National would curtail D.P.B. entitlement

Press, 15 July 1987, Page 1

National would curtail D.P.B. entitlement

By

PETER LUKE

political reporter

A National Government would end automatic entitlement to the domestic purposes benefit for single parents, as part of a complete overhaul of the social welfare system, said the Leader of the Opposition, Mr Bolger, yesterday. The welfare structure had “lost its way,” he said when launching his party’s social welfare policy. “It is possible in New Zealand to get a higher payment with benefits than if you are earning a basic wage in certain circumstances. That we believe is quite wrong,” Mr Bolger said.

The policy promotes the family as the principal social unit and argues that the benefit system must equip recipients to become self-supporting. Mr Bolger yesterday repeated promises to do away with the national superannuation surcharge and to replace the unemployment benefit. The main new target of the

policy was the domestic purposes benefit. Mr Bolger said it would not be available on a blanket or automatic basis to single parents. Each case would have to be considered on its merits. Single parents under 18 would be expected to be supported by their parents. Only if this was impossible would the State have an obligation to assist. When families lost the support of the income earner the benefit “would continue to be available if the need is established,” the policy said. National has promised also to strengthen the powers of the Social Welfare Department to collect contributions from liable parents. “Unpaid contributions will, if necessary, be deducted from any future benefit or superannuation entitlements.”

Mr Bolger said some parents had evaded their contributions by fleeing to Australia. This loophole would be closed by a reciprocal agreement with Australia.

The policy is careful to avoid the benefit-basher stereotype. Certain groups would continue to require welfare support, and the welfare of the children of single parents would be a prime consideration, it said.

Mr Bolger noted also that at least 50,000 single parent households provided for their own incomes without the benefit. The benefit supported 90,000 children which took $7BO million of Government expenditure. The benefit applies at present to solo parents, people who give up working to care for a sick relative, or women, aged over 50, who are classified as “women alone.” Solo parents qualify if they are aged over 16, “ordinarily resident” in New Zealand, and if they identify the father of their child. National has promised also to review the family benefit and Family Support to ensure monetary benefits for families are better targeted.

Further report, page 3