Opinion

Who cares?

The Hunter is heading for an unemployment rate of 15.4 per cent in March 2011, one year and eight months hence, according to the 11th State of the Regions report prepared by National Economics for the Australian Local Government Association. That's up from the current rate of 9.6 per cent, so we're talking thousands of people, thousands of families.

The figures I'm using, by the way, are true unemployment rates, prepared by National Economics using Centrelink figures to reflect the number of people out of work. The false rate is the official Federal Government rate that hives certain unemployed people off into separate categories and that has such a corrupt definition of unemployment that someone working one hour a week is employed. That false figure for the Hunter is, or was in May, 5.3 per cent.

There will be much misery behind the true figures as we head for March 2011, and much of that will be due to the fact that unemployment relief is manifestly inadequate for single people and parents with one, two or three children. The fact, too, that there is rent relief for those who rent but no mortgage relief for those with a mortgage will exacerbate many people's plight. In my column in The Herald today I look at Newstart figures, and I defy anyone to live half reasonably on these amounts.

But today I want to take you to a division in attitudes to the dole, a division highlighted by a new survey by the Welfare Rights Network, an organisation that helps people in dispute with Centrelink. The Network found that the people most likely to favour an increase in Newstart allowances (58 per cent) are those earning less than $40,000 and the least likely (43.6 per cent) are those on more than $80,000.

There's an ugliness in those findings. Is it that those doing OK prefer others to suffer? Are these well-to-do keen to preserve their privilege? Is it that people who do well in terms of income are more likely than those who don't to be selfish, ruthless, greedy?

Posted By: Jeff Corbett on 16/07/2009 6:01:00 PM | Comments (37)

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I reckon it's difficult to attribute 'cause and effect' to something like personal wealth and attitudes to welfare. Maybe those with higher incomes or greater wealth are more mindful of taxation in general...and are conscious of the massive inefficiencies in the tax system (and begrudge the extra spend)? Or maybe, to become wealthy, you need to be a bit mean and penny pinching? Or, maybe the wealthier people believe that, by propping up those less well off, they rob them of some of the motivation to do better? Or is it a phenomenion called schadenfreude, which is simply the notion that it's not sufficient for me to succeed; others must fail. Personally, I think we could be more generous with the various payments. We live in a rich society, and there is plenty to go around. Australia really is the land of milk and honey. Kazakhstan might be more difficult. People have to be able to have a decent standard of living, without feeling ashamed or less worthy simply because they are receiving a helping hand. But I also reckon we need to really crack down hard on welfare cheats, and establish a system for getting people off welfare. The idea of inter-generational welfare beggars belief.

Posted by Abundance, 17/07/2009 11:00:40 AM, on The Herald

I think there should be an increase in certain benefits. Austudy for example. The Government should assist everyone to better themselves. The more money people earn, the more tax they pay so it pays for it self in the longer term. BUT the increases should be for people who are also helping themselves get ahead. There needs to be better directed assistance for job seekers of all persuasions, free skills classes etc. I think maybe a points bonus system could be introduced where if you apply for "x" amount of suitable jobs you get "x" amount in bonus welfare payment, or do "y" amount of training or assistance you get "y" amount in bonus. What i mean in suitable jobs is that applyinf for jobs you either have the skills for, I've seen people do it where they are say, just out of school applying for qualified Mechanics jobs or Senior management jobs just to fulfill their job seeking quota. These people should be penalised as they are not seeking to better themselves.

Posted by Nafe, 17/07/2009 12:06:38 PM, on The Herald

All of the above, and then some. Whilst I don't doubt there are genuine cases of people who, despite the best of intentions, cannot find productive employment - there are plenty of cases of people who are unemployed through sheer lack of effort and will. Take the classic "there are no jobs here" excuse. So commute or MOVE. This excuse holds a little more water today than it did 12 months ago, when anyone with a pulse could get on a plane to WA and make $60k a year washing dishes in the Pilburra. If you'd rather sit on your arse in your Gelebe Rd houso unit than do that, you deserve nothing more than the measely dole - and not even that. The real killer is the ridiculously high minimum wage in this country - it effectively excludes a lot of hopeless people from employment altogether. If the wage was lower, then the real untermenschen could at least get menial jobs that paid something slightly above the dole - and from there have hope of climbing the employment ladder. But with the gap between the dole and the minimum wage so high, these people have no hope of ever being employed. Sadly they breed like rabbits, and the cycle continues....

Posted by Scott Hillard, 17/07/2009 12:06:48 PM, on The Herald

Jeff , what I think you'll find is that higher income earners look at the amount of tax they pay and then have to watch it get spent on things like baby bonuses (bogan breeding bonus), grants to all sorts of minority groups and the like and all the while watch as our hospitals, schools and police budgets are slashed - I believe that it would be impossible to live on unemployment benefits and/or a pension , but I also believe that a lot of social security money is ill directed - forget the bonuses and make the "standard" benefit more appropriate to the cost of living

Posted by smithy, 17/07/2009 12:42:48 PM, on The Herald

15.4% unemployment will exact an appalling toll on the people of this region. The flow on effects will be felt widely so that not just the unemployed will suffer, although they will be hit the hardest. The recent fair pay commission must have hit basic wage earners very hard and caused me to wonder just how those setting the pay rates would manage on the basic wage. Although I and my other half have been fortunate in my life to have a good education and work in well paid jobs I feel great sympathy for those battling on low wages and wonder how they afford the basics of life. It must be aweful not to be able to afford the occasional luxury. However Jeff I would suspect that for the majority of people, if they are doing okay then they couldnt care less about those doing it tough and may view their circumstances as being their own fault. Many people have become harsh and uncaring about the plight of others.

Posted by senior sergeant smith, 17/07/2009 12:55:18 PM, on The Herald

until recently i was an unemployed single father with 2 young children in my care full time. it was very difficult to afford to just live on centrelink money.even with rent assistance and the maximum rate available to me. i can assure anyone it was not a happy go lucky dole bludgers life style.people in that situation need more cash or perhaps some food vouchers or similar.i know there are people on benefits that should not be ,but do we lump the people in genuine need of help in their basket?

Posted by catl, 17/07/2009 2:12:47 PM, on The Herald

I feel that there is (sometimes justified) angst towards SOME people on the dole. It should be a fallback position and I have no issue with a hard working person being given a dcent helping hand when they fall on tought times. The problem is that its become more than a fall back position for some people. The dole is seen by some, not as a last resort, but as a way of life. We all know that someone who has never worked a day in their life and never will, living off the money I pay each as taxation on the 60 hours I spend away from home.... I have always thought that the dole should provide an incentive to get off the dole I don't mind contributing to those less fortunate than myself, but I do have an issue with them accepting that charity without any sense of responsibility to help themselves

Posted by HUmpty Dumpty, 17/07/2009 5:12:49 PM, on The Herald

I think it's a sad reflection on society when people who are pocketing $80,000 and over are content to see people live on $10, 000 a year. There are some exceptions to the rule, I have an amazing landlord who is very wealthy, and when i became terminally ill and could no longer earn a wage he reduced my rent to an affordable amount for me. Living on $15,000 a year has been a learning curve for me, but thanks to the kindness of someone with money, it has been made much easier. If only more of the lucky people out there were like that.

Posted by bitterbetty, 18/07/2009 9:26:53 AM, on The Herald

Living on the dole should be difficult - it encourages people to get a job and discourages bludging. Unemployment is rising, but it is still low and there are still jobs being advertised and companies are still hiring. It's just not as easy as it was before, as there are fewer jobs available and more competition. Raising the dole payment is a waste of time and money. Job creation is FAR more important and is where the taxpayers money should be spent. BTW, I earn $87K now, but I finished school in 1992 and was unemployed for 2 years before I got off my backside and got a job at a service station and I have move on and up ever since (including completing an accounting degree as an adult). If I was to become unemployed again, I would rather work at that service station then be collecting the dole!

Posted by Dean, 18/07/2009 8:16:14 PM, on The Herald

there are those who are incapable of looking after themselves for many reasons. But if one is capable of being self sufficient and independent of government asistance they should be given every assitance to do so. "At work or at school learning" seems a better way than just welfare benefits. Learning of course can include rehabilitation from all of the reasons that prevent us from doing our personal best. BUT all must be done in a way that does not create suffering and give no benefit to those (society) that foots the bill. The greatest cost of a depression or doublespeak -downturn is the very thing that money is supposed to represent -peoples work. having machines work 24/7 doesnt mean a thing if there is nobody doing things machines cant do to earn the money to buy usefull things that the machines produced. civilized and natural capiltalism are again only "doublespeak" if the real goals are not implemented for holistic benefits to be achieved. Bill Mitchell at CofFee said some very interesting things about waste of peoples efforts and his lectures are available on the uni CofFee site. If we want to talk economics we should listen and learn a liitle?

Posted by work4life, 20/07/2009 11:12:38 AM, on The Herald

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