Politics and Practicalities of Basic Income in Australia and Canada

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Presentation transcript:

Politics and Practicalities of Basic Income in Australia and Canada Sid Frankel, University of Manitoba Jim Mulvale, University of Manitoba Jennifer Mays, Queensland University of Technology

Political context in Australia Modern liberal welfare state: residualist, non-contributory and needs-based entitlement. Provision is via taxation revenue Endurance of neo-liberal policies – erosion of collective benefits and sense of entitlement Australia’s poverty rate has markedly risen above the OECD average (11.3%) with 14.4 per cent of Australians living in (relative) poverty (ACOSS 38; Alvaredo et al. 5) 2.99 million people (13.3% of the total Australian population of 24 million) experiencing significant poverty and extreme financial hardship (Bowman et al. 2017) Approximately 57.3% people who live in poverty, also rely on a pension or allowance as the predominant source of income Income support system of benefits paid by governments are inadequate (payment rate is under the poverty line) (Whiteford, 2011) Increased working poor due to erosion of wages over time (Bowman et al. 2017)

Political context in Australia Yet, Australia’s overall welfare expenditure remains persistently well below the OECD average Results in higher levels of economic insecurity, precarity and increased income inequality over time associated with labour market restructuring, rise of automation in conjunction with decline in full-time jobs as a proportion of the labour market, increase in casual employment, and rise in long-term unemployment (Whiteford 55) System of income support targeting and greater conditionality in Australia is exacerbating income inequalities and economic insecurity Crisis tendencies: reliance on free-market solutions led to shrinking public service and welfare sector; funding directed to private sector (consultancies, outsourcing – Centrelink call centres, health and education) Reinvigorated calls for a basic income proposal in Australia given the crisis tendencies

Political Landscape is Shifting While the current liberal national government is seeking to embed free-market and austerity solutions In contrast the Australian public perception of neoliberal policies is changing Targeted approaches seen as ‘archaic’ Levels of insecure employment; low, stagnating and declining wages and greater economic insecurity Higher levels of poverty and inequality-people are doing it tough People on Newstart (unemployment) Allowance are left with $17 for the fortnight once bills are paid Public would rather pay higher taxes for quality essential public services, but corporations and high income earners have to pay their fair share (Hetherington, 2016) People want a basic income

Acts of resistance and proposing alternative solutions can bring about change Rethinking traditional welfare responses to poverty and economic security in Australia and internationally Role of basic income in improving welfare state conditions for effective social work practice through promoting autonomy and cultural justice

Politics in Canada – Building Political Support for BI Mobilizing Key Constituencies: social policy advocacy organizations Caledon Institute Canadian Centre for Policy Alternatives Campaign 2000 Canadian Association for Social Workers LEAP Manifesto pivotal role of BICN and its provincial and local affiliates since 2008

Politics in Canada – Building Political Support (cont’d) Indigenous voices and UBI Legitimate wariness among some Indigenous leaders about welfare as an instrument of colonialism and oppression Ovide Mercredi’s address to the 2011 NABIG Congress in New York Annuity payments in Numbered treaties as a potential building block Dividend payments under modern land claims agreements e.g. Inuvialuit Regional Corporation

Politics in Canada – Building Political Support (cont’d) Mobilizing Key Constituencies (cont’d): Support from the labour movement in an age of precarious employment? Interest in UBI in the Information Technology sector The environmental movement and basic income

Political Parties and Support for BI Federal level: Liberal Party of Canada New Democratic Party Green Party of Canada Provincial level: Ontario (Liberal) British Columbia (NDP with Green support) Debate and recent developments in Québec