Harsh Compliance Measures Fall Short of Necessary Reforms

Catholic Social Services Australia's Executive Director, Frank Quinlan says new measures introduced to the Federal Parliament today aimed at softening compliance requirements for single parents and people on unemployment benefits have fallen short of the mark.

Speaking shortly after legislation was introduced Mr Quinlan said despite the opportunity for significant reform, the Government has failed to remove concerning elements of the harsh compliance regime put in place under the previous government.

"While we welcome elements of the new compliance framework, the overall measures remain unnecessarily punitive.

"The ‘no show no pay' arrangements place a financial guillotine over the heads of very vulnerable job-seekers. We have consistently argued that many people who remain unemployed in such buoyant economic times experience significant barriers to employment, barriers that need services, not punishment," Mr Quinlan said.

"If unemployed people do not meet their obligations, there is usually good reason. These reasons must be investigated thoroughly.

"It's also disappointing to see the Government has chosen to continue the eight week suspension of welfare payments put in place under the previous government's Financial Case Management plan as part of its welfare to work changes.

"The harm caused by cutting off people's financial support is well documented. Disadvantaged people must be engaged and enabled in order to build skills and capacity.

"We do welcome the new Comprehensive Compliance Audit system, which will investigate people's circumstances to determine underlying causes of non compliance.

"This new process will allow Job Network providers and or Centrelink to trigger a comprehensive compliance audit, which will assess people's capacity to meet their compliance requirements.

"The fact that people can now avoid penalties by undertaking participation activities is also a welcome move. Catholic Social Services Australia has argued if the object of the system is participation, this should be the case at all points of the system.

"We want people to participate, not suffer financial loss - with all that that entails. If someone has done the wrong thing, but is eager to re-engage, we should not be closing the door on them," Mr Quinlan said.

The Social Security Legislation Amendment (Employment Services Reform) Bill 2008 will amend the Social Security Act (1991) and the Social Security (Administration) Act (1999)

24 September 2008

CONTACT Judith Tokley 02 6285 1366 / 0408 824 306