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The Forum > Article Comments > Government policy driving dole growth > Comments

Government policy driving dole growth : Comments

By Andrew Baker, published 12/9/2012

It would be natural to blame the global financial crisis or the European debt crisis for the increased number of long-term Newstart recipients, but the reality is that government policy has been driving this growth.

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Quite a good article. There has been some shuffling of the deck chairs when it comes to News Start and Disability payments. One thing that sticks in my craw is that people 55+ can receive News Start but not satisfy the work test - they can volunteer a few hours a week. There will more of that.
Posted by Cheryl, Wednesday, 12 September 2012 8:43:22 AM
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On the face of it, the raw numbers seem accurate. And yes tougher disability tests have moved some from DSP to new start, as has the change to PP payments. So?
However, the govt is in no way responsible for the average industry attitude to older workers!
Nor can it be held to account for the slow death of rural towns and villages, particularly those that used to almost entirely depend on rural enterprise, sugar and dairying co-ops etc, for their employment opportunities!
As I recall, it was the Howard govt and its policies that all but destroyed these industries/local manufacture and the movement of rural enterprise to Collins street, tax avoidance farming?
Nor are the states blameless in the small recent increase in unemployment numbers.
That said, we are almost alone in the developed world with significant growth and the lowest unemployment numbers; and an economy the envy of the world!
And that is solely down to current govt policy!
However, I see even harder tougher times ahead, which no current govt/green straight jacket/alliance, will/can mitigate.
What we need is a change of policy towards offshore mining, with the most promising areas, regardless of label or sacred cow disposition, opened up to serious "public" exploitation!
Exploitation and revenue/incomes, that could see us entirely avoid the economic pain/new Great Depression loitering on the horizon!
Some serious tax reform/simplification would reduce the load on free enterprise/small business, still the largest employer.
We could do a lot worse than trade away unfair dismissals for a more generous work start payment plan. Which given my druthers, would include a compulsory work component, for the able, of one month full time work for every two months of payments.
Cash strapped local councils could participate, and provide the otherwise idle tools and equipment, in return for free to them, labour?
Various schemes would then become feasible, such as hand grub and burn, permanent progressive noxious weed reduction? And or, pensioner assistance with overgrown yards they can no longer cope with or manage, etc/etc?
Rhrosty.
Posted by Rhrosty, Wednesday, 12 September 2012 10:36:04 AM
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...My experience through time has taught me, when the unemployment rate was as low as 3%, it was obvious that that 3% consisted of those in society who wouldn’t (and couldn’t) work in an iron lung.

...So assuming that hopeless component in society remains at 3%, then the balance of 2% of the current unemployed, are the element we need to concentrate on to get motivated towards a useful involvement in the workforce. The useful 2% should, I believe, be assisted with a more liberal and generous contribution towards assisting a genuine effort by them, in the (expensive) search for work. They, as a group, should be rewarded with a bonus based on their previous record in the workforce.

...In Chile under Pinochet, workers were rewarded at the end of their working life with a system which provided evidence from an employees work history: Every worker carried a little book to be stamped by successive employers as time went on. The pension was paid commensurate to his successful work record…I think it’s time Australia innovated in that direction!

...That system is also much fairer to older workers who find themselves unemployed after a long working history. The Government assistance is paid in accordance to demonstrated effort in the past. Nothing could be fairer
Posted by diver dan, Wednesday, 12 September 2012 11:10:12 AM
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What? Pinochet was extradited and charged with numerous human rights abuses/genocide and all manner of abuse of power?
Chilean workers are still amongst the lowest paid, [virtual slave wages,] with the fewest workers rights?
The staff are the very life blood of any successful business; [and almost family,] rather than simply a malleable labour market, which seems to treat, blood, bone and flesh, human workers, as little more than a disposable commodity?
Employers ought also carry a little book, which could also be red star stamped with every dismissal, and given an excellent record of staff retention, eligible for business enhancing progressive tax cuts; and or, very low cost govt backed business expansion loans.
That way we would be able to progressively remove the occasional rouge employer/corp psychotic/ruthless Pinochet doppelganger, from actually participating in the labour market; or, expecting various favours, [unpaid overtime etc/etc/etc/etc,] in return for good behaviour gold star stamps, in a book relating to/depending on, future retirement/public health benefits etc?
Rhrosty.
Posted by Rhrosty, Wednesday, 12 September 2012 12:14:57 PM
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Real tax reform and simplification as outlined, and mathematically proven by me, in previous posts, would add around 30% to the averaged Australian bottom line and around 25%, [averaged,] to household disposables.
The additional household 25%, would then allow the simultaneous imposition of a non contributory 15% super, while still accommodating a 10% increase in discretionary spending or saving; or some combination of both!
Which would also contribute to fewer wage demands, or seriously put the brakes on the dog chasing its tail, prices/wages spiral.
The equally simultaneous creation of a fully franchised brand new peoples' bank; utilising the then extremely large new surpluses, as govt supplied venture capital? Would give displaced number crunchers, other and far more productive employment options/career/wealth creation pathways?
Moreover, the single stand alone unavoidable 4.8 expenditure tax, [collected and transferred; fee free, in return for a continuing banking licence; via the banking system, and their already existing and eminently capable, main frame computer systems,] could be very marginally adjusted; region by region, to alone control all inflation or stagnation; meaning, interest rates could be progressively reduced and permanently maintained at historical lows, to turbo charge the non mining economy, all while putting progressive downward economic pressure, on our over-priced dollar!
A non contributory super scheme set at 15%, would be much better/larger/more generous, on retirement, with a good work record/promotions and wage rises etc.
Which would in turn rely exclusively on a good to excellent work record and participation!
No ruthless mass murdering dictator and his gold star stamps needed here thank-you Diver; just a basic humanity and, DTE bolts and nuts common sense, arguably the rarest commodity of all?
Rhrosty.
Posted by Rhrosty, Wednesday, 12 September 2012 1:00:37 PM
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...No Rhrosty; I like the “little book of stamps” method. Its fair! It would also eliminate the 48,000 illegal reffos’ who payed big money to get to Australia to obliging Indonesian fishing boats, to simply sit on their non-English speaking fat backsides and collect $50,000 PA indefinitely on the dole. There is little mystery why dole payments are escalating.

...Lets get our house in order in Australia, and pay the dole commensurately as reward to the deserving, to help the genuine out of work "workers" return to employment!
Posted by diver dan, Wednesday, 12 September 2012 4:29:15 PM
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A. With over 400,000 immigrants and visa holders every year the competition for the scant few jobs left is cutthroat. Employers can get away with murder and they do.

B. Every meaningful job in this nation except being BOSS has been offshored because that is better for the bottom line. That is the fault of free market e-goonomics(FME). The only government culpability is in allowing FME to continue beyond its used by date. The whole Keating model of Deregulation will eventually have to be dismantled as population sizes grow beyond resource capacities wherein deathly COMPETITON for resources renders FME nothing but a straw man for global economic fraud and $Dollar printing THEFT of scarce, once in a lifetime, irreplaceable resources. All while PRETENDING they are to be found somewhere new in a free market nano-second.

To blame job seekers in the context of this problematic global meltdown is like blaming gremlins for your car overheating when YOU forgot to Top up the oil!

When the $hit hits the fan (and believe me thats SOON) Rich leeches' greatest asset will be the good-will of the silent majority of Job Seekers on the dole.

Remember the French Revolution

& cherchez les femmes sans enfants!
Posted by KAEP, Wednesday, 12 September 2012 5:21:19 PM
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What the hell ? sensible contributors will no longer bother. In the commentary section, the lunatics have taken over the asylum.
Posted by Valley Guy, Wednesday, 12 September 2012 9:21:14 PM
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VG,

What the hell?

You are just a local so are redundant. Don't comment from now on!

We will offshore comments on Australia's future!

It is cheaper and better quality comments always come from better quality OS people anyway.

PS We'll pay you the dole with all the other losers.

Julia Gillard

PMT (Prime Minister Terranullis)
Posted by KAEP, Wednesday, 12 September 2012 9:33:53 PM
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And another thing,

We intend to put all the public servants who handle the dole ON THE DOLE

After we first offshore the whole social services & centrelink package to Indian telecall centres.

That way when payments go amiss me and my government are immune to criticism. ITS no longer a government portfolio - ITS A PRIVATE CONTRACT!

POLITICAL IMMUNITY!

Julia Gillard

PMT
Posted by KAEP, Wednesday, 12 September 2012 10:34:18 PM
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Put me in charge of Centrelink payments. I'd get rid of cash payments and provide vouchers for bags of rice and beans, blocks of cheese, basic sanitary items and all the powdered milk you can use.

If you want steak, burgers, junk food, get a job.

Put me in charge of Medicare. The first thing I'd do is to get women to have birth control implants. Then, we'll test recipients for drugs, alcohol, and nicotine. If you want to reproduce, use drugs, drink alcohol or smoke, get a job.

Put me in charge of government housing. Ever live in military barracks? You will maintain our property in a clean and good state of repair. Your "home" will be subject to inspections anytime and possessions will be inventoried. If you want a plasma TV or Xbox 360, get a job and your own place.

Put me in charge of compulsory job search. You will either search for employment each week no matter what the job or you will report for community work. This may be clearing the roadways and open spaces of rubbish, painting and repairing public housing, whatever we find for you. We will sell your 22 inch rims and low profile tires and your dooff dooff stereo and speakers and put that money toward the “common good.”

Before you write that I've violated someone's rights, realise that all of the above is voluntary. If you want our hard earned cash and housing assistance, accept these rules.

Before you say that this would be "demeaning" and ruin someones "self esteem," consider that it wasn't that long ago that taking someone else's money for doing absolutely nothing was demeaning and lowered self esteem.

If we are expected to pay for other people's mistakes we should at least attempt to make them learn from their bad choices. The current system rewards those for continuing to make bad choices.

While you are on Centrelink income you no longer have the right to VOTE! For you to vote would be a conflict of interest. If you want to vote, then get a job.
Posted by Geoff of Perth, Thursday, 13 September 2012 12:06:57 AM
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I'm with Geoff - rewards should be earned.

Cheryl, What have you got against the over-55's? Which, I assume, could include many who would have been gainfully employed for 30 years and more? It's not so easy getting a job when you over 50, and it's painful when all your past efforts and contributions count for nothing.

Of course, some expect the older generation never to be a burden, and to take any old demeaning job, while of course leaving all the juicy jobs for the young - although the olds have already 'paid their dues' so to speak, often in situations the new generation could not even imagine, let alone endure. Oh, to be young and full of vinegar and high ideals, but let's not forget that respect has to be earned.
Posted by Saltpetre, Thursday, 13 September 2012 2:04:00 AM
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On reading the many comments above it would appear many of you have not endured the trauma and difficulties of being unemployed so I assume you all have secure jobs as I did prior to 10th October 2009 when I and others became redundant.

Since then I have applied for thousands of jobs without success and have arrived at the conclusion that due to the high unemployment rate employers have been given the tool of lawful discrimination.

In January 2012 I managed to acquire casual employment working on a production line on afternoon shift but 5 weeks after commencing the job the entire afternoon shift was made redundant. I have applied for many jobs since.

One big hurdle which confronts me is my age, I turned 63 in August. Employers cannot decline anyone employment due to their age because that is discriminatory so the circumvent by using other ways such us not having own transport or not residing locally.

I am compelled to exist on benefits of $498 a fortnight which does not cover my home mortgage payments let alone any other payments which must be paid such as electricity, water and council rates and I'm constantly under the threat of foreclosure and eviction to join the many hundreds of thousands of Australian homeless who have suffered the same fate.

I cannot remember when I had a good healthy and wholesome meal last as I make a loaf of bread last me between benefit payments. I have lost a lot of weight and my health has suffered and yes at times I have contemplated suicide but I think things will change for the better.

So please do not label all welfare benefit recipients as leaches for the minority few who are.
Posted by gypsy, Thursday, 13 September 2012 2:16:50 PM
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Gypsy:

...With the system I outlined above, unemployment at your age would bring greater benefit. You would be rewarded for loyal service in the workforce, (if you were able to demonstrate a healthy work record over time, that is).

...I agree life can get pretty tough, and too often unemployment is the catalyst. But I defend my comments above, which criticises the current immigration policies relating in particular to boat people.

...Your case is a prime example of why a rorting bunch of free loaders arriving by boats, and masquerading as deserving refugees, should not be tolerated. When a family of unemployable freeloaders are given a welfare cheque of $50.000PA for life, while at the same time the Government responsible, wines about the cost of dole payments to its residents, its time to expose the rort for what it is, and demand from the same Government, an exercise of responsible action against the rorting.
Posted by diver dan, Thursday, 13 September 2012 8:32:49 PM
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Diver Dan I must agree with a lot of what you said especially about the alleged boat people and refugees.

I fail to understand or comprehend why it is they get better benefits and assistance than Australians.

The only answer to the reasons for it that I can come up with is to distract all Australian people from what is actually happening in our once great country Australia.

The media are a tool of the government to supposedly keep us informed but do they really?

Most of what gets reported is performed in such away to divide and conquer. A prime example is relating and reporting on unions, bikers and other groups which many of us have very little knowledge of actual facts so many of us have the assumption to believe what we read and this distracts us from issues which affect us all, thus divide and conquer.

Another prime example is when they raise issues of welfare recipients the media has a tendency to show the worst recipients of people collecting benefits which inclines people to look at anyone who us on welfare to be free loaders and druggies or alcoholics.
Posted by gypsy, Thursday, 20 September 2012 9:51:27 AM
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