Labour fails to act on welfare report recommendations


In August 2017, hot on the heals of Prime Minister Jacinda Ardern becoming Leader of the Labour Party and Leader of the Opposition, co-leader of the Greens Metiria Turei took a gamble. She admitted in a speech where she laid down the case for complete reform of Work and Income New Zealand that she had committed benefit fraud.

The nation was stunned. The Greens were understandably horrified, especially when she mentioned it had not yet been paid back. A political revolt was brewing. One of the brightest rays of hope in the Greens was flushing her career down the toilet and trying to take the party with it. To any Green member that gurgling sound must have sounded like something from a horror movie that had become too real for their liking.

But maybe it was a political master stroke in disguise whereby she would end her career, the Greens would get a new co-leader – though I honestly thought Mrs Turei was alright – and the Greens would use her credibility to get a promise of reform from Labour. Master stroke or not, that is what looked like happening.

Until Friday. On Friday the report that was meant to recommend widespread reform of the Ministry of Social Development and its umbrella agencies was finally delivered 20 months after Labour formed a coalition and 21 months after Mrs Turei’s shock announcement. The hard done ever suffering honest folk who deal with Work and Income on a daily basis and the similarly suffering folk who work there must have been quietly thinking that this would be the day when the Government would announce sweeping reforms to enact the changes recommended.

Quelle horreur!!! Jaws dropped to places where hydraulic assistance will be needed to get them back. Hearts sank to the the deepest recesses. The hopes of thousands dashed by a pathetic flimsy announcement that only three of the recommendations in the report would be adopted by the Government.

The temptation to blast the Greens for having gone along with this is there. However in fairness to them they managed to squeeze out in the 2018-19 Budget a significant amount of money. When added to the promises Labour made to its own members and $3 billion to New Zealand First for regional development, the total amount of money that is locked up is substantial and does not leave much spare change behind. The Greens might have to just bite a potentially painful bullet and accept that this is not going to happen rapidly – and as one who has been messed around by Work and Income, I can understand the frustration of those who might have benefited from a bigger effort to implement the recommendations.

Instead it is Carmel Sepuloni who finds herself in the sights of this blog. After a year of relative inactivity in terms of getting policy passed and implemented, to come out and say that just three of the recommendations are going to be implemented, this is really a massively wimpish response. It could be forgiven if there is an election year promise or something more in either this years or next years Fiscal Budget. Otherwise when Ms Ardern reshuffles her cabinet, I don’t fancy Ms Sepuloni keeping hold of the Social Welfare portfolio.

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