Greens take stand against payment cuts for 100,000 Australians

The Australian Greens have once again taken a stand against the Government’s punitive agenda, this time with proposed legislation set to severely impact the income support payments of around 100,000 single parents and young people.

Some of the proposed changes under the Social Security and Other Legislation Amendment (Income Support and Other Measures) Bill will see:
- Single parents previously protected by grandfathering provisions will be moved to the lower Newstart Allowance earlier than before – a pay cut of $58 per week
- Young people forced to remain on Youth Allowance for an extra year before moving up to Newstart – a loss of $43 per week

Senator Rachel Siewert, Australian Greens spokesperson on Families and Community Services, said today that the cuts were an unjustified money-grab from the Government.

"Single parents and young people will see income support reduced and will be forced deeper into poverty,” Senator Rachel Siewert said today.

"A range of submissions to the Senate Inquiry into this Bill made it clear that these changes are cost cutting measures. These is a lack of evidence to indicate they will lead to more people finding work and in fact evidence suggests the measures will make it harder for people looking for work.

"Cutting payments makes it harder to meet the costs of living, put fuel in the car and undertake training or skills development.

"It makes finding work in a tough labour market harder than ever.

"It is widely recognised that that single parent families are already some of the poorest in Australia and this measure will not address their employment prospects.

"This is a money grab for the budget's bottom line, to the detriment of some of Australia's most vulnerable people.

"I'm astounded that this Government is extending the Howard era's Welfare to Work measures and looking to save money by targeting vulnerable parents and young people.

“The Greens have recommended that the Government abandon these proposed changes and we will continue to work towards that outcome in Parliament," Senator Siewert concluded.

Senator Siewert has produced a dissenting report as part of the Senate Inquiry into the Social Security and Other Legislation Amendment (Income Support and Other Measures) Bill 2012. Visit the Inquiry Website.