Tuesday, 20 January 2015

One rule for All - Aged Pensions

As reported in many of the daily papers and on the news today

Treasurer Joe Hockey says changes to Medicare and pensions are needed because a future generation could live to the age of 150. 

Wow!  Do you really want to live to 150?

I don't often get political but sometimes things flow into your email box that jump out at you and you think to yourself "i agree with this". 

I'm not stupid (at least i don't think i am) but i understand the numbers game when it comes to an ageing population, greater life expectancy, a fairly static number of taxpayers and the ability to fund the public purse. The money has to come from somewhere BUT the proposed changes to the aged pension, medicare, centrelink payments etc should apply to all Australian, including politicians.  They are no better than any voter.

I do not dispute the salaries of politicians.  When you pay peanuts, you get monkeys.  I want our politicians o be educated, experienced and successful in their chosen field.  I want to be proud of those that represent us both domestically and internationally.  Can i sneak in here that i am as proud of Julie Bishop (Minister for Foreign Affairs) as i am embarrassed by Mr Abbot (Prime Minister).   As compensation for foregoing what for many would be quite substantial salaries in the general workforce, they should receive a decent salary whilst working in Government.  I do however agree with the following that this salary/compensation for public service should have a time limit.    

Take a look at these numbers and see if you think that its a bit rich for those on the gravy train to be dictating what we voters can live on in retirement (WHEN we are allowed to retire that is) when they have given themselves very generous perks.  

This is the email i received from several people this week.  

I absolutely agree, if a pension isn't an entitlement, neither is theirs. They keep telling us that paying us an aged pension isn't sustainable.
Paying politicians all the perks they get is even less sustainable! The politicians themselves, in Canberra, brought it up, that the Age of Entitlements is over:

The author is asking each addressee to forward this email to a minimum of twenty people on their address list; in turn ask each of those to do likewise.
At least 20 if you can. In three days, most people in Australia will have this message. This is one idea that really should be passed around because the rot has to stop somewhere.

Proposals to make politicians shoulder their share of the weight now that the Age of Entitlement is over

1. Scrap political pensions.
Politicians can purchase their own retirement plan, just as most other working Australians are expected to do.

2. Retired politicians (past, present & future) participate in Centrelink.
A Politician collects a substantial salary while in office but should receive no salary when they're out of office.
Terminated politicians under 70 can go get a job or apply for Centrelink unemployment benefits like ordinary Australians.
Terminated politicians under 70 can negotiate with Centrelink like the rest of the Australian people.

3. Funds already allocated to the Politicians' retirement fund be returned immediately to Consolidated Revenue.
This money is to be used to pay down debt they created which they expect us and our grandchildren to repay for them.

4. Politicians will no longer vote themselves a pay raise. Politicians pay will rise by the lower of, either the CPI or 3%.
5. Politicians lose their privileged health care system and participate in the same health care system as ordinary Australian people.
I.e. Politicians either pay for private cover from their own funds or accept ordinary Medicare.

6. Politicians must equally abide by all laws they impose on the Australian people.
7. All contracts with past and present Politicians men/women are void effective 31/12/14.
The Australian people did not agree to provide perks to Politicians, that burden was thrust upon them.
Politicians devised all these contracts to benefit themselves.
Serving in Parliament is an honour not a career.
The Founding Fathers envisioned citizen legislators, so our politicians should serve their term(s), then go home and back to work.

If each person contacts a minimum of twenty people, then it will only take three or so days for most Australians to receive the message. Don't you think it's time?

THIS IS HOW YOU FIX Parliament and help bring fairness back into this country!

If you agree with the above, pass it on. If not, just delete

If your wonder why the above individuals are asking for your help look at the figures below.
Date of Effect 1 July 2014
Specified Statutory Office
Base Salary  (per annum)
Total Remuneration for office  (per annum)
 Chief of the Defence Force > $535,100  -     $764,420
Commissioner of Taxation > $518,000   -    $740,000
Chief Executive Officer, Australian Customs
And Border Protection Service > $483,840  -      $691,200
Auditor-General for Australia > $469,150  -  $670,210
Australian Statistician > $469,150 - $670,210
Salaries of retired Prime Minister and Politicians
Additional salary (%)
Salary as of 1 July
Prime Minister
Deputy Prime Minister
Leader of the Opposition
House of Reps Speaker
Leader of the House
Minister in Cabinet
Parliamentary secretary
Other ministers
Shadow minister
So if I press all the right buttons, the TOTAL annual wages for the 150 seats in the Parliament are:
Prime Minister
Deputy Prime Minister
Leader of the Opposition
House of Reps Speaker
Leader of the House
Minister in Cabinet
Parliamentary secretary
Other ministers*
307,329  x 71 =  A$21,820,359
Shadow ministers*
$243,912  x 71 =  A$17,317,752

The TOTAL ANNUAL SALARIES (for 150 seats) =
 $41,694,311 - PER YEAR!
And that’s just the Federal Politicians, no one else!
For the ‘lifetime’ payment example (below) I used the scenario that:
1.   They are paid ‘lifetime’ salaries the same as their last working year and
2.   After retiring, the average pollie’s life expectancy is an additional 20 years (which is not unreasonable).
It’s worth remembering that this is EXCLUDING all their other perks!
SO, for a 20 years ‘lifetime’ payment (excluding wages paid while a Parliamentarian)
Prime Minister                    @ $507,338  = A$10,146,760
Deputy Prime Minister    @ $400,016  = A$8,000,320
Treasurer                            @ $365,868  = A$7,317,360
Leader of the Opposition  @ $360,990  = A$7,219,800
House of Reps Speaker     @ $341,477  = A$6,829,540
Leader of the House          @ $341,477  = A$6,829,540
Minister in Cabinet             @ $336,599  = A$6,731,980
Parliamentary secretary  @ $243,912  = A$4,782,240
Other ministers**              @ $307,329  = A$6,146,580 x 71 = A$436,407,180
Shadow ministers**           @ $243,912  = A$4,878,240 x 71 = A$346,355,040
TOTAL ‘life time’ (20 year) payments, (excluding wages paid while in parliament) = A$833,886,220 OVER $833 MILLION
Julia Gillard, Kevin Rudd, John Howard, Paul Keating, Malcolm Fraser, Bob Hawke, et al, add nauseum,are receiving $10 MILLION + EXTRA at taxpayer expense.
Should an elected PM serve 4 years and then decide to retire, each year (of the 4 years) will have cost taxpayers an EXTRA Two and a half million bucks a year! A$2,536,690 to be precise.
A 2 year retirement payment cut-off will SAVE our Oz bottom line A$792,201,909  *** NEARLY $800 MILLION.
There are 150 seats in House, minus the 8 above = 142 seats, divided equally for example = 71 each for both shadow and elected ministers.
This example excludes all wages paid while a parliamentarian AND all perks on top of that - travel, hotels, Secretarial staff, speech writers, restaurants, offices, chauffeured limos, security, etc. etc.
150 seats, 20-year payment of A$833,886,220 less annual salary x 2 years of A$83,388,622. [$41,694,311 x 2]

“Instead of giving a politician the keys to the city, it might be better to change the locks.”
 Doug Larson (English middle-distance runner who won gold medals at the 1924 Olympic Games in Paris, 1902-1981)

You’re Right, you have found where the cuts should be made!
Action: Push for a MAX 2 year post retirement payment (give ‘em time to get a real job). Spread it far and wide folks. People should know.
Dr. Dale Kerwin
School of Education
MT Gravatt Campus
Grifffith University
ph. 07 3735 5884
fax. 07 3735 5991

Now there are some interesting figures above.  Some that many ordinary Aussies would not be aware of. Change is good but that change needs to apply to everyone.   

Thanks for Living In The Land of Oz


  1. It would appear that no one likes me being serious! LOL

  2. I have made a comment Lynda but it's as a reply to your comment on my blog.
    Incidentally I agree with your latest post, our prime minister I understand earns more than the President of the USA a piddley little country like ours, population of 4.25 mil and we pay the waste of spaces that govern us more than the US pay their lot.
    Yea! it worked, sorry for the cut and paste.

    1. Thanks Ann, i was beginning to think i had committed blog suicide.

  3. What a disgrace this is. I just shared this on facebook I hope you dont mind. x

  4. I just saw your post, Lynda. I didn't notice it in my blog reader thingy whatever it is called. Wow, there are a lot of statistics there and a lot to take in. I will have to sleep on it. No, I don't want to live to be 150!!!


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