Cashless welfare cards: controlling spending patterns to what end?

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Bielefeld, Shelley
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2017
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Abstract: Delivering social security payments by means of cashless welfare cards has had a protracted trial in Australia, with various income management schemes in operation, the latest of which is the Forrest Review inspired Cashless Debit Card (CDC) issued by Indue Ltd. These schemes have been controversial since the first compulsory income management program emerged as part of the Northern Territory Intervention, yet the trend of cashless welfare delivery is expanding, considerably increasing the overall cost of social security payments. A key government rationale for various forms of cashless welfare is that something must be done to address the risk that welfare recipients might use their income to support substance abuse and gambling. Numerous welfare recipients subject to income management report that it has created additional difficulties for them in meeting their needs. Despite this, advocates of cashless welfare are keen to declare income management a success, rationalising further expansion and possibly smoothing the path to increased privatisation of social security payments in the process. Unlike earlier income management schemes operating with a government issued BasicsCard, the CDC involves a commercial financial services provider making a hefty profit from delivering this costly program.

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Indigenous Law Bulletin

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8

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29

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© 2017 Indigenous Law Centre and the author(s). The attached file is reproduced here in accordance with the copyright policy of the publisher. For information about this journal please refer to the journal’s website or contact the author(s).

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Law and Society

Aboriginal and Torres Strait Islander Policy

Policy and Administration

Law

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