Unified welfare payment on menu again

The man charged with overhauling the welfare payments system may not have to look too far back for ideas.

Former Mission Australia boss Patrick McClure will head up a new review of the welfare system under a mandate from Social Services Minister Kevin Andrews.

The review may revisit the concept of a universal welfare payment, with top up amounts based on needs.

Top-ups would be made for those a with a disability, or parents of children with a disability.

In 2000, Mr McClure headed an advisory group that recommended, as part of a 10-year reform package, the creation of a single, unified payment for all welfare recipients.

The 2000 report also recommended introducing incentives for people to return to paid work and emphasised the role of business to help government and communities in employing the long-term jobless.

Signs the government may commit to this idea further is evident in the roll out of the Apple Isle jobs program in Tasmania, a trial where businesses that hire a job seeker for at least six months full-time are eligible for one-off payments of $3250.

Among the review's other suggestions was the creation of a "central gateway" for service delivery to link income support providers with brokers and intervention services.

Mr Andrews last week flagged the possibility of merging the Social Services and Human Services departments to centralise the government's policy and delivery roles.

And charities and welfare groups could breath a sigh of relief this time around: the 2000 report did not seek any reductions in allowance and pension rates.

Nevertheless, they'll have to wait until at least February, when an interim report is due, to find out.

The final report will be released later in autumn before the federal budget.