Clark reshuffles Cabinet

12.15pm

Prime Minister Helen Clark today announced that senior cabinet minister Trevor Mallard will take on a new role co-ordinating race relations policy for the Government.

She also announced that disgraced immigration minister Lianne Dalziel's portfolio had been given to Paul Swain, who also becomes Minister of Labour.

Government senior whip David Benson-Pope has been elevated to fill Ms Dalziel's place in cabinet.

Mr Benson-Pope becomes Minister of Fisheries.

He also becomes Associate Minister of Justice, takes responsibility for the Law Commission, and will have responsibilities relating to the Resource Management Act as Associate Minister for the Environment.

The creation of Mr Mallard's job as co-ordination minister for race relations follows pressure on the Government to explain its policies after National leader Don Brash said his party would end special treatment for Maori.

The Government has conceded its policies could have been perceived as being based on race although it has repeatedly said these are based on need.

Helen Clark said today that Mr Mallard, in his capacity as State Services and Associate Finance Minister, would be taking responsibility for reviewing government policies to ensure these were addressing need.

"The upcoming budget will be one for New Zealand battlers," the Prime Minister said.

"This is a government which has brought a great deal of benefit to low and modest income people across the board.

"We will continue to ensure that in meeting our objectives, services are delivered by those likely to get the best results."

Mr Mallard would take responsibility for general issues concerning the Treaty of Waitangi, such as the place of references to the treaty in legislation.

Helen Clark said there had been no clear ministerial responsibility in this area.

Margaret Wilson keeps the Treaty Negotiations portfolios.

Dr Brash has said National would strip references to the treaty from legislation.

Changes Miss Clark made as a result of redistributing Ms Dalziel's portfolios were:

* Ms Wilson becomes Minister of Commerce;

* Mr Swain, who was transport minister, becomes Minister of Labour and Immigration;

* Pete Hodgson takes over transport, as fisheries goes to Mr Benson-Pope;

* Ruth Dyson becomes Associate Minister of Labour, handling policy issues such as work-life balance and family-friendly workplaces;

* Marian Hobbs has her associate education role expanded to take responsibility for adult and community education.

Helen Clark said the portfolio changes would take effect on Thursday when Mr Benson-Pope was sworn in.

Jill Pettis takes over as senior whip and Labour backbencher Darren Hughes takes over her role as junior whip.

- NZPA

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