A Dutton-Coalition government would trap students in placement poverty by scrapping a vital cost-of-living payment before it even begins.
From July 2025, the Albanese Government’s ‘Prac Payment’ is set to provide eligible students studying social work, teaching, nursing and midwifery nearly $332 per week to support with cost of living during their mandatory placements.
But the Coalition plans to axe the payment as part of its relentless cuts.
As the union for social and community sector workers, Australian Services Union NSW & ACT Secretary Angus McFarland said: “Students will be poorer under the Coalition. The Coalition wants to cut cost-of-living relief and increase student debt.
"Instead of supporting students and young people with the cost of living, Peter Dutton and the Coalition plan to deny students critical relief, trapping them into poverty while they complete mandatory unpaid placements. The Coalition's alternative is just more financial distress now and down the track.
“Students, workers, universities and employers have been calling for paid placements for students entering these essential workforces. The Albanese Labor Government has made critical progress in addressing this need by introducing ‘Paid Pracs’ – but now the Coalition wants to rip it away before students even start to benefit.
“This is a direct attack on students during a cost-of-living crisis. It shows complete disregard for these essential sectors — that are female-dominated — and for the students preparing to enter them. We need nurses, we need teachers, we need social workers.
“The Coalition’s cuts will push students into further financial hardship, force many to drop out of their courses, and jeopardise the future of essential services for our communities.”
Katie, community sector worker from South Coast NSW in the federal seat of Gilmore said: “This will have a negative impact on social work students and the communities that we support.
“Cost of living is one of the major issues for students who end up skipping meals or living in their cars because they can’t have another job while they’re on placement.
“It means that some people defer their degree, or don’t finish it. We have people with lived experience who may not end up working in social work because they couldn’t afford to complete hundreds of hours of mandatory unpaid placement.
“Placement poverty is affecting students' mental health. We should be supporting vulnerable community members, not creating them.”
Contact details:
Sofie Wainwright 0403 920 301