But it is not just a question of our responsibility to fix the unbearable daily grind of people relying on these allowances.

The government says that the best way to help people on Newstart is to help them get a job. We agree. The OECD, the Henry tax panel, business groups, economists and other experts all tell us that Newstart is now so low that it is a major barrier for people to find paid work. As the Business Council of Australia says: ''Entrenching people into poverty is not a pathway back into employment.''

It is often argued that Newstart is only a short-term payment. On the contrary, 60 per cent of people have been on the payment for more than 12 months, and the average time is two years. This is not because people are not trying. We hear daily from people aged over 45 who are overlooked because they are deemed too old. This group now constitutes one in three people on the Newstart payment. Far from the out-dated stereotype of young people living it up on welfare, the reality for people on the unemployment benefit is very different. One in six has a disability. Half have less than year 12 qualifications. Many face real barriers to getting back into paid work - discrimination, lack of skills and training, lack of flexible work for those with children and other caring responsibilities being among them.

This is why the Australian Council of Social Service has teamed up with the Business Council of Australia and the Australian Council of Trade Unions to find solutions to getting more of those who are disadvantaged in the labour market into real jobs.

The debate around Newstart comes at a time when business, government and the community is talking about improving productivity. Working together is the way forward at this critical time, with an ageing population, the challenges posed by a changing economy and the need to find revenue to fund important physical and social infrastructure. We urge the government to work with us in this long-term endeavour. The starting point must be an immediate increase to the single rate of Newstart to alleviate worsening poverty and remove one of the major barriers for people trying to participate in society through work.