Jenny McAllister (NSW, Australian Labor Party, Minister for Emergency Management) Share this | Hansard source

In rising to speak on this bill today, I wish to first and foremost express my continued gratitude to Australia's veterans community for their service to our country. The Albanese government accepted and took swift action on the first recommendation of the interim report of the Royal Commission into Defence and Veteran Suicide to simplify and harmonise the legislation governing compensation, rehabilitation and other supports for veterans and families so that they can not only access the support that they need and deserve but receive it in a timely manner.

Under the current legislative model, veterans entitlements are determined under one or more of three primary compensation acts: the Military Rehabilitation and Compensation Act 2004, known as the MRCA; the Veterans' Entitlements Act 1986, known as the VEA; and the Safety, Rehabilitation and Compensation (Defence-Related Claims) Act 1988, known as the DRCA. Which act or acts apply to a veteran depends on when they served and which period or periods of services caused or contributed to the condition being claimed.

The Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Bill 2024, known as the VETS bill, modifies the current tri-act legislative framework by providing for all claims for compensation and rehabilitation received from 1 July 2026 to be determined under an enhanced MRCA. In essence, the changes in this bill will make it easier for veterans and families to know what they are entitled to, make it simpler for advocates to assist veterans and their families with those claims, and make it quicker for DVA to process claims so veterans and families get the benefits that they need and deserve in a timely way.

The government will also propose three amendments following the Senate Foreign Affairs, Defence and Trade References Committee inquiry into this bill, the release of the final report of the royal commission, advocacy from the veterans community and consultation with the opposition, the Jacqui Lambie Network and the Australian Greens. The first amendment provides for a Senate foreign affairs and defence committee to initiate a review of the enhanced MRCA, to be conducted 12 months after the act commences. The second allows for apportionment of payments to veterans with severe impairment in relation to their children under section 80 of the MRCA. And the third amendment implements the government's response to recommendation 122 of the royal commission's final report by establishing an independent body, headed by a commissioner, to provide advice and oversight on reducing deaths by suicide in the Defence and veterans community.

I'd also like to take this opportunity to offer additional information for senators following debate. The government notes the concerns expressed by the opposition regarding the statement-of-principles system, known as SOPS, and the role of the Repatriation Medical Authority. However, it should be underscored that the royal commission examined this matter and did not recommend a change to this feature of the military compensation system. I would also note that the VETS bill will actually add flexibility to the SOP arrangements by introducing two new liability tests that do not rely on the SOPS—namely, the presumptive liability arrangements and temporal connection to being on duty, both of which were noted by senators earlier in the debate. Furthermore, the current flexibility under section 340 of the MRCA will be retained, which permits the Military Rehabilitation and Compensation Commission to determine its own SOPS outside the RMA process where warranted.

Regardless of these improvements, I would note in this context that, under the MRCA, using the SOP system, the acceptance rate for liability claims sits at 80 per cent or higher on an annual basis. This system ensures that sound medical and scientific evidence is applied consistently, fairly and equitably in the assessment of veterans' claims, with no need for further review of these beneficial arrangements.

With respect to comments made that the bill results in modest improvements for veterans and minor bureaucratic improvements only, I would note that the passage of the bill would result in an additional $222 million being provided to veterans and their families in the form of increased compensation and health care in the first two years of operation alone, with ongoing support beyond this period. In addition to these increased levels of compensation and treatment, it was acknowledged that this legislation will make the veterans system easier for veterans and their families to navigate, ensuring they receive the care and support they need more quickly.

As mentioned, this bill implements the very first recommendation of the royal commission's interim report. Clearly, the royal commission, in prioritising this recommendation, viewed it as resulting in more than just minor bureaucratic improvements and saw harmonising and simplifying veterans' legislation as intrinsically linked to the issues of suicide and veterans' wellbeing. The level of support expressed for this bill by ex-service organisations and the veteran community more broadly would indicate that they see these changes being of real and tangible benefit to them also.

Finally, as this bill was still before the parliament when the government delivered its formal response to the final report of the royal commission on 2 December 2024, and recognising the urgency that veterans attach to recommendation 122 to establish an ongoing, independent body to provide advice and oversight on reducing deaths by suicide in the defence and veteran community, we have taken this opportunity to legislate to implement this recommendation as a priority, and I will speak further on the government amendments shortly, should time permit. The Albanese Labor government is committed to continuously improving and adapting to the needs of current and former serving Australian Defence Force personnel and families.

I acknowledge Minister Keogh, who was here in the chamber earlier. I know that he has worked hard on this historic reform, but I know, too, how much he has valued those who've advocated for reform and, especially, those who participated in and bravely shared their experiences with the royal commission. The government also acknowledges the partnership we have been able to form with Senator Lambie, and we thank her for her advocacy, her constructive approach and her dedication to veterans and their families.

This is an historic reform. It will benefit veterans and their families for generations to come. I commend the bill to the Senate.