The Government’s plans to introduce means testing for 18 and 19-year-olds applying for jobseeker benefits.
It has left the mayors of Kaikōura and Hurunui questioning how it will affect local youth and their Mayors’ Taskforce for Jobs (MTFJ) programme.
The Kaikōura and Hurunui MTFJ programmes had their funding slashed earlier this year, after the Ministry of Social Development (MSD) changed its focus to getting young people off the jobseeker benefit rather than helping school leavers.
Social Development Minister Louise Upston announced last week a new parental assistance test will be introduced from next month for those on the jobseeker benefit, with the threshold being a household income of $65,529.
Mrs Black said she watched the announcement with interest.
‘‘I’m sure these policies come with good intent, but it doesn’t always work on the ground,’’ she said.
‘‘The majority of parents want to do what’s right for their children, but I do appreciate for many parents there’s a lot pressures.
‘‘Policymakers are not always as in touch with what a difference it’s (MTFJ) making on the ground as we are.’’
Mr Mackle said the Kaikōura MTFJ programme is continuing to support local youth, ‘‘but we need to keep jumping through more and more hoops’’.
‘‘It’s hard to get young people into a job, and even though it tends to be low paid, it’s a risk for employers to take on a young person.
‘‘So, a little help goes a long way for the employer to consider doing it.’’
The Kaikōura MTFJ contract is held by Te Hā o Mātauranga and operations lead Vicki Gulleford said she is concerned at the impact on families from the benefit changes.
‘‘Will family tax credits extend for 18 and 19-years-olds?
‘‘It would be unfair for a family to have a reduction in family tax credits for their 18-year-old, who then cannot get a benefit. It would force families into greater financial strife.
‘‘Alternatively it may result in parents choosing to work less, in order to meet the income criteria and bring more income into the household via the benefit.’’
She also questioned what will happen to 18 and 19-year-olds who have left home and been working, but their circumstances change and they apply for a benefit.
‘‘I understand that part of this change is to encourage young people to stay in education or move into further education, but how does this work for rural youth where there isn't tertiary training available except for online?’’
MSD industry partnerships director Amanda Nicolle said the Ministry is still working through the details of how the policy will work, including how it may affect eligibility under the MTFJ programme.
‘‘We will have a clearer idea of the availability of all employment services and the eligibility of this cohort to access those services, once agreements are in place for the 2026/27 financial year.’’
Hurunui District Council community partnerships manager Rhea Duffy said Hurunui’s new contract was for 15 sustainable job placements, including eight on a jobseeker benefit.
Under the new contracts, a sustainable job placement is defined as being in the job of at least 30 hours a week for at least six months.
The Kaikōura MTFJ programme has a new target of 12 sustainable job placements, compared to 30 for the previous 12 months, which can include up to five school leavers or young people not on a benefit.
By David Hill, Local Democracy Reporter
■ LDR is local body journalism co-funded by RNZ and NZ On Air.
