Post by Banjo on Sept 20, 2012 7:13:05 GMT 7
Pensioners gain, but little joy for those on allowances
PENSIONERS will be $17.10 a fortnight better off from today, while Australians on Newstart or Austudy will scarcely notice any difference.
The disparity in the latest round of half-yearly rises - $17.10 a fortnight for single pensioners and $2.90 per fortnight for those on allowances - is one of the widest on record.
It has come about because pensions are increased every six months in line with average male earnings while Newstart and other benefits are increased only in line with the consumer price index, which in recent months has been looking sick.
The CPI didn't climb at all in the December quarter, by just 0.1 per cent in the March quarter and by 0.5 per cent in the June quarter. When Reserve Bank governor Glenn Stevens told Parliament in August inflation was its lowest ''for some years'' he meant it as good news. But for Australians who rely on the CPI to keep pace with other Australians the good news is anything but good.
Advertisement
Especially so because their own cost of living is climbing faster than the index.
While the consumer price index climbed 0.5 per cent in the three months to June, the living costs of Australians on government benefits climbed 0.6 per cent, according to a Bureau of Statistics survey.
The ABS figures show the living costs of Australians on allowances have been increasing faster than the living costs of Australians on the pension, yet the latest increases will add $1.22 per day to the single pension and just 20¢ per day to the Newstart.
''The gap between pensions and allowances has been growing for over 30 years. It has led to a situation where Newstart is now so low that it creates its own barriers to finding work,'' said Greens senator Rachel Siewert who earlier this year tried to live for a week on $17.15 a day, her calculation of Newstart after rent.
From today Newstart and student allowances will climb to $35.18 a day while the pension climbs to $55.20 a day.
The Senate is inquiring into the gap between the payments and is due to report in November.
www.brisbanetimes.com.au/opinion/political-news/pensioners-gain-but-little-joy-for-those-on-allowances-20120919-2672y.html
Some of the comments are worth a look.
PENSIONERS will be $17.10 a fortnight better off from today, while Australians on Newstart or Austudy will scarcely notice any difference.
The disparity in the latest round of half-yearly rises - $17.10 a fortnight for single pensioners and $2.90 per fortnight for those on allowances - is one of the widest on record.
It has come about because pensions are increased every six months in line with average male earnings while Newstart and other benefits are increased only in line with the consumer price index, which in recent months has been looking sick.
The CPI didn't climb at all in the December quarter, by just 0.1 per cent in the March quarter and by 0.5 per cent in the June quarter. When Reserve Bank governor Glenn Stevens told Parliament in August inflation was its lowest ''for some years'' he meant it as good news. But for Australians who rely on the CPI to keep pace with other Australians the good news is anything but good.
Advertisement
Especially so because their own cost of living is climbing faster than the index.
While the consumer price index climbed 0.5 per cent in the three months to June, the living costs of Australians on government benefits climbed 0.6 per cent, according to a Bureau of Statistics survey.
The ABS figures show the living costs of Australians on allowances have been increasing faster than the living costs of Australians on the pension, yet the latest increases will add $1.22 per day to the single pension and just 20¢ per day to the Newstart.
''The gap between pensions and allowances has been growing for over 30 years. It has led to a situation where Newstart is now so low that it creates its own barriers to finding work,'' said Greens senator Rachel Siewert who earlier this year tried to live for a week on $17.15 a day, her calculation of Newstart after rent.
From today Newstart and student allowances will climb to $35.18 a day while the pension climbs to $55.20 a day.
The Senate is inquiring into the gap between the payments and is due to report in November.
www.brisbanetimes.com.au/opinion/political-news/pensioners-gain-but-little-joy-for-those-on-allowances-20120919-2672y.html
Some of the comments are worth a look.
