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October 30, 2024 • 4 mins

The latest estimate from the Social Development Ministry shows the average time people spend on a main benefit is around 13 years and four months.  

For people under the age of 25, that figure jumps to more than 20 years. 

Time spent on main benefits is 26% higher than in 2016, following a sustained period of increases under Labour.  

Labour's Social Development spokesperson Carmel Sepuloni told Ryan Bridge any government needs to focus on risk factors that lead to people going on welfare. 

She says that Minister Louise Upston continues to make out that it's going on the benefit itself that is problematic and should be punished, but the reality is that there are other factors involved.  

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Episode Transcript

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Speaker 1 (00:00):
New research on how much young beneficiaries are costing us
in the long term. This morning, the Ministry of Social
Development says those under the age of twenty five accessing
a main benefit continue receiving welfare for an estimated twenty
years extra on average. The government says this is one
of the many reasons it's forging ahead with reform. Carmeo

(00:21):
Cipoloni is the Labor Party's Social Development spokesperson. Why do
you think there's been such an increase in the forecast
for young people in particular who are on benefits. Why
is such an increase in the forecast for how long
they'll stay there?

Speaker 2 (00:36):
Well, I think it's important to note that the Minister
again has ignored the actual substance of the report. There
are a number of risk factors that lead to forecasted
numbers for people on benefit. That includes if they've been
they have had a history of care and protection, they
have been in prison or proceeded against both the police,

(00:56):
they've been in social housing in the last three years,
which means they're probably operiencing a level of poverty. That
they've been in hospital in the last three years, so
they've got health conditions or they've accessed mental health support
in the last three years, and so therefore they have
mental health issues. She continues to make out that it
is a result of them going on benefit that is problematic,

(01:18):
and then that they need to be punitive. The reality
is there are other risk factors that lead to people
needing to access welfare.

Speaker 1 (01:25):
Do you accept their dependent on welfare at this point?

Speaker 2 (01:29):
Oh, there are some that are are there about the welfare.

Speaker 1 (01:33):
Do you think there should be consequences for those who
are dependent on welfare, like having their welfare taken off them?
I mean, how else do you stop dependency.

Speaker 2 (01:42):
Let's keep in mind that a large number of people
on welfare have health and disability conditions, and this report
is about all all people. This report is about all people.

Speaker 1 (01:52):
But it specific Yeah, but it talks specifically about job
seeker support as well. People under the age of twenty
five on job seeker support woulds been average of about
eighteen more years on a benefit over their life to lifetimes.
That's fifty percent longer than when national was lasting.

Speaker 2 (02:09):
So any government needs to focus on the risk factors
that lead to people going on welfare. It's not going
on welfare that leads to the dependency. It's all of
the other things that are pointed out in the report,
which the minister conveniently ignored.

Speaker 1 (02:24):
Okay, if you accept that, if we accept your argument
there that it's about those risk factors, do you accept
that you Labor must have done an appalling job with
those risk factors. Given the length of increase in the forecasts, there.

Speaker 2 (02:37):
Were compounding impacts for these people in their lives. Mental
health issues didn't necessarily just start when they came on benefits.
And the other risk factor is, of course economic conditions
and what has been forecast there are that also leads
to the predictions for how long someone will stay on benefit.
It's important to also note that this is a bit

(02:58):
of a distraction. There are nearly twenty thousands more people
on benefit since the government took office. No, no, and
that's an indictment on them.

Speaker 1 (03:08):
Well, it's indictment on the economic conditions I suppose, isn't it.

Speaker 2 (03:11):
With the they also laid off over six thousand public servants.
This is true doctor infrastructure projects and we've got ten
thousand pure jobs in the building and construction sector.

Speaker 1 (03:21):
I've got time for one more question, come, and I
really want to ask you is there ever a situation
in which labor would cut the amount someone is paid,
would cut a benefit for a young person, no kids,
work ready, sitting on a benefit, sitting on welfare indefinitely,
would you ever cut that benefit?

Speaker 2 (03:41):
Well, we still had a sanction system in place, and
so when we were in there was still the ability
to apply sanctions if someone was not living up to
their obligations with respect to seeking work or the work
obligations that were in place. So that was already a
tool in the toolbox in seat.

Speaker 1 (04:01):
Okay, all right, we have to leave it there, came ol.
Thank you very much for your time. Appreciate it, Thank you, Thank.

Speaker 2 (04:06):
You for more. From early edition with Ryan Bridge.

Speaker 1 (04:09):
Listen live to News Talks. It'd be from five am weekdays,
or follow the podcast on iHeartRadio.
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