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| Penalising of remote work-for-the-dole participants jumps fourfold | Penalising of remote work-for-the-dole participants jumps fourfold |
| (35 minutes later) | |
| The government’s remote work-for-the-dole scheme has financially punished four times more participants than its predecessor, an audit report has found. | |
| The report also showed $700,000 was recovered from job agencies that had “significantly misreported attendance”, including one that used dead or jailed participants to artificially inflate their participation numbers. | The report also showed $700,000 was recovered from job agencies that had “significantly misreported attendance”, including one that used dead or jailed participants to artificially inflate their participation numbers. |
| The Australian Council of Social Service said the problems with the Community Development Program (CDP) were unsurprising, because they “are built into a flawed program with a flawed funding model”. | The Australian Council of Social Service said the problems with the Community Development Program (CDP) were unsurprising, because they “are built into a flawed program with a flawed funding model”. |
| “It is designed to keep people busy on often meaningless activities, and that’s what the providers are paid for,” the chief executive, Cassandra Goldie, said. | “It is designed to keep people busy on often meaningless activities, and that’s what the providers are paid for,” the chief executive, Cassandra Goldie, said. |
| “It’s not surprising if some providers are gaming the system or making mistakes, both them and unemployed people can be penalised for every day people don’t attend their activities.” | “It’s not surprising if some providers are gaming the system or making mistakes, both them and unemployed people can be penalised for every day people don’t attend their activities.” |
| The CDP, whose 33,000 participants are overwhelmingly Indigenous, has faced sustained criticism since it was introduced in 2015 as the government’s new solution to welfare dependency and unemployment in remote communities. | The CDP, whose 33,000 participants are overwhelmingly Indigenous, has faced sustained criticism since it was introduced in 2015 as the government’s new solution to welfare dependency and unemployment in remote communities. |
| The program requires participants to do 25 hours a week of “work-like” activity to receive welfare payments. But community groups have complained it leaves participants doing pointless tasks tasks that do no give them useful skills or experience, and often imposes requirements that are unsuited to remote communities. | The program requires participants to do 25 hours a week of “work-like” activity to receive welfare payments. But community groups have complained it leaves participants doing pointless tasks tasks that do no give them useful skills or experience, and often imposes requirements that are unsuited to remote communities. |
| Those who fail to meet their obligations face financial punishment, including the suspension of their welfare payments. | Those who fail to meet their obligations face financial punishment, including the suspension of their welfare payments. |
| A report by the Australian National Audit Office (ANAO) on Tuesday found the transition to the CDP was largely effective. | A report by the Australian National Audit Office (ANAO) on Tuesday found the transition to the CDP was largely effective. |
| But it also confirmed previously aired concerns that participants were being punished for noncompliance at significant levels. | But it also confirmed previously aired concerns that participants were being punished for noncompliance at significant levels. |
| The audit found 146,700 financial penalties were applied to CDP jobseekers in 2015-16, mostly for not attending at activities. | The audit found 146,700 financial penalties were applied to CDP jobseekers in 2015-16, mostly for not attending at activities. |
| That’s roughly four times more than the 35,500 penalties imposed under the program’s predecessor – the Remote Jobs and Communities Program – in 2014-15. | That’s roughly four times more than the 35,500 penalties imposed under the program’s predecessor – the Remote Jobs and Communities Program – in 2014-15. |
| Participants whose welfare was suspended are required to call Centrelink’s troubled call centre to discuss the reasons for their noncompliance. | Participants whose welfare was suspended are required to call Centrelink’s troubled call centre to discuss the reasons for their noncompliance. |
| The audit found there was a “significant increase in the maximum call wait times for both remote and overall wait times” between 2014-15 and 2016-17. | The audit found there was a “significant increase in the maximum call wait times for both remote and overall wait times” between 2014-15 and 2016-17. |
| Those who called from remote areas fared slightly better than the general population in getting through to Centrelink, but still faced average wait times of 16 minutes, almost triple the length recorded in 2014-15. | Those who called from remote areas fared slightly better than the general population in getting through to Centrelink, but still faced average wait times of 16 minutes, almost triple the length recorded in 2014-15. |
| The maximum wait time was two hours and 44 minutes in 2016-17, compared to 59 minutes in 2014-15. | The maximum wait time was two hours and 44 minutes in 2016-17, compared to 59 minutes in 2014-15. |
| The report found the CDP was accounting for a disproportionate number of Department of Human Services compliance investigations, compared with the government’s Jobactive scheme, which operates in non-remote areas. | The report found the CDP was accounting for a disproportionate number of Department of Human Services compliance investigations, compared with the government’s Jobactive scheme, which operates in non-remote areas. |
| “Moreover ... 54% of all noncompliance reports across the two programs that triggered Human Services’ investigation and decision-making process were CDP-generated, despite the CDP comprising around 5% of the Jobactive caseload,” the report found. | “Moreover ... 54% of all noncompliance reports across the two programs that triggered Human Services’ investigation and decision-making process were CDP-generated, despite the CDP comprising around 5% of the Jobactive caseload,” the report found. |
| The Department of Prime Minister and Cabinet had recovered $700,000 from nine providers following investigations they had misreported attendance, the report showed. | The Department of Prime Minister and Cabinet had recovered $700,000 from nine providers following investigations they had misreported attendance, the report showed. |
| One job agency had used “people in jail or deceased” to inflate their participant numbers. | One job agency had used “people in jail or deceased” to inflate their participant numbers. |
| The report follows allegations raised in News Corp this week that the Jobactive program was failing to achieve its objectives and was open to abuse by private job agencies. | The report follows allegations raised in News Corp this week that the Jobactive program was failing to achieve its objectives and was open to abuse by private job agencies. |
| News Corp reported just 40% of unemployed participants were finding long-term work through Jobactive. More than a third of job agencies ought to be disqualified due to underperformance, the report said. | News Corp reported just 40% of unemployed participants were finding long-term work through Jobactive. More than a third of job agencies ought to be disqualified due to underperformance, the report said. |
| Acoss said the allegations required urgent investigation. Goldie said the Jobactive system was simply not working for unemployed Australians, including those facing long-term unemployment, those with a disability and sole parents. | Acoss said the allegations required urgent investigation. Goldie said the Jobactive system was simply not working for unemployed Australians, including those facing long-term unemployment, those with a disability and sole parents. |
| “Many people only get a quick meeting every three months or so where they’re told to search harder for jobs. It’s becoming a compliance system rather than an employment service system,” Goldie said. | “Many people only get a quick meeting every three months or so where they’re told to search harder for jobs. It’s becoming a compliance system rather than an employment service system,” Goldie said. |
| The government is currently designing a new scheme to replace Jobactive in 2020. Goldie urged the government to consult with jobseekers and employers on the ground, rather than simply talking to big job agencies. | The government is currently designing a new scheme to replace Jobactive in 2020. Goldie urged the government to consult with jobseekers and employers on the ground, rather than simply talking to big job agencies. |