Senator NEWMAN —My question is directed to the Minister for Family and Community Services, Senator Vanstone. Can the minister inform the Senate what the government is doing to get people back into work? Is the minister aware of any alternative approaches?

Senator VANSTONE (Minister for Family and Community Services and Minister Assisting the Prime Minister for the Status of Women) —I am very grateful to Senator Newman for that question. It was after all Senator Newman, when she had the job that I now occupy, who started the process of welfare reform—a process that was completely ignored by Labor. I have the opportunity to simply put the icing on the cake but a large amount of the work—most of the work—was done by Senator Newman before I in fact arrived in the portfolio.

Honourable senators interjecting—

The PRESIDENT —Order! The Senate will come to order. There is far too much noise in the chamber.

Senator VANSTONE —What the reform package announces is $1.7 billion in commitments to help people on income support get back into work. The package entitled `Australians Working Together' is one that builds on the excellent McClure report and the consultation that we have had with the community sector. I take this opportunity to thank Patrick McClure and all the community sector people who contributed to the development of this package.

Honourable senators interjecting—

The PRESIDENT —Order! There are senators speaking to each other across the chamber. It is disruptive and disorderly.

Senator VANSTONE —It is very clear to this government that the Australian people want a modern social support system. They want one in which everyone participates. They do not want a system that simply passes over money—simply gives out handouts—and they do not want a system that forgets about people and leaves them behind. This package sets out very clearly our vision for welfare in the future. We want people to become engaged in Australia's economic and social life. We want to foster self-reliance amongst Australians of work force age. The package is a massive investment in support for the most disadvantaged in our society: the long-term unemployed, people with disabilities, mature age unemployed and people with severe and multiple barriers to employment.

As I said, we commit to $1.7 billion in spending. Within that, we will resource Centrelink by $480 million to give a more personalised service, better assessments and improved technology systems for income support recipients. We will spend $506 million to dismantle the welfare trap by providing much better financial incentives to take up work. Under the previous government there was a call for people to find work but the financial incentives were not there. We have put them in. We will spend $62 million on a special program to help people overcome complex obstacles to employment: for example, people who might have an alcohol or drug problem. We will spend $111 million on training credits and give a $177 million shot in the arm to people with disabilities to help them.

The question asked was whether I was aware of any other alternatives. The short answer, Senator Newman, is no. I am not aware, and the Australian public are not aware, of what Labor would do with the welfare system. They are aware of what Labor did with it—nothing. But they are not aware of what Labor would do were it one day to strike it lucky and ever get back into government.

I am confused as to the Democrats' position on this matter. I had thought that Senator Stott Despoja, having got out the knife and said that she would be a better leader, would have realised that when you say things like that you have to deliver. You cannot, as the leader of a party, in your first comment on a budget, go on the ABC and get it massively wrong and misstate what is in the budget. I say to Senator Stott Despoja that she has to do a better job. If she wants to tell people that she offers moral leadership, she has to tell the truth and get it right. If she is unaware that she has got it wrong, I will offer a briefing to her and she should tell the media where she got it wrong and why. You cannot claim to be a moral leader, go out and get it wrong and then not tell them and hope it gets forgotten, because it will not be. (Time expired)

Senator Hill —Madam President, I ask that further questions be placed on the Notice Paper.