JobMaker pits young Aussies against old

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There is growing concern that the federal government’s JobMaker wage subsidy for younger Australian workers will push older Australians onto the unemployment queue:

Professor Baird says the hiring credit provides an incentive for employers to “cherrypick people of a certain age” and will encourage employment of younger job seekers over older job seekers — a bias deliberately built into the design.

She also fears it could encourage employers to “abandon older people in the labour market. “So, you could substitute someone who is 40 with someone who is 22″…

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.