Join CPAG in fighting for the rights of our poorest children
Two courts have found that the IWTC discriminates against some of our poorest children, but they say this discrimination is justified.
So, the discrimination continues.
CPAG believes this is unacceptable - we want a fair go for all kiwi kids.
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Where we stand.
Since 2004 CPAG has challenged the Government over its discriminatory In Work Tax Credit (IWTC) which is a government payment to help with the costs of children. CPAG argues that the IWTC is unlawfully discriminatory as it is denied to the families of beneficiaries and this denial keeps many children in poverty while aiming to incentivise their parents to work.
Beneficiary families are ineligible for the IWTC even when work is not available, or when parents cannot meet the IWTC work requirements because of their child-caring responsibilities, disability or sickness.
Families lose their right to the IWTC even when they lose work because of events beyond their control like recession, illness or an earthquake.
In November 2011, the High Court ruled that the IWTC is discriminatory in part.
But the High Court said that this discrimination could be justified because the purpose of the IWTC is to incentivise parents into work.
CPAG disagrees. Discrimination cannot be justified when so many beneficiary families are in poverty for reasons outside their control. This is especially true for children who have no capacity to act in this matter.
Now we are preparing to appeal on this point to the Court of Appeal and if we fail there, to the Supreme Court.
Why we need you.
Until now, the Office of Human Rights Proceedings at the Human Rights Commission has paid for CPAG’s top legal team. The Office is pledging to continue providing our junior counsel, but can no longer offer any funding for our senior counsel, court fees or expenses. Our counsel has committed to do some of the work pro bono.
To take our case to the Appeal Court and beyond we need to raise $50,000.
The case had its first hearing at the end of March 2012 to determine if and what parts of the decision can be appealed. CPAG’s application for leave to appeal was declined by the High Court last month. CPAG have filed an application with the Court of Appeal for special leave to appeal the High Court decision. That matter will be heard sometime after mid June.
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If you need more information to be convinced ours is a worthy cause here are more facts...
The IWTC is part of the Working for Families package that was set up to address issues of child poverty and incentivise people into work. It is worth $60 per week for families with 1-3 children, and more for larger families. However those children whose parents cannot work a certain number of hours or are on an income-tested benefits are ineligible for IWTC, and so they don’t get this money. It’s a large amount to lose for families already struggling to make ends meet.
CPAG is arguing that this is discrimination against children on the basis of their parents’ work status, which is prohibited under the Human Rights Act. CPAG agrees that there should be a gap between work and beneficiary income, and incentives to work but strongly disagrees with linking adults’ incentives to work to financial support necessary to raise their children. The harm to beneficiary children is disproportionate to the gain to society by having a work incentive.
The Government’s own estimates are that only 2 – 5 % of beneficiary families are able to leave the benefit and obtain the IWTC (by getting a job or starting a relationship with somebody who is in paid work). Yet the IWTC excludes the entire group of beneficiary parents and their children. More than 200,000 children are affected by this discrimination. They are the poorest children in New Zealand.
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