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Government tightens sanctions on beneficiaries with new traffic light system

Summarised by Centrist

The government has rolled out a new traffic light system for sanctions introducing more stringent requirements to maintain support. 

Social Development Minister Louise Upston warns, “Our government will not tolerate people who accept the Jobseeker Support benefit but refuse to uphold their obligation to seek a job.”

As of 12 August 2024 beneficiaries must reapply every six months, and those with work obligations will need a jobseeker profile before receiving any support. 

Stricter measures for beneficiaries include extending the period that a failure to meet obligations counts against them from one year to two years. 

Non-compliance could result in sanctions, including community work requirements and half of the benefit being restricted to essential purchases. A new sanction has also been introduced, mandating community work to help beneficiaries “build skills and confidence.”

The Labour Party, however, criticises the move, arguing it will deepen poverty and keep people on benefits longer, rather than helping them back into work. 

Read more over at RNZ

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