Unions say that the Coalition government’s internship scheme, announced in the federal budget, is “just about the worst idea ever.
Without safeguards, they say, it will simply be a job destruction, not a job creation, plan.
Under the PaTH scheme, employers would be paid $1,000 by the government (ie the taxpayer) to take on young job seekers.
The employer wouldn’t have to pay any wages and if the “interns” worked 25 hours in a week, they would be given $200 ($4 an hour) by the government on top of their Newstart allowance.
The minimum wage is currently $17.29 per hour, saving business a total of $432.25 for 25 hours work per week per employee.
So why take on an entry level employee when you can have access to a pool of free labour as part of a taxpayer funded young worker exploitation scheme?
“Subsiding long term unemployed to perform low skilled work in supermarkets is not a plan to create, real lasting jobs,” says ACTU Secretary Dave Oliver.
“The government should be investing in TAFE, higher education and apprenticeships - but these have all been cut.”