The social cruelty of MSD debt is a trap to lock beneficiaries into

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Northlanders owe nearly $80m to Ministry of Social Development

A child poverty advocate is calling on the Government to write off welfare debt following revelations Northlanders owe nearly $80 million to the Ministry of Social Development (MSD) to date.

Whangārei Child Poverty Action Group spokeswoman Ngaire Rae called for benefit payments to be increased. She said there were resourceful and tenacious people on benefits who continued to live, contributed to their community and cared for their children despite benefit inadequacy which left them living in poverty.

Rae said people, particularly families on benefits, were smart and creative and resisted going into debt with the ministry as much as possible.

Her views were shared by 155 Whare chief executive Awhina Liz Cassidy-Nelson, who said housing costs in particular were having a huge impact on beneficiaries and low-income earners.

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About bloody time we started focusing on the Left to wiping beneficiary debt!

I have written many posts highly critical of the culture of MSD.

Their malice, their spite, their abuse of power over the most vulnerable.

This story manages to sum up all that is wrong with MSD, they are lending money to the poorest people to buy essentials.

How corrupt is that as a social policy…

Beneficiaries owe record $2.1b to Govt as cost of living soars

Low income New Zealanders now owe more than $2 billion to the Ministry of Social Development as they continue to have to borrow money to survive.

…this is the neoliberal welfare industry for you.

The madness is that MSD sees this debt as an asset!

They have a vested interest in loading more debt up on beneficiaries! We have loaded up billions in debt to the poorest amongst us creating debt slaves.

The state are acting like a drug dealer peddling desperation and entrapping people into literal debt coffins.

When MSD aren’t dealing in desperation loans, they are using vast mass surveillance powers to trawl through beneficiary social media accounts to catch them out in what MSD decides as ‘relationships’, and then claim beneficiaries are committing benefit fraud and then put them in debt to MSD!

MSD don’t tell beneficiaries what exactly amounts to a relationship and they do so on purpose to trap beneficiaries into a never ending debt cycle that makes them debt slaves until death,  and this is all fine according to Labour.

461,000 Kiwis are struggling with MSD debt, this is a political decision to keep the poor in debt traps so they are compliant with the way they are treated.

Social Debt is a means of control.

 

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15 COMMENTS

      • As usual Bob, others like myself must come here to sanitise your Confederate manipulations. The ones you promote on behalf of your deep state employers I’m guessing.
        Post 1984 labor isn’t pre 1984 Labour. Original Labour’s only alive in our memories, which is enough I must say. So long as it’s there as a great idea but got murdered by the likes of you Bob and your narcissistic and psychopathic masters just to steal our stuff and things. It’s not something I’d be proud of Bob but I guess that’s where you and I differ. I’m here to try and fix the things while you and your neo-liberal scumbag mates are here to try and fuck things up then keep it that way. The now 14 multi-billionaires and the 3118 multi-millionaires will be eternally grateful for your evil work.
        Poverty and suffering in AO/NZ where we also have 14 multi-billionaires and 3118 multi-millionaires with in excess of $50 mil each is an indication of the presence of a certain kind of psychological dysfunction now well imbedded within our collective psyche.
        In short, we all now think that [this] is all we’ve got. A macabre psychosis where the abnormal is the new normal. Where institutionalised cruelty is used as a tool to control people but worse still, to give the good ol Boy psychopaths a frisson of power.
        Talking politics in AO/NZ is a waste of time and has been since rogers deceit that gutted out old labour. Now, today, labor-lite’s just a satellite of rogers treachery so vote who you like. You’ll get the same scum bags.
        Solution. Phone the G.G. and request a Royal Commission of Inquiry. Get her to investigate. Ask her to send in the investigators into The Cook Islands, Panama, Russia and Cambodia. How did peter thiel get in here so quick? Also Larry Page of Google? Lets find out what connects trump warmly holding peter thiels hand when thiel’s bestie’s jonky. When it looks like a rat, wriggles like a rat, is in the woodpile like a rat and squeaks like a rat, it’s probably a rat.
        Aw. Bless.
        ‘Mashable’
        Donald Trump and Peter Thiel have a secret handshake
        https://mashable.com/article/trump-thiel-very-normal-handshake
        The Guardian.
        “New Zealand gave Peter Thiel citizenship after he spent just 12 days there”
        https://www.theguardian.com/world/2017/jun/29/new-zealand-gave-peter-thiel-citizenship-after-spending-just-12-days-there
        Good ol Larry
        https://en.wikipedia.org/wiki/Larry_Page
        RNZ
        Google boss Larry Page hoped to keep child’s medical evacuation quiet
        https://www.rnz.co.nz/news/national/451984/google-boss-larry-page-hoped-to-keep-child-s-medical-evacuation-quiet
        So. We have an American multi-billionaire TRYING TO TELL US WHAT TO DO. TO TELL US WHAT HE FUCKING WANTS. I find that a little upsetting, don’t you?
        Nick Cave.
        Dig, Lazarus, Dig!!!
        https://youtu.be/PxWS1ufr5xI
        Meanwhile, in AO/NZ, where there’s only a few million of us on what’s surely to be the last great market garden left in the world and we have a Nazi-like social welfare infrastructure where torture, poverty and subjugation is the mandate.
        Good work neo-liberal scum. Dunno about you but I can’t wait to vote labor and the louse on it’s arse hole, act.

        • I don’t think Bob the 1st is being paid cb. I think he just likes feeling like the little jerk at school who always smarmied his way to teacher’s pet. He likes to feel upstanding and this behaviour is his only recourse.

        • You have no need to tell me anything.Your long winded rants reveal you as a bigot.
          You certainly display all the signs of a narcissist having to rabbit on paragraph after paragraph.
          What really amuses me is I think you think yourself clever.

      • Get real Bob National were giving the low paid 25 cents to 50 cent per hour pay rises.
        And to make matters worse bringing in thousands of cheap workers.

  1. The government is being the biggest pay day lender in town, and it seems they are un-regulated.
    Outstanding debt is always an asset until the moment you write it off. They will never write it off. They had 6 years to do so, and they continue to lend money for emergency situation.

    • None of these debts would exist if the Full Employment Policy had remained, and the real rate of pensions were not slashed by debasing the currency (i.e. constant devaluations, only possible once the gold window was ‘temporarily’ closed for 52 years).

      If the currency had remained sound, and pension rates remained at the 1970 level, the Old Age Pension and Invalid’s Pension would be three times higher than the current rate. The Sickness Pension would be 3⅘-times higher. Dole cheques would be 4⅓-fold higher — and under a continuation of Full Employment, would still be rarely claimed (i.e. only the 2% of the workforce waiting for their guaranteed job to begin).

  2. The Labour Government are responsible,but if you expect them to do something constructive,then you are an extreme optimist
    This Labour Government does not have the expertise to deal with even the simple things,so this situation is way beyond their skill set.
    Things just keep getting worse.

    • I think that you are factually right here bob 1st – unfortunately we don’t have any politician with authority and leadership, or similar financial leader, who has the expertise and intention to deal with this situation except as an arithmetic task not a human one. The methods used have a basis of treating people as collateral in the toils of a ponzi scheme that suits only a small proportion of citizens.

  3. Less the $13b of the Welfare Budget being SuperA.
    $2b Student loans.
    $900m employer subsidies
    $2b Accommodation subsidies
    $1b Motels

    11.2% of the unemployed in receipt of income is less than $5b of the welfare budget which includes wages and the leasing of building for winz offices and workers included in the $24b annual budget.

    It’s money for jam if you can tap into that machine!

  4. MSD use tactic’s that would make the police blush to get clients to admit to relationships, to the point of lying about evidence and threatening jail if you don’t admit to what they say they know. I wonder how many weak/vulnerable people are paying off debt that they shouldn’t have to just to allow the investigative teams to maintain quota. And take it from someone who has faced it (and beat them). It’s scary as fuck.

  5. the idea of a special loan given to those in need(largely due to our stingy welfare rates) is a ridiculous project from the get go…if you need one of these loans by definition you won’t be able to repay it.

  6. Do a piece on child support debt next. I bet a fair few of the “deplorables” in the parliament protests got a fair chunk of their anger from this.

  7. Get real Bob National were giving the low paid 25 cents to 50 cent per hour pay rises.
    And to make matters worse bringing in thousands of cheap workers.

Comments are closed.