PM won’t rule out dole benefit sanctions

Prime Minister Jacinda Ardern spent yesterday morning managing expectations around Regional Development Minister Shane Jones’ plans to get young unemployed people off the benefit.

Jones – formerly a Labour minister but now part of coalition partner NZ First – told media on Sunday he wants to get young unemployed people ‘‘off the couch’’ and into work with his ‘‘Working for your Country’’ scheme.

While signalling that Jones was speaking about his own ideas, Ardern wouldn’t rule out benefit sanctions for those who refuse work.

Policy details are scarce but would involve compelling longterm unemployed young people into new work opportunities in the regions.

It would differ from traditional work-for-dole schemes in that they would be paid the minimum wage, not just their regular benefit.

‘‘If you’re in receipt of a benefit and not willing to change your lifestyle and get into work, then expect sanctions to be put on you,’’ Jones said.

He admitted the matter had not gone to Cabinet and his Labour colleagues may not be quite as keen as he was, something Ardern sought to highlight yesterday.

Ardern said Jones would be meeting with Employment Minister Willie Jackson to discuss his plans before bringing them to Cabinet.

She would not rule out withdrawing the benefit from those who refused to work – noting that these sanctions already existed to an extent – but saying that decision was for her full Cabinet to make.

‘‘I’m not going to pre-empt the decision that has to be made by a collective group of people with all the facts in front of us,’’ Ardern said.

‘‘In our Ready-For-Work scheme we were really specific about saying it wasn’t compulsion.

‘‘In the past we haven’t seen that as necessary, keeping in mind sanctions have always applied in our benefit system.

‘‘For young people [sanctions] have always existed.’’

Ardern reiterated that the Government was concerned about sanctions hurting families, and highlighted that Labour’s own welfare policy and Jones’ ideas had some overlap, particularly around paying the minimum wage.

‘‘What we’re talking about is actually genuine work – which should lead on to other opportunities – where you would be paid a legal wage.

‘‘Keeping in mind of course the dole is less than that so it is at a higher rate than that,’’ Ardern said.

National’s regional development spokesman Simon Bridges said there was a ‘‘clear coalition disagreement’’.

‘‘Within 24 hours of Shane [Jones] talking big on TV he has been rumbled by the prime minister, who has made no secret of the fact that she disagrees with workfor-the-dole and she disagrees with the fact that he’s been riffing on it in public rather than going through a Cabinet process.’’