December 2014 Update

[Banjo]

www.welfarerights.org.au/sites/default/files/field_publication_documents/5090/Bulletin%20%2348%20-%20December%202014.pdf

Anyone willing to take the PDF and turn it into a readable document?

[downunder]

December 2014 Update
Bulletin # 48

Overview of changes

This update includes changes affecting social security and family assistance law and government bills currently before Parliament.

Cancellation of welfare payments on national security grounds

The Counter-Terrorism Legislation Amendment (Foreign Fighters) Act 2014 includes a measure giving the Attorney-General discretion to bar a person from receiving social security and family assistance payments indefinitely. The Attorney-General may exercise this discretion if a person’s passport has been cancelled or refused, or their visa cancelled, on national security grounds.

Some social security budget measures pass

The Social Services and Other Legislation Amendment (2014 Budget Measures No. 6) Act 2014
enacts a range of spending measures, originally contained in two budget bills, including:


Rename the Clean Energy Supplement as the Energy Supplement and cease indexation;
Pause indexation of the asset value limits for allowances, student payments and parenting payment single for 2 years from 1 July 2015;
Pause indexation of the asset test free area for pensions for 3 years from 1 July 2017;
Review Disability Support Pension recipients under 35 under the current impairment tables and apply program of support requirements;
Limit portability of student payments;
Limit portability of the Disability Support Pension to 28 days in a 12 month period;
Include untaxed superannuation income in the income test for the Commonwealth
Seniors Health Card, and increase portability of the card from 6 to 19 weeks (from 1
January 2015);
Remove relocation assistance for students relocating within and between major cities
(from 1 January 2015); and
Limit the Family Tax Benefit large family supplement to families with 4 or more children; remove the higher income free area based on the second and subsequent child; reduce the primary income earner income limit for Family Tax Benefit part B from $150,000 to
$100,000.

International social security agreement between Australia and India

Australia and India have entered into an agreement in relation to social security. Among other things, this will provide for former Australian residents living in India to claim the Australian Age Pension.

Proposed changes including bills before Parliament

The following bills were before the Parliament at the time of writing.

Budget measures related to social security

The changes to social security law proposed by the government in the May budget were originally contained in two main bills, the Social Services and Other Legislation Amendment (2014 Budget Measures No. 1) Bill 2014 and Social Services and Other Legislation Amendment (2014 Budget Measures No. 2) Bill 2014. As a result of opposition in the Senate, the government reintroduced these measures split between four bills: the Social Services and Other Legislation Amendment (Seniors Supplement Cessation) Bill 2014, the Social Services and Other Legislation Amendment (2014 Budget Measures No. 4) Bill 2014, Social Services and Other Legislation Amendment (2014
Budget Measures No. 5) Bill 2014 and Social Services and Other Legislation Amendment (2014
Budget Measures No. 6) Bill 2014. The main measures in the original bills are unchanged in substance. The Social Services and Other Legislation Amendment (2014 Budget Measures No. 6) Bill 2014 has now passed the Parliament (see above), but not the other three bills. The measures in these bills include: abolition of the seniors supplement, freezing of income free areas, changes to indexation arrangements, an increase in the Age Pension age to 70 and a six month waiting period for job seekers under 30.

Changes to job seeker compliance rules

The Social Security Legislation Amendment (Strengthening the Job Seeker Compliance Framework) Bill 2014 amends the current compliance framework by extending suspension of payments for failure to attend an appointment without a reasonable excuse until the person attends a rescheduled appointment, removing appeal rights in relation to suspension decisions, giving Centrelink a discretion to withhold a person’s full payment during a suspension period and creating a new penalty for non-attendance at appointments.

The government has withdrawn two further proposals:

- an increase in the number of job applications expected from job seekers to 40 per month; and

- a transfer of certain decisions in relation to compliance penalties from Centrelink officers to employment services providers (although providers now make new appointments after a job seeker misses an appointment).

Interest charges for certain student payment debts and introduction of student loans

The Social Services and Other Legislation Amendment (Student Measures) Bill 2014 amends social security law to allow for interest charges to be applied to certain debts incurred by recipients of student payments. Interest charges may be applied where the debtor does not have, or is not keeping to, an acceptable repayment arrangements. Although there is an existing legislative framework for applying interest charges, it has not ever been used.

The bill would also abolish the existing student startup scholarships, automatically paid to recipients of student payments to help with the up-front costs of study, and replace them with a loan. There are no grandfathering provisions for existing students. Students in higher
education and receiving student payments are eligible to apply twice yearly for loans of $1025 to assist with the costs of study. Repayment is contingent on income and on the same basis as repayment of loans under the Higher Education Loan Program.

Next Update

The next update will be published in March 2015.

Special acknowledgements

The publication of the Independent Social Security Handbook ONLINE and each quarterly update would not be possible without the knowledge and contribution of the staff of the Welfare Rights Centre, Sydney.

Matthew Butt
Editor
The Online Independent Social Security Handbook
Principal Solicitor, Welfare Rights Centre

ISBN 1 86403 125 5
Copyright © 2001 Welfare Rights Centre Ltd, Sydney
www.welfarerights.org.au

[Banjo]

Thanks for that downunder, I have several pdf conversion tools but the result still needs considerable editing.
I'll just add a little bold text.

[Banjo]

An independent report “Living on the Disability Support Pension” commissioned by NWRN will be released in early 2015.

The research was undertaken by Doctor May Lam, who has a background in employment services policy. The report documents the lives of 10 DSP recipients and highlights the key barriers to employment for people with disability, including: adequacy of income support, employer attitudes, lack of suitable job opportunities, inadequate employment services and social isolation. The report reveals the need to look closer at some of the assumptions underpinning current activation policy.

A link to the published report will be available in our next newsletter and will be published on our website www.welfarerights.org.au in early 2015.

WR

[Banjo]

Budget bills incompatible with human rights obligations
Welfare Rights Review Vol 1 No 1

A bipartisan Parliamentary Joint Committee on Human Rights (the committee) was established by the Human Rights (Parliamentary Scrutiny) Act 2011. It is tasked with examining bills that come before parliament to ensure compatibility with the rights and freedoms contained in the seven core human rights treaties to which Australia is a party.

The Budget Bills contain some of the most significant changes to the Australian system of income support since it was first introduced in a consolidated Social Security Act in 1947 including:

Introduction of a six month non-payment period for job seekers under 30;
Increases to the minimum age of newstart allowance to 25, and extension of youth allowance for younger job seekers up to age 24;
Raising the pension age progressively to 70;
A range of measures towards freezing indexation of income and assets tests
Removal of benchmarking, aimed at ensuring adequacy, of parenting payment single and pensions;
Proposals for disability support pensioners under 35 to be reviewed against the newer impairment tables and have new “program of support” requirements;
Reductions in conditions for receiving payments overseas (portability) for student payments and disability support pensioners;
Abolition of the pensioner education supplement and education entry payment;
Reduction to the family tax benefit end of year supplements and ceasing of indexation; and
Limiting family tax benefit part B to families with children under 6, with a new allowance for single parents receiving the maximum fate of family tax benefit part A with children age 6 to 12.

On 24 September 2014 the Committee found that two of the measures in the Budget Bill (No 2) were incompatible with our human rights obligations. Measures in Budget Bill (No 1) were also found to be of concern.

The proposal to impose a six month waiting period for unemployment benefits on some young people under 30 was found to be incompatible with the right to social security, and the right to an adequate standard of living. The Committee found that there was inadequate justification for the measure in the absence of information about how young people would sustain themselves during the six month period.

This finding was welcomed by welfare groups, including the NWRN. We had repeatedly drawn attention to the lack of alternative sources of support and the fact that this measure proposed a fundamental attack on the basic right to social security and the principle of adequate income support based on need (see our submission to the Senate Standing Committee on Community Affairs here).

The proposals to increase the Newstart Allowance eligibility age to 24 and to restrict access to Newstart Allowance for some under 30s were found to be incompatible with the right to equality and non-discrimination on the basis of age. The Minister was not able to explain how the apparent discrimination is not arbitrary and did not include an assessment of how the proposed changes to age cut offs were necessary, reasonable and proportionate.

In relation to the Budget Bill (No 1), the committee observed that, while the measures appeared neutral there were concerns that they may have a greater impact on women than men, as women are more likely to be recipients of social security, particularly payments for children. The committee is therefore seeking further advice from the Minister as to whether the measures are compatible with the rights to equality and non-discrimination on the basis of gender and family responsibilities.

The numerous other measures in the Bill, including the measure which would increase Age Pension age above the average life expectancy of Aboriginal men, were found to be compatible with human rights obligations.

These measures were split into four new Bills and are once again before the parliament. A summary of which measures ended up in each of the four Bills can be found in the Welfare Right Centre (NSW) blog here.

www.welfarerights.org.au/welfare-rights-review/welfare-rights-review-vol-1-no-1/budget-bills-incompatible-with-human-rights-0