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Australia to strip retirees' benefits to support citizens aboard

(Xinhua)
Updated: 2009-03-17 14:03

CANBERRA -- The Australian government made an attempt to force 22,000 self-funded retirees to fund 75 million Australian dollars ($50 million) in cash handouts to Australians who live overseas, the opposition said on Tuesday.

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"They are splashing 42 billion Australian dollars ($28 billion) of taxpayers' money, plunging us into debt, and of that amount, sending 75 million Australian dollars ($50 million) overseas where it will not benefit the Australian economy at all," Former Veterans Affairs Minister Bronwyn Bishop told the parliament.

Bishop said the government wanted to strip 22,000 seniors, including some veterans, of the commonwealth seniors health card to fund cash bonuses for Australians living abroad.

"This is an immoral decision to force these people (self-funded retirees) to be responsible for providing that money to pay people who no longer live here," Bishop said.

The card, which entitles holders to a range of concessions on items including medication and public transport, is available to people of pension age who are not receiving any government benefits with taxable incomes under 50,000 dollars ($33,035) for singles, or 80,000 dollars ($53,000) for couples.

According to data released by the Australian Associated Press, about 69,000 pensioners living overseas have received up to 1,400 Australian dollars ($925) stimulus payments from the government. And to tighten the income test would save the government 84 million dollars ($55.5 million) over four years.