House debates

Wednesday, 31 May 2023

Bills

Social Services and Other Legislation Amendment (Strengthening the Safety Net) Bill 2023; Second Reading

11:45 am

Photo of Justine ElliotJustine Elliot (Richmond, Australian Labor Party, Assistant Minister for Social Services) Share this | Hansard source

I am very proud to rise today to speak in support of this bill, the Social Services and Other Legislation Amendment (Strengthening the Safety Net) Bill 2023. I am very proud because this bill really is significant in Labor's ongoing commitment to improve our social safety net, which of course forms the backbone of our nation's welfare system. We're doing that because we know people are doing it tough and we know there are massive increases in the cost of living. We speak to people every day who are in this situation. That's why, through this bill and our budget, we have addressed many of those issues. We understand how important it is. Labor hears what the community says and acts. By implementing the income support measures outlined in our government's $14.6 billion cost-of-living package, what this bill aims to do is assist the lives of those millions of Australians who we know are having a really difficult time.

We did this through our budget and through our budget measures. It was a responsible budget. Despite inheriting that trillion dollars of debt from the previous government, we have rightly provided very much needed cost-of-living initiatives. We were able to provide over $14 billion of cost-of-living initiatives, and they have made a difference and will be making a difference to the lives of so many people, particularly in tripling the bulk-billing rebates for GPs so many more people can access a doctor. It's such an important issue. I know in my electorate, where we have a large number of senior Australians, it makes such a difference as they regularly have to access their doctor and have difficulties. We have addressed that major cost-of-living concern.

Another initiative provides cheaper child care. It's such an important initiative for so many reasons—for the children to access child care and for the parents, predominantly women, to be able to go back and engage in the workforce, which is very good for our economy as well. There have been many calls for all these measures.

Other initiatives provide cheaper medicines, which are so vitally important, and assistance with power bills. Then, of course, there are all of the measures in this bill as well. This is a whole suite of measures to assist with cost-of-living issues at the moment.

We can only have these measures in place and deliver that funding with responsible economic management. We have to have that to deliver those funds to make sure we can increase these social safety nets. Yes, budgets are about making tough choices, but we know it's important to deliver this support for the most vulnerable Australians. Remember, many of these measures had not been addressed over the past decade with the previous government, because it takes a Labor government to be able to balance the budget whilst also providing support for vulnerable Australians.

There are many aspects of this bill that are very important in terms of strengthening the social safety net. Indeed, as I have said, one of the Labor Party's core values lies in providing that support for the most vulnerable in our community. Our social safety net, along with Medicare, stands as a strong foundation for our society, all built by us, by Labor governments. It offers very important assistance to those who are facing financial hardships or unforeseen challenges in their lives. It should be there for people when they need it, and it's therefore our responsibility as a government to strengthen this vital support system whenever we can. We have made sure we have done that through our responsible budget measures.

The amendments proposed in this bill are both comprehensive and wide-ranging, addressing key areas of concern within our social safety net. One of the central provisions of the bill is the increase in working-age and student payments. Again, this is a major issue that I speak to many people about in my electorate of Richmond on the New South Wales North Coast. It is one that they have raised with me on many occasions, as is the need to increase it. We brought up this issue many times when we were in opposition, and we didn't see any support from the now opposition when they were in government in terms of these measures. What we have seen in this budget are changes to payments such as JobSeeker, youth allowance, parenting payment partnered, Austudy, Abstudy, disability support pension, and youth and special benefit. What those changes will mean is a $40 per fortnight increase, commencing from 20 September 2023.

I know that these measures and these increases are ones that many Australians have called for for a very long period of time. We have made these increases within the context of our budget framework, and within our economic framework as well—our responsible budget. These increases are targeted at helping those Australians who are doing it tough. Indeed, whilst these increases are modest, they are important for those individuals and families who rely on these important payments. Importantly, these increases are specifically targeted at individuals who are facing financial adversity. They acknowledge the real struggles faced by countless Australians who are on the lowest incomes. It's also important to note the automatic indexation of these payments, which will reflect changes in the cost of living.

By providing these increases, I think we really do send a message to the Australian community about the values of our government. We have listened to them about needing to increase those supports. This increase will provide essential assistance to approximately 1.1 million people, offering more assistance for them. In my electorate of Richmond alone, this increase will support more than 7,000 people who need it the most across that entire range of payments that I listed. When we look at the impact of this increase in numbers, combined with the indexation changes over the past year, the base rate of the JobSeeker payment will have had a 14 per cent increase since May 2022. This translates to over $90 more in the pockets of recipients every fortnight, resulting in over $2,300 of additional support each year. This boost in that income is for those individuals and families needing assistance with the rising cost of living.

Another really important aspect of this bill in our budget was extending the eligibility for the higher single rate of JobSeeker for older Australians. This bill extends that eligibility for the higher single rate of JobSeeker to single recipients aged 55 and over who have been on income support for nine or more continuous months. This expansion recognises the very unique challenges faced by older Australians in the workforce, including age discrimination and, often, health related obstacles. This is particularly the case for older women. This extension is also an acknowledgement of their many valuable skills, their knowledge and their experience whilst looking to address some of the additional barriers they encounter when seeking employment. With this extension, approximately 52,000 Australians aged 55 to 59 will receive an increase of $92.10 per fortnight, providing greater financial support to them. In my electorate, this higher rate, which already applies to those aged 60 and over, will now support an additional 370 people aged between 55 and 59.

Another important aspect of this bill is expanding eligibility for the parenting payment single. This is very important. We know that single parents face immense challenges as they balance caring responsibilities with work or study commitments. They're often unable to get to those study commitments or work commitments because of the nature of parenting, and these challenges don't disappear when their child turns eight. In fact, as children grow older, the demands of parenting can alter, but those challenges are ever present, and ever time consuming as well. By expanding the eligibility for the parenting payment single to parents with a youngest child who is under 14, this does give those parents greater capacity to take on more paid work, to perhaps pursue other opportunities for professional development and to work towards a better future for themselves and their children. This change will positively impact over 50,000 single parents, providing then with at least an extra $176.90 per fortnight. I am really proud to be part of a government that is delivering this much-needed boost. This will be making a huge difference for those 450 eligible single parents in my electorate on the New South Wales North Coast. I think that this increase recognises those very unique challenges that single parents have.

A really important aspect of this bill is increasing Commonwealth rent assistance, an issue where many people in the community have called for an increase, because housing affordability is such a huge issue that affects countless Australians across the nation. Again, in my area, housing, homelessness and rent are an absolute crisis, particularly with our devastating floods that we had last year. They have added to the situation, making it extremely difficult. We also understand that rising rents are placing a huge burden on individuals and families struggling to keep a roof over their heads.

We have a whole suite of measures that we are putting forward in terms of addressing the housing situation. In this case, this bill acknowledges the pressing need for support in the rental market and it includes a significant increase in Commonwealth rent assistance—indeed, the largest increase in over 30 years. For those who have already reached the maximum amount of assistance, we're proposing a 15 per cent increase in their payment. This injection of support amounts to an average increase of approximately $24 per fortnight for over 1.1 million households. That boost will provide assistance for many of those individuals and families who we know are struggling to meet their rental obligations.

In my electorate, more than 6,000 people will benefit from this increase. I know how important it is. Many people have raised with me the fact that there hasn't been an increase in rent assistance for such a long period of time. When we examine the impact of this increase, we see that, since May 2022, the maximum amount of rent assistance for JobSeeker payment recipients who are single and living on their own will have increased by 24 per cent, which is a marked increase in that assistance. It does represent an additional $35 every fortnight, assisting many of those people who are doing it tough.

As we know, one of the biggest issues is addressing the housing, homelessness and rent crisis, and this government has a suite of measures. In fact, we have some in the Senate right now, and I implore those opposite—the Liberals, Nationals and Greens—to stop locking our $10 billion housing bill that will provide social and affordable housing for Australians who desperately need it, providing 4,000 homes for women and children fleeing domestic violence. I implore those opposite to think about those people that need these homes the most and actually pass the bill. It is disgraceful that many of them—particularly the Greens—are adamant about blocking it when there are desperate people who need to access affordable housing right now.

In conclusion, as a Labor government we make no apologies at all for being committed to our absolute belief in the strength and importance of providing all of the strong safety nets that people need. We do that in the context of responsible budget management. We can do both. We need to have the responsible budget management to provide the funds for of these increases which were never made under the previous government. I think this bill highlights our values as a Labor government to provide a range of measures to assist those millions of Australians who really are doing it tough in the current climate. We understand that because every day in our communities we speak to these people about the difficulties they face. This is what Labor governments stand for. We have a proud history of delivering major reforms that assist many Australians, particularly those vulnerable Australians that need assistance. In this case, that's exactly what the Albanese-Labor government delivering on.

I do want to recognise impacts that this bill will have on the lives of millions of Australians and, indeed, tens of thousands in my electorate, as I've outlined throughout this speech. Many will be assisted, particularly with those increases in JobSeeker and those other payments, particularly with the increase in rental assistance, providing greater support for older Australians too. Right across the board, we are addressing so many of these concerns about which nothing has happened for so long, but this is what Labor governments do. We address many of these issues in the context of responsible economic management.

By supporting this bill, we will have power to make a genuine difference in the lives of millions of Australians, to assist them at a time of greatest need, when we do have many cost-of-living pressures, and ensuring that those most vulnerable Australians are actually getting greater support. We are very proud in the context of our budget to have had such a major package—more than $10 billion—in terms of cost-of-living relief, whether that's accessing GPs, cheaper medicines, providing support for power bills or cheaper child care, and all of these social net significant changes will assist millions of Australians. I commend the bill to the House.

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