This bill became law on Oct 7th, 2022.
Defence & foreign affairs
Veterans in a Department of Veterans' AffairsThe department that funds the rehabilitation program that lets eligible veterans keep the higher payment while studying. funded full-time studyStudy that meets the program's eligibility rules, so the veteran can keep receiving the higher incapacity payment rate. rehabilitation program keep getting incapacity paymentsWeekly compensation paid when a service-related injury or illness reduces a veteran's ability to work. worked out at 100% of their normal weekly earningsThe pay figure used to calculate the veteran's incapacity payment, based on what they usually earned before the injury or illness. until 30 June 2023.
A four-year trial ended on 30 June 2022, leaving veterans in DVAThe department that funds the rehabilitation program that lets eligible veterans keep the higher payment while studying.-funded full-time studyStudy that meets the program's eligibility rules, so the veteran can keep receiving the higher incapacity payment rate. facing reduced incapacity paymentsWeekly compensation paid when a service-related injury or illness reduces a veteran's ability to work. from 1 July 2022. The bill extends the 100% payment rate to 30 June 2023 under both defence compensation laws, allows back payMoney paid later to cover the gap between what veterans were paid and what they should have received after 1 July 2022. for the gap, and lets the government fund those payments.
A 2018-19 Budget measureThe earlier budget decision that created the four-year trial keeping study veterans on the higher payment rate. had created a four-year trial so veterans in DVAThe department that funds the rehabilitation program that lets eligible veterans keep the higher payment while studying.-funded full-time studyStudy that meets the program's eligibility rules, so the veteran can keep receiving the higher incapacity payment rate. could keep incapacity paymentsWeekly compensation paid when a service-related injury or illness reduces a veteran's ability to work. at 100 per cent of their normal weekly earningsThe pay figure used to calculate the veteran's incapacity payment, based on what they usually earned before the injury or illness. instead of dropping to 75 per cent after 45 weeks. When that trial ended on 30 June 2022, eligible veterans faced reduced payments from 1 July, so the bill restored the higher rate under both defence compensation laws, provided back payMoney paid later to cover the gap between what veterans were paid and what they should have received after 1 July 2022. for the gap, and became law in October 2022.
No significant public case against this bill is recorded so far; the only clear concern was that veterans had already lost income because the higher study payment was allowed to lapse before this fix arrived. Speakers across government, opposition and the Greens backed the measure, with criticism aimed at the earlier delay rather than at the bill’s policy or design.
Matt Keogh MP introduced this bill. It passed on the voices.
Did it become law?
Yes
Became law 07 Oct 2022
Final passage
Passed without a counted vote
Members called out ‘aye’ or ‘no’ — no individual votes were recorded.
Passage speed
72 days
From introduction to the latest recorded parliamentary step
Meaning
Veterans in a Department of Veterans' AffairsThe department that funds the rehabilitation program that lets eligible veterans keep the higher payment while studying. funded full-time studyStudy that meets the program's eligibility rules, so the veteran can keep receiving the higher incapacity payment rate. rehabilitation program keep getting incapacity paymentsWeekly compensation paid when a service-related injury or illness reduces a veteran's ability to work. worked out at 100% of their normal weekly earningsThe pay figure used to calculate the veteran's incapacity payment, based on what they usually earned before the injury or illness. until 30 June 2023.
Veterans covered by both major federal Defence compensation laws can get this higher study-related payment, not just people under one veterans compensation law.
Veterans who should have kept the higher payment from 1 July 2022 can get back payMoney paid later to cover the gap between what veterans were paid and what they should have received after 1 July 2022. for the gap before the Act started.
Veterans who became eligible for the higher study payment after 1 July 2022 can also get back payMoney paid later to cover the gap between what veterans were paid and what they should have received after 1 July 2022. from when they first qualified until the Act started.
The Act also allows government money to be paid under both Defence compensation laws so these higher and back payments can actually be made.
The amendments proposed to be made to the Military, Rehabilitation and Compensation Act 2004 and Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 extend the trial from 1 July 2022 to 30 June 2023, enabling veterans studying to be exempt from the stepdown and receive payments calculated based on 100 per cent of their normal weekly earnings (the higher rate).Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) explanatory memorandum
The bill will amend the Military Rehabilitation and Compensation Act 2004 and the Safety, Rehabilitation and Compensation (Defence Related Claims) Act 1988 to provide for all eligible veterans covered under these two schemes.Minister's second reading speech
Application provisions will ensure that student veterans who should have been eligible to continue to receive the higher rate of payment from 1 July 2022, and who received reduced payments after 1 July 2022, will be eligible to receive back-payments to cover the period from 1 July 2022 until the day the Act commences.Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) explanatory memorandum
Application provisions will also ensure that student veterans who became eligible to join the trial after 1 July 2022 and receive the higher rate of payment will be eligible to receive back-payments to cover the period from when they became eligible to join the trial until the day the Act commences.Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) explanatory memorandum
The amendments proposed to be made in Schedule 1 also enable funds to be appropriated under the Military, Rehabilitation and Compensation Act 2004 and the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988.Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) explanatory memorandum
Context
A 2018-19 Budget measureThe earlier budget decision that created the four-year trial keeping study veterans on the higher payment rate. had created a four-year trial so veterans in DVAThe department that funds the rehabilitation program that lets eligible veterans keep the higher payment while studying.-funded full-time studyStudy that meets the program's eligibility rules, so the veteran can keep receiving the higher incapacity payment rate. could keep incapacity paymentsWeekly compensation paid when a service-related injury or illness reduces a veteran's ability to work. at 100 per cent of their normal weekly earningsThe pay figure used to calculate the veteran's incapacity payment, based on what they usually earned before the injury or illness. instead of dropping to 75 per cent after 45 weeks. When that trial ended on 30 June 2022, eligible veterans faced reduced payments from 1 July, so the bill restored the higher rate under both defence compensation laws, provided back payMoney paid later to cover the gap between what veterans were paid and what they should have received after 1 July 2022. for the gap, and became law in October 2022.
Budget measure creates a trial for veterans studying full-time
A 2018-19 Budget measureThe earlier budget decision that created the four-year trial keeping study veterans on the higher payment rate. began a four-year trial that removed the usual incapacity payment stepdownThe reduction in incapacity payments from 100 per cent to 75 per cent after 45 weeks under the usual rules. for veterans in approved full-time studyStudy that meets the program's eligibility rules, so the veteran can keep receiving the higher incapacity payment rate. under a DVAThe department that funds the rehabilitation program that lets eligible veterans keep the higher payment while studying. rehabilitation plan.
Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) explanatory memorandum ↗Four-year incapacity payment trial ends
When the trial expired, veterans in approved study were again exposed to the normal drop from 100 per cent to 75 per cent of normal weekly earningsThe pay figure used to calculate the veteran's incapacity payment, based on what they usually earned before the injury or illness. after 45 weeks.
Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) explanatory memorandum ↗Government introduces the bill to restore the higher rate
The bill was introduced to resume 100 per cent incapacity paymentsWeekly compensation paid when a service-related injury or illness reduces a veteran's ability to work. for eligible student veterans, extend that treatment to both major defence compensation laws and allow back payMoney paid later to cover the gap between what veterans were paid and what they should have received after 1 July 2022. from 1 July 2022.
Hansard ↗Parliament passes the bill
Both houses passed the bill, with senators highlighting that urgency mattered because some veterans were already missing payments they would otherwise have received.
Parliamentary timeline ↗Royal Assent confirms the payment extension
Royal Assent turned the bill into law so the higher study-related payment and retrospective payments could be made through to 30 June 2023.
Parliamentary timeline ↗Legislative route
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
The bill reached this recorded parliamentary step.
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Third reading agreed to
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
The bill reached this recorded parliamentary step.
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Third reading agreed to
Both houses passed the bill in the same form, completing parliamentary passage.
Finally passed both Houses
The Governor-General gave Royal Assent, turning the bill into an Act.
Key criticism
No significant public case against this bill is recorded so far; the only clear concern was that veterans had already lost income because the higher study payment was allowed to lapse before this fix arrived. Speakers across government, opposition and the Greens backed the measure, with criticism aimed at the earlier delay rather than at the bill’s policy or design.
Debate focused on fixing a gap in payments, not on objections to the bill itself.
Votes
The bill passed both chambers on the voices, so there is no list of individual Aye and No votes for final passage.
House agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Parliamentary debate
Start here — lead voices
Keogh supports the bill because it restores the higher incapacity payment rate for eligible veterans studying under rehabilitation plans and backdates payments for those affected after 1 July 2022.
Read in Hansard ↗Phillip Thompson supports the bill because it helps injured veterans keep receiving full pre-injury pay while they study, which he argues gives them purpose and improves their transition into work.
Read in Hansard ↗Gavin Pearce supports the bill, saying it will help veterans receive full compensation while they study and is part of the right long-term response to veteran transition and rehabilitation.
Read in Hansard ↗Neumann supports the bill and says it is urgently needed to restore veterans' incapacity paymentsWeekly compensation paid when a service-related injury or illness reduces a veteran's ability to work. and give affected veterans certainty after the former coalition government let the measure lapse.
Read in Hansard ↗All speeches by bloc
7 speakers · 8 contributions · 7 support
“This bill reinstates the program and allows the calculation of incapacity payments to these veterans once again to be based on 100 per cent, not 75 per cent, of their pre-injury earnings. It's imperative the legislation be passed. It is a matter of urgency to financially support veterans. We're here today because of the failure and inaction of the former coalition government. We're about giving veterans certainty and financially supporting them.”Read the full speech in Hansard ↗
Hansard records 2 separate contributions by Matt Keogh on this bill. They are grouped here so the speaker is listed once.
Minister's second reading speech
Keogh supports the bill because it restores the higher incapacity payment rate for eligible veterans studying under rehabilitation plans and backdates payments for those affected after 1 July 2022. He says it will reduce financial stress and help veterans complete education and transition into civilian work.
“The bill will enable veterans undertaking an eligible course of study to access the beneficial arrangements for an additional year, to 30 June 2023, where the calculation of incapacity payments is based on 100 per cent of the individual's pre-injury earnings.”Read this contribution in Hansard ↗
Second reading speech
Keogh supports the bill, saying it restores the higher incapacity payment rate for eligible veterans studying under a rehabilitation plan and backdates payments to make up for losses caused by the previous government's delay. He says it is part of a broader effort to help veterans transition to civilian life and improve their employment prospects.
“The Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Bill will resume access to the beneficial calculation of incapacity payments for eligible veterans. This means that eligible veterans—those undertaking approved study under a rehabilitation plan—will again have their incapacity payments restored to 100 per cent of pre-injury earnings.”Read this contribution in Hansard ↗
“This is why I do praise the minister for bringing in and doing this. It's just one of those steps in the pathway to addressing what we know is a problem and putting it together.”Read the full speech in Hansard ↗
“This particular bill resumes access to the beneficial calculation of incapacity payments for eligible veterans. For veterans undergoing rehabilitation, we know that ongoing financial security can be a concern. A lack of financial support can impede their rehabilitation, particularly when they're working towards long-term rehabilitation goals such as engaging in tertiary education.”Read the full speech in Hansard ↗
“The Bill will enable veterans undertaking an eligible course of study to access the beneficial arrangements for an additional year, to 30 June 2023, where the calculation of incapacity payments is based on 100 per cent of the individual's pre-injury earnings.”Read the full speech in Hansard ↗
“It's vital that this legislation is progressed to support the 370 veterans who are currently experiencing a payment reduction due to the inaction of those opposite. It helps them transition, as I said, and we are committed—we are absolutely committed—as a government to delivering a comprehensive employment program for veterans, to support personnel as they make that transition.”Read the full speech in Hansard ↗
“I thank the senators who have contributed to today's discussion on the Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Bill 2022. I note that both senators observed the urgency of the passage of this bill. It's regrettable that the measures in this bill were not enacted in the last parliament. It has, as Senator Shoebridge observed, created the circumstances where people are presently not receiving payments who would otherwise be entitled to them. I do wish to highlight to the Senate that one consequence of this bill will be to backdate payments for those veterans.”Read the full speech in Hansard ↗
5 speakers · 5 support
“This bill wasn't around then, but education kind of opened my mind to what else could be there. So I decided: 'You know what? I'm going to do a degree in psychology.' Well, that didn't last very long! I was way out of my depth. Then I said: 'I want to do a bachelor's in something else,' and that didn't last long. And then a diploma fell over. Then I did a certificate IV in training assessment, and I was like: 'You know what? I can do this now.' That cert IV then turned into a diploma, and after that diploma then I got another one. I found that education gave me meaning—a reason to get up in the morning. It gave meaning to a life that had a black hole in it. It gave me something that I wanted to get up and do.”Read the full speech in Hansard ↗
“This is a great bill. It comes at the end of a long road, and I'm pleased to see it's finally coming to fruition. We can't fix veterans' issues overnight; I think the royal commission will identify that. But we're moving in the right direction. I want to look across the chamber today at the minister and I want him to be reassured that, if there is anything veterans from this side can do, he has our support. At the end of the day, our aim is to look after our fine community of veterans.”Read the full speech in Hansard ↗
“This is noncontroversial. We look forward to assisting the government to get this through as quickly as possible. I've had discussions with the Minister for Veterans' Affairs and Minister for Defence Personnel. I appreciate and commend him for reaching out. We will make sure that we work together so that we look after people who have served our nation.”Read the full speech in Hansard ↗
“I rise to speak in support of the Military Rehabilitation and Compensation and Other Legislation Amendment (Incapacity Payments) Bill 2022.”Read the full speech in Hansard ↗
“We will not be standing in the way of this bill, because support for veterans is not a political game and should not be a partisan game. We really need to ensure that we support those who have sacrificed so much and dedicated their time to ensuring the safety and security of our nation.”Read the full speech in Hansard ↗
1 speaker · 1 support
“We support this bill. We support the bill rapidly passing through the Senate and we support the urgent restoration of these benefits to veterans.”Read the full speech in Hansard ↗
Record
House · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
House · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
House · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
House · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
House · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Senate · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Senate · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Senate · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
Senate · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Senate · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Parliament · Finally passed both Houses
Passed both houses
Both houses passed the bill in the same form, completing parliamentary passage.
Assent · Assent
Assent
The Governor-General gave Royal Assent, turning the bill into an Act.
