We strongly oppose the proposed Social Unemployment Insurance. This submission explains why we believe that such an addition to the New Zealand welfare state is undesirable.
Superficially, Social Unemployment Insurance sounds like an appealing addition to the New Zealand labour market set-up. However, it is not. It is a policy for which there is no need, which will create significant negative side effects and which comes at the worst possible time for many New Zealand companies.
The New Zealand Initiative urges the Tripartite Forum, and especially the Government, not to progress with the scheme – at least not at this time.
On 11 November 2021, we published Unemployment Insurance - A recipe for more unemployment? by Dr David Law.