French and Repatriation Commission (Veterans' entitlements)

This matter concerned a veteran's application for an increase in his disability pension rate, specifically seeking the Special Rate. The applicant, who served in the Australian Army and has accepted war-caused conditions including Post-Traumatic Stress Disorder, Alcohol Use Disorder, and back-related issues, claimed his remunerative work capacity was less than eight hours per week in aggregate. Both the Veterans Review Board and the original delegate had rejected this claim, affirming his pension at 70% of the General Rate. The Administrative Appeals Tribunal reviewed these decisions.

The primary legal issue before the Tribunal was whether the applicant's incapacity from his accepted war-caused conditions alone rendered him incapable of undertaking remunerative work for more than eight hours per week in aggregate, as required by section 23 of the *Veterans Entitlements Act 1986* for an increase to the Intermediate Rate. This involved assessing the combined impact of his psychological and physical conditions on his ability to engage in employment.

The Tribunal considered expert evidence from a psychiatrist and a musculoskeletal medicine physician, as well as testimony from the applicant and his wife. The psychiatrist opined that the applicant's PTSD, characterised by anger, irritability, and social withdrawal, made employment involving significant interpersonal contact extremely challenging, limiting his capacity to solitary, self-paced work. While acknowledging the impact of his back conditions on strenuous activity, the psychiatrist noted the applicant had learned to tolerate the long-standing pain. The Tribunal accepted that the applicant's accepted conditions, when considered together, did render him incapable of undertaking remunerative work for more than eight hours per week.

Consequently, the Tribunal set aside the previous decisions and substituted a new decision finding the applicant entitled to receive his pension at the Intermediate Rate, effective from 4 March 2019.