WORK FOR IT: Hone Harawira wants the dole raised to the level of the minimum wage but says people should have to do community work to get it.

Hone Harawira has called for the unemployment benefit to be increased to the level of the weekly minimum wage.

But the Mana Party leader – contesting the Te Tai Tokerau electorate in Saturday's by-election – says people should have to work for the dole.

"My suggestion is for everybody to work in the community," Harawira told Sunday News.

"Take everyone who is on the unemployment benefit, prop them up to the minimum wage and put them to work in their communities in hospitals, libraries, schools, old people's homes and other community organisations.

"The key is to get them actively engaged in their communities.

"What has happened is people have been unemployed for so long in Te Tai Tokerau, that their mind isn't even engaged in employment options or opportunities...

"Their minds are stagnating, their soul is dying, their spirit is broken," he said.

Harawira wanted to launch his work-for-the-dole scheme in Northland before expanding it across the country.

"The people of Te Tai Tokerau are desperately poor," Harawira said.

"Even though there are different surveys saying that everybody is slowly coming out of the recession, that is not the case in the North.

"If you want families to feel that they are worthy, parents to think that they are worthy and [have] honour in being able to feed their children and pay for books, you do it by giving them work."

Harawira was awaiting further information from the Ministry of Economic Development before confirming how much it would cost to introduce the scheme in the Te Tai Tokerau electorate alone.

But he said it had been estimated to cost an annual $1.5 billion to bring it in nationally, a figure he didn't think was excessive.

The weekly minimum fulltime wage is $520 before tax.

The unemployment benefit ranges from $150 for a teen living at home, $225 for a single person over the age of 25, $375 for a couple and $326 for a single parent.

Saturday's Te Tai Tokerau by-election is the result of Harawira's resignation as an MP on May 11.

He had earlier quit the Maori Party after a falling out with its leadership.

But Harawira said he was prepared to work alongside his former colleagues should he be returned to Parliament.

"I want to see whether Mana and Maori can come to an arrangement which will be to the benefit of all of Maoridom."