Bennett's Christmas dole gift

Paula Bennett. Photo / Doug Sherring

Paula Bennett has overruled her department and ordered unemployment benefits to be continued over Christmas.

About 2000 unemployment benefits are due to expire over the holiday period - some on December 25.

Work and Income has sent computer-generated letters to beneficiaries saying if they don't reapply and undergo a work assessment they will get the chop.

One beneficiary told the Herald on Sunday it was a "terrible Christmas present". But Bennett says this will now not happen.

"I have told Work and Income that there will be a week's grace period at Christmas."