Comment
Help for older workers in welfare reform: is it enough?
The Government promised older unemployed people that the welfare reform package would make it a lot easier for them to get the help they need to compete for jobs. But has the package, announced on 22 May with the Federal Budget, delivered on the promise? VERONICA SHEEN, deputy director of Council on the Ageing (Australia) comments.
Mature age people were a major focus of the welfare reform package. This will mean Centrelink and Job Network providers will be more aware of the issues of the mature age unemployed. The hope is that this increased awareness will translate into a better deal for them than they have received in the past. Time will tell.
In real terms, the benefits flowing from the package for mature age unemployed people are:
o $146 million over four years earmarked for mature age workers. $100 million goes to Centrelink for improved services and $45 million for additional employment, education and training services. This funding will be a good starting point for further enhancement. COTA thinks the $45 million over four years – only $11 million per year - for employment, education and training services is insufficient to substantially help this group.
o A Working Credit scheme which will allow unemployed people, including mature age people, to earn an additional $1000 per year. This will encourage older unemployed people to take up opportunities for part-time and casual work, which could lead to more permanent or full-time work. The Working Credit scheme is additional to the $31 per week allowed under the present income test for single people on Newstart or Mature Age Allowance.
o A Training Credit scheme of $800 which will help mature age unemployed people to pay for any training that they may need. They will need to be in Job Search Training or Intensive Assistance programs to obtain the subsidy. The subsidy will be very useful but will not be enough for some training courses people need to obtain employment.
o A new system of Personal Advisers for mature age unemployed people and mature age people on other pensions and benefits who need extra help in identifying the barriers to paid employment and formulating goals and a plan of action to achieve them. People receiving Mature Age, Widow and Partner Allowance will be invited to see a Centrelink Personal Adviser once a year. This will be helpful for a number of people.
o Immediate access to Job Search Training rather than a three-month wait for people on Newstart Allowance.
These initiatives are a good starting point for helping the mature age unemployed and others in the 50-64 group receiving social welfare payments. But let us not forget that a lot of people in this group will not receive anything, as they are not part of the social security system. This includes people who are under-employed, people whose spouses have a job and people whose assets mean that they cannot get Newstart Allowance.
COTA still argues that we need special programmes for mature age people that take account of their learning styles, existing skills and experience and employment goals. But we think the welfare reform package is a good start and that our hard work on the issue over the past few years has paid off.
