opinion

"Yes, welfare debit cards can break the cycle of abuse."

When you’re trapped in a cycle, sometimes intervention is the only strategy that can genuinely stand a chance of breaking the chain.

When you’re stuck on an unhealthy course, a fresh perspective to steer you in a more beneficial direction can save you.

Cashless debit welfare cards are the perfect example. Rather than the usual system of welfare payments from the government going into bank accounts, cashless debit cards have “cash” on them but are locked from use in liquor stores and gambling venues, and also prevent cash withdrawals.

Having confirmed success in two existing trial sites in South Australia and Western Australia, the Federal government has confirmed a third and fourth trial site.

The announcement comes as ORIMA Research figures from the first two trials, which began last April and May, are being showered with praise. Trials in Ceduna, South Australia and East Kimberley in WA, both showed dramatic reductions in alcohol consumption. The majority of participants have identified as Indigenous Australians, whereas the upcoming trial areas will not be mainly indigenous – Kalgoorlie is next.

There was growing concern that alcohol abuse and related violence had reached a “crisis” point.

These figures are incredibly encouraging. Why? Because they show that welfare cards genuinely can make a difference. They do impact people’s lives in a positive way and truly improve quality of life.

The trial stats show:

  • 41 per cent of people who drink alcohol said they drank less frequently.
  • 37 per cent of binge drinkers said they were doing so less often.
  • A decrease in alcohol-related presentations to hospital and alcohol-related family violence.
  • In East Kimberley, there was a 15 per cent reduction in alcohol-related pick-ups by community patrol services in Kununurra.
  • There was a reduction in referrals to the sobering up shelter in that area of 8 per cent.
  • A total of 48 per cent of gamblers said they gambled less and there is also a suggestion that use of illegal drugs has declined.
  • There was a decrease in the number of women drinking through pregnancy.
  • Parents and carers reported spending more time on their children’s schooling and homework.
  • Some reported saving money.

Prime Minister Malcolm Turnbull described the move as “an exercise in practical love.” Nationals leader, Barnaby Joyce said, “We are having great success in reducing alcoholism and also the things associated with it such as family violence, women getting beaten up.”

OK, his choice of words may be rather crass, but let’s keep our focus on the bigger point, it’s so immensely important.
Statistics repeatedly underline that violence thrives in boozy environments. With the introduction of welfare cards, we’ve finally found a realistic solution – a genuine tool to provide effective outcomes.

The Australian reports Ceduna Mayor Allan Suter said, “The improvement we are most proud of is in the lives of families… it has been really quite amazing. Kids have been missing out on food because parents were pouring [money] down the throats of pokies… it’s the most dramatic improvement I’ve seen. I’ve been involved for 14 years through council in trying a series of initiatives… this is certainly the most significant change for the better I’ve seen… I certainly hope the naysayers don’t get their way.”

It’s hard to imagine that in light of such glowing evidence and feedback from the local community that naysayers exist. They do. Some have described the introduction of welfare cards as “shameful”. Surely the scheme makes more sense than drug testing and denying welfare further down the track?

The Greens stand to oppose them and Labor has yet to confirm support for the card. This may block the move in the Senate to broaden these trials to other communities. Shorten says, “Let’s also recognize, unless the community wants to do this cashless welfare card, it won’t work.”

He speaks no sense.

To show compassion to communities who are struggling, why on earth wouldn’t we try a new approach? This system has been shown to be hugely successful. Why oppose something purely for the sake of being obstructive? Why pretend we should all jump up and down to protect people’s right to live in unimaginable horror rather than improving their communities?

This is about the rights of children to have food on the table, to have stable and safer environments. Those rights outweigh everything else – certainly any pretend right to spend money from the State as alarmingly as you please.

This is such a shimmering ray of hope shining on the possibility of breaking a heartbreaking cycle of destruction.

Welfare assistance isn’t a matter of lining people’s pockets so they can destroy themselves, neglect and damage their families. Welfare should be provided to improve wellbeing.

Does this fix the problem of drug addiction across the whole country? No, of course it doesn’t. The cards have been trialed so far in specific, remote struggling communities. They have helped. Frankly, anyone objecting is standing in the way of genuine progress.

Do you support the government continuing this trial?

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Top Comments

Helen 7 years ago

I can only assume that people actually haven't bothered to look into this and are making claims and assuming things because they have read them on social media sites. I have personally looked into it, I have also called their hotline 1800 252 604.

1) whoever keeps saying that you can't pay rent to private rentals - what a crock! Yes you can pay your rent as long as you supply your rental agreement which is standard procedure to gain rental assistance. If you live in a hotel or lodge that supplies alcohol ie a pub no you can't.

2) if you have direct debit to pay bills you can cancel them and pay them online using the card.

3) you can use the card anywhere (online included) that has eftpos or visa debit facilities as long as they don't sell alcohol or are a gambling facility (no lotto land)

4) card can be used for online shopping, you can buy clothes travel etc

5) 20% of your payment will be placed into your usual bank account to use as cash

People also need to remember that this is literally a trial and there will be a whole lot of red tape that would need to be cut through in order for it to go nation wide which I doubtful it will ever happen. They are a lot of social elements that need to be factored in to even warrant the cashless debit card to be issued in the first place.

Not here to have a giant argument with anyone just think everyone needs to look into it properly before making assumptions!

Feast 7 years ago

Going by the number of first time posters here that seem very passionate about the subject I don't like your chances of them listenting.
Almost as if they are targetting the article...

Helen 7 years ago

I completely agree with you. The worst part about all of this is the arguments it is causing in my life. I personally don't see it as a bad thing. I rarely have cash on me at all and I am currently on wealfare due to some unforeseen circumstances. The fact that people keep trying to push the we can't pay our bills bs is just frustrating. I feel for Mia Freeman coping all this backlash. People just need a reason to be angry these days and just want to blame everyone else for their misfortunes. The whole reason the government is trailing this is to try and curb the alcoholism & drug dependency in communities where there are issues. In a way they are forcing some to take actual responsibilities in their lives.

Feast 7 years ago

I'm gald you made the time to post with some actual researched facts and a first hand point of view.

Caroline Alexander 7 years ago

Unfortunately people in shared housing or have land agents who insist on deposits via a deposit book into a bank account are going to have problems, same as splitting bills in shared accommodation is going to be complicated. There is only a certain amount one can do on Centrepay. its going to cut down on shopping anywhere that does not take eftpos, and what it will do to the kids is downright cruel, because the schools will be aware who the povo kids are. Also checkout chicks treat people on those cards like lepers and the cards themselves as if they are toxic. Its insulting and demeaning if you are an intelligent person who is forced to rearrange your finances to suit Indue and the government. More to the point, most of us have organised our finances to stretch the money as far as possible and this will no longer be an option. Local bakers, butchers, green grocers and op shops do not always take eftpos because of the bank charges to them, so it will cut out fresh food options. An important pat of life, interests and hobbies, will also go, because most social and community groups do not have eftpos, and the treasurers would not know how to operate a machine, yet these groups are an essential part of our society and important for our mental health and wellbeing. Most people do not do drugs, and most people are intelligent and know how to manage their money, so why should they be penalised like this? Can you explain to me why I, who do not drink, smoke, do drugs or gamble, and have legal and accounting training, should be treated like I am illiterate because someone down the road does speed?


Caroline Alexander 7 years ago

You didn't quote the 400% increase in house break-ins in Ceduna, or the increase in other crimes as appeared on the SAPOL website as desperate people try to feed their habits, or the predatory tactics of a rabbit lender who happily gave out loans to people who cannot repay them, or what happens to people who do not smoke, drink, do drugs, gamble, etc. who have direct debits, phone accounts to pay, mortgages with a redraw facility that they have to PAY to renegociate as they are no longer allowed them, or the fact that when Ceduna lost power for 5 days nobody could use their cards because the only internet connection was the pub, and they were not allowed to withdraw cash from there to buy food from the supermarket. People could not access the emergency payments given out by the SA government because those payments were put on the card, so they had to rely on charity. Working around the card is simple: women and children work as prostitutes to get cash as has happened in the Kimberley, and the card actually has a face value for those who trade on the black market. Drug dealers don't care how they get paid, and desperate people will steal, mug, and shop-lift to get their fixes.
Why is it that decent ordinary law-abiding people who manage their finances should be inconvenienced, branded as no-hopers, and find their lives turned up-side-down because the government would prefer to spend a fortune on something that is not working, than admit its a failure? Plus have you considered the effect on the local community when its rolled out in an urban area? The local stores that cannot be accepted as retailers will lose business, it will kill off community groups, and farmer's markets, and the 1001 things we use small amounts of cash for every day. School raffles will be a thing of the past. Or do we have to wait until your kids are put on it when they leave school and get treated as povos by the check-out chicks at the local supermarket? Or you have a baby and have to have the card to get your family tax benefits? Its unfair, unjust, and doesn't work. Please do your research first instead of toeing the politically correct line. You cannot force people with addiction problems to go straight, you have to get them on-side first then follow up with treatment that is known to work. And it definitely does not work when you brand a whole community for the sins of a few.

Feast 7 years ago

I'm curious, how did other people get the money out with no power or internet? Speaking for myself I don't think the $2-$3 in the console of my car would last long.

Caroline Alexander 7 years ago

there was 1 only ATM machine working in Ceduna, BUT . . . . it was in the pub so people could get money out as long as they were not on the card. People on the Welfare card went without because it was not an approved business because it sold alcohol. To add insult to injury, when the emergency payments came through to compensate, they were also put on the card!

Feast 7 years ago

So the pub was the only business in town wtih EFTPOS?