UBI: Universal Basic Income or Uneducated, Biased Idiots?

Given the handwringing and whining that has accompanied Labour’s announcement that it is investigating a Universal Basic Income, you would think the opposition party had announced a new flag referendum.

But, no, the Labour Party is merely starting a conversation about what a welfare state might look like in the 21st century, where work is insecure and job stability a thing of the past.

“It seems like there’s a campaign to wilfully misunderstand the conversation Labour wants New Zealand to have,” says Peter Malcolm, spokesperson for Closing the Gap, the advocacy group that is fighting New Zealand’s growing inequality.

“Universal Basic Income (UBI) is not a new idea – it has been floated around by several countries and various groups – but it is new to mainstream New Zealand media. It would be great if kiwis could be mature about it, and instead of dismissing the idea just because Labour has raised it, actually explore it as an option.

“Closing the Gap is not affiliated to any political party. We look at all the parties and how their policies prevent growing inequality in New Zealand.

“For us, a UBI is worth exploring for a number of reasons. Taxation has always been the basis of a civil society where all members are treated respectfully. We know the wealthy currently get off quite lightly – having them pay more tax on the higher end of their income is not a bad idea. The Scandinavian countries use this philosophy to provide excellent social services to all their citizens.

After all, many New Zealanders will remember the days of a 66% top income tax rate and what Labour is proposing won’t get anywhere near this.

“In addition, as Labour has highlighted, the nature of work is changing. Many of us work short-term contracts and irregular hours. With technology changing rapidly, the kinds of jobs we have will change into the future. UBI allows people to maintain their homes and feed their families when there are gaps between jobs.

“Contrary to scaremongering among the ignorant, the intent is not to act as a disincentive to working. Rather the UBI allows a person to eke out a basic existence while not working and motivates them to find work to get ahead in life. Those who opt not to work will live very meagrely while those who do work will enjoy a guaranteed income on top of their earnings that they can spend as they wish.

“Under a UBI, every kiwi will be treated the same. What could be fairer than that?”

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