Michael Ronaldson (Victoria, Liberal Party, Shadow Minister for Veterans' Affairs) Share this | Hansard source

I am indebted to my colleague Senator Cormann for providing me with a copy of a press release from the former Prime Minister, Kevin Rudd, and the Treasurer, Mr Wayne Swan, on 2 May 2010. That document said:

The Government also reaffirms that it will never—

and I emphasise the word 'never'—

remove tax-free superannuation payments for the over 60s.

That of course prompted the question from Senator Cormann, which I will repeat:

Does the government intend to keep its solemn promise made to Australians saving for their retirement through superannuation before the 2010 election that it would 'never remove tax-free superannuation payments for the over-60s'?

This question was asked of the third most senior person in the parliamentary system in this country and Senator Conroy, despite having significant L-plates on, is still obliged to give an open, frank and honest answer to this quite direct question from Senator Cormann. That answer was not given and on that basis those over 60 can assume that this government will indeed break a solemn promise.

It is not the only solemn promise of course that they have broken in relation to superannuation, and I refer to the indexation of military superannuation. Before the 2007 election there was a commitment for a review and a commitment to a review which would address the indexation issue. That is not me making that claim today. Indeed, I will read from a letter dated 14 September 2009, signed by Senator Kate Lundy, who was still in this place and is now Minister Lundy, and signed by Mike Kelly, member for Eden-Monaro, who is now of course a minister. In that letter to the former finance minister, Lindsay Tanner, they made it quite clear that the Australian Labor Party had broken a promise to military superannuants before the last election that they would address the indexation issue. Here is some of what they said in that letter. It said:

Significantly, many people genuinely believed that prior to the 2007 election, the ALP had committed to determining a 'fairer' method of indexation, and 'a review' would provide the direction, so the immediate acceptance of the recommendations of no change in the Government response—

that is to the Matthews review—

is being seen as a reversal of the pre-election position espoused by the ALP in campaign material.

Their words, not mine—'in campaign material'! They went on and talked about other aspects of the Matthews review. They said there were two questions that they wanted clarified. On page 2, at (b) they said:

The Government, despite honouring the election commitment to conduct a review per se, has abandoned the spirit of the election commitment to a review that would address the inadequacy and inequity of the indexation method which has not kept up with the cost of living for Australian Government civilian and defence force pensions.

We respectfully request you respond to both of these points and clarify the Government's stance, particularly since correspondence issued during the election enthusiastically pressed the point of finding a fairer method of indexation through the process of review.

Not only have we heard from military superannuants around this country, who are quite rightly appalled at their treatment; we now know that there was another broken promise in relation to superannuation for military superannuants from this Labor government. When we heard today the non-response from Senator Conroy in relation to a quite direct question, a very direct question, from Senator Cormann whether indeed they would keep their commitment as promised by Wayne Swan— (Time expired)