Treasurer Jim Chalmers says unemployed better off with job as Labor MPs push to boost JobSeeker
Treasurer Jim Chalmers has suggested that the unemployed would be better off if asked if they could live on $49.50 a day.
With a budget due May 9, Dr. Chalmers has sidestepped calls from Labor backbenchers representing wealthy voters and former millionaire CEOs to raise JobSeeker, now at $693.10 a fortnight for a single person with no children.
When asked if he could get by on $49.50 a day, the treasurer – who receives a salary of $406,988 – suggested that the unemployed look for a job.
“I recognize it’s hard to live off the JobSeeker payment,” he said.
‘That’s why we want to get as many people off that payment as possible and let them go to good, safe, well-paid jobs.
With a budget due May 9, the treasurer has sidestepped calls from Labor backbenchers to raise JobSeeker, now at $693.10 per fortnight for a single person with no children (pictured is a Centrelink queue in Melbourne in 2020)
“We recognize that there are differing views on whether or not this payment is adequacy – I have great respect for the people who made this suggestion to us today in the letter released today.
“These are good people who make suggestions.”
Dr. Chalmers responded after Labor backbenchers called on the government to get more job seekers in a joint open letter with the Australian Council of Social Service.
Among them was Dr. Michelle Ananda-Raja, the first ever Labor member for the wealthy seat of Higgins, in Melbourne’s inner east covering Toorak, and Louise Miller-Frost, who last year became the first Labor member since 1949 for the beachside Boothby electorate in Adelaide.
They were joined by the Labor member for Canberra, Alicia Payne and Kate Thwaites, who represents for Jagajaga in Melbourne’s north.
Former Jagajaga member Jenny Macklin was formerly the Minister for Families and Community Services who suggested in January 2013 that she could live on $35 a day when asked about the level of Newstart, as the benefit was then known.
Those comments coincided with the transition of 80,000 single parents from parental benefits to benefits.
Last week, Ms. Macklin — as chair of the federal government’s advisory committee on economic integration — called for an increase in the number of job seekers.
She also signed the ACOSS open letter.
“The commission recommends that the government commits as a first priority to a substantial increase in the base rates of the jobseeker’s allowance and related working age payments,” its commission said.
Labor backbenchers called on the government to expand JobSeeker by signing an open letter with the Australian Council of Social Service. Among them was Dr Michelle Ananda-Raja (pictured right with Prime Minister Anthony Albanese), the first-ever Labor member for the prosperous Higgins seat, in Melbourne’s inner east that covers Toorak.
Treasurer Jim Chalmers has suggested the unemployed would be better off finding a job if asked if they could live on $49.50 a day
Dr. Chalmers downplayed the idea of raising the benefit again after ACOSS released the open letter also signed by former Greens senator Lidia Thorpe, Tasmanian Liberal backbencher Bridget Archer and teal independents Zoe Daniel, Monique Ryan, Kylea Tink, Sophie Scamps , Zali Steggall, Kate Chaney and David Pocock.
They were joined by former federal Liberal leader John Hewson, Greens and independents Andrew Wilkie and Helen Haines, along with millionaire Simon Holmes a Court, who funded Climate 200 teal independent candidates, former Telstra chief executive David Thodey and former David Jones CEO Paul Zahra. .
“At $50 a day, JobSeeker’s current rate isn’t even enough to cover the bare necessities like weekly food and medicine, let alone get a haircut or buy a new shirt for a job interview,” he said. the letter.
“And with the Reserve Bank predicting unemployment to rise by 150,000 next year, we need to make sure that income support covers basic costs.”
The former member for Jagajaga, Jenny Macklin (back with former Labor Prime Minister Julia Gillard and Minister Tanya Plibersek), was previously the Minister for Families and Community Services who suggested in January 2013 that she could live on $35 a day when her asked about the level of Newstart, as the benefit was then called
Unemployment in March remained at a 48-year low of 3.5 percent, but the Reserve Bank expects it to reach 4 percent in June 2024, which would still be below the 4.75 percent level the Treasury is targeting. as full employment.
Inflation fell to 7 percent in the March quarter, down from a 32-year high annual rate of 7.8 percent in the December quarter, but still well above the Reserve Bank’s target of 2 to 3 percent .
Dr. Chalmers suggested that the upcoming budget would likely focus more on helping benefit recipients cope with cost-of-living pressures, giving them an energy supplement rather than a Social Security increase on top of biennial indexation for inflation.
“Cost of living pressures are still coming at us from all over the world and they are still being felt at the kitchen tables of this country,” he said.
“Therefore, the budget will include a cost-of-living allowance that gives priority to the most vulnerable people in our community.
‘Help with energy bills, for example, goes to people with pensions and benefits.’