[Greens-Media] Senate Inquiry to examine budget Newstart changes

[Redman, Chris (Sen R. Siewert)]

3 June 2013

Senate Inquiry to examine budget Newstart changes


The Australian Greens said today that a Senate Inquiry into the Government's changes to Newstart, announced in the May budget, will provide the public with an important opportunity to comment on the approach being taken to vulnerable people.

Senator Rachel Siewert, Australian Greens spokesperson on families and community services said today  that the short Inquiry would allow the Social Security Amendment (Supporting More Australians into Work) Bill 2013 to be dealt with before the end of Parliament in June, while at the same time providing the community with the formal opportunity to respond to the measures.

"This Bill allows people on very low payments like Newstart to earn a miserly additional $19 per week before their income support begins to be affected," Senator Siewert said today.

"That's one hour of work extra per week at the casual minimum wage. The Bill does nothing to actually help people into work or to overcome the financial pressures they are facing.

"Such a meagre increase of the income free area- from $62 to $100 per fortnight- falls short of the $50 per week increase to Newstart that has been widely called for. The fact is people on Newstart need an increase to Newstart and an improvement in the income free area.

"To compound matters, the increase does not start until March 2014, so will offer no relief whatsoever until well after the election.

"This Bill does not address the significant and multiple barriers to employment that people are facing, which is why 60% of people on Newstart have been on the payment for more than 12 months. 

"It is crucial that this legislation is examined against the significant needs of those people struggling on Newstart.

"This is also an important opportunity to reinforce the message to all MPs that action on Newstart is essential. We need more than piecemeal approaches such as those contained in this Bill.

"The older parties need to realise that the pressures being faced by vulnerable people on Newstart are getting worse, and will continue to do so until substantive action is taken," Senator Siewert concluded.

The legislation will be examined by the Education, Employment and Workplace Relations Legislation Committee, with public submissions open until 11 June and a reporting date set for 17 June 2013.
http://www.aph.gov.au/Parliamentary_Business/Committees/Senate_Committees?url=eet_ctte/social_security_2013/index.htm