Veterans short-changed
As the major parties try to point score off each other, neither is concerned about the long-serving ex-servicemen/women who have had their superannuation entitlements “ripped off.” Both major parties have waxed lyrical about the “unique nature of military service” and the “debt owed to these men and women” but this is just lip service.
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Superannuation in the services has been compulsory since 1948 and the first two schemes, DFRB and DFRDB, under which some 55,000 Defence Force retirees still receive benefits, would not stand the pub test. The government did not invest members’ contributions to these schemes, but rather, transferred them into consolidated revenue, where they have always been used to help balance the budget.
Under these schemes retiring members could, after 20 years or more of service, take an advance lump sum payment of future entitlements to help them resettle into civilian life. If they opted to take the lump sum, their ongoing superannuation payments were reduced based on what their life expectancy was in 1962 which, on average, these men and women are living beyond by more than 14 years. But the government continues to pay them at the reduced rate until the day they die.
The government also fiddled with the indexation of their benefits, using an inappropriate index, which does not keep pace with the cost of living, and a complex indexation formula to further reduce their benefits. And this method of indexation flows on to the benefits of their widows and dependent children.
Minister Chester regularly states that the whole issue is a misunderstanding, but in the military misunderstandings are invariably caused by miscommunication.
In 1991, the government introduced a third scheme, known as MSBS, and it has just as many problems. Then in 2016, it introduced yet another scheme.
Is there a federal politician in the country who would accept the conditions they force on those who served their country in peace and war?
J. Hislop, Wodonga
Pelican rocks rocks
It is wonderful to hear local South Coast cafe, Pelican Rocks has once again been recognised for having the best fish chips, not just in NSW but in Australia, in Wotif’s 2019 Uniquely Aussie Awards.
I have eaten at Pelican Rocks many times over the years and can attest to the delicious, fresh and award-winning fish and chips the cafe serves.
This local business is one of the South Coast’s success stories and shows how our natural offerings and local produce can rival the best in Australia, drawing in visitors from far and wide.
This cafe is a major local employer for the Greenwell Point community.
I congratulate Pelican Rocks owner Sam Cardow and his staff on the win and applaud their hard work.
The title of best fish and chips confirms to the rest of Australia what locals have known for a long time and puts Greenwell Point on the map for our overseas visitors.
S. Hancock MP, Member for South Coast
Goalposts shifted unfairly
A group of people who have worked and saved have been unfairly singled out by the Labor Party and Mr Shorten as unworthy to continue to receive franking credits. Many of these retirees obtained advice and followed what was legally available in superannuation at that time just as negative gearing was and is still legally available. If Mr Shorten is elected he plans to leave those with current negative gearing unaffected by way of a grandfather clause. A similar approach should be taken on franking credits. It would then become the new starting point for new entrants. Instead, Shorten plans to continue to target the older group of retirees who have investments they must live off, it looks to me a classic left wing redistribution of wealth.