Petition to the House of Representatives
Parliament of Australia
Petition EN6227
Increase the Work Bonus providing Aged Pensioners incentive to re-enter the workforce and ease the current skills shortage at no cost to Government, without disadvantaging those unable to work.
Why:
The current Work Bonus system discourages Pensioners to return to the workforce.
A Pensioner earnings gained from work over $150 p/week is reduced by 50%, this has not changed since July 2019.
Reduce a black cash economy.
Australian average wage 2009/10 to 2024 88% increase
Pension Sept 2009 to March 2024 66% increase
Work Bonus Sept 2009 to March 2024 20% increase
The $4,000 Work Bonus Cap increase had an actual one off value of $2,000, not enough to entice Aged Pensioners to change their lifestyle.
70,892 Aged Pensioners earned at least $250 in the last fortnight of March 2023. This number would increase to 99,691 if pre-covid levels were restored.
Increasing the threshold from $300 to $500 p/fortnight and restoring participation to pre-covid levels could realise a saving to Government of $2,880,000 or $70 Million including GST on additional spending.
AIM:
To immediately change the Work Bonus system providing Aged Pensioners incentive to re-enter the workforce and ease the current skills shortage at no cost to Government without disadvantaging those unable to work.
Action Required:
1 – Increase Work Bonus Threshold from $300 per fortnight to $500 per fortnight.
2 – Index Work Bonus Threshold in line with Aged Pension review every March and September.
3 – Consider combining Couples Work Bonus balance