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

I've got some information that I'm able to provide to you that will shed light on the issue at hand. The schedule itself, as you are aware, closes the sickness allowance to new entrants on 20 March 2020, and ceases the sickness allowance altogether on 20 September 2020. Just for the benefit of Hansard, sickness allowance is the short-term income support payment for people aged 22 years to under pension age who have a temporary incapacity due to illness or injury and who have a job or study to return to after their recovery. It is paid at the Newstart allowance rate. It is generally granted for the length of a person's medical certificate, up to a period of 13 weeks. If payment is required after 13 weeks, a person must lodge another medical certificate. As I've stated in answer to Senator Patrick's question, around 8,400 existing sickness allowance recipients will continue to receive sickness allowance beyond 20 March 2020 until their current medical certificate expires—so their medical certificate takes them beyond the March 2020 date. Of these existing recipients, it is estimated that around 7,700 will lodge another medical certificate after 20 March 2020 and will be required to transfer to the jobseeker payment. They will be exempt from mutual obligation requirements, if they meet the incapacitated exemption rules. From 20 March 2020, new entrants who would previously have been eligible for sickness allowance will be able to claim assistance through jobseeker payment instead. The new entrants will also be exempt from mutual obligation requirements if they meet, again, the incapacitated exemption rules. That's the information I have to provide to you.