Australia ranks 25th of the 30 countries in the OECD in terms of government expenditure on unemployment benefits – spending a mere 0.5% of GDP.

As a result, Newstart recipients receive a very low rate of payment compared to other developed countries: $257 per week (not including rent assistance), which is $143 below the poverty line (definated 50% of median wage, or 400$ per week as of 2014). In fact, unemployment benefits have not risen in real terms since 1994. As a result, over the last two decades the Newstart Allowance has reduced from being the equivalent of 54% of the minimum wage to just 40%. This means payments to job-seekers are not meeting the true cost of living.

Meanwhile the cost of living has gone up significantly over this same period, as shown by the 50% increase in the Henderson Poverty line since 1994. Consequently, there has developed a growing gap between the Newstart benefit and what is needed to live out of poverty. Add to this, the Coalition government are trying to cut the Newstart rate for under 30s for six months! In this situation, how exactly are the unemployed meant to survive?

The Australian Unemployment Union demands that firstly all attacks on Newstart be withdrawn, and secondly that the Newstart Rate be lifted to a humane rate that does not force unemployed Australians deep into poverty.

The Australian Unemployment Union believe that raising the Newstart benefit to the poverty line (50% the median wage, or 400$ per week as of 2014) is an essential step to lift the the 770,000 currently unemployed out of the depths of poverty.

Please Sign and share and send a clear message that we will not accept the current starvation rate of Newstart.