Responding to New Zealanders’ Income and Employment Needs - Budget 2021

We are meeting a high need for Ministry of Social Development income and employment support brought on by COVID-19.

MSD staff help New Zealanders get support when they need it and assist people out-of-work back into jobs.

Government is providing $86.08 million over two years in response to a high need for Ministry of Social Development (MSD) services post COVID-19.

• Demand for MSD support and services has increased because of COVID-19, with more people receiving a benefit. There are almost 80,000 more people getting a benefit since the COVID-19 full lockdown. Demand is forecast to remain high.
• This funding will sustain the MSD staff needed to deliver income support and case management services – including employment services.
• For income-related support, it will help to reduce wait-times for appointments and call centre support so that people’s immediate needs can be dealt with as quickly as possible.

The initiative sustains the MSD staff needed to meet the increased demand for income and employment services, including employment case management.

• For employment-related support, an active dedicated employment case management service will support up to 54,960 people who need extra help to get back into the workforce.
• Employment case management is a proven and effective way to help out-of-work people back into sustainable jobs.
• It may help to mitigate the risk of people becoming long-term unemployed when they lose their jobs, as happened after the global financial crisis.

Costs