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LINDSAY MITCHELL: Is social investment the new panacea?

There are individuals born in NZ who will, over their lifetimes, cost the taxpayer hundreds of thousands of dollars in welfare, child protection, justice, corrections and mental health services. They will physically and emotionally hurt others, possibly take a life or lives, and in that respect inflict even greater indirect costs on society. 


Social investment suggests allocating some of that down-the-line cost to up-front intervention and prevention. By necessity it would have to focus on the child, the beginning. Later is often too late.


There have been past tentative efforts in this direction. For instance the predictive risk modelling work done at Auckland University. This identified the common circumstances around the birth of a child who'd go on to be the subject of abuse. For example:


“Of all children having a finding of maltreatment by age 5, 83% are seen on a benefit before age 2, translating into a very high “capture” rate.”


Early reliance on welfare was significant. But there was a host of other predictive indicators, for example having a parent who had served a custodial sentence, or a parent undergoing addictive substance treatment. 


Ultimately, though, then Minister for Children Anne Tolley rejected application of the model. The professor behind the work is now assisting north American states in child protection practice.


But the exploratory work proved that it isn't difficult to identify where the future trouble begins.


The absence of data and knowledge isn't a barrier to informed intervention.


The problem lies with issues of privacy (or avoidance of stigmatisation), and race. 


The last National government introduced a law to enable a baby to be uplifted from a mother whose earlier children had been removed due to substantiated abuse. That didn't play out well when Maori advocates actively blocked the process.


Similarly with Section 7AA, whereby cultural considerations must be paramount when placing a child into care, some Maori will attempt to thwart non-Maori intervention.


While he was Police Commissioner, Andrew Coster oversaw a regime of Treaty training and courses aimed at unlearning unconscious bias. His woke credentials were earned.


Next year he will take charge of the new Social Investment Agency where the budget provided for practical intervention will be available to iwi providers. It will be no surprise if he is highly sympathetic to the 'by Maori, for Maori' sloganeering. (We could all be confidently sympathetic if violence against children was diminishing but it is not.)


So where will that leave the current tension between the Minister for Children and Oranga Tamariki bureaucrats? Might we see a Minister for child protection and CEO for social investment with competing philosophies? As if there isn't already enough conflict between the public service and coalition politicians.


But there is another aspect of social investment which suggests to me the government still isn't taking the concept seriously.


Literally billions are spent on incentivising the type of lifestyles that create future criminals. A third of Maori babies are dependent on a welfare benefit by the end of their birth year. They don't grow up in working households. Sole parents are now expected to spend a future 17 years on welfare; if they enter the system as a teenage parent, 24 years. Too often their own parents were subjected to woeful upbringings devoid of examples of how to raise a child well. This malaise isn't just a Maori problem, but a child in need of intervention is more likely to be Maori.


Those billions make a mockery of 'social investment' at $12 million annually.


We seem to be simultaneously stoking a massive fire while standing by with a watering can.


Lindsay Mitchell blogs here



 
 
 

38 Comments


Pete Mussel
Pete Mussel
Sep 26, 2024

This problem is 70% an iwi problem . They have failed their members by concentrating on screwing the govt out of more money and expanding their assets : completely ignoring a gigantic problem forced on the taxpayer and public by their members . Having a majority of their members reliant on social welfare , they blame the health system , the education system and the social welfare system for not supplying enough money . They fail to see that their concentration on expanding their language and culture on a non-accepting population creates dissention based on race . Most racists in NZ are maori based or organisations dedicated to decolonising or at the very least , expanding a power base th…

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winder44
winder44
Sep 25, 2024

It will not affect me, but what happens in 25/30 years time when the solo mum is around 40-55 years old. Has she had employment after the child/children have reached eighteen? Or does she go on the unemployment benefit until retirement age. There may be a shock as superannuation will most likely be gone by that stage.

Perhaps her unemployed children will stay home and look after her?

Edited
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charlie.baycroft
Sep 25, 2024

I wonder if any thought or concern has been given to the expected RETURN ON INVESTMENT?

When people's money is "invested" there needs to be an adequate return on that investment for the people that provided the money.

In this case, the people whose money is "invested" are the productive workers.


WHAT DO THE PRODUCTIVE WORKING PEOPLE GET IN RETURN FOR THIS SOCIAL INVESTEMENT OF THEIR MONEY?


Do the government officials that take and spend other people's money even care about providing value for what they spend?


If spending so much of other people's money was intended to result in the recipients of this "investment" having improved health, better education, less criminal convictions, productive employment, financial independence and improved standards…


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charlie.baycroft
Sep 27, 2024
Replying to

Perhaps or maybe not.

The money that pensioners and beneficiaries are given for doing nothing has been taken from productive working people or borrowed for them to service and repay in the future.

If the incomes of these workers was retained, they could spend it as they decided to instead of having to give it to the government to pass on to unproductive people.


The 12 Billion you refer to would not be "removed from the economy" if the people in the government allowed those who earned it to keep and spend it themselves.


The productive workers would also be encouraged to save and invest some of their incomes to provide for themselves later on instead of depending on workers…


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This comment was deleted.
Basil
Basil
Sep 27, 2024
Replying to

Much to agree with there. I observed a training session run by the Vanguard school recently - fun but tough basic training (military style) for the youngsters involved. On one of their nearby gazebos was a motto (if I recall it correctly) "Discipline yourself, so others don't have to".

Quite.

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garry.brunton
Sep 25, 2024

To the Tall Man. I agree with you. New Zealand's deprived children is a national tragedy.

We should be thinking of how to have happy well feed active children who are provided with a micro society that will enable their futures to have a chance to have a life that could be fulfilling and successful. Anything better than what they have now.


I believe that this could be accomplished when solo parents and their off spring are living in an organised communal situations where the group can support a troubled individual. This will work if it's done right.


However the problem with coming up with suggestions of looking out for such deprived children is that people look for reasons for…


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Tall Man
Sep 25, 2024
Replying to

A mate I went to varsity with many years ago suffered extreme mental health issues here with committal the only solution offered. He returned to Holland, the country of his birth, and while still very limited due to his illness he is living alone in a supported community with onsite live in care available if and when required. Some of the inhabitants do utilise the meals offered but comparative to his treatment in New Zealand, well there is no comparison as here he would have been thrust onto the community to deal with.


I therefore understand the methodology of the solution you propose but personal choice and freedoms are very different for the able bodied but unwilling to those available…


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