Rachel Siewert (WA, Australian Greens) Share this | Link to this | Hansard source

My question is to the Minister for Human Services, Minister Carr. The minister is aware of the distress caused by the incorrect letter telling single parents that their pensioner concession cards had been cancelled. Is the minister aware of the concerns that some pay arrangements have not been transitioned, direct payments are being dishonoured, utility bills not paid, people are having to wait for Centrelink appointments and demands are growing from people seeking help from not-for-profit organisations because of financial hardship? Is the government monitoring the situation and what have they found? How many people have had to in effect default on their Centrelink arrangements, and what steps is your department taking to resolve these issues in a timely fashion?

Kim Carr (Victoria, Australian Labor Party, Minister for Human Services) Share this | Link to this | Hansard source

I thank Senator Siewert for her question. I indicate that she is correct that a letter containing incorrect information was sent to 74,000 people moving from parenting payments to the Newstart allowance. This was a result of human error compounded by a computer-generated letter system. This error in the letter occurred because the advice provided to these people was inserted into an existing template letter which contained the advice to destroy their concession cards. I have also indicated publicly that the department has apologised to those parents for whom this confusion occurred. I have also indicated that this information was completely in contrast to the information that was actually provided directly to the parents concerned in the interviews that were conducted prior to this letter being sent out and that there has been subsequently a further letter sent to all parents indicating the correct information. Parents were personally contacted to help in their move to the Newstart allowance and about 93 per cent of parents moving to the Newstart allowance by 1 January maintained their entitlements and their concessions.

I am advised that about 190 parents contacted the department about concession cards and that parents who remain concerned about their eligibility for a concession card or have destroyed or misplaced their existing card have been advised to contact the department directly or go to their nearest Centrelink office. I understand that that is the process that has been followed. I have also undertaken to ensure that a proper, thorough review occurs and to take immediate action to prevent this error occurring again. The department is taking increased efforts to scrutinise— (Time expired)

Rachel Siewert (WA, Australian Greens) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Perhaps when the minister is answering this question he can answer the actual question I asked last time, which is what they are doing about all those other issues that I raised. The minister has referred on numerous occasions to the government's supplements as a way of offsetting the cost for families who are transferred onto the lower payment of Newstart. Is the minister aware that families are being advised to use their Schoolkids Bonus to cover their immediate bills and housing costs, which in effect means they are not spending them on school?

Kim Carr (Victoria, Australian Labor Party, Minister for Human Services) Share this | Link to this | Hansard source

I am not aware that the department is providing that advice but what I can be clear about is that this is a bonus which the opposition wishes to remove. This is a bonus which will assist parents at this time of increasing costs, as we know, at the beginning of the school year. This is a payment which will assist parents of families with school-age children. It is why we make the payment—to assist parents meet the additional costs that come about at this time of the year.

Rachel Siewert (WA, Australian Greens) Share this | Link to this | Hansard source

Mr President, I rise on a point of order. I did not ask about what the school bonus was for. I asked the minister to answer my first question, but is he also aware that that advice is being provided to single parents?

John Hogg (President) Share this | Link to this | Hansard source

I believe the minister is answering the question at this stage. There is no point of order.

Kim Carr (Victoria, Australian Labor Party, Minister for Human Services) Share this | Link to this | Hansard source

I thank Senator Siewert for her question. I have indicated I was not aware of that advice being provided. I will take steps to establish the accuracy of that matter. I can indicate that not all people who were affected by this policy change were transferred to Newstart allowance. Some people were transferred to carer's payments. Some people have been transferred to disability support pensions. Nine people were in fact transferred to the aged pension. (Time expired)

Rachel Siewert (WA, Australian Greens) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. In a previous answer to a question that I asked, the minister said that he was not aware that the department was referring people to not-for-profit organisations for help. In fact, that claim was reiterated again this morning at a rally outside parliament. I ask the minister: is this policy of transferring single parents onto Newstart and dropping them into poverty in fact a complete policy failure?

Kim Carr (Victoria, Australian Labor Party, Minister for Human Services) Share this | Link to this | Hansard source

(—) (): The government has made it very clear that we wish to encourage closer links with community services organisations, which of course we know regularly help people who are vulnerable in terms of their access to services. The department contacts parenting payment single recipients to explain their rights to ensure that people are prepared for the changes ahead of those changes being made and to ensure that they have access to streamlined applications for other payments. If people are in financial difficulty, depending on their circumstances, they will also be referred to financial information services officers, information about Centrepay and other financial literacy services that are available through the Department of Human Services. This will also include the provision of support through social workers and are assessed for their eligibility for the hardship advance crisis payments. The policy intent— (Time expired)