Social Services Legislation Amendment (Child Support Measures)

Current status

This bill became law on Jun 23rd, 2023.

Policy area

Welfare & housing

What does this bill do?

Services AustraliaThe government agency that administers child support on behalf of the Registrar and handles collection and case administration. can keep taking child support and related debts from an employee's wages even after an ongoing child support case has ended, so unpaid amounts can still be collected.

Why was it introduced?

Gaps in child support law left Services AustraliaThe government agency that administers child support on behalf of the Registrar and handles collection and case administration. unable to keep collecting some debts through wages after a case ended, let some debtors seek overseas travel by offering security, and imposed clumsy income-reporting rules on low-income parents. The bill expands wage deductionA process where an employer is told to take child support money out of a worker's pay before they are paid. powers, tightens when travel permission can be refused, and lets eligible low-income parents use a simpler default income.

Broader context

Australia’s child support scheme had operated since 1988, but by 2023 ministers and MPs said legal loopholes were stopping Services AustraliaThe government agency that administers child support on behalf of the Registrar and handles collection and case administration. from collecting some unpaid debts through wages after cases ended, allowing some debtors to seek overseas travel by offering security, and pushing some low-income parents onto inflated default incomes. Building on measures first funded in the 2021-22 Mid-Year Economic and Fiscal OutlookA budget update that is used here because earlier funding for stronger child support compliance was announced in it., the bill was introduced to tighten debt recovery and income rules, then passed in June 2023 so those collection and assessment changes could become law.

Key criticism

The main criticism was that the bill was too limited: it made useful technical fixes to debt collection and income assessments but did not tackle the much larger backlog of unpaid child support or wider problems affecting separated families. That concern was raised most clearly by the Greens, while other speakers still backed the bill and described it as only a first step needing broader reform.

Who supported it?

Amanda Rishworth MP introduced this bill. It passed on the voices.

Introduced in House 29 Mar 2023
Passed House 10 May 2023
Passed Senate 15 June 2023
Became law 23 June 2023

Did it become law?

Yes

Became law 23 June 2023

Final passage

Passed without a counted vote

Members called out ‘aye’ or ‘no’ — no individual votes were recorded.

Passage speed

86 days

From introduction to the latest recorded parliamentary step

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. Services AustraliaThe government agency that administers child support on behalf of the Registrar and handles collection and case administration. can keep taking child support and related debts from an employee's wages even after an ongoing child support case has ended, so unpaid amounts can still be collected.

  2. An employer deduction noticeA process where an employer is told to take child support money out of a worker's pay before they are paid. can stay in place when a person's child support liability changes, so wage deductions do not have to stop and restart because of a technical change.

  3. A parent stopped from leaving Australia over unpaid child support can now be refused permission to travel even if they offer security, unless Services AustraliaThe government agency that administers child support on behalf of the Registrar and handles collection and case administration. expects proper repayment arrangements soon.

  4. Low-income parents who do not need to lodge a tax return can have their child support income set at the self-support amountA low-income benchmark used here as the default income figure for some parents who do not have to lodge a tax return. instead of a higher default estimate.

Show source excerpts
  1. The amendments provide for the Registrar using the employer withholding provisions of the Child Support Registration and Collection Act to collect deductible liabilities where a person’s ongoing child support liability has ended, but they still have outstanding child support and related debts.
    Social Services Legislation Amendment (Child Support Measures) explanatory memorandum
  2. Item 8 adds new subsection 45(4), to avoid doubt, which clearly maintains the effectiveness of a notice to an employer to make deductions from a payer’s wages, even if the nature of the underlying liability changes.
    Social Services Legislation Amendment (Child Support Measures) explanatory memorandum
  3. These amendments will mean that if the Registrar is not satisfied it is likely that arrangements will be made for the person’s liability to be wholly discharged within a reasonable period of time, the Registrar will be able to refuse to issue a certificate even if appropriate security is offered. These amendments will not affect the Registrar’s obligation to issue a certificate if satisfied it should be issued on humanitarian grounds, or if refusal to issue would be detrimental to Australia’s interests.
    Social Services Legislation Amendment (Child Support Measures) explanatory memorandum
  4. This amendment simplifies child support income reporting requirements for low income parents, where the parent is not required to lodge a tax return. It will allow the Registrar to determine the amount of the person’s adjusted taxable income for that year to be the relevant child support self-support amount.
    Social Services Legislation Amendment (Child Support Measures) explanatory memorandum

Broader context for this bill

Australia’s child support scheme had operated since 1988, but by 2023 ministers and MPs said legal loopholes were stopping Services AustraliaThe government agency that administers child support on behalf of the Registrar and handles collection and case administration. from collecting some unpaid debts through wages after cases ended, allowing some debtors to seek overseas travel by offering security, and pushing some low-income parents onto inflated default incomes. Building on measures first funded in the 2021-22 Mid-Year Economic and Fiscal OutlookA budget update that is used here because earlier funding for stronger child support compliance was announced in it., the bill was introduced to tighten debt recovery and income rules, then passed in June 2023 so those collection and assessment changes could become law.

  1. 1988

    Australia establishes the child support scheme

    The Hawke government created the national child support scheme to make regular financial support from both parents more reliable after separation.

    Hansard ↗
  2. 2021-22

    Budget funding backs stronger child support compliance

    The former coalition government committed $7.8 million in the 2021-22 Mid-Year Economic and Fiscal OutlookA budget update that is used here because earlier funding for stronger child support compliance was announced in it. to recover child support debts in more circumstances, including two measures later carried by this bill.

    Hansard ↗
  3. 29 Mar 2023

    Government introduces a bill to close child support loopholes

    The government said the bill would fix gaps that hindered debt collection and unfairly affected low-income parents, beginning its parliamentary push for reform.

    Parliamentary timeline ↗
  4. 09 May 2023

    Government says the changes could return more than $160 million

    During debate, Labor said the bill would close loopholes and recover more than $160 million of unpaid child support for single parents and their children.

    Hansard ↗
  5. 15 June 2023

    Parliament passes the bill

    Both houses passed the bill in the same form, clearing the way for the new debt recovery, departure prohibition and income assessment rules to take effect.

    Parliamentary timeline ↗
  6. 23 June 2023

    Royal AssentThe final step that turns a passed bill into an Act of Parliament. turns the bill into law

    Royal AssentThe final step that turns a passed bill into an Act of Parliament. completed the bill’s passage and made the child support changes an Act of Parliament.

    Parliamentary timeline ↗

How did it move through Parliament?

House Senate
Introduced 29 Mar 2023

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 29 Mar 2023

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 09 May 2023

The bill reached this recorded parliamentary step.

Human Rights review 09 May 2023

Considered by scrutiny committee (09/05/2023): Parliamentary Joint Committee on Human Rights; Report 8 of 2023

Considered by scrutiny committee

APH bill page notes
Second reading debate 10 May 2023

The bill reached this recorded parliamentary step.

House second reading agreed 10 May 2023

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

House third reading agreed 10 May 2023

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Introduced 10 May 2023

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 10 May 2023

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Scrutiny of Bills review 10 May 2023

Considered by scrutiny committee (10/05/2023): Senate Standing Committee for the Scrutiny of Bills; Scrutiny Digest 5 of 2023

Considered by scrutiny committee

APH bill page notes
Second reading debate 15 June 2023

The bill reached this recorded parliamentary step.

Senate second reading agreed 15 June 2023

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

Senate third reading agreed 15 June 2023

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Passed both houses 15 June 2023

Both houses passed the bill in the same form, completing parliamentary passage.

Finally passed both Houses

Assent 23 June 2023

The Governor-General gave Royal AssentThe final step that turns a passed bill into an Act of Parliament., turning the bill into an Act.

The main case against this bill

The main criticism was that the bill was too limited: it made useful technical fixes to debt collection and income assessments but did not tackle the much larger backlog of unpaid child support or wider problems affecting separated families. That concern was raised most clearly by the Greens, while other speakers still backed the bill and described it as only a first step needing broader reform.

No party represented in the debate opposed the bill, but some support was plainly conditional on further reform.

Too narrow to fix deeper problems

Critics said the bill dealt with a few practical loopholes but left the bigger problems in the child support system unresolved, including the large stock of unpaid support and the broader pressures facing women, especially those affected by family violence.

Raised by Greens senator Janet Rice, with other supporters also describing the bill as only a first step Source ↗

Recorded votes

How the bill itself passed

The bill passed both chambers on the voices, so there is no list of individual Aye and No votes for final passage.

Passed

House passed the bill

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.

10 May 2023

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.

Passed

Senate passed the bill

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.

15 June 2023

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.

Who spoke, and what they said

Start here — lead voices

Sponsor speech Supports

Amanda Rishworth

Australian Labor Party • MP 29 Mar 2023

Amanda Rishworth supports the bill and says it will improve child support debt recovery, stop loopholes, and better protect low-income parents from inaccurate assessments.

Read in Hansard ↗
Lead supporting voice Supports

Anne Ruston

Liberal Party • Senator 15 June 2023

Ruston says the coalition will support the bill because it improves child support debt recovery and helps prevent new debts for low-income parents.

Read in Hansard ↗
Lead voice Supports

Kate Thwaites

Australian Labor Party • MP 09 May 2023

Kate Thwaites supports the bill as a first step to make child support fairer and more effective for families.

Read in Hansard ↗
Lead voice Supports

Tim Ayres

Australian Labor Party • Senator 10 May 2023

Tim Ayres supports the bill and says it will strengthen child support collection, reduce debts, and better reflect the low incomes of parents who are not required to lodge tax returns.

Read in Hansard ↗

All speeches by bloc

Labor

7 speakers · 8 contributions · 7 support

  1. Justine Elliot Justine Elliot supports the bill and says it will make the child support scheme fairer and more effective by improving debt collection, stopping non-paying parents from leaving Australia, and making low-income assessments more accurate.
    “I rise today also to speak in support of the Social Services Legislation Amendment (Child Support Measures) Bill 2023. As we've heard many speakers say, this bill will make the child support scheme better and fairer for Australian families and these improvements are very much needed to make this scheme much more effective and essentially fairer.”

    Australian Labor Party • MP • 10 May 2023

    Read the full speech in Hansard ↗
  2. Graham Perrett Graham Perrett supports the bill and says it will help Services AustraliaThe government agency that administers child support on behalf of the Registrar and handles collection and case administration. collect child support debts more effectively, improve income assessments for low-income parents, and better protect children and single parents from hardship.
    “The intent of this bill is to make it easier for Services Australia to collect child support debts, and I'm proud to be part of the government that is helping it to do so because I believe the needs of children should be paramount: it's a great investment. Moreover, our proposed changes will help prevent future debts being accrued by low-income parents. Nobody wins from those sorts of debt traps.”

    Australian Labor Party • MP • 10 May 2023

    Read the full speech in Hansard ↗
  3. Libby Coker Coker supports the bill, saying it will make child support fairer and easier to enforce by closing loopholes, recovering unpaid debts and improving income assessments.
    “All in all, with this bill, we take the next step towards a better and fairer child support system. We know it will make a substantial difference to the lives of so many families in my electorate, who come to me and talk about this issue. We have listened and we, the Albanese government, are acting. We also recognise that there is more work to do when it comes to improving child support. That's why our government has committed to this bill and to implementing the recommendations of the report from the Joint Select Committee on Australia's Family Law System.”

    Australian Labor Party • MP • 09 May 2023

    Read the full speech in Hansard ↗
  4. Brian Mitchell Brian Mitchell supports the bill because it strengthens child support collection, closes loopholes for debtors, and improves income estimates so low-income parents are not unfairly burdened.
    “The changes in this bill will make a difference to the lives of custodial parents and their children in my electorate. It will offer better financial security and it will make paying parents accountable for their responsibilities. However, the government also knows there is more work to do to improve the child support scheme to ensure that it's always fit for purpose. In the government's response to the report by the Joint Select Committee on Australia's Family Law System, tabled in January 2023, we have committed to implement a range of recommendations to improve the scheme over the longer term. This bill is a first step to make the scheme better for parents and children.”

    Australian Labor Party • MP • 10 May 2023

    Read the full speech in Hansard ↗

Coalition

2 speakers · 2 support

  1. Michael Sukkar Sukkar says the coalition will support the bill because it strengthens child support debt recovery and closes loopholes that let parents avoid paying what they owe.
    “The coalition will be supporting the Social Services Legislation Amendment (Child Support Measures) Bill 2023. This bill works to improve debt recovery and help prevent future debts for low-income parents. It therefore will have the coalition's support.”

    Liberal Party • MP • 09 May 2023

    Read the full speech in Hansard ↗

Greens

1 speaker · 1 support

  1. Janet Rice Rice says the Greens will support the bill because its measures will help single parents and vulnerable children receive child support, but she argues it is only a small step given the much larger amount of unpaid child support and the broader problems facing women affected by family violence.
    “I rise to indicate that the Greens will be supporting the Social Services Legislation Amendment (Child Support Measures) Bill 2023, but I note there is so much more that needs to be done. These are three minor measures that will improve the ability of single parents and their vulnerable children to receive child support. But I think the scale of what still needs to be done is indicated by the fact that this bill is estimated to recover up to $164 million in child support debt, whereas it is estimated that there is $1.59 billion of unpaid child support. So there is an awful lot more to be done to support vulnerable single mothers and their children. We've got deception from partners; we've got unequal onus of proof; we've got ex-partners not lodging tax returns; we have got misleading on how much income they've got; we've got care arrangements being difficult to prove; and we've got really awful interactions with the family tax benefit, where single parents—mothers in particular—are presumed to be receiving child support when in fact they're not.”

    Australian Greens • Senator • 15 June 2023

    Read the full speech in Hansard ↗

Full record

Full chat