JOINT PRESS RELEASE
THE HON. TONY ABBOTT MHR, LEADER OF THE OPPOSITION,
SENATOR THE HON. DAVID JOHNSTON, SHADOW MINISTER FOR DEFENCE,
THE HON. BOB BALDWIN MHR, SHADOW MINISTER FOR DEFENCE,
SCIENCE AND PERSONNEL AND ASSISTING SHADOW MINISTER FOR
DEFENCE, LOUISE MARKUS MHR, SHADOW MINISTER FOR VETERANS'
AFFAIRS AND STUART ROBERT MHR, SHADOW PARLIAMENTARY
SECRETARY FOR DEFENCE
INCREASED SUPPORT FOR AUSTRALIA'S VETERANS AND EX-SERVICE
PERSONNEL
A Coalition Government will introduce new indexation arrangements for
Defence Force Retirement and
Death Benefits Scheme (DFRDB) members as part of its commitment to
supporting Australia's veterans and
ex-service personnel.
Under a Coalition government, from 1 July 2011 those DFRDB members aged
55 years or older will have
their military superannuation pensions indexed to the greater of the
Consumer Price Index (CPI), Male Total
Average Weekly Earnings (MTAWE) or the Pensioner and Beneficiary Living
Cost Index (PBLCI).
These changes are being made as part of the Coalition's recognition of
the unique nature of military service
and our commitment to introducing a fair, equitable and fiscally
responsible military superannuation system.
Widows of DFRDB superannuants will also benefit from the announced
changes.
Labor broke its election promise to `fix' the issue of military
superannuation indexation and this has yet
another example that the Labor Government is all talk and no action.
This is a fully costed and fully funded policy. Savings already
identified by the Coalition will be used to
offset the $98 million cost over the forward estimates. A further $100
million will be invested into the
Future Fund as a first step towards funding the new arrangements beyond
the forward estimates.
This change brings into line the indexation of DFRDB superannuation with
the aged pension. Currently
DFRDB superannuation is indexed according to the CPI.
If the indexation rate had increased in line with the aged pension,
military superannuants would have
received an extra $28.40 per fortnight to their pension (if they
received the full pension rate) in March this
year.
Unlike Labor, the Coalition has consulted widely and listened carefully
to the views put forward by
veterans, ex-service people, ex-service organisations and current ADF
personnel.
The Coalition acknowledges the February 2010 submission from Returned
Services League (RSL) National
President, Rear Admiral Ken Doolan AO RAN (Rtd) on military
superannuation together with the long-
standing efforts of the Defence Force Welfare Association (DFWA) and in
particular, of Colonel David
Jamison (Rtd), National President of the DFWA.