Mitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | Hansard source

I do not think there were any other colleagues who were seeking to make a contribution to the debate so I will sum up. As has been canvassed by colleagues, this bill will cease social security payments to certain people who are in psychiatric confinement because they have been charged with a serious offence. As announced in the 2014-15 Midyear Economic and Fiscal Outlook, the measure will apply to people who have been charged with a serious offence and who, due to mental impairment, are in psychiatric confinement. This includes, as has been canvassed by colleagues, people who have not been convicted or are considered not fit to stand trial.

People confined in prison because they have been convicted of a criminal offence or who are on remand are not eligible for social security payments. Under current social security law, those same provisions apply to people in psychiatric confinement because they have been charged with a criminal offence but who are unfit to plead or have been found not guilty due to mental impairment. There are provisions for social security payments to be made if these people are undertaking a course of rehabilitation. A Federal Court judgement in 2002 broadened the definition of rehabilitation well beyond the original intent. As a result, almost everyone in psychiatric confinement is paid. The original policy intention will essentially be restored for people in these circumstances, which is that a person cannot access social security payments while in psychiatric confinement as a result of criminal charges. The exclusion of those who have not been accused of a serious crime is a beneficial measure.

The present arrangements under which most people confined in a psychiatric institution may be considered to be participating in a course of rehabilitation and therefore attract social security payments are based on 2002 Federal Court decision which, as I mentioned, broadened the definition of a course of rehabilitation beyond the original intent. Social security payments are, as you well know, Mr President, provided as a safety net for those in need to help meet daily living needs in the community.

Some state and territory governments are currently using people's income support to help fund their confinement. For example, the Queensland government takes 67 per cent to 85 per cent of a person's pension while they are in psychiatric confinement. A person's needs while in psychiatric confinement, including funding of their treatment and rehabilitation, are in fact the responsibility of the relevant state or territory government during that time.

The measure proposed in this bill will apply if the serious offence with which the person has been charged is a violent one including murder, manslaughter, rape or attempted murder. This change will only impact a small number of people charged with the most serious of offences, as I say, such as rape, murder and other violent crimes. This measure is not intended to punish people or negatively impact on their rehabilitation. The Department of Social Services has consulted with state and territory governments, advocacy groups and other stakeholders to reduce the impact on people's rehabilitation and also to reduce the impact on their reintegration back into the community.

The government understands that social security payments are vital to help people transition back to the community. In certain circumstances where people are integrating back into community, social security payments might resume. The proposition here is that the measure will apply from 1 March 2016.

Just by way of background, a further highlight of the consultation that there has been on this bill was that the Senate Community Affairs Legislation Committee held a public hearing into the bill on 21 March 2015. I understand there were 35-plus submissions. My department also made a submission to the committee and appeared at the hearing. The committee report was tabled on 15 June 2015. This will not come as a surprise but the Senate committee report recommended that the legislation be passed. However, I do acknowledge dissenting reports of the Australian Greens and Labor senators.

I know question time is about to start but just in the remaining time, let me quote from the Department of Social Services opening statement to the committee, which said:

It is important to note at the outset that the Commonwealth income support payments are not paid to support mental health recovery or rehabilitation plans. They are provided to eligible people to meet their daily costs of living in the community.

This is an important point in addressing many of the viewpoints made to the committee.

Debate interrupted.