Amanda Rishworth (Kingston, Australian Labor Party, Minister for Social Services) Share this | Hansard source

I would like to start by thanking all of those who have contributed in this important debate on the Social Security (Administration) Amendment (Income Management Reform) Bill 2023. Of course, what this bill does is provide updated technology to income management participants through the implementation of this bill. Through this debate we've heard a range of views, some of which do need to be corrected as it's important to be clear here to provide communities certainty about what these changes mean for them. We need to be clear that this does not change the current income management program or amend the underlying policy, which is based on applying restrictions to an individual's welfare payment when they meet specific eligibility criteria to ensure a portion of their payment cannot be spent on restricted goods.

Income management was introduced by the Howard government, well before the cashless debit card, as part of the Northern Territory Emergency Response. Income management is not a Labor creation, but we are the government and we are making sure that it is working best for the communities and the people that use it. For a decade their voice was ignored by the former government. Of course, the debate has shown that there are polarised policy views. The government is focused on getting on with the job. This bill, importantly, allows for the 24,400 existing income management participants living in remote, regional and metropolitan Australia who only have access to the BasicsCard now to also have a choice of going onto the enhanced income management card. Of course, this will allow new participants in this program to also go on to the card.

It is important we deal with the facts here and that we don't play politics with this. I have heard criticism from those opposite about the figure of $217 million, which they somehow claim is the cost of this new technology. I need to be clear to the House: that money is to go to services that were ending in the budget on 1 July, so these are existing services that had no certainty whatsoever which, therefore, need some certainty. When I spoke with communities, they said they wanted to keep the services that were in place that worked. Importantly, when I went out to communities, I spoke to them about additional services to really deal with intergenerational problems. So I have to correct the record there. That money really is about the support services on the ground. I am surprised those opposite are criticising or arguing against those services. I think communities would be surprised that those opposite are arguing against those services.

This bill does not change the proportion of payment that cannot be spent on restricted goods, which will remain the same on enhanced income management, based on an individual's personal circumstances. It does not change the items to be restricted. Importantly, it does not change the current ability for states and territories to refer people to income management where there are concerns relating to child protection. This ability is already there for states and territories to make these referrals and would be available on enhanced income management.

What this bill does is ensure that new income management participants, who would otherwise have been issued a basic card, be given access to the SmartCard. Importantly, I want to focus on the fact that enhanced income management and the new SmartCard interface are with Services Australia, which will not only ensure that people are able to get a holistic service from Services Australia, including access to things like Centrepay, but, importantly, it actually costs less to engage Services Australia to be the interface for those using income management.

The Senate Community Affairs Committee inquiry supported the approach that we are taking in this bill. Much has been said in the debate about the future of income management. Those opposite have made it clear they want to bring back the cashless debit card and make it compulsory again. We will be speaking to and consulting with communities and individuals about the future of income management. This is what we have committed to do. We want to hear from people directly about the solutions that work for them, the services that work for them. What I have heard directly is that they don't want, like the previous government did, us to make announcements without actually delivering that support. I am pleased we have been able to look at that economic development piece and we are now working with communities about what that economic development piece will look like. Applications have now closed for those grants, and we will be working through those carefully

Equally, consultation on drug and alcohol services has begun in the cashless debit card sites. With money that had been sitting in the budget for years under the previous government, we are getting on with the job of codesigning the support for the specific needs of the community. The money for these services is in the budget, and we will continue to look at how we are improving income management not only by providing the right technology but also by ensuring the broader program provides the support that communities need.

I commend the bill to the House. I will say that the government obviously will not be supporting the second reading amendment moved by the shadow minister. Obviously, that is a call to bring back the cashless debit card, and we don't support that. Equally, we want to deal with income management. We're not proposing to roll it back; that is not what this bill is about. Therefore, we won't be supporting the second reading amendment by the Greens. I commend the original bill to the House and hope that the House does support it.

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