THE VOICE - May 2011

1 May 2011 THE VOICE OF PENSIONERS AND SUPERANNUANTS OF NSW

THE

VOICEWinner of the 2009 Older People Speak Out Media Award - Seniors’ Newsletters

OF PENSIONERS AND SUPERANNUANTS OF NSWPrint Post Approved PP235387100064 ISSN 10353615 May 2011

THERE have been surprisingly few leaks about what will be in this year’s Federal Budget, to be handed down on 10 May. But all Government will say is it’s going to be savage. There’s a $4 billion shortfall in expected tax revenue, $3.8 billion to repair Queensland flood damage and a huge debt to pay off by the arbitrarily picked date of 30 June 2013. All told, $62.3 billion needs to be found. Arbitrarily picked, because there’s no economic need to pay off the debt in one year, just a political one. The Government said it would get the Budget back into surplus by that date, which is only a few months

before the next election. As a result, Disability Support Pensioners are in for another round of getting them into jobs as part of wider welfare reform. Getting disability pensioners back into the workforce has never worked in the past. Large numbers are on the pension simply because they are unable to work anymore. Others because they have never been able to work. There’s also the ‘small’ matter of discrimination by employers on the basis of disability. Still, the Government has already found some money. An agreement has been reached with the pathology

industry that will save more than $550 million over five years - $400 million in the budget projections period. The pathology industry has agreed to keep annual growth in Medicare pathology payments to strict limits averaging 5 per cent a year. Although no slower than the previous rate of increase, without the agreement, the ageing of the population and the growing level of chronic disease would have pushed spending higher. But the Government is looking for more savings in the area of health. Word is that the Government is considering increasing the Medicare co-

payment, which is currently $5.60 for pension cardholders. Medical research is also in the firing line with funding to the National Health and Medical Research Council (NHMRC) rumoured to being slashed by $400 million over the next three years. The NHMRC funds $700 million worth of research each year – shared among universities and medical research institutes, so medical research could be in for a 20 per cent cut. However, that amounts to no more than a total of $1 billion in savings. Where’s the other $61.3 billion going to come from? That’s everybody’s question and anybody’s guess.

Budget 2011 - Where are the leaks?


CPSA Executive(as at 2.11.2010)

Grace Selway OAM PresidentBob JaySecretaryBetty ChamberlainTreasurerBill HollandSenior Vice PresidentAssistant TreasurerSue LatimerVice PresidentMargaret Craven-ScottAssistant SecretaryEdna KayPublications EditorBarbara WrightAssistant Publications EditorShirley BainsMarie Mihell George RayColin Vernon

THE VOICEOF PENSIONERS AND SUPERANNUANTS OF NSW

Editor: Edna KayAssistant Editor: Barbara WrightPhone: (02) 9281 3588Fax: (02) 9281 9716Email: [email protected]: Charmaine Crowe, Antoine Mangion, Virginia Pidcock & Paul VersteegePrinter: MPD, Unit E1, 46-62 Maddox Street, Alexandria NSW 2015All content prepared by the editorial and production team with reference to stories on AAP newswire, unless indicated.THE VOICECPSA, Level 9, 28 Foveaux StSurry Hills NSW 2010

Disclaimer

No responsibility is accepted for the accuracy of information contained in advertisements or text supplied by other organisations or individuals and/or typographical errors.

CPSA does not support or promote the products or views in paid advertising.

LettersNo rail decision?It’s pleasing to see that the new State Government is removing Part 3A of the Planning Act, questioning the role of the Hunter Development Corporation and many other positive moves towards returning planning to the community.

However, we can only hope the new Government isn’t misled by claims made by the Property Council that no decision has been made regarding passenger rail into Newcastle.

Morris Iemma announced in March 2006 that “the heavy rail into Newcastle will not be cut into the foreseeable future”. This was reinforced in 2008 when the proposal to divert the heavy rail to Warabrook was abandoned.

In September 2010 and March 2011, then Premier Kristina Keneally declared the rail to Newcastle will be a “rail solution”. No

Hunter Valley Local Council supports cutting the line.

The Newcastle Trades Hall Council resolved in 2004 that they won’t support cutting the rail unless 18 conditions are met. None of those 18 conditions have been met.

The millions of dollars wasted on this Property Council ambition to cut passenger rail services could have been far more usefully spent.

George ParisRathmines, NSW

Compensation key on Carbon Tax uncertaintyI have been an environmental activist since the mid-1990s, having taken the State Environment Minister and a multinational company to the Land and Environment Court over the reopening of a copper smelter in my town. However, I am not sure about the current Carbon Tax issue.

In considering a tax for carbon emissions, on top of the already risen cost of electricity, I would like to point out the following concerns that I have. Providers and producers of bread and dairy, our restaurants, clubs and Local Councils, shops, manufacturers and health service providers all use electricity to provide us their goods and services. These would need to be compensated for their higher costs and charges and I shudder to think just how those higher costs would affect my household. And oops! We now wash up dishes with electricity, dry clothes with it, all of the kids’ games and school work require it and all our modern telephones and computers require it too. Add the extra costs that will be passed on from all of the above to me as the consumer and then add the GST to those extra costs and

Donations, Bequests, Membership and THE VOICE subscriptions

Membership is open to all who support the aims and objectives of CPSA

I’d like to renew my Membership or join CPSA as a Member and enclose my individual Membership fee of $12 (Includes a free annual subscription to THE VOICE, valued at $25.00). I agree to be bound by the CPSA Constitution and uphold the Objectives and Policies of CPSA. I support the CPSA Objectives. I have not previously been expelled from CPSA or, if I have been expelled, I have attached a copy of my CPSA Executive exemption. Please send me information about my nearest Branch. I do not wish to join CPSA but would like to subscribe to THE VOICE (1 year—$25.00 incl. GST). I belong to an organisation and would like information about how we can become a Branch or an Affiliate of CPSA. (NB: Branches are covered by CPSA’s $10 million Public Liability Insurance). I wish to make a donation of $______ (All donations above $2 are tax deductible). Please send me information about THE VOICE gift subscriptions. I wish to make a bequest to CPSA in my Will. Please send me information.Name:_____________________________________________________________________________Address:__________________________________________________________________________________________________________________________State:_____________Postcode:__________Phone: ______________________________Email:_________________________________________Payment details (for credit card): Visa Mastercard Name on card:__________________________Card Number:___________________Expiry:_________Amount:______________________ Signature:_____________________________________________

Please send to: CPSA, Level 9, 28 Foveaux St, Surry Hills NSW 2010

Letters are personal views only and do not necessarily reflect CPSA policy. Ed.

May 2011 THE VOICE ONLINE: www.cpsa.org.au 3

please advise me of what those costs will be. Then, if petrol is taxed for the carbon it produces, most of the above would rise yet again to compensate for that expense. Considering all of the above, will you please advise me, as a full-rate Age Pensioner who has no taxable income and who already needs to watch my use of electricity, how you intend to compensate me and by how much?

Helen HamiltonPort Kembla, NSW

CPSA is campaigning to ensure that every pensioner and low-income earner is fully compensated for any cost increases arising from a the proposed tax on carbon emissions and any future emissions trading scheme. Ed.

New Branch kicks off with a bangThis year was the first engagement of our Orana CPSA Branch at the Dubbo Seniors Expo. We are so pleased to tell you that the Senior Citizen of the year is one of our wonderful Members, Wilma Ryan. She has done so much for charities, working as a volunteer in such things as hospital, reading for the blind, View Club, Orana Neighbourhood Centre, CPSA and others. We thought this a wonderful start to our Branch. We ran out of all the VOICEs and pamphlets sent to us and we hung the new CPSA banner with pride. We had many enquiries which I hope will result in new Members.

Keith Farrands, Secretary, Orana Branch,

Dubbo, NSW

Funeral insurance a great concernI have just been given a copy of your April 2011 THE VOICE article on “Funeral Insurance” and thank you for making this information available to the public. You have made public something that has concerned me for some time. I am a Funeral Director working for a large organisation and have a desire to help people who have been placed in my care. Funerals are expensive and it is my attitude to provide families with the best and most cost-effective funeral/thanksg iv ing /memor ia l service for their loved one as is possible, informing them of all options and allowing them to make their choice and for them to stay within their budget. The last two paragraphs of your article on “Funeral Bonds and Prepaid Funerals, etc.” are very true and the prepaid funerals that I deal with cover the costs at today’s prices that will not change, there are some exclusions [flowers, press notices, etc.] but they are a huge saving for people. I have recently become a self funded retiree and have the benefit of being able to care for people (mostly family and friends) on a limited basis. Thank you for raising this issue and I look forward to future publications.

Ray McPhailDapto, NSW

Letters

By mail to:THE VOICE, CPSALevel 9, 28 Foveaux StSurry Hills NSW 2010

or by email to: [email protected]

You must include your name and suburb/town for the letter to be published. Letters may be edited for length and clarity.

Send a letter to THE VOICE Flu Vaccinations

NSW Health recommends the annual seasonal influenza (flu) vaccination for any person aged 6 months and over who wishes to reduce the likelihood of becoming ill with influenza. Under the National Influenza Vaccination Pro-gram, free seasonal influenza vaccine* is available for individuals aged 65 years and older, individuals aged 6 months and over with certain medical conditions, pregnant women and Aboriginal and Torres Strait Islander peoples aged 15 years and older.

*Some immunisation providers may charge a fee for giving the vaccine.

This article was first published in the The Blue Mountains Gazette 2 March 2011 (p.39).

Whether they have been here for generations or just a short time, many women have made an outstanding contribution to Blue Mountains life. Stretching like a rich tapestry across the Mountains, their contribution celebrates the diverse communities and landscapes of our place, while giving a helping hand-up to the most disadvantaged. [CPSA Member] Wendy Kerr is one of those women. Wendy raised her children in Sydney where she marched for peace and access to childcare, spent time in the paddy wagon, and stood up for the rights of women, Aboriginal people and the environment. Since 1994 Wendy

has lived in K a t o o m b a , creating her permaculture garden and volunteering from her home where early International Women’s Day (IWD) posters hang on the walls. Like the women who established the Blue Mountains neighbourhood and childcare services, women’s health and resource centres, youth services and refuges, family support, dance groups and the world heritage area, to name a few, Wendy is a living treasure. Though now “older than 80”, her passion for the good fight has not diminished, and with others, she recently set up a local sub-branch of the Women’s International League for Peace and Freedom.

Wendy’s outstanding contribution


Members’ page

Crossword by Hilda Thorburn

THE e-VOICE is available to view on the internet at www.cpsa.org.au/evoice.html

DonationsCPSA is grateful for all donations. Due to lack of space, the following only includes donations above $35.South Coast Area Council $100Riverlands Area Council $500Guildford CPSA $100P Lenton $100

Across 1. Rubella (6,7) 8. Darkest 9. Indifference10. Last month’s holiday period (6,4)11. Musical instrument12. Graphs, maps14. Get-up-and-go17. Offered20. Serviette23. Bullets24. Free25. Make beloved26. Incubating27. Spinal parts(8,5)

Answers on back page

Down

1. Defeated by David 2. Earthquake scale 3. Artery enlargements 4. Parents (6,3,6) 5. Taken ..., surprised 6. Biblical giant 7. Musical movement13. Past15. Feasted16. Sort18. Last Tsar’s family name19. Earlier settler21. Quilting pieces22. Large lizards24. Ravine

CPSA Merchandise

BadgesMembership $3.60Title Bar* + pendant $9.00Title Bar $5.00Pendant $4.00(*except Welfare Officer $10.15Asst Soc. Sec.) $16.15CardsMembership $0.10Waratah card $1.00Card wallet $3.30Certificate (80/90 years/Appreciation) $1.10Emergency medical information book $2.00Leather key ring $5.50Letter opener: silver or gold $10.00Tea caddy spoon $4.40

New CPSA BookmarksCPSA now has bookmarks with the CPSA logo in colour to celebrate CPSA’s 80 years of service since 1931. If your Branch would like to receive some, particularly for promotion purposes, please call Kate on 1800 451 488.

Garden of RemembranceShoalhaven Heads Branch has lost another one of their lovely ladies: their Secretary, Margaret Banks. Always ready with a cheery smile, Margaret enjoyed the company of Branch Members, and will be sadly missed by all.

~ Rest In Peace ~

CPSA Branch welcoming Members

A new Branch of CPSA has opened. The Foveaux Street Branch meets to discuss CPSA policy and campaigns at 10.15am on the second Friday of the month at CPSA Head Office (Level 9, 28 Foveaux St, Surry Hills).

If you are interested in participating, please call CPSA on 1800 451 488.

Head Office NewsHead Office News is sent to all Branch Secretaries, Presidents and Treasurers with the instruction to read it aloud to the Branch meeting. Every Branch Member is entitled to receive a copy. If you would like a copy and do not currently receive one, please call Head Office on 1800 451 488 and we will add your name to the distribution list.

Hot Water Bottle Safety AlertEvery year up to 200 Australians are admitted to hospital because of serious burns from hot water bottles. The Australian Competition and Consumer Commission has produced a booklet and other resources for safe hot water bottle use. Check out the easy steps you can take to minimise the risk of burns from hot water bottles by calling the ACCC on 1300 302 502 or visiting www.accc.gov.au and searching for ‘hot water bottle’.

CityRail changes for people needing assistance

CityRail is changing the boarding location on trains in the Sydney metropolitan area to make it easier for people needing assistance to get on and off the train. This includes better mobility on trains, changed boarding location, clearer boarding assistance zones and new boarding assistance wallets. For more information call Transport Info on 131 500 or TTY 1800 637 500. Visit your local station to receive a copy of the Boarding Assistance booklet and wallets.


This article was first published in the Manning River Times 22 March 2011 (written by Ken Warren).

OLDER people in the Manning Valley have received official recognition from the State Government for their efforts to help the community over the last decade. Members of the Manning Valley Branch of the Combined Pensioners and Superannuants Association were surprised to be presented with two special awards at their meet-the-candidates session last week. Retiring member for Myall Lakes John Turner attended the meeting to give his farewell speech but also had something special in store, presenting the association with the New South Wales Government community service award. The attractive award, bearing the crest of New South Wales, is only occasionally awarded and recognises the work being done by older people in the Manning Valley. The association also received a certificate of

recognition from the NSW Premier, also based on community service. President John Newell said the association had no inkling the awards were on their way and their presentation was a proud moment for all involved. Mr Newell said the association has played an enormous role in looking after older residents in the region over the last 10 years, their efforts ranging from rallies to maintain rail services to fighting for medical care including dental, Medicare, physiotherapy and podiatry. Mr Newell said the association had certainly “pushed and shoved” on many issues to ensure the rights of senior citizens were maintained and had enjoyed many successes. The association has about 80 Members, half of which were present at the session that also included a morning tea. CPSA would like to congratulate Manning Valley CPSA on this well-deserved and highly regarded achievement.

This article was first published in the Daily Liberal 25 March 2011 (written by Belinda Strahorn).

A DUBBO woman who has devoted years of her life to working behind the scenes has been named Senior Citizen of the Year. [CPSA Orana Branch Member] Wilma Ryan’s diligent and tireless service to the Dubbo community was yesterday acknowledged in front of family and friends at the Seniors Week expo at the showground. Dubbo City councillor Lyn Griffiths presented the humble 82-year-old with a beautifully framed award and described Mrs Ryan’s commitment to the community as “admirable”. Mrs Ryan, who has four children, nine grandchildren and four great-grandchildren, admitted she was “nervous” yet “honoured” to win the accolade. “I’m so nervous, I would much rather be at the Neighbourhood Centre or doing my work with the Pink Ladies,” she said addressing an audience of about 250 seniors. Four weeks after Mrs Ryan retired from a 20-year-long career as a medical receptionist in Dubbo,

she launched straight into volunteer work. For more than 19 years she has volunteered at the Dubbo Neighbourhood Centre and given up one morning a week to assist at the centre’s information and referral counter. Mrs Ryan has also spent two decades bringing comfort and smiles to the lives of patients at the Dubbo Base Hospital through her work as a Pink Lady. “As patients are often at their most vulnerable, having Wilma there helps make a difference to them,” Mrs Griffiths said. She was one of the first volunteers for Vision Australia’s ‘Talking Daily Liberal’ program – which began in 1989 – where the paper is recorded into audio form and distributed to the vision impaired. Mrs Ryan is also an avid photographer. “I love helping others and I’ll keep on volunteering as long as I can,” she said. Mrs Griffiths said the Dubbo community relied heavily on the “vital” work that seniors do. “Seniors form the thread of Dubbo’s social fabric and fill the void to help fill the gap of services not provided by governments,” she said.

Members’ news

John Turner MP presenting the NSW Government community service award to Manning Valley CPSA Branch President John Newell.

Manning Valley CPSA recognised for community service

Super seniors spearheading city services recognised for efforts

Wilma Ryan (centre), surrounded by family and friends.Photo: Belinda Soole


CPSA Member Benefit


Join the national No Flogging of the Family Home for a Nursing Home campaign

CPSA launched its “No Flogging of the Family Home for a Nursing Home” to campaign against the Productivity Commission’s draft report on its Caring for Older Australians inquiry. The “No Flogging of the Family Home for a Nursing Home” campaign opposes the inclusion of the family home in aged care asset testing. The Commission wants to use the value of aged care recipients’ homes to determine care and accommodation fees. Those extra fees can either be paid from the proceeds of your house being sold or you can take out a reverse mortgage. It would be entirely up to you. This idea is akin to calls to include the family home in asset testing for the pension, except it’s restricted to people needing aged care. It also makes no difference if a spouse goes into a nursing home and the other spouse remains at home. The home will still be asset tested, unlike now where if a spouse or dependent lives in the home, it is excluded from asset testing. CPSA recently gave evidence at one of the hearings held to assist the Commission write their final report. It became clear to CPSA that the Commissioners do not have the details of how a reverse mortgage actually works. CPSA therefore has four questions for the Commissioners:1. How do you pay for aged care if you don’t qualify for a reverse mortgage?2. What happens if, for example, your daughter looks

after you in your home and you have to go into a nursing home: does your daughter get kicked out when you die?3. What happens if you have a child with a disability, that lives with you and requires care, and you need to go into a nursing home: do they also get kicked out when you die?4. What happens if you can get a reverse mortgage but the amount is inadequate to fund aged care? Reverse mortgages are not available in all parts of Australia. For example, in Goulburn, just 90 kilometres from Canberra, it’s impossible to get a reverse mortgage. Many lenders also don’t approve a reverse mortgage where there is a live-in informal carer, which would be a common occurrence for people needing aged care. These are critical points, but they seem to have been swept aside in the Commission’s drive to deregulate the aged care system and get older people to pay more.

Left alone to die

DAWN Patricia Heath, 78, died from burns in October 2008, after having dropped a cigarette on herself at the Helping Hand Health Care aged care facility in Adelaide. Her clothing caught alight and she suffered burns to 55 per cent of her body. Staff were not in the vicinity of her for several minutes and when they did arrive, it was too late. Mrs Heath suffered dementia and had mobility difficulties and needed a high level of supervision. That high level of supervision wasn’t present the day Mrs Heath died.

The South Australian Deputy State Coroner Anthony Schapel recently released his findings on the case, condemning the facility as ‘lax and unsafe’. “She was alone and unsupervised by staff of the nursing home. This state of affairs placed Mrs Heath at risk of harm through burns,” Mr Schapel said. “Mrs Heath was allowed to smoke outside and it is evident that this was a dangerous practice that foreseeably could have, and did, end in tragedy.” Seven months after her death, the facility passed accreditation with a perfect score of 44 out of 44 of the accreditation standards. The much anticipated and broadly praised draft report on aged care reform by the Productivity Commission, Caring for Older Australians says little about reform of the accreditation standards, the accreditation process, and staffing shortfalls in nursing homes. Perhaps that’s because the Commission shares the view that Australia’s aged care system offers, by and large, world-class care. Cases like that of Mrs Heath’s are typically put aside as a ‘one-off’ or ‘isolated’ case, that don’t happen that often. Much the same as the recent horrific case of residents having their genitals photographed by staff and shared around. Or the case of a woman found dead in a shower, strangled by a shower hose in a dementia-specific aged care facility. These cases occurred despite our ‘world class’ aged care system. The Commission’s report doesn’t mention cases like these. Perhaps they leave

too much of a bad taste in one’s mouth. It’s unfortunate though, because they fail to identify measures to address this kind of neglect, like tying quality of care to funding reform and strengthening monitoring systems. These are critical reforms needed to prevent others from suffering a similar fate as Mrs Heath.

Where to now for your teeth?

2011 was set to be the year of the dental program. Thanks to an agreement reached between the Greens and Labor in order to form Government, Labor promised to introduce funding for dental health services in this year’s budget. Yet, with the Government now preparing everybody to expect a ‘tough budget’, it seems less and less likely that there will be the type of funding needed to make a significant improvement to the state of the nation’s dental health. So what are we to expect for dental health in the near future at both a state and federal level?

Change of state government in NSW During the recent NSW State Election, Labor promised a $12.5 million increase in funding (which would do little to dent the waiting list) and the Coalition Government promised to establish a ministerial taskforce to develop a NSW Dental Health Action Plan. Through the available information, it would seem that the NSW Government believes that the Australian Government should have more of a role and greater funding responsibility for

CPSA Campaigns


dental health. Because of this, it also seems that they are waiting to see what the Australian Government announces and does before making any significant announcements themselves.

Federal Budget 2011As mentioned, this year’s budget was set up to be one where major dental health funding was to be announced. However, the Australian Government has argued that because of the summer’s natural disasters, health and welfare will have to take a hit. This is despite the fact that while they are planning funding cuts in health and welfare, they are still planning to go ahead with tax cuts for big business. The one per cent tax cut will equal approximately $18 billion over the next ten years according to the Greens. With that sort of money, we could fund a dental system and increase pensions and allowance payments to boot. It has seemed likely that some form of funding for dental health will be announced. After all, there have been enough reports in the press about possible programs. As readers of last month’s edition of THE VOICE will remember, there has been a proposal to introduce a scheme based on the current Teen Dental program, where there is basic treatment provided but nothing for serious conditions. Another proposal has been to again reintroduce the Commonwealth Dental Scheme. It would need some serious funding to make a substantial difference. However, in the last

couple of weeks Labor has put the dampener on any form of dental health reform. According to The Australian (7 April 2011), a new dental program was “not going to be achievable in this budget” because there was “no magic pudding” of money available. Anything new would have to be small, with more funding to come in later budgets, according to the newspaper. However, there are concerns that in order to introduce a new dental program, Federal Labor may attempt to cut the Enhanced Primary Care (EPC) dental scheme once again. Both the expense of the EPC scheme and claims of dentists rorting the scheme have been cited as reasons why it should be axed. CPSA has argued that the scheme’s growing expense is simply a sign of its success at improving the country’s poor dental health. Furthermore, any poor paperwork or rorting by dentists is a sign of poor administration, not of a poor scheme. Yet, if the EPC scheme was to be axed or have significant cuts made to it, this would seem to require the Greens doing a u-turn on their previous position where they voted twice to maintain it. CPSA, as part of the Alliance for Universal Dental Health Insurance, has maintained its calls for a universal dental health scheme that would use the EPC scheme as its base. The EPC scheme should first be expanded to low-income earners and then gradually expanded to the rest of the community. At a state level, as a part of the Oral Health

Alliance, CPSA has also maintained calls for the NSW Government to take up its responsibilities to adequately fund state public dental services. NSW has the lowest level of funding for dental services by any state or territory at just $23.45 per person. Another $102.5 million is required to make a proper dent into the waiting list that is currently 120,000 people long.

Minister Goward went in to bat for pensioners. Now it’s time to deliver

THERE is no longer a NSW Minister for Housing. Responsibility for housing is now split between the Minister for Finance and Services Greg Pearce and Minister for Families and Community Services Pru Goward. Minister Pearce will handle housing assets and Minister Goward will, presumably, handle everything else. In September 2009,

Ms Goward, the then Shadow Minister for Community Services, responded to the mooted rent rise for single pensioners (because of the pending inclusion of the $30 weekly rise into social housing rent calculations), stating that the then Housing Minister David Borger’s “attack on pensioners shows you how low the Rees Labor Government is prepared to stoop.” “With the Federal Government pumping billions of dollars of stimulus money into public housing, this rental increase is impossible to justify. Pensioners are right to be furious with Nathan Rees and David Borger at this blatant cash grab.” CPSA acknowledges the strong advocacy on behalf of pensioners carried out by Minister Goward 18 months ago and calls on the Minister to continue this advocacy to ensure that single pensioners do not suffer a massive rent hike. Before the election, Barry O’Farrell stated

CPSA Campaigns


an elected Coalition Government would review the so called ‘rent-holiday’ for single pensioners. To CPSA’s knowledge this is yet to take place. However, not making permanent this temporary exclusion of the $30 weekly single pension increase is going to be difficult to justify when the Minister Goward recently called it anything but ‘a heartless attack on pensioners’. This is a critical issue for single pensioners in social housing. When fighting for an increase in the pension, CPSA lobbied hard for it to be paid as a supplement rather than in the base rate because of this very issue. CPSA didn’t win that fight. But CPSA will continue to fight hard to win this one so that single pensioners living in social housing can keep all of their hard-earned one-off pension rise.

Super is super for some

Some victims of the Trio Capital superannuation fund fraud will receive $55 million in compensation from a special levy raised across all APRA-regulated funds at a rate of 2c per $100, the Federal Government has announced. But not all victims.If you are a member of a self-managed superannuation fund (SMSF) invested in Trio, you can whistle Dixie. SMSFs are regulated by the Australian Tax Office (ATO), while retail and industry funds are regulated by the Australian Prudential Regulation Authority (APRA). Both ATO- and APRA-regulated funds are regulated under the same legislation: the Superannuation Supervision Act.

The four APRA-regulated funds involved in Trio Capital superannuation are Astarra Superannuation Plan, Astarra Personal Pension Plan, My Retirement Plan and the Employers Federation of NSW Superannuation Plan. The argument for compensation for members of APRA-regulated funds seems to be that the regulator (APRA) and the auditors of the four funds involved failed to protect the fund members. However, did not the regulator of SMSFs (ATO) and the auditors of SMSFs involved with Trio also fail the members of those SMSFs? And if the ATO can’t be blamed because its principal activity is collecting tax rather than overseeing investment activity, isn’t there a strong case for affected SMSF members to be compensated on account of inadequate regulatory supervision? The responsible Minister, Bill Shorten, said SMSFs don’t have to comply with the same regulations as an APRA fund but also don’t receive the same protection - so are not eligible for compensation. The law is the law, but morally it is wrong to compensate one group of victims while ignoring another on the basis of a technicality. Tom Garcia, policy and regulatory manager of the Australian Institute of Superannuation Trustees (AIST), said the Government’s decision was a good development for the system. “It shows the general public … they can trust it,” he said. Trustees of SMSFs are not able to join the AIST. This episode suggests that the anti-SMSF attitudes

of retail, not-for-profit and industry funds to self-managed super have been adopted by the Government. “The public interest requires a grant of financial assistance be made,” Minister Shorten said. But only to those fund members the Minister approves of. SMSFs operate outside the public interest, apparently.

Work Bonus or Work Penalty?

Legislation has gone through for the Work Bonus changes. From 1 July 2011, pensioners can earn up to $250 a fortnight without it being assessed as income under the pension income test. That’s on top of the income free area. The way it works is that each fortnight pensioners get a credit of $250. This credit can be applied to income earned in that fortnight, or the credit can be accumulated up to a maximum of $6,500. This means that, if you want to earn more than $250 in a fortnight, you need to have built up more credit in advance to make sure you don’t lose pension. But in the first year of the Work Bonus changes everyone is still building up their credit. Take the example of an accountant doing tax returns from July to October 2011, earning, say, $15,000, or $1,875 a fortnight for eight consecutive fortnights. Let’s say this accountant is a single full rate pensioner. The income free area ($146 per fortnight) and Work Bonus ($250 per fortnight) mean that $1,479 of the accountant’s fortnightly income will be included in the pension income test. The accountant receives no pension that fortnight. In

fact, the accountant does not get any pension until November 2011 when s/he finishes work. Then, for the next eight months, or eighteen fortnights, the accountant builds up $4,500 up in Work Bonus credit. This can be used in the next year. So, in the first fortnight of 2012-2013, the accountant uses $146 from the income free area, $250 Work Bonus credit accruing that fortnight and $1,479 in accumulated Work Bonus credits. The accountant’s pension is not cut at all. This is repeated in the next two fortnights. In the fourth fortnight, there’s only $63 left in the Work Bonus bank and the accountant’s pension again lapses. In the last five fortnights that the accountant works, s/he receives no pension at all until the pension resumes in November 2012. If Work Bonus had started with a $6,500 credit on 1 July 2011, there would have been no pension cut for those three fortnights. These arrangements are unfair on two counts. First, this accountant relies on employment income to cover expenses across an entire year, not just across the four months of work, so it is unfair to assess this employment income on a fortnightly basis. It should be assessed on an annual basis as occurs with income for taxation purposes. Second, this accountant can never build up credit to $6,500, because s/he ‘wastes’ much of the fortnightly credits while working. The real issue, though, is that employment income earned by pensioners should be assessed on annual basis. The annual value of the income free area

CPSA Campaigns


and Work Bonus credits is $10,296. This means that this accountant, earning $15,000 in employment income, should only have $4,704 included in the pension income test, leading to a loss of pension of $2,352 annually, or $90.46 fortnightly. Instead, the accountant loses eight pension payments worth $5,834.40 in 2011-2012 and five pension payments worth $3,646.50 from 2012-2013. The galling thing is that Centrelink, before the 2009 Secure and Sustainable Pension reforms, used to assess employment income on an annual basis. What with the increase in the taper rate and the abolition of annualised assessments that came as part of the reforms, it is clear that “secure” and “sustainable” describe the affordability of the reforms rather than the benefits to pensioners. CPSA is campaigning to have annualisation of employment income as part of the pension income test restored.

New tenancy laws affect older tenants

CPSA’s Older Persons Tenants’ Service (OPTS) provides advice and advocacy to NSW public and private tenants aged 55 years and older, and all NSW protected tenants regardless of age. Josie (not her real name), aged 80, rented a flat in Marrickville for 21 years. In February this year she received a no-grounds notice of termination from her landlord to move out in 90 days. She has nowhere to go and is likely to remain in her home after the termination notice expires in April. Her landlord will then be required to make an application to the Consumer, Trader and Tenancy Tribunal for orders to end the tenancy and obtain possession of the premises. Under the new tenancy laws, because Josie has been a tenant of her premises for more than 20 years the Tenancy Tribunal is required to consider her circumstances in deciding whether to end the tenancy or not. Under the former tenancy law, Residential Tenancies Act 1987, the tribunal was bound to look at the tenant’s circumstances after any no-grounds termination notice was issued and not based on the length of time the tenant has lived in the premises. The Residential Tenancies Act 2010 and Residential Tenancies Regulation 2010 commenced on 31 January 2011. These new tenancy laws will affect all older tenants covered by these laws who are renting privately or in public or community housing. Older tenants should be aware of the new laws as

major changes have occurred at the beginning, during and the end of a tenancy. The new laws contain good and bad things for tenants.

Some of the good things are:• Certain terms are prohibited from being included in a tenancy agreement, for example having carpets steam cleaned when moving out of the premises is not required unless animals lived at the premises;• A landlord or real estate agent is not allowed to induce a prospective tenant to enter into a tenancy agreement by a statement known to be untrue, for example if a resident’s parking permit does not come with the premises and only paid parking is available;• A landlord must tell the tenant before signing the tenancy agreement if a contract for sale of the premises has been prepared or a mortgagee is taking action to repossess the premises;• A landlord must provide a written tenancy agreement for the tenant to sign otherwise the rent cannot be increased during the first six months of the tenancy; and• A tenant must be offered one method of paying the rent that does not incur a cost to the tenant and is reasonably available to the tenant.

Some of the bad things are:• A tenant cannot prevent his or her landlord accessing the premises provided the type of access is specified in the tenancy laws and correct notice has been given;• A no-grounds notice of termination issued by a landlord where the fixed term of the tenancy agreement has

expired requires the tenant to vacate in 90 days from receipt of the notice;• The Tenancy Tribunal no longer considers circumstances of the tenant’s case after a tenant has received a no-grounds notice of termination and has not vacated the premises on the date the notice has expired, unless the tenant has lived in the premises for more than 20 years; and• A landlord can apply directly to the Tenancy Tribunal and not give a tenant a no-grounds notice of termination where a tenant has lived in the premises for more than 20 years.

These are just some of the many changes in tenancy law that will affect older tenants and it can be very confusing and incredibly complicated. OPTS is conducting a series of information sessions focusing on the new tenancy laws affecting older tenants. These sessions are aimed at tenants aged 55 years or over and will be conducted around New South Wales in June 2011:

- Bathurst - 2 June- Griffith - 14 June - Penrith - 21 June - Sutherland - TBA - Armidale - TBA

Some sessions will be presented during CPSA meetings. For more information on the sessions, including dates, times and specific locations, contact OPTS on (02) 9566 1120 or 1800 13 13 10 (country callers). If you are interested in attending, please RSVP by 20th May 2011 for catering purposes, as light refreshments will be provided.

CPSA Campaigns

INTEREST FREE LOANS

The No Interest Loans Scheme (NILS®) is a not-for-profit community-based program that provides small no interest, no fee loans to households in need of essential household items such as appliances, furniture and medical equipment.

If you would like more information on accessing a NILS loan, call the NILS® Hotline on 1800 509 994.


INCOME SECURITY

CentrelinkAge Pension 13 23 00

DSP/Carer benefits 13 27 17Family Assistance 13 61 50

Welfare Rights CentreInfo on Government pensions

and other benefits9211 5300

1800 226 028

National Information Centre on Retirement InvestmentsAnything for the small investor and people wondering about

super or how to invest1800 020 110

Financial Ombudsman Services

Complaints about banking, insurance, super, financial

planning 1300 780 808

Industry Fund FinancialPlanning

1300 138 848

Australian Taxation OfficeSuper/Lost super 13 10 20

Personal tax 13 28 61

British Pensions inAustralia

Assistance in claiming the British Pension(02) 9521 79641300 308 353

No Interest Loans Scheme1800 509 994

RIGHTS

Australian Human Rights Commission

Complaints about discrimination and

harassment 1300 369 711

Commonwealth Ombudsman

Complaints about Federal Government departments and

agencies 1300 362 072

NSW Ombudsman’s Office Complaints about NSW Government agencies

1800 451 524

NSW Trustee and Guardian1300 360 466

Guardianship TribunalFinancial management orders

for people with decision-making disabilities

1800 463 928

Seniors Information Service13 12 44

Consumer Trader & Tenancy Tribunal

Tenancy, trader and consumer disputes13 32 20

Energy & Water Ombudsman (EWON)

Complaints about all NSW electricity/gas retailers and Sydney and Hunter Water

1800 246 545

TelecommunicationsIndustry Ombudsman

Phone and internet complaints 1800 062 058

GOODS AND SERVICE

Telstra Pensioner DiscountFor basic plans only

1800 353 652

NSW Seniors CardDiscounts on goods and services 1300 364 758

NSW Companion CardFree event admission for

companions of eligible people with a disability 1800 893 044

HEALTH AND CARE

Commonwealth CareLinkInfo about aged and

community care 1800 052 222

Office of Hearing ServicesSubsidised hearing aids

1800 500 726

Dementia Helpline1800 100 500

Single-gender Ward Hotline For patients who wish

to be placed in a single-gender ward after 24hrs

hospitalisation1800 700 830

VisionCare NSWSubsidised spectacles

(02) 9344 41221800 806 851

Home Care Service NSWDomestic assistance, respite

and personal care 1800 044 043

Rape Crisis Centre24hours/7days 1800 424 017

Health Care Complaints Commission

NSW only 9219 74441800 043 159

Carers NSWInformation, support

1800 242 636Emergency respite

1800 059 059

Aged care information lineResidential and community

aged care information1800 500 853

Aged Care Complaints Scheme

Complaints about residential and community aged care

1800 550 552

LifelineMental health support,

suicide prevention 13 11 14

Beyond BlueDepression and anxiety

information 1300 224 636

Public Dental Health Services

Call NSW Health for details9391 9000

1800 639 398

Medicare Enhanced Primary Care Dental Scheme

Call Medicare for details132 011

People with DisabilitiesAdvice for people with a

disability9370 3100

1800 422 016

Exit AustraliaInformation about euthanasia

1300 103 948

Dying with Dignity NSW02 9212 4782

Australian Men’s Shed

Association 1300 550 009

HOUSING

CPSA’s Older Persons Tenants’ Service (OPTS)

Individual advocacy9566 1120

1800 131310

CPSA’s Park and Village Service (PAVS)

Individual advocacy for caravan parks and

manufactured homes villages9566 1010

1800 177 688

NSW Department of Housing

Info and applications1800 629 212

Tenants Advice LineMondays 3-6pm1800 251 101

LEGAL

The Aged-care Rights Service including Older Persons’ Legal ServiceAged care and retirement

village advocacy and information and legal advice

for older people.9281 3600

1800 424 079

Law AccessReferrals for legal help

1300 888 529

The Law SocietySolicitor and legal firm

referrals9926 0300

1800 422 713

Community Justice Centres Dispute resolution services for minor matters 9228 7455

Domestic Violence Advocacy Service

1800 200 526

Family Relationship Centres Relationship and separation information 1800 050 321

Office of the Legal Services Commissioner

Complaints about lawyers and conveyancers 1800 242 958

CPSA Information Directory


Giggle Page

Crossword SolutionsCrossword on page 5

Robert & Bessie An farmer named Robert had an accident with a lorry, and was suing the lorry company.

In court the lorry company’s hot-shot solicitor was questioning Robert.

“Now Robert, didn’t you say to the police at the scene of the accident, ‘I’m fine?’” questioned the solicitor.

“Well, I’ll tell you what happened. I had just loaded my favourite cow, Bessie, into the...” started Robert.

“I didn’t ask for any details. Just answer the question,” retorted the solicitor. “Did you not tell the police officer, at the scene of the accident, ‘I’m fine!’?”

“Well, I had just got Bessie into the sidecar and I was driving down the road....”

The solicitor interrupted again and said, “Your Honour, I am trying to establish the fact that, at the scene of the accident, the claimant told the police on the scene that he was fine. Now several weeks after the accident, he is trying to sue my client. I believe he is a fraud. Please tell him to simply answer the question.”

By this time, the Judge was fairly interested in Robert’s answer and said to the solicitor, “I’d like to hear what he has to say about his favourite cow, Bessie”.

Robert thanked the Judge and proceeded. “Well as I was saying, I had just loaded Bessie, my favourite cow, into the sidecar and was driving her down the road when this huge lorry and trailer came through a stop sign and hit me right in the side.

“I was thrown into one ditch and Bessie was thrown into the other. I was hurt very bad like, and didn’t want to move. However, I could hear old Bessie moaning and groaning. I knew she was in terrible pain just by her groans.

“Shortly after the accident, a policeman on a motorbike turned up. He could hear Bessie moaning and groaning so he went over to her. After he looked at her and saw her condition, he took out his gun and shot her between the eyes.

“Then the policeman came charging across the road, gun still in hand, looked me up and down, and said, ‘How badly are you hurt?’

“Now I ask you what would you have said?”

Global Financial Crisis?What Global Financial Crisis?

How do you make an artichoke?

Strangle it.

Documents

THE VOICE - May 2011