Federal government ‘will consider’ plan to unleash ‘grey army’

The federal government “will consider” work reform for pensioners to utilise the ‘grey army’ as the country battles serious staff shortages.

Federal Minister for Skills and Training, Brendan O’Connor, told Neil Mitchell the government is considering increasing the number of hours pensioners can work without affecting their pension payments.

Currently, pensioners can earn up to $300 a fortnight or $7800 a year without affecting their pension. If they earn more, their pension payments will be reduced.

Mr O’Connor says allowing pensioners to work more without penalty is “an option that’s definitely worth considering”.

But he says the financial impact of changing the pension work rules must be considered.

“It’s a question of how far do we go to increase that and what cost there is to the budget. We have got a very significant public debt … and we have to be mindful of that,” he said.

Neil Mitchell has been calling for the change since March.

Press PLAY below to hear the measures the federal government is considering to address worker shortages