Submission: Social Security (Jobseeker Support and Accommodation Supplement) Amendment Bill
The Social Security (Jobseeker Support and Accommodation Supplement) Amendment Bill intend to make the following changes:
The eligibility for Jobseeker Support for 18- and 19-year-olds will shift to a “Parental Assistance Test” where the parents’ income are considered alongside the principal applicant’s. According to MSD’s announcement in October 2025, applicants whose parents earn over $65,529 in the year will not be eligible for Jobseeker Support payment.
The Accommodation Supplement’s entry threshold - the amount an applicant has to pay before receiving housing subsidy - will be raised to 40% of relevant housing costs to mortgage payers, up from 30%.
We strongly oppose to the Amendment Bill based on two broad lines of concerns:
1. The financial and non-financial impacts on low-income individuals and households arising from reduced income support, through the removal of Jobseeker Support eligibility for some 18- and 19-year-olds and the proposed amendment to Accommodation Supplement entry thresholds for homeowners.
2. The inadequacy of the evidence base supporting both initiatives in the bill, particularly the assumption that tightening benefit eligibility will meaningfully shift young people into education, employment, or training.