A $9 billion, $50-a-fortnight boost to the unemployment benefit and other welfare payments has been defended by the government as affordable and fair, while not acting as a disincentive to seek work.
The welfare lobby, which had been seeking a much higher increase, branded it a heartless decision that would plunge hundreds of thousands back into poverty.
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Phillip Coorey is the political editor based in Canberra. He is a two-time winner of the Paul Lyneham award for press gallery excellence. Connect with Phillip on Facebook and Twitter. Email Phillip at pcoorey@afr.com
