Sharman Stone (Murray, Liberal Party, Minister for Workforce Participation) Share this | Link to this | Hansard source

I move:

That this bill be now read a second time.

This bill contains amendments to the Social Security Act 1991 to give effect to policy announcements made in the budget. These announcements build on the Welfare to Work reforms already introduced, ensuring even greater fairness, consistency and equity between groups with similar needs, in line with the government’s commitment to make it easier for unemployed people to engage with the labour market.

This bill makes eligibility for mobility allowance more consistent and provides greater assistance for people with disability to obtain or retain employment. It extends eligibility for standard rate mobility allowance to people participating in a vocational rehabilitation program, provided base qualifications for mobility allowance are met. The current standard rate is $74.30 per fortnight. People participating in a vocational rehabilitation program are already eligible for higher rate mobility allowance, if they meet base qualifications and work, or look for work of, 15 hours or more at or above the relevant minimum wage.

Higher rate mobility allowance was introduced as part of the Welfare to Work reforms to encourage people with disability into the open labour market. Eligibility for the higher rate of mobility allowance is now being extended to parenting payment recipients working 15 hours or more at or above the relevant minimum wage. Eligibility for the higher rate of mobility allowance is also being extended to people working for 15 hours or more in open employment and receiving wages assessed in accordance with the supported wage system. The current higher rate is $104 per fortnight.

The bill makes treatment of people receiving youth allowance more equitable by ensuring fast connection with employment assistance, and encouraging greater engagement with the labour market for young people once they cease study.

Partnered parenting payment recipients who have a partial work capacity due to disability will be treated more consistently, with the extension of access to a range of benefits including the pharmaceutical allowance, pensioner education supplement, pensioner concession card and telephone allowance. This is consistent with benefits received by disability support pensioners.

The bill removes disincentives in the income support system for people with shared care of a child, without reducing incentives to take up paid work. Increased access to payment rates is provided for people with dependent children, reflecting the important recommendations of the 2006 ministerial task force report on child support.

A minor amendment is also included to ensure that mature age job seekers can combine self-employment, as well as other types of employment, with voluntary work in order to meet their income support participation requirements.

These amendments continue the focus on supporting people being engaged by the Welfare to Work reforms. The changes will improve access to assistance, ensuring fairness and consistency in treatment, and making it easier for these groups to engage with the labour market.

There are minimal financial implications for these measures, with the total impact of the bill over four years being $18.2 million.

The bill also contains minor technical corrections to the social security law.

I commend the bill to the House.

Debate (on motion by Mr McClelland) adjourned.