Michael McCormack (Riverina, National Party) Share this | Hansard source

It is always a pleasure to follow the member for Ryan, who I know has such a passion for and commitment to Defence people, not just within her electorate but also of all other electorates. I commend her for her work with the Boer War memorial commemoration. I know she is a descendant of a Boer War soldier, and full credit to her for pursuing that very noble cause. And her son is coming back from Afghanistan today, she tells me. That is wonderful news, and we wish him all the very best as he returns to Australia after such important work on behalf of our nation.

I rise to speak on the Veterans' Affairs Legislation Amendment (Military Compensation Review and Other Measures) Bill 2013. This bill implements the adopted recommendations arising from the Review of Military Compensation Arrangements. The review, a 2007 Labor election commitment, was finalised in early 2011 and the government responded in the 2012-13 budget. This is important, because our defence is critical to our nation. As the minister is here, I would like to note the $25 million in last night's budget for health services for veterans. That provision is for returned servicemen and women, for peacekeepers as well as for people engaged in humanitarian relief efforts. It is very important that the government has set aside $25 million to help meet this need in the 2013-14 budget. That is commendable.

Not commendable is the fact that in last year's budget $5½ billion was stripped out of the military, and I know what effects that had in my electorate. I come from the tri-service city of Wagga Wagga, where every soldier recruit goes through the Blamey Barracks at Kapooka. We also have a Royal Australian Air Force base at Forest Hill at which there is also a Navy base, even though we are a good 350 kilometres from the nearest drop of seawater. It is a very important naval institution and training base, working in coordination with the very important Army and Air Force bases in Wagga Wagga. May their work long continue.

As I said, in 2007 Labor promised a thorough review of military compensation arrangements, specifically focused on the Military Rehabilitation and Compensation Act 2004. This review, which was chaired by the then Secretary of the Department of Veterans' Affairs, Mr Ian Campbell PSM, found that 'the objectives of the MRCA are sound.' It also confirmed that the unique nature of military service justified rehabilitation and compensation arrangements specific to the needs of the military. The military is a unique organisation; it is a unique sector, as we all know. The review made 108 recommendations, of which 94 were adopted in full or with modification enhancement, with a further two recommendations replaced with favourable outcomes. Nineteen of the recommendations need legislative amendment and are covered by 13 schedules in this bill. The bill has a net cost of $17.4 million. The total package of reforms will cost $39.6 million, offset by savings of $22 million through the provision of treatment cards to SRC Act clients.

The coalition supports this. We did, however, insist that a Senate inquiry into the legislation be conducted. The coalition requested that all members of the Ex-Service Organisation Round Table be contacted about the review and invited to make a submission, because we felt that was necessary. We also know that all too often this Labor government rushes legislation through this parliament without the proper consultation of industry, without the proper consultation of stakeholders.

The committee has reported to the Senate. Submissions were received from the Royal Australian Air Force Association, the Returned and Services League of Australia, the Australian Peacekeeper and Peacemaker Veterans Association, the Defence Force Welfare Association, the Department of Veterans' Affairs, the Office of the Australian Information Commissioner, the Financial Planning Association of Australia, Slater & Gordon Lawyers, KCI Lawyers, Mark Raison and John Goldsworthy.

So, the stakeholders have been consulted; the committee has reported to the Senate; the coalition is giving in-principle support; and, finally, while the minister is present and whilst I have acknowledged that there is $25 million for the mental health welfare of returned servicemen and women, and others, I would again implore this government in the weeks and months remaining to look at a fair indexation legislation for our returned veterans. They put their life on the line for this nation. They are not being properly indexed. The coalition has said that it will properly and fairly index DFRB and DFRDB recipients. They need to be indexed to the same level as aged and service pensions. They are not at the moment. It is a disgrace—indexation is necessary.

I know how much Robert Bak, who lives in Bethungra in my electorate—he is the head of the Integrated Service People's Association of Australia—wants this particular fairness to be enacted for the veterans who he serves. And I know how passionate he is—like the member for Ryan—about our veterans and the efforts they have gone to on behalf of this country. All too often when they return to Australia the financial aspect of their life is ignored by this government. We look forward to a coalition government, hopefully after 14 September, which will properly index those veterans' superannuation entitlements.

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