Unemployment on the rise despite workforce shortages

The increase in unemployment, despite businesses still crying out for workers, shows that the Government is not doing enough to support people off welfare into work, National’s Social Development and Employment spokesperson Louise Upston says.

“The steady rise in unemployment over the past two quarters is a cause for concern.

“The latest quarterly report from the Ministry of Social Development (MSD) has shown that over 100,000 individuals have been on Jobseeker for more than a year, leading to a reliance on the benefit that has become firmly entrenched under the Labour Government.

“Worse still, only 5.4 per cent have received sanctions for not fulfilling their obligations.

“It’s clear that MSD do not have consistent systems in place to ensure that those who are on Jobseeker and eligible to work are fulfilling their requirements of finding employment.

“Too often we hear of businesses who have been forced to make major cut-backs due to labour shortages despite tens of thousands of people being listed as ready to work.

“While Labour fail to deliver, National has a plan. Our Welfare that Works policy sees young jobseekers receive a proper needs assessment, a plan to address any barriers to work, job coaching from community organisations and apply a reward/sanction approach where warranted.

“We need greater for accountability for those who are receiving benefits and refusing to find work. If Labour can’t get people off welfare and into work when Kiwi businesses are desperate for staff, when will they?”