The cashless welfare card proposed by the mining magnate Andrew Forrest would only make life more difficult for Australia’s poor and send the message that they cannot be trusted with cash, say community and Indigenous groups.



In a joint statement the 37 groups – including Mission Australia, Homelessness Australia, St Vincent de Paul Society, the National Aboriginal and Torres Strait lslander Legal Services and several state councils of social service – called on the federal government not to accept the recommendation from Forrest’s review into Indigenous jobs and training.

The groups welcomed the “increased investment in early childhood education, comprehensive case management for vulnerable families, increased engagement between schools and parents and demand-led employment approaches” in the Forrest report.

However, they were “united” in opposition to the “healthy welfare card”, which they believed would be “demeaning, invasive, unworkable and bureaucratic, creating an entire subclass of millions of people in the Australian community”, read the statement.

“The objectives of welfare reform should be to ensure payments are adequate to meet basic living costs, support employment participation, target assistance according to need and to ensure that the administration of payments respects the dignity of people relying on income support.”

The proposed welfare card, modelled on the Basics Card which operates in some areas, would quarantine payments on to a card which can be used in shops where there is credit or Eftpos payment systems, except alcohol and gaming outlets, in an effort to “block those goods and services – such as alcohol, drugs and gambling – that damage health, family wellbeing and ability to enter or return to work”, the review said.

Critics, including the community organisations, point to the common $10 minimum spend in shops and instances such as school excursions which would cause problems for the recipient.

The Australian Bankers’ Association (ABA) also objected to the card. In its submission to the review it said: “The technology to develop this card would be costly and complicated, involving changes to be made throughout the payments system at all levels to retail banking systems and product offerings and to the government’s Centrelink and payment administration systems.

“Additionally, the ABA not does support using the banking industry to block access to cash or prohibit the purchase of goods and services available to other Australians.”

Leaked briefing notes from the federal government’s new remote jobs scheme – the first response to the Forrest review – revealed that 30,000 people, mostly Indigenous, would be required to work five days a week all year round to get the dole. Welfare recipients in urban and regional areas would be required to do so for only six months.

The prime minister, Tony Abbott, said earlier this month that the government’s main focus in Indigenous affairs was to “get the kids to school, the adults in work and the communities safe”.

The cashless welfare card proposed by the mining magnate Andrew Forrest would only make life more difficult for Australia’s poor and send the message that they cannot be trusted with cash, say community and Indigenous groups.



In a joint statement the 37 groups – including Mission Australia, Homelessness Australia, St Vincent de Paul Society, the National Aboriginal and Torres Strait lslander Legal Services and several state councils of social service – called on the federal government not to accept the recommendation from Forrest’s review into Indigenous jobs and training.

The groups welcomed the “increased investment in early childhood education, comprehensive case management for vulnerable families, increased engagement between schools and parents and demand-led employment approaches” in the Forrest report.

However, they were “united” in opposition to the “healthy welfare card”, which they believed would be “demeaning, invasive, unworkable and bureaucratic, creating an entire subclass of millions of people in the Australian community”, read the statement.

“The objectives of welfare reform should be to ensure payments are adequate to meet basic living costs, support employment participation, target assistance according to need and to ensure that the administration of payments respects the dignity of people relying on income support.”

The proposed welfare card, modelled on the Basics Card which operates in some areas, would quarantine payments on to a card which can be used in shops where there is credit or Eftpos payment systems, except alcohol and gaming outlets, in an effort to “block those goods and services – such as alcohol, drugs and gambling – that damage health, family wellbeing and ability to enter or return to work”, the review said.

Critics, including the community organisations, point to the common $10 minimum spend in shops and instances such as school excursions which would cause problems for the recipient.

The Australian Bankers’ Association (ABA) also objected to the card. In its submission to the review it said: “The technology to develop this card would be costly and complicated, involving changes to be made throughout the payments system at all levels to retail banking systems and product offerings and to the government’s Centrelink and payment administration systems.

“Additionally, the ABA not does support using the banking industry to block access to cash or prohibit the purchase of goods and services available to other Australians.”

Leaked briefing notes from the federal government’s new remote jobs scheme – the first response to the Forrest review – revealed that 30,000 people, mostly Indigenous, would be required to work five days a week all year round to get the dole. Welfare recipients in urban and regional areas would be required to do so for only six months.

The prime minister, Tony Abbott, said earlier this month that the government’s main focus in Indigenous affairs was to “get the kids to school, the adults in work and the communities safe”.