Policy proposals to be outlined in the Coalition's budget reply tonight risk deepening division and fearmongering, undermining Australia's vibrant neighbourhoods at a time Australia needs unity and social cohesion, according to leading Australian non-profit SSI.
SSI CEO Violet Roumeliotis said one proposal reported in media today would prevent all non-citizens — including permanent migrants who are long-term taxpayers — from accessing more than a dozen essential supports, including the NDIS, parental leave and the Carer Allowance.
"This proposal would mean that people who are living, working and paying taxes in Australia would be excluded from accessing the very supports they help fund," Ms Roumeliotis said.
"It is deeply concerning that permanent residents who are actively contributing to Australia could be locked out of essential supports if they face hardship.
"Permanent residents already face waiting periods of up to four years for many social security payments. Further extending exclusion is unnecessary and disproportionate.
"Becoming an Australian citizen is already a long and expensive process. Pushing people further from the safety net during a cost-of-living crisis risks creating deeper inequality and insecurity."
Ms Roumeliotis condemned public commentary on the changes that characterised essential payments such as JobSeeker as "welfare handouts".
"No one chooses to rely on income support. These are not 'handouts' — they are essential safety nets that prevent people from falling into poverty during periods of need.
"Anyone can experience hardship, and a country that prides itself on fairness should support the people who are contributing to our communities and economy," Ms Roumeliotis said.
SSI warned the proposal could also create unintended economic consequences, particularly for skilled migrants already facing barriers to workforce participation.
"If people are denied basic income support while trying to secure work in their profession, they are more likely to take any job available simply to survive. That leads to significant skills underutilisation and long-term productivity losses," Ms Roumeliotis said, citing findings from Activate Australia's Skills.
"We should be supporting people to use their skills — not pushing them into unskilled work just to put food on the table. We all miss out when people are pushed into roles below their skill level.
"When we talk about 'Australia first', that must include the people who are building their lives here, contributing to our economy and communities, and who will soon become citizens themselves. This is not an either/or choice. Australia is strong enough to support older Australians, people with disability and new arrivals at the same time."
SSI also raised concerns about the reported proposal to cap net migration at one person per new home built, warning it could worsen housing shortages by restricting access to critical trade and construction skills and undermine needs-based migration streams.
"Linking migration levels directly to housing supply oversimplifies a complex issue and risks fuelling division.
"Migrants are part of the solution to Australia's housing crisis. We need skilled tradespeople to build the homes Australia urgently needs, and every migrant tradesperson contributes to building an estimated 2.4 homes each year.
SSI also expressed concern about the lack of clarity around which visa programs would be reduced under the proposal.
"There is a real possibility these cuts could affect the humanitarian intake at a time when global displacement and humanitarian need are rising," Ms Roumeliotis said.
SSI noted that blaming migration for housing pressures is not supported by evidence from its own research.
"Our data shows that migrants themselves are among those hardest hit by the housing crisis. They face barriers including limited rental history, short work tenure, language challenges and discrimination," Ms Roumeliotis said.
SSI is calling for a more balanced and inclusive approach to economic and social policy — one that supports participation, productivity and social cohesion.
"Australia's strength has always come from inclusion. We should be focused on enabling people to contribute fully — not leaving them a step behind as they begin a new life here," Ms Roumeliotis said.
About us:
SSI is a national not-for-profit organisation providing dedicated human and social services to a diverse Australia. With community at the heart of everything we do, our purpose is to create a world in which everyone has access to equal opportunities. SSI was founded in Sydney in 2000 with the aim of helping newly arrived refugees settle in Australia. Over time, our expertise in working with people from diverse cultural and linguistic backgrounds served as the foundation for a gradual expansion into other social services and geographical areas. We now deliver services across New South Wales, Victoria and Queensland, have a dedicated research team informing our work and leading sector insights, and we advocate for our communities' issues.
