Notice Type
Departmental
Notice Title

Employment and Work Readiness Assistance Programme

Pursuant to section 124(1)(d) of the Social Security Act 1964, the Minister for Social Development establishes and approves the following welfare programme for special assistance.
Dated at Wellington this 6th day of March 2014.
HON PAULA BENNETT, Minister for Social Development.
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P r o g r a m m e
1. Title-This programme is the Employment and Work Readiness Assistance Programme.
2. Commencement-This programme comes into force immediately after it is established and approved.
3. Purpose-The purpose of this programme is to assist to operate the benefit system and associated interventions in such a way as to improve client outcomes (employment and social) to move them closer to independence, with a focus on those at risk of long term benefit receipt, by making provision for the granting of special assistance to or in respect of people who are or may be at risk of long-term benefit receipt,-
(a) to help them become ready for work by reducing barriers to their employment:
(b) if they are ready for work, to help facilitate their transition into, and retention of, sustainable employment.
4. Interpretation-(1) In this programme, unless the context otherwise requires:
Act means the Social Security Act 1964
at risk of long-term benefit receipt, in relation to a person, means the risk that the person will receive or continue to receive a main benefit under the Act for an indefinite period
contracted service provider has the meaning in section 125A of the Act
eligible person means a person to whom clause 6(3) applies
employment or work readiness assistance or assistance means the special assistance under this programme
52-week period, in relation to employment or work-readiness assistance of a particular kind, means a period of 52 weeks commencing on the date on which a payment of assistance of that kind is made to or in respect of a grantee
grantee means an eligible person to whom employment or work readiness assistance is granted
GST inclusive, in relation to an amount specified in the Schedule, means that amount inclusive of any goods and services tax (within the meaning of the Goods and Services Tax Act 1985) payable in respect of it
health services means personal health services within the meaning of section 6(1) of the New Zealand Public Health and Disability Act 2000
main benefit under the Act has the same meaning as the term main benefit under this Act in section 3(1) of the Act
services means services of a kind specified in the Social Security (Contracts and Information Sharing with Service Providers) Regulations 2012 (SR 2012/210)
sustainable employment means a period of employment that results in a person not receiving a main benefit under the Act for at least 91 days or longer
voluntary work has the same meaning as in section 88A of the Act
working-age-
(a) means an age in the range 18 to 64 years inclusive; and
(b) includes an age of or over 65 years in relation to a person who is not qualified to receive New Zealand superannuation
young person means a person aged at least 16 years but under the age of 20 years.
(a) course costs; and
(b) cost of transport to and from the course; and
(2) Other terms defined in section 3(1) of the Act have the same meanings in this programme.
5. Application of the Act-
(1) Sections 12(1A) to (3), 63, 74(1)(a), 76, 80A, 81, 82(1) and (4), and 84 of the Act apply to and in respect of the following as if the special assistance under this programme were a benefit under the Act-
(a) this programme; and
(b) any person granted assistance under this programme; and
(c) any spouse or partner of a person to whom paragraph (b) applies; and
(d) any person to whom any assistance granted under this programme is paid pursuant to clause 10(b), (c), or (d).
(2) Nothing in subclause (1) limits the application of any other provision of the Act.
6. Employment or work readiness assistance: eligibility-(1) For the purposes of this programme, the chief executive may, in his or her absolute discretion and subject to such conditions as the chief executive thinks fit, grant to a person to whom this clause applies employment or work-readiness assistance of any 1 or more of the kinds specified in the Schedule.
(2) Subclause (1) is subject to subclauses (4) and (5) and clause 7, the principles set out in clause 8, and clause 9.
(3) This clause applies to any person who-
(a) is a young person or of working-age; and
(b) is either-
(i) a New Zealand citizen or is a person who holds or is deemed to hold a residence class visa under the Immigration Act 2009 that permits the holder to work in New Zealand; or
(ii) a person recognised as a refugee or protected person under that Act; or
(iii) a person holding a temporary class visa under that Act that permits the person to work in
New Zealand and who is-
(A) awaiting the outcome of his or her claim for recognition as a refugee or a protected person (within the meaning of that Act); or
(B) a person applying for a residence class visa under that Act who is compelled to remain in New Zealand because of unforeseen circumstances; and
(c) is any of the following:
(i) a beneficiary (A) receiving a main benefit under the Act or the spouse or partner of A:
(ii) a person formerly receiving a main benefit under the Act whose benefit was terminated because that person entered employment:
(iii) a person granted a supported living payment under the Act on the ground of sickness, injury, or disability who is not for the time being receiving that benefit because he or she is undertaking open employment for a period agreed with the chief executive under section 40K of the Act:
(iv) a person to whom section 11E of the Act (pre-benefit activities) applies at any time before a main benefit under the Act becomes payable to that person or his or her spouse or partner:
(v) a person who has contacted the department or a contracted service provider seeking assistance to obtain or retain employment:
(vi) an applicant for a supported living payment under section 40B of the Act on the ground of sickness, injury, disability, or total blindness.
(4) However, employment or work readiness assistance of a particular kind specified in the Schedule must not be granted under subclause (1) unless the person meets any other eligibility criteria specified in the Schedule relating to that kind of assistance.
(5) Employment or work readiness assistance must not be granted in respect of any employment, self-employment, educational or employment-related training course, work readiness activity, or services located or provided outside New Zealand.
7. Application for assistance may be required-(1) If the chief executive requires an application to be made for any specific kind of employment or work readiness assistance under this programme, that assistance must not be granted to an eligible person until the department has received-
(a) an application form (provided by the chief executive for the purpose) completed by or on behalf of the person and his or her spouse or partner (if any) to
the chief executive's satisfaction; and
(b) any supporting evidence reasonably required by the chief executive.
(2) The form referred to in subclause (1) does not have to refer to assistance of any particular kind.
(3) The chief executive may waive all or part of a requirement to provide information (including information specified in an application form) under subclause (1) if satisfied that the department-
(a) already holds the information concerned; or
(b) already holds enough other information to determine the matter for which the information concerned is needed.
8. Principles to be applied in exercise of discretion to grant assistance-In exercising the discretion under clause 6(1), the chief executive must have regard to-
(a) the principles in section 1B of the Act; and
(b) any key result areas and performance targets set
by the Minister in relation to money appropriated by Parliament that may be used for the purpose of granting special assistance under this programme; and
(c) the following principles:
(i) employment or work readiness assistance is available to all people within New Zealand's working-age population or who are young persons who are at risk of long-term benefit receipt, and prioritised to those at greatest risk:
(ii) employment or work readiness assistance will be monitored, evaluated, and where practicable, based on evidence of 'what works':
(iii) employment or work readiness assistance resources will be allocated where the potential benefits are greatest:
(iv) employment or work readiness assistance should minimise adverse impacts on the labour market and should not substitute or displace people within New Zealand's workforce:
(d) until the close of 30 June 2014, the Ministerial guidelines for Employment and Training Assistance dated 2 July 2012 (including those provisions revoked by clause 12).
9. Amount of assistance-No grant of a specified kind of assistance under clause 6(1) may exceed the amount specified in relation to that kind of assistance in the Schedule except as provided in that schedule.
10. Payment of assistance-The chief executive may, in his or her discretion, having regard to the kind of assistance, pay any assistance granted under clause 6(1),-
(a) to or on account of the grantee personally; or
(b) to an employer of the grantee; or
(c) if the assistance is for the purpose of purchasing any goods or services for the grantee, to the provider of the goods or services to the grantee; or
(d) in any other manner the chief executive thinks fit; or
(e) as a periodical payment or payment of a lump sum in advance of the period or part of the period for which it is granted.
11. Commencement, suspension, and ending of assistance-(1) Employment or work readiness assistance granted under clause 6(1) commences on such date as the chief executive specifies when making the grant.
(2) Assistance granted under clause 6(1) ends on the earlier of-
(a) the expiry of the period for which it was granted; and
(b) a date reasonably determined by the chief executive that the grantee has failed to comply with any condition of the grant.
(3) Assistance granted under clause 6(1) is not payable during any period in which the grantee's main benefit under the Act is not payable, or is suspended, under section 75B(6) or (7) of the Act.
12. Revocations-(1) The Ministerial Guidelines for Employment and Training Assistance dated 2 July 2012 (other than the provisions referred to in subclause (2)) are revoked.
(2) The following provisions of the guidelines are not revoked:
(a) so much of the guidelines as relate to job streams and flexi-wage but only for the purpose of granting the flexi-wage subsidy and flexi-wage capitalisation grant under self-employment assistance:
(b) so much of the guidelines as provide for extra employment support for people with ill health and/or disabilities (other than provision for PATHs).
13. Savings and transitional provisions-(1) Subclause (2) applies to any person in respect of whom employment or training assistance was being paid or had been granted by the department under the provisions of the Ministerial Guidelines for Employment and Training Assistance that are revoked by clause 12 (the revoked provisions)-
(a) immediately before the commencement of this programme; and
(b) for a period that ends after that commencement (the specified period).
(2) On and after the commencement of this programme, so long as a person to whom this subclause applies would have remained entitled to employment or training assistance under the revoked provisions, that assistance must be paid or continue to be paid under this programme for the remainder of the specified period as if it were employment or work readiness assistance that had been granted under clause 6(1).
(3) Despite clause 12, during the period ending with the close of 30 June 2014, the revoked provisions continue in effect for the purposes of clause 8(d).
Schedule
Clauses 6(1), 6(4), 9
Kinds and amounts of employment or work readiness assistance
Kind of assistance Amount
1 Work confidence and motivation assistance
The purchase for an eligible person of services (whether provided by an instrument of the Crown or a contracted service provider) designed to help people who are at risk of long-term benefit dependency to increase their motivation, confidence, and job searching skills, or for overcoming other factors that impede their entering or continuing employment, or both, including (but not limited to) domestic and social circumstances or drug or alcohol use Not more than $10,000 in total (GST inclusive) within a 52-week period, subject to clause 12 of this Schedule
2 Wage subsidies
The purchase (by way of a subsidy towards the person's wages or salary for a period agreed with the employer) of an employment place for an eligible person at risk of long-term benefit dependency to assist the person to gain the employment skills required to obtain unsubsidised employment A weekly amount not more than the minimum rate of wage (as from time to time prescribed under the Minimum Wage Act 1983) payable to an adult worker paid by the hour for employment of 30 hours in a week (GST inclusive), subject to clauses 7(b) and 12 of this Schedule
3 Education and employment-related training
The purchase for an eligible person with specific employment skills deficits of a place in an educational course (not being a post-graduate degree course) or an employment-related training course (including industry, sector, job-specific, and on-the-job training) The actual and reasonable fees charged by the education or training provider for the tuition or training
4 Job search assistance, employment placement, and in-work support services
The purchase for an eligible person at risk of long-term benefit dependency of services designed to support the person's pre- and post-placement in employment The contract price for the relevant services agreed under section 125A of the Act
5 Additional costs associated with employment, study, or employment-related training
Financial assistance to assist an eligible person with the additional costs (including but not limited to transport costs and course costs other than tuition fees) associated with their participation, for a period specified by the chief executive, in-
(a) employment; or
(b) study in an education course; or
(c) employment-related training; or
(d) an activity that in the chief executive's opinion, is likely to improve the person's work readiness The actual and reasonable costs for that purpose (as determined by the chief executive)
6 Assistance to transition into employment
Financial assistance to assist an eligible person meet the costs of moving from receipt of a main benefit under the Act into unsubsidised employment including (but not limited to) assistance toward any of-
(a) the cost of any uniform or clothing or special footwear reasonably required for the employment not met by the employer; and
(b) the cost of transport to and from any job interview; and
(c) the person's living costs between the ending of the benefit and the first payment of wages or salary from the employment The actual and reasonable costs for that purpose (as determined by the chief executive), and in the case of assistance of the kind referred to in paragraph (c), not exceeding the weekly rate of the person's former main benefit under the Act
7 Extra or specialist assistance for eligible people with sickness, injury, or disability
(a) General
Financial assistance, the purchase of services, or both, for an eligible person with a sickness, injury, or disability (whether temporary or permanent) to help the person to take up, return to, or retain paid employment or self-employment (for example, health services, disability services, modifications to the workplace or equipment, additional transport costs, mentoring, and workplace support)
The actual and reasonable costs required for that purpose (GST inclusive) (as determined by the chief executive)
(b) Wage subsidies
The purchase (by way of a subsidy towards the person's wages or salary for a period agreed with the employer) of an employment place for an eligible person with a sickness, injury, or disability to assist the person to gain employment skills and to obtain unsubsidised employment
A weekly amount of not more than the amount of the person's wage or salary calculated on a weekly basis before the deduction of income tax (GST inclusive)
8 Assistance to enter self-employment
Financial assistance to assist an eligible person to investigate or enter self-employment by meeting the costs of business skills training, developing a business plan, obtaining business advice before and during the start-up period of the person's business, obtaining an independent vetting report, and obtaining a post business start-up financial report An amount or amounts not exceeding $1,000 in total Financial assistance to assist an eligible person to investigate or enter self-employment by meeting the costs of business skills training, developing a business plan, obtaining business advice before and during the start-up period of the person's business, obtaining an independent vetting report, and obtaining a post business start-up financial report An amount or amounts not exceeding $1,000 in total
9 Assistance to access child care
Financial assistance to help an eligible person pay for childcare and costs associated with childcare (for example, transport to the childcare provider) in order to obtain or remain in paid employment or participate in education or employment-related training An amount not exceeding the actual and reasonable costs for that purpose (as determined or estimated by the chief executive) that are in excess of any financial assistance available to the person for that purpose under the Act or from any other publicly funded source
10 Career guidance and information services
The purchase for an eligible person of services being careers advice to help the person make informed educational, work, and career-related choices The contract price of the services agreed under section 125A of the Act (GST inclusive)
11 Work experience, activity in the community, and voluntary work
The purchase for an eligible person of an opportunity to gain work experience, undertake activity in the community, or undertake voluntary work The actual and reasonable costs of purchasing the opportunity (GST inclusive).
12 Exceptional circumstances
If the chief executive considers an eligible person's circumstances to be exceptional, the maximum amount specified in clause 1 or 2 of this Schedule may be exceeded by an amount the chief executive considers reasonable in those circumstances.
Explanatory Note
This note is not part of the programme, but is intended to indicate its general effect.
This welfare programme under the Social Security Act 1964, which comes into force immediately after it is established and approved, provides for the granting, in the absolute discretion of the chief executive of the Ministry of Social Development and within the limits set out in the programme, of special assistance for eligible people who are or may be at risk of long-term benefit receipt,-
(a) to help them become ready for work by reducing barriers to their employment; and
(b) if they are ready for work, to help facilitate their transition into, and retention of, sustainable employment.
The Ministerial Guidelines for Employment and Training Assistance are revoked (except for provisions for specified kinds of that assistance) but in exercising the discretion to grant employment or work readiness assistance, the chief executive must continue have regard to them until the close of 30 June 2014.