Tuesday, 30 July 2019

The unemployed in Australia have been betrayed yet again


A Liberal Party dominated Australian House Of Representatives Select Committee on Intergenerational Welfare Dependence betrayed vulnerable Australians in April 2019.

However, neither the Labor Party nor Centre Alliance can walk away from the shameful part they played in this betrayal.

The Age, 23 July 2019:

A bipartisan call to increase the Newstart allowance was removed from a parliamentary report at the direction of the Morrison government on the eve of the federal election.

As Prime Minister Scott Morrison stares down growing demands by Coalition MPs to lift the unemployment benefit for the first time since 1994, The Sydney Morning Herald and The Age can reveal former social services minister Paul Fletcher intervened in an inquiry to erase a major recommendation that would have turbo-charged the sensitive issue.

The probe into the causes of long-term welfare was established by the government in mid-2018 to investigate why some Australians become trapped in the system.
The draft final report - agreed to by MPs from the Coalition, Labor and crossbench - contained a specific call to lift the Newstart payment for singles and families.

But sources said Mr Fletcher demanded to review the recommendations before they were publicly released in April and is understood to have told the committee chair - veteran Liberal MP Russell Broadbent - that the final report could not contain the specific Newstart recommendation.

The committee, which included Liberal MPs Kevin Andrews, Bert van Manen, Ben Morton and Rowan Ramsey, as well as Labor MPs Ged Kearney and Sharon Bird, was then hastily reconvened to change the wording of the report.

The opposition's policy at the time was to merely review Newstart rather than raise it.

Following Mr Fletcher's intervention, MPs agreed to only recommend an examination of the "adequacy of payments on young people and single parent families".

In a sign of the growing sensitivity of the issue, Mr Morrison on Tuesday warned Coalition MPs against airing personal views, telling them "government is not a blank cheque" and that they disrespected colleagues by pursuing personal policy agendas.

Amended Final Report can be found here.

Australian Parliamentary Library Briefing Book, retrieved 18 July 2019;

From 20 March 2020, Newstart Allowance will be replaced by a new JobSeeker Payment. Over time a number of other working age payments such as Sickness Allowance and Widow Allowance will end and recipients will also move to the JobSeeker Payment. The new payment will have the same payment rates and indexation arrangements as Newstart Allowance. This is part of a 2017–18 budget measure that aims to simplify the income support system. [my yellow highlighting]

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