A new jobseeker’s benefit has been scrapped amid widespread criticism over the policy’s lack of detail and eligibility requirements.
More than 1.3 million jobseekers are now receiving the “new” jobseekers supplement after the Government announced last week that it would replace the previous, “old” Jobseeker Support Allowance.
The scheme was launched in 2015 to help jobseekers who were on unemployment benefits and were not eligible for a new Jobseek program.
The new supplement has been replaced by the “workforce jobseeking” supplement, which offers up to $4,500 to up to three people for every one who was previously receiving the existing supplement.
The Workforce Jobseeking supplement has a higher cost-to-benefit ratio than the “old”.
The supplement is $2,000 to $3,000 more expensive than the old, but does not have the eligibility requirements of the Jobseck supplement.
It comes as a number of commentators have questioned the decision to remove the JobSeek supplement, citing the high cost of the new supplement.
“The government is not making this policy clear, and they’re not doing the job,” said Alan Jones, the co-founder of the Sydney Job Centre.
“It’s a big issue.
There’s a lot of jobseeks that are not covered by the new Job Seeker Support, and it’s not clear what benefits are available.”
The Jobcentre Plus website is currently being updated with information about the new jobseekers supplement, but has not been updated to include the new $4.5 million price tag.
Mr Jones said that the “exorbitant” cost of applying for the new Supplement was a concern, and he urged the Government to include more information about it in future legislation.
“I don’t think the Government has done enough in the meantime to make it clear what is the benefit, what is it going to cover, and what is eligibility requirements,” he said.
“They’re just going to have to wait for the next round of legislation.”
The $4 million cost of providing Jobseeks benefit to the current workforce is expected to be $2.5 billion in 2023-24.
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