26 May 2025

Traffic light sanction for jobseeker beneficiaries

From Nine To Noon, 9:05 am on 26 May 2025
Composite image of letters from the Ministry of Social Development & Work & Income, with a benefit payment card and a community service card

Photo: RNZ / Quin Tauetau

 New non-financial sanctions are being added to the traffic light system from today for those on the job seeker benefit.

The system came into force last August and aims to ensure beneficiaries stay on track with their obligations to find or prepare for work. At green, people are compliant, but they move to orange if they miss some of the commitments without a good explanation and then through to red and a benefit stop. The Minister for Social Development,  Louise Upston, says the system is showing early signs of success. But why are extra sanctions needed?

Kathryn is joined by the National Policy Advisor for the Citizens Advice Bureau, Louise May.