Liberals won't stand in the way of welfare rise: Dutton

Peter Dutton has effectively admitted he can't reverse the government's planned $40 JobSeeker rise. (Mick Tsikas/AAP PHOTOS)

Welfare recipients will soon receive an extra $40 a fortnight and could potentially be allowed to work more hours without losing their benefits. 

Opposition Leader Peter Dutton has clarified the coalition won't stand in the way of a welfare payment rise but will push for changes to increase incentives to work. 

The federal government announced the increases to JobSeeker, rent assistance, pensions and parenting (single) payments in the May budget. 

Its Safety Net Bill is expected to pass in this sitting of parliament ahead of the payments coming into effect by September 20.

The opposition is proposing the current Jobseeker rate be maintained and recipients be allowed to undertake paid work up to $300 a fortnight, instead of $150 under Labor, without losing their full benefits.

Mr Dutton said while the money Labor has budgeted for the increase could be better spent on a model that allows people to work more hours, the Liberals won't oppose it.

But in any case, he doesn't expect the coalition's proposal will be supported by the parliament.

"Ultimately, if that goes down - as we suspect it will, unfortunately, because I think it's good policy - then we'll support the government's increase of $40," he said in Canberra on Monday.

Mr Dutton also said if the Liberal-Nationals were re-elected to government they would not repeal the benefit rise.

Social Services Minister Amanda Rishworth said the opposition's proposal would have unintended consequences and do nothing for the 77 per cent of recipients who don't access the income-free threshold.

She also said it would not address the barriers to employment faced by people on income support.

"Our conservative estimates are that with a doubling of the income-free area, there would be an additional 50,000 people who would become eligible for JobSeeker overnight because the thresholds at which they are cut off would increase," she said.

"This measure could actually encourage a longer-term reliance on casual work and JobSeeker rather than a transition into the workforce."

A leading welfare advocacy group said the income-free threshold was $300 in 2020/21 before the coalition government cut it, and urged the Albanese government to reinstate the higher level. 

"The government should be adopting every proposal that would help ensure welfare recipients and low income workers are not living in poverty," Antipoverty Centre spokesperson Kristin O’Connell said.

"They must urgently increase the income-free area to provide better support to the one in five people on unemployment payments who are employed and ensure the lowest income workers are better connected to the safety net."  

Greens senator Janet Rice said Australia no longer really had a welfare safety net. 

"Labor's $4 a day increase to JobSeeker is woefully inadequate ... We can afford to increase the rate of income support to above the poverty line," she told reporters in Canberra.

"It's so important for our country that we don't have a permanent underclass of people that just cannot afford to be part of society."

Under the payment rise, single Australians with no children on Jobseeker can expect to get around $749.20 a fortnight, up from $693.10. The rates for other Australians are higher or a little lower depending on age, dependents or relationship status.

Rent assistance will rise by between $18-$37, depending on the household type.

License this article

What is AAPNews?

For the first time, Australian Associated Press is delivering news straight to the consumer.

No ads. No spin. News straight-up.

Not only do you get to enjoy high-quality news delivered straight to your desktop or device, you do so in the knowledge you are supporting media diversity in Australia.

AAP Is Australia’s only independent newswire service, free from political and commercial influence, producing fact-based public interest journalism across a range of topics including politics, courts, sport, finance and entertainment.

What is AAPNews?
The Morning Wire

Wake up to AAPNews’ morning news bulletin delivered straight to your inbox or mobile device, bringing you up to speed with all that has happened overnight at home and abroad, as well as setting you up what the day has in store.

AAPNews Morning Wire
AAPNews Breaking News
Breaking News

Be the first to know when major breaking news happens.


Notifications will be sent to your device whenever a big story breaks, ensuring you are never in the dark when the talking points happen.

Focused Content

Enjoy the best of AAP’s specialised Topics in Focus. AAP has reporters dedicated to bringing you hard news and feature content across a range of specialised topics including Environment, Agriculture, Future Economies, Arts and Refugee Issues.

AAPNews Focussed Content
Subscription Plans

Choose the plan that best fits your needs. AAPNews offers two basic subscriptions, all billed monthly.

Once you sign up, you will have seven days to test out the service before being billed.

AAPNews Full Access Plan
Full Access
AU$10
  • Enjoy all that AAPNews has to offer
  • Access to breaking news notifications and bulletins
  • Includes access to all AAPNews’ specialised topics
Join Now
AAPNews Student Access Plan
Student Access
AU$5
  • Gain access via a verified student email account
  • Enjoy all the benefits of the ‘Full Access’ plan at a reduced rate
  • Subscription renews each month
Join Now
AAPNews Annual Access Plan
Annual Access
AU$99
  • All the benefits of the 'Full Access' subscription at a discounted rate
  • Subscription automatically renews after 12 months
Join Now

AAPNews also offers enterprise deals for businesses so you can provide an AAPNews account for your team, organisation or customers. Click here to contact AAP to sign-up your business today.

SEVEN DAYS FREE
Download the app
Download AAPNews on the App StoreDownload AAPNews on the Google Play Store