Coalition Says Cutting 30,000 Public Servants Will Help Fund $9 Billion Medicare Pledge

Opposition Leader Peter Dutton has vowed to match a Labor promise to fund increased Medicare access, and says he would fund the move by trimming the government.
Coalition Says Cutting 30,000 Public Servants Will Help Fund $9 Billion Medicare Pledge
Leader of the Opposition Peter Dutton talks to media at the Coffee Commune during a visit in Brisbane, Australia on Feb. 17, 2025. AAP Image/Jono Searle
Crystal-Rose Jones
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Australia’s Opposition Leader Peter Dutton has explained how the Coalition intends to fund a $9 billion (US$5.7 billion) pledge to Medicare to boost bulk billing.

The election promise matches Labor’s pledge to do the same, but details around Labor’s costings have yet to be revealed.

Dutton spoke to media from the Brisbane suburb of Annerley alongside state Liberal-National Party candidate Henry Swindon.

While the opposition leader acknowledged the Medicare promise came with a hefty price tag, he also outlined his belief that the public service had been needlessly fattened up to curry favour with unions.

“We have looked at how we can fund this and how we can prudently provide this sum of money,” he said.

“It’s a lot of money, but we’ve identified as you know the scaling back of the public service—which has grown phenomenally under the Labor Party.”

Dutton said Labor had employed an extra 36,000 public servants, at a cost of $6 billion a year or $24 billion over the four-year forward estimates period.

“This programme totals $9 billion over that period,” Dutton said.

“So, we’ve well and truly identified the savings.”

Dutton says the pledge to create a leaner public service sector would also act as a “productivity gain” by streamlining overly bureaucratic processes.

However, he did not specify the number of roles the Coalition would seek to terminate.

The new pledge to match Labor comes on top of the Coalition’s previous announcement of $500 million in funding for mental health services.

Labor—and now the Coalition—has promised to make 90 percent of GP visits free for patients by 2030.

Some economists claim Labor would most likely fund the move through delayed income tax cuts, which can amount to $4 billion in savings annually for the government.

Health Minister Mark Butler was contacted for comment.

GP Workforce Focus

Dutton said bulk billing wasn’t the only factor in ensuring visits to the doctor, with workforce being another prominent issue in the nation’s delivery of healthcare.

The opposition leader pointed to a $400 million training program previously announced by the Coalition to encourage more medical professionals.

“Young doctors are not going into general practice because they can get more money and probably work less hours in other specialities,” he said.

“So, we have to make general practice attractive, and particularly that’s the case in outer metro, regional, and remote areas.”

Greens Not Impressed

Tasmanian Greens Senator Nick McKim said his party would not back the Coalition in its plan, instead accusing the opposition leader of a “Donald Trump-style campaign.”

“We’re really worried about a descent into far-right extremism in Australia led by Peter Dutton, in the same way that we’re seeing it in the United States,” McKim told media.

“So we’re not going to back any of that stuff.”

McKim said the Greens wanted more support for people who are struggling in the current cost of living crisis and a stronger focus on the climate.

Crystal-Rose Jones
Crystal-Rose Jones
Author
Crystal-Rose Jones is a reporter based in Australia. She previously worked at News Corp for 16 years as a senior journalist and editor.