Antinuclear

Tony Abbott to tell G20 that cutting payments to unemployed will boost economic growth

Cuts to jobless benefits will boost economic growth, Australia tells G20, SMH  November 10, 2014 Tom Allard National Affairs Editor The Australian government has cited controversial cuts to unemployment benefits as one of the key structural reforms that will increase economic activity by 2 per cent, according to a draft of its growth strategy to be submitted to the G20 leaders’ summit.

The reference to the jobless reforms – which include a measure preventing unemployed people under 30 from accessing welfare payments for up to six months – comes even though the changes have been blocked in the Senate.

The objective of boosting economic growth by 2 per cent “above what is currently expected” during the next five years is the main goal of the G20 meeting, to be held in Brisbane at the weekend.

Each of the countries that make up the G20  is required to submit action plans to boost growth ahead of the meeting.

“Employment welfare reforms” is ranked as the  No 2 commitment, and notes that the changes will “strengthen participation and activation strategies”.

By cutting payments entirely to some unemployed and requiring jobseekers to search for more jobs to qualify for payments, the government argues it will spur the unemployed to look for work rather than live on welfare, thereby boosting economic activity……….

According to its draft action plan for growth, the government’s first key commitment to expanding economic activity is infrastructure spending, including its “asset recycling initiative” – encouraging state governments to privatise assets and then plough the proceeds into new projects. The other key commitments are “cutting red tape”, “contributing to global trade liberalisation” and “creating self-reliant industries”. http://www.smh.com.au/federal-politics/political-news/cuts-to-jobless-benefits-will-boost-economic-growth-australia-tells-g20-20141109-11jcy5.html#ixzz3IhoCFbZR

November 10, 2014 - Posted by Christina Macpherson | AUSTRALIA - NATIONAL, politics international