THE government’s cash-handout scheme does not help low-income people but weakens them instead, social activists claimed yesterday, suggesting the authorities should use the money strengthen the national welfare system.

“Rather than just a one-off giving of money, the government should allocate the budget to shore up the national welfare system,” said Tuanjai Samanmit, a key member of the People’s Health Systems Movement.

Three state banks have started distributing the one-time subsidy to the unemployed and other low-income people after the government delayed the payment until December 9, Government Spokesman Sansern Kaewkamnerd has said.

Of the 8.27 million people registered as low income before August, 6.98 million were qualified to receive the subsidy via Krungthai Bank, the Government Savings Bank and the Bank for Agriculture and Agricultural Cooperatives, with Bt12.75 billion allocated for the purpose by the Cabinet in late November.

People who earn Bt30,000 per year or less will get a one-time cash handout of Bt3,000 per person, while those who earn between Bt30,000 to Bt100,000 annually will get Bt1,500 per person.

Sansern said the subsidy distribution would be finished by the end of the year as a “New Year gift” from the government to the people.

The banks were transferring the subsidy via people’s bank accounts, while people without bank accounts could collect the funds at the banks’ offices, the spokesman said, adding that the latter group was encouraged to open bank accounts that do not require deposits to expedite the transfers.

“The government is concerned about all groups of people, especially those who have low incomes,” he said.

The subsidy had to be carried out systematically, he added, saying that the government supported people registering in order to establish a database to be used when planning public-welfare outlays.

‘Short-term measure’

“The one-time subsidy for low-income people is a short-term measure that [the government] runs in parallel with long-term economic stimulus that will stimulate domestic consumption and prevent further debts for people,” Sansern said.

The scheme was welcomed by some people, as they received free money from the government, but social workers said they saw the issue differently since the cash handout would not help to solve problems for low-income people.

“In the meantime, the government asks the poor to register. Why did [the government] not ask the rich to do so as well to declare how much their inheritance and their land is worth?” Tuanjai said.

“They could pay tax reasonably based on their assets. But the state fails to manage [the wealthy paying reasonable taxes]. The state instead focuses only on handing out subsidies to the poor. Give away cash today, and they will be weak forever,” she said.

People should be involved in controlling the state’s budget by suggesting how much should be spent on welfare to ensure equality and efficiency, said Nimit Tienudom, director of the Aids Access foundation.

People should also take part in determining tax-collecting guidelines to decrease the economic gap between people, he said. “The people should have the right to determine the direction of the country. If the state has a limited budget, it should be effectively used. If the state has quality welfare, people are ready to pay tax,” he said.

The cash-handout scheme failed to provide health guarantees equally to all people in the country, said Sureerat Treemanka, a coordinator of People’s Network for State Welfare.

“The registration of the poor, which the government supported, discriminates against people. The poor might get a subsidy, but how about those considered by the government as ‘almost poor’? Will they be treated fairly?” she asked.

The government should focus on its national strategic plan, which should be inclusive, in order to come up with policies that help to narrow the wealth gap, Sureerat said.

“The government should push all people to register rather than focusing on the poor to ensure fair treatment and the equal rights of people,” she said