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Workers who lose their jobs because of the economic crisis will
be eligible for a special welfare top up in the new year.
The government estimates up to 70,000 redundant workers could
benefit from the "Restart" package, but opponents say many will
also miss out.
It will be a lean Christmas for some New Zealanders, out of work because of the economic crisis.
But there's some relief in sight. National is moving to ensure those made redundant keep the in-work component of Working for Families - up to $60 a week for families with up to three children and $15 a week for each extra child.
And it's lifting their accommodation supplement by up to $100 a week to help with rent or mortgage payments.
"This is an attempt to buy them some time so they can readjust their commitments," says Prime Minister John Key.
The new government estimates up to 70,000 people could end up needing this support over the next two years.
"They might do but that doesn't mean that the unemployment rate will rise by 70,000 because people will travel off this programme and into paid work," says Key.
The relief package will cost up to $50 million.
Labour supports the move but says it's not enough.
"Where is the economic stimulus package we've been promised. Where is the get Kiwis back into jobs approach," says Annette King Labour's Social Development spokesperson.
And there's a catch. If you have collected more than $25,000 in redundancy payments or as a couple have more than $16,000 in the bank, you will not be eligible.
"The people who get a redundancy of $25,000 you'll probably find have spent their life working continuously in a pretty low paid job. And this is their payout after a lifetime of work. So why not include them?" says King.
Key says the package is targeted.
"It was never an argument it was a package for everyone. We argued that it was a package for those most in need."
Workers are eligible if they have been made redundant since election day, November 8. You can apply for the relief package from Tuesday by ringing a 0800 number but you will not receive any payments until January 1.
So there is still a couple of lean weeks ahead for some.
