Julie Collins (Franklin, Australian Labor Party, Parliamentary Secretary for Community Services) Share this | Hansard source

During the election campaign this government made a number of significant commitments to better support older pensioners who work, families with teenagers in full-time secondary study and families with new babies. The Families, Housing, Community Services and Indigenous Affairs and Other Legislation Amendment (Election Commitments and Other Measures) Bill 2011 delivers on these commitments. The seniors work bonus is expanded by this bill, so an age pensioner or service pensioner of qualifying age will be able to earn $250 per fortnight without any of those earnings affecting their pension entitlements. A pensioner will also be able to bank unused amounts of their work bonus, up to a maximum of $6,500. These banked amounts can be used to offset income that is earned in a later period. These changes will provide additional support to age pensioners and service pensioners who work, particularly those who undertake part-time or occasional work.

This bill also makes changes to the family assistance law to help families with teenagers in secondary study or a vocational education equivalent. From 1 January 2012, the maximum rate of family tax benefit part A for teenagers age 16 to 19 who are in full-time secondary study and under the primary care of their family will increase to $214 per fortnight, bringing it into line with the rate for teenagers aged 13 to 16. In addition, these changes will extend rent assistance to families with children aged 16 to 19 who receive more than the base rate of the family tax benefit part A. This additional financial assistance will help families support their teenagers’ continued participation in secondary education or a vocational education equivalent.

This bill also improves the delivery of the baby bonus, providing for parents of new babies who are eligible for the baby bonus to receive more of their payment up front. In 2011-12, the up-front amount will be $500 in addition to a regular fortnightly instalment. This will assist families with meeting the initial costs of welcoming a new baby into their family.

This bill also exempts annuities paid by the Thalidomide Australia Fixed Trust from income tax and from social security and veterans’ affairs income tests. These annuities are paid to people who have been affected by the morning sickness drug thalidomide. This bill ensures that these annuities are not taken into account as income in the hands of the beneficiaries.

Finally, the bill makes some minor amendments to the income management arrangements. Amongst other things, the start date of a savings period for the matched savings payment scheme is clarified so that people can begin saving as soon as they register for an approved course.

This bill delivers on a number of important government election commitments that will benefit families and pensioners. On behalf of the Minister for Families, Housing, Community Services and Indigenous Affairs I want to thank speakers for their contributions to the debate. Disappointingly, for the opposition even these important measures for pensioners and families are not above political games. Instead of supporting this bill and supporting measures to assist Australian families and seniors, the opposition has once again employed its customary cheap ambush tactic and moved amendments that could jeopardise the passage of an important bill. As those opposite will know, the government has brought forward a legislative comprehensive review of student income support with a particular focus on the capacity of rural and regional students to access higher education. But the opposition continues to wreak havoc, pull down and play games with the Australian people. While they put politics above policy, the Gillard government is getting on with the job of delivering on our election commitments and delivering for Australian families and seniors. Accordingly, the government will oppose the opposition’s amendments and commends the bill to the House in its current form.

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