Life on a benefit is hard. The levels of income support are so meagre that people are trapped in poverty. Our current welfare system is designed to be a deterrent so people will not become “welfare dependent.” This is something I just don’t understand. The idea that people will make an intentional choice to live on a benefit just does not ring true to me.
I think the reality is far more complex. The vast majority of people who try to survive on the benefit have often been placed in a position where they have very few choices – take a low waged job regardless of your abilities, starve, make money illegally, or go on welfare.
So if you “choose” to go on a benefit, you apply to Work & Income. Many people report how dehumanising this is and the stigma that comes with receiving a benefit. I know some great people who work at Work & Income, however I also know the very negative culture it has which lacks dignity, respect and compassion. Often people do not get their full and correct entitlements and the system is so complex, it is very difficult to find out what you are entitled to.
Caseworkers can demand bank statements and those who receive income support often feel like W&I are looking over their shoulder ALL THE TIME. This makes people second guess themselves if they purchase something ”non-essential” and often that is second hand. It is dehumanising trying to prove to yet another new caseworker that you are one of the “deserving poor.”
The benefit levels are so low, that people who receive this support are very skilled at making their dollar stretch. But the crux of the issue is that there are not enough dollars to stretch far enough to cover even the basics of food, rent, power, phone, let alone any incidental bills that come up like a dentist bill. The benefit levels sit well below basic living costs, so the harsh reality of life means there are no luxuries – no going to the movies, haircuts, a nice dinner out. You are surviving, not thriving. You can only afford to participate in your community if there is no cost involved. You look for any free events and attend those if you can get there free as well.
But W&I are there to help – you can get more financial support, but often this means incurring a debt to Government. So you have to pay that back to W&I out of your income support. When you don’t have enough income to cover your outgoings, this is hard. So you have to decide what you will go without – sometimes it’s a choice between paying the rent, buying food, or visiting the doctor.
If you are lucky enough to pick up some work, but it is inconsistent, then you need to declare your income every single week to W&I, and they will reduce your benefit accordingly. So while you are striving to make ends meet, taking on inconsistent work, you are also managing an ever shifting income. Life on a benefit is hard.
If you form a relationship, that affects your benefit levels. If you fail to declare a relationship, this is classed as relationship fraud. Often people do not know when their relationship starts to infringe on their benefit entitlement. So not only are you a “dole-bludger” you are now a fraudster as well. Life on a benefit is hard.
We need to consider how we are treating our most vulnerable people. We need to have really honest discussions about what a guaranteed minimum income would look like. It would have to be enough to live on, look after your children, and be able to contribute to your community. To me that looks like enough to live on plus a little bit more.
And if we are dreaming of a better future, perhaps the income support could be individualised. So if you entered a relationship, it would not matter. And perhaps we could have a universal child benefit that recognises the value and importance of parenting. And perhaps we could have a system that was simple and easy to understand, where we operate from a starting point of ensuring people receive ALL the benefit and income support they are entitled to.
Let’s dream of a better future and work to make that dream a reality. This is what the Methodist Alliance working group campaigning to increase benefit and abatement rates are doing. They are working with ActionStation’s Fairer Futures, lobbying MPs and raising public awareness of this issue.
Carol Barron, National Coordinator
03 375 0512 | 027 561 9164 | Carol@MethodistAlliance.org.nz