Govt to reconsider abatement rates

WELLINGTON: In light of a labour shortage in the kiwifruit industry, the Social Development Minister says the amount beneficiaries can earn without their dole being cut will be lifted.

The ministry said it had put 1000 people into job vacancies but needed 1200 more people to pack an extra 20 million trays of kiwifruit.

Social Development Minister Carmel Sepuloni said in a preBudget announcement the Government was committed to lifting abatement rates for kiwifruitpicking workers within the next three years.

Abatement rates are the amounts cut from a person’s benefit because of income they receive.

‘‘We stated clearly we will be looking at lifting abatement rates. It will happen,’’ she said.

But New Zealand Kiwi Growers Incorporated chief executive Nikki Johnson told Morning Report yesterday the big obstacle to fruitpicking employment was the seasonal nature of the work, not the financial aspect.

‘‘What we’re asking people to do is come in for a short period of time and work really intensively and then to go back to whatever they were doing before and that makes it difficult to attract people who want fulltime jobs,’’ Ms Johnson said.

‘‘The pay rates we are paying this season, for picking in particular, is actually sitting at around $21 an hour and that is a reflection of both the need for us to attract workers and to a certain extent the inconsistency that can appear in the work when it’s raining.

‘‘We recognise that it’s difficult for people who are looking for fulltime work to come in for the 12week season,’’ she said. —