Roffe and Military Rehabilitation and Compensation Commission (Veterans' entitlements)

The Administrative Appeals Tribunal considered the case of Captain Roffe and the Military Rehabilitation and Compensation Commission concerning veterans' entitlements. Captain Roffe, formerly serving in the Australian Army, was medically discharged and had seven accepted service-related injuries or diseases. He was receiving incapacity payments calculated at 100 per cent of his normal weekly earnings. The dispute arose when the Commission determined, pursuant to section 131 of the *Military Rehabilitation and Compensation Act 2004* (Cth), that his payments should reduce to 75 per cent of his normal weekly earnings after 45 weeks, despite his eligibility for a Special Rate Disability Pension.

The primary legal issue before the Tribunal was whether the adjustment percentage under section 131 of the Act applied to Captain Roffe's incapacity payments, specifically whether he fell within an exception to the reduction. The Tribunal was required to determine if Captain Roffe's circumstances met the criteria for an adjustment percentage of 100 per cent, as opposed to the standard 75 per cent applicable to individuals not working. This involved examining the conditions under which the adjustment percentage could remain at 100 per cent, particularly in relation to undertaking an approved rehabilitation program involving full-time study.

The Tribunal reasoned that section 131(2) of the Act stipulates that the adjustment percentage is 75 per cent for a person not working during the week, unless section 131(3) applies. Section 131(3) allows for a 100 per cent adjustment percentage if the Commission is satisfied that the person is undertaking an approved rehabilitation program that includes full-time study. The Tribunal noted that Captain Roffe did not contend that he was undertaking such a program. While the Incapacity Policy Manual mentions apprenticeships as full-time study, this was not relevant to Captain Roffe's situation. The Tribunal acknowledged Captain Roffe's submissions regarding the intent of the adjustment percentage as an incentive to return to work, but found that the statutory conditions for an exception were not met in his case.

Consequently, the Tribunal affirmed the decision under review.