have 50,000 fewer people on Jobseeker Support by 2030,' Louise Upston says. The Minister again recognised the efforts of frontline MSD staff working with job seekers. 'I thank MSD staff who have undergone training to support clients around the Traffic Light changes. We know the faster we can help beneficiaries find suitable employment, the better the outcomes for them, their families, our communities, and our economy.' Two more non-financial sanctions, Report Job Search and Upskilling, will become available to some clients in October this year, further expanding the Traffic Light System. Notes: Non-financial sanctions will only be available to clients for a first obligation failure if they are in active case management or have dependent children. If they do not meet this criteria, they will have a financial sanction imposed as before. These clients will also need to have an appointment with MSD within 5 working days and meet any other eligibility criteria. MSD staff will consider a client's circumstances before imposing a non-financial sanction, to ensure it is the most appropriate option for the client. Young people getting Youth Payment or Young Parent Payment will be assigned a Traffic Light colour, so they can easily see if they're on track with their obligations. No other Traffic Light System-related changes will apply to these clients or young partners with youth activity obligations.
Scoop
25-05-2025
- Business
- Scoop
New Sanctions Drive Benefit Accountability
Press Release – New Zealand Government Social Development and Employment Minister Louise Upston says the Money Management and Community Work Experience sanctions can apply to a first obligation failure while getting a main benefit, such as Jobseeker Support. Hon Louise Upston Minister for Social Development and Employment From today, beneficiaries failing to meet the obligations they agreed to can expect two new measures to encourage people off welfare and into work. Social Development and Employment Minister Louise Upston says the Money Management and Community Work Experience sanctions can apply to a first obligation failure while getting a main benefit, such as Jobseeker Support. 'From today, Money Management means people who don't comply may have half their main benefit put on a payment card for four weeks. This is a sensible move,' Louise Upston says. 'The card can only be used at approved shops for groceries, transport, health, and education-related items. People will continue to get the remainder of their main benefit, as well as any supplementary assistance (such as for ongoing accommodation costs), directly into their bank accounts. 'Community Work Experience means people with work obligations who don't comply may have to find and participate in at least five hours of community work experience per week at one or more community or voluntary sector organisations, for four weeks. 'Also from today, it's now mandatory for some people, and their partners, to have a completed Jobseeker Profile before their benefit can be granted. 'And an obligation failure will now count against a person for two years, instead of one. 'These very fair and reasonable sanctions will allow clients to continue receiving their full benefit, instead of the 50 per cent reduction they would have experienced with a financial sanction,' Louise Upston says. The introduction marks the launch of the second phase of the Traffic Light System. The first phase was launched last year to help clients better understand their obligations and what they need to do to stay on track. 'The new sanctions will ensure accountability in the welfare system for people who don't meet their obligations, while also recognising that reducing benefits isn't the answer for everyone. 'Around 98 per cent of beneficiaries are complying with their obligations – those who don't are the ones who need to consider the increased consequences. 'Overall, these changes will ensure we have a welfare system proactively supporting those who can work to get off the benefit and into employment. This will contribute to the Government's target to have 50,000 fewer people on Jobseeker Support by 2030,' Louise Upston says. The Minister again recognised the efforts of frontline MSD staff working with job seekers. 'I thank MSD staff who have undergone training to support clients around the Traffic Light changes. We know the faster we can help beneficiaries find suitable employment, the better the outcomes for them, their families, our communities, and our economy.' Two more non-financial sanctions, Report Job Search and Upskilling, will become available to some clients in October this year, further expanding the Traffic Light System. Notes: Non-financial sanctions will only be available to clients for a first obligation failure if they are in active case management or have dependent children. If they do not meet this criteria, they will have a financial sanction imposed as before. These clients will also need to have an appointment with MSD within 5 working days and meet any other eligibility criteria. MSD staff will consider a client's circumstances before imposing a non-financial sanction, to ensure it is the most appropriate option for the client. Young people getting Youth Payment or Young Parent Payment will be assigned a Traffic Light colour, so they can easily see if they're on track with their obligations. No other Traffic Light System-related changes will apply to these clients or young partners with youth activity obligations.
Scoop
25-05-2025
- Business
- Scoop
New Sanctions Drive Benefit Accountability
From today, beneficiaries failing to meet the obligations they agreed to can expect two new measures to encourage people off welfare and into work. Social Development and Employment Minister Louise Upston says the Money Management and Community Work Experience sanctions can apply to a first obligation failure while getting a main benefit, such as Jobseeker Support. 'From today, Money Management means people who don't comply may have half their main benefit put on a payment card for four weeks. This is a sensible move,' Louise Upston says. 'The card can only be used at approved shops for groceries, transport, health, and education-related items. People will continue to get the remainder of their main benefit, as well as any supplementary assistance (such as for ongoing accommodation costs), directly into their bank accounts. 'Community Work Experience means people with work obligations who don't comply may have to find and participate in at least five hours of community work experience per week at one or more community or voluntary sector organisations, for four weeks. 'Also from today, it's now mandatory for some people, and their partners, to have a completed Jobseeker Profile before their benefit can be granted. 'And an obligation failure will now count against a person for two years, instead of one. 'These very fair and reasonable sanctions will allow clients to continue receiving their full benefit, instead of the 50 per cent reduction they would have experienced with a financial sanction,' Louise Upston says. The introduction marks the launch of the second phase of the Traffic Light System. The first phase was launched last year to help clients better understand their obligations and what they need to do to stay on track. 'The new sanctions will ensure accountability in the welfare system for people who don't meet their obligations, while also recognising that reducing benefits isn't the answer for everyone. 'Around 98 per cent of beneficiaries are complying with their obligations – those who don't are the ones who need to consider the increased consequences. 'Overall, these changes will ensure we have a welfare system proactively supporting those who can work to get off the benefit and into employment. This will contribute to the Government's target to have 50,000 fewer people on Jobseeker Support by 2030,' Louise Upston says. The Minister again recognised the efforts of frontline MSD staff working with job seekers. 'I thank MSD staff who have undergone training to support clients around the Traffic Light changes. We know the faster we can help beneficiaries find suitable employment, the better the outcomes for them, their families, our communities, and our economy.' Two more non-financial sanctions, Report Job Search and Upskilling, will become available to some clients in October this year, further expanding the Traffic Light System. Notes: Non-financial sanctions will only be available to clients for a first obligation failure if they are in active case management or have dependent children. If they do not meet this criteria, they will have a financial sanction imposed as before. These clients will also need to have an appointment with MSD within 5 working days and meet any other eligibility criteria. MSD staff will consider a client's circumstances before imposing a non-financial sanction, to ensure it is the most appropriate option for the client. Young people getting Youth Payment or Young Parent Payment will be assigned a Traffic Light colour, so they can easily see if they're on track with their obligations. No other Traffic Light System-related changes will apply to these clients or young partners with youth activity obligations.
Scoop
15-05-2025
- Business
- Scoop
Social Security Amendment Bill Passes Into Law
Press Release – New Zealand Government This bill brings new tools to ensure beneficiaries stay on track with their obligations to find or prepare for work if they are able, Social Development and Employment Minister Louise Upston. Minister for Social Development & Employment The Social Security Amendment Bill has passed its third reading in Parliament today expanding the welfare Traffic Light System that launched in August 2024. 'This bill brings new tools to ensure beneficiaries stay on track with their obligations to find or prepare for work if they are able', Social Development and Employment Minister Louise Upston. From 26 May 2025, two new non-financial sanctions can be imposed. Rather than reducing a benefit, these non-financial sanctions are: Money Management – where half of someone's benefit is put onto an MSD payment card that can only be used in approved shops to buy essential items, such as groceries, transport, healthcare-related items, and education-related items. This will be for a four-week period. Community Work Experience – where someone will have up to two weeks to find suitable work experience and is required to participate in a placement at one or more community or voluntary organisations for at least five hours per week for four weeks. From 20 October, two more non-financial sanctions will be implemented: Upskilling – Jobseekers will be required to attend and participate, to MSD's satisfaction, in one or more employment-related training courses or programmes for a minimum of five hours per week over a four-week period. Report Job Search – Jobseekers must undertake at least three job-search activities per week, to MSD's satisfaction, and report on them weekly over a four-week period. Also from 26 May 2025 new policy settings will be put in place: Applicants for certain benefits, and their partners if relevant, will be required to have a completed Jobseeker Profile before they can be granted a benefit. New obligation failures will carry over for two years rather than one, increasing the likelihood that those who repeatedly refuse to comply with their obligations will have their benefit cancelled if they remain on it for more than a year. From 1 July 2025, Jobseeker Support clients must reapply for their benefit every 26-weeks (currently 52-weeks). This will require clients to engage with MSD more frequently, allowing for more proactive support and a focus on moving people into employment where they can. 'These changes will support more people into work and help achieve the Government's target of having 50,000 fewer people on Jobseeker Support by 2030, which is forecast to save the country over two billion dollars in welfare payments,' Louise Upston says. 'Because we believe having a job is the best way for people to lift themselves and their families out of hardship, the Government is setting a clear expectation that those who can work, should work. 'Our economy is stronger when more people are in work, and as we look to unleash economic growth, it's important that as many Kiwis as possible share in the benefits of work.'
