Bill to block benefit bludging in Australia

Press, 20 February 1987, Page 4

Bill to block benefit bludging in Australia

PA Wellington An.agreement that says New Zealanders cannot draw the dole in Australia for at least six months will be given legislative teeth by a bill introduced in; Parliament last evening.

The Social Security (Reciprocity with Australia) Bill, introduced by the Minister of Social Welfare, Mrs Hercus, gives force to an agreement, signed last October ensuring that New Zealanders in Australia and Australians in New Zealand have access to social welfare benefits, as if they were in their own countries.

Mrs Hercus said a “disparity” in access to the unemployment benefit had enabled an unemployed New Zealander to travel to Australia and by asserting permanent residence immediately qualify for an Australian unemployment benefit An Australian arriving in New Zealand would have to fulfil New Zealand’s standard 12-month residency qualification. The new agreement provided for a six-month wait for New Zealanders in Australia before they could draw the dole, and up to 12 months if they could not provide “some substantial evidence” of settlement there, Mrs

Hercus said. “The proposals are designed to reduce the level of abuse of the Australian social security scheme by New Zealanders, particularly by young unmarried persons,” she said.

“It is clear that some of our people ... are arriving in Australia with no savings or job prospects, claiming that they intend to remain permanently and expecting to be supported by unemployment benefits the whole time they are there.” About 12,000 New Zealanders draw the dole at a cost to thq Australian taxpayer of about sAust7o million a year; 40 per cent of the New Zealan-

ders have been there less than 12 months.

“It is hoped that the proposed changes will encourage young New Zealanders thinking of going to Australia without savings or job prospects to think again,” Mrs Hercus said.

Mr Merv Wellington (Nat., Papakura) said irritation between the two countries had been caused by what many Australians believed were the "excesses” of mainly young New Zealanders living off the Australian taxpayer. The bill was introduced and referred to the Social Services Select Committee.