Main Points:

• raise age of eligibility for the dole to 21.
• create a subsidy for under 21 year olds to encourage employment and the learning of basic work ethic.
• encourage businesses to create 9 to 3 positions (POSAC) to enable sole parents to work and look after children, thereby reducing the load on the DPB.

A Valuable Resource for us

The welfare system is a valuable part of our economic and social infrastructure. Its existence is a reflection of the regard we have for the welfare of all citizens regardless of their upbringing, circumstances or disabilities. We do, however, have to strike a balance between providing support when needed and creating unnecessary barriers to self sufficiency. Each type of benefit carries with it different purpose, responsibilities, and characteristics.

Expenditure for the year ending in 2006 for welfare was as follows:

• National superannuation, $6.4 billion
• domestic purposes benefits, $1.5 billion
• family support, $1.3 billion
• invalid and sickness benefits, $1.1 billion
• accommodation supplements, $0.8 billion
• unemployment benefits, $0.7 billion

This is by far the greatest drain on social welfare, resulting in a sum larger than all the other benefits combined.  After a lifetime of paying taxes, NZ citizens can be assured of some support in their old age.

As we learn to live longer, so too will we learn to lead productive lives for longer.  It is well known that old people fare better if they retain productivity and functionality.  Many men experience stress upon retirement because they no longer feel useful.  Society can make it easier for the elderly by supporting their attempts to remain productive. 

Through the provision of the DPB, the government recognizes the importance of the role of parenthood and the welfare of children. By paying single people to bring up their children, the government is replacing the role traditionally carried out by the breadwinner of the house in providing material support. Through the DPB taxpayers support single parents indirectly through taxes. The benefits of this include:

• Women and children not having to endure undue conflict or abuse as a result of being in a situation of material dependence with a man.
• Women and men not having to endure a relationship that is of no benefit to either of them or their children.
• Women being assured of support when there is none forthcoming from the biological father or any other person.

In all these cases (and more) the DPB gives people the choice. In 1974, with the institution of the DPB, the government recognized the importance of the role of parenthood. Since then the numbers of solo parents on the DPB has increased year by year. One of the reasons behind this is that businesses have failed to keep up with the social change by supporting the role of parenthood in the workplace. Work is considered to have greater importance than rearing children and there is little provision made in the business environment for those who wish to carry out both roles equally well. The result is that often either the children are put into day care, or the parent opts out of the workforce. If businesses were to recognize that for many people the roles of work and parenting have or should have equal importance and created 9 to 3 jobs to cater for that, then they would do the following:

• create more employment options for their business and increase their potential employee base.
• reduce the numbers on the DPB
  
• send a message to parents of all socio-economic levels that the role as parent is important.

In response parents are likely to do a better job as parents, with the resulting social and economic benefits. They are more likely to supervise children rather than let them wander the streets. They are more likely to give children time and attention so that they can better learn from the experience of their parents and grow to become healthy, balanced citizens who make a good contribution to society and become good future employees. Support of the dual role of parent and employee applies especially to parents of school age children. For more information on this issue visit POSACs.

The E-Party would seek to make POSAC a legal definition in employment law, so that anyone signing a contract using it is ensured of certain provisions enabling them to successfully carry out dual roles.

This consists of an income dependent payment to caregivers for each child in their care.  Prior to the computing age this was a fixed universal allowance that all parents received regardless of income.

Because there are many income dependent benefits and subsidies (family support, accommodation allowance, community services card etc) there are many disincentives to families increasing their earnings through work.  In order to create a more level playing field and to encourage, honour and support the rearing of children, family support should revert to a fixed universal benefit paid to the main caregiver.

This includes people with psychological disorders and biological conditions or diseases. Following are some examples: schizophrenia, depression, drug addiction, intellectural handicap, deafness, blindness, tetraplegia, quadraplegia, diabetes, cancer,multiple schlerosis...

Since the 1960s, sickness beneficiaries have increased in numbers because of the closure of psychiatric hospitals such as Lake Alice. Running these institutions was more expensive than the current benefit and patients lived much less functional lives than is possible now. Similarly, general hospitals hold patients in hospital beds for shorter periods because ready availability of the sickness benefit makes care at home more viable.

There is some criticism that otherwise healthy individuals find their way onto the sickness benefit in order to avoid having to work. Supposedly a doctor cannot consent to a sickness benefit without the presence of a credible psychological or biological condition. There is no doubt that employers are prejudiced against people with disorders, illnesses or disabilities. Sufferers have to deal with this prejudice as well as the condition itself, creating a vicious cycle that is not conducive to work. Should these critics understand and learn to make more concessions for people with disabilities then they will be rewarded with greater productivity from them. This can and is being achieved through legislation for things like wheelchair ramps and anti-discrimination laws. Feats such as Graeme Dingle's conquest of Mt Cook on prosthetic legs sets an example of what a disabled person can do.

This is an income and rent/mortgage related benefit paid to beneficiaries and workers. While all benefits and many pay schemes are uniform throughout the country, rents and house prices vary from region to region. Places where there is greater demand for employees often have higher living costs, such as in Auckland. This benefit helps to offset some of that variation, providing more support for people where costs are higher and ensuring that employees and potential employees remain where they are most needed.

Current trends in the housing market indicate that accommodation needs are going to increase and there is likely to be pressure on this benefit to increase as well. The increase is brought about by forces outside the control of the average NZer, by property investors and immigration, making home ownership a game that is becoming increasingly harder to get into. At the same time the cost of building homes is increasing as wages and minimum building standards increase.

The unemployed are a valuable resource. They represent a pool of potential employees with the following economic implications:

• They provide a cushion for businesses during restructuring. Without this benefit the social implications of laying off staff would be horrendous. With the benefit, businesses are able to refocus and change much more easily, and remove redundant positions from their organizations.
  
• They provide competition for wages, keeping them at a realistic level and providing an incentive for those who are in employment to perform well.

The existence of the unemployment benefit has the following social implications:

• Individuals are no longer dependent on their family or social status for support when not employed. They can feel assured that there is support for them regardless.
• Individuals do not have to endure excessive exploitation for the sake of having a job.

In light of the above those on the dole cannot be considered to be bludgers any more than someone in employment. Bludging is found everywhere and is a characteristic of humanity and not just of people who are on the dole. The E-Party would endeavour to support the unemployed back into employment but would not consider work for the dole schemes except in those cases where lack of motivation really has become an issue.