Military pension fair indexation welcomed: McCormack
THE Nationals’ Member for Riverina, Michael McCormack, has welcomed today’s announcement that an elected Coalition Government would provide the fair indexation military superannuation pensions.
Opposition Leader Tony Abbott announced funding for the fair indexation of Defence Force Retirement Benefits (DFRB) and Defence Force Retirement and Death Benefits (DFRDB) military superannuation pensions in a press conference this morning.
“This is something I have vigorously lobbied for since I was elected,” Mr McCormack said.
“This is really important for the Riverina because of its long military ties through the three defence bases in Wagga Wagga and the fact so many ex-servicemen and women live in the region.
“Military superannuation pensions are currently indexed with the consumer price index, or the inflation rate. This is in contrast to the aged pension indexation, which has a formula based around the consumer price index, male total average weekly earnings and the pensioner and beneficiary living cost index.
“I have repeatedly told Parliament the indexation for both pensions should be equal,” Mr McCormack said.
While the fair indexation of the DFRB and DFRDB pensions was announced by Mr Kevin Rudd as an election promise in 2007, Labor has not delivered on its pledge to Australia’s 57,000 recipients of military superannuation pensions.
“This was also a promise of the Coalition at the 2010 election and we will honour this pledge to our servicemen and women should we be elected,” Mr McCormack said.