Labor Stakes Out Ground For Fair Welfare Reform

Media Statement - 23 October 2002

In the Senate today Labor called on the Coalition to wind back its punitive breaching regime for the unemployed and foreshadowed comprehensive amendments to protect Parenting Payment recipients and the Mature Aged from unfair activity testing requirements.

After more than three years in the making the Coalition's Australians Working Together Bill commenced debate in the Senate today.

Labor is determined to use the Bill to push for a better deal for Australia's jobless.

The Bill has entered the Senate following its referral to the Community Affairs References Committee. Labor's approach will follow the recommendations of the Committee report.

Whilst Labor welcomes the positive measures in the Bill such as the Work Credit, it has serious concerns about the proposed changes for parenting payment recipients and the Mature Aged.

Labor will insist upon comprehensive amendments to the Bill to protect these two groups. Labor is determined to ensure that new requirements for parents two-years away from being placed on Newstart Allowance do not conflict with their parenting responsibilities.

Labor will significantly broaden exemptions for parenting payment recipients, and for those who will not be exempt, measures to ensure activity requirements suit their personal circumstances.

Other amendments will require the Government to spell out what forms of meaningful assistance will be provided to these groups to assist them to participate.

Most significantly, Labor will move to implement a range of measures recommended by the Pearce Report to restore balance to the punitive breach regime.

They will assist more than 500,000 jobseekers and will include measures to properly match activity requirements to personal circumstances; new safeguards before breaches may be imposed; measures to prevent those with housing affordability problems from being breached; and a halving of the window where breaches may compound.

In addition Labor has moved a second reading amendment calling on the Government to adopt a fairer penalty regime including, a benefit reduction of no more than 25% over 8 weeks and the restoration of payments on compliance.

In the weeks ahead we urge the Coalition and Minor Parties to work together with Labor to get a better deal for Australians seeking or preparing for work.