National Economic and Social Impact Survey 2013

A new national report being released by The Salvation Army – the biggest ever national survey it has done with its clients – paints a deeply disturbing picture of what is happening to many struggling Australians in crisis.

The Salvation Army says numerous parents are going without food in order to feed their children first.

The Salvos have released the report “It’s Not Asking Too Much ... National Economic and Social Impact Survey 2013” in the run up to the annual national Red Shield Appeal.

2,700 clients being helped by the Salvos, who are accessing emergency relief and community support services, took part.

The new survey reveals:

• 28% of clients (over a quarter) cannot afford a substantial meal even just once a day
• 35% cannot afford prescriptions
• 36% don’t have regular social contact with friends.
• 51% have gone without meals (sometimes in favour of their children).
• A huge two thirds (66%) have cut down on basic necessities.
• The report says many children are missing out on out of school activities, annual dental check ups and new or up to date school books/uniforms.
• Over a quarter (27%) cannot afford heating or cooling in at least one room of their house.
• Over 50% said their financial situation was now worse or a lot worse than 12 months ago.
• 58% cannot pay utility bills on time.
• 92% have no savings.

The Salvation Army says the survey indicates there has been a 12% rise in the number of people coming to The Salvation Army who are receiving Newstart. The Salvation Army highlights it has strong concerns about the changes to parenting payments and the ongoing inadequacy of the Newstart payment, “People aren’t surviving on Newstart and this, in turn, is impacting children,” said Major Bruce Harmer.

Report authors say, “The current strategies that support employment capacity do not seem to be working for many marginalised and disadvantaged individuals.”

This is only the second time The Salvation Army has conducted the Economic and Social Impact Survey nationally.

In total 2705 people visiting 237 Salvation Army centres nationwide were polled for the survey. The title “It’s Not Asking Too Much …” is a direct quote from a client. The survey’s authors highlight it “paints a bleak picture of every day life for many people in our communities.”

The Salvation Army highlight clients frequently talk about the emotional toll of having to constantly say ‘no’ to their child and not being able to let them go to a party because they can’t afford to buy a present to take or to play sport or go on school excursions. The Salvos say these are the kind of situations that bring struggling families to the point of despair.

1 in 10 people who took part were retired. Half the people surveyed had children in the house.

The Salvation Army has helped over 1 million people in crisis over the past 12 months. This includes over 230,000 people with emergency relief, over 100,000 meals for people and over 1,000 crisis and 6,000 non crisis beds for people every night of the year.

This year’s Red Shield Appeal asks people to dig deep, to help The Salvation Army with its 1,000 plus social programs operating across the nation.

Major Bruce Harmer said, “The report is very alarming. It highlights there is just so much to be done to help the mums and dads and individuals who come to our door and are being left behind. It is now estimated 1 in 6 children in Australia now lives at or below the poverty line. Obviously many children in families are suffering terribly because of the levels of poverty.”

“Every parent wants to give their child the best start in life and it is heartbreaking that in a country such as Australia, poverty prevents some parents from doing so. The Salvation Army is committed to investing in children, with a range of supports and programs designed to ease the level of disadvantage that so many children are suffering.”

“It’s very concerning that this national report concludes there is a core group within our community who continue to experience significant disadvantage without the resources to move out of their current situation.”

The National Survey also reveals:

• 28% don’t have a decent and secure home.
• 60% can’t afford dental treatment when needed.
• Over a third – 35% - can’t afford medications they have been prescribed.
• 65% of clients feel stressed about their future prospects.
• Almost a third (31%) said new conflict with family had happened as a direct result of their financial situation.
• 41% of clients have sold or pawned possessions.
• 23% have taken on new debt.
• 6% have attempted to supplement income through gambling.
• 53% can’t afford out of school activities for the kids.
• 37% can’t afford to pay for school based activities.
• Over half the people in the survey reported not having many friends.
• Over a third reported feeling very lonely (35%).

Major Bruce Harmer said, “The research provides clear evidence that many families with children are experiencing severe disadvantage. Many live in inadequate living conditions. Clearly the flow on effect of deprivation to children is of significant concern to The Salvation Army.”

The Report highlights Australia has the fourth highest proportion of children under the age of 15 in jobless families in the OECD countries – accounting for approximately one in every six couple families and almost one in every three single parent families.

Major Harmer added, “The survey highlights half the people that took part are households with children. It points out many of these families will have been impacted by the recent changes to income support payments that have seen single parents of children aged 8 years moved to the lower payment rate of the Newstart Allowance."

“The Salvation Army and other organisations, including the Business Council of Australia, have described the recent changes to parenting payments and Newstart Allowance as "placing these individuals and their families at increased risk of poverty and disadvantage"."

“Ultimately this survey provides a clear snapshot of the impact of cost of living pressures on people needing help from The Salvation Army. It clearly concludes a significant proportion of people who come to our door struggle to meet routine expenses and financial commitments.”

The Salvation Army has been operating for over 130 years across the nation. The Red Shield Appeal helps create critical funds to assist the Salvos in helping people in need. The Salvation Army says funds are needed more than ever, because of the sheer scale of need.

Over 100,000 volunteers are expected to mobilise this weekend (May 25th/26th) for the annual Doorknock and volunteers will be banging on doors, asking people to give generously and to consider their gift.

Major Bruce Harmer said, “Every donation makes a difference. We do ask people to dig deep, because there is such a big job to do. Our services are being stretched to the absolute maximum.”

The national target for the Red Shield Appeal Doorknock weekend is $10.2 million, part of an overall Red Shield Appeal target of $79 million.

To donate to The Red Shield Appeal or to volunteer for the Doorknock, just call 13 SALVOS (13 72 58) or visit salvos.org.au. You can also donate to the Appeal at any Westpac branch or post a cheque to PO Box 9888 in your capital city.

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 “It’s Not Asking Too Much” National Economic and Social Impact Survey 2013 (the economic and social impact of cost of living pressures on people accessing emergency relief) was released on Wednesday, 22 May 2014 by The Salvation Army Australia. 2705 people took part across 237 Salvation Army centres nationwide.

To download the full Economic and Social Impact Survey (ESIS) please click here