Senate debates

Thursday, 15 June 2017

Bills

Social Services Legislation Amendment (Energy Assistance Payment and Pensioner Concession Card) Bill 2017; Second Reading

12:48 pm

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party) Share this | | Hansard source

I rise to speak briefly on the Social Services Legislation Amendment (Energy Assistance Payment and Pensioner Concession Card) Bill 2017.

Labor will support this bill: we will not deny pensioners the very modest one-off payment outlined in this bill. However, Labor will not let the Turnbull government off the hook, because in every single budget the Liberals have handed down they have proposed cuts to the pension. The energy assistance payment in this bill is merely an attempt to distract Australian pensioners from the fact that this Liberal government wants to abolish the energy supplement. The Turnbull government is offering a one-off energy assistance payment of $75 to single pensioners, or less than $1.50 a week, while attempting to take $365 each and every year from single pensioners by removing the energy supplement to new pensioners.

We should also remember the origins of this one-off payment: it suddenly appeared on the day the Turnbull government did a deal with the Senate crossbench to get company tax cuts through the Senate. Let's be very clear about this: the Turnbull government is not making this one-off payment by choice, it is because they are paying off a deal. They are not doing it because they care about energy prices or pensioners. Labor will again oppose the government's attempt to remove the energy supplement from the most vulnerable when that measure is brought before the Senate.

The 2017 budget confirms that the Liberals and Nationals still want to abolish the energy supplement for pensioners. Axing the energy supplement will mean a cut of $14.10 per fortnight to single pensioners or $365 a year. Couple pensioners will be $21.20 a fortnight worse off or around $550 a year worse off. It is also worth noting that Newstart recipients will not get this one-off $75 payment. Australians struggling on Newstart will not get a cent as a result of this bill. However, Australians on Newstart face a cut as a result of the abolition of the energy supplement, with a single person on Newstart losing $8.80 per fortnight or around $220 a year.

Another schedule in this bill is the restoration of the pension concession card to around 90,000 pensioners who lost their pension on 1 January this year as a result of this government's changes to the pension assets test. This is an embarrassing backflip for the coalition. It was a double blow for pensioners to lose their pension as well as their pensioner card and all the concessions and discounts that came with it. Just a few months ago, the Minister for Human Services, Alan Tudge, said the issue of pensioner concessions was a matter for state, territory and local governments. All of a sudden, the Minister for Human Services has realised the federal government can restore pensioner concessions to these seniors. Labor does welcome the government's backflip but they have only done this because the Labor Party pressured them into it.

12:51 pm

Photo of Rachel SiewertRachel Siewert (WA, Australian Greens) Share this | | Hansard source

I rise to make a short contribution on the Social Services Legislation Amendment (Energy Assistance Payment and Pensioner Concession Card) Bill 2017. Schedule 1 of the bill provides for a one-off energy assistance payment to those receiving the age pension, the disability support pension and parenting payment single as well as recipients of a number of veterans' payments if they are residing in Australia on 20 June this year. Individuals who have made a claim for one of these payments on or before the test date and their claim is subsequently successful will also be paid the one-off payment in 2017-18. The payment is exempt from tax and will not be considered income for the purposes of social security.

Schedule 2 of the bill provides a pensioner concession card to pensioners and veterans who lost the card on 1 January 2017 as a consequence of rebalancing the assets tests. I should say here that the Greens will be supporting this bill. However, we do have concerns. The energy assistance payment, which, as I have just articulated, will be targeted at those receiving the age pension, the disability support pension and the parenting payment single. We have no objection whatsoever to that; in fact, we will support the bill so that they get this one-off payment because people still struggle to make ends meet on those payments. However, what I am deeply concerned about is these payments will not go to those Newstart or youth allowance. They will not be eligible for this payment.

When you consider that at least pensions are better indexed than Newstart payments and youth allowance, when you consider that both of those payments ensure that people live below the poverty line and when you consider that those payments are significantly lower than the payments received under the age pension, under the disability support pension and under the parenting payment single, I cannot for the life of me think why the government and the Nick Xenophon Team think that those on Newstart and those on youth allowance do not deserve this one-off payment as well, when they are the people that are living significantly below the poverty line.

As I said, I think those on parenting payment single should be getting this payment. But if we think that single parents should be getting this one-off payment, why are we not paying the single parents that are trying to exist bringing up a family on Newstart once their youngest child turns eight? Why are we not making sure that they get a payment? Because I tell you what, they certainly need an extra one-off payment for energy assistance, which will help them meet their bottom line because they are living in poverty. Why are we not acknowledging that these people are living in poverty? We have been campaigning for years to try and get Newstart increased. Everybody—except, apparently, most of the people in this place—realises that Newstart and youth allowance recipients need an increase and they have for years and years. They certainly need assistance to pay their energy bills.

I know the government is going to say, 'Yes, but they're only on there short term.' Let's acknowledge the reality that people now have to exist on Newstart for much longer because they cannot find a job. The latest stats are still basically the same for every—

Photo of Ian MacdonaldIan Macdonald (Queensland, Liberal Party) Share this | | Hansard source

Adani will fix that in Queensland.

Photo of Rachel SiewertRachel Siewert (WA, Australian Greens) Share this | | Hansard source

Could you please ask Senator Macdonald to stop interjecting?

Photo of Glenn SterleGlenn Sterle (WA, Australian Labor Party) Share this | | Hansard source

Just ignore the interjections.

Photo of Rachel SiewertRachel Siewert (WA, Australian Greens) Share this | | Hansard source

I find it very hard to ignore it when he is saying it so loudly.

Senator Ian Macdonald interjecting

Photo of Glenn SterleGlenn Sterle (WA, Australian Labor Party) Share this | | Hansard source

Order! Senator Siewert.

Photo of Rachel SiewertRachel Siewert (WA, Australian Greens) Share this | | Hansard source

For every job, there are six people trying to exist on income support in some areas. In those areas of most disadvantage, where there are fewer jobs, it is one in 10. That is the reality for people trying to exist on income support allowances—not pensions but allowances. Those people need this payment just as much as those that are going to receive it.

As I said, we will be supporting this bill, but we do need to recognise that there is a significant proportion of people that are trying to exist on income support, that are doing it really tough out there and who will not be receiving this additional money. These are also the people that the government keeps trying to vilify. Just this week Minister Tudge was out there vilifying certain suburbs in this country, trying to demonise those people again. In my home state of Western Australia he was trying to do it the same as he was doing it in New South Wales, in Queensland and in Victoria. He was continuing that campaign of denigrating people that are trying to get by on Newstart or on youth allowance.

Photo of Glenn SterleGlenn Sterle (WA, Australian Labor Party) Share this | | Hansard source

Senator Siewert, resume your seat. Senator Macdonald on a point of order?

Photo of Ian MacdonaldIan Macdonald (Queensland, Liberal Party) Share this | | Hansard source

As Senator Siewert is so keen to uphold the standing orders, could I ask you to have her desist from casting imputations against the minister in the way she has just done? She knows that is totally wrong and she should be restrained from doing it in the Senate.

Photo of Glenn SterleGlenn Sterle (WA, Australian Labor Party) Share this | | Hansard source

There is no point of order. Senator Siewert.

Photo of Rachel SiewertRachel Siewert (WA, Australian Greens) Share this | | Hansard source

Thank you for your ruling. There is no point of order because this is exactly germane to—

Photo of Ian MacdonaldIan Macdonald (Queensland, Liberal Party) Share this | | Hansard source

One rule for you, another rule for everyone else!

Photo of Glenn SterleGlenn Sterle (WA, Australian Labor Party) Share this | | Hansard source

Order!

Photo of Rachel SiewertRachel Siewert (WA, Australian Greens) Share this | | Hansard source

This is exactly germane to the nature of the discussion that we are having, where we are talking about providing a small increase to a group of people on income support and not to another group on income support: those on Newstart and youth allowance. It is part of a pattern that can be clearly demonstrated and I have been demonstrating over the years, and the latest is Minister Tudge releasing to the media—the usual media sources, I might add—lists of the numbers of people in particular suburbs. Quite clearly the way it is being portrayed in the media and the way the government intended for that to happen is for those suburbs to become a focus. The effect of what he is doing is to demean those people in those suburbs, and that is exactly how people have taken it. In our home state there is a significant backlash about it.

I will not mention the community again, but one example is a community in the southern metropolitan area in our home state of Western Australia. It had exactly the effect that the minister intended, which is to focus on those suburbs, but there has been a backlash because people are sick of it. They are sick of being treated the way they are being treated by this government.

Leaving out people on Newstart and youth allowance is perpetrating yet again more denigration and difficulties for people on income support and allowances rather than pensions. As I said, I am glad the aged pensioners and people on the disability support pension and parenting payment single will be receiving this payment. It should have been extended to all people receiving income support so that they would get a little bit of a fill-up when they need it most and in particular when they are trying to meet their energy payments. It would have helped their total bottom line. We will support this bill. We urge the government to look further into providing those struggling on Newstart and youth allowance the same sort of payment.

12:59 pm

Photo of Scott RyanScott Ryan (Victoria, Liberal Party, Special Minister of State) Share this | | Hansard source

I commend the bill to the Senate.

Question agreed to.

Bill read a second time.