By Wendy Robertson
During the federal election campaign, the Liberals' announced that they intended to cut $180 million from social security payments over three years by cracking down on so-called social security fraud. In order to cut people off benefits as rapidly as possible, the Minister for Social Security, Senator Jocelyn Newman, announced in early April that employers will be able to call a government hot-line to report unemployed people who refuse to accept genuine job offers.
"With an official unemployment figure of 21% for 15 to 19 year olds, it will be primarily young people who will be targeted by this new scheme", said 14-year-old Resistance activist, Paul Howels. "The new dob-in scheme will not reduce unemployment, only job creation can do that. Instead, it will be used by employers to further pressure young people into accepting low wages under threat of being immediately cut off the dole if they refuse", he said.
Young people are already forced to accept lower wages and work-for-the-dole training positions by the fact that all rates of youth dole are well below the poverty line. The highest rate of Youth Training Allowance (youth dole) paid to 16 and 17 year olds at the independent or homeless rate is $116.05 a week. To qualify for this you have to prove a history of violence or sexual abuse, proof of which rests on parents.
According to Department of Social Security figures, in March, only 9831 out of 82,000 unemployed people in receipt of the Youth Training Allowance qualified for the independent rate. Another 313 people received the living away from home rate which also starts at $116 a week. Because the rate of payment is dependant on parental income, this leaves almost 72,000 young unemployed receiving much less than $116 a week. The maximum rate of benefit for young people living at home is $70.30 a week.
Australian Youth Policy Action Coalition executive officer Julian Pocock said: "The Coalition promised to deliver jobs to people, not stigmatise them as cheats and enemies of the community. Since the election young people have heard little about creating jobs, the most effective, just and lasting way to reduce expenditure on unemployment benefits. Creating jobs should be the focus of discussions around the federal cabinet table, not miserly schemes to attack those in need of support."