Tamworth’s unemployed youth, and retail sector, could soon be benefiting from the Federal Government’s new PaTH initiative - which is designed to break the welfare cycle - although the Labor Party and workers unions have slammed it as “slave labour”.
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The Government, in conjunction with the Australian Retailers Association, has come up with 10,000 internships for 15-24 year olds who have been unemployed for more than six months, effectively offering paid training, experience, and a foot in the employment door, while retailers taking on the interns will also benefit from financial incentives.
Local retail chains including Battery World, Bakers Delight, Bright Eyes and Coffee Club have already signed up to the program, which was announced this week and includes an education course as well as the 12 week internship.
While the interns could receive as little as $4 an hour, they will still receive their entire fortnightly Centrelink benefit of $535.60 on top.
Employment Minister Michaelia Cash said “the best form of welfare was a job.”
“Young people want to work, they want opportunities and PaTH helps them to achieve that. This program is great for the self-esteem of young Australians, it builds confidence and ultimately there are benefits for the Australian economy,” Senator Cash said.
Meanwhile the Labor Party and workers unions have slammed the program as “slave labour”, saying that it will lead to a “churn culture” that will have negative impacts on part-time and casual workers as businesses instead opt for a “revolving door” of cheaper interns, rather than paying full wages.
Tamworth Business Chamber president Jye Segboer can see both sides of the argument, although believes that there are still more positives than negatives.
“Whilst there are arguments for and against the program, calling it slave labour, internships are nothing new. They are a great way to break the unemployment cycle and help employers look at under-skilled employees,” Mr Segboer said.
“These days it is harder for younger people to work during school years, with both parents often forced to work because of increased living expenses. This often means parents are not able to transport their child to and from work. Many young people are leaving school with no exposure to the workforce at all - hopefully this program will help resolve some of these issues.”