Notice Type
Departmental
Notice Title

Training Incentive Allowance Amendment 2005

Pursuant to section 124 (1) (d) of the Social Security Act 1964, the Minister for Social Development and Employment establishes and approves the following amendment to the Training Incentive Allowance Programme (as established and approved on 30 November 1998).
Dated at Wellington this 14th day of November 2005.
DAVID BENSON-POPE, Minister for Social Development and Employment.
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A m e n d m e n t
1. Title—(1) This amendment is the Training Incentive Allowance Amendment 2005.
(2) In this amendment, the Training Incentive Allowance Programme is called “the programme”.
2. Commencement—This amendment comes into effect on the day after the date on which it is published in the
New Zealand Gazette.
3. Interpretation—Clause 2.1 of the programme is amended by omitting paragraph (d) of the definition of training costs, and substituting the following:
“(d) childcare, after deducting any amount for childcare assistance paid under section 61GA of the Act or under any welfare programme approved under section 124 (1) (d) of the Act”.
4. Objects—Clause 3 of the programme is amended by inserting, after the word “training”, the words “appropriate to their personal circumstances and labour market conditions”.
5. Application of Social Security Act 1964—Clause 4.1 of the programme is amended:
(a) by inserting, after the word “programme”, the words “and any applicant”; and
(b) by adding the words “and as if the applicant was a beneficiary”.
6. Allowances—Clause 5 of the programme is amended:
(a) by inserting, after subclause 5.1.1, the following subclauses:
“5.1.2 In deciding whether to grant an allowance under clause 5.1.1 and without limiting the matters the chief executive may consider,
the prime considerations are—
(a) the period during which the applicant has been out of the workforce; and
(b) whether the applicant already has
the skills, qualifications, or recent
work experience sufficient to obtain employment; and
(c) whether the course the applicant intends to undertake is likely to lead to the applicant obtaining employment in a field to which the course is relevant, having regard to the employment opportunities likely to be available to the applicant
in the labour market at the completion of the course; and
(d) whether the course is an appropriate one for the applicant to undertake having regard to the applicant’s personal circumstances.
5.1.3 For the purposes of deciding whether to grant an allowance, the chief executive may have regard to any report of the counsellor on the outcome of careers counselling the chief executive has arranged for the applicant to undertake.
5.1.4 The chief executive may refuse to grant an allowance if the applicant, having previously been granted an allowance under this programme to attend a course—
(a) fails or refuses to answer any question put to him or her by an officer of the department as to whether the applicant completed that course and the result or results the applicant achieved in that course; or
(b) failed to complete that course without, in the opinion of the chief executive, a good and sufficient reason.”
(b) by revoking subclause 5.2.1, and substituting the following:
“5.2.1 An allowance must not be granted to any applicant to whom section 60Q of the Act applies unless—
(a) completion of that course is included as a goal, and participation in the course
as an activity, in the applicant’s personal development and employment plan; and
(b) it is specified in the plan that the department would provide assistance under this programme to enable the applicant to undertake the course.”
(c) by revoking paragraph (a) of subclause 5.2.2, and substituting the following:
“(a) for a Training Opportunities course funded by the Tertiary Education Commission; or”.
7. Payment—Clause 8.2 of the programme is amended by revoking subclause 8.2.1, and substituting the following:
“8.2.1 In the chief executive’s discretion, an allowance or any part of it may be paid—
(a) in the case of any of the applicant’s training costs, to the provider of the service for which the cost is incurred; or
(b) to the applicant, in a lump sum, or by instalments, or by any combination of a lump sum and instalments.”
8. Refunds—The programme is amended by revoking clause 9.4, and substituting the following clauses:
“9.4 Books, materials, and equipment
9.4.1 If an applicant fails to enrol in or complete a course, any amount paid under this programme towards the cost of any books, materials, or equipment for that course is recoverable from the applicant in addition to any amount that is recoverable from the applicant from any refund of tuition and enrolment fees under clauses 9.1 to 9.3.
9.4.2 Where the cost of any books, materials, or equipment is included in the tuition and enrolment fees paid for the course, clause 9.4.1 applies only to the extent that the applicant cannot receive a refund of the cost from the course provider.
9.5 Powers not limited
9.5.1 Nothing in clauses 9.1 to 9.4 limits the chief executive’s powers under section 86 (1) (c) or section 124 (2) of the Act.”
Explanatory Note
This note is not part of the amendment, but is intended to explain its general effect.
This amendment to the Training Incentive Allowance Programme, which takes effect on the day after its publication in the New Zealand Gazette:
? makes detachment from the job market, and the applicant’s skills, qualifications and recent work experience, prime considerations in the decision whether to grant a training incentive allowance;
? strengthens the links between courses a training incentive allowance may be granted for and employment, and with an applicant’s personal development and employment plan (if applicable);
? allows refusal of an application where an applicant does not provide information about any previous course for which a training incentive allowance was granted, or if the applicant left such course without good and sufficient reason;
? allows the chief executive to seek a refund for any payment made under the programme towards any books, materials, or equipment, where the applicant does not enrol in or complete the course; and
? makes miscellaneous minor changes.