Like what you've read?

On Line Opinion is the only Australian site where you get all sides of the story. We don't
charge, but we need your support. Here�s how you can help.

  • Advertise

    We have a monthly audience of 70,000 and advertising packages from $200 a month.

  • Volunteer

    We always need commissioning editors and sub-editors.

  • Contribute

    Got something to say? Submit an essay.


 The National Forum   Donate   Your Account   On Line Opinion   Forum   Blogs   Polling   About   
On Line Opinion logo ON LINE OPINION - Australia's e-journal of social and political debate

Subscribe!
Subscribe





On Line Opinion is a not-for-profit publication and relies on the generosity of its sponsors, editors and contributors. If you would like to help, contact us.
___________

Syndicate
RSS/XML


RSS 2.0

Disability Support Pensions: the myths and the facts

By Andrew McCallum - posted Tuesday, 15 February 2005


Sensible debate about the Disability Support Pension (DSP) can get lost in sensationalism. Inevitably when the issue gets a higher profile in the media, so too will stories of “pension cheats” and alarmist portrayals of the rise in the number of people on DSP.

Many arguments used to justify a crackdown on disability pensions are false or misleading. Myths like it is easy to get, that numbers of people on DSP are out of control and that it is for people who do not want to work are simply untrue.

ACOSS recently put out a paper Ten Myths & Facts about the Disability Support Pension that breaks down these myths. The paper outlines the facts of who is on the DSP and why.

Advertisement

Easy or hard work?

First of all, it is not easy to get the DSP. Recipients must have a serious medical condition independently assessed by doctors and vocational experts. The condition must prevent them within the next 2 years from working 30 hours a week or more.

There is also the misperception that all you need to get on DSP is a “bad back”. In reality, disabilities of people on DSP are more diverse and serious than “sore backs”: 33 per cent of people on DSP have musculo-skeletal disabilities (loss of mobility & limbs); 25 per cent have psychological & psychiatric conditions; 11 per cent have intellectual & learning disabilities; 5 per cent circulatory system problems; and, 21 per cent other conditions.

Then there is the notion that DSP and workforce participation are mutually exclusive. ACOSS agrees with the Government that Australia must bring more people with disabilities of workforce age into employment. Compared with other wealthy countries, we have a poor record in this area. Only 9 per cent of disability pensioners have income from employment compared with an average of about 30 per cent for other wealthy countries.

But this is not a problem to be solved with cutbacks but more employment assistance for people with disabilities as well as support from employers. In truth, people with disabilities face a series of hurdles to get work - employer discrimination, waiting lists for employment assistance, lack of access to buildings and other infrastructure and financial disincentives in the social security system.

Many people with disabilities want to work but the system is not designed to help them in its current form. Unfortunately the disability pension is still widely regarded as “the end of the line” for people’s career prospects. This is unfair and a waste of human resources.

Rise or reality?

Several commentators bemoan the increasing number of people receiving the disability support pension as though this is evidence that it is too easy to get. There are several causes for the doubling of the number of DSP recipients over the past 15 years.

Advertisement

First, whereas once a disability like a mental illness may not have been declared now it is increasingly recognised. The ABS estimates that the number of Australians of workforce age with a "core activity restriction" rose from 1.2 million in 1988 to 1.5 million in 1998. Improved identification of disabilities such as mental illness and lower mortality rates after accidents account for this increase. The strongest growth was in severe and profound disabilities.

The second reason for the climb in DSP recipients is due to changes in the welfare system and closure of other payments. The fastest growing category of DSP recipients is not older men but mature aged women. The closure of payments such as the Wife Pension, Widow's Pension and the Age Pension for women 60-65 years old means that more women with disabilities applied for the DSP.

Finally, the labour market and employers hold part of the responsibility for the increase in DSP recipients. The decline in the number of low-skilled full time jobs and lack of employer support for people with disabilities is a key factor in rising DSP numbers. In the 1990s, all growth in fulltime permanent jobs was in higher skilled employment when people with disabilities on average have a low level of skills.

Narrow or reasonable view?

Despite what you may hear in coming months as those urging reform of the Disability Support Pension argue against those urging cutbacks, the DSP is a vital payment to people with disabilities. Any family with a person with a disability will tell you the facts are that most care for people with disabilities is provided by the family and the DSP is modest in covering a person’s cost of living.

When presented with both sides of the DSP debate, most Australians do not support a tough approach to people on DSP. A recent survey found that half felt it was reasonable to ask DSP recipients to retrain, participate in their community or improve their literacy skills but two thirds did not support requirements for people with disabilities to look for work: 75 per cent did not support requirements for people with disabilities to participate in Work for the Dole.

Most Australians have realistic expectations about the workforce participation of people with disabilities - they, like people with disabilities themselves, want people to work if it is possible to do so. Let’s hope this more reasoned view prevails over the idea that anything can be achieved by the Government putting up any more hurdles for people with disabilities to jump.

  1. Pages:
  2. Page 1
  3. All


Discuss in our Forums

See what other readers are saying about this article!

Click here to read & post comments.

40 posts so far.

Share this:
reddit this reddit thisbookmark with del.icio.us Del.icio.usdigg thisseed newsvineSeed NewsvineStumbleUpon StumbleUponsubmit to propellerkwoff it

About the Author

Andrew McCallum is president of the Australian Council of Social Services.

Other articles by this Author

All articles by Andrew McCallum
Related Links
ACOSS
Centrelink - DSP
Photo of Andrew McCallum
Article Tools
Comment 40 comments
Print Printable version
Subscribe Subscribe
Email Email a friend
Advertisement

About Us Search Discuss Feedback Legals Privacy