Benefit numbers continue to climb

Released today, benefit numbers continue to climb even as so many industries are experiencing shortages of workers. The aged-care sector, and the lack of labour resource is dominating talkback today.

Yes, there is a regular seasonal rise to the end of the December quarter. However at December 2017 there were almost 10,000 fewer beneficiaries than at December 2018.

All of the increase is in Jobseeker Support. Heard on radio this morning Shane Jones' trees will not be planted because there aren't enough people to plant them. Travelled around the North Island over summer and saw multiple signs for workers - apply within.

And the reason for this according to MSD:

Cancellations
The number of benefits cancelled has decreased by 4,136 from the December 2017 quarter, to 35,710 in the December 2018 quarter. Most of this decrease came from a decreased number of Jobseeker Support cancellations. Obtaining work is the main reason for benefit cancellations, however this reason fell by 2,682 when compared to the December 2017 quarter.

So the upshot is New Zealand is a country rich in work opportunities yet one in ten people can't support themselves.

Update: Minister's headline: Benefit rates remain low

Thursday, 17 January 2019, 10:49 am

Press Release: New Zealand Government

ACT and National respond