House debates

Tuesday, 18 September 2018

Constituency Statements

Newstart

4:55 pm

Photo of Ross HartRoss Hart (Bass, Australian Labor Party) Share this | | Hansard source

This week we saw the release of a report from Deloitte Access Economics that found that lifting the rate of Newstart by $75 per week would help boost the economy, particularly in regional Australia. This report was commissioned by the Australian Council of Social Service, which described the current rate of Newstart as a 'national embarrassment'. I agree. Australia's social safety net should allow people to put a roof over their head and food on their table. Unfortunately, for recipients of Newstart this is not the case. Newstart has not increased in real terms in 24 years, but the cost of everyday essentials has drastically increased.

Just this morning I was contacted by one of my constituents, Brad, asking for action in regard to the current rate of Newstart. Brad is studying to become a teachers aide. He's also required to look for a certain number of jobs every week and attend weekly meetings with his employment service provider. Brad has been telling me about the struggle he faces to manage on Newstart: 'Because prices keep going up, and we keep getting the same amount of money, it makes it really hard to live. I would be more inclined and motivated to work and look for jobs if I knew there was food in my belly and at home in the cupboard, and all my bills were paid.' Almost all of his payment goes to rent and electricity. Often he goes without meals, because he simply cannot afford otherwise. Brad tells me how difficult it is to find the motivation to look for work and to keep up with his studies whilst facing constant financial stress. It's clear from Brad's story and others like it that the current system is simply not working. It's time for a major overhaul in the way employment services are delivered in Australia and a serious review of unemployment payments.

I note that my Tasmanian colleague Senator Abetz has called for a reintroduction of the Green Army Program, supposedly to address unemployment and, in particular, youth unemployment in Tasmania. I would argue that programs like this do nothing to help people like Brad who need support while studying and/or looking for work. Rather, they only serve to further entrench poverty through cheap labour schemes. Brad's power, food or rent will not be paid for by participation in a Green Army scheme.

We need new solutions providing meaningful work for and assistance to Australians in need of a job. This is why Labor, if elected, has committed to a root-and-branch review of Australia's welfare payments. A real increase in these payments, and addressing poverty traps created by complex legislation, cannot be delivered from opposition. Australians should be able to rely on our social safety net if and when they need it, and not have to make the decision between putting food on the table or a roof over their head. We hear talk from the other side about people who are lifters or leaners. People like Brad are lifters. They are studying to get themselves ahead. They need our support and assistance.