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Tougher new rules for JobSeeker recipients after better than expected jobs figures

Economy
18 September 2020 13:02 (AEDT)

The Federal Government has flagged plans to toughen the requirements for JobSeeker recipients, following better than expected jobs figures.

Under the planned changes, those on the unemployment benefit will have to apply for a minimum of eight jobs a month.

Treasurer Josh Frydenberg is pushing for the increase in mutual obligations to come in place by September 28.

The changes come after the unemployment rate fell from 7.5 per cent in July to 6.8 per cent in August, with 110,000 Australians finding jobs.

The Treasurer said there was no longer a need to suspend searching for a job. He also warned that he expects anyone looking for work, who is offered a job, should accept the offer.

“It’s only appropriate when you provide government support, that you expect in return mutual obligation and we where there is an appropriate and suitable job on offer somebody takes it,” The Treasurer told Nine.

From September 28, the JobSeeker payment is already set to reduce from an additional $500 payment a fortnight to $250 a fortnight, with recipients able to earn up to $300 per week.

But, the changes to the JobSeeker mutual obligations won’t come into effect in Victoria – where COVID-19 continues to decimate the economy.

Over 40,000 jobs were shed in Victoria, as stage-four lockdown restrictions shutter almost all non-essential businesses.

“The expectation is that 60 per cent of people who are on JobKeeper in the December and in the March quarters will be from Victoria,” said Josh Frydenberg.

“So there will be more people on JobKeeper than from all the other states combined,” he added.

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