YOUNG parents and jobseekers in Hervey Bay and Bundaberg are set to be placed on the Federal Government's Cashless Debit Card, which will be rolled out across the Hinkler electorate early next year.
Federal Human Services Minister Alan Tudge will today travel to the Hinkler electorate to announce the region as the next site for the card.
The controversial card will be provided to people aged 35 and under on unemployment benefits and those on parenting payments.
Eighty per cent of their payments will be placed on the card with about 6700 welfare recipients across the region to receive the card.
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On his website, Mr Pitt said he believed the region needed a drastic change to break the cycle of "intergenerational welfare dependence".
The statement said the Hinkler region had been chosen to "help address key social problems identified during the consultations".
"In particular, the high youth unemployment and intergenerational welfare dependence and the high use of alcohol, drugs and gambling including among young parents," the statement read.
"The region has the second highest youth unemployment rate in Queensland at 23.6 percent with many now experiencing intergenerational welfare dependence.
"Of those who are under 30 on unemployment benefits today, 90 per cent had a parent who was also on welfare during the past 15 years - the majority of whom were on welfare for at least 9 of the last 15 years."
The card's introduction was justified in the statement by citing entry level jobs were often not taken up by people in the region despite the high welfare dependence.
"Just this week, 387 positions were advertised on the local Jobactive website," the statement said.
"Thousands of backpackers work in the region doing entry level positions."
The evaluation of the Cashless Card trial showed the card helped to "increase motivation for job seeking in the trial locations," the statement read.
The investment of $1 million in community services at the time of the roll out of the card would be provided to drug and alcohol services, financial capability services, employment and families and children's programs.