Military Super Indexation
1 – INDEXATION – AUSTRALIA'S DEFENCE FORCE PERSONNEL SHORT CHANGED
Members of military superannuation schemes are unfairly treated when compared with all other Australians:
- They paid a higher compulsory percentage of their pay than public servants. They receive a lower average super pension than public servants.
- Their super pensions are taxed until death. The vast majority of Australians pay no tax on their super pensions after age 60.
- On the member's death, surviving spouses receive 62.5% of their loved one's DFRDB pension. Surviving spouses of pre-2004 Federal MPs receive 83%.
- Military super pensions do not keep up with the cost of living. They are indexed using an outdated formula that erodes pension purchasing power. This formula is based solely on the Consumer Price Index (CPI). The Australian Bureau of Statistics (ABS) states "CPI is not a purchasing power or cost of living measure."
- In 1997 the solely CPI indexation formula was abandoned for Age and Service pensions. Their current formula is effectively based on the greatest of CPI, the Pensioner & Beneficiary Living Cost Index (PBLCI) and the wages based measure (Male Total Average Weekly Earnings (MTAWE). As a result, Age/Service Pensioners have their purchasing power protected.
- After 20 years using CPI to index a $20,000 commencing pension, the military superannuant receives far less than they would have received had their pension been indexed in the same way as the Age & Service pensions.
- Military retirement and disability pensions now stand out as being more harshly treated than almost every other long-term Commonwealth payment that is subject to regular indexing to maintain its value.
We want the Federal Government to adopt the same formula used for Age/Service pensions for all components of Military retirement pensions (DFRB/DFRDB/MSBS) including the total reversionary pension for partners of deceased military superannuation pensioners.
Military Superannuation Indexation
THE FOLLOWING LETTER WAS PUBLISHED IN THE DAILY TELEGRAPH (24th April):
The Editor
Rather than reflect on the sacrifices made on foreign battlefields by war veterans this Anzac Day, perhaps it might be more apt to ponder the callous disregard for those veterans by the Gillard government. It has followed the same path as previous governments in failing to honour its commitment to the nation's defenders with respect of maintaining the purchasing power of their superannuation. This is not only contemptuous, but a breach of trust between the nation and those who dared make the supreme sacrifice. Anzac Day might be an appropriate time for this shambling government to start doing something right for a change.
Don Tate, Vietnam veteran '68/'69
THE FOLLOWING LETTER WAS PUBLISHED IN THE DAILY TELEGRAPH (24th April):The Editor
Rather than reflect on the sacrifices made on foreign battlefields by war veterans this Anzac Day, perhaps it might be more apt to ponder the callous disregard for those veterans by the Gillard government. It has followed the same path as previous governments in failing to honour its commitment to the nation's defenders with respect of maintaining the purchasing power of their superannuation. This is not only contemptuous, but a breach of trust between the nation and those who dared make the supreme sacrifice. Anzac Day might be an appropriate time for this shambling government to start doing something right for a change.
Don Tate, Vietnam veteran '68/'69
Minchins\\\' Meandering
Old Habits Die Hard
How sad that a past esteemed member of the “Dark Arts Society”, Nick Minchin, would put such jottings to the public in his letter to the editor (Defence pension merits, 2/5). It was almost as if he were still in harness as the nation’s Finance Minister. Lord knows that office has peddled such distortions and disinformation for decades - Lindsay Tanner and Senator Wong must be proud of him.
Those ex and current service personnel now calling for restoration of a standard of living indexation process for all forms of military superannuation do so without seeking a new entitlement; they simply want justice.
This issue is about restoration of an entitlement removed by stealth in the late eighties and early nineties; action supported by successive governments of all political persuasion, aided by others. This is a failure by the Parliament of Australia and not any one political party.
We simply demand the employee entitlements that the Government promised to provide, and what repeated government internal and external studies have endorsed.
Sadly, it would seem that it is going to take a court to make that determination because no one inside government is listening and little wonder when you have retired politicians of an alternative political persuasion making such utterances.
The ‘Dark Arts Society’ cannot resist distorting costs. Correctly indexing military superannuation will cost in cash terms approximately $100 million across the next four years – government, opposition and retirees all agree; it then fails because the ‘society’ applies accrual and fiscal balance techniques to increase the figure to $1.7 billion.
Perhaps it is time to retrospectively apply CPI indexation to pre 2004 politician pensions and backdate it to 1991 with full cost recovery for overpayment.
Peter Criss
Malua Bay NSW
Old Habits Die HardHow sad that a past esteemed member of the “Dark Arts Society”, Nick Minchin, would put such jottings to the public in his letter to the editor (Defence pension merits, 2/5). It was almost as if he were still in harness as the nation’s Finance Minister. Lord knows that office has peddled such distortions and disinformation for decades - Lindsay Tanner and Senator Wong must be proud of him.
Those ex and current service personnel now calling for restoration of a standard of living indexation process for all forms of military superannuation do so without seeking a new entitlement; they simply want justice.
This issue is about restoration of an entitlement removed by stealth in the late eighties and early nineties; action supported by successive governments of all political persuasion, aided by others. This is a failure by the Parliament of Australia and not any one political party.
We simply demand the employee entitlements that the Government promised to provide, and what repeated government internal and external studies have endorsed.
Sadly, it would seem that it is going to take a court to make that determination because no one inside government is listening and little wonder when you have retired politicians of an alternative political persuasion making such utterances.
The ‘Dark Arts Society’ cannot resist distorting costs. Correctly indexing military superannuation will cost in cash terms approximately $100 million across the next four years – government, opposition and retirees all agree; it then fails because the ‘society’ applies accrual and fiscal balance techniques to increase the figure to $1.7 billion.
Perhaps it is time to retrospectively apply CPI indexation to pre 2004 politician pensions and backdate it to 1991 with full cost recovery for overpayment.
Peter Criss
Malua Bay NSW
Nick Xenophon gets it wrong
Independent MP Nick Xenophon published a public statement dated 19 April 2012, titled AUDITOR-GENERAL SHOULD UMPIRE ON VETERANS’ PENSIONS.
I am concerned with parts of his statement:
“We need an accurate, independent costing for this scheme,” Nick said. “The Minister should refer this to the Auditor-General so we can make an informed decision.”
This implies that he (and others) did not make an 'informed decision' on the vote in June 2011 - why not?
“Australia n servicemen and women should receive acknowledgement and support for their service. We’re now in a position where we can make that happen.”
I hope this isn't the general opinion held by parliamentarian s because, in my opinion, we are not claiming lack of recognition of our service - we are claiming restoration of our rightful entitlement to fair indexation of retired pay - nothing more, or less!
Independent MP Nick Xenophon published a public statement dated 19 April 2012, titled AUDITOR-GENERAL SHOULD UMPIRE ON VETERANS’ PENSIONS.I am concerned with parts of his statement:
“We need an accurate, independent costing for this scheme,” Nick said. “The Minister should refer this to the Auditor-General so we can make an informed decision.”
This implies that he (and others) did not make an 'informed decision' on the vote in June 2011 - why not?
“Australia n servicemen and women should receive acknowledgement and support for their service. We’re now in a position where we can make that happen.”
I hope this isn't the general opinion held by parliamentarian s because, in my opinion, we are not claiming lack of recognition of our service - we are claiming restoration of our rightful entitlement to fair indexation of retired pay - nothing more, or less!
Fair Go strategy
Worth thinking about.
We should campaign for the aged pension and politicians pensions to be returned to the CPI given the purported government spin and evidence that it is a fair index. Because the DFRDB and MSBS pension schemes and indexation are so "fair" surely our politicians and aged pensioners deserve the same. It is un-Australian that we should be so advantaged by the CPI when the aged pensioners and politicians are forced to accept their indexation.
Let's strongly support our aged pensioners and politicians. They deserve better. Such ridiculous logic would certainly upset both groups ( and so it should) and almost guarantee airtime and media exposure.
Worth thinking about.We should campaign for the aged pension and politicians pensions to be returned to the CPI given the purported government spin and evidence that it is a fair index. Because the DFRDB and MSBS pension schemes and indexation are so "fair" surely our politicians and aged pensioners deserve the same. It is un-Australian that we should be so advantaged by the CPI when the aged pensioners and politicians are forced to accept their indexation.
Let's strongly support our aged pensioners and politicians. They deserve better. Such ridiculous logic would certainly upset both groups ( and so it should) and almost guarantee airtime and media exposure.
PRESENTATION BY AVM PETER CRISS AM RAAF (Ret) ON CHANNEL TEN MONDAY 16 APRIL 2012.
Here is the text of my letter sent to the PM yesrerday.
Dear Prime Minister
In his presentation on the unfairness of the DFRB/DFRDB/MSBS superannuation scheme on Channel 10 this morning, AVM Peter Criss pointed out quite forcefully and succinctly how superannuants under these schemes are being callously abandoned by you and your government. He has proven beyond doubt, on numerous occasions, how shonky the government’s figures are in relation to fixing this anomaly. Time and time again he, and many other influential voices, has pointed out the irrelevance of the CPI in indexing our pensions.
Prime Minister, please admit you got it wrong on 16 June 2011 when the DFRB/DFRDB Fair Indexation Bill was so narrowly defeated. Please have this issue readdressed in parliament, honestly and openly this time, so that military superannuants do not continue to fall below the poverty line. We did our bit for this country and were promised a FAIR GO in return. You constantly espouse a fair go for all Australians but it seems we somehow don’t fall within this category. I would go so far as to say that illegal boat arrivals do it better than military superannuants.
You would be well aware that the ADSO FAIR GO campaign is gathering momentum and is expected to peak in its activities prior to the next federal election. I feel it would be a serious mistake to disregard our combined efforts.
Yours faithfully
J R Anderson
Here is the text of my letter sent to the PM yesrerday.Dear Prime Minister
In his presentation on the unfairness of the DFRB/DFRDB/MSBS superannuation scheme on Channel 10 this morning, AVM Peter Criss pointed out quite forcefully and succinctly how superannuants under these schemes are being callously abandoned by you and your government. He has proven beyond doubt, on numerous occasions, how shonky the government’s figures are in relation to fixing this anomaly. Time and time again he, and many other influential voices, has pointed out the irrelevance of the CPI in indexing our pensions.
Prime Minister, please admit you got it wrong on 16 June 2011 when the DFRB/DFRDB Fair Indexation Bill was so narrowly defeated. Please have this issue readdressed in parliament, honestly and openly this time, so that military superannuants do not continue to fall below the poverty line. We did our bit for this country and were promised a FAIR GO in return. You constantly espouse a fair go for all Australians but it seems we somehow don’t fall within this category. I would go so far as to say that illegal boat arrivals do it better than military superannuants.
You would be well aware that the ADSO FAIR GO campaign is gathering momentum and is expected to peak in its activities prior to the next federal election. I feel it would be a serious mistake to disregard our combined efforts.
Yours faithfully
J R Anderson
Fair Indexation for ALL
AVM Peter Criss did a great interview on Channel 10 this morning (16/04/2012). He also mentioned MSBS along with Commonwealth Public Servants. If you can watch it Will Metz please do as it may give you some faith. Also I would join the DFWA (Defence Force Welfare Association) as they are also involved with this issue. Also I urge everyone to write to your local Federal MP to push this issue. The link below is for the interview
http://tenbreakfast.com.au/video.htm?movideo_m=178361
AVM Peter Criss did a great interview on Channel 10 this morning (16/04/2012). He also mentioned MSBS along with Commonwealth Public Servants. If you can watch it Will Metz please do as it may give you some faith. Also I would join the DFWA (Defence Force Welfare Association) as they are also involved with this issue. Also I urge everyone to write to your local Federal MP to push this issue. The link below is for the interviewhttp://tenbreakfast.com.au/video.htm?movideo_m=178361
MSBS
I see lots of talk here about DFRDB but almost nothing about MSBS.
What about current serving Diggers? Aren't we worth fighting for too?
- - -
Will,
I’m not sure why you think the current ADSO Fair Go Campaign is not giving emphasis to MSBS.
Have a look at this video:
http://www.youtube.com/watch?v=TG_Y0A_ekLc&context=C45b74cdADvjVQa1PpcFOseGQbr8fM5TO2e2xFdl4tbEr4iARvxTY=
It is the first in a series that is specifically addressing the issues of MSBS. It has been in circulation since February.
Have a look at this article published in the March Edition of the Northern Services Courier:
http://nsc.newspaperdirect.com/epaper/viewer.aspx
The article covered Townsville based military units, and it will shortly be published in City West Magazine that covers the Amberley/Ipswich area.
Have a look at this flyer which has been in circulation for most of this year. It doesn’t mention DFRDB, it talks about Military Super and has a current ADF theme:
http://www.standto.org/flyers/download?path=FGC_FLYER_3.pdf
Have a look at this published article in Punch which is predominately about current serving ADF members:
http://www.thepunch.com.au/articles/War-is-hell-and-military-life-is-no-picnic/
Well, hopefully you can see that the ADSO Fair Go Campaign has not deserted current serving members and we are pushing the inadequacies of all military super schemes. Some the the above links you may need to register to view, so it may be better to look at them from your home PC.
Please pass this information on to all your mates. If you or they have MSBS matters of concern then please share them with us and others through this means.
All for one and one for All
Ted
I see lots of talk here about DFRDB but almost nothing about MSBS.What about current serving Diggers? Aren't we worth fighting for too?
- - -
Will,
I’m not sure why you think the current ADSO Fair Go Campaign is not giving emphasis to MSBS.
Have a look at this video:
http://www.youtube.com/watch?v=TG_Y0A_ekLc&context=C45b74cdADvjVQa1PpcFOseGQbr8fM5TO2e2xFdl4tbEr4iARvxTY=
It is the first in a series that is specifically addressing the issues of MSBS. It has been in circulation since February.
Have a look at this article published in the March Edition of the Northern Services Courier:
http://nsc.newspaperdirect.com/epaper/viewer.aspx
The article covered Townsville based military units, and it will shortly be published in City West Magazine that covers the Amberley/Ipswich area.
Have a look at this flyer which has been in circulation for most of this year. It doesn’t mention DFRDB, it talks about Military Super and has a current ADF theme:
http://www.standto.org/flyers/download?path=FGC_FLYER_3.pdf
Have a look at this published article in Punch which is predominately about current serving ADF members:
http://www.thepunch.com.au/articles/War-is-hell-and-military-life-is-no-picnic/
Well, hopefully you can see that the ADSO Fair Go Campaign has not deserted current serving members and we are pushing the inadequacies of all military super schemes. Some the the above links you may need to register to view, so it may be better to look at them from your home PC.
Please pass this information on to all your mates. If you or they have MSBS matters of concern then please share them with us and others through this means.
All for one and one for All
Ted
Indexation of Military Pensions
I have been writing the odd letter since the Fair Indexation Bill was rejected in the Senate. Like many others I joined in the effort to get the military pension issue on the table. I got replies from a few, notably Senator Doug Cameron, or more specifically, from one of his aides. The tone of it annoyed me. I replied as follows:
"Thank you for having your aide, Mr. Harris-Brassil, reply to my e-mail of 3 February regarding military retirement benefits. I sincerely appreciate the response; all I expected was advice that you had tabled the matter at your 5 February meeting.
Senator, I am disappointed that Mr Harris-Brassil's reply regurgitated the same mendacious spin that I have seen so many times before. The Government keeps addressing this matter as if we Defence Force Retirement and Death Benefits (DFRDB) recipients are selfishly asking for some new condition of service, to be applied retrospectively without our having earned it. That is not the case, and you should know that. We simply seek restoration of an entitlement, promised at time of engagement, which incorporated an agreement to join a compulsory defined benefit. We upheld our end of the contract; please stop abrogating your employer responsibility.
We will not ignore the situation facing younger Australian Defence Force (ADF) members, who are held hostage in their Military Superannuation and Benefits Scheme by the same specious Consumer Price Index (CPI) that affects DFRDB so adversely. On that issue I will merely say 'Watch This Space'.
I will not comment further on your aide's e-mail, except to say that the Coalition's actions in the matter are irrelevant to this discussion; but at least, Mr. Abbott has committed to a partial solution.
Senator, we DFRDB recipients want an Australian government, (its political alignment doesn't concern us), to finally honour a commitment that was made to ADF members in 1973 and repeated to every new enlistee; that DFRDB benefit payments would always be indexed to maintain living standards, as promised by Mr Whitlam. It's arguable that DFRDB benefits have never been indexed as the Jess Report intended; however, it is proven that indexation by CPI has not maintained that relativity since the early 1990s. It has also been proven that the solution is less than $20 million per year in additional cash terms. Sadly, this is a fact that DoFD cannot bring itself to acknowledge.
It is not a question of whether the Government can afford the real cash cost of fair indexation. It is a question of priorities in Government outlays. That your Government would choose to fund a whole raft of questionable programs, ahead of honouring a commitment to those who devoted the best part of their working lives to serving the Nation, speaks volumes about the true values that underpin the Labor Party's policy ideals.
Senator, DFRDB recipients are struggling under constant erosion of their retirement benefit by the the inadequate CPI. We seek a 'Fair Go', to stop that erosion.
Please note that I will circulate this letter to other interested parties."
I can't lay sole claim to this letter. I had a great deal of help from AVM Peter Criss, Ray Gibson, Ian Scott and one or two old mates. I thank you all.
I have been writing the odd letter since the Fair Indexation Bill was rejected in the Senate. Like many others I joined in the effort to get the military pension issue on the table. I got replies from a few, notably Senator Doug Cameron, or more specifically, from one of his aides. The tone of it annoyed me. I replied as follows:"Thank you for having your aide, Mr. Harris-Brassil, reply to my e-mail of 3 February regarding military retirement benefits. I sincerely appreciate the response; all I expected was advice that you had tabled the matter at your 5 February meeting.
Senator, I am disappointed that Mr Harris-Brassil's reply regurgitated the same mendacious spin that I have seen so many times before. The Government keeps addressing this matter as if we Defence Force Retirement and Death Benefits (DFRDB) recipients are selfishly asking for some new condition of service, to be applied retrospectively without our having earned it. That is not the case, and you should know that. We simply seek restoration of an entitlement, promised at time of engagement, which incorporated an agreement to join a compulsory defined benefit. We upheld our end of the contract; please stop abrogating your employer responsibility.
We will not ignore the situation facing younger Australian Defence Force (ADF) members, who are held hostage in their Military Superannuation and Benefits Scheme by the same specious Consumer Price Index (CPI) that affects DFRDB so adversely. On that issue I will merely say 'Watch This Space'.
I will not comment further on your aide's e-mail, except to say that the Coalition's actions in the matter are irrelevant to this discussion; but at least, Mr. Abbott has committed to a partial solution.
Senator, we DFRDB recipients want an Australian government, (its political alignment doesn't concern us), to finally honour a commitment that was made to ADF members in 1973 and repeated to every new enlistee; that DFRDB benefit payments would always be indexed to maintain living standards, as promised by Mr Whitlam. It's arguable that DFRDB benefits have never been indexed as the Jess Report intended; however, it is proven that indexation by CPI has not maintained that relativity since the early 1990s. It has also been proven that the solution is less than $20 million per year in additional cash terms. Sadly, this is a fact that DoFD cannot bring itself to acknowledge.
It is not a question of whether the Government can afford the real cash cost of fair indexation. It is a question of priorities in Government outlays. That your Government would choose to fund a whole raft of questionable programs, ahead of honouring a commitment to those who devoted the best part of their working lives to serving the Nation, speaks volumes about the true values that underpin the Labor Party's policy ideals.
Senator, DFRDB recipients are struggling under constant erosion of their retirement benefit by the the inadequate CPI. We seek a 'Fair Go', to stop that erosion.
Please note that I will circulate this letter to other interested parties."
I can't lay sole claim to this letter. I had a great deal of help from AVM Peter Criss, Ray Gibson, Ian Scott and one or two old mates. I thank you all.
Military Superannuation Indexation - Wayne Swan NPC Speech
Attached is my letter to Minister Wayne Swan:
13 March 2012
The Hon. Wayne Swan, MP
Deputy Prime Minister and Treasurer
Veterans’ Fair Go, or Kick in the Guts?
Dear Minister Swan
I read with interest your recent article in The Monthly, your subsequent at the National Press Club address and your replies to questions afterwards.
The point of this letter is to tell you that I am now very confused about Labor's commitment to any reform of military superannuation indexation. What veterans seek is this:
We want the Federal Government to adopt the same formula used for Age/Service pensions for all components of Military retirement pensions (DFRB/DFRDB/MSBS) including the total reversionary pension for partners of deceased military superannuation pensioners.
Until now, I was under the impression that there is no argument about the nature of the inequity being perpetrated upon military superannuants by successive governments, the result of which is a spiral of ever-decreasing purchasing power. The attached graph clearly demonstrates this.
Where there was argument, was about the affordability of fixing the problem. A fix, by the way, which would restore a condition of service, not give 'more' or 'better' or even 'generous' superannuation 'benefits'. The only requirements for this fix are generosity of spirit and ethical treatment of these people.
Now Mr Swan, you have considerably muddied the water for me, especially when I read the headline based on your speech "Swan rejects military pension changes" (AAP March 5, 2012, 12:15 pm). You are reported to have said that '… they have a very good defined benefit scheme.’ Without arguing about how good the schemes are, the point is that they are defined, meaning that they are vested at enlistment. That vesting included the maintenance of purchasing power of superannuation pensions, and that, as you know, is not possible with CPI indexation only. You acknowledged as much when responding last Monday to a question from Peter Martin of The Age. Yet you continue to assert, in an offensively dismissive way, that veterans' claims have been rejected, 'knocked back' even, implying that CPI indexation will remain.
Is that the 'fair go' you were talking about Mr Swan? Is that really the way Labor wishes veterans to understand the 'egalitarian spirit in our national character'. Do you really believe it reflects the 'sense of fairness and decency that is the foundation of our society'?
Any cost argument is moot, by the way. Being a condition of service, indexation that maintains superannuation pensions' purchasing power, should be a non-discretionary item in the budget. That condition is not being met. Further, you said in response to questioning by Phillip Hudson of the Herald Sun that the ‘claim on the budget… will be simply unsustainable’. Mr Swan, the real cost is less than $20M per annum, before claw backs. Surely that price is a small one to pay to give our veterans the fair go, just like the one for which they fight so bravely on operations on behalf of the nation? If you did not yet know this, Mr Swan, it high time you read the submissions made to Government by ex-service organisations, instead of listening to the 'faceless' spin doctors who cannot even get their sums right.
I ask you these questions because the Coalition has now issued a media release, restating the commitment made in their Private Member's Bill last year, in which they again commit only to reform DFRB and DFRDB indexation for over 55s. They neglect MSBS superannuants and those disabled veterans under 55 entirely. Nevertheless, the Coalition has at least made a strong statement recognising the current inequity.
I believe strongly that it would be poor public policy to fix only part of a recognised inequity that has been divisive for a long time, only to continue that divisive discrimination for some of those people into the 'sometime' future. I hope that Labor can recognise this, and act soon, in a similar, but more comprehensive way, ideally in concert with the Coalition.
Can you please assure me that Labor is still committed to a fair outcome for all veterans, and let me know what is todays real Labor position on it?
In anticipation of your early response.
Yours sincerely
(signed)
Attachment
Attached is my letter to Minister Wayne Swan:13 March 2012
The Hon. Wayne Swan, MP
Deputy Prime Minister and Treasurer
Veterans’ Fair Go, or Kick in the Guts?
Dear Minister Swan
I read with interest your recent article in The Monthly, your subsequent at the National Press Club address and your replies to questions afterwards.
The point of this letter is to tell you that I am now very confused about Labor's commitment to any reform of military superannuation indexation. What veterans seek is this:
We want the Federal Government to adopt the same formula used for Age/Service pensions for all components of Military retirement pensions (DFRB/DFRDB/MSBS) including the total reversionary pension for partners of deceased military superannuation pensioners.
Until now, I was under the impression that there is no argument about the nature of the inequity being perpetrated upon military superannuants by successive governments, the result of which is a spiral of ever-decreasing purchasing power. The attached graph clearly demonstrates this.
Where there was argument, was about the affordability of fixing the problem. A fix, by the way, which would restore a condition of service, not give 'more' or 'better' or even 'generous' superannuation 'benefits'. The only requirements for this fix are generosity of spirit and ethical treatment of these people.
Now Mr Swan, you have considerably muddied the water for me, especially when I read the headline based on your speech "Swan rejects military pension changes" (AAP March 5, 2012, 12:15 pm). You are reported to have said that '… they have a very good defined benefit scheme.’ Without arguing about how good the schemes are, the point is that they are defined, meaning that they are vested at enlistment. That vesting included the maintenance of purchasing power of superannuation pensions, and that, as you know, is not possible with CPI indexation only. You acknowledged as much when responding last Monday to a question from Peter Martin of The Age. Yet you continue to assert, in an offensively dismissive way, that veterans' claims have been rejected, 'knocked back' even, implying that CPI indexation will remain.
Is that the 'fair go' you were talking about Mr Swan? Is that really the way Labor wishes veterans to understand the 'egalitarian spirit in our national character'. Do you really believe it reflects the 'sense of fairness and decency that is the foundation of our society'?
Any cost argument is moot, by the way. Being a condition of service, indexation that maintains superannuation pensions' purchasing power, should be a non-discretionary item in the budget. That condition is not being met. Further, you said in response to questioning by Phillip Hudson of the Herald Sun that the ‘claim on the budget… will be simply unsustainable’. Mr Swan, the real cost is less than $20M per annum, before claw backs. Surely that price is a small one to pay to give our veterans the fair go, just like the one for which they fight so bravely on operations on behalf of the nation? If you did not yet know this, Mr Swan, it high time you read the submissions made to Government by ex-service organisations, instead of listening to the 'faceless' spin doctors who cannot even get their sums right.
I ask you these questions because the Coalition has now issued a media release, restating the commitment made in their Private Member's Bill last year, in which they again commit only to reform DFRB and DFRDB indexation for over 55s. They neglect MSBS superannuants and those disabled veterans under 55 entirely. Nevertheless, the Coalition has at least made a strong statement recognising the current inequity.
I believe strongly that it would be poor public policy to fix only part of a recognised inequity that has been divisive for a long time, only to continue that divisive discrimination for some of those people into the 'sometime' future. I hope that Labor can recognise this, and act soon, in a similar, but more comprehensive way, ideally in concert with the Coalition.
Can you please assure me that Labor is still committed to a fair outcome for all veterans, and let me know what is todays real Labor position on it?
In anticipation of your early response.
Yours sincerely
(signed)
Attachment
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