Seniors still need pension support
Figures released by the Australian Bureau of Statistics show that many seniors are still reliant on the age pension, with two-thirds of retirees reporting government pensions or allowances as their current main source of income.
While this trend is slowly changing, due to the introduction of compulsory superannuation, this has not helped many of today’s retirees.
National Seniors chief executive officer, Michael O’Neill, said the statistics showed an alarming number of current retirees were still reliant on an age pension that was below the poverty line. “When they were in the workforce, there was no such thing as superannuation and everyone was entitled to a pension if they lived long enough,” Mr O’Neill said.
“While the introduction of superannuation was a great thing for people’s financial independence, it seems many people have fallen through the poverty gap.
“Tomorrow’s seniors will be less reliant on the pension, but until then, we can’t forget those pensioners who live on $537.70 a fortnight.”
At a recent community Cabinet meeting, Prime Minister Kevin Rudd and his ministers themselves acknowledged the inadequacy of the age pension as a means of support.
