The obligations of beneficiaries

Fundamental to any civilised and relatively affluent society is a reasonable benefit system. This is not just a matter of justice and fairness but also aids social cohesion. Every New Zealander is a member of our community and we are all in it together.

But, just as paying taxes is obligatory, those receiving benefits incur basic responsibilities. The right to a benefit, like every other right, comes with obligations.

With that approach in mind, most of the changes in the wide-ranging benefit ''reforms'' introduced across the country yesterday appear sensible.

First are the measures which will seem fair to most New Zealanders.

If a warrant is out for someone's arrest, there is no way the State, that is the taxpayer, should be paying that person money at the same time.

About 8000 beneficiaries have arrest warrants outstanding for matters such as unpaid fines.

While, clearly, it will be impossible for many of these people to pay fully their fines, at least the issue will be faced up to. It seems fair, too, that job-seekers in relevant industries should have drug-testing requirements.

Similarly, why should taxpayers pay parents who will not enrol their pre-school children with doctors or in early childhood education from age 3? These parents need to be encouraged and helped and, if need be, made to attend to these essential needs. If education and support has not worked, direct financial coercion should be applied.

The ''reforms'' reduce benefit categories to three; Jobseeker Support for those seeking and available for work, Sole Parent Support for sole parents with children under 14, and Supported Living Payment for people significantly restricted by sickness, injury or disability.

The reforms have been described as the largest upheaval in the welfare state since the Social Security Act was passed in 1938.

Gone are the sickness, unemployment and domestic purposes benefits. Because any change of this magnitude will include misjudgements and mistakes, it will be important for the Government to be willing to adapt as time goes on.

The stakes are high. Efforts have to be made to try to break welfare cycles and dependency and the costs of benefits are massive, with the potential to rise steadily.

All sickness beneficiaries and sole parents and widows with no children under 14 are now subject to the same requirement to look for full-time work as other unemployed people, although sickness may be a valid reason to postpone work temporarily.

The challenges for Work and Income will be huge, with 85,000 people - mainly the sick, long-term unemployed and sole parents and widows with no children under 14 moving into intensive ''work-focused case management''.

Supposedly, the personal case managers will help beneficiaries overcome barriers such as transport and child-care costs, addictions, debts and workplace attitudes to mental illness and other conditions.

Although good in theory, the practice will be extremely difficult and will be far more expensive administratively, costing an estimated $7000 for each beneficiary.

On the other hand, it is estimated the likely cut in beneficiary rolls could save $1.6 billion over four years.

There will also have to be flexibility and understanding of individual situations within this general push for work. There will be times for firmness and for leniency - and no place for fanatical, brutal, unrealistic attitudes and decisions. Having one case manager should also mean fewer ''fall through the cracks''.

The obvious underlying predicament is the lack of jobs. There simply are not the positions for thousands more on the unskilled or relatively unskilled job market with plenty of others eager, ready and hungry for work but unable to find employment.

Hence, the need for realism in the day-to-day interaction between beneficiaries and case managers.

Nevertheless, it must be hoped the changes can shift the focus to helping long-term beneficiaries.

Hopefully, the changes can help motivate more people. From the trials in Papakura, Auckland, it appears gains in independence and in learning through seminars and budget advice have been made. And, beneficiary numbers there have fallen substantially.

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