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Govt warned against disability quick fix
24 November 2004

New South Wales, Australia — Australia's peak welfare bodies warned the government against adopting quick fixes in a bid to move people off disability pensions.

The federal government wants to introduce a mixture of coercion and incentives to encourage those on the Disability Services Pension (DSP) back into work.

A report on a pilot program which encouraged 671 people on the Disability Support Pension to find work, showed that within three months one third were in employment or education.

The government spent almost $7.5 billion on Disability Support in 2003/04.

Australian Council of Social Service president Andrew McCallum said of the 1,100 voluntary participants who started the pilot only 57 per cent completed it and less than 10 per cent obtained a substantial paid job.

"This pilot study underlines how hard it is for people with disabilities to find work and the importance of employment assistance," he said.

"It's important to have realistic expectations about employment for people on DSP.

"Quick fixes such as forcing more new applicants for DSP onto Newstart - which would lead to a loss in income for a single adult of $42 a week - would be cruel and ineffective."

More investment in support and training was the key to moving people who can work into jobs, he said.

Australian Federation of Disability Organisations chief executive Maryanne Diamond said many people with disabilities who found work had difficulty keeping a job over a longer period.

"The government must keep in mind that the success rates from this pilot may not be sustainable over the long term and so adequate support in the form of the DSP is vital to prevent hardship," she said.

"The report itself finds participants were concerned about losing DSP and pensioner concessions and employer discrimination was a common problem."

National Welfare Rights Network president Michael Raper said it appeared there was a bit of agenda setting going on by the federal government, and that any tightening could have adverse impact.

"They talk the talk but they don't walk the walk," Mr Raper said.

"People in this particular group are not the same as unemployed people, they are vulnerable people with particular needs, and they need additional investment to make it work."

Australia Institute deputy director Richard Denniss said the pilot study was a success because of the intense assistance given to the pensioners.

"If you take a small group of people and you provide them with very intensive assistance, what this pilot study shows is that it works very well," Mr Denniss said.

"But intensive assistance has been wound back most dramatically under this government.

"Why are they sacking people at Centrelink if they're really going to put these types of resources into it?"

He said Centrelink announcing it would axe 175 jobs in its regional Victorian operation was not a good sign.

Mr Denniss said it was also important to distinguish between helping an individual find a job and the creation of a new job.

"We still have 545,000 able-bodied, unemployed people in Australia," he said.

"If we put more effort into helping the disabled find work there's a difference between creating an extra job and putting the disabled person in ahead of the other unemployed person.

"So, I really think there's a bit of smoke and mirrors going on in the way that these sort of programs are talked about as solving unemployment, as opposed to solving an individual's unemployment."

Mr Denniss said he was concerned by comments made by Workforce Participation Minister, Peter Dutton, that the government might use coercion to push people back into work.

"I think it's outrageous that you would actually put pressure on all people receiving DSP because you suspect that some people shouldn't be there in the first place," he said.

"They should focus on that group who shouldn't be receiving DSP and pretty much stay away from people who have legitimate disabilities."

Source The Sydney Morning Herald, 24 November 2004
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