14 April 2011

Disability Pension cuts on the cards

Prime Minister Julia Gillard has given her strongest indication yet that aspects of the disability pension may fall foul of efforts to bring the federal budget back into surplus.

Addressing the Sydney Institute this week, Gillard spoke of increased employment participation and extensive welfare reform including “tighter eligibility and smarter employment services” for adults with disability.

With long term unemployment a harsh reality for older workers, National Seniors will monitor this with interest.

Despite willingness and determination, it takes the over-50s two to three times longer than younger workers to get back into the workforce once they lose their jobs. After years of trying, if they’re below Age Pension age (65) many will end up on a Disability Pension.

If Gillard’s “smarter employment services” covers training opportunities, financial incentives for business to hire mature age workers and strong initiatives to address discriminatory recruitment practices, they will be welcomed.

Have you found it difficult to get back into the workforce? Will cuts to the disability pension affect you? Email us your story.

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DIY super misses out on Trio compensation

Financial Services Minister Bill Shorten granted $55 million in compensation to the 2009 Trio Capital collapse victims who were members of regulated superannuation funds this week. Do-It-Yourself investors, however, whose losses with Trio amounted to $120 million, got nothing.

"Investors in APRA regulated funds deserve to be compensated by the Government when they lose their investments through fraud or other malfeasance by super fund trustees," Shorten said.

However, of the approximately 700 investors who missed out on compensation, Shorten is reported to have said they had: “the benefit of direct control over where their money was invested, while the members of other funds do not. If people wish not to operate under those SMSF [self managed superannuation fund] regulations, they’re free to become member of the APRA funds”.

Further information is available at the Trio’s website.

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Is your term deposit working?

Have you had problems renewing your term deposit? We know that for older Australians income received on these accounts is particularly important in offsetting everyday living expenses.

Why do you use term deposits? And what’s been your experience? Are you being properly informed of your choices?

With National Seniors pressing for reform around term deposits, first-hand examples will be most helpful. Send us your feedback.

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Personal alert systems for SA Seniors

A rebate scheme to help older South Australians buy and maintain personal alert systems has been launched by the state government.

The rebate will provide eligible South Australians with a one-off payment of up to $380 for purchase and installation of personal alert systems, and up to $250 a year to pay for monitoring services.

Minister for Ageing, Jennifer Rankine, said personal alert systems provide peace of mind.

“People want to stay as independent as they can for as long as they can, and for many this means remaining in their own homes. Having a personal alarm gives the families of older people, and those who care for them, more confidence,” she said.

Personal alert systems are a lightweight pendant worn on the wrist that can be activated to alert someone, such as neighbours or a monitoring centre, in an emergency. By pressing a button on the pendant, a signal is sent and a pre-agreed personalised response is put into action.

For the rebate, you must be:

• 85 years or older
• a Centrelink Pensioner Concessions Card or Department of Veterans’ Affairs Pensioner Concession Card holder
• living alone, alone for most of the day or night, or have a carer who is unable to provide assistance in case of an emergency
• at high risk of falls, or suffer from a medical condition that requires an immediate and urgent response in an emergency, and
• have a referral from a health professional.

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Pokie reform: Good idea or nanny state?

A poll conducted by left-leaning think tank, The Australia Institute, suggests almost 70 percent of Australians support setting pre-gambling spending limits on poker machines.

The research comes as independent Members of Parliament, Andrew Wilkie and Nick Xenophon, advocate pokie reforms that will include setting spending limits on all gamblers to curb their losses.

Gambling lobby, Clubs Australia, is threatening to launch a High Court challenge if mandatory reforms go ahead, while Liberal MP Steve Ciobo says the reforms are "Orwellian".

Is pokie reform a good idea or is this another example of the Nanny State?

Have your say on the blog.