The
Pension Review report was completed by Dr Jeff Harmer in February 2009. The Government’s Secure and Sustainable Pensions package, which was developed with the assistance of Dr Harmer’s report, was announced in the
2009-10 Budget Introduction
On 15 May 2008, the Minister for Families, Housing, Community Services and Indigenous Affairs, the Hon. Jenny Macklin, MP, announced that Dr Jeff Harmer, the Secretary of her Department, would lead a review into measures to strengthen the financial security of seniors, carers, and people with disability. The review included the Age Pension, Carer Payment and Disability Support Pension.
Terms of reference
The Minister asked Dr Harmer to report to the Government on the outcomes of the Pension Review by 28 February 2009. The terms of reference directed the review to consider:
- the appropriate levels of income support and allowances, including the base rate of the pension, with reference to the stated purpose of the payment
- the frequency of payments, including the efficacy of lump sum versus ongoing support
- the structure and payment of concessions or other entitlements that would improve the financial circumstances and security of seniors, carers and people with disability.
Australia's Future Tax System
The Pension Review has been undertaken in the context of the broader inquiry into Australia's Future Tax System (AFTS), announced by the Treasurer, the Hon. Wayne Swan, MP, on 13 May 2008. The AFTS inquiry is a comprehensive review of Australia's tax system to create a tax structure that positions Australia to deal with the demographic, social, economic and environmental challenges of the 21st century and enhance Australia's economic and social outcomes.
The AFTS inquiry is considering improvements to the tax and transfer payment system for individuals and working families. This includes consideration of the relationships of the tax system with the transfer payments system and other social support payments, rules and concessions, with a view to improving incentives to work, reducing complexity and maintaining cohesion. Consultations are being undertaken as part of the broader review.
The terms of reference for the inquiry into Australia's Future Tax System include the establishment of a review panel chaired by the Secretary to Treasury, Dr Ken Henry, AC. The panel comprises Dr Jeff Harmer (Secretary, FaHCSIA), Professor John Piggott (University of New South Wales), Ms Heather Ridout (Australian Industry Group) and Mr Greg Smith (Australian Catholic University). The panel is overseeing programs of work and consulting broadly to allow community and business input.
For information on Australia's Future Tax System, including the Retirement Incomes Paper, visit the Treasury website
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Reference Group
A Reference Group was established to ensure the Pension Review reflects the views and aspirations of those most likely to be affected. The Reference Group consisted of:
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Community consultations
To inform the Pension Review, the Department of Families, Housing, Community Services and Indigenous Affairs held a series of public forums throughout August and September 2008 to allow members of the public to provide input directly into the Review. These public forums were held in all capital cities as well as Newcastle, Rockhampton and Wangaratta. Over 1,800 written submissions were received during the submission process which closed on 26 September 2008.
Smaller focus groups were also held in October 2008 and January 2009, to further explore issues raised during the public consultation process. Participants were randomly selected from recipients of Age Pension, Carer Payment and Disability Support Pension. The focus groups were held in Perth, Sydney, Melbourne, Armidale and Devonport.
Publications
Pension Review Report
On Friday 27 February 2009, Dr Jeff Harmer submitted the report of his findings from the Pension Review to the Minister for Families, Housing, Community Services and Indigenous Affairs, the Hon. Jenny Macklin, MP and Dr Ken Henry, Secretary to the Treasury.
The report presents the review’s findings, both in relation to its terms of reference and to the sustainability of the pension system and its role in the broader retirement income system.
The report is the culmination of nine months of research, analysis and consultation, which explored issues facing pensioners in terms of their financial security and wellbeing, and identified priority areas for pension reform. The report draws on a significant body of internal and external analysis, including technical research and modelling, and on feedback from the review’s extensive consultation process.
The Pension Review report can be viewed and downloaded from this site or if you would like to obtain a hardcopy of the report please call 1800 050 009.
Background Paper
On Monday 11 August 2008, the Minister for Families, Housing, Community Services and Indigenous Affairs, the Hon. Jenny Macklin, MP, and Dr Jeff Harmer, the Secretary of her department, released the Pension Review Background Paper.
If you would like to obtain a hardcopy of the Background Paper, please call 1800 050 009.
Further Information
If you would like to find out how the changes in the 2009-10 Budget impact on your payment please contact Centrelink, who will be able to give you individual advice. For Age Pension inquiries call 13 23 00 and for Disability Support Pension and Carer Payment inquiries call 13 27 17.
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