Feb 22, 2011

For Immediate Use
 

Welfare Working Group proposal is huge step back to failures of 1990s

The Welfare Working Group’s proposal to create a new crown entity to take-over the Work and Income function of the Ministry of Social Development is a return to the failed model of Work and Income New Zealand (WINZ) set up by National in the 1990s.

“WINZ was a byword for corporate excess and lack of direction,” says Public Service Association (PSA) National Secretary Brenda Pilott.

“It was also referred to as the government department with no brain because it had no policy function.

“If we’ve learnt one thing from the failed state sector reforms of the 1990s it’s that policy and operations have to work closely together. That’s critically important, especially when it comes to such a large and complex area like welfare.

“The PSA strongly disagrees with the Working Group’s conclusion that the Ministry of Social Development (MSD) doesn’t have the capability to deliver the reforms it recommends.

“This conclusion belittles all of our members and other public servants who perform to a high standard at the MSD.

“MSD is New Zealand’s largest government department. It is highly capable and well-resourced to deliver welfare reforms. It is able to work across government and understands the drivers of long-term welfare dependency.

“The government appears more focused on gathering a group of business people onto a board than hearing the voice of beneficiaries.

“The so-called ‘lifestyle’ choices of business people are well-catered for by this government’s policies but business people are not the expert voice on long-term solutions to welfare reform,” says Brenda Pilott.

ends

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