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The Guardian - AU
The Guardian - AU
National
Amy Remeikis and Josh Butler

‘The rate is too low’: pressure builds within Labor ranks to raise jobseeker

Centrelink
Labor MPs are increasing pressure on party leadership to raise the jobseeker payment. Photograph: Jessica Hromas/The Guardian

Labor’s leadership is coming under increasing pressure from its own party to raise the jobseeker rate, with more backbenchers breaking ranks to publicly lobby for an increase.

At least 11 MPs have now publicly stated support for a jobseeker increase or other relief for the most vulnerable, with more privately saying they want the rate raised.

The government’s economic inclusion advisory committee proposed lifting the jobseeker rate to 90% of the aged pension, which would mean an additional $90 a week for participants. It found the current rate was so low it was a barrier to finding work, with jobseekers unable to afford “the essentials of life”.

But almost as soon as the report became public last week, the government ruled out any substantial increase to the unemployment benefit, citing budget pressures.

Labor MPs who spoke to the Guardian said they had been speaking with the leadership and cabinet ministers about the need to make welfare a priority, with concerns the Albanese government was not meeting the expectations of the electorate.

Macnamara MP Josh Burns said he had had “a number of long conversations with his cabinet colleagues about raising the rate”.

“My view is the rate is too low and we have to raise it,” he said.

“And I’m not alone there, so do most of my colleagues.”

Fremantle MP Josh Wilson added his voice to the chorus on Thursday.

“The neglect of Australia’s social safety net has meant that some of the most disadvantaged people in our community are hitting the ground,” he said.

“The Albanese government has begun a vital repair task and the treasurer has said this work will continue in the budget. I have long supported lifting jobseeker.”

Bennelong MP Jerome Laxale said it was “clear that this budget needs to provide relief to those doing it tough” and there were “various ways to do that”.

“[The budget] needs to be true to our values while also showing restraint and repair,” he said.

“There needs to be relief in the budget.”

Labor MPs Alicia Payne, Michelle Ananda-Rajah, Louise Miller-Frost, Mike Freelander and Carina Garland kicked off the public campaign this week, with the four first-termers co-signing an Acoss letter demanding the rate be raised.

The parliamentary committee chairs, Peter Khalil, Julian Hill and Kate Thwaites, have also lent their name to the raise the rate campaign.

Freelander said in an interview with Full Story he raised his concerns publicly because “it’s sometimes hard to raise these things internally, in the heat of budget repair and budget discussions”.

“I think it’s important that people know that we do want to support them, so I want to very strongly send that message,” he said.

“Clearly we do need to prioritise budget repair, and we all understand that money is being found for other things. I think we need to prioritise support for those who are really struggling. That should be number one priority.”

Freelander said it was “a matter of when” Labor increased jobseeker, not if it would be increased, and foreshadowed that supporters would continue their campaign in future if the rate did not rise in this year’s budget.

Anthony Albanese, Jim Chalmers and Katy Gallagher are facing pressure to ensure action on welfare forms part of the May budget, but while they have reassured caucus there will be action for the most vulnerable, there is no commitment there will be a move on the rate.

The government is also facing pressure from advocacy groups, economists and business leaders to move on jobseeker, given its own expert panel found it was a barrier to finding work.

Former Labor senator Doug Cameron said the Albanese government needed to remain true to Labor priorities.

“Obviously I believe the priority for Labor, above everything else, is to make sure people in this country have access to sufficient funds to put a roof over their head and feed themselves and their families,” he said.

Cameron said he believed the public tide had turned when it came to acting on the jobseeker rate and the Albanese government needed to heed the message.

“I think there is sufficient public pressure on this for Labor to at least make a strong start on delivering fairness and equity, which suffered greatly after a decade of Coalition government,” he said.

“Labor has always been about helping people and it needs to listen to what people who need help are saying now.

The Australian Unemployed Workers’ Union and supporters will hold a rally outside the PM’s Sydney office on Friday, calling for the jobseeker rate to increase.

“Anthony Albanese and Labor cannot ignore those being left behind,” the group said. “This is Albo’s last chance to live up to his promise that nobody would be left behind.”

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