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Copeland supports making work pay initiative

Media Statement
For immediate release
Thursday, 13 May 2004

Copeland supports making work pay initiative

United Future revenue spokesperson Gordon Copeland today endorsed the “making work pay” principle which will be central to the family support measures contained in this year’s Budget.

“United Future has consistently lobbied the Government to ensure that the juxtaposition between work and welfare always provides clear incentives in favour of work.

“This means, for example, that a working family with two children will always be significantly better off in net income terms than their beneficiary family equivalent.

“The gap between welfare and work has to be bigger because significant extra costs arise when people move into work, i.e. clothing, transportation etc The current “dovetailing” arrangements between work and welfare do not do that.

“The 1991 benefit cuts were rushed through and no-one took the time to ensure that accommodation supplement abatements and similar entitlements did not create disincentives, meaning that some families were actually worse off when they entered the work force. You don’t have to be a rocket scientist to conclude that any system that doesn’t make work pay is deeply flawed.

“It’s a public policy truism that if we want more of something then we must encourage it and I for one am well pleased that this message has not been lost on the Government in its preparation of this year’s Budget,” he said.


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