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Dutton denies fact, prefers fiction.

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Media Release

Penny Wong Labor Senator for South Australia Shadow Minister for Employment and Workforce Participation, Corporate Governance and Responsibility

Sunday 13 November 2005


Workforce Participation Minister Peter Dutton has shown how out of touch he is on the impact of his own policies, Labor’s Employment spokesperson Penny Wong said today.

Senator Wong was responding to Minister Dutton’s performance on Meet the Press, where he denied the fact that his welfare changes reduce the incentive to work.

“Minister Dutton said that people were always financially better off in work.

“People definitely should be financially better off from working, but under the Howard Government’s incompetent changes to welfare, many people will end up paying to work.

“That’s because the Howard Government will take back up to 75 cents of every dollar people earn when they move from welfare to work. Once they’ve paid for the costs of work, such as travel, clothing and childcare, they may well be financially worse off from working.

“Research by the National Centre for Social and Economic Modelling shows how the Government’s changes punish people who go from welfare to work.

“Under the government’s changes, a single parent on income support and earning $200 from part-time work, will take home $92 a week less for their efforts when their youngest child turns 8.

“It is extraordinarily fraudulent for Minister Dutton to say that he wants people to move from welfare to work, when he is financially punishing people who do just that.”

For further information: • John Olenich 0408 841 850