Lindsay Mitchell looks at Social Welfare Reform
in New Zealand and Overseas
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Labour's Welfare Policy Diametrically Opposed to Previous Position

Monday, November 7, 2011

Labour's welfare policy, announced today, promises to extend the In Work Tax Credit (IWTC) to all beneficiary parents.

Welfare commentator Lindsay Mitchell says this is a complete reversal of their previous position. "It was Labour that introduced the IWTC under the Social Security Amendment Bill 2006 which revolved around the principle that work in paid employment offers the best opportunity for people to achieve social and economic well-being."

The IWTC acted as a financial incentive for parents to join or rejoin the workforce. Now it appears Labour no longer believes this is the best pathway out of poverty.

"Removing the difference between income from a benefit and income from work risks driving up benefit numbers which will only add to the child poverty problem in the long run."

Lindsay Mitchell

Welfare Commentator
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Contact Lindsay Mitchell:

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Read Lindsay's Blog here.
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