Yahoo Finance ‘Bullied’: Govt delivers fresh blow to Aussie JobSeekers
The federal government has urged private employment providers to continue pursuing jobless Australians on welfare, despite suspending these obligations weeks ago.
A senior member of the Department of Education, Skills and Employment, who reports to Minister Michaelia Cash, told chief executives of privately-run employment agencies to continue to schedule appointments with JobSeekers to find them work, according to a leaked letter obtained by The New Daily.
Before coronavirus, it was necessary for these government-funded private agencies, called Jobactive providers, to schedule appointments with JobSeekers and for JobSeekers to attend for them to receive their income support payments.
However, due to the pandemic, the government revealed it would suspend mutual obligations until 22 May for JobSeeker Payments, youth allowance, parenting payments and special benefits.
The letter follows numerous reports from unemployed Aussies that they are still receiving texts from Jobactive Providers about their mutual obligations.
“I just got a text that said, ‘You have a new employment services provider. They'll contact you soon to make an appointment. Go to http://jobactive.gov.au/jobseekers and check your inbox for info.’ I feel more confused about mutual obligations. What on earth is going on?” one user tweeted on 5 May.
“Looks like APM didn’t listen and scheduled another appointment for tomorrow. Also looks like it’s noew weekly they’re scheduling the appointments,” another said.
Unemployed Australians said they were being “bullied” into taking calls from representatives, signing job plans and taking part in phone interviews, despite the promised reprieve.
Jobactive providers making millions
Jobactive providers are expected to make millions off of unemployed Australians, as the nation’s unemployment rate skyrockets amid the virus.
Initial appointments for under-30s with job providers cost $377.30, and $269.50 for over-30s - and it’s paid from the public purse. Administration fees per applicant are recurrent, and paid every six months.
On top of that, Jobactive providers also charge ‘outcome fees’ that come to $1,515 per person when those who have lost jobs to Covid-19 find work again.
In total, funding existing jobactive providers to provide employment services to 700,000 new recipients will cost the government around $210 million, according to a report by Per Capita.
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