>Comments: Authenticated sender is <[EMAIL PROTECTED]> >From: "vivian Hutchinson" <[EMAIL PROTECTED]> >To: "The Jobs Letter" <[EMAIL PROTECTED]>, > "The Jobs Letter" <[EMAIL PROTECTED]>, > "The Jobs Letter" <[EMAIL PROTECTED]> >Date: Mon, 27 Apr 1998 15:46:08 +0000 >X-Distribution: Moderate >MIME-Version: 1.0 >Subject: No Work - No Wage; from The Jobs Letter No 77, 27 April 1998 >Reply-to: "The Jobs Letter" <[EMAIL PROTECTED]> >Priority: normal > > >F E A T U R E >------------------ >from >T H E J O B S L E T T E R 0 7 7 >a subscriber-based letter >published in New Zealand 27 April 1998 > ------------------------------------- > >NO WORK -- NO WAGE > >How the Community Wage will be implemented. > >The Community Wage programme has the goal of maximising the >number of job seekers taking part in community work, training or >"other organised activity" in return for the income that they >receive from the State. > >The theory is that by viewing and treating unemployed job seekers >as much like members of the paid workforce as is practically >possible, they will maintain their work skills and self esteem, >and therefore, improve their chances of moving rapidly into >permanent paid work. > >Here are some of the key features of last week's announcement: > >* The Community Wage will be the income support payment a job >seeker receives from the government. When a job seeker applies >for income support, they will enter into a contract(Job Seeker >Agreement) to actively seek paid work, and to be available for >any appropriate organised activity which is provided. In order to >receive the Community Wage, the job seeker must sign the >contract, and fulfil the obligations contained in it. > >* Existing job seekers will not be required to sign a job >seeker's agreement immediately, although new job seekers will do >so. In the usual course of interviews, existing job seekers will >be required to sign the new job seeker agreement. > >* The unemployment benefits the Community Wage applies to >include the current Unemployment Benefit, Young Job Seekers >Allowance, 55 Plus, the work-tested Independent Youth Benefit and >Emergency Unemployment Benefits, and the Training Benefit. > >* Job seekers over 60 years of age can volunteer to >participate in organised activities, but they will not be >required to participate. Those aged over 55 will be treated the >same as the over-60s after 6 months of registration. > >* Full-time work tested beneficiaries may be required to >undertake community work of up to 20 hours per week. Part-time >work tested beneficiaries may be required to undertake community >work of up to 10 hours per week. These maximum hours have been >designed to ensure job seekers have time for job search. > >* A community participation flat rate allowance of $21 a week >will be paid to cover travelling costs and other costs. This is >an increase on the existing Community Taskforce allowance. Also, >up to another $20 is reimbursable, to assist job seekers who face >particular extra "actual and reasonable" costs, above the $21 per >week. > >* Community work is defined as unpaid work that is of benefit >to the community or the environment, rather than to private >businesses or individuals. For example, community work should not >displace current or future paid workers. It should be work that >benefits participants by developing or maintaining their self >esteem, motivation, work disciplines and ethic. It should, as >much as possible, resemble a paid work environment. However it >should not reduce the incentives of individuals to move into paid >work, and it should not be used when there are other options >available to move a job seeker more quickly and cost effectively >into work. > >* Job seekers will be matched to work and training by the >front-line staff of the new integrated employment and welfare >department. Officials say that the work chosen will be suitable >to the job seeker and consistent with assisting them into paid >work. In making a decision about suitable activities, the staff >have to consider whether it is "fair and reasonable to require >participation in a particular activity". > >* The Community Wage recipients have to seek prior formal >approval by the Department if they are pursuing their own >community work, training or organised activity ...or else they >will not get the community wage. The community work or training >has to fit within the Department's conditions and rules. The >Regional Commissioners will have some influence on the choice of >community work made available when they develop their strategies >at the local level to reduce long-term unemployment. > >* The "Sponsors" are organisations, such as community >organisations or work trusts who take on a job seeker to do >Community Work. They will be provided with a handbook providing >details of the Community Wage, its purpose and details. This will >be available before implementation on October 1. > >The handbook will include the important principle that sponsors >treat job seekers as similarly as possible to the work situation. >Financial sanctions ought to be seen as a final resort, following >the exhaustion of more common paid work options for addressing >unsatisfactory performance. > >* Sponsors that take on job seekers under the Community Work >programme get the benefit of the work of a part-time employee >whom they would not have been able to afford to pay. In return, >they are required to contribute to projects by supervising >participants, and providing necessary safety equipment and >project materials. > >* When groups of workers of four or more are involved in a >project, supervisor assistance can be applied for. > >* The government is keen to ensure that the scheme does not >displace members of the paid work force and does not take away >work from the private sector. Currently the New Zealand >Employment Service ensures that Community Task Force programmes >do not result in displacement through assessing the programmes >prior to approval, in order to determine what the job is and who >it is for. In the community wage programme, the sponsors are >required to sign a contract stating that if it were not for the >Community Task Force programme, the job would not be done. > >Regional Employment Commissioners will be expected to develop >additional strategies to ensure displacement does not occur. For >example involving employer or contractor representatives on >Regional Committees in the process of monitoring community work >projects should help ensure displacement does not occur. > >* Job seekers receiving the Community Wage are covered through >the ACC non-earners' account. Community Work sponsors are >required to provide a safe workplace as specified by the Health >and Safety in Employment Act, but they are not liable to pay ACC >premiums for job seekers who participate in their Community Work >projects. > >* The Community Wage is a State income support payment, so >those receiving it do not get sick pay and holiday pay, even if >they are participating in a work experience activity. > >* The Community Wage recipient doing community work is not in >an employer/employee situation, so the Employment Contracts Act >does not apply. > >* The maximum weekly hours (of up to 20 for full-time work >tested community wage recipients, and up to 10 hours for >part-time community wage recipients) have been designed to ensure >job seekers have time for searching for a permanent job. > >These hours have also been set to ensure that no job seeker will >work for less than the minimum wage for the hours worked. > >* Job seekers will be encouraged to take up opportunities to >do paid work. Therefore, job seekers and sponsors are free to >arrange for additional paid hours to be worked, on top of any >community work requirement. > >Any additional paid hours will be treated as earned income, and >will therefore be taxable, and may potentially result in >Community Wage abatement. The additional hours will also be >governed by an employer-employee relationship, unlike the hours >of community work. Therefore, employment legislation (Employment >Contracts Act, Holidays Act, Minimum Wage Act, ACC provisions) >will be applicable. > >* The contracts with the sponsoring organisation will include >a requirement for the provision of a reference for the job >seekers at the end of their time with the sponsor, covering their >attendance, attitude and other relevant employment related >performance. > >* As an interim measure, the New Zealand Employment Service >has expanded community work through the Community Taskforce >programme during 1997/98. It is expected that approximately >10,000 job seekers will be participating in community work and >approximately 9,000 in training, a total of 19,000 by the end of >June 1998. > >* When the new integrated employment and welfare department >starts operating, Regional Commissioners will determine the mix >of programmes in their particular region, depending on the needs >of the local labour market, and of individual job seekers. Job >seekers will be involved in community work, training or other >organised activities where it is considered that participation is >appropriate. > >* There will be no change to the way that unemployed job >seekers are classified as a result of these changes, so there >will be no direct effect on the statistics of registered >unemployed. People doing community work on the community wage, >will remain in the unemployment statistics, but will be recorded >as participating in community work. > > > >C R E D I T S >------------------- >edited by Vivian Hutchinson for the Jobs Research Trust >P.O.Box 428, New Plymouth, New Zealand >phone 06-753-4434 fax 06-759-4648 >Internet address -- [EMAIL PROTECTED] > >The Jobs Letter -- an essential information and media watch on >jobs, employment, unemployment, the future of work, and related >economic and education issues. > >The Jobs Research Trust -- a not-for-profit Charitable Trust >constituted in 1994 to develop and distribute information that >will help our communities create more jobs and reduce >unemployment and poverty in New Zealand. > >Our internet website at > > http://www.jobsletter.org.nz/ > >contains our back issues and key papers, >and hotlinks to other internet resources. > >ends >------ >The Jobs Letter >essential information on an essential issue >[EMAIL PROTECTED] >phone 06-753-4434 fax 06-759-4648 >P.O.Box 428 >New Plymouth, Taranaki, New Zealand > >visit The Jobs Research Website at >http://www.jobsletter.org.nz/ >