The Maxim Institute notes that:
The Child Poverty Action Group is arguing that those who live on the lowest incomes in our society should receive more help—at the expense of those making use of the new KiwiSaver scheme. These controversial recommendations are made in CPAG's latest report Left behind: How social and income inequalities damage New Zealand children. The report claims some facets of Working for Families are in fact "discrimination against the children of beneficiaries." It also calls for further help in the form of higher benefits, smaller taxes on the lowest incomes, and increased health and education services for children. It is suggested these increases should be funded by removing the Government contribution to KiwiSaver, by way of the employer tax credit. The report raises some important questions about the role of welfare, should it be helping those who are poorest in our society or be used instead of tax cuts to redistribute wealth through the middle class.
The Executive summary of Left Behind is available online here. The full report is available as a hardcopy from CPAG.
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