Future budgets are going to have to spend more on welfare, which is fine. It’s spending on us



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Lifters versus leaners is the language of the past. We are likely to see it less.
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Peter Whiteford, Crawford School of Public Policy, Australian National University

This is part of a major series called Advancing Australia, in which leading academics examine the key issues facing Australia in the lead-up to the 2019 federal election and beyond. Read the other pieces in the series here.


Spending on social security and welfare accounts for more than a third of the Commonwealth budget.

Because of its size, it has been one of the main targets of proposed cuts in every Coalition government budget since 2014.

Despite this, social security and welfare spending has continued to grow. In fact the best way to describe the approach of the Coalition’s past five budgets is attempted rather than actual austerity, with the Senate rejecting or never considering repeated cuts. More than A$10 billion of these were served up again and again in budgets as so-called “zombie measures”.

Whoever wins government will continue to face pressure to further increase welfare and social security spending as the National Disability Insurance Scheme ramps up and a royal commission and demographic shifts build the case for more spending on aged care.

It is also widely recognised that Newstart, the main payment for unemployed Australians, is increasingly inadequate. It has slipped relative to pensions and wages each year because it is indexed to the slower-growing consumer price index. Payments for single parents are also inadequate, having been cut as a result of specific government decisions.

They say it’s us versus them…

The Coalition has responded with policy proposals that stigmatise recipients, such as drug-testing. It has introduced programs such as Online Compliance Intervention (“robodebt”) and ParentsNext that have arguably overreached in clawing back payments and imposing sanctions.

In 2014, the new Coalition government’s first budget speech classified people whose main source of income was support payments as “leaners not lifters”. In 2017, the human services minister described welfare dependency as the most pressing problem facing Australia’s social security system, likening it to “poison” for the unemployed.

And yet most of us are recipients at one time or another or have family members or friends who become recipients because of unemployment, ill health or family breakup.

… but we are them

During any fortnight, more than 5 million Australians, or roughly a quarter of the adult population, receive an income-tested social security payment. This includes an age pension, a disability support pension, Newstart, a carer’s payment, a parenting payment or one of seven other categories of income support.

Family tax benefits supplement the incomes of around another 855,000 families. And 900,000 or so families, many of them not receiving social security benefits or other family payments, are assisted with childcare costs.

As we look over longer periods, receipt of social security payments becomes ever more common.

The social services minister has used point-in-time administrative data to show that in 2018 the share of working-age Australians on welfare fell to 15.1%, “the lowest rate of welfare dependency in over 25 years”.

But the longitudinal Household, Income and Labour Dynamics in Australia (HILDA) Survey finds that over the course of an entire year (2016) about one-third of working-age households contained someone who received an income support payment for some of it.

The longer the time period, the more common becomes the receipt of payments.

Between 2001 and 2015 around 70% of working-age households included someone who received an income support payment at some point (not including the age pension or family payments).

It is one of the most important lessons of longitudinal surveys like HILDA – we, our family or friends are in this together.

While the likelihood of receiving support is greater than acknowledged, that support is less intense than is commonly believed. HILDA shows that 70% of working-age households received some social security benefits over a 15-year period. However, only around 1% of working-age households receive the bulk of their income (90%) from benefits for 10 years or more.

These were people with deep and persistent disadvantage. They were highly likely to be Indigenous Australians or people living in areas with limited job opportunities or people with long-standing disabilities or educational disadvantages.

As the 2016 HILDA report notes:

The welfare system does indeed provide temporary rather than long-term support for most recipients, and is potentially playing a very important safety net role.

The social security system is among the core institutions of contemporary Australian society. And it can be regarded as one of the main levers of not just social policy but economic policy. Australian governments have used the social security system to stimulate household spending during recessions or to avoid recessions — as happened during the global financial crisis.

An effective social security and welfare system is an essential underpinning of a modern economy, not least because security when people are in work requires security during periods when people are looking for work or outside the labour market.

Immediate priorities…

The first welfare priority for a new government has to be to increase the Newstart unemployment benefit. Opposition Leader Bill Shorten has promised that, if elected, Labor will do this via a “root-and-branch review”.

Crossbenchers Rebekha Sharkie and the departing Cathy McGowan want to go further. They have introduced a private member’s bill that would create an independent commission to examine the adequacy of all social security payments other than family payments and payments to veterans. The commission would make recommendations rather than set rates.

The review promised by Shorten and the ongoing commission proposed by crossbenchers need not be mutually exclusive. An immediate review could be used to increase payments in the short term, while an ongoing commission could examine longer-term priorities.

Another urgent priority should be to reform the employment services network. It operates more like a system of penalties than an employment service, requiring participants to apply for 20 jobs a month or go on Work for the Dole programs rather preparing them for work.

… and beyond

There is a case for going further. We are overdue for a comprehensive review of Australia’s social security system. This should be undertaken in an integrated fashion and include tax, family payments and payments for childcare and to support people who study and work.

Looking further ahead, the ageing of Australia’s population is going to force us to spend more on health and aged care.

Population ageing and increased life expectancy represent a fundamental challenge that will inevitably be met by collecting and distributing more of our economy in tax and benefits than at present.The Conversation

Peter Whiteford, Professor, Crawford School of Public Policy, Australian National University

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Australian Politics: 17 July 2013


The asylum seeker controversy in Australia is deepening, with four more deaths after another tragedy at sea last night. There is yet another boat in distress right now as well. Compassion would seem to be much in need from where I sit, yet most Australians seem to have very little when it comes to the plight of refugees and/or asylum seekers.

Still, an election can’t be too far away as the various parties begin the usual pledges to spend money on this and that – certainly infrastructure needs are great in this country.

Meanwhile Kevin Rudd has held a community cabinet meeting overnight.

Christmas commercialism combated by "Advent Conspiracy"


A growing number of Christian churches are joining forces with a grass-roots movement known as the Advent Conspiracy, which is seeking to "do away with the frenzied activity and extravagant gift-giving of a commercial Christmas," reports Thaddeus M. Baklinski, LifeSiteNews.com.

The group was founded by Portland pastor Rick McKinley, who with a group of fellow pastors realized that their own, and their congregations’, focus during the time of Advent revolved more around secular consumerism than preparing to celebrate the birth of Christ.

"What was once a time to celebrate the birth of a savior has somehow turned into a season of stress, traffic jams, and shopping lists," McKinley observed.

"And when it’s all over, many of us are left with presents to return, looming debt that will take months to pay off, and this empty feeling of missed purpose. Is this what we really want out of Christmas?"

"None of us like Christmas," McKinley said in a Time.com report, adding, "That’s sort of bad if you’re a pastor. It’s the shopping, the going into debt, the worrying that if I don’t spend enough money, someone will think I don’t love them."

McKinley, whose church donates money to dig wells in developing countries through Living Water International and other organizations, saw that a fraction of the money Americans spend at retailers in the month of December could supply the entire world with clean water.

As a result he and his friends embarked on a plan to urge their congregations to spend less on presents for friends and family, and to consider donating the money they saved to support practical and tangible charitable works.

"If more Christians changed how they thought about giving at Christmas," he argued, "the holiday could be transformative in a religious and practical sense."

McKinley observed that at first church members were uncertain. "Some people were terrified," McKinley recalled. "They said, ‘My gosh, you’re ruining Christmas. What do we tell our kids?’"

Soon though, the idea caught on and McKinley found that not only were people "relieved to be given permission to slow down and buy less" but were "expressing their love through something more meaningful than a gift card. Once church members adjusted to this new conception of Christmas, they found that they loved it."

According to the Time.com report the Advent Conspiracy movement has exploded, counting hundreds of churches on four continents and in at least 17 countries as participants.

The Advent Conspiracy video has been viewed more than a million times on YouTube and the movement boasts nearly 45,000 fans on Facebook.

To find out more about the Advent Conspiracy, click here.

Report from the Christian Telegraph 

Iran Releases Two Christian Women from Evin Prison


No bail required; charges of ‘proselytizing’ and ‘apostasy’ remain.

ISTANBUL, November 18 (CDN) — Two Christian Iranian women, Maryam Rostampour, 27, and Marzieh Amirizadeh Esmaeilabad, 30, were released from prison this afternoon with no bail amid an international campaign calling for their freedom since their arrest on March 5.

The two women, whose health deteriorated while in detention at the notorious Evin prison in Tehran, are at their homes recovering from their nine-month ordeal, an Iranian source told Compass. They still could face charges of proselytizing and “apostasy,” or leaving Islam.

The women were released at 3:30 p.m.

“Words are not enough to express our gratitude to the Lord and to His people who have prayed and worked for our release,” the two women said in a statement from United Kingdom-based Elam Ministries.

The women’s lawyer had been working to secure their release, and although they were expected to be released yesterday, he was not able to do so because of the high bail the court was demanding. The Compass source said that it was too soon to determine how the lawyer was able to secure their release without bail today, a rarity for Christians released from prison in Iran.

The source credited their release to international lobbying and pressure on the Iranian government.

“It was from the international pressure, and also the government couldn’t handle it anymore,” said the source. “Already their detention was illegal. At the same time, the government wasn’t ready to prosecute them for apostasy. They already have many headaches. They cannot handle everything.”

The source said he suspected the two women will be very closely watched and would not have full freedom of movement, limiting their contact with others.

“It is too soon to give all the details,” he said. “It is not just about them. When people get out of jail we need time to get information … it is very difficult.”

Rostampour and Esmaeilabad were arrested in March and detained on charges of “acting against state security,” “taking part in illegal gatherings” and apostasy under Iran’s Revolutionary Court system.

On Aug. 9 the women appeared before a judge who pressured them to recant their faith and return to Islam or spend more time in prison. The two women refused. Last month, on Oct. 7, they were acquitted of the charge of “anti-state activities,” and their case was transferred to the General Court.

The charges of proselytizing and apostasy remain against them but are not handled by the Revolutionary Court. While proselytizing and apostasy are not crimes specified in the current Penal Code, judges are required to use their knowledge of Islamic law in cases where no codified law exists.

With a draft penal code that may include an article mandating death for apostates in accordance to sharia (Islamic law) still under parliamentary review, experts on Iran fear things may get worse for the country’s converts from Islam.

Elam reported that the women were “doing as well as could be expected, and are rejoicing in the Lord’s faithfulness to them.” The women reportedly lost a lot of weight during their imprisonment. Esmaeilabad suffered from back pain, an infected tooth and intense headaches, and Rostampour got severe food poisoning last month.

Elam requested continued prayers as the women may still be called to court hearings. The Iranian source said that all Christians released from prison in the last year have pending court cases against them, but almost none of them have been given court dates.

“Maryam and Marzieh have greatly inspired us all,” Director of Elam Ministries Sam Yeghnazar said today in a press statement. “Their love for the Lord Jesus and their faithfulness to God has been an amazing testimony.”

A member of Open Doors, one of many ministries that mobilized prayer support for the two women internationally, expressed gratitude for the two women’s release but cautioned that continued prayers were necessary until they were completely out of danger.

“Open Doors is so thankful for the release of these two women, and we praise God that they are safely home now,” said an Open Doors field worker who requested anonymity. “But we continue to pray for them, for physical and mental health. Open Doors also thanks the worldwide Christian family for their prayers for them, but we urge our brothers and sisters to not stop praying. They still have a path to go.”

Compass has also learned that on Oct. 13 the leader of a large network of churches in the northern city of Rasht was arrested and is still in prison. Pastor Yousef Nadarkhani has had contact with his family and has been pressured to recant his faith and return to Islam, according to an Iranian Christian who requested anonymity. Nadarkhani is married and has two children under the age of 10.

Another source confirmed that while six of the 24 Christians who were arrested in a police raid on July 31 in the area of Fashan north of Tehran have been released, one identified as Shaheen remains in prison unable to pay bail for his release.

Report from Compass Direct News