Welfare shake-up on the way

Published: 6:41PM Monday May 30, 2011 Source: ONE News

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A major shake-up of the welfare system is on the way with Prime Minister John Key pledging to steam ahead with changes.

A team of ministers will lead work on which policies the government will adopt from the the Welfare Working Group's report, which was released in February.

Key said today the government is most concerned about the 145,000 people on invalids and sickness benefits and the 113,000 on the Domestic Purposes Benefit (DPB).

He promised drastic measures to bring the numbers down but ruled out making mothers go back to work when their child turns 14 weeks - one of the recommendations in the working group's report.

"The current system is broken and it's not working. When you have an increase from 2% of the working age population in 1970 to 13% today, I think that tells us there are too many New Zealanders of working age on the benefit."

Auckland Action Against Poverty spokesperson Sue Bradford has accused Key of "dog whistling to the darkest part of the New Zealand psyche" by pushing for welfare reform.

"Mr Key says drastic measures are needed because welfare numbers have risen steeply since the early 1970s," said Bradford.

"He fails to acknowledge that it's the economic system that's at fault here, not beneficiaries and their children."

The team is made up of seven ministers and they are due to report back in the next few months.

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