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Welfare Reform

The Australian Government makes a range of payments to individuals and families to provide support at times when they cannot support themselves or to assist with certain costs, such as those of raising children.

The McClure review into Australia’s welfare system found a broad consensus for reform.

It found the system is:

  • too complex and therefore difficult for clients to access and officials to administer  
  • inconsistent so that people in similar circumstances can receive different treatment
  • not providing clear rewards for work
  • failing to support self-reliance and identify groups at long term risk of welfare dependence
  • not well placed to meet future social or economic challenges.

The review recommended investing in people early to prevent lifetime disadvantage.

Central to the reform process is a more tailored approach to our welfare system through the Australian Priority Investment Approach to Welfare.

The Government is also transforming the welfare payments system, which will help people navigate the complex system so they are not overpaid and incur a debt.

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