Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Act 2022
No. 41, 2022
An Act to amend the law relating to military rehabilitation and compensation, and for related purposes
Contents
1 Short title
2 Commencement
3 Schedules
Schedule 1—Amendments
Military Rehabilitation and Compensation Act 2004
Safety, Rehabilitation and Compensation (Defence‑related Claims) Act 1988
Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Act 2022
No. 41, 2022
An Act to amend the law relating to military rehabilitation and compensation, and for related purposes
[Assented to 7 October 2022]
The Parliament of Australia enacts:
1 Short title
This Act is the Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Act 2022.
2 Commencement
(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
Commencement information |
Column 1 | Column 2 | Column 3 |
Provisions | Commencement | Date/Details |
1. The whole of this Act | The day this Act receives the Royal Assent. | 7 October 2022 |
Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.
(2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.
3 Schedules
Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.
Schedule 1—Amendments
Military Rehabilitation and Compensation Act 2004
1 Subsection 131(3)
Omit “2022”, substitute “2023”.
2 Application and transitional provisions
(1) Subject to this item, the amendment made by item 1 of this Schedule applies in relation to working out amounts of compensation payable to a person for a week starting on or after the commencement of this item.
(2) If an amount of compensation liable to be paid to a person for a week under the Military Rehabilitation and Compensation Act 2004, as in force immediately before the commencement of this item, is less than the amount that would have been payable to the person had the amendment made by item 1 been in force at that time, the Commonwealth is liable to pay to the person an amount equal to the difference between those 2 amounts.
(3) Payments of amounts under subitem (2) are taken, for the purposes of paragraph 423(a) of the Military Rehabilitation and Compensation Act 2004, to be payments of compensation under that Act.
Safety, Rehabilitation and Compensation (Defence‑related Claims) Act 1988
3 Subsection 19(3AA)
Omit “2022”, substitute “2023”.
4 Application and transitional provisions
(1) Subject to this item, the amendment made by item 3 of this Schedule applies in relation to working out amounts of compensation payable to a person for a week starting on or after the commencement of this item.
(2) If an amount of compensation liable to be paid to a person for a week under the Safety, Rehabilitation and Compensation (Defence‑related Claims) Act 1988, as in force immediately before the commencement of this item, is less than the amount that would have been payable to the person had the amendment made by item 3 been in force at that time, the Commonwealth is liable to pay to the person an amount equal to the difference between those 2 amounts.
(3) Payments of amounts under subitem (2) are taken, for the purposes of subsection 160(1) of the Safety, Rehabilitation and Compensation (Defence‑related Claims) Act 1988, to be payments of compensation in relation to defence service under that Act.
[Minister’s second reading speech made in—
House of Representatives on 27 July 2022
Senate on 6 September 2022]
Overview
The Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Act 2022 was enacted by the Parliament of Australia to address issues in the existing legislative framework concerning incapacity payments for military personnel. This Act amends the Military Rehabilitation and Compensation Act 2004 and the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 to update the calculation of incapacity payments. The policy objective behind this amendment is to ensure that the compensation provided to military personnel reflects current economic conditions and accurately compensates for their incapacity. The Act was assented to on 7 October 2022 and commenced on the same date, with transitional provisions to manage the shift from the old to the new compensation rates.
Scope and Application
The Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Act 2022 amends the Military Rehabilitation and Compensation Act 2004 and the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 to adjust the calculation of compensation payments for incapacity, effective from the date of Royal Assent, 7 October 2022. This Act applies to individuals who receive compensation for incapacity under the amended Acts, specifically affecting those who are entitled to weekly payments starting on or after the Act's commencement. The amendments ensure that any person who would have received a lesser amount of compensation under the old rate is compensated for the difference. This Act has a Commonwealth reach, as it amends federal legislation concerning military rehabilitation and compensation.
The Act includes transitional provisions to address any compensation shortfalls for individuals who were receiving payments before the amendments came into effect. The amendments specify that the Commonwealth is liable for the difference in compensation amounts for weeks starting on or after the amendments' commencement, and these payments are recognised as compensation under the respective Acts. The Act does not explicitly state any exclusions, exemptions, or thresholds, but it does rely on subordinate instruments to detail the application and transitional provisions. The Act does not extend its application beyond the specified provisions unless amended by further legislation.
Key Provisions
The Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Act 2022 amends the Military Rehabilitation and Compensation Act 2004 and the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988, both of which govern military rehabilitation and compensation in Australia. The primary amendments involve changes to the financial year for calculating incapacity payments, as specified in subsection 131(3) of the Military Rehabilitation and Compensation Act 2004, and subsection 19(3AA) of the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988. These amendments replace the reference to the year 2022 with 2023, affecting the calculations for compensation payments starting from weeks beginning on or after the Act's commencement date of 7 October 2022.
This legislation imposes specific obligations on the Commonwealth to ensure that affected individuals receive any difference in compensation payments if the amount payable under the amended Acts is greater than what was previously owed. According to application and transitional provisions, if an amount of compensation is less than what would have been payable had the amendments been in force, the Commonwealth must compensate the difference. These payments are considered as compensation under the respective Acts.
In terms of penalties and consequences, the Act does not explicitly state any criminal or civil penalties for non-compliance. However, the failure to adhere to the requirements of the Act, such as not compensating the difference in payments where applicable, could result in legal actions by affected individuals seeking redress. Additionally, non-compliance might lead to reputational damage and scrutiny from oversight bodies. While the Act itself does not prescribe maximum penalties, any legal proceedings arising from non-compliance would be subject to the penalties and consequences outlined in the respective Acts or common law.