Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

DPB Holds Back GDP


DPB Holds Back GDP

New Zealand must reform welfare if it wants to lift our GDP per capita rate, said Lindsay Mitchell, petitioner for a parliamentary review of the DPB, commenting on a working paper recently released by Treasury.

"Last month Treasury released a paper about labour force participation and it's effect on GDP. New Zealand women aged 25-34 have particularly low labour force participation rates relative to other OECD countries."

"The paper therefore modelled an increase in labour force participation among this group and found, 'The results suggest that increasing labour force participation of women aged 25-34 to the average, adjusted for Paid Maternal Leave, of the top 5 OECD nations increases employment by 28,800 and generates an additional $1.215 billion of GDP, making GDP 1.0% higher than it actually was in the baseline year 2001.' "

"Ministry of Social Development data showed that in March this year 54 percent or nearly 59,000 of DPB recipients were aged 25-39. Additionally, 68 percent of recipients with children schoolage and older do no paid work."

"The Treasury paper clearly shows that if we can get these parents, mainly women, into work, GDP can be raised. This would not only help close the gap between NZ's GDP per capita and other OECD countries (we currently trail at 20th) but it would improve the lives of these women and their children."

"The report comments, 'GDP has well-known limitations as a measure of well-being. However, some of the factors that drive GDP also have important implications for well-being as it provides social inclusion and protects against poverty. It also has intergenerational effects, and entering employment from welfare can break the cycle of disadvantage and poverty for the worker and his or her children.' "

"If we don't want to keep sliding backwards we must accept, for everybody's sake, that jobs are far better than benefits."

Lindsay Mitchell petitioner for a parliamentary review of the DPB forms available from www.liberalvalues.org.nz e-mail dandl.mitchell@clear.net.nz

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Veronika Meduna: The Kaikoura Rebuild

A Scoop Foundation Investigation

Friday will be a big day for people north of Kaikōura – and for hundreds of construction workers who are racing to reopen State Highway 1 in time for the holiday season.

By the afternoon, the South Island’s main transport corridor will be open to traffic again, more than a year after a magnitude 7.8 earthquake mangled bridges and tunnels, twisted rail tracks and buried sections of the road under massive landslides. More>>

 

BPS HYEFU WYSIWYG: Labour's Budget Plans, Families Package

“Today we are announcing the full details of the Government’s Families Package. This is paid for by rejecting National’s tax cuts and instead targeting spending at those who need it most. It will lift 88,000 children out of poverty by 2021." More>>

ALSO:

Gordon Campbell: On Defence Spending, Alabama, And Dolly Parton

The spending lavished on Defence projects to meet the risks that could maybe, possibly, theoretically face New Zealand in future is breath-taking, given how successive governments have been reluctant to spend even a fraction of those amounts on the nation’s actual social needs. More>>

ALSO:

Members' Bills: End Of Life Choice Bill Passes First Reading

The End of Life Choice Bill in the name of David Seymour has been sent to a select committee for consideration by 76 votes to 44. It is the third time Parliament has voted on the issue in recent decades and the first time such a Bill has made it over the first hurdle. More>>

ALSO:

State Sector: MPI Survives Defrag Of Portfolios

The Ministry for Primary Industries will not be split under the new government, but will instead serve as an overarching body for four portfolio-based entities focused on fisheries, forestry, biosecurity and food safety. More>>

ALSO:

Gordon Campbell: On Vulnerable Kids, RNZ Funding, And Poppy

The decision to remove the word ‘vulnerable’ from the Ministry for Vulnerable Children could well mark a whole shift in approach to the care of children in need... More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages