Michaelia Cash (WA, Liberal Party, Minister for Jobs and Innovation) Share this | Hansard source

In the most simplistic of terms—just to take you through how it is all calculated—the bereavement allowance is paid at the pension rate of payment compared to the jobseeker payment, which will be paid at the allowance rate of payment. We've established that. As the bill is currently drafted, a bereaved person claiming jobseeker payment or youth allowance will receive a one-off lump sum payment following the death of their partner, in addition to their ongoing fortnightly payment. To ensure that no bereaved person is worse off under the new jobseeker payment, the amendment that we are currently looking at will change the way the payments are calculated for bereaved persons from 20 March 2020 to ensure that there will be no difference between what a bereaved person receives under jobseeker payment or youth allowance compared to what they would have received under the bereavement allowance.

In terms of the amounts, as I've already stated, most bereavement allowance recipients receive payment—as we've gone through in terms of the formula—for 14 weeks at the higher pension rate. Without this amendment, the total amount of the jobseeker payment over the 14 weeks, including the lump sum payment, was estimated by the department to be approximately $1,300 less than the amount of the bereavement allowance paid for the same period. In relation to the youth allowance, the difference is estimated at approximately $2,200. They will now receive that additional payment, which takes them back to what they would've received.