Bill ‘gives Govt benefits power’

Press, 3 November 1983, Page 8

Bill ‘gives Govt benefits power’

PA and Parliamentary reporter

Social Welfare beneficiaries could wake up one morning to find their benefits had been cut under legislation introduced in Parliament yesterday, according to the Opposition. The Deputy Leader of the Opposition, Mr Palmer, said that a clause in the Social Security Amendment Bill gave the Cabinet the power to alter benefits at will. There could be no redress until Parliament was called together. Mr R. M. Gray (Nat., Clutha) said Mr Palmer was trying to instil fear in the minds of the public while the Minister of Social Welfare, Mr Young, said the changes in the law followed up recommendations by the Controller and Auditor-Gen-eral. Mr Young said that under the bill, the six-monthly increases in benefits would be implemented by Order-in-Council. The Order-in-Coun-cil would be laid before Parliament within 16 days of its sitting, and validating legislation would then be passed. He said that at present the Government had no leg-

1 from their precise date of birth, in clause 7 of the bill. Opposition speakers said this would leave the Government more than $4 million, being the total of the cut in payments by introducing this system, r Consequential changes to widows’ benefits and child 3*ement provisions are ined in clauses 3 and 9 respectively. As well as the sixmonthly adjustments to benefit rates, the bill contains further increases in the accommodation benefit, disability allowance, and handicapped child’s allowance. . The maximum rate of accommodation benefit is increased 45 per cent, from $22 to $32 a week. The minimum level of accommodation costs attracting the benefit is increased from $22 to $26 a week. The rate of the handicapped child’s allowance is increased from $12.50 to $l4 a* week from November 9. Last year the rate increased from $8 to $12.50. Also, the maximum rate of the disability allowance is increased to $l4 a week.

islative authority to grant the six-monthly increases. But Mr Palmer said the bill did not say that the Government had to raise benefit levels. “You could wake up one fine Christmas and find all the Social Welfare benefits had been cut when this Parliament was not sitting and there would be no . redress against that under this clause until such time that Parliament came together,” he said. “If benefits are to be decreased by regulation, that is a lamentable tendancy.*’ The introduction of the Social Welfare’s Department’s computer has made it possible for National Superannuation and family benefits to be made from the qualifying birthday date rather than a fortnightly payment date. This means that under clause 2 of the new bill people becoming 60 after January 1 will be paid National Superannuation from the day of their birth-, day. Similarly, the family benefit will be paid for children born after January