Spotlight on Economic Inequality: Fight Poverty Not the Poor

Poverty is a factor in every area of public policy in which the Don Dunstan Foundation is seeking to make a difference. Emily Haines explores its impact. 

The facts on economic inequality and poverty within Australia are sobering.

One in eight adults lives in poverty. And one in six children.

This points to large and persistent gaps in the distribution of income and wealth across Australia.

An ACOSS report on economic inequality released last year showed that the highest 10% of households ranked by income earned over two-and-a-half times the income of the middle 20%, and seven times that of the lowest 20%.

And the cost-of-living is only becoming more unaffordable for those on a low income, especially in South Australia.

A summary from SACOSS in June showed that increases in the cost of food, health, and housing across Adelaide were significantly higher than national increases.

But these are not just statistics – these are real people with real stories and real struggles. Some of these stories and struggles are highlighted in this report from The Wyatt Trust earlier this year.

This retells a story we already know – that poverty is a form of cumulative deprivation. People experiencing poverty often experience inequalities across many areas including income, housing, education, and health.

The Don Dunstan Foundation is particularly concerned by the overlap of economic inequality with climate change, housing, and Aboriginal empowerment – three of our key focus areas.

Those experiencing poverty are often more vulnerable to the impacts of climate change and poor housing conditions. A staggering 38% of Australians face heightened risk of exposure to extreme heat due to socioeconomic vulnerability.

Among the most disadvantaged are Aboriginal and Torres Strait Islander peoples.

POVERTY AND POOR HEALTH

The circumstances in which we grow, live, work, play and age can strengthen or undermine our health.

For people living in poor circumstances affected by poverty, they also face the struggle of poor health.

A report from the Australian Institute of Health and Welfare points out that social determinants like income, employment, housing, and education account for 30-55% of Australians’ health outcomes.

The increase in injuries, hospitalisations, and deaths due to extreme heat and poor housing conditions is an unsettling health impact of climate change. A recent survey by ACOSS found that 14% of Australians had sought medical attention for heat stress.

This link between poverty and health hits some groups harder than others.

A health gap exists between First Nations and non-Indigenous Australians – only 29% of First Nations Australians are considered to have ‘good health’ compared to 51% of non-Indigenous Australians.

FIGHT POVERTY NOT THE POOR

Past governments and the media have often labelled poverty as ‘welfare dependency’ and focused on individual responsibility by using slogans like ‘the best form of welfare is a job’.

The reality is that this framing only serves to stigmatise and isolate people experiencing poverty.

Instead of attributing inequality to individual behaviour and failures, we need to address the economic and social structures which reinforce and legitimise the inequality in the first place.

As the saying goes, fight poverty not the poor.

The economic and social structures which drive poverty are not a mystery – Australia’s inadequate income support systems, lack of employment options, and increased cost of living are key causes identified by ACOSS.

In a SACOSS report from last year, they pointed out that the struggle to meet rising living costs in South Australia is because of the inadequacy of income payments not because of rising prices.

The real issue is poverty not prices.

Read this paper for some more insight on how past governments have framed poverty and policy solutions.

PUTTING POVERTY ON THE PUBLIC POLICY AGENDA

So how can we help to elevate an anti-poverty agenda?

ACOSS,  Anti-Poverty Week and the state’s Anti-Poverty Network continue to put poverty on the public policy agenda by monitoring trends in poverty and inequality over time, and proposing solutions for policy reform.

These solutions are multifaceted.

The Raise the Rate Initiative by ACOSS brings together a community of people with lived experience to advocate for every Australian to have enough money to cover the basics.

Yet raising the rate for income support services is only one approach – we also need to address other inequalities intertwined with poverty.

ACOSS calls for action on climate change, better quality health and community services, and more affordable housing.

One way we can ensure poverty remains on the policy agenda is to establish an anti-poverty strategy – something that we do not have at the state nor national level.

The End Child Poverty Campaign calls for legislation to measure, report, and end child poverty by 2030.

As a community, supporting an anti-poverty agenda is crucial.

The agenda is clear, we just need to do our part to back it.

Emily Haines is a PhD student at Flinders University. She has written this article as part of an internship at the Don Dunstan Foundation.

Read more of our spotlight series here.

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