The Albanese government's proposed National Disability Insurance Scheme (NDIS) reforms have come under fire from a parliamentary committee, which described them as 'retrogressive' and out of step with a landmark independent review. The joint human rights committee, led by Labor, released a 57-page scrutiny report on Friday, questioning the human rights implications of the changes that could wind back access for over 200,000 participants.
Committee raises human rights concerns
The report examined how the proposed changes align with Australia's obligations under international human rights law, including the duty to avoid retrogressive measures. The committee noted that the government's statement of compatibility acknowledges the measures aim to preserve the NDIS's long-term sustainability but may limit health-related supports for some individuals. 'As such, it appears the measures would be retrogressive and thus limit these human rights,' the report stated.
The proposed reforms would introduce a legal framework from 2028 to determine NDIS access based on 'substantially reduced functional capacity.' Government modelling suggests this could remove around 241,000 people from the scheme by mid-2031, reducing total participants to 600,000.
Doubts over mainstream services
While the committee acknowledged the legitimate objective of ensuring financial sustainability, it questioned whether mainstream support services would be available and accessible to those removed from the NDIS. 'Questions therefore arise as to whether this is the case and whether the measure would be effective to achieve the stated objective in practice,' the report said.
The committee also found that the measures did not appear to align with the findings of the 2023 NDIS review, despite the bill citing it as justification. The proposed changes would tighten the definition of permanence, requiring participants to exhaust all available and appropriate treatment before gaining access.
Individual circumstances ignored
The report highlighted that the bill does not require decision-makers to consider a person's individual circumstances, such as geography or financial situation. 'It is unclear why, when determining whether treatment is appropriate, regard is not had to a range of factors, including the affordability and accessibility of that treatment for that individual,' the report noted. It added that exceptions would be set out in future rules, making it difficult to assess their safeguard value.
The Senate inquiry, which held three public hearings, heard widespread criticism from experts, advocates, and providers who warned the bill would worsen outcomes for people with disabilities. State and territory disability ministers also expressed concerns about being unprepared to offer similar support for those removed from the scheme.
Minister defends reforms
NDIS Minister Mark Butler defended the proposal, calling it 'a very well-developed plan that thought carefully about the way in which we could get the NDIS back on track, secure it for the long term, but very much still with people with disability at its centre.' He said the government would consider its response once the Senate inquiry delivers its report, expected on Tuesday 16 June.



