Sweeping reforms to Australia's National Disability Insurance Scheme (NDIS) have drawn sharp criticism, with a Labor-led joint human rights committee branding them 'retrogressive' and out of alignment with a significant independent review. The committee's 57-page scrutiny report, published on Friday, scrutinised the Albanese government's proposed legislative changes, raising concerns about their potential impact on more than 200,000 participants.
The report specifically questioned the human rights implications of tightening access to the A$50bn-a-year scheme, suggesting many individuals could be left without adequate disability support. This comes as the NDIS minister, Mark Butler, has indicated the government's intent to pass the proposed legislation in the upcoming June sitting period, despite widespread criticism from experts, advocates, and providers who argue the current Senate inquiry's reporting period is insufficient for proper scrutiny.
A key concern highlighted by the committee is the interaction of the proposed changes with Australia's obligations under international human rights law, particularly the 'duty to refrain from taking retrogressive measures, or backwards steps'. The report noted that while the government's stated aim is to preserve the NDIS's long-term sustainability, this could 'directly or indirectly limit the range of health-related supports or funding accessed through the NDIS for some individuals', thereby potentially limiting human rights.
Under the proposed framework, a new legal definition of eligibility, based on 'substantially reduced functional capacity', is slated for introduction from 2028. Government modelling suggests this change could reduce the total number of participants to 600,000 by mid-2031, removing around 241,000 people from the scheme. While acknowledging the legitimate objective of financial sustainability, the committee's report questioned the underlying assumption that adequate mainstream support services would be 'available and accessible' for those no longer covered by the NDIS.
Furthermore, the committee's findings suggest the proposed measures do not appear to align with the recommendations of the 2023 NDIS review, despite the bill's explanatory notes using the review as justification. The Albanese government's proposals include a stricter definition of 'permanence', requiring potential participants to exhaust all available and appropriate treatment options before gaining NDIS access. The report also pointed out that accessibility decision-makers would not be explicitly required to consider individual circumstances, such as geography or financial situation, when determining the appropriateness of treatment, raising further concerns about potential inequities.