Jobseeker benefits ‘not up to the job’

GOLD Coast business leaders have called for reform of unemployment benefits in tomorrow’s Federal Budget after new statistics revealed more than 20,000 Gold Coasters are claiming the payment.

New data from the Department of Human Services shows 20,288 people receive the Newstart allowance on the Gold Coast, which pays $272.90 a week for a single person.

The information, based on postcodes, shows Southport, Surfers Paradise, Parkwood, Yatala and Nerang are the Coast’s worst social welfare black spots.

The 4215 postcode, which includes Southport and Labrador, has 2769 unemployed people. Yatala has 2505, while affluent Broadbeach and Mermaid Beach has only eight.

An increase in the allowance by $75 a week would cost taxpayers an additional $3.3 billion a year.

But Gold Coast Central Chamber of Commerce president Martin Hall said a raise should be considered by Treasurer Scott Morrisson.

“Ultimately people should be encouraged to remain in or get back into employment, but if they aren’t they need to have the resources to get out of the situation they are in,” he said.

“The cost of the increase could likely go back into the community, given the amount of spending that would be done locally.”

President of the Gold Coast North Chamber of Commerce Martin Brady said a complete overhaul of unemployment assistance may be necessary.

“Newstart is there to help people get jobs,” Mr Brady said. “If it doesn’t currently give them the ability to (find jobs), change needs to be considered.

“We would like to see a broader review into what is stopping those people from finding work.”

A large proportion of Gold Coasters on the dole, 4756 people, are older workers aged between 45 and 54.

Senior economics lecturer at Griffith University Dr Parvinder Kler said he was not surprised the older generation featured so heavily.

“Unemployment in mature workers is an increasing trend,” Dr Kler said.

“Previously, the majority of jobs didn’t require a high degree of education, but that has changed and employers don’t want to train them or retrain.”

While welfare increases have never been popular, Dr Kler said a raise to the Newstart payment could benefit the local economy. “When you increase the allowance for a number of people who are essentially unable to save, every additional dollar goes back into essentials and therefore the local economy,” Dr Kler said.

Robyn Burch, organiser of Gold Coast charity meal service Havafeed, said those on Newstart simply could not afford some of the necessities needed to secure a job.

“We have people who barely make it through, they can’t afford hair cuts, credit on their phone, some have lived without power,” she said.

“You can’t do it, the rents are so high here there isn’t much left over ... I don’t think politicians have any idea how hard it is for some people.”

Queensland Senator Murray Watt said Labor had committed to a review of Newstart as current payments are “far too low to live off”.

“As they are now, payments like Newstart are far too low to live off, unlike what some of my LNP colleagues may think,” Senator Watt said.

“Increasing Newstart will be a benefit to our economy, and will make it easier for people on Newstart to attend job interviews and apply for work.

“There are far too many Australians who can’t get a job – we need to improve the way we help people on Newstart find work,” he said.

Member for Moncrieff and Federal Tourism Minister Steven Ciobo said welfare reform was in the works.

“Under the Coalition, 1100 jobs are being created every day nationwide and we have assisted nearly 30,000 Gold Coasters find work through our Jobactive program,” he said. “In contrast, under Labor, the number of Australians dependent on welfare increased by 250,000 people.”