Senate debates

Tuesday, 15 September 2009

Questions without Notice

Centrelink

2:36 pm

Photo of John WilliamsJohn Williams (NSW, National Party) Share this | | Hansard source

My question is to the Minister representing the Minister for Human Services, Senator Ludwig. Will the minister inform the Senate how many people were detected breaching their obligation to look for work last financial year?

Government Senators:

Government senators interjecting

Photo of Joe LudwigJoe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | | Hansard source

I am just reminded that I should be able to remember that! In terms of providing the number of people who have breached I can indicate that any issues around breaching can be serious matters. The Minister for Human Services, whose portfolio this matter falls under, has advised me that Centrelink is currently conducting an investigation into areas where there are issues with the social security system. Investigations are currently underway and it would be inappropriate for me to comment given the serious consequences, including criminal charges, that can follow from those types of investigations.

But, more generally, this government has a zero tolerance approach to social security fraud. In terms of ensuring that those people are dealt with under the social security system, it is appropriate that there are penalties for those people who do not undertake the requirements of the social security system. It is a system that is designed to ensure that those people, such as job seekers, should be looking for employment and, if they are not looking for employment, there is a range of other activities that they can undertake. It is important to keep that in mind when you are talking about the issue of breaching. Breaching usually comes about as a consequence of there having been a failure on behalf of the job seeker to participate in the system. In terms of the precise figures, which Senator Williams is seeking, I will undertake to check with the Minister for Human Services and get back to the senator. (Time expired)

Photo of John WilliamsJohn Williams (NSW, National Party) Share this | | Hansard source

Mr President, I ask a supplementary question. Will the minister reassure the Australian taxpayers that the subject of last night’s television program, Justin Sheridan, will be fully investigated by Centrelink for his wanton disregard of welfare payment rules?

Photo of Joe LudwigJoe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | | Hansard source

What I have already indicated is that Centrelink has a responsibility to apply the legislation as stated in the social security law and this includes decisions relating to Newstart allowance. While the government is committed to providing a safety net to those who through no fault of their own cannot support themselves, it is always committed to ensuring that unemployment benefits only go to those people who are genuinely unemployed. In return for financial support, the government expects unemployed people to demonstrate that they are actively looking for work or undertaking activities to improve their employment prospects. In order to qualify for Newstart allowance, a customer must meet a number of requirements, including activity tests. But in terms of providing an answer to the specific question, which goes to a named individual, I will take that on notice. It is a matter that may very well be under investigation and I do not want to compromise that investigation. I am sure— (Time expired)

Photo of John WilliamsJohn Williams (NSW, National Party) Share this | | Hansard source

Mr President, I ask a further supplementary question. Given that the Labor government has forecast a massive increase in the number of people seeking to claim unemployment benefits, will the minister explain why the government has not increased the resources to assess and audit these claims? Doesn’t this failure mean that the number of Justin Sheridans in our community is likely to increase?

Photo of Joe LudwigJoe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | | Hansard source

That question does presuppose a range of issues that I can reject. Centrelink is an organisation that has sufficient resources to deal with a whole range of work activities. They are currently operating in the Northern Territory emergency response. They are currently responding to the bushfire disaster in Victoria with continuing support. Centrelink works to provide Newstart allowance to customers who meet the requirements. They have an activity test, which means that customers must be actively looking for suitable paid work. They also have a fraud and compliance program in place to ensure that those people who do seek to undermine our strong social security network are actively sought out, and it is ensured that a compliance program is put in place. In terms of the premise of the question, I can reject— (Time expired)