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The types of insurance that aren’t worth your while

While it’s important to make sure you’ve been covered, some forms of insurance aren’t really worth your while in the long run. We’ve taken a look at several types of insurance you shouldn’t really bother with, why they’re not worth your money and how you can find an alternative. Yes, it’s essential to make sure you’re covered, but at the same time you don’t need to waste any money. Extended warranties Many a salesperson has made a customer fork out that little bit extra for an “extended warranty” to go with a major electronic purchase. The thing is though, in many cases the period of time covered by the warranty is actually exactly the level you’re automatically entitled to under consumer law. Credit protection insurance While this type of insurance can be useful and a way to insure yourself against the possibility of something happening to your income as the result of an injury or a condition, credit protection insurance has tendency to be pretty expensive. A more cost effective way to ensure your payments to your credit card, personal loans or mortgages are fulfilled would be to take out a life insurance or total and permanent disability insurance policy through your individual superannuation fund. Funeral insurance Many people see this as a good way to ease the financial burden on their family that comes with their passing, but in reality funeral insurance is quite expensive and the premiums add up every year. A far better option is a prepaid funeral, funeral bonds life insurance or even a special savings account with money set aside. Just make sure you let your family know! ID theft insurance This is one of those types of insurance that isn’t really protecting your from becoming a victim, rather helping you deal with the costs once it’s already happened. And what’s more, you bank is usually willing to cover the costs of credit card fraud, which is one of the major problems to be associated with ID theft. Instead of spending money on a policy you can protect yourself from ID theft by simply keeping your personal documents safe, shredding documents such as bank account statements before throwing them away, and using antivirus software that is up to date. You can also check your credit file each year to make sure nobody’s using your identity for fake accounts. Image credits: Getty Images

Money & Banking

Forcing people to repay welfare ‘loans’ traps them in a poverty cycle – where is the policy debate about that?

<a href="https://theconversation.com/profiles/hanna-wilberg-1466649">Hanna Wilberg</a>, <a href="https://theconversation.com/institutions/university-of-auckland-1305">University of Auckland</a> The National Party’s <a href="https://www.1news.co.nz/2023/09/26/more-sanctions-for-unemployed-beneficiaries-under-national/">pledge to apply sanctions</a> to unemployed people receiving a welfare payment, if they are “persistently” failing to meet the criteria for receiving the benefit, has attracted plenty of comment and <a href="https://www.1news.co.nz/2023/09/26/nationals-benefit-sanctions-plan-cruel-dehumanising-greens/">criticism</a>. Less talked about has been the party’s promise to index benefits to inflation to keep pace with the cost of living. This might at least provide some relief to those struggling to make ends meet on welfare, though is not clear how much difference it would make to the current system of indexing benefits to wages. In any case, this alone it is unlikely to break the cycle of poverty many find themselves in. One of the major drivers of this is the way the welfare system pushes some of the most vulnerable people into debt with loans for things such as school uniforms, power bills and car repairs. The government provides one-off grants to cover benefit shortfalls. But most of these grants are essentially loans. People receiving benefits are required to repay the government through weekly deductions from their normal benefits – which leaves them with even less money to survive on each week. With <a href="https://www.stuff.co.nz/pou-tiaki/132980318/auckland-mother-serves-up-cereal-for-dinner-due-to-rising-food-costs">rising costs</a>, the situation is only getting worse for many of the 351,756 New Zealanders <a href="https://figure.nz/chart/TtiUrpceJruy058e-ITw010dHsM6bvA2a">accessing one of the main benefits</a>. <h2>Our whittled down welfare state</h2> Broadly, there are three levels of government benefits in our current system. The main benefits (such as jobseeker, sole parent and supported living payment) <a href="https://www.workandincome.govt.nz/products/benefit-rates/benefit-rates-april-2023.html">pay a fixed weekly amount</a>. The jobseeker benefit rate is set at NZ$337.74 and sole parents receive $472.79 a week. Those on benefits have access to a second level of benefits – weekly supplementary benefits such as an <a href="https://www.workandincome.govt.nz/products/a-z-benefits/accommodation-supplement.html">accommodation supplement</a> and other allowances or tax credits. The third level of support is one-off discretionary payments for specific essential needs. Those on benefits cannot realistically make ends meet without repeated use of these one-off payments, unless they use assistance from elsewhere – such as family, charity or borrowing from loan sharks. This problem has been building for decades. <h2>Benefits have been too low for too long</h2> In the 1970s, the <a href="https://mro.massey.ac.nz/handle/10179/12967">Royal Commission on Social Security</a> declared the system should provide “a standard of living consistent with human dignity and approaching that enjoyed by the majority”. But Ruth Richardson’s “<a href="https://www.stuff.co.nz/the-press/christchurch-life/124978983/1991-the-mother-of-all-budgets">mother of all budgets</a>” in 1991 slashed benefits. Rates never recovered and today’s <a href="https://www.1news.co.nz/2022/03/29/benefit-increases-will-still-leave-families-locked-in-poverty/">benefits are not enough to live on</a>. In 2018, the <a href="https://www.weag.govt.nz/">Welfare Expert Advisory Group</a> looked at how much money households need in two lifestyle scenarios: bare essentials and a minimum level of participation in the community, such as playing a sport and taking public transport. The main benefits plus supplementary allowances did not meet the cost of the bare essentials, let alone minimal participation. The Labour government has since <a href="https://www.beehive.govt.nz/release/government-delivers-income-increases-over-14-million-new-zealanders">increased benefit rates</a>, meaning they are now slightly above those recommended by the advisory group. But those recommendations were made in 2019 and don’t take into account the <a href="https://www.stats.govt.nz/news/annual-inflation-at-6-0-percent">sharp rise in inflation</a> since then. Advocacy group <a href="https://fairerfuture.org.nz/">Fairer Future</a> published an updated assessment in 2022 – nine out of 13 types of households still can’t meet their core costs with the current benefit rates. <h2>How ‘advances’ create debt traps</h2> When they don’t have money for an essential need, people on benefits can receive a “special needs grant”, which doesn’t have to be repaid. But in practice, Work and Income virtually never makes this type of grant for anything except food and some other specific items, such as some health travel costs or emergency dental treatment. For <a href="https://www.1news.co.nz/2023/02/27/very-stressful-beneficiary-says-he-cant-afford-msd-debt/">all other essential needs</a> – such as school uniforms, car repairs, replacing essential appliances, overdue rent, power bills and tenancy bonds – a one-off payment called an “advance” is used. Advances are loans and have to be paid back. There are several issues with these types of loans. First, people on benefits are racking up thousands of dollars worth of debts to cover their essential needs. It serves to trap them in financial difficulties for the foreseeable future. As long as they remain on benefits or low incomes, it’s difficult to repay these debts. And the <a href="https://www.legislation.govt.nz/act/public/2018/0032/latest/whole.html">Social Security Act 2018</a> doesn’t allow the Ministry of Social Development (MSD) to waive debts. <h2>Contradictory policies</h2> Another problem is that people on benefits have to start repaying their debt straight away, with weekly deductions coming out of their already limited benefit. Each new advance results in a further weekly deduction. Often these add up to $50 a week or more. MSD policy says repayments should not add up to more than $40 a week, but that is often ignored. This happens because the law stipulates that each individual debt should be repaid in no more than two years, unless there are exceptional circumstances. Paying this debt off in two years often requires total deductions to be much higher than $40. The third issue is that one-off payments can be refused regardless of the need. That is because there are two provisions pulling in opposite directions. On the one hand the law says a payment should be made if not making it would cause serious hardship. But on the other hand, the law also says payments should not be made if the person already has too much debt. People receiving benefits and their case managers face the choice between more debt and higher repayments, or failing to meet an essential need. <h2>Ways to start easing the burden</h2> So what is the fix? A great deal could be achieved by just changing the policies and practices followed by Work and Income. Case managers have the discretion to make non-recoverable grants for non-food essential needs. These could and should be used when someone has an essential need, particularly when they already have significant debt. Weekly deductions for debts could also be automatically made very low. When it comes to changing the law, the best solution would be to make weekly benefit rates adequate to live on. The government could also make these benefit debts similar to student loans, with no repayments required until the person is off the benefit and their income is above a certain threshold. However we do it, surely it must be time to do something to fix this poverty trap.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/212528/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/hanna-wilberg-1466649">Hanna Wilberg</a>, Associate professor - Law, <a href="https://theconversation.com/institutions/university-of-auckland-1305">University of Auckland</a> Image credits: Getty Images This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/forcing-people-to-repay-welfare-loans-traps-them-in-a-poverty-cycle-where-is-the-policy-debate-about-that-212528">original article</a>.

Money & Banking

“This is life-changing information”: Shopper discovers little-known Bunnings hack

A shopper has revealed the details of a little-known Bunnings store policy that will ensure a blooming garden. Georgia Magill, a young woman from Perth, was shopping for plants in the hardware store when she was urged by the cashier to keep her receipt. The uni student was shocked why she should hold on to the receipt for a small house plant, as the worker went on to explain why. “She was like, ‘Oh because they come with a 12 month warranty’,” Georgia explained in a now-viral TikTok video. “And then she goes: ‘It doesn’t really matter how they die we’ll just replace them for you within a 12 month period.’” The hardware store created the ‘Perfect Plant Promise’ in February 2020 which states all plants, except for seedlings, can be returned within 12 months of purchase if they die. Bunnings won’t just replace the plant, it also offers money back, if you’d prefer to give up on your gardening dreams. "This is life-changing information,” she concluded in the video. While the policy has been around for several years, many Aussies hadn’t heard of it either, commenting in shock on the TikTok video, which has been viewed almost 1.5 million times. “What? I have literally had Bunnings plants die within weeks,” one wrote, “I did know this… but I also refuse to let Bunnings know how many plants I’ve murdered,” another stated. Another person declared, “It’s such a good idea. I can’t believe I didn’t know it!!” Among the comments were more tips for former and current Bunnings workers, offering some extra tips on how to utilise the policy. “Ex Bunnings worker here, keep the original pot so we know what plant it is, not everyone in store is a plant expert,” one remarked. “(From a Bunnings worker) either take a photo of your receipt or ask for it to be sent via SMS as they fade! For any warranty item,” another suggested. However, one worker urged Aussies not to take advantage of the offer, saying, “We will return your plant with a receipt and ‘proof’ but please don’t abuse this system. Plants die.” Image credits: Getty Images / TikTok

Home & Garden

5 ways to get through the airport faster

There’s a reason they say get to the airport at least two hours early. From checking your luggage to getting processed by customs, catching an international flight can be a tedious, at times frustrating task, particularly when pressed for time in a crowded airport. It doesn’t have to be this way, though. We’ve put together a useful list containing five handy airport tips to help you get to your gate faster. 1. Check in online This can be a major time-saver, particularly if you’re not checking bags. Most airlines have now made checking in online a relatively simple, fool-proof process and even offer automated check in services when you arrive if you can’t get to a computer. Airlines these days also generally have an easy to use flight status feature, so you can be aware of any unexpected delays before you actually rock up. 2. Weigh your bags The person who’s been standing in line for 20 minutes only to suddenly realise when they’ve reached the counter that they need to frantically move clothes from one bag to another to make the weight limit isn’t the most popular person at the airport. Make sure you know the weight of your bags before you arrive. Many airports have scales installed near the entrance for a last minute check. 3. Have your important documents ready Make sure you’re ready to go when you hit the front of the line by having your boarding pass, ID/passport and credit card stored in an easily accessible part of your wallet or bag. This may seem like a small detail, but it means you won’t waste time rifling through your possessions when you get to the front of the line and decreases the chance of leaving something important at home. 4. Passing through customs and immigration These processes can be streamlined by just being a little bit cooperative. Have your documentation ready, fill out any paperwork and answer any questions the officials may have in an honest, clear manner. Making sure you pay attention to little details like this also decreases your chances of having to face a grilling from a surly customs official, which is just as fun as it sounds. 5. Figure out the gate your flight is departing from While you generally have plenty of time to pick up a nice duty-free bargain after customs, don’t be complacent. Even if it’s just a quick glance at the departure times, make sure you know the actual gate your flight is departing from. Nobody likes to hear their name over the airport loudspeaker, particularly if the voice is directing you to a gate that’s on the other side of the terminal. Don’t let long, potentially mood-killing lines at the airport derail the start of your trip. With a little bit of advance planning you can get through the airport quickly and avoid the unnecessary stress. Image credits: Getty Images

Travel Tips

10 shocking examples of bad hotel etiquette

Travel website Expedia has released an exhaustive study on hotel etiquette, asking thousands of travellers around the world to rank the 10 types of hotel behaviour that aggravate them the most. Some of these examples left us scratching our heads! 10. The elevator chatterbox The 10th most annoying hotel-etiquette-gripe for travellers cited by Expedia is hotel guests with a tendency to be a little too chatting on elevators. While you can’t fault anyone for wanting to have a chat, the confined nature of an elevator can make the conversation a little bit awkward. 9. The boozer at the hotel bar Watching this guy drink his way through his per diem is a sight to behold, and not in a good way. You might just want to have a quiet drink at the hotel bar in peace, but because this guy is hell-bent on turning his business trip into the last days of Rome odds are you’re going to be rudely interrupted. 8. The couple canoodling in the hot tub The one thing we can take solace in here is the fact that a lot of the germs won’t be able to withstand the hot tub temperatures. But the thought of jumping into the biological soup formed by a couple canoodling in the hot tub is one that definitely makes our stomachs turn! 7. The loudly amorous couple Coming in at number seven on the list is the couple that are having the romantic escape of a lifetime, which you have unfortunately had to listen to every minute of. It’s in moments like this many travellers have whispered a silent prayer of thanks that earplugs exist. 6. The group partying by the pool There’s nothing like a relaxing dip in the hotel pool, but when this group is hanging out it’s hard to get a foot in the water! The only thing that seems to be greater than their obnoxious behaviour is their omnipresence outside of the pool everywhere – don’t they have rooms to stay in? 5. The bickering couple Hey, will someone let these two know that they’re on holidays? Whether it’s a very uncivil discussion as to whether they should have a spa or massage tomorrow, or a fire-breathing fight concerning whether they should go to a café or have the breakfast buffet, these two need to calm down a bit. 4. The in-room revellers These people seem to be intent on achieving two things in life – partying all night and inhibiting your ability to get some much needed shut eye as they do so. No amount of pleading (or banging on the hotel walls) will seem to get these people to quieten down and show some respect. 3. The excessive complainers Some people are so intent on complaining you’d think that’s half the reason they went away at the first place. When these people aren’t at the hotel bar questioning the amount of bitters in their lemon lime and bitters at, they’re at the concierge desk making all sorts of ridiculous requests. 2. The hallway hellraisers Often mistaken for a stampede of wild horses (at least by the amount of sound they’re making as they move through the hotel, hallway hellraisers get from the lobby to their hotel room with the grace and finesses of an elephant walking around in platform heels two sizes too small. 1. Inattentive parents Children bring joy into this world, but not when they’re wreaking havoc in hotel lobbies. The only thing worse is the inattentive parents who are too engrossed in their own world’s to control their kids, which is why travellers ranked this as the most aggravating example of poor hotel etiquette. The study also revealed some hidden habits of people staying at hotels, mainly: <ul> <li>26 per cent have hoarded toiletries to take home with them;</li> <li>9 per cent have invited multiple people into their room overnight without telling the hotel;</li> <li>8 per cent have secretly taken items from their hotel room;</li> <li>6 per cent sneak down to the pool first thing in the morning to “reserve” a spot by placing towels on chairs;</li> <li>5 per cent have smoked in a non-smoking room;</li> <li>2 per cent have deliberately eavesdropped on guests in a neighbouring room.</li> </ul> Image credits: Getty Images

Travel Tips

Travel tips everyone will want to know

Making sure you’ve crossed everything off your to-do list in preparation for travelling takes military-like precision. From arranging travel insurance to ensuring your hotel is locked in – and even making sure you’ve packed all of the right documents in your bag – there’s a lot to consider and arrange. To ensure you have a smooth holiday – and to give you some ideas on how to handle things should you encounter any hiccups – we have rounded up the Over60 community’s top travel tips – and there are some real gems in here! ‪Sandy Dalzell says… “1. I typed up a travel/packing list several years ago when we started to travel overseas and I have saved it on my computer, so that when it is time to start getting organised and pack, I simply print off my list. I have all weather contingencies covered so obviously if we are going somewhere in summer, I simply cross off the thermals, gloves, scarf etc. It also has listed on it jobs to be done like turn off the water to the dishwasher and the washing machine etc. 2. We also put all of our house and car keys in an envelope and give them to one of our daughters for safekeeping – if we get broken into, they won't be able to unlock doors to steal stuff easily nor will they be able to drive off in our car. 3. My husband and I always get our travel insurance organised at least a month before we have to pay our final payment for our tour.” ‪Debra Hall‪ says… “1. Coordinate your clothes around one or two basic colours. Black evening pants/skirt is all you need for dressy occasions. Scarves/shawls/sarongs also make great accessories. ‪2. Know the local laws/customs and abide by them. ‪3. Carry baby wipes/facewipes. ‪4. Carry tissues that can double up as toilet paper. Plus carry a hand sanitiser. ‪5. Pack thongs for use in beach/pool/showers. Showers can be gross. ‪6. Buy and wear good walking shoes. Blisters are not fun and high heels don’t work on Europe’s cobblestone. ‪7. Take Imodium, bandaids, antiseptic cream and Panadol. ‪8. Don’t have a strict fixed itinerary... be flexible enough to enjoy and spend extra time at special discoveries. ‪9. Sit and people watch. Absorb the wonderful surrounds. ‪10. Talk and eat with the locals.” <a href="../travel/travel-insurance/2014/12/travel-insurance-facts/" target="_blank" rel="noopener">Related link: Surprising facts about travel insurance</a> ‪Judy Ward‪ says… “If travelling with a companion, put half of your clothes in their bag and vice versa. That way, if one bag gets lost you will still have some clothes until you can buy more.” ‪Ally Macklinsays… “I always get my doctor to give me a script for a general antibiotic – two doses. Get the script filled before you go. It has come in handy on two occasions. Better to have it on you than trying to find a doctor in a strange place. Also take a small first aid kit.” ‪Gai Brown says…‪ “Take one adaptor (or universal if you’re visiting different zones) and an Aussie power board with four to six outlets. Then you can charge all of your devices and use hair dryer/straightener at the same time – easy!” ‪Lesley Bradford‪ says… “ALWAYS photocopy every document – both sides. Leave one lot at home with a family member or trusted friend. And take a copy with you, in a separate area of your luggage. It is amazing the people who need the information when they lose passports, purses etc. And take out travel insurance – it is amazing the number of people who go overseas and spend thousands and complain about another few hundred dollars.” ‪Denise Trainor‪ says… “Be methodical and develop routines. Lists are invaluable, start about three before the trip. Don't forget to cancel the paper, gym membership and set up all household bills on direct debit. Organise someone to keep an eye on your house and collect your mail etc. Organise your SIM card for your overseas travel. Pack your suitcase and then take half out. Plan to take only comfortable clothes and shoes. Take old underwear and throw it out before you arrive home.” ‪Rosemary Thomas says..‪. “I pack an old towel in the bottom of my case. When I handwash clothing while away, I wring out as much as I can then put my clothes inside the towel then stomp on it – to remove most of the moisture. Clothes are usually dry by next day.” ‪Amanda Candy says…‪ “Less is more. I like to travel light. Leave room for serendipity if your entire trip is planned to the last second it doesn't leave room for those spontaneous opportunities that always happen when you are travelling. Don't be afraid to talk to people when you’re in new places – if you only spend time with your travel companion you miss out so many magical moments. Talk to the locals.” ‪Helen Newton‪ says… “Having just recently returned from overseas, in future I would have the following ready and accessible: travel insurance policy number, passport, and credit card. I had to call a doctor in the middle of the night for a medical emergency and it is very difficult to think of where each of these documents/cards are stored in your hotel room. If you have a copy of each of these things in a folder or envelope, it would make things less stressful.” ‪Kathie Wright says…‪ “I always take a photo on my iPhone of all the printed documents including passports and save to iPhone.” ‪Christine Maree Cieplucha says…‪ “I roll all of my clothes and put them in zipped bags that have names on them – for example, dresses, trousers, blouses, underwear. Plus, I have shoe bags and if possible I put the shoe colour in the same colour bag (yes a bit OCD) but it does help. I find I don’t have to reef through things to find a top or dress – instead, I know exactly where to look.” Related links: <a href="http://www.oversixty.co.nz/travel/travel-tips/2016/01/travel-scams-to-watch-out-for-in-2016/">16 travel scams to watch out for in 2016</a> <a href="http://www.oversixty.co.nz/travel/travel-tips/2015/12/how-credit-card-travel-insurance-works/">How does credit card travel insurance work?</a> <a href="http://www.oversixty.co.nz/travel/travel-tips/2015/12/how-to-stretch-your-travel-budget/">6 simple steps to make your travel budget go further</a> Image credit: Shutterstock

Travel Tips

Why you need domestic travel insurance

If you’re travelling domestically then you’ve already eliminated the stress of long flights and airport hold-ups. But just like travelling internationally, it’s important to be insured. Natural disaster cover Most insurers will cover cancellation and amendment claims caused by natural disasters for both international and domestic travel. Cover will vary significantly so check with your insurer to see if you’re eligible to claim. Flight cancellation cover While travel insurance doesn’t always cover cancellations and delays - if there is a natural disaster preventing the plane from taking off, then travel insurance will likely cover it. Rental car cover Domestic travel insurance policies usually cover hire-car excess. Insurance can be an affordable alternative that covers more than just the care hire. <ul> <li dir="ltr" aria-level="1"> If you’re involved in an accident in your rental car, you’ll likely have to pay the car-hire company for the damages upfront, and then claim them back from your insurer. </li> <li dir="ltr" aria-level="1"> Travel insurance is charged per person, so if there is more than one driver, you will need insurance for each person. </li> </ul> Baggage cover Domestic travel insurance will cover your baggage, with the exception of some ‘cancellation only’ policies. Make sure you don’t already have ‘portable contents’ cover for specified items under your home contents insurance. If you want to cover expensive items you regularly leave the house with, such as a phone or laptop, you should ensure you’re covered all the time. Credit card insurance Credit card insurance typically won’t apply to domestic travel, though some platinum cards can reimburse expenses as a result of flight delays and missed connections. Pro tip: Inform your bank that you will be travelling because they may detect fraudulent activity if you're making frequent purchases far away from home. Image credit: Shutterstock

Domestic Travel

4 worst travel disasters and how to avoid them

After all the stress involved in preparing and booking an overseas trip, it can be quite disheartening for something to go wrong while you’re on holidays aboard. With a bit of planning however, you can be sure that even if you fall victim to one of these travel disasters you’ll be in a good position to continue your trip. Here are four of the worst travel disasters, and how to avoid them. These travel disasters can easily turn the trip of a lifetime into one that you’d rather forget. 1. Missed flight The prospect of running through a crowded terminal only to be greeted by a closed door at the gate is one that sinks the heart of even the most nonchalant traveller. And missing a flight can really throw a spanner in the works for your travel plans. If your plane has taken off without you, it’s recommended that you immediately go to your airline’s desk who can get you on the next flight. Whether or not you will have to pay for this is another matter entirely, and depends on who’s at fault for the missed flight. The best safeguard in this case, is having travel insurance that covers you for missed connections. 2. Lost luggage There’s few feelings in the world of travel that are worse than the one you get hours after disembarking from your flight, standing at a now-empty baggage carousel, and knowing that two weeks of holiday clothing is anywhere in the world but here. Make sure you hang onto your baggage ticket and if this ever happens head to counter or office at your airport and fill out a missing baggage form. If your bag has indeed been lost or damaged and the airline is at fault you may be compensated, but it’s another one of those circumstances where it is just best to have travel insurance to make sure you’re prepared. 3. Becoming sick From cold to migraines to something more serious, there is nothing in the world that ruins your dream trip like becoming sick. If you have fallen ill overseas it’s recommended you seek medical assistance as soon as possible. In some countries you may have to pay for your treatment upfront, and if this is the case then you may have to contact your travel insurance provider (they generally have 24 hour contact centres) to arrange payments. If you don’t have insurance and are in a situation where you have to pay for treatment upfront you must contact your financial institution or a family member. 4. Lost passport Opening your daypack only to find your passport missing is every traveller’s worst nightmare. If this has happened to you, it’s important to contact the local police and then the New Zealand embassy, who will be able to provide you with an emergency passport so you can return home. Carry an extra copy of your passport in a separate part of your luggage. Images: Getty

Travel Trouble

Just 25% of businesses are insured against cyber attacks. Here’s why

In the past financial year, the Australian Cyber Security Centre received <a href="https://www.cyber.gov.au/acsc/view-all-content/reports-and-statistics/acsc-annual-cyber-threat-report-july-2021-june-2022" target="_blank" rel="noopener">76,000 cyber-crime reports</a> – on average, one every seven minutes. The year before, it was a report every eight minutes. The year before that, every ten minutes. The growth of cyber crime means it is now arguably the <a href="https://www.aon.com/2021-global-risk-management-survey/index.html" target="_blank" rel="noopener">top risk facing any business</a> with an online presence. One successful cyber attack is all it takes to ruin an organisation’s reputation and bottom line. The estimated cost to the Australian economy in <a href="https://www.unsw.adfa.edu.au/newsroom/news/cybercrime-estimated-42-billion-cost-australian-economy" target="_blank" rel="noopener">2021 was $42 billion</a>. To protect itself (and its customers), a business has three main options. It can limit the amount of sensitive data it stores. It can take greater care to protect the data it does store. And it can insure itself against the consequences of a cyber attack. Cyber-insurance is a broad term for insurance policies that address losses as a result of a computer-based attack or malfunction of a firm’s information technology systems. This can include costs associated with business interruptions, responding to the incident and paying relevant fines and penalties. The global cyber-insurance market is now worth an estimated US$9 billion (A$13.9 billion). It is tipped to grow to <a href="https://www.munichre.com/content/dam/munichre/contentlounge/website-pieces/documents/MunichRe-Topics-Cyber-Whitepaper-2022.pdf/_jcr_content/renditions/original./MunichRe-Topics-Cyber-Whitepaper-2022.pdf" target="_blank" rel="noopener">US$22 billion by 2025</a>. But a big part of this growth reflects escalating premium costs – in Australia they increased more <a href="https://www.insurancebusinessmag.com/au/news/cyber/whats-driving-up-cyber-insurance-premiums-in-australia-417542.aspx" target="_blank" rel="noopener">than 80% in 2021</a> – rather than more business taking up insurance. So coverage rates are growing slowly, with about 75% of all businesses in Australia having no cyber-insurance, according to 2021 figures from the <a href="https://insurancecouncil.com.au/wp-content/uploads/2022/03/Cyber-Insurance_March2022-final.pdf" target="_blank" rel="noopener">Insurance Council of Australia</a>. Challenges in pricing cyber-insurance</p With cyber-insurance still in its infancy, insurers face significant complexities in quantifying cyber risk pricing premiums accordingly – high enough for the insurers not to lose money, but as competitive as possible to encourage greater uptake. A 2018 assessment of the cyber-insurance market by the <a href="https://www.cisa.gov/sites/default/files/publications/20_0210_cisa_oce_cyber_insurance_market_assessment.pdf" target="_blank" rel="noopener">US Cybersecurity and Infrastructure Security Agency</a> identified three major challenges: lack of data, methodological limitations, and lack of information sharing. Lack of historical loss data means insurers are hampered in accurately predicting risks and costs. Because of the relative newness of cyber crime, many insurers use risk-assessment methodologies derived from more established insurance markets <a href="https://www.rand.org/pubs/external_publications/EP67850.html" target="_blank" rel="noopener">such as for car, house and contents</a>. These markets, however, are not analogous to cyber crime. Companies may be hesitant to disclose information about cyber incidents, unless required to do so. Insurance carriers are reluctant to share data pertaining to damage and claims. This makes it hard to create effective risk models that can calculate and predict the likelihood and cost of future incidents. So what needs to be done? Deakin University’s <a href="https://cybercentre.org.au/" target="_blank" rel="noopener">Centre for Cyber Security Research and Innovation</a> has been working with insurance companies to understand what must be done to improve premium and risks models pertaining to cyber insurance. Here is what we have found so far. First, greater transparency is needed around cyber-related incidents and insurance to help remedy the lack of data and information sharing. The federal government has taken two steps in the right direction on this. One is the <a href="https://www.accc.gov.au/focus-areas/consumer-data-right-cdr-0" target="_blank" rel="noopener">Consumer Data Right</a>, which provides guidelines on how service providers must share data about customers. This came into effect in mid-2021. The other is the government’s proposal to amend <a href="https://www.aph.gov.au/Parliamentary_Business/Bills_Legislation/Bills_Search_Results/Result?bId=r6940" target="_blank" rel="noopener">privacy legislation</a> to increase penalties for breaches and give the Privacy Commissioner new powers. Second, insurers must find better ways to measure the financial value and worth of the data that organisations hold. The primary asset covered by cyber insurance is the data itself. But there is no concrete measure of how that data is worth. The recent Optus and Medibank Private data breaches provide clear examples. The Optus event affected millions more people than the Medibank Private hack, but the Medibank Private data includes <a href="https://www.afr.com/technology/privacy-fallout-from-medibank-hack-will-be-widespread-20221023-p5bs75" target="_blank" rel="noopener">sensitive medical data</a> that, in principle, is worth far more than data regarding just your personal identity. Without an accurate way to measure the financial value of data, it is difficult to determine the appropriate premium costs and coverage. Cyber insurance is a new, specialised market with significant uncertainty. Given the ever-increasing risks to individuals, organisations and society, it is imperative that insurers develop robust and reliable risk-based models as soon as possible. This will require a consolidated effort between cyber-security experts, accountants and actuaries, insurance professionals and policymakers.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/193533/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> Writen by Jongkil Jay Jeong and Robin Doss. Republished with permission from <a href="https://theconversation.com/just-25-of-businesses-are-insured-against-cyber-attacks-heres-why-193533" target="_blank" rel="noopener">The Conversation</a>. Image: Getty Images

Money & Banking

Restaurant owner praised for hiring policy that targets "oldies"

Like many in the hospitality business, Barry Iddles was struggling to find staff to fill shifts at his restaurant 360Q in Queenscliff when he was struck by inspiration. The 67-year-old decided to put the call out to “oldies”, adding an invitation to retirees to come and work at his waterfront venue on the back of his winter postcards. “We sent out 42,000,” he said. “I put, ‘We’re recruiting – juniors, come and learn the skills of hospitality. Millennials, come and show us what you can do. And seniors and retirees, come back to the workforce for one or two shifts per week.’ “I sent it out by mail and off we went. We had a great response.” He stressed that potential employees didn’t need a resume or hospitality experience and could just come in for a chat. Now, Iddles has 12 staff working for him aged over 50, including former nurses and healthcare workers, a mechanic, small business owner and florist. "We've got two 74-year-olds, a 70-year-old, and then we've got [people aged] 57, 60, 64, 66 and 67," Mr Iddles said. "There is a labour shortage and a labour crisis, [but] I don't have one. I have five too many staff at the moment. And I could actually open another venue to keep them all gainfully employed." <blockquote class="instagram-media" style="background: #FFF; border: 0; border-radius: 3px; box-shadow: 0 0 1px 0 rgba(0,0,0,0.5),0 1px 10px 0 rgba(0,0,0,0.15); margin: 1px; max-width: 540px; min-width: 326px; padding: 0; width: calc(100% - 2px);" data-instgrm-captioned="" data-instgrm-permalink="https://www.instagram.com/p/CgNZSgSvoqP/?utm_source=ig_embed&utm_campaign=loading" data-instgrm-version="14"> <div style="padding: 16px;"> <div style="display: flex; flex-direction: row; align-items: center;"> <div style="background-color: #f4f4f4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;"> </div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center;"> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;"> </div> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;"> </div> </div> </div> <div style="padding: 19% 0;"> </div> <div style="display: block; height: 50px; margin: 0 auto 12px; width: 50px;"> </div> <div style="padding-top: 8px;"> <div style="color: #3897f0; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: 550; line-height: 18px;">View this post on Instagram</div> </div> <div style="padding: 12.5% 0;"> </div> <div style="display: flex; flex-direction: row; margin-bottom: 14px; align-items: center;"> <div> <div style="background-color: #f4f4f4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(0px) translateY(7px);"> </div> <div style="background-color: #f4f4f4; height: 12.5px; transform: rotate(-45deg) translateX(3px) translateY(1px); width: 12.5px; flex-grow: 0; margin-right: 14px; margin-left: 2px;"> </div> <div style="background-color: #f4f4f4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(9px) translateY(-18px);"> </div> </div> <div style="margin-left: 8px;"> <div style="background-color: #f4f4f4; border-radius: 50%; flex-grow: 0; height: 20px; width: 20px;"> </div> <div style="width: 0; height: 0; border-top: 2px solid transparent; border-left: 6px solid #f4f4f4; border-bottom: 2px solid transparent; transform: translateX(16px) translateY(-4px) rotate(30deg);"> </div> </div> <div style="margin-left: auto;"> <div style="width: 0px; border-top: 8px solid #F4F4F4; border-right: 8px solid transparent; transform: translateY(16px);"> </div> <div style="background-color: #f4f4f4; flex-grow: 0; height: 12px; width: 16px; transform: translateY(-4px);"> </div> <div style="width: 0; height: 0; border-top: 8px solid #F4F4F4; border-left: 8px solid transparent; transform: translateY(-4px) translateX(8px);"> </div> </div> </div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center; margin-bottom: 24px;"> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 224px;"> </div> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; width: 144px;"> </div> </div> <p style="color: #c9c8cd; font-family: Arial,sans-serif; font-size: 14px; line-height: 17px; margin-bottom: 0; margin-top: 8px; overflow: hidden; padding: 8px 0 7px; text-align: center; text-overflow: ellipsis; white-space: nowrap;"><a style="color: #c9c8cd; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: normal; line-height: 17px; text-decoration: none;" href="https://www.instagram.com/p/CgNZSgSvoqP/?utm_source=ig_embed&utm_campaign=loading" target="_blank" rel="noopener">A post shared by Barry Iddles (@barryiddles)</a> </div> </blockquote> Iddles said most of his older staff at the 150-seat restaurant, which also includes outdoor dining and an upstairs function venue, work during functions and that there has been a major benefit to both older and junior workers working alongside each other. “It’s amazing, the interaction is absolutely incredible,” he said. “It’s good for their life skills – the oldest have got a great work ethic.” Since his story was shared by the <a href="https://www.abc.net.au/news/2022-11-15/defying-ageism-older-workers-fill-gaps-in-workforce/101651806" target="_blank" rel="noopener">ABC</a> on Tuesday, Iddles said his phone has been ringing non-stop and his hiring practice went viral. “Everyone wants to talk about hiring old people,” he said. One of Iddles’ employees, 67-year-old Kenton Savage, told the ABC he wanted to retire after selling his distribution business - but his plans went awry when it went bankrupt during the pandemic. Without super and amidst rising living costs, Savage and his wife had no choice but to find jobs. "The pension just didn't pay enough. So I looked around for a job and Barry was hiring," he said. "I think it just keeps me fit and healthy and happy. Being able to get out and about, it's really been good for me," he said. 73-year-old Susan Borton, another employee, said she applied to boost her confidence and contribute. “Covid made a lot of people depressed,” she said. “And I know amongst the older ones, we’re all saying we’re actually finding it quite difficult to get out and about again. [Working] makes me feel better. And I love putting in, I love contributing.” The Council for Older Australians chief executive Ian Yates praised Iddles for his hiring practice. “Many older people will have experienced a lot of knock backs and not being taken seriously as prospective employees,” he told the ABC. “The labour market is so tight, that employers are being forced to look at channels and groups that they wouldn’t normally look at, including older Australians.” Speaking to <a href="https://www.news.com.au/finance/work/at-work/queenscliff-restaurant-360q-sees-huge-response-after-inviting-oldies-to-come-and-work/news-story/7e08f752c17bc86dd109581ef602b4c5" target="_blank" rel="noopener">news.com.au</a>, Iddles said others should adopt his policy too, and that it applies to both young and old. “Age discrimination can be quite bad, at both ends of the spectrum,” he said. “If I’ve got a 15-year-old coming for a job I’ll give them a job immediately. Too many people go, you’ve got no experience. But they actually want to work. “It’s a great mix to have [employees ranging] from 15 to 75.” Image: Facebook

Retirement Life

8 simple measures to avoid sickness overseas

At best, getting sick overseas is an annoying inconvenience that takes time away from your trip. At worst, the outcomes of falling ill in another country can be potentially disastrous. As with most things in life, when it comes to overseas illnesses prevention is better than the cure, so we’ve put together a list of eight simple measures that will ensure you stay healthy overseas. Before you book anything, it’s a good idea to check this website and see if there are any medical warnings/requirements for your planned destinations. Once you’ve booked accommodation and tickets, you can register your plans to ensure you’re easily accessible in an emergency. To stay healthy when travelling overseas, we recommend you take the following measures: <ol> <li>Visit a travel health specialist, particularly if you’re visiting parts of the world that require vaccinations. These medical professionals can administer the vaccination.</li> <li>Take out travel insurance, which will ensure that you are covered for activities you’re undertaking, as well as any the event of hospital treatment or medical evacuation. </li> <li>Keep your insurance company’s contact details handy, and with you at all times. If they’ve got an emergency assistance card even better. It’s also important to contact the company the second you feel as though you need help. Most travel insurance companies provide 24-hour emergency contact and advice services for travellers signed onto their policies.</li> <li>Consider taking a traveller’s medical kit, which can be filled with useful items such as aspirin, antiseptic, cotton wool, band aids, insect replant and hand sanitiser.</li> <li>Exercising good personal hygiene, as well as a degree of care in regards to what you’re eating and drinking can go a long way to help avoid the dreaded symptoms of gastro.</li> <li>Pack mosquito repellent, and wear clothing items like long-sleeved shirts and long pants to avoid being bitten by mosquitos as they could be carrying some nasty diseases.</li> <li>Avoid contact with dogs, and other animals like monkeys that may be carrying rabies.</li> <li>Get a quick check up, when you return home, particularly if you’ve felt ill when away.</li> </ol> Image credits: Getty Images

Travel Tips

What you need to know about smoking on major cruise lines

Cruising is a highly popular holiday option for travellers. Many changes have been made to the cruising industry to accommodate the influx of travellers. One of the changes that have come with the popularity of cruising is tighter smoking policies. Here is a guide to the different smoking policies of various cruise lines. P&O Cruises For P&O cruises, smoking is not permitted indoors in any of their ships. This rule includes your room and balcony. Smoking is allowed in selected areas outdoors. Electronic cigarettes can also only be used in the designated outdoor smoking areas. Carnival Cruise Line Travellers are allowed to smoke in the designated areas which include some public areas including certain areas of a casino, dance club and some jazz clubs on certain ships. Other public areas are non-smoking zones including dinning and public rooms. Rooms and balconies are non-smoking areas. Princess Cruises Princess Cruises allows smoking in the cigar lounge, the casino and some areas on the open decks. Smoking is prohibited in cabins, balconies and all food areas. On open decks cigar and pipe smoking is allowed. Royal Caribbean Cruise Line Royal Caribbean ships do not allow smoking in dining rooms, cabins and open or closed decks on the portside of the ship. Smoking is allowed on the starboard side of open decks, and designated area of a public room. Most casinos with this line allow smoking except for select cruises from China which will have a non-smoking area. Crystal Cruises Crystal Cruises once allowed smoking in cabins but now they don’t. Smoking is allowed in certain outdoor areas of the ship and a designated smoking lounge is also available. Norwegian Cruise Line Norwegian Cruise Line permits smoking on certain areas of open decks, in a casino if you are a player and in the cigar bars. Smoking is not allowed in cabins and balconies. Smoking is allowed on the starboard side of the Waterfront on the Getaway and Breakaway, except for in the dinning areas. Holland America Holland America allow smoking on balconies but not in cabins. Opens decks and designated areas in most public rooms are free to smoke in. If you are in the casino you can only smoke if you are an active player. Disney Cruise Line Smoking is prohibited in any indoor areas for Disney cruises. For the Disney Magic and Disney Wonder ships smoking is allowed on the starboard side of the deck 4 at 6pm to 6am and decks 9 and 10 in the Quiet Cove Area. On the Disney Dream and Disney Fantasy, smoking Is allowed from 6pm to 6am in designated areas on decks 4, 12 and 13. Should people be allowed to smoke on cruises?

Cruising

Do you need travel insurance for domestic trips?

When adding up your travel budget, insurance can seem like an unnecessary extra that you never really use – especially on a domestic trip. But before you dismiss the idea, here are a few reasons why you should insure every trip. 1. You’ve booked your tickets, packed your bags and bought your sunscreen – then disaster strikes. There can be any number of reasons that you need to cancel a trip: a close family member gets sick, you have an accident, a cyclone hits the resort you’re staying at or your employer cancels your leave. Travel insurance will cover the out of pocket costs associated with cancelling flights, rental cars or accommodation. It can also cover any additional expenses that you incur if an airline cancels your flights. 2. Theft doesn’t just happen overseas and insurance will cover you for any of your property – and, sometimes, cash – stolen while you’re travelling. It can also cover items that are lost or accidentally damaged during your trip. 3. No one thinks they will injure another party or cause damage to property while they’re travelling, but it happens. If you’re at fault you could be sued and damages can run into the millions. Travel insurance generally includes coverage for personal liability, which covers you for legal expenses and compensation you may be required to pay to the other party. 4. If you travel a few times a year, purchasing an annual policy makes domestic insurance really cheap. Because you are covered by Medicare premiums are much lower than international policies. For only around $200 a year you can have full coverage around the country – and that’s less than the cost of one night in a hotel because of a delay. Image: Shutterstock

Travel Trouble

Poverty isn’t a temporary experience in Australia. We need urgent policy tackling persistent disadvantage

We often hear a job is the best way to get someone out of poverty. In many cases this is true, and anti-poverty strategies should prioritise improving people’s access to jobs. But this isn’t the complete solution. For many – particularly those with disability or substantial caring responsibilities that limit their scope to work – the income support system remains crucial to avoiding persistent poverty. It may not feel like it at a time of rising living costs, but the incomes of Australians have on average risen substantially over the last three decades and continue to trend upwards – we have never been richer. However – <a href="https://www.pc.gov.au/research/supporting/deep-persistent-disadvantage" target="_blank" rel="noopener">as highlighted by the Productivity Commission</a> – some in the community continue to be left behind. Our new <a href="https://melbourneinstitute.unimelb.edu.au/__data/assets/pdf_file/0011/4107629/Breaking-Down-Barriers-Report-4-May-2022.pdf" target="_blank" rel="noopener">study of income poverty</a> shows persistent poverty remains a significant problem in Australian society. Looking back over the first two decades of this century, we found around 13% of the population are persistently poor. We defined these as people who persistently have to live on incomes that are <a href="https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Glossary:At-risk-of-poverty_rate" target="_blank" rel="noopener">less than 60% of</a> the median income in Australia (a definition employed by Eurostat for European Union member countries). Poverty then isn’t simply a temporary experience in Australia, and tackling persistent disadvantage needs to be a policy imperative. <figure class="align-center zoomable"><a href="https://images.theconversation.com/files/461194/original/file-20220504-21-epehk7.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img src="https://images.theconversation.com/files/461194/original/file-20220504-21-epehk7.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px" srcset="https://images.theconversation.com/files/461194/original/file-20220504-21-epehk7.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/461194/original/file-20220504-21-epehk7.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/461194/original/file-20220504-21-epehk7.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/461194/original/file-20220504-21-epehk7.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/461194/original/file-20220504-21-epehk7.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/461194/original/file-20220504-21-epehk7.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" alt="" /></a><figcaption>Poverty isn’t simply a temporary experience in Australia. Shutterstock</figcaption></figure> Why do people descend in poverty – and often stay there? Understanding what drives poverty and its persistence is an essential first step to alleviating it. Using data from the longitudinal Household, Income and Labour Dynamics in Australia (<a href="https://melbourneinstitute.unimelb.edu.au/hilda" target="_blank" rel="noopener">HILDA</a>) Survey, we examined the extent and nature of persistent poverty among the same sample of Australians tracked over time. Specifically, we looked at <ul> <li>why do people descend into poverty?</li> <li>why do some people remain in poverty, while others escape it?</li> <li>why some of those who escape poverty remain out of poverty while others fall back into it.</li> </ul> We also examined the degree to which the depth of poverty (how far someone’s income is below the poverty line) impacts on the likelihood of staying in poverty. We found persistent poverty is more prevalent among: <ul> <li>women</li> <li>single-parent families</li> <li>older people</li> <li>Indigenous Australians</li> <li>people with a disability</li> <li>less-educated people, and</li> <li>people living in more disadvantaged regions.</li> </ul> This is consistent with <a href="https://povertyandinequality.acoss.org.au/poverty-in-australia-2020-overview-html-version/" target="_blank" rel="noopener">previous studies of poverty</a> made at a single point in time. Perhaps unsurprisingly, those in deep poverty – the poorest of the poor – are the most likely to be persistently poor (up to five times more likely than the average person in the community). The very poor are therefore a policy priority – not only because they are very poor now, but because they are more likely to remain poor. ‘Falling’ into poverty Similarly, among those initially not in poverty, those with incomes closest to the poverty line – the poorest of the non-poor – are at greater risk of falling into persistent poverty. Another policy priority therefore needs to be preventing those close to the poverty line falling into actual poverty. When we examined the “trigger events” for people falling into poverty or rising out of it, we found the household’s success in the labour market is critical. In other words, people need to be able to get a job. An increase in the number of employed people in the household is strongly associated with lifting people out of poverty. There is also a strong association between a lack of work and the risk of persistent poverty. Clearly, then, policy measures geared towards increasing employment, and retaining employment for those already employed, are key to reducing persistent poverty. <figure class="align-center zoomable"><a href="https://images.theconversation.com/files/461457/original/file-20220505-24-cgvjbn.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img src="https://images.theconversation.com/files/461457/original/file-20220505-24-cgvjbn.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px" srcset="https://images.theconversation.com/files/461457/original/file-20220505-24-cgvjbn.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/461457/original/file-20220505-24-cgvjbn.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/461457/original/file-20220505-24-cgvjbn.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/461457/original/file-20220505-24-cgvjbn.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/461457/original/file-20220505-24-cgvjbn.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/461457/original/file-20220505-24-cgvjbn.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" alt="" /></a><figcaption>Another policy priority needs to be preventing those close to the poverty line falling into actual poverty. Shutterstock</figcaption></figure> It’s not just about jobs, though But employment isn’t the only factor of importance. Any change in family type, but particularly becoming a single-parent family, increases the risk of poverty. More broadly, the household context plays a crucial role in determining individuals’ poverty experiences. Who you live with, what they do, and what happens to them are important. The household perspective then is critical to understanding poverty and designing appropriate policy responses. The onset of disability or substantial caring responsibilities is also much more likely to tip you into poverty and keep you there. Put simply, those who are more likely to experience persistent poverty tend to be constrained in their ability to participate in the labour market. Having a job may not be an option at all. Focusing only on labour market-related anti-poverty policy measures therefore isn’t enough to fully address persistent poverty in the Australian community. Many of those highly exposed to persistent poverty have very constrained access to paid work, because of factors such as: <ul> <li>long-term health conditions</li> <li>high caring responsibilities for young children or</li> <li>significant disabilities.</li> </ul> Even among couple-parent households, we found the more dependent children in the household, the lower the probability of exiting poverty. This highlights the importance of child care assistance to facilitate employment participation and sustained income adequacy for families with young children. <figure class="align-center zoomable"><a href="https://images.theconversation.com/files/461458/original/file-20220505-26-km89qo.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img src="https://images.theconversation.com/files/461458/original/file-20220505-26-km89qo.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px" srcset="https://images.theconversation.com/files/461458/original/file-20220505-26-km89qo.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=338&fit=crop&dpr=1 600w, https://images.theconversation.com/files/461458/original/file-20220505-26-km89qo.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=338&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/461458/original/file-20220505-26-km89qo.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=338&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/461458/original/file-20220505-26-km89qo.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=425&fit=crop&dpr=1 754w, https://images.theconversation.com/files/461458/original/file-20220505-26-km89qo.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=425&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/461458/original/file-20220505-26-km89qo.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=425&fit=crop&dpr=3 2262w" alt="" /></a><figcaption>Many of those highly exposed to persistent poverty have very constrained access to paid work, because of factors such as long-term health conditions. Shutterstock</figcaption></figure> An unavoidable conclusion But even improvements in child care assistance aren’t enough. The simple fact is that, for a significant number of people, income support will continue to determine their living standards. The unavoidable conclusion is that boosting income support payments beyond their current austere levels remains a crucial pillar of policy for governments genuinely committed to reducing persistent disadvantage. Unfortunately, this does not appear to be on the agenda of either of the major parties.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/181343/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/esperanza-vera-toscano-788145" target="_blank" rel="noopener">Esperanza Vera-Toscano</a>, Senior research fellow, <a href="https://theconversation.com/institutions/the-university-of-melbourne-722" target="_blank" rel="noopener">The University of Melbourne</a> and <a href="https://theconversation.com/profiles/roger-wilkins-95906" target="_blank" rel="noopener">Roger Wilkins</a>, Professorial Fellow and Deputy Director (Research), HILDA Survey, Melbourne Institute of Applied Economic and Social Research, <a href="https://theconversation.com/institutions/the-university-of-melbourne-722" target="_blank" rel="noopener">The University of Melbourne</a> This article is republished from <a href="https://theconversation.com" target="_blank" rel="noopener">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/poverty-isnt-a-temporary-experience-in-australia-we-need-urgent-policy-tackling-persistent-disadvantage-181343" target="_blank" rel="noopener">original article</a>. Image: Getty Images

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Past policies have created barriers to voting in remote First Nations communities

The rate of voter participation in federal elections by people living in remote Indigenous communities has been <a href="https://doi.org/10.1111/j.1467-8497.2010.01552.x" target="_blank" rel="noopener">lower than the national average</a> since First Nations people were granted the right to vote in 1962. In recent years, the rate has been in <a href="http://doi.org/10.22459/DAER.05.2012;%20http://doi.org/10.25911/5df209771dd57" target="_blank" rel="noopener">decline</a>. Rates are lowest in the Northern Territory. The low rate of participation among First Nations people living in remote communities could affect the lower house election results in the Northern Territory seat of Lingiari. Warren Snowden has stepped down after 20 years holding the seat. Determining rates of voter participation Measuring the number of First Nations people (or any particular demographic group) who vote in federal elections is challenging. Electoral rolls do not include information about cultural identity. Census figures, which could be used as a basis for comparison against voter turnout rates, are imprecise. Data from the 2005 NT Assembly general election <a href="http://doi.org/10.22459/DAER.05.2012;%20https:/press.anu.edu.au/publications/directions-australian-electoral-reform" target="_blank" rel="noopener">show</a> voting rates were 20% lower in electorates with the highest Indigenous populations. In his study of the 2019 federal election, Australian National University researcher <a href="http://doi.org/10.25911/5df209771dd57" target="_blank" rel="noopener">Will Sanders</a> found <blockquote> perhaps only half of eligible Aboriginal citizens […] may be utilising their right to vote. </blockquote> Reports from the Northern Territory’s most recent Assembly election also found <a href="https://www.abc.net.au/news/2020-08-21/poor-indigenous-voter-turnout-at-nt-election/12580688" target="_blank" rel="noopener">record low</a><a href="https://www.abc.net.au/news/2020-08-15/coronavirus-impacting-on-remote-voter-turnout-nt-election/12559066">turnout</a> across Indigenous communities. <a href="https://doi.org/10.1111/j.1467-8497.2010.01552.x" target="_blank" rel="noopener">Research</a> <a href="http://doi.org/10.25911/5df209771dd57" target="_blank" rel="noopener">shows</a> rates of informal votes are also higher in remote Indigenous communities. <blockquote class="twitter-tweet"> NLC accuses the Australian Electoral Commission of 'failing' Aboriginal voters [Matt Garrick, ABC] Northern Territory land council has accused the AEC of failing Aboriginal people by not engaging more bush voters to have their say at the federal election.<a href="https://t.co/fCKRluGaoD">https://t.co/fCKRluGaoD</a> <a href="https://t.co/J3a04DyJJB">pic.twitter.com/J3a04DyJJB</a> — First Nations Tgraph (@FNTelegraph) <a href="https://twitter.com/FNTelegraph/status/1514025685521952770?ref_src=twsrc%5Etfw">April 12, 2022</a></blockquote> Barriers to First Nations people voting Decisions made at the federal level over the last three decades appear to have provided significant obstacles to voting in some First Nations communities. First is the 1996 abolition of the Aboriginal and Torres Strait Islander Election Education and Information Service. <a href="https://doi.org/10.1111/j.1467-8497.2010.01552.x" target="_blank" rel="noopener">Two</a> <a href="http://doi.org/10.22459/DAER.05.2012;%20https:/press.anu.edu.au/publications/directions-australian-electoral-reform" target="_blank" rel="noopener">studies</a> point to this abolition as a potential reason for a decline in voting rates in remote Indigenous communities since the mid-nineties. Established in 1979, this service existed specifically to increase voter registration rates among First Nations people. This was done by, for example, providing voter education and election materials in Indigenous languages. The second decision was the 2005 abolition of the Aboriginal and Torres Strait Islander Commission. First Nations people participated in five of the Commission’s elections administered by the same Australian Electoral Commission responsible for federal elections. Although voting was voluntary, <a href="https://openresearch-repository.anu.edu.au/bitstream/1885/41511/3/2003_DP252.pdf" target="_blank" rel="noopener">analysis</a> shows participation was higher in northern and central Australia than in southern Australia. The third relevant policy change was the passage of the 2006 Electoral Integrity Bill. This introduced more stringent rules for the identification required to vote, making it more difficult for people in <a href="https://doi.org/10.1111/j.1467-8497.2010.01552.x" target="_blank" rel="noopener">at least one remote community</a> to register to vote. The Morrison government’s unsuccessful 2021 proposal to introduce even tougher <a href="https://www.canberratimes.com.au/story/7488468/govt-accused-of-trumpist-move-to-suppress-voting/?cs=14264" target="_blank" rel="noopener">voter identification laws</a> would likely <a href="https://www.theguardian.com/australia-news/2021/oct/27/proposed-voter-id-laws-real-threat-to-rights-of-indigenous-australians-and-people-without-homes" target="_blank" rel="noopener">exacerbate this problem</a>. The fourth policy decision was a 2012 change to the Commonwealth Electoral Act, known as the “Federal Direct Enrolment and Update”. This enabled the Australian Electoral Commission to register eligible Australians to vote based on information available through several government agencies. These include Centrelink/the Department of Human Services, the Australian Taxation Office, and the National Exchange of Vehicle and Driver Information Service. But the Electoral Commission has <a href="http://doi.org/10.25911/5df209771dd57" target="_blank" rel="noopener">chosen not to use this mechanism for enrolment in parts of Australia</a> where mail is sent to a single community address (“mail exclusion areas”). This means people living in many remote communities are not automatically added to the electoral roll, unlike most of the rest of Australia. West Arnhem Regional Council mayor Matthew Ryan and Yalu Aboriginal Corporation chairman Ross Mandi launched an official complaint to the Australian Human Rights Commissioner over this issue in June last year. They <a href="https://www.abc.net.au/news/2021-06-19/nt-voters-racial-discrimination-human-rights-commission/100227762" target="_blank" rel="noopener">argued</a> failure to apply the Federal Direct Enrolment and Update in remote communities represents a breach of the Racial Discrimination Act. A <a href="https://doi.org/10.1111/j.1467-8497.2010.01552.x" target="_blank" rel="noopener">survey</a> of residents in one remote community on South Australia’s APY lands found a lack of information contributed to low participation in elections. Obstacles included: <ul> <li> a lack of materials available in appropriate languages </li> <li> uncertainty about how to cast a formal vote </li> <li> problems related to literacy, and </li> <li> a lack of appropriate identification necessary to enrol. </li> </ul> In October last year, the Australian Electoral Commission announced new funding for its <a href="https://www.aec.gov.au/media/2021/10-28.htm" target="_blank" rel="noopener">Indigenous Electoral Participation program</a> with the aim of increasing enrolment rates; the upcoming election will show if the program is working. Lingiari Given that voting is compulsory in Australia, non-participation is a concern in any election. But these issues are likely to be particularly relevant in the 2022 federal election, at least in the seat of Lingiari. Lingiari covers all of the Northern Territory outside the greater Darwin/Palmerston area. So it is the one House of Representatives division where Indigenous Australians (many of them living in remote communities) have clear electoral <a href="http://doi.org/10.25911/5df209771dd57" target="_blank" rel="noopener">power</a>. Providing more mobile polling booths could help make voting easier for people in remote Indigenous communities. Currently, these booths can be present for as little as two hours during an entire election period. There is also <a href="https://doi.org/10.1111/j.1467-8497.2010.01552.x" target="_blank" rel="noopener">evidence</a> Indigenous people are more likely to vote in elections for Indigenous candidates, and for candidates who have visited their community. Warren Snowden has represented the electorate since its creation in 2001, but he is not contesting this election; the seat is up for grabs. Indigenous people will determine who takes Snowden’s place. But how many of them vote may be limited by their ability to enrol, the availability of information in an appropriate language, and access a polling booth.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/181194/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/morgan-harrington-1207111" target="_blank" rel="noopener">Morgan Harrington</a>, Research Fellow, Centre for Aboriginal Economic Policy Research, <a href="https://theconversation.com/institutions/australian-national-university-877" target="_blank" rel="noopener">Australian National University</a> This article is republished from <a href="https://theconversation.com" target="_blank" rel="noopener">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/past-policies-have-created-barriers-to-voting-in-remote-first-nations-communities-181194" target="_blank" rel="noopener">original article</a>. Image: The Australian Electoral Commision (<a href="https://www.flickr.com/photos/auselectoralcom/48720382352/in/album-72157710806573631/" target="_blank" rel="noopener">Flickr</a>)

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Aus-NZ refugee deal is a bandage on a failed policy

Australia has finally accepted New Zealand’s offer to settle some of the refugees from the <a href="https://www.kaldorcentre.unsw.edu.au/sites/kaldorcentre.unsw.edu.au/files/factsheet_offshore_processing_overview.pdf" target="_blank" rel="noopener">offshore processing</a> regime – about nine years after it was first made in 2013. The NZ deal will provide certainty for <a href="https://www.theguardian.com/australia-news/2022/mar/24/australia-agrees-450-refugees-can-be-resettled-in-new-zealand-nine-years-after-deal-first-offered" target="_blank" rel="noopener">450 people</a> who have been in limbo, many for more than a decade. But in the March 24 <a href="https://minister.homeaffairs.gov.au/KarenAndrews/Pages/australia-new-zealand-resettlement-arrangement.aspx" target="_blank" rel="noopener">announcement</a>, Home Affairs Minister Karen Andrews made clear the deal does not change Australia’s <a href="https://www.sbs.com.au/news/article/australia-and-new-zealand-reach-refugee-resettlement-agreement/20vyv2d8w" target="_blank" rel="noopener">hard-line approach</a>. This makes the deal a bandage on a <a href="https://www.kaldorcentre.unsw.edu.au/sites/kaldorcentre.unsw.edu.au/files/Policy_Brief_11_Offshore_Processing.pdf" target="_blank" rel="noopener">failed policy</a> that continues to haemorrhage cash, destroy lives and erode the international system for refugee protection. Who is – and isn’t – included in the NZ deal? The original offer, made by the then NZ Prime Minister John Key in 2013, was refused by the Australian government until now. The Coalition government claimed the deal could be a “<a href="https://www.theguardian.com/australia-news/2018/nov/01/decision-to-bring-children-from-nauru-an-admission-of-failure-by-government" target="_blank" rel="noopener">pull factor</a>” for asylum seekers coming by boat to Australia. Under the agreement, NZ will settle up to 150 of Australia’s “offshore processing” refugees per year for three years. These refugees arrived in Australia by sea between 2012 and 2014 and were sent to Nauru or Manus Island “offshore processing” detention centres. The deal can include the <a href="https://www.homeaffairs.gov.au/about-us-subsite/files/population-and-number-of-people-resettled.pdf" target="_blank" rel="noopener">112 people</a> who are in Nauru or those temporarily in Australia under offshore processing arrangements. Some <a href="https://www.unhcr.org/en-au/news/press/2022/3/623a66584/unhcr-news-comment-on-the-australia-new-zealand-refugee-deal.html" target="_blank" rel="noopener">1,100</a> people have been returned temporarily to Australia, mostly for medical treatment. They mostly live in the community with <a href="https://www.amnesty.org.au/potential-return-of-refugees-and-people-seeking-asylum-to-nauru-and-png-proof-of-policy-failure/" target="_blank" rel="noopener">no support and insecure visa status</a> but some remain in detention. Those already being considered for settlement to another country, such as the United States or Canada, aren’t eligible for the NZ program. More than 100 men who remain in Papua New Guinea aren’t included in this deal. <blockquote class="twitter-tweet"> The always wise, always insightful <a href="https://twitter.com/BehrouzBoochani?ref_src=twsrc%5Etfw">@BehrouzBoochani</a> on Australia, the NZ refugee resettlement offer, and why it took nine years...<a href="https://t.co/IdxPBGpAz0">https://t.co/IdxPBGpAz0</a> — Ben Doherty (@BenDohertyCorro) <a href="https://twitter.com/BenDohertyCorro/status/1508944829509926915?ref_src=twsrc%5Etfw">March 29, 2022</a></blockquote> Under current known arrangements, people remaining in PNG could be <a href="https://www.theguardian.com/world/2022/mar/25/australia-new-zealand-refugee-deal-everything-we-know" target="_blank" rel="noopener">referred</a> by the United Nations High Commissioner for Refugees to NZ through its regular refugee programme. Even after the NZ and US options are exhausted, it’s estimated at least <a href="https://www.refugeecouncil.org.au/australians-welcome-nzs-generosity-to-refugees-in-offshore-processing/" target="_blank" rel="noopener">500 refugees will be without a solution</a>. And they’re not the only ones. There are some <a href="https://www.kaldorcentre.unsw.edu.au/sites/kaldorcentre.unsw.edu.au/files/Factsheet_Legacy%20Caseload_final.pdf" target="_blank" rel="noopener">30,000 people</a> in what’s called the “legacy caseload” who arrived by sea between 2012 and 2014 and weren’t transferred to Nauru and PNG. They remain in Australia subject to harmful measures. They’re stuck in limbo on temporary visas, unable to reunify with family members, and receive <a href="https://humanrights.gov.au/about/news/urgent-call-government-protect-asylum-seekers-and-refugees" target="_blank" rel="noopener">inadequate support</a> to secure housing or health care. Australia distorts the global refugee system <a href="https://www.refworld.org/docid/51af82794.html" target="_blank" rel="noopener">Australia has primary responsibility</a> for refugees who seek its protection. The Australian government has repeatedly tried and failed to find countries willing to settle refugees it refuses to protect. It reportedly offered multiple countries, from the Philippines to Kyrgyzstan, <a href="https://www.theguardian.com/australia-news/2018/may/08/australias-refugee-deal-a-farce-after-us-rejects-all-iranian-and-somali-asylum-seekers" target="_blank" rel="noopener">millions of dollars</a> to settle refugees from Australia’s offshore camps – without success. Resettlement to a third country is an important solution, available to less than 1% of refugees globally whose lives, liberty, safety, health or other fundamental rights are at risk <a href="https://www.unhcr.org/46f7c0ee2.html" target="_blank" rel="noopener">in the country where they have sought refuge</a>. This isn’t the case for refugees seeking asylum in Australia, where there’s a well-established asylum system. It’s difficult to think of the NZ solution as “resettlement” in its true meaning. Resettlement places are important to <a href="https://www.unhcr.org/en-au/news/press/2021/6/60d32ba44/un-refugee-agency-releases-2022-resettlement-needs.html" target="_blank" rel="noopener">relieve pressure on developing countries</a> that host almost 90% of the world’s refugees. Conflicts in Syria, Yemen, Myanmar, South Sudan, Afghanistan, plus now Russia’s invasion of Ukraine, have created a need for resettlement in a third country for almost <a href="https://www.unhcr.org/en-au/news/press/2021/6/60d32ba44/un-refugee-agency-releases-2022-resettlement-needs.html" target="_blank" rel="noopener">1.5 million</a> refugees worldwide. Resettlement has been disrupted over the last two years due to COVID, leaving even more people in urgent need. Under these extraordinary “refugee deals” with the US and NZ, the Australian government is trying to solve a political problem of its own making at the expense of people in desperate need. Like Australia, the US and NZ offer only a limited number of resettlement spots each year. When these spots go to Australia’s refugees, who are Australia’s responsibility, someone else misses out. Continuing damage This is Australia’s second go at offshore processing. Its first iteration, the “Pacific Solution”, lasted from 2001 until 2008. The second commenced in 2012 and continues. Offshore processing remains costly. Australian taxpayers have spent, on average, around <a href="https://www.kaldorcentre.unsw.edu.au/sites/kaldorcentre.unsw.edu.au/files/Policy_Brief_11_Offshore_Processing.pdf#page=14&zoom=auto,-135,786" target="_blank" rel="noopener">A$1 billion per year</a> to maintain offshore processing since 2014. This is despite a dramatic drop in the number of people held in Nauru and PNG. At the peak in April 2014, Australia detained a total of 2,450 people. By December 2021, there were <a href="https://www.refugeecouncil.org.au/operation-sovereign-borders-offshore-detention-statistics/2/" target="_blank" rel="noopener">219 people remaining offshore in Nauru and PNG</a>. People transferred to Manus Island and Nauru suffered mandatory and indefinite detention in harsh conditions. Their treatment has been called out by the United Nations repeatedly as <a href="https://www.unhcr.org/en-au/united-nations-observations.htm" target="_blank" rel="noopener">cruel and inhuman</a> and described by Amnesty International as <a href="https://www.rnz.co.nz/national/programmes/checkpoint/audio/2018835563/amnesty-international-celebrates-deal-for-nz-to-take-refugees" target="_blank" rel="noopener">torture</a>. The abuse of men, women and children in offshore processing centres has been thoroughly documented in a <a href="https://docs.wixstatic.com/ugd/b743d9_e4413cb72e1646d8bd3e8a8c9a466950.pdf" target="_blank" rel="noopener">communiqué</a> to the International Criminal Court, <a href="https://bills.parliament.uk/publications/43063/documents/791#page=27&zoom=auto,-134,1" target="_blank" rel="noopener">parliamentary inquiries</a> and domestic legal challenges. Australia’s offshore processing sets a bad regional precedent for <a href="https://humanrights.gov.au/sites/default/files/20160913_Pathways_to_Protection.pdf#page=20&zoom=page-fit,-625,841" target="_blank" rel="noopener">refugee protection in Southeast Asia</a> and beyond. The policy objective of using cruelty as a deterrent to “stop the boats” and “save lives at sea” didn’t work. If boats didn’t arrive, this was due to Australia’s <a href="https://www.kaldorcentre.unsw.edu.au/sites/kaldorcentre.unsw.edu.au/files/Policy_Brief_11_Offshore_Processing.pdf" target="_blank" rel="noopener">interception and turnback of boats at sea</a>. What needs to change? Refugee policy can be <a href="https://www.kaldorcentre.unsw.edu.au/publication/principles-australian-refugee-policy" target="_blank" rel="noopener">principled</a> and driven by compassion while protecting borders and respecting international law. Australia should formally end offshore processing. The small number of people still held offshore in Nauru and PNG should be transferred back to Australia. Everyone who has been subject to the policy since 2012 who doesn’t have a permanent solution could be offered settlement in Australia. This <a href="https://www.aph.gov.au/about_parliament/parliamentary_departments/parliamentary_library/pubs/bn/2012-2013/pacificsolution" target="_blank" rel="noopener">occurred</a> in the first iteration of offshore processing and could happen again. Money and lives can be saved.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/180241/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/natasha-yacoub-1259499" target="_blank" rel="noopener">Natasha Yacoub</a>, International refugee lawyer and scholar, <a href="https://theconversation.com/institutions/unsw-sydney-1414" target="_blank" rel="noopener">UNSW Sydney</a> This article is republished from <a href="https://theconversation.com" target="_blank" rel="noopener">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/aus-nz-refugee-deal-is-a-bandage-on-a-failed-policy-its-time-to-end-offshore-processing-180241" target="_blank" rel="noopener">original article</a>. Image: Getty Images

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Damning full-page ad slams Ardern’s border policy

New Zealand Prime Minister Jacinda Ardern has been <a href="https://www.9news.com.au/national/jacinda-ardern-popularity-plunges-as-kiwis-struggle-to-return-home/e350bbd6-907c-4bd9-be82-63037dc52269" target="_blank" rel="noopener">openly criticised</a> in a full-page ad regarding the country’s strict border policy, after news emerged of a pregnant New Zealand journalist fighting to return home to give birth.The advertisement, taken out by prominent businessman Michael Horton in one of New Zealand’s most widely-read magazines, claimed that New Zealand was one of the few countries not allowing its citizens to return home.Under the headline, “The following countries do not ban their own citizens from returning to their home country”, the ad listed dozens of countries, from Afghanistan to Zimbabwe.<blockquote class="twitter-tweet">This ad, sponsored by Michael Horton, appears in the January 29 <a href="https://twitter.com/nzlistener?ref_src=twsrc%5Etfw">@nzlistener</a>. Thank you Michael. <a href="https://twitter.com/nzgovt?ref_src=twsrc%5Etfw">@nzgovt</a> <a href="https://twitter.com/govtnz?ref_src=twsrc%5Etfw">@govtnz</a> <a href="https://twitter.com/jacindaardern?ref_src=twsrc%5Etfw">@jacindaardern</a> <a href="https://t.co/ZGTW2iFHUr">pic.twitter.com/ZGTW2iFHUr</a>— Graeme Jennings (@Graeme_rj) <a href="https://twitter.com/Graeme_rj/status/1484343384357494786?ref_src=twsrc%5Etfw">January 21, 2022</a></blockquote>Above it, another headline read, “The following countries effectively ban their own citizens from returning to their home country”, with New Zealand as the only country listed.The ad comes as Charlotte Bell, a 35-year-old journalist who was working in Qatar for Al Jazeera until recently, remains stranded in Afghanistan, despite being triple-vaccinated and ready to isolate upon her return to her home country.Kiwis looking to return home are required to secure a place in government-run quarantine, through a system called Managed Isolation and Quarantine (MIQ).According to the MIQ website, travellers are advised to book their place in MIQ - with spots gradually released in the months prior to flight arrivals - before booking their flights.“In periods of high demand, some people will miss out on securing an MIQ voucher, regardless of the system that is used,” the website reads.As a result of the high demand for the 4500 available spots, thousands of New Zealanders have been unable to return home in time to be with dying family members or be present for milestone moments.The system, which used a weekly lottery system to allocate vouchers until early January, has been fully booked out for months in advance which has also meant that impromptu travel or returning for emergencies - such as in Ms Bell’s case - remains virtually impossible. Ms Bell published an open letter in <a href="https://www.nzherald.co.nz/nz/covid-19-omicron-charlotte-bellis-an-open-letter-on-miq/U4WQGYTJHUP36AGVOBN3F6PJSE/" target="_blank" rel="noopener">The New Zealand Herald</a> over the weekend detailing how she was forced to seek refuge in Afghanistan’s capital of Kabul, after she was no longer able to work in Qatar because it is illegal to be pregnant and unmarried there.<blockquote class="instagram-media" style="background: #FFF;border: 0;border-radius: 3px;margin: 1px;max-width: 540px;min-width: 326px;padding: 0;width: calc(100% - 2px)" data-instgrm-captioned="" data-instgrm-permalink="https://www.instagram.com/p/CZSRlVysIQF/?utm_source=ig_embed&utm_campaign=loading" data-instgrm-version="14"><div style="padding: 16px"><div style="flex-direction: row;align-items: center"><div style="background-color: #f4f4f4;border-radius: 50%;flex-grow: 0;height: 40px;margin-right: 14px;width: 40px"> </div><div style="flex-direction: column;flex-grow: 1;justify-content: center"><div style="background-color: #f4f4f4;border-radius: 4px;flex-grow: 0;height: 14px;margin-bottom: 6px;width: 100px"> </div><div style="background-color: #f4f4f4;border-radius: 4px;flex-grow: 0;height: 14px;width: 60px"> </div></div></div><div style="padding: 19% 0"> </div><div style="height: 50px;margin: 0 auto 12px;width: 50px"> </div><div style="padding-top: 8px"><div style="color: #3897f0;font-family: Arial,sans-serif;font-size: 14px;font-style: normal;font-weight: 550;line-height: 18px">View this post on Instagram</div></div><div style="padding: 12.5% 0"> </div><div style="flex-direction: row;margin-bottom: 14px;align-items: center"><div><div style="background-color: #f4f4f4;border-radius: 50%;height: 12.5px;width: 12.5px"> </div><div style="background-color: #f4f4f4;height: 12.5px;width: 12.5px;flex-grow: 0;margin-right: 14px;margin-left: 2px"> </div><div style="background-color: #f4f4f4;border-radius: 50%;height: 12.5px;width: 12.5px"> </div></div><div style="margin-left: 8px"><div style="background-color: #f4f4f4;border-radius: 50%;flex-grow: 0;height: 20px;width: 20px"> </div><div style="width: 0;height: 0;border-top: 2px solid transparent;border-left: 6px solid #f4f4f4;border-bottom: 2px solid transparent"> </div></div><div style="margin-left: auto"><div style="width: 0px;border-top: 8px solid #F4F4F4;border-right: 8px solid transparent"> </div><div style="background-color: #f4f4f4;flex-grow: 0;height: 12px;width: 16px"> </div><div style="width: 0;height: 0;border-top: 8px solid #F4F4F4;border-left: 8px solid transparent"> </div></div></div><div style="flex-direction: column;flex-grow: 1;justify-content: center;margin-bottom: 24px"><div style="background-color: #f4f4f4;border-radius: 4px;flex-grow: 0;height: 14px;margin-bottom: 6px;width: 224px"> </div><div style="background-color: #f4f4f4;border-radius: 4px;flex-grow: 0;height: 14px;width: 144px"> </div></div><a style="color: #c9c8cd;font-family: Arial,sans-serif;font-size: 14px;font-style: normal;font-weight: normal;line-height: 17px;text-decoration: none" href="https://www.instagram.com/p/CZSRlVysIQF/?utm_source=ig_embed&utm_campaign=loading" target="_blank" rel="noopener">A post shared by Charlotte Bellis (@charlottebellis)</a></div></blockquote>“This is ridiculous. It is my legal right to go to New Zealand, where I have healthcare, where I have family. All my support is there,” she <a href="https://www.9news.com.au/world/from-kabul-pregnant-reporter-fights-nz-govt-to-come-home/94ed99be-8bbf-4ed0-a0f3-10a77e52ff84" target="_blank" rel="noopener">said</a>.Ms Bell first attempted to secure residency in Belgium - where her partner is from - but said the length of the process meant she would have been left in the country with an expired visa.With the option to either hop from country to country on tourist visas or attempt to secure a more long-term stay while she fought to return home, Ms Bell and her partner returned to Afghanistan because they had a visa, felt welcome, and could continue their battle there.Critics like Mr Horton have claimed the lottery system is a needlessly punishing process as more than 90 percent of the country’s population have been fully vaccinated and boosters continue to be administered.Meanwhile, Ms Ardern’s approval ratings have taken a hit, with a recent 1 News Kantor poll indicating that her current approval rate sits at just 35 percent, the lowest it’s been since she became Prime Minister in 2017.Image: @charlottebellis (Instagram)

Travel Trouble

Affordable housing lessons from Sydney, Hong Kong and Singapore: 3 keys to getting the policy mix right

Affordable housing is a critical problem for Australia’s biggest housing markets. Five Australian cities are in the top 25 with “severely unaffordable” housing in a <a href="http://www.demographia.com/dhi.pdf">2019 Demographia survey</a> of 91 major metropolitan markets. Sydney was <a href="https://www.mortgagebusiness.com.au/breaking-news/13059-australia-s-housing-market-remains-severely-unaffordable">ranked the third least affordable</a> of the 91. The <a href="https://www.realestate.com.au/news/meet-australias-oldest-person-to-buy-their-first-home-this-spring/">average age of first-time buyers in Sydney has reached 38</a>. And, <a href="https://www.finder.com.au/how-much-of-our-wages-do-we-spend-on-rent-in-australia">on average, tenants spend more than 30% of their income on rent</a>. Those who entered the <a href="https://www.facs.nsw.gov.au/housing/help/applying-assistance/expected-waiting-times">Sydney market 10-15 years ago are more likely to find their housing affordable</a>. Cities with housing affordability issues have introduced various policy packages in response. This article compares the policies of Singapore, where housing is relatively affordable, Hong Kong (the <a href="http://www.demographia.com/dhi.pdf">world’s least affordable private housing market</a>) and Sydney. Our review shows a need for coherent and coordinated housing policies – a synergistic approach that multiplies the impacts of individual policies. Housing has direct impacts on people’s well-being. A housing market that works well may also enhance the economic productivity of a city. If not handled properly, housing affordability issues may trigger economic and political crises. Our review covers several aspects. <h2>A balance of renters and owners</h2> First, an affordable housing system needs to be about both the rental and ownership sectors. In Singapore, <a href="https://www.hdb.gov.sg/cs/infoweb/about-us">public housing provided by the Housing and Development Board</a> makes up 73% of Singapore’s total housing stock, which includes public rental and subsidised ownership. HDB flats house over 80% of Singapore’s resident population, with about 90% owning their homes. The average waiting time to get public housing is three to four years. Public housing is also important, although to a lesser extent, in Hong Kong. In this city, <a href="https://www.scmp.com/news/hong-kong/society/article/2182106/why-public-housing-shortfall-will-remain-thorn-hong-kongs#targetText=Public%20rental%20housing%20estates%20found,cent%20of%20Hong%20Kong's%20population.">44.7% of the population live in public housing</a>. The <a href="https://www.housingauthority.gov.hk/tc/about-us/publications-and-statistics/prh-applications-average-waiting-time/index.html">average waiting time is three to five years</a>, depending on household type. In both cities, subsidised rental and subsidised ownership are an integral part of the public housing system, which aims to improve housing affordability. Sydney takes a very different approach. <a href="https://www.aihw.gov.au/reports/hou/296/housing-assistance-in-australia-2018/contents/social-housing-dwellings">Social rental housing provides only 5.56% of housing</a> and <a href="https://theconversation.com/focus-on-managing-social-housing-waiting-lists-is-failing-low-income-households-120675">covers only low-income households in “priority need”</a>. The average waiting time to get into social housing is <a href="https://www.facs.nsw.gov.au/housing/help/applying-assistance/expected-waiting-times.">five to ten years</a>. Although there are other policy measures to support home buying and rental (such as the National Rental Affordability Scheme), these are not integrated with the public housing system in Sydney. Rather, the goal of these policies is to support the private housing market. <h2>It’s not just about housing supply</h2> Second, housing affordability needs to be backed up by demand-side policies – i.e. policies to help tenants and owners to develop financial capacity. Despite its heavy state intervention, Singapore’s public housing stresses the responsibility of individuals. The <a href="https://www.cpf.gov.sg/Members/AboutUs/about-us-info/cpf-overview">Housing Provident Fund</a> is a <a href="https://www.eastasiaforum.org/2019/03/15/singapores-mechanism-design-approach-to-housing-policy/">form of forced savings</a> for housing, retirement, health and education, among other things. It is <a href="https://pdfs.semanticscholar.org/84e6/28299b345dcba34d328112424990cf1cabc2.pdf">integrated with the pension system to enhance the efficiency of savings</a>. Forced savings are not available in Hong Kong and Sydney for housing purposes. Since 2017 <a href="https://theconversation.com/budget-needs-a-sharper-policy-scalpel-to-help-first-home-buyers-76791">first home buyers in Australia have been able to draw on their voluntary superannuation contributions</a> for a deposit. <h2>Work-life balance matters</h2> Third, action on housing affordability needs to take employment and its location into account. Ultimately, the reason people find it hard to afford housing in certain locations is because they need to achieve a work-life balance. Both <a href="https://www.citymetric.com/transport/no-hong-kong-has-best-transport-system-world-mtr-trams-boats-4148">Hong Kong</a> and <a href="https://en.wikipedia.org/wiki/Transport_in_Singapore#Public_transport">Singapore</a> have developed extensive public transport systems. These offer affordable options for people to travel efficiently to and from work. In Hong Kong, the average daily commuting time by public transport is 73 minutes. Some 21% of the residents have to travel for more than two hours a day. In Singapore, average commuting time is 84 minutes, with 25% exceeding two hours. In Sydney, the average time is 82 minutes, but 31% take more than two hours. This means a significantly <a href="https://moovitapp.com/insights/en-gb/Moovit_Insights_Public_Transport_Index-1678">larger proportion of Sydney residents spend more time on public transport</a>. Among the <a href="http://theconversation.com/another-tale-of-two-cities-access-to-jobs-divides-sydney-along-the-latte-line-96907">worst-affected are white-collar workers from the city’s west and southwest</a>. <h2>Lessons from the 3 cities</h2> So, what we can learn from these cities’ experiences with housing affordability? Cities take very different approaches to these issues. Each approach has its own merits and issues. A key argument against public housing has been that it might give the tenants less incentive to save for housing. It might also not be popular with mainstream voters because of the cost to taxpayers. Singapore’s approach seems to be a midway solution. The government plays a bigger role in providing housing, but does not waive individual responsibilities. Providing public housing and at the same time demanding individuals and employers contribute can send a strong signal: people are encouraged to join the labour force. So far, Singapore faces the least housing affordability issues. Hong Kong and Sydney are much more liberal in their approaches to housing. In Sydney, only the poorest benefit from the public housing system. The younger generation is struggling to get on the housing ladder. In Hong Kong, people are forced to buy housing in the commercial market if their income is even just above the eligibility line for public housing. The severe unaffordability of private housing in Hong Kong, even for young professionals, brews social discontent. Combining these three perspectives, Sydney’s housing, savings and public transport systems are far from well synergised to offer a competitive package of affordable housing. The <a href="https://www.greater.sydney/metropolis-of-three-cities">30-minute city plan</a> prepared by the Greater Sydney Commission might improve the situation. However, similar to Hong Kong, current policies are weak in building the capacity of young people to own homes.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;" src="https://counter.theconversation.com/content/123443/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/youqing-fan-483837">Youqing Fan</a>, Lecturer, <a href="https://theconversation.com/institutions/western-sydney-university-1092">Western Sydney University</a>; <a href="https://theconversation.com/profiles/bingqin-li-425950">Bingqin Li</a>, Associate Professor and Director of Chinese Social Policy Program, <a href="https://theconversation.com/institutions/unsw-1414">UNSW</a>, and <a href="https://theconversation.com/profiles/chyi-lin-lee-368009">Chyi Lin Lee</a>, Associate Professor of Property, <a href="https://theconversation.com/institutions/unsw-1414">UNSW</a> This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/affordable-housing-lessons-from-sydney-hong-kong-and-singapore-3-keys-to-getting-the-policy-mix-right-123443">original article</a>. Image: Bill Roque/Shutterstock

Home Hints & Tips

Healthy humans drive the economy: we’re now witnessing one of the worst public policy failures in Australia’s history

Australians are getting a stark reminder about how value is actually created in an economy, and how supply chains truly work. Ask chief executives where value comes from and they will credit their own smart decisions that inflate shareholder wealth. Ask logistics experts how supply chains work and they will wax eloquent about ports, terminals and trucks. Politicians, meanwhile, highlight nebulous intangibles like “investor confidence” – enhanced, presumably, by their own steady hands on the tiller. The reality of value-added production and supply is much more human than all of this. It is people who are the driving force behind production, distribution and supply. Labour – human beings getting out of bed and going to work, using their brains and brawn to produce actual goods and services – is the only thing that adds value to the “free gifts” we harvest from nature. It’s the only thing that puts food on supermarket shelves, cares for sick people and teaches our children. Even the technology used to enhance workers’ productivity – or sometimes even replace them – is ultimately the culmination of other human beings doing their jobs. The glorious complexity of the whole economy boils down to human beings, using raw materials extracted and tools built by other human beings, working to produce goods and services. <h2>A narrow, distorted economic lens</h2> The economy doesn’t work if people can’t work. So the first economic priority during a pandemic must be to keep people healthy enough to keep working, producing, delivering and buying. That some political and business leaders have, from the outset of COVID-19, consistently downplayed the economic costs of mass illness, reflects a narrow, distorted economic lens. We’re now seeing the result – one of the worst public policy failures in Australia’s history. The Omicron variant is tearing through Australia’s workforce, from <a href="https://www.smh.com.au/national/nsw/nurses-are-in-despair-as-staffing-shortages-bite-in-nsw-hospitals-20220103-p59ljc.html?fbclid=IwAR3obDpqk7Muu2xpOA1H7MH2D2TuxPIzMQrL_NKk2QoKHA2LriWoRcmRO8o">health care</a> and <a href="https://www.smh.com.au/national/nsw/hundreds-of-nsw-childcare-centres-shut-due-to-covid-20220104-p59ls4.html">child care</a>, to <a href="https://www.edenmagnet.com.au/story/7575635/knock-on-effects-through-supply-chain-despite-eased-covid-rules-for-workers/">agriculture</a> and <a href="https://www.freshplaza.com/article/9388733/omicron-has-now-put-us-in-a-desperate-situation-in-regards-to-workers-shortage-and-shipping-issues/">manufacturing</a>, to <a href="https://www.abc.net.au/news/2022-01-06/supermarket-shortage-supply-chain-truck-driver-covid/100741392">transportation and logistics</a>, to <a href="https://www.smh.com.au/national/surf-lifesavers-and-students-fill-paramedic-shifts-as-omicron-spreads-20220108-p59mrq.html">emergency services</a>. The result is an unprecedented, and preventable, economic catastrophe. This catastrophe was visited upon us by leaders – NSW Premier Dom Perrotet and Prime Minister Scott Morrison in particular – on the grounds they were protecting the economy. Like a Mafia kingpin extorting money, this is the kind of “protection” that can kill you. <h2>Effect as bad as lockdowns</h2> On a typical day in normal times, between <a href="https://www.abs.gov.au/statistics/labour/employment-and-unemployment/labour-force-australia/nov-2021/EM2b.xlsx">3% and 4% of employed Australians</a> miss work due to their own illness. Multiple reports from NSW indicate up to half of workers are now absent due to COVID: because they contracted it, were exposed to it, or must care for someone (like children barred from child care) because of it. With infections still spreading, this will get worse in the days ahead. Staffing shortages have left hospitals in chaos, supermarket shelves empty, supply chains paralysed. ANZ Bank data, for example, shows <a href="https://twitter.com/ANZ_Research/status/1479284711151345666?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Etweet">economic activity in Sydney</a> has fallen to a level lower than the worst lockdowns. <hr /> Spending in Sydney and Melbourne now near lockdown conditions <a href="https://images.theconversation.com/files/440169/original/file-20220111-17-1jp9jpu.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img src="https://images.theconversation.com/files/440169/original/file-20220111-17-1jp9jpu.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" alt="ANZ Bank data shows spending in Sydney and Melbourne has fallen to levels typical of lockdown conditions." /></a> ANZ Research <hr /> If relaxing health restrictions in December (as Omicron was already spreading) was motivated by a desire to boost the economy, this is an own-goal for the history books. <h2>Relaxing isolation rules</h2> Now the response to Omicron ravaging labour supply is to relax isolation requirements for workers who have contracted, or been exposed to, COVID-19. The first step was to shift the goalposts on “test, trace, isolate and quarantine” arrangements by redefining “close contact”. On December 29 <a href="https://www.pm.gov.au/media/press-conference-kirribilli-nsw-10">the Prime Minister said</a> it was important to move to a new definition “that enables Australia to keep moving, for people to get on with their lives”. The next day National Cabinet <a href="https://www.pm.gov.au/media/national-cabinet-statement-12">approved a definition</a> such that only individuals having spent at least four hours indoors with a COVID-infected person needed to isolate. Australians certainly want supply chains to keep moving. That won’t happen by simply pretending someone with three hours and 59 minutes of face-to-face indoor contact with Omicron is safe. Putting asymptomatic but exposed and potentially infected people back to work will only accelerate the spread. The second step has been to reduce the isolation period for those who do pass this tougher “close contact” test. At its December 30 meeting National Cabinet agreed to a standard isolation period of seven days (ten days in South Australia), <a href="https://www1.racgp.org.au/newsgp/gp-opinion/so-you-have-been-asked-to-self-isolate-or-quaranti">down from 14 days</a>. For “critical workers” in essential services including food logistics, the NSW and Queensland governments <a href="https://www.news.com.au/finance/work/at-work/isolation-rules-relaxed-for-critical-workers-as-nsw-battles-supply-chain-issues/news-story/2b97ef133f6c3caff9dcd5bc548cc58b">have gone even further</a>, allowing employers to call them back to work so long as they are asymptomatic. <h2>Snatching defeat from the jaws of victory</h2> This follows a <a href="https://www.cdc.gov/media/releases/2021/s1227-isolation-quarantine-guidance.html">US precedent</a>, despite <a href="https://www.nejm.org/doi/pdf/10.1056/NEJMc2102507?articleTools=true">scientific evidence</a> indicating contagion commonly lasts longer than 5 days. Employers will use this change to pressure exposed and even sick workers to return to work, risking their own health, colleagues, customers, and inevitably spreading the virus further. Copying US COVID protocols only guarantees US-style infection rates. In fact, since 5 January, Australia’s seven-day rolling average infections per million <a href="https://ourworldindata.org/explorers/coronavirus-data-explorer?zoomToSelection=true&time=2021-03-30..latest&facet=none&pickerSort=desc&pickerMetric=total_cases_per_million&hideControls=true&Metric=Confirmed+cases&Interval=7-day+rolling+average&Relative+to+Population=true&Color+by+test+positivity=false&country=USA%7EAUS">now exceed that of the US</a>. <hr /> <a href="https://images.theconversation.com/files/440179/original/file-20220111-21-zzh3bj.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img src="https://images.theconversation.com/files/440179/original/file-20220111-21-zzh3bj.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" alt="Daily new confirmed COVID-19 cases per million people, Australia compared to United States." /></a> <a href="https://ourworldindata.org/explorers/coronavirus-data-explorer?zoomToSelection=true&time=2021-03-30..latest&facet=none&pickerSort=desc&pickerMetric=total_cases_per_million&hideControls=true&Metric=Confirmed+cases&Interval=7-day+rolling+average&Relative+to+Population=true&Color+by+test+positivity=false&country=USA~AUS" class="source">Our Wold in Data</a>, <a href="http://creativecommons.org/licenses/by/4.0/" class="license">CC BY</a> <hr /> From one of the best COVID responses in the world to one of the worst, Australia has snatched defeat from the jaws of victory. <h2>It’s not too late to limit the carnage</h2> The idea that health considerations <a href="https://www.theguardian.com/australia-news/2021/oct/07/its-an-economic-crisis-too-in-nsw-what-a-difference-a-new-premier-makes">had to be balanced with economic interests</a> was always a false dichotomy. A healthy economy requires healthy workers and healthy consumers. The Omicron surge has created an economic emergency that will be difficult to endure. But it’s not too late to limit further avoidable contagion. Infection prevention practices (including masks, capacity limits, prohibitions on group indoor activities, PPE and distancing in workplaces, and free and accessible rapid tests) must be restored and enforced. Income supports for workers who stay home must be restored. Staffing strategies need to emphasise steady, secure jobs, rather than outsourcing and gig arrangements which have facilitated contagion. Above all, our policy makers need to remember the economy is composed of human beings, and refocus their attention on keeping people healthy. Protecting people is the only thing that can protect the economy.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;" src="https://counter.theconversation.com/content/174606/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/jim-stanford-521684">Jim Stanford</a>, Economist and Director, Centre for Future Work, Australia Institute; Honorary Professor of Political Economy, <a href="https://theconversation.com/institutions/university-of-sydney-841">University of Sydney</a> This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/healthy-humans-drive-the-economy-were-now-witnessing-one-of-the-worst-public-policy-failures-in-australias-history-174606">original article</a>. Image: Shutterstock

Retirement Income

Mother receives $6 million bill nine years after accident

Mother-of-four Samantha Melville has been hit with a $6 million insurance bill nine years after a car crash that altered her life, with only 21 days to pay the bill. Berkshire Hathaway claimed Mrs Melville’s car was unroadworthy when it hit a tree in 2012 during a flash hail storm. “I got a letter from Berkshire Hathaway that said I need to pay $6.3 million in 21 days,” Mrs Melville told A Current Affair. On the night of June 29, 2012, the then 23-year-old was driving with a former friend to work when she lost control in a severe storm and crashed into a tree in country South Australia. “It was my brother’s car and it was registered,” she said. Mrs Melville and her passenger were both seriously injured. “I have a brain injury, I had a shattered pelvis, broke my back, the bottom bits of my spine, I’m deaf in my left ear,” she said. After she got out of the hospital, she received a $400 fine and was charged with driving without due care. “The vehicle was examined by MCIU mechanics and found to have both rear tyres below the acceptable standard of tread which, when combined with the prevalent weather conditions, contributed to the collision,” the police report said. After receiving a letter from Allianz Australia - who was the motor accident commission’s claims manager at the time - Mrs Melville called Allianz and said she was told “‘don’t worry about it because it’s all covered under motor accident commission’”. “They assured me that it was all done and there would be no further proceedings or anything,” Mrs Melville said. Nine years later, Mrs Melville received a letter from insurer Berkshire Hathaway, who had taken over the claim, saying: “We refer to our previous letter dated 10 February 2014, a copy of which is enclosed”. The company demanded $6,312,399.83, but Mrs Melville became suspicious after considering she had not received a phone call, and that the letter came without a signature or name. “So I rang police officers and done all of that and they all told me it was a scam and I reported it to Scamwatch and Berkshire Hathaway’s not very happy that I did that,” she said. “I’ve asked [Berkshire Hathaway] for all of the evidence of the car being unworthy and they’ve said they need to seek legal advice.” Among the fees included in the bill are $55,000 in surveillance, $9544 for Factual Investigations, and almost $1 million in legal fees for a court case she didn’t know was occurring. Lawyer Nick Xenophon has taken on her case for free. “Obviously there was a significant pay out for the other person who was injured, I understand that, what I don’t understand is why they are pursuing her because it was an accident. This is why you have compulsory third party insurance,” he said. “The risk here is if this case becomes a precedent it sends a chilling message to anyone who’s on the road who’s involved in an accident that they could be chased by the compulsory third party insurer for damages.” The US company, owned by Warren Buffet, only recently bought into Australia’s car insurance industry. Mrs Melville has been asked to pay by May 26, but she has no idea what will happen after that. Image credit: A Current Affair

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Mother receives $6 million bill nine years after accident