Senior group pushes for pension rule change allowing pensioners to continue working while receiving full entitlements — here are all the details
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A seniors group has called for the revision of pension rules, changing the directive to allow older Australians to keep their pension entitlements while still remaining employed.
National Seniors Australia said that the current rules penalise seniors who work beyond the prescribed amount of working time by subjecting their salary to heavy penalties, alongside income tax.
The organisation also quipped that pensioners could potentially fill up the record number of job vacancies in the country.
National Seniors Australia chief advocate Ian Henschke said that the change that the group is campaigning for has already been trialled in other countries, suggesting that pensioners should be able to stay fully employed without facing penalties.
He said: "They have trialled it in New Zealand and it works."
"They have 43 per cent of their 65 to 75 workers there, and in Australia, we have three per cent of our pensioners still working."
Currently, pensioners who work beyond their prescribed working time face heavy penalties, alongside income tax. Credit: AAP.
Mr Henschke also commented on the government's budget "black hole" — which was caused by the COVID-19 pandemic — saying that the employment of seniors could help alleviate this financial crisis.
"When (seniors) work they pay income tax, super contributions tax, etc," he said.
"Now we have all of the problems with labour shortages, and the solution from the government is to bring in hundreds of thousands of people from overseas who can't come here in many cases because their countries won't let them go."
"What we have to do is recognise this is a sensible policy that will fix the budget, that will help Australia get out of its labour shortage at the moment."
The new scheme could allow seniors to fill up the record number of job vacancies in Australia. Credit: Nine.
The group also said that since the elections are nearing, the major party that will adopt this policy could potentially gain an electoral advantage over the other parties.
Mr Henschke said: "There are one in two voters now over 50, so pick this one up and run with it."
What are your thoughts on this? Should pensioners be allowed to continue working while receiving full pension entitlements? Share your thoughts with us in the comments below!
National Seniors Australia said that the current rules penalise seniors who work beyond the prescribed amount of working time by subjecting their salary to heavy penalties, alongside income tax.
The organisation also quipped that pensioners could potentially fill up the record number of job vacancies in the country.
National Seniors Australia chief advocate Ian Henschke said that the change that the group is campaigning for has already been trialled in other countries, suggesting that pensioners should be able to stay fully employed without facing penalties.
He said: "They have trialled it in New Zealand and it works."
"They have 43 per cent of their 65 to 75 workers there, and in Australia, we have three per cent of our pensioners still working."
Currently, pensioners who work beyond their prescribed working time face heavy penalties, alongside income tax. Credit: AAP.
Mr Henschke also commented on the government's budget "black hole" — which was caused by the COVID-19 pandemic — saying that the employment of seniors could help alleviate this financial crisis.
"When (seniors) work they pay income tax, super contributions tax, etc," he said.
"Now we have all of the problems with labour shortages, and the solution from the government is to bring in hundreds of thousands of people from overseas who can't come here in many cases because their countries won't let them go."
"What we have to do is recognise this is a sensible policy that will fix the budget, that will help Australia get out of its labour shortage at the moment."
The new scheme could allow seniors to fill up the record number of job vacancies in Australia. Credit: Nine.
The group also said that since the elections are nearing, the major party that will adopt this policy could potentially gain an electoral advantage over the other parties.
Mr Henschke said: "There are one in two voters now over 50, so pick this one up and run with it."
What are your thoughts on this? Should pensioners be allowed to continue working while receiving full pension entitlements? Share your thoughts with us in the comments below!