Work and Income says $500,000 spent placing long term unemployed in work at a South Auckland factory is an investment in the people, not the company.
National MP Katherine Rich is criticising the funding for beef jerky maker Jack Links, which is now laying off 100 people because of the
high New Zealand dollar.
But Work and Income regional commissioner Isabel Evans says it has been a beneficial exercise, both socially and economically. She says the employees now have valuable work experience which can be transferred to other jobs. Ms Evans says the agency has already lined up job interviews for some of the redundant workers.
However, Jack Links denies it has received such a large sum. It says the only Government assistance it has been given was $40,000 from Investment New Zealand which was for the initial investigation into bringing the company to New Zealand.
Chief executive John Corner says staff training was carried out in conjunction with Skill New Zealand and WINZ.
"That help is available to anyone who is long-term unemployed."
He says the company is retaining 50 staff members in the retail arm of the business.
- NEWSTALK ZB
