Invalids Benefit
The Herald reports:
Work and Income has quietly started bumping dozens of people off the invalids benefit, months before tough new work tests officially come into force, say beneficiary advocates.
They say people with long-term mental illnesses, some of whom have been on the invalids benefit for years, are being bumped down to sickness benefits because they may be capable of part-time work or study within the next two years.
The invalids benefit is only for people with conditions that will last for at least two years and who cannot work regularly for at least 15 hours a week.
Well if people are capable of part-time work of 15 hours a week, they shouldn’t be on the Invalids Benefit.
Most of the people on the Invalids Benefit are amongst our most deserving. They are genuinely unable to work due to their health problems, and probably will never be able to work. To some degree I actually wish we can do more for them.
But some of those on the Invalids Benefit are able to work, at least part-time. We often see remarkably fit criminals who are listed in court documents as invalids beneficiaries.
the growth in this benefit has been pronounced. Have a look from the beginning:
It really started to take off around 1981. I’m sure it wasn’t all injuries from the Springbok Tour that has seen it go from 10,000 to 85,000.
Now wait a minute, some of you may be saying. Hasn’t the population increased also since 1929. Well yes it has.
As the benefit is for those aged between 18 and 64, one should compare it to the working age population of the same range. Stats NZ only has data back to 1991 publicly available, so I start the next graph there:
As one can see, the number of recipients of the Invalids Benefit has more than doubled as a proportion of the working age population. This is not a sustainable trend.
Is 3% of the population, or 1 in 30 adults aged under 65 really incapable of even part-time work? Certainly some are – I know some people on the IB who are absolutely incapable of 15 hours a week. But is it 1 in 30?