Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Risk of privatising youth employment services too high

23 February 2012

Risk of privatising youth employment services too high, say Greens

The Green Party has called on the Government to abandon plans to privatise the Ministry of Social Development’s youth employment services, following the release of a Cabinet paper which reveals Treasury has significant concerns about the plan.

The Cabinet paper, released under the Official Information Act, proposes targeting privatised employment services to those aged 16 and 17 who are not in employment, education, or training.

However, Treasury advise that there is significant risk of private providers gaming the system, for example by classifying young people at a higher risk of long term unemployment than might actually be the case. Treasury also advises the complexity of case management will make it very difficult for the Ministry of Social Development to audit the private contracts and compare their outcomes with the Ministry’s own service delivery.

“Our young people deserve better than being treated as guinea pigs in a risky ideological experiment that has already failed overseas,” Green Party Co-leader Metiria Turei said.

“John Key’s Government should learn from the United Kingdom, where a similar privatisation of employment services proved to be a disaster.

“In 2010, the Public Accounts Committee of the UK House of Commons reported the performance by the private sector providers of employment services in that country had been universally poor by comparison with that of public providers, that targets agreed with providers were over-optimistic, and that they underestimated the difficulty of supporting their clients.

“Private provision of youth employment services is nothing less than corporate welfare which will feather the nests of the providers’ executives and shareholders, while putting our young people at even greater risk of long-term unemployment.

“John Key’s Government also needs to be reminded that no amount of employment service provision, whether private or public, will get young people into employment if there are no jobs for them to go to,” Mrs Turei said.

”The Green Party has a plan to create those jobs. National does not.”

Report of UK House of Commons Public Accounts Committee: http://www.publications.parliament.uk/pa/cm201011/cmselect/cmpubacc/404/40402.htm:

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Parliament Today:

Werewolf: The Defence Pretence

Last year, the world began spending more money on weapons again, for the first time since 2011... New Zealand belongs to a region – Asia and Oceania – where military spending rose sharply in 2015, by 5.4 per cent. More>>

ALSO:

Gordon Campbell: On Not Crying Foul, Argentina

So a couple of guys found to be criminally liable of environmental pollution in Argentina lodge an application with the Overseas Investment Office… in order to buy some prime New Zealand rural land. Seems that their factory back home had carelessly and/or intentionally discharged toxic waste into the Lujan river. Bummer... More>>

ALSO:

Urban & Rural: $303m To Merge And Modernise New Zealand’s Fire Services

Internal Affairs Minister Peter Dunne today announced funding of $303 million over five years to combine urban and rural fire services into one organisation from mid-2017. More>>

ALSO:

High Trust Regime: What Did The PM Tell His Lawyer About Foreign Trusts?

The Government stopped the IRD from reviewing New Zealand foreign trusts shortly after the Prime Minister’s lawyer wrote to the Revenue Minister claiming John Key had promised him the regime would not be changed. More>>

ALSO:

Road Crime: Wicked Campers Vans Classified As Objectionable

The definition of publication includes any "thing that has printed or impressed upon it, or otherwise shown upon it, 1 or more (or a combination of 1 or more) images, representations, signs, statements, or words", The Classification Office has previously classified such 'things' as billboards, t-shirts, and even a drink can. This is the first time the Classification Office has classified a vehicle. More>>

ALSO:

'When New' Repairs: Landmark EQC Settlement

The Earthquake Commission has cut a deal with 98 Canterbury homeowners that affirms the government entity's responsibility to repair earthquake-damaged property to a 'when new' state, as well as covering repairs for undamaged parts of a property and clarifying its position on cash settlement calculations. More>>

ALSO:

Gordon Campbell: On Kiwirail’s Latest Stint In The Dogbox

The denigration of Kiwirail continues. The latest review (based on a 2014 assessment) of the options facing the company have enabled Kiwirail to be hung out to dry once again as a liability and burden on the taxpayer. More>>

ALSO:

Royal Society Report: Good Opportunities To Act Now On Climate Change

There are many actions New Zealand can and should take now to reduce the threat of climate change and transition to a low-carbon economy, a report released today by the Royal Society of New Zealand finds... More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news