Ms LEY (10:59 AM) —I am pleased to speak today on the Social Security Legislation Amendment (Connecting People with Jobs) Bill 2010. This bill seeks to amend the Social Security Act by increasing the unemployment non-payment period for job-seekers who have received relocation funding under the Connecting People with Jobs program. This legislation will support this pilot program, which is remarkably similar to a pilot program run by the Howard government back in 2005.

Unemployment currently stands at 5.1 per cent seasonally adjusted—ABS September. Whilst unemployment is decreasing, there are many suburbs and towns in Australia where there is still disproportionately high unemployment. There are high numbers of long-term unemployed, and often intergenerational unemployment is a real issue. Welfare dependency is a real concern and it is vital that job-seekers are assisted to take up employment where opportunities present themselves. The alternative is to see job-seekers become further detached from the labour market and more likely to stay on unemployment benefits for the long term.

This relocation pilot will enable people in these areas to move from these areas in order to take up a job. It gives people a chance to move off welfare benefits and into paid employment and ultimately gives them a chance for a better life. This funding can be used to assist in paying for flights, temporary accommodation and removalists. Too often people may be deterred from taking up employment elsewhere as they just cannot bear these re-establishment costs. This pilot aims to help cover the costs.

The coalition maintains that those in receipt of unemployment benefits must recognise that they have a subsequent responsibility to look for work and contribute back to the society that supports them. To this end, those who are supported off welfare and provided with additional funding to assist in their taking up work elsewhere have a further responsibility to do the right thing.

The coalition has long espoused the concept of mutual obligation. The Labor government has done its best to wind back mutual obligation, with job-seekers now only required to undertake an activity such as Work for the Dole after 12 months unemployment. This does nothing to assist job-seekers to gain or maintain work skills. However, it must now be said that this particular legislation is a turn-up for the books as it reminds people of their responsibility. Where job-seekers have been funded by the Commonwealth to assist in their relocation for full-time, ongoing work—in some cases up to $9,000 for this relocation—increasing their non-payment period from eight weeks to 12 weeks if they leave their job within the first six months should provide the necessary disincentive for people. This policy is in line with the coalition’s support for giving people a hand up, not a handout, and we support the bill.