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We've got work to do

21/3/2019

6 Comments

 
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Jobseekers are being punished for being unemployed, writes Cr Michael Whelan, and the rest of us need to speak up on their behalf.

By Cr Michael Whelan
 
IT’S now 24 years since there’s been a real increase in the Newstart allowance. For a single person the allowance is $278 a week. That’s close to $160 a week below the poverty line, and $178 a week below the pension.
 
My sister was on Newstart a few years ago. She lived in Croydon and was asked to apply for jobs as far afield as Greensborough, places you can’t get to by a single train journey. In her early 60s she was asked to go and apply for a job as a security guard in a shopping centre. It was ridiculous.
 
Jobs Minister Kelly O’Dwyer did announce policy changes for job seekers this week. The requirement to apply for 20 jobs a month has been replaced by an online job application process. I commend that, but I didn’t hear anything about an increase in the amount of the Newstart allowance.
 
One of this council’s top advocacy priorities is addressing homelessness and emergency housing, with low income being recognised as a key driver of homelessness.
 
You can’t live on the Newstart allowance and not be in poverty. When you’re poor, when you’re living in poverty, it’s hard to be making clever decisions about your finances, about your diet, about a whole host of things. It’s oppressive and it’s unfair. In fact these people are being punished for being unemployed.
 
The Australian Local Government Association has passed a resolution supporting an increase in the Newstart allowance, as has the Business Council of Australia & KPMG. Nineteen other councils have voted to support an increase.
 
Why is this a council issue? Because these are our people, our neighbours and our friends, people in our community who look to us for leadership, for support to apply pressure where they have not been able to do so effectively.
 
We know from the state campaign that an election year is the best time to make these pressure points felt. That’s why we should be talking to the major parties on behalf of people in our community who are in poverty whilst on the Newstart Allowance.
 
The Federal Government’s focus has been on tax cuts for the richest section of our society. The so-called trickle-down effect is a cruel joke. Since 2010 we’ve had increasing concentration of wealth in Australia and the rest of the world. Today half the world’s wealth is in the hands of just eight people. That’s unsustainable in a democratic society.
 
I’m an old Keynsian economist. We need to bolster the demand side of our economy. This is one of the best ways to do it. We need to put this money in where it will reduce poverty and give the moribund state of our economy a kickstart … any increase in the Newstart allowance will be spent in our local community.
 
On Wednesday, Bass Coast councillors voted unanimously to support a local petition calling for an increase in the Newstart allowance. The council will write to the major parties before the federal election seeking an election commitment to raise Newstart to a level that will lift people out of poverty. Bass Coast became the 20th council to support an increase

6 Comments
Jacqui Paulson
22/3/2019 11:19:52 am

Well said, Michael. A country is defined by how it treats it's poor, sick, homeless, disenfranchised and strangers. I support wholeheartedly the council making this decision.

Reply
Adrian
22/3/2019 01:52:21 pm

What these "rich" and the government dont seem to realise is that if newstart was given a decent boost there would be more items purchased creating demand, creating jobs and increasing profits, the best way to support the wealthy is to give the poor more money

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Sunny
22/3/2019 04:15:33 pm

Well written Michael, it always frustrates me that the unemployed are suffering the most, no matter how they got there they should not be punished like this. Housing is the number one issue once you become unemployed, who can afford to pay their mortgage or pay rent? If it is a welfare to tide them over until they get a job it is not working, they spend all their savings, have to sell possessions and end up in the biggest hole they cannot get out of. There has never been enough jobs and more and more are going overseas, many people are in the gig community and live week by week, then there are those on contracts, missing out on superannuation and holiday leave. Chemist Warehouse employees want to work but are striking currently for better more permanent hours and wages. This is the example of what is happening in the workforce. Raising Newstart means people can feel better, eat better, have a roof over their head and then make more effort to find work while they spend the money back into the community it helps everyone. No one on Newstart is hoarding their money.

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julie
24/3/2019 06:44:30 pm

Thanks Michael and Catherine, great article. Good to hear that common sense prevailed and BCSC Crs. voted unanimously to support the motion to raise Newstart. Thanks again, and for your ongoing support with this issue.

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Peter
24/3/2019 10:15:04 pm

I was working in the building industry. Having work; then not having work. SELF EMPLOYED-2 dirty words that the government doesn't like when it comes to Newstart. Having very little work I applied to get an increase in my allowance. Not only did they take that small allowance away they took it away for 3 months. Nothing.(apologized later but no backpayment.) Half my life savings went in that 3 months. Another time they paid me $30 a month! (because Newstart thought I was doing ok). That's 8 coffees. They don't take into consideration the costs in running a business, only what you earn. Then if you miss an appointment with Newstart you can wait as much as 2 hours on the phone to re connect with the system. Young people especially, people with children, single mums or dads are DESPERATE FOR A BETTER DEAL AND BETTER THINKING FROM GOVERNMENT. Things have gone very wrong in our society in the recent past. We need them corrected, and fast. Are you listening Prime Minister?.

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Cr Geoff Ellis
25/3/2019 08:24:48 am

'Great article Michael and I fully agree. People are being punished for the lack of jobs in our area. According to Vcoss there are over 2700 people living in poverty in our shire.

Our unemployment rate in Bass Coast is 6.5%.

People on Newstart can't afford to travel and any increase in payments would obviously bring a boost to the local economy.

'Trickle up' economics would work and we also need to get away from the adversarial and punitive nature of compliance.

It's nearly a year since a woman passed away in one of our foreshore reserves after she had been cut off from Centrelink due to losing her medical certificates.



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