The research that I have conducted significantly shows that the government’s decision to cut eligibility to the Training Incentive Allowance (TIA) for sole parent beneficiaries intending to access higher education, and restrict eligibility to only those undertaking study at secondary school level or lower level courses, will likely have a negative impact on sole parent beneficiaries and their children. For example, lack of support to access higher education may increasingly confine women to work that are low-skilled, and low-paid, it may lead to more sole parents and their children at risk of living in poverty, diminish their quality of life, and their security and their ability to make choices about their lives. The cuts to the TIA can also potentially increase sole parent’s anxiety, and fear about their circumstances, and worries about the future. As a result, the government should reinstate the TIA for sole parent beneficiaries intending to access higher education, in order for sole parent’s beneficiaries to improve their lives and those of their children. This is particularly crucial in this economic downturn, as sole parent beneficiaries and their children are faced with increasing poverty. This is evident in a Social Development Ministry study, which found that 49 % of sole-parent families were in poverty last year, earning less than 60 % of the median income per person after housing costs, whereas only 12 % of two-parent families with children were in poverty.[1] Furthermore, barriers to participation in employment for sole parent beneficiaries still exist, and lack of educational qualifications, along with other barriers identified hinder sole parents’ beneficiaries’ mobility into higher-wage jobs.[2] Therefore, the government should consider reinstating the TIA for sole parent beneficiaries intending to access higher education.
This recommendation is strengthened by research which has shown that the TIA has been successful in allowing sole parent beneficiaries to overcome various financial barriers and develop skills and attain qualifications to enter into sustainable employment.[3] Furthermore, individuals accomplished a number of positive outcomes other than employment such as improved self-confidence, increased sense of well-being and increased interactions with others.[4] A Ministry evaluation of the allowance in 2003 showed beneficiaries who received it spent less time on the benefit.[5] Furthermore, overseas research has also found that undertaking high-quality education will deliver improved economic prospects for sole parent beneficiaries and their children. From my research I found that the TIA has been very successful in the past, and therefore, I recommend that it be reinstated for sole parent beneficiaries intending to access higher education.
From my research I found that there are also alternative recommendations that could be implemented to support sole parent beneficiaries to gain access to higher education. Both of these alternative policies can provide financial support for sole parent beneficiaries to access higher education ,however, reinstating the TIA for the degree or diploma qualifications that would address New Zealand’s continuing skill shortages is strongly recommended, rather than extending the amount that can be borrowed under the Student Loan Scheme. This is because the second alternative policy will lead to sole parent beneficiary’s being faced with high debts. Therefore, I recommend the first policy as it will greatly support women, without the high debt, and is most relevant to sole parent’s beneficiaries circumstances, as they are guaranteed jobs on the completion of their study.
[1] http://www.nzherald.co.nz/poverty/news/article.cfm?c_id=286&objectid=10597816 September 17 2009. (accessed September 19 2009).
[2]Aimer,5.
[3] Ibid.,19.
[4] Adamson ,24.
[5] Adamson and others, 2.