Cuts to unemployment benefits, called Newstart Allowance, took effect from July 1. Those in share accommodation receive only two-thirds of the maximum rate for rent assistance; for many people this means a cut in income of as much as $32 a week — a 17% cut. Many Newstart recipients earn $130-190 a week; the median rent in Sydney is now $165 a week.
JAMES VASSILOPOULOS visited a Department of Social Security office in Sydney and spoke to people about what they think of the change and how they are able to survive.
Lee: "The Liberals have cut the dole without it seeming that they cut the dole. For me, it means I get $10 less per week. It is not getting any easier, is it? It's not fair."
A: "Out of a fortnightly cheque of $330, I pay rent of $280. So that gives me $50 a fortnight. It is barely enough to even buy toilet paper. A few extra dollars would really help just to buy those luxuries like shampoo or a packet of Tim Tams or just food."
John: "It is hard enough to live off the dole as it is. Losing another $20 a fortnight — well, you are just going backwards. It makes it tougher. People who can not find work because of the problems in system should get some kind of living wage, not the current starvation wage."
B: "This is bullshit; I'm against this. We are struggling with the money we are getting. People really need that money to survive to eat. Politicians are getting $80,000 a year; we do not need them, we do not want them. Some of them are just sitting there doing nothing."
Jessie: "It is awful. I pay $100 a week rent. I used to get $70 a week rent assistance; now I only get $40 a week. We have to pay for things like food as well. How are we meant to survive? You really have to cut back certain expenses. You barely just get through. You get your rent paid, your bills paid and there's nothing left. There's no money to have a social life."