Sussan Ley (Farrer, Liberal Party, Shadow Minister for Childcare and Early Childhood Learning) Share this | Hansard source

I would like to ask the minister about a specific budget announcement contained in Budget Paper No. 2, page 32 for reference. It concerns the Building Australia's Future Workforce program, which we have mentioned in this session, and in particular the wage subsidy for the very long-term unemployed. This announcement states that employers will be encouraged to hire the very long-term unemployed—two-plus years—by offering to give employers the amount of Newstart payment that the job seeker would have otherwise received, and this payment will be offset for six months.

Minister, I have a couple of questions around this issue of payment to the employer the sum total of a Newstart payment for a six-month period. What assurances can you give us that this will not involve the turning over, the churning, of workers given that we see these examples all around us now with traineeships being suddenly abandoned after the necessary—usually six-month—period is over. The amount of money that will be offered, this six months of Newstart, is quite significant. My first question concerns assurances that there will be something to prevent exploitation of what could be seen as quite a lucrative exercise for some unscrupulous employers.

My second question concerns part-time work. Are the provisions for this employment under this program to be for part-time work or would the employer that took advantage of it have to hire the person on a full-time basis? Let us assume that there is provision for part-time employment: will the payment be pro rata or will the business still receive the full wage subsidy at the rate of Newstart for six months? It is simply not clear. If you hire a part-time worker or a three-quarter-time worker, would you get a similar pro rata amount of Newstart? There are my three questions around this particular budget measure.

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