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The NWRN is a network of
services throughout
Australia that provide free
and independent
information, advice and
representation to individuals
about Social Security law
and its administration
through Centrelink.
For member details, services
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Media Release
1 November 2009
NT intervention report reveals 30% on wrong Centrelink payment
More than 1000 Indigenous people were on the wrong payment,1000 found work and over 1000
qualified for the Disability Support Pension (DSP), a new report card into the Northern Territory
Emergency Intervention (NTER) by the Federal Government has found.
The results for work and welfare in the second year of the intervention highlight fundamental
challenges for Indigenous policies in the years ahead, said Kate Beaumont, President of the
National Welfare Rights Network (NWRN) today.
There has been a 30% increase in numbers on DSP and Carer Payment in prescribed areas subject
to the NTER between June 2008 and June 2009. The numbers on Newstart Allowance and Youth
Allowance paid to young unemployed people fell 20%. Parenting Payment Partnered dropped 7%
and Parenting Payment Single 8%. There were 20,090 on payments at June 2009, with numbers
down by 700 (4%) between June 2008 and June 2009.
Those on DSP or Carer Payment will be financially better off, receiving $336 a week. This is $108
more than Newstart Allowance which is just $228 a week. The extra 1,048 people on the Disability
Support Pension is a reflection of the extraordinarily high levels of disability and illness in Indigenous
communities.
The increased numbers receiving Social Security payments who cannot look for comes as no
surprise. NWRN has been telling the Government for years that many people in Indigenous
communities were on the wrong type of payments and forced to undertake inappropriate activity
requirements.
People were on the wrong payments because of a limited understanding of claim processes,
difficulties in understanding Centrelink correspondence and the particular communication problems
which arise for those reliant on use of mail and telephones. This is especially so in remote
Indigenous communities and where English is a second language and access to interpreters is not
always available.
The most significant reason behind the changed profile of income support recipients in the locations
subject to the intervention has been the new way that Centrelink has actively engaged with local
Indigenous communities. This is the first time that Centrelink has made a concerted effort to
regularly service many of these remote Indigenous communities.
Centrelink has worked tirelessly in recent times to bring appropriate services to these communities.
However, it should not have taken the NTER to get the commitment and necessary resources and
staff on the ground to make things work for Indigenous Australians.
NWRN has requested briefings from senior Centrelink managers with responsibility for Indigenous
Services about how the lessons from positive engagement and working differently in the NT can
lead to improvements in services for other Indigenous communities across the country.
With regard to employment and increased participation the results are mixed. It is a very complex
story to tell. More than 1,000 jobs were created, facilitated by either employment service providers
or by converting CDEP jobs into real positions. DEEWR reports extremely poor attendance at Work
for the Dole (WfD) activities, with around 30% attendance rates whereas nationally attendance rates
are around 60%. Indigenous job seekers are turning up their noses at meaningless activities such
as WfD.
Improving Indigenous participation will remain a challenge as there is likely to be greater numbers
on income support as a result of recent changes to CDEP from 1 July 2009 which bars new CDEP
participants from receiving CDEP wages. Many new specialist Indigenous employment service
providers have started in the new Job Services Australia arrangements. It remains to be seen if t up
they are up to the job.
On a positive note, the Government gets a big tick for addressing the unacceptably high levels of
eight week no payment Centrelink penalties imposed on Indigenous job seekers by the previous
Government as part of its Welfare to Work agenda.
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For comment:
Kate Beaumont, NWRN President: 0414 792 923.
Gerard Thomas, NWRN Policy and Media Officer: 0425 296 882.