NZ Herald
  • Home
  • Latest news
  • Video
  • New Zealand
  • Sport
  • World
  • Business
  • Entertainment
  • Podcasts
  • Quizzes
  • Opinion
  • Lifestyle
  • Travel
  • Viva
  • Weather forecasts

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • New Zealand
    • All New Zealand
    • Crime
    • Politics
    • Education
    • Open Justice
    • Scam Update
    • The Great NZ Road Trip
  • On The Up
  • World
    • All World
    • Australia
    • Asia
    • UK
    • United States
    • Middle East
    • Europe
    • Pacific
  • Business
    • All Business
    • MarketsSharesCurrencyCommoditiesStock TakesCrypto
    • Markets with Madison
    • Media Insider
    • Business analysis
    • Personal financeKiwiSaverInterest ratesTaxInvestment
    • EconomyInflationGDPOfficial cash rateEmployment
    • Small business
    • Business reportsMood of the BoardroomProject AucklandSustainable business and financeCapital markets reportAgribusiness reportInfrastructure reportDynamic business
    • Deloitte Top 200 Awards
    • CompaniesAged CareAgribusinessAirlinesBanking and financeConstructionEnergyFreight and logisticsHealthcareManufacturingMedia and MarketingRetailTelecommunicationsTourism
  • Opinion
    • All Opinion
    • Analysis
    • Editorials
    • Business analysis
    • Premium opinion
    • Letters to the editor
  • Sport
    • All Sport
    • OlympicsParalympics
    • RugbySuper RugbyNPCAll BlacksBlack FernsRugby sevensSchool rugby
    • CricketBlack CapsWhite Ferns
    • Racing
    • NetballSilver Ferns
    • LeagueWarriorsNRL
    • FootballWellington PhoenixAuckland FCAll WhitesFootball FernsEnglish Premier League
    • GolfNZ Open
    • MotorsportFormula 1
    • Boxing
    • UFC
    • BasketballNBABreakersTall BlacksTall Ferns
    • Tennis
    • Cycling
    • Athletics
    • SailingAmerica's CupSailGP
    • Rowing
  • Lifestyle
    • All Lifestyle
    • Viva - Food, fashion & beauty
    • Society Insider
    • Royals
    • Sex & relationships
    • Food & drinkRecipesRecipe collectionsRestaurant reviewsRestaurant bookings
    • Health & wellbeing
    • Fashion & beauty
    • Pets & animals
    • The Selection - Shop the trendsShop fashionShop beautyShop entertainmentShop giftsShop home & living
    • Milford's Investing Place
  • Entertainment
    • All Entertainment
    • TV
    • MoviesMovie reviews
    • MusicMusic reviews
    • BooksBook reviews
    • Culture
    • ReviewsBook reviewsMovie reviewsMusic reviewsRestaurant reviews
  • Travel
    • All Travel
    • News
    • New ZealandNorthlandAucklandWellingtonCanterburyOtago / QueenstownNelson-TasmanBest NZ beaches
    • International travelAustraliaPacific IslandsEuropeUKUSAAfricaAsia
    • Rail holidays
    • Cruise holidays
    • Ski holidays
    • Luxury travel
    • Adventure travel
  • Kāhu Māori news
  • Environment
    • All Environment
    • Our Green Future
  • Talanoa Pacific news
  • Property
    • All Property
    • Property Insider
    • Interest rates tracker
    • Residential property listings
    • Commercial property listings
  • Health
  • Technology
    • All Technology
    • AI
    • Social media
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology
    • Opinion
    • Audio & podcasts
  • Weather forecasts
    • All Weather forecasts
    • Kaitaia
    • Whangārei
    • Dargaville
    • Auckland
    • Thames
    • Tauranga
    • Hamilton
    • Whakatāne
    • Rotorua
    • Tokoroa
    • Te Kuiti
    • Taumaranui
    • Taupō
    • Gisborne
    • New Plymouth
    • Napier
    • Hastings
    • Dannevirke
    • Whanganui
    • Palmerston North
    • Levin
    • Paraparaumu
    • Masterton
    • Wellington
    • Motueka
    • Nelson
    • Blenheim
    • Westport
    • Reefton
    • Kaikōura
    • Greymouth
    • Hokitika
    • Christchurch
    • Ashburton
    • Timaru
    • Wānaka
    • Oamaru
    • Queenstown
    • Dunedin
    • Gore
    • Invercargill
  • Meet the journalists
  • Promotions & competitions
  • OneRoof property listings
  • Driven car news

Puzzles & Quizzes

  • Puzzles
    • All Puzzles
    • Sudoku
    • Code Cracker
    • Crosswords
    • Cryptic crossword
    • Wordsearch
  • Quizzes
    • All Quizzes
    • Morning quiz
    • Afternoon quiz
    • Sports quiz

Regions

  • Northland
    • All Northland
    • Far North
    • Kaitaia
    • Kerikeri
    • Kaikohe
    • Bay of Islands
    • Whangarei
    • Dargaville
    • Kaipara
    • Mangawhai
  • Auckland
  • Waikato
    • All Waikato
    • Hamilton
    • Coromandel & Hauraki
    • Matamata & Piako
    • Cambridge
    • Te Awamutu
    • Tokoroa & South Waikato
    • Taupō & Tūrangi
  • Bay of Plenty
    • All Bay of Plenty
    • Katikati
    • Tauranga
    • Mount Maunganui
    • Pāpāmoa
    • Te Puke
    • Whakatāne
  • Rotorua
  • Hawke's Bay
    • All Hawke's Bay
    • Napier
    • Hastings
    • Havelock North
    • Central Hawke's Bay
    • Wairoa
  • Taranaki
    • All Taranaki
    • Stratford
    • New Plymouth
    • Hāwera
  • Manawatū - Whanganui
    • All Manawatū - Whanganui
    • Whanganui
    • Palmerston North
    • Manawatū
    • Tararua
    • Horowhenua
  • Wellington
    • All Wellington
    • Kapiti
    • Wairarapa
    • Upper Hutt
    • Lower Hutt
  • Nelson & Tasman
    • All Nelson & Tasman
    • Motueka
    • Nelson
    • Tasman
  • Marlborough
  • West Coast
  • Canterbury
    • All Canterbury
    • Kaikōura
    • Christchurch
    • Ashburton
    • Timaru
  • Otago
    • All Otago
    • Oamaru
    • Dunedin
    • Balclutha
    • Alexandra
    • Queenstown
    • Wanaka
  • Southland
    • All Southland
    • Invercargill
    • Gore
    • Stewart Island
  • Gisborne

Media

  • Video
    • All Video
    • NZ news video
    • Business news video
    • Politics news video
    • Sport video
    • World news video
    • Lifestyle video
    • Entertainment video
    • Travel video
    • Markets with Madison
    • Kea Kids news
  • Podcasts
    • All Podcasts
    • The Front Page
    • On the Tiles
    • Ask me Anything
    • The Little Things
    • Cooking the Books
  • Cartoons
  • Photo galleries
  • Today's Paper - E-editions
  • Photo sales
  • Classifieds

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • What the Actual
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / New Zealand

Susan St John: A practical and just way to address child poverty

By Susan St John
NZ Herald·
3 Sep, 2012 05:30 PM5 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

Photo / Mark McKeown

Photo / Mark McKeown

Opinion

Who could disagree that poor children in New Zealand urgently need more support from a negligent society? They have been fobbed off with endless reports and committees examining their plight from every different angle, but nothing much changes.

Now we have a bright light. The Greens' Income Tax (Universalisation of In-work Tax Credit) Amendment Bill is a chance to significantly alleviate child poverty by giving more income to the care-givers of the poorest 230,000 children.

Parents who receive benefit income, or are unable to work a minimum number of hours a week do not get the full family support for their children. A significant payment is withheld when parents cannot meet the work requirements because of child-caring responsibilities, disability or sickness.

By doing so, the Government saves $450 million a year at the expense of these children and the cumulative loss of incomefor low income households since 2006 is over $2.5 billion.

Paying the child-related payment (misnamed the In Work Tax Credit) to the families that currently don't get it, is the most effective way possible to deliver some needed income where it can do the most good. There is no leakage of the new spending to families that are not poor.

Advertisement
Advertise with NZME.
Advertisement
Advertise with NZME.

While there needs to be a debate about the fine details of the bill, this is the role of a select committee. In the meantime, politicians of all colours need to see this bill as a circuit-breaker in the current paralysis over our poor record on children.

During this recession food banks have been overwhelmed as many find a welfare benefit completely inadequate for even minimal needs.

The cruel loss of the income for children in a traumatic event such as sickness, redundancy or natural disaster such as an earthquake, means that many children in low income families are missing out on normal childhood activities.

Sole parents now have no training incentive allowance such as the Social Development Minister herself enjoyed for university study. Moreover a sole parent who is retraining with full-time tertiary studies does not get the full weekly family support for her children because she is classified as "not working".

We can expect that fewer and fewer such parents will be able to escape poverty and create a better life.

Make no mistake, an extra $60 a week for a family really matters. For many it represents the difference between being cold and sick and being able to pay the power bill, being able to go to the doctor, and being able to buy nutritious food.

Discover more

World

Lessons can be learnt from Every Child Counts - Unicef

22 Aug 04:00 AM
Opinion

John Armstrong: Child poverty report must not be ignored

31 Aug 05:30 PM
Opinion

Tapu Misa: Hearts harden to child poverty

02 Sep 05:30 PM
Opinion

Bryan Gould: Tackling child poverty should be priority

03 Sep 05:30 PM

Childhood poverty has lifelong consequences for health, education, and social and economic participation and is completely unnecessary in a developed country such as New Zealand.

The minister has recently trivialised the issue by claiming that families can go in and out of poverty on "almost a daily basis".
She appears unaware of her own department's full documentation of the extent, depth and duration of child poverty and of the evidence from the health sector of the serious harm to children of third world diseases that are the consequence of poverty.

Advertisement
Advertise with NZME.

We do not have a serious poverty problem among those over 65, because we have provided everyone in that age-group with a basic income. We don't ask what older people spend their New Zealand Superannuation on. We don't even care if they are millionaires or still working full time.

Every week the highest income New Zealand superannuitant couples, paying the highest tax rate - many of whom are also sitting on huge property assets - get as much as an extra net $404 a week. This is about seven times the value of the weekly In Work Tax Credit.

It is time for these superannuitants to show some leadership and support better payments for children whose very lives are compromised and stunted from a lack of material resources.

The exclusion of the poorest children from a payment that was supposed to help children have an adequate standard of living cannot be justified on moral or ethical grounds.

Nor can the In Work Tax Credit be justified on the grounds that it provides a work incentive. It has been spectacularly unsuccessful in moving sole parents into sustainable work.

Rather than rewarding an extra hour of work, it is a lump-sum payment, given only if the hours of work are met. There are many, far better ways to make work pay that don't involve punishing the poorest children.

Advertisement
Advertise with NZME.

Sole parents will tend to work when their children are older and when they are healthy and happy and settled. We should not be using a child poverty alleviation payment to force her into often non-existent, casual or inappropriate employment.

The Bill provides an excellent opportunity for the Government to rethink this discriminatory policy and adopt a practical and just measure to alleviate child poverty.

Since 2004, Child Poverty Action Group has challenged the Government over its discriminatory policy regarding the In Work Tax Credit and was granted leave in July 2012 by the Court of Appeal to appeal against the decision of the High Court in relation to its claim of discrimination against the 230,000 children of beneficiaries.

* Associate Professor Susan St John of the University of Auckland is the Child Poverty Action Group economics spokesperson

Save

    Share this article

Latest from New Zealand

New Zealand

How end-to-end encryption shields online child exploitation

09 May 05:00 PM
New Zealand

Morning quiz: On two-person bicycle, what is the common term for the rider in front?

09 May 05:00 PM
Premium
New Zealand

Defence Force quietly shelves SAS elite unit trained for terrorism response

09 May 05:00 PM

One tiny baby’s fight to survive

sponsored
Advertisement
Advertise with NZME.

Latest from New Zealand

How end-to-end encryption shields online child exploitation

How end-to-end encryption shields online child exploitation

09 May 05:00 PM

Internal Affairs blocked over one million attempts to access illegal content last year.

Morning quiz: On two-person bicycle, what is the common term for the rider in front?

Morning quiz: On two-person bicycle, what is the common term for the rider in front?

09 May 05:00 PM
Premium
Defence Force quietly shelves SAS elite unit trained for terrorism response

Defence Force quietly shelves SAS elite unit trained for terrorism response

09 May 05:00 PM
'Like a prison': Students in revolt at posh Auckland school, principal caught on secret recording

'Like a prison': Students in revolt at posh Auckland school, principal caught on secret recording

09 May 05:00 PM
Connected workers are safer workers 
sponsored

Connected workers are safer workers 

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • NZ Herald e-editions
  • Daily puzzles & quizzes
  • Manage your digital subscription
  • Manage your print subscription
  • Subscribe to the NZ Herald newspaper
  • Subscribe to Herald Premium
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • What the Actual
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven CarGuide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP