Senator ALLISON (Leader of the Australian Democrats) (2:28 PM) —My question is to the Minister representing the Treasurer. I refer to the Treasurer’s plan to strip ‘bad parents’ of social security payments and to redirect them to other carers, based on his observations of Indigenous communities. I ask: how does the Treasurer expect that this will assist those parents? Have studies been done of the social welfare needs of Aboriginal children compared with non-Aboriginal children? How will the Treasurer be deciding which parents will have their parenting payments redirected and which will not?

Senator MINCHIN (Minister for Finance and Administration) —I have not had the benefit of time to read the Treasurer’s article in the magazine Looking Forward, but I look forward to that opportunity. I invite Senator Allison to also read that article; maybe many of her questions will be answered therein. I am delighted that the Treasurer is demonstrating his widespread interest in a whole range of issues that come before the government and this nation. Our interest as a government, and the Liberal Party’s interest in particular, through the Looking Forward magazine, is to generate ideas and policy debates, because these are substantive issues. I am not in a position to answer the details of those questions. I invite Senator Allison to read the article with great interest.

Senator ALLISON —Mr President, I ask a supplementary question. I invite the minister to read the article. Perhaps he could also explain why we would need to cut parenting payments when the government also claims that the new IR legislation will create jobs for the most disadvantaged. Minister, the government is likely to post a surplus of $12 billion to $14 billion, we understand, in 2006. Do you not think that some of that money could be used to solve the problem of half a million children under 18 who are estimated to be living in poverty? Will you acknowledge the Brotherhood of St Laurence’s report, which is out today, that shows almost no improvement in the level of poverty in Australia since 1996? Just what are you going to do about these children?

Senator MINCHIN (Minister for Finance and Administration) —The Democrats fail to understand that the best thing any government can do about poverty is to maximise the opportunity for jobs to be created in this country. That is what we are focused upon. That is what our whole reform agenda is focused upon: ensuring that this economy remains productive and competitive to maximise the number of children who can live in families with parents who are in the work force and are able to generate higher living standards for their children. I am advised that we have actually halved the number of children living in jobless families in Australia. So we are getting on with the job. There remain problems, and I refute the accusation from Senator Allison that the Treasurer suggested cutting payments. He is simply saying that in families where the parents are not exercising appropriate responsibilities that is a problem that society and the government need to address.