NDIS Reforms Criticized as 'Retrogressive' by Labor-Led Committee
NDIS Reforms 'Retrogressive', Labor-Led Committee Finds

The Albanese government's proposed National Disability Insurance Scheme (NDIS) reforms have been criticized by a Labor-led parliamentary committee as 'retrogressive' and inconsistent with a landmark independent review aimed at improving the $50 billion-a-year scheme.

Committee Report Findings

The 57-page scrutiny report from the joint human rights committee, released on Friday, examined the proposed changes ahead of a separate Senate inquiry report due next week. The committee questioned the human rights implications of reducing access for over 200,000 participants in the coming years, which could leave many without adequate disability support.

The report stated that the measures appeared retrogressive and could limit human rights, despite the government's claim that they are necessary for the long-term sustainability of the NDIS.

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Proposed Changes and Impact

Under the proposed changes, a legal framework to determine NDIS eligibility based on 'substantially reduced functional capacity' will be introduced from 2028. Government modeling indicates this could remove about 241,000 people from the scheme by mid-2031, reducing total participants to 600,000.

The committee acknowledged the objective of ensuring financial sustainability but raised concerns about the assumption that mainstream support services are available and accessible.

Lack of Alignment with NDIS Review

The report also noted that the measures did not appear to align with the findings of the 2023 NDIS review, despite the bill citing it as justification. The government's proposals include tightening the definition of permanence, requiring potential participants to exhaust all available and appropriate treatment before gaining NDIS access.

The committee criticized the lack of consideration for individual circumstances, such as geography or financial situation, when determining treatment appropriateness.

Response from NDIS Minister

NDIS Minister Mark Butler defended the plan, calling it 'a very well-developed plan' that puts people with disability at its center. He stated that the government is closely watching the inquiry and will consider its response after the report is delivered.

The Senate inquiry's report is expected to be published on Tuesday, June 16.

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