No evidence doubled JobSeeker created dole bludgers

As resume writers, we know how hard job hunters scrounge for work. There are still ridiculous elements who think being on the dole is a party.

Two of Australia’s top labour market and welfare academics say there is no evidence doubling the dole at the height of the pandemic created an avalanche of dole bludgers.

Australian National University’s Crawford School of Public Policy professor Peter Whiteford and University of Melbourne professor Jeff Borland said the data didn’t show the extra $550-a-fortnight coronavirus supplement was a disincentive for the unemployed to find another job.

The base rate of JobSeeker, formerly known as Newstart, is worth $565.70-a-fortnight and was bolstered by the supplement when coronavirus outbreaks sent the economy into lockdown.

Professor Borland said he found there could be a “substantial increase” in the dole without affecting peoples’ willingness to get a job.

The comments add to a fierce debate about cuts to the supplement, which was reduced to $250 for the final quarter of 2020 and has been extended to March next year at a lower rate of $150 a fortnight.

The Morrison government and some business groups have raised concerns that keeping the rate too high discourages those on the dole to accept work. Labor, unions and social services groups are concerned cutting back to the base rate of $40-a-day will leave families in poverty.

Major employer organisation Australian Industry Group has encouraged the government to consider hiking rent assistance before increasing the dole due to concerns about businesses struggling to fill job vacancies. But the Business Council of Australia has backed increasing JobSeeker so it is closer to the age pension.

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