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What does it mean for people with disabilities?

Current Disability Support Pension (DSP) recipients will not be required to seek work, but will be encouraged to do so and will remain on DSP. After 1 July 2006, people with disabilities seeking to go on DSP who can work 15-29 hours per week will have an obligation and payment that reflects their capacity to work.

Current Disability Support Pensioners

People in receipt of Disability Support Pension (DSP) prior to 1 July 2006 will remain on DSP with no part-time work obligation. They will be subject to the normal review process for DSP which will apply the existing eligibility criteria based on being able to work 30 hours per week.

Payment applicants after 1 July 2006

People seeking to go on DSP after 1 July 2006 will receive DSP if they are assessed as being incapable of 15 hours work a week at award wages. If they are capable of working 15-29 hours per week, they will receive enhanced Newstart and be subject to an obligation to seek part-time work.

Payment applicants after Budget night

People applying for DSP between 11 May 2005 and 30 June 2006 will be assessed for DSP under the existing 30 hours test. However, they will be reassessed in periodic reviews (usually every two or five years) against the 15-29 hour test after 1 July 2006. Those able to work 15-29 hours per week will have an obligation to seek part-time work and receive enhanced Newstart.

Other benefits for people with disabilities

People with disabilities with a part-time obligation will receive the Pensioner Concession Card and Pharmaceutical Allowance. They may also be eligible for a higher rate of Mobility Allowance of $100 per fortnight.

Income support recipient Obligation Payment
Person with disabilities, capable of working 15‑29 hours per week
Existing recipient
(on 10 May 2005)
None Disability Support Pension
New applicant
(11 May 2005 to 30 June 2006)
None(a) Disability Support Pension(a)
New applicant
(from 1 July 2006)
Part-time Enhanced Newstart Allowance

 

  1. New applicants for the Disability Support Pension between 11 May 2005 and 30 June 2006 will be assessed under the existing 30 hours test. Their ongoing eligibility will be assessed in periodic reviews, usually every 2 or 5 years, against the new 15-29 hour per week at award wages test after 1 July 2006. If the reassessment indicates they can work 15-29 hours per week they will be placed on enhanced Newstart Allowance and have a part-time work obligation. If not, they will remain on DSP.

New obligation and payment arrangements for people with disabilities

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5 2005-06 Budget