Why is work better than welfare?
Why do we think it is better for them to go to work? Well, if you look at the system that has been in place now through a number of Governments, you see that that system supports high levels of income for people in work. Let us take somebody who works 20 hours a week and leaves the domestic purposes benefit. They get the minimum family tax credit, which is $22,204 a year, and on top of that they get the in-work tax credit, which is $3,120 a year— all of which adds up to about $25,300 a year for 20 hours. The domestic purposes benefit for that person would be $15,000. That household will be considerably better off. This Government is also investing $130 million in support for those mothers, whether it is in retraining or in childcare facilities. . .
. . . If you add to that the fact that the Government is providing enormous support around these families and individuals in terms of retraining and help, I personally think it is actually helping those families to give them the assistance, to give them the training, to give them the childcare facilities, and to actually make sure that they get an opportunity to fill their lives. And if anyone thinks that that is going to come through a lifetime on welfare, then they should go all the way back to the architect of the welfare system, Michael Joseph Savage, whose exact words were: “Welfare will never be an armchair ride to prosperity.” John Key