The Turnbull government is staring down concerted resistance over its combined welfare cuts and childcare package, as crossbench senators threaten to derail the government's number one legislative priority before the budget.
A controversial decision to link the "omnibus" savings package - including so-called zombie measures leftover from the 2014 budget - with an overhaul of the childcare system has met with opprobrium from key players.
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Government's negotiating tactics
The government will have to deploy its best negotiators as it tries to secure passage of its unpopular welfare and childcare reforms through the Senate.
One Nation leader Pauline Hanson, usually a reliable supporter of the government's agenda, opposes paid parental leave elements in the bill and is among a number of crossbenchers calling for the package to be split.
"I am not sold on the whole lot as a full package," she said on Monday. "I think it may have to be cut up the bit. It is too much in the one bill."
![Pauline Hanson and Jacqui Lambie have called for the package to be split.](/web/20170320024726im_/http://www.canberratimes.com.au/content/dam/images/g/v/1/p/c/c/image.related.articleLeadwide.620x349.gv1ovp.png/1489962002161.jpg)
Independent Tasmanian senator Jacqui Lambie slammed the decision to tie the savings measures with childcare reforms.
"Those childcare reforms should not be connected to welfare cuts," she said. "That's an embarrassment to the government."
Victoria's Derryn Hinch, another crucial vote on the Senate crossbench, also maintained reservations about the package, telling Seven's Sunrise on Monday: "It is not going to go through in its entirety."
The package would boost childcare subsidies for low-income families, seek to curb the growth of childcare costs and extend paid parental leave by two weeks. On the savings side, the bill would pare back the family tax benefit, limit pension payments to people overseas and introduce a waiting period for young jobseekers applying for welfare, among other measures.
Labor and the Greens are opposed, making the government reliant on the Senate crossbench, including the One Nation and Nick Xenophon blocs.
Senior Turnbull government ministers have vowed to keep up negotiations to secure passage of as much of the legislation as possible in the next sitting fortnight.
Education Minister Simon Birmingham, who has responsibility for childcare, entertained the possibility of splitting up the package but said linking the bills was the government's preferred approach.
"That's the way we want to do it. We must get these reforms through but they must be paid for," he said.
"The omnibus bill remains the pathway forward to get the childcare reforms through. But of course we will negotiate if we have to to secure its passage through the Parliament.
"We will work constructively with anybody who comes to the table."
The government also wants to pass its controversial $50 billion package of company tax cuts in the coming fortnight, before the long parliamentary break ahead of the May budget.
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