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Social Security Legislation Amendment (Caring for People on Newstart) Bill 2013

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2010-2011-2012-2013

 

 

 

THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA

 

THE SENATE

 

 

 

 

 

 

 

 

 

SOCIAL SECURITY LEGISLATION AMENDMENT

(CARING FOR PEOPLE ON NEWSTART) BILL 2013

 

EXPLANATORY MEMORANDUM

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(Circulated by the authority of Senator Siewert)

 

 



 

SOCIAL SECURITY LEGISLATION AMENDMENT

(CARING FOR PEOPLE ON NEWSTART) BILL 2013

 

 

 

Outline

 

The purpose of the Social Security Legislation Amendment (Caring for People on Newstart) Bill 2013 is to provide additional financial assistance to Newstart and Youth Allowance recipients to assist in alleviating poverty and to help people to more effectively access employment. 

 

The Bill:

·       increases the single rates of Newstart by $50 a week;

·       increases the single independent rates of Youth Allowance by $50 a week; and

·       provides the same indexation arrangements for certain pensions and allowances, being the higher of CPI, MTAWE or pensioner and beneficiary living cost index amount .

 





NOTES ON CLAUSES



Clause 1 - Short title

 

This clause provides for the bill, when enacted, to be cited as the Social Security Legislation Amendment (Caring for People on Newstart) Bill 2013 .

 

Clause 2 - Commencement

 

This clause provides for clauses 1 to 3 of the Act to commence on the day it receives Royal Assent and Schedule 1 of the Act to commence 28 days after it receives Royal Assent.

 

Clause 3 - Schedule(s)

 

This clause provides that an Act that is specified in a Schedule is amended or repealed as set out in that Schedule, and any other item in a Schedule operates according to its terms.

 

Schedule 1 - Amendments to the Social Security Act 1991

 

Part 1 - Newstart Amendments

 

 

   Item 1   is a consequential amendment to Item 2. 

 

    

 

   Item   2 inserts a new Module C into the   Social Security Act 1991 after point 1068-BA4  providing for a Newstart Supplement payment. The Newstart Supplement payment is $100 a fortnight paid to a person who is qualified for the Newtart Allowance and who is single, a member of an illness separated couple or a partnered couple where one of the partners is in gaol. 

 

    

 

 

 

Part 2 - Youth Allowance Amendments

 

 

   Items 3 to 10   amend the table in point 1067G-B3 of the   Social Security Act 1991  to increase the amounts in column 3 items 1-6 and 8 by $100. These amendments implement a $50 a week increase to the maximum basic rates for independent single recipients of Youth Allowance.   

 

    

 

   Items 11 to 12   amends the table in point 1067G-B4 of the   Social Security Act 1991  to increase the amounts in column 3 items 3 and 4 by $100. These amendments implement a $50 a week increase to the maximum basic rates for independent single long term income support students recipients of Youth Allowance.   

 

               

 

                                       

 

   Part 3 - Indexation Amendments 

 

     

 

   Item 13   inserts a new row to the table in section 1190 to include reference to the additional Newstart supplement being a payment that is indexed. 

 

    

 

   Item 14   inserts a new row to the table in subsection 1191(1) to include a reference to the additional Newstart supplement being a payment that is indexed to CPI. 

 

    

 

   Item 15   inserts a new section 1195A providing certain pension and allowance payments to be indexed the same, being the higher of CPI, MTAWE or pensioner and beneficiary living cost index amount (PBLCI).  

 

    

 

  Subclause (1) lists the pension and allowance payments to be indexed by reference to the payments listed in section 1191. 

 

    

 

  Subclause (2) provides the method statement for determining the indexation for the payments listed in (1). The method is to determine the CPI indexed amount in accordance with section 1192, and to determine the MTAWE indexed amount applying the rules in 1195, and to determine the pensioner and beneficiary living cost index amount in accordance with section 1196. The indexed amount is then the highest of those three amounts.  

 

    

 

    

 

   Part 4 - Other amendments 

 

     

 

   Items 14 and 15   confirm that payments made as a result of this Bill cannot be made until Parliament has made an appropriation for that purpose.  

 

    

 

    

 

    

 

    

 

    

 

    

 

    

 

    

 

    

 

    

 

    

 

    

Statement of Compatibility with Human Rights

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

 

Social Security Legislation Amendment (Caring for People on Newstart)

Bill 2013

This Bill is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 .

 

Overview of the Bill

The Bill:

·       increases the single rates of Newstart by $50 a week;

·       increases the single independent rates of Youth Allowance by $50 a week; and

·       provides the same indexation arrangements for all pensions and allowances, being the higher of CPI, MTAWE or pensioner and beneficiary living cost index amount .

 

 

Human rights implications

The Bill engages the following human rights:

 

Right to social security

 

Article 9 of the International Covenant on Economic, Social and Cultural Rights (ICESCR) recognises the right of everyone to social security.

 

The Bill will promote the right to social security by increasing the amount of financial support for certain recipients of Newstart and Youth Allowance and providing more appropriate indexation for all other social security basic payment rates.

 

 

Conclusion

 

The Bill is compatible with human rights because it generally advances human rights.