Senate debates

Thursday, 26 March 2026

Bills

Social Security and Other Legislation Amendment (Technical Changes No. 1) Bill 2026; Second Reading

12:40 pm

Photo of Wendy AskewWendy Askew (Tasmania, Liberal Party) Share this | Hansard source

():  I rise today to speak in support of the Social Security and Other Legislation Amendment (Technical Changes No. 1) Bill 2026. The coalition understands the integral role of Australia's Child Support Scheme. That is why, during our years in government, we strengthened and supported the scheme to ensure it delivered for some of Australia's most vulnerable: our children. The reasons families break down are complex, but it is never the fault of the child. That is why the Child Support Scheme exists: to ensure that, regardless of where or with whom they live, children affected by family breakdown are not financially disadvantaged and can be kept safe.

This bill makes technical changes to the Child Support (Assessment) Act to clarify and validate child support assessment arrangements and includes three schedules. Schedule 1 amends the Child Support (Assessment) Act 1989 to clarify and validate child support assessment arrangements. Part 1 of the schedule adjusts when a new child support period starts after updated tax information becomes available. In some cases, this delays the start by an extra month to help parents manage financial challenges. Part 2 confirms that individuals with less than 35 per cent care of a child, whether a parent or a non-parent carer, are not entitled to child support. This change will apply retrospectively from 1 July 2008, validating past decisions and leaving historic assessments unchanged. Schedule 2 amends the Social Security Act and the Social Security (Administration) Act to provide clearer legal authority for urgent payments for eligible recipients outside the normal fortnightly cycle. It establishes a legislative framework for administering urgent payments, abolishes the current limit of two urgent payments per year and introduces safeguards to ensure welfare recipients have sufficient funds to meet regular expenses on their usual payment day. Schedule 3 amends the Social Security Act to clarify how employment income is attributed when calculating a person's rate of payment.

These changes will make it easier for child support assessments to be made and for children to receive the financial support they need to thrive, which is why the coalition will not stand in the way of this bill. However, it must be noted that there are areas where further scrutiny of these changes is warranted. Few countries provide the strong safety net that Australian taxpayers fund. Our social services system exists to support those who need a hand. It is not a bottomless resource and should not be viewed as a long-term income prospect.

The coalition recognises that most parents do the right thing and fulfil their child support obligations. Since its introduction in 1988, the government scheme has transferred over $33 billion in child support payments. We understand how crucial this support is for children and single-parent households. That is why we support the changes in this legislation that facilitate the introduction of urgent payments. These situations are rarely linear. Circumstances change, and payments can be missed or delayed. But, when parents do not pay child support on time, it has a real and material impact on the financial security of single parents and their children. We must ensure we have a robust system that delivers assistance when it is needed, and sometimes that requires firm measures to ensure child support is paid. It is important to note that urgent payments are not additional assistance. They allow eligible recipients to access a portion of their regular fortnightly entitlements in advance in cases of exceptional and unforeseen financial hardship.

The coalition accepts that these payments must operate within a lawful and transparent framework. However, we have questions about how the removal of the annual cap will operate in practice and what safeguards will genuinely exist to prevent harm. Given that urgent payments merely bring forward a portion of an existing entitlement, further information is needed on the measures the government will implement to ensure recipients are not drawn into a cycle of repeated urgent payment requests and ongoing financial hardship. We cannot consider these changes in isolation from the broader economic challenges facing Australians. Families have experienced another interest rate rise, and global conflict in the Middle East has significantly impacted the availability and affordability of fuel and fertiliser—developments that are likely to have serious consequences for agriculture and in turn food security. Groceries, rent, insurance and other essentials of life have already increased to unmanageable levels under this government. Australians are paying more for everything: food, fuel, rent, insurance, health care, mortgage repayments and energy. These are essentials, not luxury purchases.

It is therefore hardly surprising that many welfare recipients are experiencing persistent financial stress and may already be reliant on urgent payments of the kind proposed under these changes. The Albanese Labor government must put in place a framework that ensures urgent payments are assessed properly and delivered to those who genuinely need them. Given the number of Australians were doing it tough and Labor's failure to present a credible plan to address, this we must ensure urgent payments do not entrench disadvantage or become subject to misuse. The child support scheme exists to protect our most vulnerable and ensure that, despite changes in family circumstances, children can fully participate in life, receive an education and thrive wherever they live. But we must also remember that our social service safety net is funded by the sacrifice of hardworking Australian taxpayers. It must be fit for purpose and capable of meeting tomorrow's challenges.

We also have an obligation to future generations, who will bear the long-term consequences of the decisions made today. A well designed income support system must provide a robust and sustainable safety net, protecting the most vulnerable, supporting people through periods of hardship and enabling pathways to independence and self-reliance. The coalition will support the practical measures contained in this bill and recognises its broader intent. For that reason, we will not oppose its passage. However, the government must follow through on its commitment to implement robust safeguards and ensure financial accounts and social services are accessible, timely and available to individuals and families experiencing financial stress. It must also guarantee that changes to urgent payments do not entrench disadvantage, deepen vulnerability or create new risks for the very Australians our world-class social safety net is designed to protect. Our focus must be on getting more people into work and contributing to a stronger economy, not on keeping Australians dependent on welfare.

Despite these concerns, I am pleased to speak on this matter and to support my coalition colleagues in not standing in the way of this bill.

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