Social Development Minister Louise Upston. Photo: RNZ / Mark Papalii
Looming teenage Jobseeker cuts will help the government meet its 2030 welfare targets, but the Social Development Minister insists that's not the reason for the changes.
The policy was "not about the target," Louise Upston said.
She also said she won't revise the target despite the policy potentially reducing the number of people on the Jobseeker Benefit.
From November next year, young people wanting to get Jobseeker Support or the equivalent Emergency Benefit will have to take a parental income test, to see whether their parents can support them instead of the taxpayer.
About 4300 18-and-19-year-olds were estimated to become ineligible for support, with 4700 remaining eligible in the 2027-28 financial year.
As at June 2025, 15,045 18-and-19-year-olds were on Jobseeker Support.
The government wants 50,000 fewer people on the Jobseeker Benefit by 2030, but Upston said "it's not the intention" of the policy to help meet that target.
"The target will be incredibly ambitious as it is, and the policy decision is about ensuring young people don't get trapped on welfare," Upston said.
She acknowledged the policy could have the effect of helping the government meet its target, but wouldn't budge on shifting the target.
"That's not the plan at this stage."
Asked whether this was an attempt at "cooking the books", the Labour leader agreed.
Chris Hipkins said the government had failed to create more jobs, and failed to reduce the number of people on the benefit.
"This is a government that's utterly failed to create jobs.
"They've, in fact, seen 36,000 jobs disappear under their leadership."
He said there were more people on benefits now than when the government came into power.
"They failed on all of their targets, now they're just trying to find ways of manipulating the numbers to make it look not quite so horrific for them."
Hipkins said regardless of what people thought of the change, "the way they have done it is very very bad policy design".
"They're sending a message to a number of families that increasing the amount you work will leave you worse off financially. That's bad policy."
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