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Military
Rehabilitation and Compensation Act Education and Training Scheme (Income
Support Bonus) Repeal Determination 2014 [F2014L00256]
Portfolio:
Veterans' Affairs
Authorising
legislation: Military Rehabilitation and Compensation Act 2004
Last day to disallow: The
instrument was disallowed in full on 25 March 2014.
Purpose
1.1
The purpose of the instrument is to revoke the education benefit known
as the 'Income Support Bonus' (the bonus). The bonus is a tax-free,
twice-yearly, non means tested payment of $105.80 (or $211.60 per annum) as at
20 September 2013. The bonus is payable to certain eligible young people
dependent on members or former members of the Defence Force in order to assist
them with their education.
Background
1.2
The Military Rehabilitation and Compensation Act Education and Training
Scheme (Income Support Bonus) Repeal Determination 2014 came into force on 13
March 2014. The regulation ceased to have effect when it was disallowed in full
by the Senate on 25 March 2014.
Committee view on compatibility
Right to social security
1.3
The right to social security is guaranteed by article 9 of the
International Covenant on Economic, Social and Cultural Rights (ICESCR). This
right recognises the importance of adequate social benefits in reducing the effects
of poverty and plays an important role in realising many other economic, social
and cultural rights, particularly the right to an adequate standard of living
and the right to health.
1.4
Access to social security is required when a person has no other income
and has insufficient means to support themselves and their dependents.
Enjoyment of the right requires that sustainable social support schemes are:
-
available to people in need;
-
adequate to support an adequate standard of living and health
care; and
-
accessible (providing universal coverage without discrimination
and qualifying and withdrawal conditions that are lawful, reasonable,
proportionate and transparent; and
-
affordable (where contributions are required).
1.5
Under article 2(1) of ICESCR, Australia has certain obligations in
relation to the right to social security. These include:
-
the immediate obligation to satisfy certain minimum aspects of
the right;
-
the obligation not to unjustifiably take any backwards steps that
might affect the right;
-
the obligation to ensure the right is made available in a
non-discriminatory way; and
-
the obligation to take reasonable measures within its available
resources to progressively secure broader enjoyment of the right.
1.6
Specific situations which are recognised as engaging a person's right to
social security, include health care and sickness; old age; unemployment and
workplace injury; family and child support; paid maternity leave; and
disability support.
Right to an adequate standard of living
1.7
The right to an adequate standard of living requires that the state take
steps to ensure the availability, adequacy and accessibility of food, clothing,
water and housing for all people in Australia.
1.8
Australia has two types of obligations in relation to this right. It has
immediate obligations to satisfy certain minimum aspects of the right; not to
unjustifiably take any backwards steps that might affect living standards; and
to ensure the right is made available in a non-discriminatory way. It also has
an obligation to take reasonable measures within its available resources to
progressively secure broader enjoyment of the right to an adequate standard of
living.
Revocation of Income Support Bonus
1.9
The human rights statement identifies that the revocation of the income
support bonus limits the right to social security and the right to an adequate
standard of living in that eligible DVA students will no longer receive the
bonus. It goes on to note that Article 4 of the ICESCR requires that any
removals in entitlements must be justified in the context of the full use of
the maximum available resources of the State party. In this case, the statement
claims that:
The bonus was introduced in light of the expected revenue
flowing from the MRRT. This revenue flow has not eventuated. The Government
considers that it is not in the interests of the general welfare to continue
such bonus payments in the absence of the resources necessary to do so.[1]
1.10
The statement of compatibility also lists a number of reasons provided
to justify the revocation of the payment as reasonable, necessary and
proportionate to achieve a legitimate objective. The statement also highlights
that a range of other payments or assistance is available to recipients of
income support.
1.11
However, the committee is concerned that the statement does not
adequately identify a legitimate objective to achieve in revoking the payment
aside from suggesting it is 'not in the interests of the general welfare to continue such bonus payments in the
absence of the resources necessary to do so'[2].
1.12
It also does not particularly comment in any detail on the impact this
revocation may have on the specific target group of eligible DVA students who
are dependent on members or former members of the Defence Force. The statement
refers to the fact that 'the payment was generally
not considered by social welfare and advocacy groups to be the best way to
provide support to vulnerable income support recipients' but does not explain
the basis for this conclusion any further or how it relates to the situation of
eligible DVA students.
1.13
On the basis of the information provided, the committee is unable to
conclude that the measure is compatible with the right to social security and
the right to an adequate standard of living.
1.14
However, the committee notes that the instrument has been
disallowed and therefore has concluded its examination of the matter.
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