Jenny Macklin (Jagajaga, Australian Labor Party, Minister for Families, Housing, Community Services and Indigenous Affairs) Share this | Hansard source

I move:

That the requested amendment be made.

This request from the Senate is to enact the government’s proposed amendments to ensure that employees in the charitable and not-for-profit sector will not lose up to $100 a fortnight from 1 July. The government’s amendments to the bill make sure that employees in the charitable sector are not hurt by the previous government’s 2006 budget measure that changed the definition of income for family assistance law. The government’s amendments will restore the use of the net value of reportable fringe benefits in the definition of adjusted taxable income for family assistance. This will ensure staff in not-for-profit organisations will not suffer a loss of family tax or childcare benefits of up to $100 a fortnight after 1 July this year if their circumstances have not otherwise changed.

Up to 85,000 Centrelink customers are expected to benefit from this decision. Once this amendment goes through the parliament, Centrelink call centre staff will be able to advise affected customers of the new arrangements. Once the legislation is passed by the Senate, Centrelink will issue an IT systems change to make sure that net fringe benefit amounts are used and will adjust customers’ records accordingly.

Centrelink will make every effort to make sure that payments are maintained; however, I would say to all customers who have been affected that these are complex changes, so if any families are unsure they should contact Centrelink or their Family Assistance Office. The government and the charitable and not-for-profit sector have only recently become aware of the potential impact of the changes to family assistance law that were due to come into effect on 1 July and we have acted very quickly to make these changes.

Both public benevolent organisations and other charities are working with some of the most disadvantaged people in our community. We certainly value their work very highly and that is why we wanted to move these amendments through the parliament as quickly as we could. Time certainly is of the essence here, otherwise we will see staff working in these charitable and not-for-profit organisations losing up to $100 a fortnight from next week. So it is urgent that this change to the law be made. I certainly look forward to the support of the opposition to make sure that these very significant impacts on families will not take place. I commend the amendment to the House and ask that the bill be passed immediately without further amendment.

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