Closing Panel: Can inclusive growth address inequality? Mike Callaghan AM - Director, G20 Studies Centre, Lowy Institute for International Policy Fred Chaney AO - Senior Australian of the Year Peter Martin - Economics Editor, The Age Kirstie Parker - Co-chair, National Congress of Australia’s First Peoples Dr Helen Szoke - CEO, Oxfam Australia Chair: Paul Barclay - Presenter and Producer, Big Ideas, ABC Radio National ACOSS National Conference 2014

+ In , Australia’s median wealth was $434,000 – the highest in the world. + In , the wealthiest 20% held more than 60% of total wealth, the top two quintiles combined held 81% of the wealth. The lowest three quintiles held 18% of total net wealth.

“With respect to income, to be included in the more than 90,000 households in the top 1 per cent requires having a minimum income of $210,000. The top 1 per cent earned 9 per cent of total household income in , and the top 10 per cent received 31 per cent of all income.” Atkinson and Leigh 2007, updated by Leigh

+ In the past three decades, the wealthiest 1% captured 20% of pre-tax income growth in Australia. This explains why the majority of the population can’t reconcile national growth with income growth. + The wealthiest 10% captured around half of pre-tax income growth between 1975 and “equality of opportunity is generally agreed to be desirable in a fair society. Countries with a high degree of income inequality tend also to have poorer opportunities for those who have lower incomes.” (Australia 21)

“The richest 85 people on the globe – could be squeezed onto a single double-decker bus – they control as much wealth as the poorest half of the global population put together (3.5 billion people).” (OXFAM Report to the Davos Conference of the World Economic Forum 2014)

+ In 2010, the Australian poverty line (50 per cent of median income) for a single adult was $358 per week, while for a couple with two children it was $ million people were living below the poverty line - 575,000 children (one child in six) were living in poverty. “Overcoming poverty is not a gesture of charity. It is an act of justice. It is the protection of a fundamental human right, the right to dignity and a decent life. While poverty persists, there is no true freedom.” (Nelson Mandela, 2005 – quoted by Australia 21)

Of people on social security payments in 2010, 37% lived below the poverty line, including: + 52% of those receiving Newstart Allowance + 45% of those receiving Parenting Payment + 42% of those receiving the Disability Support Pension

ACOSS National Conference Resolution on the Federal Budget Participants of the 2014 ACOSS National Conference call on the Australian Parliament to ensure that Australia moves to become a fair and inclusive society, in which all people can participate economically, and be included in the community. We call on the Australian Government to work with us in designing policy that is sustainable, inclusive and fair. The Government and the Parliament should abandon the following divisive and unfair proposed budget measures that severely impact the most vulnerable people in our community: + Removal of the income support safety net for many young job seekers; + Measures that erode the value of income support for people at risk of poverty; + Reductions in family tax benefits for low and moderate income earners; + Increases in user charges for essential health services, including GP payments, medicines and tests; + Withdrawal of federal funding to essential social services; and + Silencing of advocacy organisations working to ensure that the voices of disadvantaged and marginalised groups are heard.