Jobseeker Sanctions: ‘Forcing People To Volunteer Is A Contradiction In Terms’

Lauren
Crimp, Reporter

The
government is better off using its resources to help people
find work, rather than punishing those who can not, says the
Salvation Army.

Two new ‘non-financial’
sanctions come into force on Monday for beneficiaries
who do not meet their obligations.

Some people may
have half their weekly benefit put on to a payment card for
four weeks, that can only be spent on essential items at
approved shops.

They may also have to find volunteer
work for at least five hours each week, again for four
weeks.

Social Development Minister Louise Upston said
the sanctions would encourage people off welfare and into
work.

“These very fair and reasonable sanctions will
allow clients to continue receiving their full benefit,
instead of the 50 per cent reduction they would have
experienced with a financial sanction,” she said.

But
Salvation Army principal social policy analyst Paul Barber
said it was not the most helpful approach.

“We would
really like to see Work and Income resources applied to
increasing the amount of training and employment pathways,
working with employers who are willing to take people on and
really creating a constructive space for people to find
employment,” he said.

“That’s a stronger way to reduce
the number of people on the Jobseeker benefit.”

Barber
said the Salvation Army did not support mandatory work
experience for beneficiaries.

He expected
organisations like his would have more people knocking on
their door seeking volunteer opportunities as part of the
new rules, but they were not resourced to respond.

“We
welcome opportunities to provide some work experience, but
this needs to be done in a way that respects the experience
of the person, and forcing people to volunteer is pretty
much a contradiction in terms,” he said.

Barber was
concerned community organisations would have to turn away
vulnerable people who don’t need any more rejection in their
lives.

With unemployment and Jobseeker numbers
projected to rise, it was not the time to add more
punishments for beneficiaries, he said.

Money
management risks people struggling to pay for
essentials

Ringfencing a portion of someone’s benefit
for specific spending risked them falling deeper into
financial hardship, said Pakuranga and Howick Budgeting
Service manager Megan Dangen.

It could mean people
struggle with other important costs like rent and loans, she
said.

“We find with a lot of our clients, that rent is
a major contributor to their weekly financial situation,”
she said.

“It could cause a lot of stress in the
household if they just can’t make ends meet… we also have
a lot of clients, I would say 90 percent of our clients,
that are in huge amounts of debt.”

Official statistics
from the Ministry of Social Development showed the average
beneficiary spent more than
53 percent of their income on housing costs.

Many
people were not financially literate and would struggle to
manage the restriction on their benefit, said
Dangen.

Upston said 98 percent of beneficiaries were
complying with their obligations, so they would not be
subject to the
sanctions.

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