Modernising our processes

How our processes currently work

Every year, we make millions of decisions, and many of these are simple and straightforward. While we currently use automated processes where we can, there is also a lot of manual processing and duplication. This may mean delays for people who get assistance from us.

The current legislation only allows us to use automated decision-making (ADM) in limited ways.

The changes

From 1 July 2026, we’ll be able to automate more decisions where appropriate. This means, MSD can use ADM in more rules-based processes. A rules-based decision is made using clear, set criteria based on the information we have about a client, where no discretion is required. For example, we use ADM to re-grant Jobseeker Support, when all criteria are met.
 
ADM will not replace MSD kaimahi/staff members making decisions or having conversations with a person, when that’s needed. It is not generative AI. Generative AI is the type of technology used in tools like ChatGPT and Claude.
 
The Bill will strengthen our existing safeguards for using automated decision-making. We will continue to make sure ADM is reliable and used safely, in line with our ADM Standard.

How it will work

Confirming your circumstances 

The Bill expands the types of benefits people must confirm their circumstances for regularly (mandatory reviews). It’s important we have up to date information about a person’s circumstances to check they are eligible and they get paid the right rate. ADM will continue to be used for parts of the review process to improve the timeliness for people getting assistance. 

Health and disability benefits 

It also clarifies requirements for medical evidence for health and disability related benefits. This Bill sets clearer expectations while retaining flexibility to respond to people’s circumstances, such as when people need more time to see their GP. 

People must still provide medical evidence when they apply for a medical benefit and when their medical coverage is coming to an end as they do now. However, when medical coverage is coming to an end, we can now provide extra time of up to 40 working days. This is for people to get their evidence if there is a good reason, e.g. bereavement, or health provider rescheduled appointments due to sickness. However, clients will need to get in touch before their current medical coverage expires if they need an extension. 

Dependent children turning 18 

The Bill changes our process for when a dependent child turns 18. This includes when we request information from clients to check if the young person remains financially dependent and in education.  

We are not removing support for 18 year olds who are still in school and financially dependent up until the end of the year they turn 18.  

We will contact caregivers 25 working days before their child’s 18th birthday to ask them to confirm if their child is still financially dependent on them and in education. When this information is not provided, children who turn 18 will be automatically excluded from their caregiver's payments.  

We’ll let you know when ADM is used

We will let our clients know when we’ve used an ADM process to make a decision that affects them. Our clients will continue to have the right to have decisions reviewed, including decisions made using ADM. The review will always be done on a case-by-case base by a person, not by ADM. 

When the changes will start

Nothing is changing right now, some changes will begin on 1 July 2026. More information about these changes will come out closer to when they each happen.