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One in eight Australians live below the poverty line, a recent report finds
Australia may be considered one of the wealthiest countries in the world, but findings from the Poverty in Australia 2022 report show that the level of poverty in the nation has become higher than ever.
Research by the University of New South Wales Sydney and the Australian Council of Social Services (ACOSS) found that one in eight adults and one in six children live in poverty in Australia.
Professor Carla Treloar, Director of the Social Policy Research Centre at UNSW Sydney, puts it in perspective: ‘There are 3.3 million people in Australia desperately struggling to pay the bills and put food on the table. There are 761,000 children who are denied a good start to life.’
People in poverty also fall behind as living costs put households under greater pressure.
The temporary income support when the pandemic began in 2020 eased the strain on poorer households in the country. However, it was abolished last year, continuing the steady increase of the poverty gap observed in the last two decades.
During the COVID-19 lockdowns, the Coronavirus Supplement and Economic Support Payment pulled 646,000 people, including 245,000 children, above the poverty line.
While the beginning of 2020 saw the poverty rate rise to 14.6 per cent, the support payments introduced during the second quarter of the year led to the drop of the rate to 12 per cent, which was a 17-year low. The child poverty rate decreased from 19 per cent in March 2020 to 13.7 per cent in June of the same year, which was a 20-year low. Treloar said: ‘That is a huge advance in an incredibly short period.’
However, the Coronavirus Supplement was stopped in April 2021. JobSeeker and related payments were increased by only $25 a week, a stark difference from the $275 a week supplied by the support payments.
Treloar said that the report proved that there is a clear way to reduce poverty in Australia.
Aussies on Reddit reacted to the poverty report.
A top comment said: ‘That is a completely f****d statistic in this country.’
Another made a sarcastic comment: ‘Mate, the stage three tax cuts are only worth $243b over ten years.’
A third chimed in: ‘Yep, at the cost of $300k a house, you could build 800,000 affordable homes with that money. But rich people are more important.’
Others could not believe the dire situation people in the country are in. One Redditor said: ‘$488 a week for a single adult? How are they surviving on that? That's just a hole dug for people seeking employment.’
Another user replied that it’s even worse: ‘It's less than that... $334.20 a week. Yes, rent assist will bump it up, but most people are in share housing, which you have to do, and they aren't entitled to much of it. It's based on a percentage of your rent. It's just enough to starve on.’ The commenter who lived the experience added: ‘I do not miss trying to live on that. I struggled without the responsibility of rent.’
A Redditor felt that the matter wasn’t being treated with enough urgency: ‘Do we have to wait until seven out of eight Australians are living in poverty before doing anything about it?’
Meanwhile, others shared their own experiences living in poverty.
One said: ‘I can't tell you how bizarre it feels to be significantly below the poverty line and work alongside (different industries but same project) people, mostly office workers who make 5x my salary while doing a fraction of the work. Their conversations are so otherworldly. Dropping ten grand on a weekend out or cosmetic surgery like it's nothing. It feels like I'm an NPC in a neo-feudalistic novel.’ NPC refers to non-playable characters, a term often used in video games for characters you cannot control.
Another stated it in clear terms: ‘I am living in poverty.’
Somebody else responded: ‘Same brother. Hang in there, we might come good someday, you know? At least that's what I keep telling myself over and over. I live in rural Queensland where the job options are few and far between, but on Centrelink I can't afford to live near/in a city to try and secure work there, nor would I be able to afford to move if I was offered a job elsewhere. It's all bad.’ They continued: ‘I know a few people at this same level It’s terrifying how many of us walk the line of being suicidal pretty much all the time.’
Socioeconomic disadvantage has long been associated with poor mental health. In an interview with SBS, public health leader Irene Verins said: ‘If you are lower on the social ladder, and if you are poorer, then you are more likely to experience poor health.’
It doesn’t help that accidents or unexpected events are a bigger burden to the poor, especially when there is already limited income to spend on necessities. Poor mental health also gets in the way of one’s ability to work, and then it becomes a cycle that is hard to escape.
The high cost of living is also considered a great risk factor for suicide. A survey by Suicide Prevention Australia found that 70 per cent of Australians find that the social and economic circumstances they face give them higher levels of distress compared to 12 months ago.
Meanwhile, the Australian Institute of Health and Welfare found that instances of suicide were highest in the most disadvantaged areas. The rate is double that of those living in the highest socioeconomic areas.
You can read the Poverty in Australia 2022 report here.
For the longest time, the Henderson Poverty Line was used to measure poverty levels in Australia. However, with the metric failing to account for societal changes in Australia during the past decades, there have been proposals to use alternative methods, as well as calls for an official measurement of poverty. Watch the short ABC clip that explains the idea below:
Members, if you are ever struggling, please don’t hesitate to reach out for help. We’ve included some resources below:
Lifeline provides 24-hour crisis counselling, support groups and suicide prevention services. Call 13 11 14, text on 0477 13 11 14 (12pm to midnight AEST) or chat online.
Suicide Call Back Service provides 24/7 support if you or someone you know is feeling suicidal. Call 1300 659 467.
If you or someone you know is in crisis and needs help now, call triple zero (000).
