The Government has introduced a bill to change welfare rules so job seekers can be penalised if they fail drug tests and benefits can be stopped if people have outstanding arrest warrants.
Social Development Minister Paula Bennett announced the changes earlier this month, saying too many beneficiaries were failing to get jobs because they weren't drug free, or were refusing to take drug tests.
Under the legislation their benefit can be cut if they keep on failing tests - unless they're addicted and need treatment.
The Social Security (Benefit Categories and Work Focus) Amendment Bill also carries a raft of changes announced earlier this year, which are phase two of the Government's welfare reform programme.
It includes simplified benefit categories, stronger work-seeking obligations and support for people who need training to get jobs or need childcare.
Three new benefit types will replace the seven current categories.
Benefit rates are not being changed.
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