Pursuant to section 124 (1) (d) of the Social Security Act 1964, the Minister of Social Services and Employment establishes and approves the following welfare programme for special assistance.
Dated at Wellington this 31st day of January 2002.
MARIAN L. HOBBS, for Minister of Social Services and Employment.
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P r o g r a m m e
1. Title-This programme is the Earnings Supplement (Pilot) Programme.
2. Commencement-This programme comes into effect on 1 February 2002.
3. Period for which programme effective-This programme continues in effect until the earlier of the following dates and then expires:
(a) The date on which amount of money expended under it equals the amount of money for the time being appropriated for the purposes of the programme;
(b) 30 June 2003.
4. Purpose-The purpose of this programme is:
(a) to trial an earnings supplement approach to making work pay for former beneficiaries in a specific industry and geographical location; and
(b) for that purpose, to improve the prospects of former beneficiaries selected by the department who have entered full-time and unsubsidised employment in the forestry industry in the East Coast region of remaining in that employment by providing a supplement to their earnings while they are learning their jobs, becoming work hardened, or both.
5. Interpretation-(1) In this programme, unless the context otherwise requires:
"Act" means the Social Security Act 1964.
"applicant" means a person who has applied in writing to the department for a supplement.
"approved employer" means an employer of forestry workers for the time being approved by the chief executive for the purposes of this programme.
"earnings supplement payment" or "supplement" means the special assistance under clause 7 of this programme.
"East Coast region" means area for the time being described as the East Coast administrative region of the department.
"forestry worker" means a person principally employed to plant, prune or thin trees.
"initial employment" means the period of employment after the employment commenced.
"work start grant" means the special assistance under clause 10 of this programme.
(2) Terms otherwise defined in section 3 (1) of the Act have the meanings so defined.
6. Application of Social Security Act 1964-(1) Sections 3 (1), 12, 62, 74 (a), 74A, 76, 80BD (1), 81, 82 (other than 82 (6) and (7)) and 84 of the Act apply to this programme as if an earnings supplement payment were a benefit under the Act.
(2) Nothing in subclause (1) limits or affects the application of any other provision of the Act to this programme.
7. Earnings supplement payments-(1) Subclause (2) applies to an applicant if:
(a) the applicant is in full-time employment as a forestry worker for an approved employer within the boundaries of the East Coast region; and
(b) the applicant was formerly in receipt of an
income-tested benefit under the Act (not being
an orphan's benefit or an unsupported child's benefit) that was cancelled because the applicant entered that employment; and
(c) the applicant expects to remain employed as a forestry worker for at least 13 weeks after that employment commenced; and
(d) the employer of the applicant is not receiving a wage subsidy from the department or any other person in respect of the applicant's employment.
(2) The chief executive may, having regard to the matters set out in subclause (3), grant to an applicant to whom this subclause applies, earnings supplement payments at the rates and for the period set out in the appropriate Part of
the Schedule.
(3) The matters referred to in subclause (2) are:
(a) the period that has elapsed since the applicant entered the employment;
(b) the degree of motivation of the applicant to become employed in and to make a career in the forestry industry;
(c) the suitability of the applicant for employment as a forestry worker;
(d) the numbers of applicants for assistance under this programme and the amount of money for the time being available to grant earnings supplement payments under it;
(e) any other matters the chief executive considers relevant.
8. Commencement and payment of earnings supplement payments-(1) Unless subclause (4) applies, earnings supplement payments are payable in respect of each week of the applicant's period of initial employment specified in the appropriate Part of the Schedule, commencing on the later of:
(a) the week the applicant commenced the employment, if the application for the supplement is received before or within 10 working days after the date on which the applicant commenced the employment; or
(b) the week the application for the supplement is received.
(2) Where subclause (1) (b) applies, the applicant must not be paid any earnings supplement payments for the period prior to the week in which the application for the supplement is received.
(3) Subclause (4) applies where:
(a) an applicant has previously been in receipt of a supplement ("the previous supplement") under this programme; and
(b) the previous supplement ended before the end of the maximum period of initial employment referred to in the appropriate Part of the Schedule, because the applicant lost his or her employment as a forestry worker.
(4) Where this subclause applies:
(a) the Schedule applies as if the period of employment in respect of which the previous supplement was paid was counted as part of the applicant's initial employment; and
(b) payments of the supplement may be made only in respect of the remaining period of the applicant's initial employment (as so counted) referred to in the appropriate Part of the Schedule, commencing in the week the employment commenced; and
(c) the appropriate Part of the Schedule is the Part
that applied to the applicant when the previous supplement was payable.
(5) No earnings supplement payment is payable in respect
of any week in which the applicant is absent from
New Zealand.
9. Ending of earnings supplement payments-(1) Earnings supplement payments end:
(a) when the maximum period of initial employment specified in the appropriate Part of the Schedule ends; or
(b) earlier in accordance with section 80BD (1) of
the Act.
(2) Despite subclause (1) (b), earnings supplement payments do not end earlier than the time referred to in subclause (1) (a) if:
(a) the applicant moves out of the East Coast region but continues to be employed as a forestry worker by the same employer or another approved employer; or
(b) the applicant's employment with the approved employer terminates by reason of the applicant's resignation, but the applicant commences employment as a forestry worker with another approved employer within a period of 5 working days of the termination.
10. Work start grant-(1) The chief executive may, having regard to the matters in clause 7 (3), make to an applicant to whom clause 7 (1) applies, a work start grant of not more than $500 towards the expenses incurred by the applicant for job-related clothing or equipment needed to commence employment as a forestry worker if:
(a) the applicant has been granted, for the purposes of paying those expenses, a grant for specific transition to work expenses under, and as defined in, the Work Start Grant programme established and approved under section 124 (1) (d) of the Act; and
(b) the amount of the grant under that programme is insufficient to pay those expenses.
(2) A grant under subclause (1) is in addition to the grant for those expenses under the Work Start Grant programme.
(3) Every grant made under subclause (1) must be paid:
(a) where practicable, to the person providing the applicant with the job-related clothing or equipment; or
(b) in the discretion of the chief executive, to the applicant.
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Schedule
Clause 7
Rates of earnings supplement payments and periods for which payable
Part A
For an applicant with no experience as a forestry worker or who has not worked in the forestry industry as a forestry worker in the 6 months prior to commencing employment as a forestry worker:
Week of Initial Employment Amount of Supplement
Payable
1 $80.00
2 $80.00
3 $80.00
4 $65.00
5 $65.00
6 $65.00
7 $50.00
8 $50.00
9 $50.00
10 $35.00
11 $35.00
12 $35.00
Part B
For an applicant who has worked in the forestry industry as a forestry worker within the 6 months prior to commencing employment as a forestry worker:
Week of Initial Employment Amount of Supplement
Payable
1 $50.00
2 $50.00
3 $50.00
4 $35.00
5 $35.00
6 $35.00
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Explanatory note
This note is not part of the programme but is intended to explain its general effect.
This pilot programme provides for earnings supplement payments and additional work start grants to be made for
a limited time to former beneficiaries who enter into employment as a planter, pruner or thinner of trees in the forestry industry in the East Coast region.