FECCA Response to Discussion Paper on the Future of Employment Services in Australia

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1 Employment Services Review Department of Education, Employment and Workplace Relations GPO Box 9879 Loc: 10M62 Canberra ACT 2601 Via June 18, 2008 RE: FECCA Response to Discussion Paper on the Future of Employment Services in Australia The Federation of Ethnic Communities Councils of Australia (FECCA) welcomes this opportunity to contribute to the discussion on the changes to the Job Network framework. FECCA is the peak body representing Australians from culturally and linguistically diverse (CALD) backgrounds. Our role is to advocate, lobby and promote issues on behalf of our constituency to government, business and the broader community. FECCA has drawn on recent consultations with CALD community members and service providers across Australia in addition to receiving input from its members for the submission. FECCA also acknowledges the submissions by the Refugee Council of Australia (RCOA) and Adult Migrant Educational Services (AMES) responding to the February 2008 review of employment services. We share the concern that issues pertaining to employment services to refugee communities raised by RCOA have not been included in this discussion. Please find our comments attached. We would welcome the opportunity to discuss or clarify any of the issues raised in this submission. Please do not hesitate to contact me on or the FECCA Director, Leonie-Ruth Acland, on (02) should you wish to do so. Yours Sincerely Voula Messimeri, FECCA Chair

2 Contextual Background In determining the future of Commonwealth funded employment services in Australia the following should be considered and effectively addressed. Right to Employment: Article 6, Part 3 International Covenant on Economic, Social and Cultural Rights states: 1. The States Parties to the present Covenant recognize the right to work, which includes the right of everyone to the opportunity to gain his living by work which he freely chooses or accepts, and will take appropriate steps to safeguard this right. 2. The steps to be taken by a State Party to the present Covenant to achieve the full realization of this right shall include technical and vocational guidance and training programmes, policies and techniques to achieve steady economic, social and cultural development and full and productive employment under conditions safeguarding fundamental political and economic freedoms to the individual. Article 9 states: The States Parties to the present Covenant recognize the right of everyone to social security, including social insurance. Australia clearly has not adequately or effectively met the requirements of articles 6 and 9 with regard to its ethnic and indigenous minorities. Governments of both persuasions for more than 15 years have been increasingly using migration, both permanent and temporary, to address the unprecedented skills shortages, whilst at the same time not adequately/ effectively addressing the barriers to employment that migrants and refugees face in Australia. Instead of the government addressing these barriers, it continues to make it harder by imposing a 2 year waiting period for Centrelink payments, which in effect denies some migrants full access to the range of services provided by Job Network Agencies (JNMs). More recently the citizenship eligibility was increased to four years, which in turn denies them permanent employment within the commonwealth public service over that period. FECCA holds the view that Australia has not adequately met some sections (especially for 457 visa holders) of Article 7 of International Covenant on Economic, Social and Cultural Rights which inter alia states The States Parties to the present Covenant recognize the right of everyone to the enjoyment of just and favourable conditions of work which ensure, in particular; Remuneration which provides all workers, as a minimum, with: 2

3 o Fair wages and equal remuneration for work of equal value without distinction of any kind, in particular women being guaranteed conditions of work not inferior to those enjoyed by men, with equal pay for equal work; and Safe and healthy working conditions; o Equal opportunity for everyone to be promoted in his employment to an appropriate higher level, subject to no considerations other than those of seniority and competence; The unemployment rate in Australia is currently at its lowest level for decades and yet underemployment is rife across many ethnic minority groups and unemployment rates are disproportionately high within some. That is hardly surprising as CaLD-specialist employment providers are not adequately/not represented within many Job Network agencies. The one size fits all approach has proven to be inflexible and incapable of meeting the needs of CaLD and other disadvantaged job-seekers. Social Inclusion: The Social Inclusion policy objectives of multiculturalism as a public policy have been undermined in the case of ethnic minorities by the ever increasing emphasis on mainstreaming which has led to the disappearance of CaLD/NESB as target groups within virtually all commonwealth funding programs during the Howard era. The Social Inclusion policy objectives have also been eroded by the recruitment policies of many JNMs which require job applicants to adhere to a particular faith/belief which in a secular democratic society such as Australia is unconscionable when such services are being funded through the public purse. Homelessness and mental health, play an important part in ones capacity to obtain and retain employment have not been adequately, let alone effectively, addressed in the case of ethnic minorities and joined up solutions remain rhetoric and far from reality as far as CaLD Australians are concerned. Responses to the discussion points More specifically our responses to the discussion points in the Employment Services Review Discussion paper are as follows: Discussion point 1 Intensive Activity should include inter alia participation in: Government funded employability enhancement training programs Mental health and or other rehabilitation programs Language related activities such as Adult Migrant English Program (AMEP), Language, Literacy and Numeracy Program (LLNP), vocational English skills. Transitional programs - from training to pre-employment training to job search, to work experience, to transitional programs, to post-placement support. 3

4 Balancing assistance and funds management should inter alia include: Funding a larger number of community-based non-profit organisations where profit motive does not drive the business. Ensuring Agencies don t get funded for the efforts of the applicants and others i.e. currently when an applicant gets a job which their Job Network agency is not even aware of strangely; it s the latter that gets the full outcome payment. In such cases that agency should only receive partial payment of no more than 20% of the outcome fee. Addressing the absence of CaLD Specialist employment providers. i.e. they are not adequately/not represented within many Job Network agencies whose one size fits all approach has proven to be inflexible and incapable of meeting the needs of CaLD and other disadvantaged jobseekers and this should be addressed as a matter of urgency. Discussion point 2 More frequent contact is desirable but only if it is demonstrably meaningful e.g. having to miss their English classes or state based employment/training initiatives just to attend meetings with Employment service providers is not justified. Some refugees do not want to avail themselves of the 13 weeks exemption period and this should be respected but those who wish to access this exemption period should not be coerced in any way to engage with Employment service providers. In the longer term such coercion will prove to be counter productive. Discussion point 3: Ensure there are CaLD Specialist employment providers especially in areas of high CaLD job seekers. Enhance work experience opportunities for newly arrived migrants and refugees. Discussion point 4: Need to ensure a flexible approach i.e. access to EPF should be more flexible. A Drivers licence is critical for obtaining employment and for new arrivals the EPF should be accessible for this purpose. Use of interpreters should be covered by EPF. A principle-based approach is preferable with detailed case-by-case justification for larger purchases. Discussion point 5: The legitimate interests of a job seeker should always take precedence over the profit margin of the service provider which is referred to as certainty for providers, for after all we live in a democracy. Customer choice should not be compromised and market forces and performance will then determine where the work goes. Such choice cannot be exercised meaningfully when CaLD jobseekers are not getting the support they require as CaLD Specialist employment providers are not adequately/not represented within many Job Network agencies. 4

5 Discussion point 6: Many refugees and migrants find employment through their own network or through CaLD Specialist employment providers who are not JNMs. Yet, JNMs claim the full fees. This has to cease forthwith. Fees should not be linked to period of time but level of disadvantage to avoid parking and the highest fees should be for those with the highest needs. Periods spent in AMEP/LLNP programs should be added on to length of time the customer can stay in streams 2-4. Discussion point 7: The activity test requirements should therefore be made more flexible and responsive to job seekers. Those engaging in AMEP, LLNP and other part time study shouldn t be forced to abandon training to take a job by JNM. This must be covered by fee incentive. The current referral for JCAs comes far too early, sometimes within 2 days of their arrival in Australia. Refugees are in the process of adjusting to many settlement issues, such as learning English, obtaining long term accommodation and addressing health issues and schooling for their children etc. This has to be addressed as a matter of urgency. If customer wants access and assistance from JMN during an exemption period (e.g. 13 week exemption for newly arrived refugees) the JNMs should be reimbursed if they help find the customer employment. Assistance should be provided to look at pathways where skills can be utilised in related fields where recognition of overseas qualifications is an issue. Discussion point 8: Enhancing access to affordable child care facilities which are culturally and linguistically appropriate. Options should be available for training, part time employment and volunteering. Adoption of a holistic approach which looks at balancing family/work roles and ensures issues such as child care and training are addressed, and transitional models to work considered. Opportunities for self-employment such as becoming a Family day care provider should be explored. Volunteering should be incorporated into an employment/skills pathway. Often parents have been at home for many years, lack skills and confidence whereas volunteering can only improve their employment prospect. Discussion point 9: CDEP provides a specialist service which mainstream service providers are incapable and in many instance unwilling to provide. Mainstreaming CDEP undermines the principle of self determination and indeed the Aboriginal Reconciliation agenda of the government. What s required is to encourage collaboration between specialist CaLD employment service providers and CDEP providers for both share a commitment to and expertise in the provision of services which are culturally and linguistically appropriate. 5

6 Discussion point 11: Outcomes should be defined in quality, long term placements, not simply numbers Case and Place should affect outcomes JNMs should not be unduly punished for accepting a hard caseload in a difficult location Random customer surveys should be conducted and funds provided to ensure non-english speaking customers are not excluded from surveys. Level of dissatisfaction with JNMs is much higher for customers from non- English speaking background and especially refugees. Discussion point 17 and Conclusions: We have no comments about what DEEWR can and should do to assist providers in delivering a quality service for the remainder of this contract period. But for the next contract period, it certainly needs to address at least the following: Human Rights with regard to Employment: Australia s obligations as per the International Covenant on Economic, Social and Cultural Rights should be more effectively addressed. National Employment Participation Strategy: Given the disproportionate high rates of unemployment that some communities experience, the very substantial underemployment that most of them face and the substantial increase in the already high levels of permanent and temporary migration which the government has signalled for , there is an urgent need to develop a national employment participation strategy for migrants and refugees. Its is patently obvious that Job Network agencies with very few exceptions have not been able to address the barriers that migrants and refugees experience and the inflexible one-size fits all approach has to be substituted by ensuring the next round of funding incorporates CaLD employment specialist providers. This strategy should also address other important issues such as the nonrecognition of overseas qualifications, racial discrimination and lack of full access to commonwealth funded employment services during the 2- year waiting period, which is incredulous to say the least given the skills shortages and the increased immigrant intakes being considered. Income Security: o Given the significant positive impact (billions of dollars) that immigration, both permanent and temporary, is making to the commonwealth budget, the waiting period for Centrelink employment related payments should be abolished or at least wound back to six months. o Refugees entering Australia via NZ are not entitled to Centrelink payments which are extended by the Australian government to Refugees and humanitarian entrants who enter Australia directly. These people remain in social security limbo until they qualify for permanent migration, which many never will. 6

7 Relevant sections of the Social Security (Administration) Act 1999 can be amended or the Australia-NZ Social Security Agreement can and should be used as a matter of urgency to address this situation as the community sector s resources are being stretched. o JET Child Care Fee Assistance (JETCCFA) was increased to two years by the Rudd government. As much as this is a welcome move, we feel that many women will be forced to drop out of university after 2 years, still untrained since a normal degree takes 3-4 years to complete. This would be of concern not just to women in the wider community CaLD backgrounds and more so those of new and emerging communities too who have. Social Inclusion: A whole of government approach has to be adopted for Social Inclusion to be meaningfully achieved and this should include bench marking and reporting/auditing with respect to people of CaLD backgrounds. The Council for Multicultural Australia which was abolished by the Howard government should be replaced by another body as a matter of urgency to ensure the government s Social Inclusion Agenda is meaningfully achieved for CaLD Australians. Access to English Classes The 510 hours of cost free classes provided to refugee and IHSS entrants are not adequate and in many cases they are not even getting that because when they miss classes due to other appointments for things like tenancy training, Centrelink interviews, job capacity assessments etc their absences are counted as hours attended by AMEP providers. With an increasing number of new entrants being employed within days/weeks of their arrival they don t complete their 510 hrs. So unless work based English programs are provided the post war migration experience will be repeated. I.e. after several decades the current refugee/shp entrants may still not be able to communicate in English. Job Capacity Assessments: There is an urgent need for the Governmental to clarify its priorities regarding new arrivals as they are currently unclear i.e. is it to learn English, get a job or meet mutual obligations? The usefulness and timing of Job Capacity Assessments for most refugees and IHSS entrants is questionable. Conducting a JCA within days of their arrival is completely inappropriate given that many of them have little or no proficiency in English and don t have a driver s licences or knowledge about using public transport which is not always available. Unless this issues are clarified and acted upon accordingly it may have long term adverse impact on refugees. 7

8 Impact of extending the period to qualify for citizenship and the Test The requirement that people be resident for four years and the new test regime delay people s opportunity to become eligible for government jobs, including jobs where the government wants to employ people from new and emerging communities. The test rather than being inclusive will marginalise the most vulnerable in the community. Mismatch between Scholastic Ability and Age Education policy across Australia is such that age and not one s scholastic ability determines the class in which one is enrolled. In the case of refugees and SHP entrants this results in a total mismatch as many of them have missed many years of schooling and in some cases are not literate in their own languages let alone English. This should be acknowledged and alternative pathways offered for training/apprenticeships. Ethnicity data collection The collection of ethno-linguistic data and data with regard to English language proficiency of clients and use of interpreters/by employment service providers are woefully inadequate and hence the planning and delivery of employment services and the monitoring of the same for adequacy and effectiveness are seriously compromised. The collection of such data should be standardised and made mandatory. Meaningful training Programmes such as Work for the dole should be abolished as they lead to exploitation of dole recipients as cheap labour i.e. they are in fact performing work but being remunerated by the dole which is far less than the monetary value of the work they perform. This is unacceptable exploitation of their labour. Homelessness and mental health, Homelessness and mental health both play an important part in ones capacity to obtain and retain employment but the neither has been adequately, let alone effectively, addressed in the case of ethnic minorities. Joined up solutions remain rhetoric and far from reality as far as CaLD Australians are concerned. We recommend trialling a programme that provides incentives to employers to engage those suffering from Mental Health conditions on the basis of hiring two or more people to do the work of one. In other words if one of the employees is not able to work then the other can be called upon to do so. The Which Way Home-A new approach to homelessness paper devoted just 11 lines to the situation of people from CaLD backgrounds. Historically this group (overall) has had higher home ownership rates than the Australian born. However this masks the real situation for some groups especially those that have large number of refugee and SHP entrants. The vast majority of them and not just those on a temporary protection visa (as identified by this report) should be treated as at risk of homelessness. Ethno specific and multicultural housing service providers should be an integral part of all Community and public housing strategies and programs. 8

9 Consultative Mechanisms for FaHCSIA and DEEWR: FaHCSIA and DEEWR should emulate Centrelink s example of establishing a national multicultural reference group which has proven to be a valuable cost effective consultative/advisory mechanism for many years. 9

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