Removing the Choice Between Enduring Domestic and Family Violence or Facing Poverty

Jennifer Menzie, Griffith University, CSW68 Fellows 2024

Executive Summary

Many single mothers who have faced or are facing domestic and family violence (DFV), contend with the choice between enduring violence or facing poverty (Summers, 2022). DFV is a serious issue impacting millions of women around the world, and requires urgent, targeted intervention. While the underlying causes of DFV are complex and multifaceted, a significant barrier faced by many is economic hardship, particularly for single mothers. In 2017, escaping an abusive relationship cost $18,000 and took 141 hours (Australian Council of Trade Unions [ACTU], 2017). Given inflation and the rising cost of living, this burden has likely increased, placing even greater financial strain on women seeking to leave unsafe environments (Brown, 2024).

This proposal recommends the Australian Government increase the Parenting Payment Single allowance to $1682.80 per fortnight and extend eligibility from until the youngest child turns 14 to 18. As the Australian Prime Minister Anthony Albanese in 2024 stated, “If you need to leave, you should be able to afford it”. This recommendation directly supports that principle by ensuring financial independence for women leaving DFV situations. This recommendation seeks to utilise international precedent in an Australian context, using the examples of Sweden (age of the child), and Norway (the amount eligible). Ultimately, this recommendation will cost around $6-$7 billion annually and elicits gender responsive budgeting to empower women to leave DFV relationships without fear of then facing poverty.

Problem Identification:

Many women remain in DFV relationships primarily due to economic dependency (ABS, 2023). Further, the societal impacts of DFV are profound. It costs the Australian economy an estimated $26 billion annually (Australian Government, 2023), placing significant pressure on healthcare services, the justice system, and social support structures (Holmes et al., 2018). DFV is also the leading cause of preventable death, disability, and illness for women aged 15 to 44 and is a primary driver of homelessness (AIHW, 2019; ANROWS, 2019). The ripple effects extend into workplaces, affecting retention, productivity, and staff morale (Australian Human Rights Commission, n.d.). Therefore, investing in financial support for women, particularly single mothers, to leave abusive relationships could significantly reduce the annual cost associated with responding to DFV.

Further, to escape poverty, single mothers require sustained, adequate income support. Currently, the poverty line for a single parent with one child sits at approximately $1583.24 per fortnight (Jalal, 2022). However, as outlined in the ‘Current Policy Landscape’ section, current federal payments fall significantly short of this benchmark. While long-term structural reform is necessary to address the root causes of DFV and poverty, immediate policy responses are also essential, particularly in the face of ongoing housing and cost-of-living crises (Warburton et al., 2022). Research demonstrates that these rising living pressures makes it harder for survivors to leave DFV relationships and contribute to children staying at home longer and being dependent on their primary caretakers (ABS, 2023; Marinos, 2024).

Context

DFV is the leading reason women and children leave their homes in Australia (AIHW, 2025). However, for many single mothers, escaping abuse means confronting poverty and financial instability. Statistics from the 2021-2022 financial year reveal the harsh realities: 21.5% of women who returned to a DFV relationship did so due to a lack of financial support, and 19.4% because they had nowhere else to go (ABS, 2023).

The economic consequences of leaving are severe. Nearly 70% of women who escaped DFV left behind property and assets (ABS, 2023). Among single mothers who are employed and have experienced DFV, 60% reported inadequate earnings to support themselves and their children (ABS, 2016). Alarmingly, half of these women rely on government benefits as their main source of income, as employment alone or access to the Parenting Payment Single allowance is often insufficient (ABS, 2016; AIHW, 2019).

The gendered nature of this issue is also clear: 96% of those receiving the Parenting Payment Single allowance are women, and the majority of DFV survivors are also women (AIHW, 2023). In 2019, the Australian Government committed to gender-responsive budgeting at the Commission on the Status of Women, signalling an intention to shape economic policy that accounts for the distinct experiences of women (Equal Rights Alliance, 2021).

Currently, too many women are forced to choose between enduring abuse or living in poverty (Summer, 2022). The impact of this choice extends far beyond the individual. Children who grow up in homes affected by DFV or poverty often suffer long-term consequences, including developmental delays, mental and physical health challenges, and educational disadvantages that can limit their future opportunities (Holt et al., 2008; Yoshikawa et al., 2012).

Addressing the intersection of DFV and poverty among single mothers is a moral and legal imperative. Every person has the right to an adequate standard of living and to live free from cruel, inhumane, or degrading treatment, as enshrined in Article 25 of the Universal Declaration of Human Rights and Article 7 of the International Covenant on Civil and Political Rights. Failing to support single mothers fleeing violence not only harms individuals but constitutes a broader societal and human rights failure.

Current Policy Landscape

The key policies currently in place are implemented at a federal level. The Parenting Payment Single allowance provides a maximum of $982.50 per fortnight to single parents until their youngest child turns 14 (Australian Government, 2024). The amount eligible is reduced based on the single parents’ income per fortnight and this value differs depending on the number of children (Australian Government, 2023). For example: 

Number of Children:	Amount eligible reduced by 40 cents for each dollar over (per fortnight):
1	$220.60
2	$245.20
3	$269.80

(Australian Government, 2024)

ACCR found that of 50 leading ASX-listed companies, including BHP and Rio Tinto, there was a significant gap between companies’ asserted stances on climate policy and their advocacy efforts (ACCR, 2023). Energy and resource companies have some of the highest levels of engagement with climate policy in Australia, and 14 of the 15 most engaged companies have active net zero commitments (InfluenceMap, 2024a). Yet, their policy engagements are frequently misaligned with the Paris Agreement - undermining their pro-climate commitments (InfluenceMap, 2021). This is increasingly relevant to sustainability as Australian regulators, consumers and investors increase their scrutiny of greenwashing (ACCR, 2023; Davis, 2024).

Following this, when the youngest child turns 14, parents might be eligible for JobSeeker which drops the maximum amount received each fortnight to $836.50, but this payment is not guaranteed (Australian Government, 2023). This can be compared to age pensioner couples who are eligible to $1585.00 per fortnight (Australian Government, 2024). Given this amount is eligible to age pensioner couples, it is reasonable to expect a similar payment for single parents, who are expected to look after more than one person.

Further, from July 2025, for a period of five years, the Government will invest $925.2 million into the Leaving Violence Program (Brown, 2024). Under the scheme, women fleeing male violence can access a one-off $5000 emergency assistance payment, with $1500 in cash and $3500 on a prepaid card for goods and services (Brown, 2024). Whilst this signals a commitment and willingness by the government to invest in DFV, it does not go far enough in reducing the reality of women and single mothers facing poverty when leaving a DFV relationship. 

There are also relevant workplace protections under federal law. Survivors of DFV are entitled to 10 days of paid leave annually under the Fair Work Act 2009 (Cth). Recent amendments under the Fair Work Legislation Amendment (Closing Loopholes) Act 2023 (Cth) have further strengthened protections by prohibiting discriminatory conduct against employees ‘subjected to family and domestic violence’ (sections 94-98), with breaches giving rise to civil remedies (Parliament of Australia, 2023).

In addition to federal policies, Australian state and territories also fund local shelters and services, which often serve as the first point of contact for women fleeing violence. However, these services do not provide direct financial support, highlighting a critical gap in the current framework:

State	Amount and Year/s	Source
New South Wales	$39.1 million over 2023-24	NSW Government, 2023
Queensland	$60 million over four years	Queensland Government, 2023
Western Australia	52.5 million over 2023-24	Government of Western Australia, 2023
South Australia	$7.4 million over four years	Government of South Australia, 2023
Tasmania	$50 million over four years (2022-2027)	Watt, 2023
Northern Territory	$20 million over 2023-24	Northern Territory Government, 2023
Victoria	$117 million to the 2023-24 budget	Victorian Government, 2023

While this state funding is crucial for on-the-ground services, it cannot substitute for adequate and ongoing federal income support – a vital component for enabling women, particularly single mothers, to leave violent relationships and rebuild their lives.

International Landscape

In Sweden, financial support is provided to parents until their youngest child reaches the age of 16, and after this the child benefit is replaced with a study grant, ensuring that financial aid continues as the child is actively engaged in their studies, extending to the age of 20 (Sjöström, 2023). This is a substantial help for families, especially considering the high cost of living in Sweden that often results in children staying at home longer. This continued financial support for parents during their children's education until the age of 20 can be crucial in managing the expenses associated with housing, food, and other necessities, contributing significantly to the overall financial stability of the family unit. 

Additionally, when looking at Norway, they have a transitional benefit for single parents. This grants income for up to three years, or up until the youngest child is eight years old (NAV, 2024). The maximum amount eligible each year is $AUD 37,886.15 (NOK 266,895) (NAV, 2024). Further, there is an additional supplemental benefit for single parents, which allows for some or all their expenses to be covered (NAV, 2024). For example, the benefit covers 64% of child-minding expenses, this includes kindergarten, after-school care, or childminders (NAV, 2024). The success of this approach lies in its targeted and comprehensive support for single parents, addressing both financial needs and child-care responsibilities.

Options

There are several potential policy levers which would effectively increase the ability of single mothers to escape DFV situations without having to face poverty:

1. Increase the amount and age of the Parenting Payment Single allowance.

   
   

The Parenting Payment Single allowance should be extended to cover single parents until their youngest child turns 18, rather than 14. This better reflects the financial demands of raising children into adulthood. Additionally, the payment amount should be increased to $1682.80 per fortnight to ensure single parents remain above the poverty line. Although this recommendation requires a significant budgetary increase (estimated at $6-7 billion annually), it is proportionate when compared to existing DFV-related costs, which total approximately $26 billion annually (Australian Government, 2023). The proposed expansion would also build on the government’s current commitment of $925 million over five years to DFV through the Leaving Violence Program (Brown, 2024), positioning economic support as a form of early intervention that reduces long-term costs and harm.

2. Adding clarification to the Fair Work Legislation Amendment (Closing Loopholes) Act 2023 (Cth).

   
   

While the Act intends to protect workers experiencing DFV from discrimination, ambiguity remains around the scope of protection. The language in Schedule 1, Part 8, Sections 94–98 of the Act refers to those currently “subjected to family and domestic violence,” which may exclude individuals recovering from past abuse. In contrast, the Explanatory Memorandum on page seven refers more broadly to protecting “employees who have been, or continue to be” subjected to DFV (Parliament of Australia, 2023). The Act should be amended to reflect this broader, more inclusive language. Many survivors, particularly single mothers, face ongoing challenges long after leaving abusive environments, such as legal proceedings, housing instability, and trauma recovery. Ensuring clear and consistent legal protection for these individuals aligns with the legislation’s intent and supports employment stability during a highly vulnerable period.

Policy recommendation

This paper recommends that the Federal Government adopt Option One.

Parenting Payment Single Allowance

Raising both the rate and eligibility age of the Parenting Payment Single allowance would provide an immediate, effective tool to reduce poverty among single parents, particularly those exiting DFV situations. This would improve financial security and support safe exits from abusive relationships.

It is recommended that the allowance increase to $1682.80 per fortnight, which would lift recipients above the poverty line. This represents a $700.30 increase ($1682.80 - $982.50) per person per fortnight. As of March 2023, 226,500 individuals received this payment (AIHW, 2023), translating to an additional $4.1 billion annually (226,500 x $700.30 x 26 fortnights). Extending eligibility to parents with children up to 18 (rather than 14) would increase the number of recipients, with an estimated total cost of $6-7 billion annually.

While this investment is substantial, it is justified. DFV costs Australia approximately $26 billion annually (Australian Government, 2023), and financial insecurity is one of the key barriers preventing women from leaving abusive environments. This policy directly addresses that barrier and incorporates the contemporary realities of children living at home longer and being financially dependent on their caretakers.

This reform will not end DFV, systemic and cultural changes are also required, but it will significantly support survivors to leave safely. The social and economic returns of reducing harm, improving wellbeing, and lowering the national cost of DFV make this a fiscally responsible and socially urgent investment.

Risks/Limitations

While increasing the age and amount of the Parenting Payment Single allowance carries risks, these can be mitigated through targeted policy design:

1. Workforce Participation

A common concern is that a more generous allowance may reduce incentives for employment. However, the proposed increase only lifts recipients slightly above the poverty line and is not sufficient for long-term financial comfort. As such, it is unlikely to discourage work. 

2. Budgetary Impact

The reform would require an estimated $6-7 billion annually, which could pressure government finances and lead to political resistance. However, these costs must be weighed against the $26 billion annual cost of DFV (Australian Government, 2023). By reducing long-term harm and associated expenditures (e.g., health, policing, housing), the payment represents a strategic investment. 

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