INDIGENOUS INCARCERATION: UNLOCK THE FACTS - PWC'S INDIGENOUS CONSULTING MAY 2017 - PWC AUSTRALIA
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PwC’s Indigenous Consulting May 2017 Indigenous incarceration: Unlock the facts www.pwc.com.au
Throughout this report, the term ‘Indigenous’ is used to refer to both Australian Aboriginal and Torres Strait Islander people. The term ‘Aboriginal’ is retained when it is part of the title of a report, program or quotation. Disclaimer The information, statements, statistics and commentary contained in this report have been prepared by PwC from the available public information at the time. PwC may, at its absolute discretion and without any obligation to do so, update, amend or supplement this document. PwC does not express an opinion as to the accuracy or completeness of the information provided, the assumptions made by the parties that provided the information or any conclusions reached by those parties. PwC disclaims any and all liability arising from actions taken in response to this report. PwC, its employees, and any persons associated with the preparation of the enclosed documents are in no way responsible for any errors or omissions in the enclosed document resulting from any inaccuracy, misdescription or incompleteness of information provided or from assumptions made or opinions reached by the parties that provided information.
Foreword Change the Record has been calling for a shift towards investing in early intervention, prevention and Richmond and the KGI would like diversion initiatives. These are Richmond Football Club and smarter solutions that increase to thank the other partners that the Korin Gamadji Institute safety, address the root causes participated in the development of Richmond Football Club (RFC) this report for their dedication and of violence against women, cut and the Korin Gamadji Institute enthusiasm to unlock the facts and reoffending and imprisonment (KGI) are pleased to have worked breakout the solutions. rates, and build stronger and collaboratively with PwC, PwC’s safer communities. Brendon Gale, CEO of Indigenous Consulting (PIC) and This report backs up our key calls Richmond Football Club and Change the Record to develop this and has outlined a compelling case Aaron Clark, Director of the important piece of work. This report for governments at all levels to Korin Gamadji Institute highlights a significant issue in this act decisively, in partnership with country that cannot be ignored Aboriginal and Torres Strait Islander and, importantly, it recommends Change the Record people and their communities, to actions that will drive meaningful Change the Record was established address this national crisis. change. Indigenous incarceration in recognition that the rates at which is a complex issue. The human The current piecemeal approach isn’t Aboriginal and Torres Strait Islander impact is immeasurable and the working. We need a comprehensive, people are experiencing violence economic impact staggering. This co-ordinated and holistic approach, and being put in prison has reached report breaks the issue down and which involves leadership and a crisis point. These issues are some the unavoidable conclusion is partnership from the Federal, state of the most pressing social justice that a different approach needs and territory governments to shift challenges facing Australia. to be taken. more investment into preventative This is devastating lives and comes and early intervention approaches. From the point of view of RFC at an enormous cost – both socially and the KGI, it reaffirms the We know many of the solutions are and economically – affecting not critical nature of the work we already there. Now we need to make only the individual, but also their do and the importance of taking it happen, and do so in a way that family and whole community. It is a proactive approach that will empowers Aboriginal and Torres clear that a different approach and drive generational change. Each Strait Islander people, communities urgent action is needed. year we work with hundreds of and services to drive these solutions. young Aboriginal and Torres Strait The social impact of a reduction Shane Duffy and Antoinette Islanders on leadership, cultural in imprisonment rates would be Braybrook, Co-Chairs of the affirmation and resilience, all critical significant, changing lives and Change the Record Coalition protective factors that reduce the transforming communities. However likelihood of incarceration. It must this important collaborative report, be an investment priority, along produced in partnership with PwC, with other important opportunities PIC, RFC and KGI, plays a key role outlined in the report. in highlighting the significant economic impact, and potential savings for Governments and in turn the tax payer. Indigenous incarceration: Unlock the facts | 3
Purpose of this report Indigenous incarceration in Executive summary Australia has been the subject of many thorough and well evidenced reports and reviews Disproportionate rates of Indigenous Australians are dramatically over-represented in over the past three decades Indigenous imprisonment including the landmark Royal the criminal justice system, in each are unfair, unsafe and state and territory. While Indigenous Commission into Aboriginal Deaths in Custody. unaffordable, but it doesn’t people represent only 3 per cent of have to be that way Australia’s total population, they Our report contributes new make up more than 27 per cent economic modelling to the In the twenty-six years since the of our prison population and evidence base. It estimates report of the Royal Commission 55 per cent of the youth detention the costs of Indigenous into Aboriginal Deaths in Custody population.1 incarceration and the was tabled in the Parliament of potential savings if Indigenous Australia, the proportion of the incarceration rates were no prison population that is Indigenous different to those of the non- has doubled. Indigenous population. Figure 1: Indigenous incarceration in Australia, by state and territory The high, and growing, rates of Indigenous incarceration has a heavy impact on individuals, families, communities, and the 20% Australian economy but it doesn’t have to be this way. Our modelling suggests that 84% implementing a holistic suite 32% of initiatives would contribute 38% 3% significantly to closing the 2% gap between Indigenous and non-Indigenous rates of incarceration, but this alone 19% 1% would not be enough. 24% Closing the gap requires 2% systemic change, as well 24% as smarter investment in 1% programmatic solutions with 1% 8% Indigenous Australians having Indigenous Australians as a proportion of the population (adults) ownership and control over 16% 3% program settings. Indigenous Australians as a proportion of the prison population (adults) This report seeks to raise awareness of, and calls Source: ABS, Productivity Commission for action to address, the disproportionate rates of Indigenous incarceration 1. ABS (2013). Estimates of Aboriginal and Torres Strait Islander Australians, June 2011. Canberra: ABS; ABS (2016). Prisoners in Australia, 2016. Canberra: ABS; AIHW (2017). Youth justice in Australia 2015- across Australia. 16. Table S75a: Young people in detention on an average day by sex and Indigenous status, states and territories, 2015–16. AIHW Bulletin no. 139. Cat. No. AUS 211. Canberra: AIHW. 4 | PwC
This gap between the rates of Incarceration can also lead to loss of Indigenous incarceration and culture, identity and connection to non-Indigenous incarceration is the land. The cycle of disadvantage, fundamentally unfair. poverty and incarceration continues, making communities less safe in On any given day, there are around the long run. 10,000 Indigenous adults in prison (including roughly 1,000 women), As well as the human impact, 500 Indigenous youth in detention this report also finds that high and many more Indigenous people in incarceration rates significantly custody in police cells.2 impacts the Australian economy. The high numbers of Indigenous This report calls for action to people in prison has consequences address this unfair, unsafe and for virtually all Indigenous people. unaffordable situation. It impacts the individuals who are incarcerated, as well as Our report shows that reducing their families and communities. disproportionate Indigenous Children with a parent in prison are incarceration rates is the right particularly vulnerable, increasing and the fair thing to do, that their risk of contact with the justice it will increase community system later in life. safety, and that it will contribute to reducing expenditure of Australian governments. Figure 2: Australian imprisonment rates Indigenous men are imprisoned at 11 times the rate of the general male population General male population Indigenous men Indigenous women are imprisoned at 15 times the rate of the general female population General female population Indigenous women Indigenous youth are imprisoned at 25 times the rate of non-indigenous youth Non-Indigenous youth Indigenous children and youth Source: ABS (2016). Corrective services, Australia, June quarter 2016. Canberra: ABS; AIHW 2017. Youth justice in Australia 2015–16. AIHW Bulletin no. 139. Cat. no. AUS 211. Canberra: AIHW. 2. ABS (2016). Corrective Services, Australia, June Quarter 2016. Canberra: ABS; AIHW (2017). Youth justice in Australia 2015–16. Table S85a: Young people aged 10–17 in detention on an average day by Indigenous status, states and territories, 2006–07 to 2015–16 (rate). AIHW Bulletin no. 139. Cat. no. AUS 211. Canberra: AIHW. Indigenous incarceration: Unlock the facts | 5
PwC, PwC’s Indigenous Through our partnership we We hope that our work will also Consulting (PIC), Change the leveraged the skills of each of the inform two major government organisations to contribute to reviews that are currently Record, Richmond Football the existing knowledge base and underway: the Australian Law Club and the Korin Gamadji increase awareness of Indigenous Reform Commission’s Inquiry into Institute have come together incarceration in four ways: the incarceration rate of Aboriginal to show our commitment 1. Economic modelling to quantify and Torres Strait Islander peoples the current and projected economic and the Royal Commission into the to tackling this issue and to Protection and Detention of Children make a new contribution to costs of Indigenous incarceration rates (refer to section 3). in the Northern Territory. the existing knowledge base 2. Detailed research to identify This work coincides with three We have looked beyond the effective ways to reduce significant milestones in Australia’s Indigenous incarceration rates justice system to identify the reconciliation journey – the 50th (refer to section 4). key drivers of high Indigenous anniversary of the 1967 referendum, incarceration rates, and to 3. Modelling the impact of the 25th anniversary of the Mabo decision, and the 20th anniversary implementing a range of make a case for a holistic initiatives would have on the costs approach to the issue of the Bringing them Home report. It of Indigenous incarceration (refer is a timely opportunity to celebrate As an ongoing consequence of to section 6). It is important to achievements, but also to drive colonisation and dispossession, note that we have not undertaken change in areas which continue to be and the social impacts that a full cost benefit analysis in serious need of reform. followed, Indigenous people are although this would be important Our five organisations, PwC, PIC, future work. the most disadvantaged group Change the Record, the Richmond in Australia on a number of 4. A public awareness campaign to Football Club and the Korin Gamadji indicators.3 Our research shows communicate the findings of the Institute, have a shared interest in there is a strong link between project and the need for urgent tackling this important national intergenerational disadvantage, and major action to address high issue that affects the lives of many poverty and incarceration. Indigenous incarceration rates. Indigenous people. Figure 3: Key drivers of Indigenous incarceration Employment Education Health Disability Contact with juvenile Previous contact justice system with justice Poverty & system disadvantage Substance abuse Police Housing Relationship Social with the justice Underlying exclusion and Additional system causes racism factors related to the justice system Courts Experience of trauma Recidivism Access to legal assistance Legal policy Inter- Child settings generational protection trauma Family violence/ sexual abuse 3. Australian Government Department of the Prime Minister and Cabinet (2017). Closing the Gap: Prime Minister’s Report 2017. www.closingthegap.pmc.gov.au/ sites/default/files/ctg-report-2017.pdf. Accessed April 2017. 6 | PwC
Tackling economic and social Our modelling shows that While our modelling shows disadvantage, increasing income Indigenous incarceration is costing that investing in a range of equality and improving access to the Australian economy $7.9 billion high-quality health, education, per year and this cost is rising. initiatives will reduce the rate employment and housing can This comprises whole of economy of incarceration, this alone directly influence rates of offending. impacts including loss of productive will not close the gap. Action That’s why our report takes a holistic output (economic costs) as well as is required across a broader approach and emphasises the separating out the direct costs to importance of addressing the key governments (fiscal costs) as set out range of areas drivers of Indigenous incarceration. in Figure 4.4 Reducing the rates at which Indigenous children, young people, Although there are factors within If nothing is done to address men and women are imprisoned in the justice system that, if addressed, disproportionately high rates of Australia is a complex challenge. We could help close the gap between Indigenous incarceration, this cost know from the evidence that there Indigenous and non-Indigenous will rise to $9.7 billion per year in are no simple or straightforward rates of incarceration, addressing 2020 and $19.8 billion per year solutions, and the issue requires a the key drivers that lead to offending in 2040 (section 3). Closing the multi-pronged approach. and contact with the justice gap between Indigenous and non- system in the first place has the Indigenous rates of incarceration Evaluations show that initiatives greatest potential for impact in the would generate savings to the and programs exist that are effective longer term. economy of $18.9 billion per year in reducing the incarceration in 2040. rates. Despite this, a program or Our economic modelling Further detail on our economic initiative based response alone is shows the cost to the not enough. Indigenous Australians modelling is provided in must have control, ownership and Australian economy of sections 3 and 6. involvement in the solutions. Arming Indigenous incarceration the Australian community with the is almost $8 billion facts that sit behind this challenge is ($7.9 billion) per year also important. and rising Figure 4: Estimated costs of Indigenous incarceration in 2016 Unquantified costs, including: • Loss of culture • Marginalisation • Isolation • Absence from Unquantified community and family costs $8,000 $7,892 $1,148.2 Total quantified costs $1,177.9 $6,000 Fiscal costs $1,556.7 $62.5 $16.2 $4,000 !"%$'((&%!! $2,000 $3,931.3 $0 Justice Welfare Forgone Cost of Crime Loss of Excess Unquantified taxation productive output Burden of tax costs 4. Fiscal costs relate to actual expenditure, economic costs include actual expenditure, as well as productivity losses related to lost output. Indigenous incarceration: Unlock the facts | 7
Addressing the key drivers of 5. Initiatives and programs: In The current reliance on mainstream Indigenous incarceration such addition to broader system level services needs to shift, with the as poverty, disadvantage and reform, specific initiatives and optimal scenario one in which experiences of trauma requires programmatic responses are Indigenous communities own and broader system reform. Law reform required – particularly Indigenous deliver more of their own services is also needed. community controlled and led and initiatives. Under such a initiatives. scenario, ACCOs would play a Key elements of the approach key role. required are outlined in Figure 5. The outer ring of this diagram Self determination represents the key foundations of the System reform The evidence is clear that recommended approach. The central community involvement in the Research points to the interlinked pyramid provides a categorisation design and delivery of programs nature of the causes and the factors framework of potential initiative is important. This requires more leading to over-representation of or program responses. In summary than consultation and includes Indigenous Australians in prison. components of our recommended community ownership and control. These include poverty, disadvantage, approach are: lower levels of educational Across each state and territory, attainment, higher incidence of 1. Self-determination: Like all ACCOs have been established Australians, Indigenous people mental and cognitive disabilities, to deliver culturally aware and higher incidence of involvement have a right to determine their responsive health, legal, housing, own political, economic, social with the child protection system, childcare and other human lack of employment opportunities and cultural development. This services to Indigenous people. human right is an essential and access to housing. These community owned, culturally approach to overcoming aware and responsive environments System-wide reform is required. Indigenous disadvantage and provide a safe setting for Indigenous This includes accountability for the includes building connections people to access services as there achievement of outcomes consistent to culture and a strong role for is long-standing trust and respect with the broader Closing the Aboriginal Community Controlled between ACCOs and communities. Gap targets. Originations (ACCOs) in the formation of any solutions. 2. System reform: The key drivers of over-representation of Indigenous people in prisons Figure 5: Responses and solutions: a holistic response is needed will not be addressed by a single initiative or program. Instead, whole of system solutions are on 2. required across a range of nati Sy traditional government policy i ste and portfolio areas, including rm m e et education, health, human re -d Prison services, welfare and justice. for elf Initiatives system and post-release m 3. Law reform: This includes delivered within 1. S the justice consideration of changes to system Targeted laws and legal policy settings intervention which contribute to the over- representation of Indigenous people in prison. Initiatives Early delivered outside intervention 4. Increased community of the justice system 4. Inc awareness: Despite landmark Universal / reports, inquiries and reviews prevention such as the Royal Commission re a into Aboriginal Deaths in Custody, the level of understanding in se d the Australian community 5. Initiatives and programs rm co of the issues, causes, rates fo m m and consequences of over- re un representation of Indigenous ity L aw men, women, children and young aw 3. people remains limited. The facts a re n ess need to be unlocked. In order for change to happen, there needs to be broader community awareness. 8 | PwC
In 2016, the Australian Senate What is needed is a nationally As part of a blueprint for change, passed a motion which called on agreed set of Closing the Gap Change the Record has proposed Commonwealth, state and territory justice targets. This will support that Australian governments work governments to adopt a set of better cooperation, help with the with Indigenous communities and justice targets aimed at closing development and monitoring of long organisations to set justice targets, the gap in rates of incarceration term strategies and investments, and reduce the disproportionate between Indigenous and non- enable a focus on outcomes, and rates of violence experienced by Indigenous Australians for which help drive greater accountability to Indigenous people. The target all levels of government should achieve reduced rates of Indigenous Change the Record propose is be held accountable.5 In Victoria, incarceration across Australia. to halve the gap in the rates of the Northern Territory, and the In addition, improving the collection imprisonment between Indigenous Australian Capital Territory of, and access to, good quality data and non-Indigenous people by 2030, Indigenous justice targets have to help monitor and track progress before closing the gap in 2040.7 been introduced.6 is required. Recommendation 1 Recommendation 2 Recommendation 3 The right of Indigenous A national set of Closing the Mainstream services need communities to self-determination Gap justice targets should be to be culturally aware and should underpin the development, established to encourage a focus responsive to increase access implementation and ownership on outcomes, and to improve to, and the effectiveness of, of strategies and initiatives accountability by making visible services to reduce the rates of to address the high rates of any progress, or lack thereof, Indigenous incarceration Indigenous incarceration in reducing the rates at which Many mainstream funding Indigenous people are incarcerated Real change requires a strong agreements and grants already partnership and genuine relationship The Commonwealth and state and specify that they must deliver between funders, the justice sector, territory Governments should initiate culturally aware and responsive the broader service system and the this process through consultation services for Indigenous people. This Indigenous community including with the justice sector, Indigenous needs to be made more transparent Indigenous organisations. This can organisations, and other key service with funded services being required only be achieved when Indigenous sector stakeholders to agree on a set to more comprehensively demonstrate people have a meaningful stake in the of national justice targets as part of how their services are culturally implementation, design, delivery and Closing the Gap. aware and responsive, and being evaluation of solutions. accessed by Indigenous people. Funding bodies should be required A practical first step to achieve a to report on how the agencies they more meaningful role, and voice, fund to deliver services on their for Indigenous communities in the behalf are delivering culturally implementation of strategies and aware and responsive services, and initiatives is for all governments to that action is being taken to address implement policies that allow for any shortcomings. greater self-determination, including policies that make Indigenous organisations the preferred provider for Indigenous services. 5. Australian Parliamentary Debates, Senate, no. 6, 19 April 2016, page no. 3052. 6. Victorian Department of Planning and Community Development (2012). Victorian Aboriginal Affairs Framework 2013-2018. Melbourne: State Government of Victoria; ACT Government (2015). ACT Aboriginal and Torre Strait Islander Justice Partnership 2015-18. Canberra: ACT Government; NT Department of Local Government and Community Services (2016). Aboriginal affairs: monitoring, evaluation and reporting framework. NT Government. Note: Non-Indigenous specific justice targets have also been introduced in New South Wales and South Australia. 7. Change the Record Coalition (2015). Blueprint for change. The Change the Record Coalition Steering Committee, www.reconciliation.org.au/wp-content/ uploads/2016/11/Change-the-Record-Blueprint_web.pdf. Accessed January 2017. Indigenous incarceration: Unlock the facts | 9
Figure 6: Framework for categorising initiatives e m h in Prison yst wit system and d post-release Initiatives offered in the prison and juvenile tic ere detention systems and post-release j u s e liv es t he es d tiv Targeted tia Ini intervention Initiatives to address factors contributing to rates of incarceration for individuals at-risk of detention or incarceration em de yst utsi Early o tic ed intervention Initiatives to enhance protective factors jus liver es within Indigenous and broader vulnerable e of ves d communities t he ti tia Universal Ini prevention Universal access to high quality, basic systems and services In addition, many Indigenous people Increased community The initiatives were chosen for the are reluctant to obtain essential awareness rigour of their evaluation data and services from mainstream providers are not suggested to represent the due to limited cultural competence Unlocking the facts and building most successful initiatives, although and experiences of racism within community awareness is the first they do have well documented mainstream service providers. These step in securing change. quantifiable success. These experiences can lead to future and initiatives are also not representative We believe there is potential to continued avoidance of mainstream of all possible initiatives which build greater awareness based service providers.8 While Indigenous could be implemented, and be on facts. These include the social communities should ideally own effective at reducing the rates of injustice, public safety and economic and deliver their own services and Indigenous incarceration. impacts of not fixing this situation initiatives where this is not possible, that can be used by individuals In summary, our modelling mainstream services need to be and communities to support and demonstrates that: culturally aware and responsive to push for reform to create the increase the likelihood of Indigenous • the cumulative scenario, entailing change required. people accessing services, and the investing in all four categories of effectiveness of these services. initiatives, is the most effective as Initiatives and programs it reduces both the new entry rate Law reform A range of initiatives and programs and rate of recidivism over time. is required across the intervention • the least effective impact we Law and justice system reform is a spectrum outlined in Figure 6. modelled was the prison system critical component of the response and post release scenario. This required to reduce Indigenous Initiatives to respond to Indigenous is because when scaled across incarceration rates. incarceration are often associated Australia the effect size is small with custodial or justice settings. and only effects the recidivism The Attorney-General has asked the Australian Law Reform Commission While these initiatives are important rate of people who had offended (ALRC) to examine the factors and play a role in assisting those and have already entered leading to the over-representation of who have already come into contact the system. Indigenous Australians in the prison with the justice system, our analysis • the impact of targeted system, and consider possible law on the key drivers of Indigenous interventions begin to take effect reforms in response. incarceration suggests that a wider sooner. The effect impacts on both range of initiatives is required. the rate at which juveniles offend In this report we have modelled the as adults and also the recidivism impact of implementing a range rate of adult offenders. of initiatives that could reduce the costs of Indigenous incarceration (refer to section 6). 8. Weightman, M (2013). The role of Aboriginal Community Controlled Health Services in Indigenous health. Australian Medical Student Journal, 4(1), www.amsj.org/archives/3012. Accessed March 2017. 10 | PwC
• universal prevention and early Part of our approach to the economic However, the lack of sufficient data intervention become more modelling included estimating the in relation to Indigenous-specific effective than the prison system cost savings of investing in a range and culturally aware and responsive and post release scenario in the of initiatives across each of the initiatives necessitated the use of longer term. This is because four categories. some mainstream initiatives. the effect size is larger as both scenarios impact on the number To develop findings from our The need to improve the quality of, of people entering the prison economic modelling, we sought and access to, data relating to key system for the first time each evidence of robust evaluations drivers and pathways relating to year whereas the prison system of initiatives and responses. In Indigenous incarceration have been scenario only impacts on the undertaking our analysis we sought reported elsewhere.9 recidivism rate. to identify and include Indigenous- specific initiatives in the modelling which were robustly evaluated. Recommendation 4 Recommendation 5 Recommendation 6 There needs to be a greater focus, There needs to be an enhanced Greater innovation, increased and investment in, prevention focus on initiatives such as investment and better evaluation and early intervention initiatives throughcare and re-integration of new and existing initiatives that address the key drivers of programs that reduce the is required to improve access Indigenous incarceration likelihood of reoffending to quality data and add to the existing knowledge base To achieve change in this area, it is For those who are imprisoned, there on initiatives that have the critical that there be investment in needs to be greater opportunities to prevention and early intervention access and participate in programs potential to reduce the rates of initiatives and programs, which will and initiatives that improve Indigenous incarceration deliver significant results over the the ability of individuals to re- To bring the sustained focus needed, long term. integrate into the community and an independent, data and research contribute meaningfully. These central agency with Indigenous The environment needs to be need to be tailored specifically for created to give license to decision oversight could be established. Indigenous people. The role of this body would be to makers to invest in prevention and early intervention. This requires a An initial step would be for coordinate, commission, review and sustained education campaign to governments to work closely evaluate initiatives and programs broaden and deepen community with Indigenous organisations to designed to reduce the rates of understanding of key drivers that identify, customise and implement incarceration for Indigenous people lead to Indigenous people coming initiatives that reduce the likelihood focusing on evidence and impact. into contact with the justice system of reoffending. The central agency could also focus in the first place. on improving the quality of data to better support decision making and To kickstart this process a summit of measurement of progress. key stakeholders, led and convened by Indigenous organisations, should This entity should have flexible be held to identify and set priorities and sustained funding to invest in for innovative future investment innovation, both within the justice and public awareness. An existing system, and solutions that sit outside opportunity for this, which could be of it. It should be a clearing house for built upon, is the ongoing work of ‘what works’. The entity would not the Redfern Statement Alliance, led deliver initiatives itself, but would by Indigenous peak bodies. commission others to do so. The performance of such an agency should be monitored and tied to Closing the Gap justice targets. 9. Change the Record Coalition (2015). Blueprint for change. The Change the Record Coalition Steering Committee, www.reconciliation.org.au/wp-content/ uploads/2016/11/Change-the-Record-Blueprint_web.pdf. Access 20 January 2017.` Indigenous incarceration: Unlock the facts | 11
It is important to acknowledge that The Girls Football Academy will this does not mean that Indigenous- initially focus on working with specific initiatives are not, and young Indigenous girls across Years cannot be effective. Rather it 7 to 12 at four to six schools across suggests that investment is required Victoria and Western Australia for a in building the evidence base given pilot period of two years. the failure to appropriately fund evaluations, matched with the short The key objective of the program is term nature of funding cycles. to improve the education outcomes and overall wellbeing of young Indigenous women, and therefore We have demonstrated reduce the risk of contact with our commitment to action the criminal justice system. This by establishing a new program will harness the power of program aimed at young sport in improving outcomes for Indigenous Australians. Indigenous girls PwC and PIC have been working on Reducing the rates at which a pro bono basis with the Richmond Indigenous Australians are Football Club and the Korin Gamadji imprisoned is a complex issue that Institute as well as the Wirrpanda will require the combined efforts of Foundation and the West Coast the public sector, the private sector, Eagles Football Club to develop a NGOs and Indigenous organisations business case and secure support working together. and funding for implementation of In addition to this report, we are the Girls Football Academy. also showing our commitment This collaborative approach is to practical action in this area intended to ensure the success and by partnering to establish reach of the program across Western a pilot program, the Girls Australia and Victoria, with the Football Academy. intention of expanding the program Indigenous women are currently into other states and territories in the fastest growing cohort of the the future. incarcerated population in Australia. Keeping Indigenous girls in school will reduce their likelihood of coming into contact with the justice system, yet there are few programs specifically designed for this group.10 10. Higgins, D, and Davis, K (2014). Law and justice: prevention and early intervention programs for Indigenous youth. Closing the Gap Clearinghouse, Resource sheet no. 34. Canberra: AIHW; www.girlsacademy.com.au/wp-content/uploads/2016/11/Prospectus-2017.pdf. 12 | PwC
Indigenous incarceration: Unlock the facts | 13
Contents Foreword3 Executive summary 4 1. About the project 16 1.1 PwC’s #Purpose campaign 16 1.2 Objectives of the project 16 1.3 Our approach 17 2. Background and context 18 2.1 High rates of Indigenous incarceration 18 2.2 Key justice-related reports and reviews 22 2.3 Key drivers of Indigenous incarceration 23 3. Economic and social costs of high Indigenous incarceration rates 25 3.1 Introduction 25 3.2 Economic and fiscal costs of Indigenous incarceration 25 3.3 Consequences of Indigenous incarceration 31 3.4 Intergenerational impact of Indigenous incarceration 32 3.5 Conclusion 33 4. Key elements for a holistic approach 34 4.1 Self-determination 35 4.2 System reform 36 4.3 Law reform 39 4.4 Increasing community awareness 40 4.5 Initiatives and programs 40 5. Initiatives to address the disproportionate rates of incarceration 41 5.1 Introduction 41 5.2 Approach 42 14 | PwC
5.3 Universal prevention 42 5.4 Early intervention 43 5.5 Targeted intervention 45 5.6 Prison system and post-release 48 5.7 Justice Reinvestment 50 5.8 Conclusion 51 6. Estimated impact of initiatives 52 6.1 Introduction 52 6.2 Universal initiative – universal access to four year old pre-school 54 6.3 Early intervention – comprehensive child and maternal health visits 55 6.4 Targeted intervention – holistic case management and cognitive behavioural therapy/multisystemic therapy for children and young people who offend 56 6.5 Prison system and post-release interventions – employment and healing program 56 6.6 Cumulative scenario 57 6.7 Closing the gap 57 6.8 Conclusion 58 7. Implications and next steps 59 7.1 Key findings 59 7.2 Recommendations 60 7.3 Next steps 61 7.4 Commitment to action 61 Appendix A Key drivers of Indigenous incarceration 64 Appendix B Methodology and technical notes 70 Appendix C Summary of assessed initiatives 83 About Us 95 Disclaimer 95 Indigenous incarceration: Unlock the facts | 15
1. About the project 1.2 Objectives of the project The objective of this project is to raise awareness of, and help drive action to address, the disproportionate rates of Indigenous 1.1 PwC’s #Purpose This is the largest single pro bono incarceration across Australia. While investment PwC is making this year campaign the need to address the rates of in Australia and reflects both the Indigenous incarceration has been At PwC, our purpose is to build importance of the issue as well as articulated in a number of reviews trust in society and solve important our commitment to partner with the and publications, many of these tend problems. In 2016, PwC launched a Indigenous community to address to focus on the justice system. #Purpose campaign, inviting PwC Indigenous disadvantage and create staff across Australia to put forward opportunities for Indigenous people. Indigenous Australians are ideas for projects to invest in that dramatically over-represented in focus on addressing important the criminal justice system, and the societal issues. PwC’s Executive situation is getting worse (Figure 7). Board agreed to invest significantly When the Royal Commission into in the project Indigenous Aboriginal Deaths in Custody incarceration: unlock the facts. (RCIADIC) was released in 1991 Indigenous Australians represented 2 per cent of the Australian population and 13 per cent of the total prison population.11 Figure 7: Australian imprisonment rates Indigenous men are imprisoned at 11 times the rate of the general male population General male population Indigenous men Indigenous women are imprisoned at 15 times the rate of the general female population General female population Indigenous women Indigenous youth are imprisoned at 25 times the rate of non-indigenous youth Non-Indigenous youth Indigenous children and youth Source: ABS (2016). Corrective services, Australia, June quarter 2016. Canberra: ABS; AIHW 2017. Youth justice in Australia 2015–16. AIHW Bulletin no. 139. Cat. no. AUS 211. Canberra: AIHW. 11. Royal Commission into Aboriginal Deaths in Custody (RCIADIC) (1991). Royal Commission into Aboriginal Deaths in Custody: National reports [Vol 1-5], and regional reports. Canberra: Australian Government Publishing Service. 16 | PwC
Despite representing just 3 per cent 1.3 Our approach Examination of the international of the population, Indigenous evidence base was used to identify Australians now account for Our approach included an initial initiatives that have shown 27 per cent of the adult prison current state review to understand statistically significant evidence population and 55 per cent the current issues, and key drivers, of outcomes in addressing the key of children and young people contributing to the high rates drivers, or rates of, incarceration. in detention.12 of Indigenous incarceration in Where possible, initiatives that have Australia. This involved exploring been implemented in Australia This project takes an holistic reports published in academic and/or in Indigenous communities approach, exploring the key journals, as well as by governments have been utilised. drivers of incarceration, as well and other organisations. Information as prevention, intervention and was distilled into key themes and Promising initiatives with the justice system initiatives that have summarised in a discussion paper strongest evidence base, and their the potential to reduce rates of for testing and validating with estimated impact, were used as Indigenous incarceration. In doing partners and key stakeholders. scenarios to input into the economic so, this project was designed to model in order to demonstrate the contribute to the existing knowledge Building on this current state review, potential savings to individuals, base through: an economic model was developed governments and society through to quantify the long term cost to their implementation in Australia. • Economic modelling to quantify Australia of the disproportionate both the current and projected The potential savings that could rates of incarceration experienced be generated if Indigenous economic cost of Indigenous by Indigenous Australians. incarceration rates to Australia incarceration rates were the same as Incarceration has a lasting impact those for non-Indigenous Australians • Detailed research to identify the on the individual and on the next has also been modelled. most effective ways to reduce generation. The interventions can Indigenous incarceration rates also have a longer pay back period. • Providing new information For these reasons, to capture the full on the potential savings from impacts of the lifetime costs and the implementing initiatives full potential cost savings, we have that reduce the rate of to look at the impacts over a lifetime. Indigenous incarceration For this reason, the economic modelling undertaken in the report • Creative and compelling ways to extends to 2092 which is equivalent communicate the findings of the to the year that a Aboriginal or project and the need for urgent Torres Strait Islander person born and major action to address today would live to. Indigenous incarceration rates. 12. ABS (2013). Estimates of Aboriginal and Torres Strait Islander Australians, June 2011. Canberra: ABS; ABS (2016). Prisoners in Australia, 2016. Canberra: ABS; AIHW (2017). Youth justice in Australia 2015-16. Table S75a: Young people in detention on an average day by sex and Indigenous status, states and territories, 2015–16. AIHW Bulletin no. 139. Cat. No. AUS 211. Canberra: AIHW. Indigenous incarceration: Unlock the facts | 17
2. Background and context 2.1 High rates of Indigenous States and territories incarceration Indigenous people represent a greater proportion of the prison The disproportionate rates of population than they do the general Indigenous incarceration in population in each Australian state Australia is not a new phenomenon. and territory (Figure 8). However, the degree to which Indigenous Australians are over- represented has increased over time. The disproportionate rates are observed across a range of demographics, whether across states and territories, by gender, or in adults and young people (children 10 to 17 years of age). Figure 8: Indigenous incarceration in Australia, by state and territory 20% 84% 32% Indigenous Australians 38% 3% as a proportion of the 2% population (adults) Indigenous Australians as a proportion of the prison 19% 1% population (adults) 24% 2% 24% 1% 8% 1% 3% 16% Source: ABS, Productivity Commission 18 | PwC
Indigenous men and women 5,000 9: Australian adult incarceration, by gender (rates per 100,000) Figure In 2015, Indigenous men were 5,000 11 times as likely to be incarcerated 4,000 as non-Indigenous men (4,136 per 100,000 compared to 367 4,000 3,000 per 100,000). This disparity has remained relatively constant since 3,000 2000 when Indigenous men were 2,000 12 times as likely to be incarcerated when compared to non-Indigenous 2,000 men (Figure 9). 1,000 While representing only 2 per cent 1,000 of Australian women, Indigenous 0 2000 2005 2010 women comprise 34 per cent of the 2015 female prison population within 0 Indigenous males General 2010 male population 2000 2005 2015 Australia. In 2015, the imprisonment rate for Indigenous women was 443 Indigenous males General male population per 100,000 compared to 30 per 100,000 of non-Indigenous women, 500 meaning Indigenous women were 500 15 times as likely to be incarcerated 400 as non-Indigenous women (Figure 9). 400 300 Detention of Indigenous young people 300 200 The rates of detention for both Indigenous and non-Indigenous 200 young people have declined since 100 1981, most likely as a result of 100 changes to legislation and policy, 0 and the introduction of diversionary 2000 2005 2010 2015 programs for young people who 0 have offended. However, the rates of Indigenous females General2010 female population 2000 2005 2015 detention for non-Indigenous young Source: ABS (2016). Corrective Services, Australia, June Quarter 2016. Canberra: ABS. Indigenous females General female population people have declined substantially more than those for Indigenous young people. As a result, the over- Figure 10: Australian youth in detention, average day (rate per 100,000) representation of Indigenous young people in detention has increased. In 500 2015-16, Indigenous young people were 25 times more likely to be 400 detained in a youth detention facility than non-Indigenous young people (372.2 per 100,000 compared to 300 14.6 per 100,000) (Figure 10). Despite Indigenous young people 200 representing less than 6 per cent of Australia’s 10 to 17 year old 100 population,13 Indigenous children and young people were estimated to account for 55 per cent of 0 children and young people in 2006–07 2009–10 2012–13 2015–16 detention in 2015-16.14 This Indigenous young people Non-Indigenous young people exposure substantially increases the likelihood of a young person being Source: AIHW (2017). Youth justice in Australia 2015–16. Table S85a: Young people aged 10–17 in detention on an average day by Indigenous status, states and territories, 2006–07 to involved in crime as an adult. 2015–16 (rate). AIHW Bulletin no. 139. Cat. no. AUS 211. Canberra: AIHW. 13. AIHW (2017). Youth justice in Australia 2015-16. Table S147: Population of young people aged 10–17, by Indigenous status, states and territories, December 2006 to December 2015. AIHW Bulletin no. 139. Cat. No. AUS 211. Canberra: AIHW. 14. AIHW (2017). Youth justice in Australia 2015-16. Table S75a: Young people in detention on an average day by sex and Indigenous status, states and territories, 2015–16. AIHW Bulletin no. 139. Cat. No. AUS 211. Canberra: AIHW. Indigenous incarceration: Unlock the facts | 19
Figure 11: Sample of national, state and territory reports relating to Indigenous incarceration, 1991 to 2016 1991 The RCIADIC found the troubling rate of Indigenous deaths in custody was due to over-representation of Indigenous people in custody. The Commission highlighted the need to address the levels of disadvantage experienced by Indigenous people in society. Changes to the criminal law system and to addressing the disadvantage that brings Indigenous people into contact with the justice system were proposed through 339 recommendations that placed an emphasis on empowerment of Indigenous communities to address the issues of disadvantage and incarceration from their own perspectives. Many are yet to be committed to and implemented. 2008 2009 The 2005 Social Justice Report called for Australian governments to commit to achieving equality for Indigenous people in health and life expectancy within 25 years. COAG responded by committing to ‘closing the gap’ in life expectancy between Indigenous and non-Indigenous Australians within a generation. COAG agreed to be accountable for reaching this goal and developed a set of targets as part of the National Indigenous Reform Agreement. While the agreement included health, education and employment targets, there were no targets specific to justice or incarceration. 2010 2011 2012 2015 Amnesty International Australia commissioned Clayton Utz to review the extent to which the recommendations of the RCIADIC had been implemented by state, territory and Federal Governments. The Review of the Implementation of Recommendations of the Royal Commission into Aboriginal Deaths in Custody tracked progress on all 339 recommendations of RCIADIC and found that while government support for the recommendations was strong when the RCIADIC final report was first released, action to address the recommendations had lagged. The report suggested that government plans to implement the recommendations and to report on progress made had been “highly inconsistent.” The report concluded that the bulk of the 339 recommendations remained unimplemented or only partially implemented. 2015 2016 20 | PwC
1997 2003 2006 Bringing Them Home was initiated to generate recognition among the general public of the impact of forcible removal on the needs of victims and their families. The report traced past laws, practices and policies which resulted in the separation of Indigenous children from their families, the subsequent effects, and examined the adequacy of current laws, practices and policies in relation to those who were affected by separation, and with respect to any future placement and care of Indigenous children. The report found that most families had been affected by the removal of children with between 1 in 3 and 1 in 10 Indigenous children forcibly removed from their families and communities between 1910 and 1970. The National Indigenous Law and Justice Framework outlined a national approach to addressing the complex interactions between Indigenous people and justice systems in Australia. The Framework sought to build a sustainable whole of government and community partnership approach to law and justice issues to eliminate Indigenous disadvantage in law and justice, and close the gap in law and justice outcomes between Indigenous and non-Indigenous Australians. Rather than prescribe strategies or actions, the Framework articulated an evidence based ‘good practice’ approach. Strategies or actions were intentionally flexible to enable implementation responsive to community needs and consistent with jurisdictional priorities and resource capacity. While comprehensive in identifying Indigenous justice issues, the Framework did not compel any jurisdiction to implement strategies and actions. 2013 2014 The Change the Record coalition launched a Blueprint for Change report that highlighted the need to set justice targets and for governments to work with Indigenous communities, their organisations and representative bodies to design and invest in holistic, early intervention, prevention and diversion strategies. The blueprint also emphasised the need for strategies to be grounded in an understanding of Indigenous people’s culture and identity, and recognition of the history of dispossession and trauma experienced by many communities. As with the RCIADIC, the blueprint highlights the importance of Indigenous self-determination and prevention and early intervention approaches, through participation in the development and implementation of policies and programs if positive change is to be achieved. Indigenous incarceration: Unlock the facts | 21
Indigenous recidivism Royal Commission into the Protection and Detention of Prior detention or imprisonment increases the likelihood of future Children in the NT In 2016, the Royal Commission into the Protection and Detention of offending and contact with the Children in the NT was established in response to the ABC’s Four Corners justice system. Indigenous male prisoners are 1.5 times as likely to television program that aired shocking images of children and young have previously been incarcerated people in detention in the NT. as non-Indigenous prisoners.15 The “The Commission has been tasked with exposing any systemic failures disparity in reoffending is just as and with making recommendations to improve laws, policies and evident in women, with 67 per cent practices that will result in a safer future for children and young people of Indigenous women having in the NT. The scope of the Commission’s task is extensive, spanning both previously served time in prison the child protection and youth detention systems over a 10-year period.” compared to 36 per cent of non- Findings are to be reported back on 1 August 2017 with recommendations Indigenous women.16 made on possible legal, cultural, administrative and management reforms to prevent inappropriate future treatment of children and young persons Indigenous victimisation rates in detention, and improvements to the child protection system.18 It is important to note that Indigenous people are also more Australian Law Reform Commission Inquiry into the likely to come into contact with the incarceration rate of Aboriginal and Torres Strait justice system as a victim of crime. Islander peoples Victimisation rates are higher for With the over-representation of Indigenous people in prison having Indigenous people compared to increased since the RCIADIC 26 years ago, the ALRC were asked to examine non-Indigenous people for a number the factors leading to this over-representation, and consider law reform to of offences. Based on jurisdictions ameliorate this. A report is to be provided to the Attorney-General by 22 where data is reported (New December 2017, having considered: South Wales (NSW), Queensland (Qld), South Australia (SA) and • Laws and legal frameworks including legal institutions and law the Northern Territory (NT)), enforcement that contribute to the incarceration rate and inform Indigenous victimisation rates decisions to hold or keep Indigenous people in custody, specifically: are higher for assault (except in nature of offences resulting in incarceration; cautioning; protective Qld), sexual assault, homicide and custody; arrest; remand and bail; diversion; sentencing (including kidnapping (except in the NT).17 mandatory); parole, conditions and community reintegration • Factors decision-makers take into account: community safety; 2.2 Key justice-related alternatives to incarceration; degree of discretion available to decision- reports and reviews makers; incarceration as a last resort; incarceration as a deterrent and as a punishment The over-representation of • Laws that may contribute to the rate of Indigenous people offending, Indigenous people in the including laws that regulate the availability of alcohol, driving offences incarcerated population has and unpaid fines been the focus of numerous (national, state and territory) • Indigenous women and their rate of incarceration reviews and reports (see Figure 11 • Differences in the application of laws across states and territories for some examples). Despite this • Other access to justice issues including the remoteness of communities, volume of important work, the the availability of and access to legal assistance and language and disproportionate rates of Indigenous sign interpreters.19 incarceration have persisted and worsened due to a lack of action and follow-through on the recommendations of these reports. The pending Royal Commission Our work takes a holistic focus, While there are factors that lie into the Protection and Detention of examining the key drivers that lead within the justice system that, Children in the NT and Australian to Indigenous incarceration and the if addressed, could help close Law Reform Commission Inquiry over-representation of Indigenous the gap between Indigenous into the incarceration rate of Australians in prison. and non‑Indigenous rates of Aboriginal and Torres Strait incarceration, addressing the key Islander peoples will be the latest drivers that lead to offending and contributions to addressing the contact with the justice system in over-representation of Indigenous the first place has the potential for people in prison. It is critical that the greater impact in the longer term. recommendations of these reviews 15. ABS (2016). Prisoners in Australia, 2016. Canberra: ABS. are acted on and implemented. 16. Bartels, L (2012). Sentencing of Indigenous women. Indigenous Justice Clearinghouse, Brief 14. 17. ABS (2016). Recorded crime – victims, Australia, 2015. Canberra: ABS. 18. www.pm.gov.au/media/2016-07-28/royal-commission-child-protection-and-youth-detention-systems- northern-territory. Accessed January 2017. 19. www.alrc.gov.au/inquiries/indigenous-incarceration. Accessed January 2017. 22 | PwC
2.3 Key drivers of Indigenous incarceration The key drivers that lead to, or increase the likelihood of, Indigenous incarceration can be separated into either underlying causes (Figure 12) or additional factors related to the justice system (Figure 13). Figure 12: Underlying causes of Indigenous incarceration Education Employment • Lack of educational access and attainment is linked to likelihood of poor • Half of first time offenders (2 of 3 who re-offend) are unemployed at time behaviour, crime, and imprisonment of arrest • Indigenous Australians are half as likely to finish Year 12 as non-Indigenous • Indigenous prisoners are 1.5 times as likely to be unemployed in the 30 days counterparts, and perform poorer on measures of educational performance prior to imprisonment as non-Indigenous prisoners • Indigenous people who complete school are 14 times less likely to be • 21% of Indigenous people 15+ years were unemployed in 2014-15 vs imprisoned than those that do not 6% nationally • Employed Indigenous people are 20 times less likely to be imprisoned Disability than those who are unemployed • Indigenous people are 1.7 times as likely to be living with a disability than non-Indigenous Australians Health • Individuals with cognitive impairment (eg intellectual disability • 73% of Indigenous men and 86% of Indigenous women in prison had a and acquired brain injury) are at greater risk of entering the diagnosed mental illness vs 20% of the general population criminal justice system • Indigenous youth in detention are more likely to have mental health • Indigenous Australians with cognitive impairment experience problems than non-Indigenous youth (81% vs 75%) earlier and more frequent police contact than their non-Indigenous counterparts • Access to health and community services for Indigenous people may be limited due to remoteness and cultural appropriateness • Key contributors to cognitive disability are Foetal Alcohol Syndrome Disorders (FASD) • FASD incidence is estimated to be at least 4 times greater among Indigenous Australians than non-Indigenous Australians Substance abuse • Substance abuse affects offending: as a means to Housing fund consumption; increasing the likelihood of offending behaviour; and increasing the risk of • In 2015, 25% of Australian prison entrants child abuse and neglect were homeless prior to imprisonment, with • Indigenous people are 1.5-3.8 times as likely to be Indigenous prison entrants more likely to be under the influence of drugs or alcohol at the time homeless than non-Indigenous prison entrants of their offence as non-Indigenous people (27% vs 24%) Poverty & disadvantage • 90% of Indigenous prison entrants link their • Indigenous households are often larger in size offending to substance abuse than non-Indigenous households • In 2007, 68% of Indigenous offenders tested • Substandard and inadequate housing can lead positive to a substance including 64% who self- to poor health, which is also an underlying reported alcohol consumption 48 hours prior cause of incarceration to arrest Underlying causes Intergenerational trauma • Ways forward reported that “not only did white Social exclusion and racism settlement bring…social disintegration but it • Australian Reconciliation Barometer findings show that brought enormous loss, trauma and grief.” in the 6 months prior to the survey, 46% of Indigenous Experience • Bringing them home reported that “high levels of of trauma Australians, experienced racial prejudice unemployment, poverty, ill health, homelessness, • Material poverty, or limited access to basic social needs and poor educational outcomes arise from the and services (e.g. education, healthcare, employment, and intergenerational effects of earlier assimilationist housing) can all lead to increased rates of incarceration policies, as well as being the direct outcome of dispossession and marginalisation…The • In non-metro areas geographic proximity adds devastating experiences of Aboriginal parents and further complications that can create inequities their families brought on by the removal of their within the criminal justice process, including issues children, the loss of control over their own lives, related to sentencing, court attendance and bail and powerlessness, prejudice, and hopelessness have parole conditions. left many problems to be dealt with today.” The • Social exclusion post-release can impact recidivism, with inquiry found that many children who were forcibly remote communities having limited access to appropriate removed from their families and communities community support programs and rehabilitation services suffered physical and sexual abuses. • The report concluded that “Indigenous families and communities have endured gross violations of their Child protection human rights. These violations continue to affect • Youth subject to care and protection orders and youth in out-of-home care are both 23 times Indigenous people’s daily lives.” as likely to be under supervision (detention or community-based) during the same year • An estimated 20% of Indigenous children have at • 14-16% of Indigenous young people experience supervision at some time between the ages least 1 parent in prison at any time. 10-17 vs 1% non-Indigenous • National rates of child protection substantiations (child has been, is being or is likely to be, Family violence and sexual abuse abused, neglected or otherwise harmed) are 7 times higher for Indigenous children than for non-Indigenous children (43.6 per 1,000 vs 6.4 per 1,000) • An estimated 87% of all women in custody have been a • Rates of out-of-home care are 10 times higher for Indigenous children than non-Indigenous victim of abuse either as a child or adult children (56.6 per 1,000 vs to 5.8 per 1,000) • Indigenous women are 34 times as likely to be admitted • Bringing them home report found Indigenous children are more likely than non-Indigenous to hospital as a result of family violence than non- children to be removed on the ground of ‘neglect’ rather than ‘abuse’, with “Indigenous Indigenous women parenting styles wrongly seen as the cause”. It has been suggested that risk assessment • Children exposed to family violence are at increased risk of frameworks used by child protection authorities in Australia “are biased against Indigenous becoming perpetrators themselves Australians as risk is understood in mainstream, white people terms, not in the context of Indigenous culture, where sharing of child minding commonly occurs.” Indigenous incarceration: Unlock the facts | 23
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