There are fears other beneficiaries will soon be targeted as the government moves to impose sanctions on job seekers.
The Government says it's taking early action to curb a surge in welfare dependency, with the Ministry of Social Development to begin work check-ins for job seekers who've been on the benefit for six months.
They'll face penalties if they don't meet looking-for-work requirements. Auckland University economist and Associate Professor Susan St John says it signals a return to the 1990s and will plunge even more people into poverty.
St John spoke to Charlotte Cook.