Lifting JobSeeker is a national economic priority

Tuesday 9 February 2021

At the end of March, Australia’s unemployment benefit – JobSeeker – is scheduled to fall back to its pre-COVID level of just $40 a day. This is the lowest rate in the developed world (see next chart) and a level that has been slammed by a conga-line of economists (including RBA governor Phil Lowe last week), various commentators and analysts from all sides, and even some Coalition MPs.

When the Coronavirus Supplement was introduced in March last year – temporarily doubling the rate of JobSeeker – it effectively eliminated poverty throughout Australia:

For the first time ever, almost every Australian was suddenly able to afford basic necessities like shelter and food.

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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.