House debates

Tuesday, 25 March 2014

Bills

Defence Force Retirement Benefits Legislation Amendment (Fair Indexation) Bill 2014; Second Reading

6:23 pm

Photo of Andrew WilkieAndrew Wilkie (Denison, Independent) Share this | Hansard source

I have applauded the government for what it is doing here. What I am saying is: spend that little bit of extra money and let us finish the job. I am not trying to score points. I am putting a request to the government to spend a little bit of extra money and to finish the job. The figure that I have heard bandied around—$40 million over this year and over the forward estimates—I think is a modest amount of money to pay in the circumstances to finally do the job properly.

I have previously declared this conflict of interest in this place and it is in the register of my interests, but I would like to make it absolutely clear that I am a DFRDB recipient myself and I am 52 years old. People like me are the sort of people who would benefit from my amendment if it were to be successful. For that reason, the change in my proposed amendment excludes any serving senator or member of the House of Representatives who is in receipt of a DFRB or DFRDB pension, so there can be absolutely no suggestion whatsoever that I am trying to benefit from this personally.

I and others have tried in this place to bring about these reforms in the past. I was very pleased to second a bill by the member for Kennedy in the 43rd Parliament that did seek to fix the problem with the indexation of military superannuation. Unfortunately, that bill did not see the light of day. I do not even think it was debated, let alone voted on. However, it does illustrate that there has been an interest in this place for some time for this to be remedied. I call on the government to support my amendment. I call on the opposition to support my amendment. I ask them to understand that I have moved this amendment in good faith to genuinely try and improve what is mostly a very good move by the government, and I do give the government credit for that.

Of course, once we have dealt with this issue, there is the other issue of Commonwealth superannuation more broadly. I applaud the many lobbyists, defence welfare organisations and activists who have done a very good job over time of lobbying for this particular reform that is now being debated in the chamber. I have no criticism of them whatsoever. They have done a good job of lobbying for defence superannuants. I applaud them for the good job they have done, which is resulting directly in pressure being on us and us seeking to deal with it in the chamber tonight.

Regrettably, the broader Commonwealth superannuant community has been less vocal and perhaps less effective as lobbyists. When this matter is dealt with the focus will shift, as it should, to the government looking at the indexation arrangements for Commonwealth superannuants more broadly. They have a similar problem. Their pension is also only CPI indexed and it is falling behind in real value as well. Yes, that will have a bill and that will cost, but I think it is entirely reasonable that the people who served this country in the Defence Force and in the Commonwealth Public Service get a fair deal.

I make the point again that the federal budget this financial year is close to $400,000 million—an enormous amount of money—and that is more than enough money to pay for the things we really need to pay for, including our defence and Commonwealth superannuants. It is all about priorities. Yes, savings will have to be made, but it is all about priorities. If we cannot look after our Defence superannuants, if we cannot look after our Commonwealth superannuants, then I do not know what that $400,000 million dollars is there for.

I ask again for the government and the opposition to support my amendment. I will certainly support their bill, and I will certainly applaud the federal government for finally moving to fix the superannuation indexation for Defence retirees, but I call again on people to support my amendment which at the end of the day is logical, rational and affordable. Thank you.

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