The existence of difference and discrimination in society, due to inadequate access to socially valued resources such as healthcare, housing, employment and the justice system, permits social differentiation and enables the formation of social classes. Social classes are a chief mechanism of organisation and social control in Australian society, allowing the distribution of power, wealth and privilege as well as the formation of socioeconomic statuses and thus a form of identification, which ultimately reinforces difference rather than commonality. They are, however, also an important mechanism of self and group identity. Those at the top of the social class hierarchy attain power, authority, wealth and political privileges, generally presenting a vested interest in maintaining their social position and socioeconomic statuses, thus consolidating and reasserting their power and authority. This action of consolidating ones power may lead to institutionalized discrimination, which is evident with evaluation of Indigenous Australians.

Indigenous Australians are overtly represented as underclass and underprivileged citizens, living in relative poverty. The mere of fact of being aboriginal can lead to identification in the lower rungs of the social class ladder, thus constituting a form of institutionalized discrimination, as they do not possess the power and authority to redress their situation, which ultimately gives those members of society with the power to redress, the ability to reassert their own power, status and authority. This is evident in the past protectionist policies adopted by the Australian "white" government, which throughout the 20th century adopted a range of assimilation, protection and integration policies placing Indigenous Australians at the whim of politicians and upper class socialites. The assimilation policies allowed breaches of human rights, presenting a level of conflict, with the forced removal of children, constituting cultural genocide and ultimately led to the degradation of that society and culture. Furthermore, the government's refusal to acknowledge native title and land rights until the Mabo v Wik cases of the early 90s constituted a form of discrimination as it provided belief that Australia was settled, as determined by the English law of terra nullius.

When considering the significance placed on equality of opportunity in Australian society, it is important to note the notion of a welfare state, which involves a belief that the government has a moral and ethical responsibility to protect those least able to protect themselves, in this instance, Indigenous Australians, supported through government policy regarding access to socially valued resources, such as education through the NSW department of education, public housing via the housing commission, Medicare to promote public health, Centrelink presenting a social security network providing financial assistance as well as Legal Aid to increase access to legal representation.

However, Indigenous Australians continue to have a very limited amount of power to redress their situation, presenting a great reliance on the government to do so. This is evident in the low level of access to socially valued resources and the poor living standards afforded to them, reinforced by minimal access to housing and healthcare, with an inquiry into Australia's health in 1994 revealing that indigenous Australians were three times more likely to die of childhood diseases than other Australians, with males being 7.3 times more likely to die of respiratory infections than non indigenous males and mortality rates being some 15-20 years lower then non Indigenous Australians. Furthermore, there is a significant disparity between the living conditions and health status of many Aboriginal and Torres Strait Islander people, and those of other Australians. According to 1996 census data 6.2% of indigenous households include more than one family, compared with 1.1% of other Australian households. Overcrowding leads to faster deterioration of housing and exacerbates environmental health problems.

Access and the ability to effectively use information and communications technologies (ICT) to obtain information and services are increasingly important to fully participate in contemporary Australian economic, political and social life. However, conflict still arises in online access and use especially for indigenous Australians. Due to their socioeconomic status they have a lack of access to ICT. This is known, as the "Digital Divide" and is best understood as part of a socio-economic context and related to the issue of social exclusion. Furthering digital inclusion will require a detailed understanding of the digital divide, policy and projects to focus attention on the social, cultural, economic, educational and material factors that continue to exclude people from participating in society and the information economy. With the potential for new technologies as a platform for stronger social cohesion and underpinning social development it is crucial that reforms be made to allow greater access and educate indigenous Australians of ICT in order to increase equality.