The Coalition government did suspend the Wage Connect program on December 6, 2013, shortly after the Abbott government took office in September 2013 [1][2].
Assistant Minister for Employment Luke Hartsuyker announced the suspension, stating the $25 million program was being put "on hold" to new applicants [1][2].
While the claim uses the term "scrapped," the official terminology was "suspended" - though in practice, new applications were not accepted, effectively ending the program for new participants [1][2].
Replacement program introduced:** The Coalition government introduced the "Restart" program on July 1, 2014, which provided wage subsidies specifically for mature age job seekers (50 years and older) [4][5].
Temporary vs. permanent nature:** The suspension was initially announced as a one-year pause to review and restructure the program [1], though the program did not resume in its original form.
While owned by a company with conservative editorial positions, the reporting on this government decision appears to be factual news coverage rather than opinion or advocacy.
**Did Labor do something similar?**
Search conducted: "Labor government employment programs cancelled changed"
**Finding:** Labor governments have also modified, replaced, and cancelled employment programs:
- The Keating Labor government established "Employment Assistance Australia" (EAA) in 1994 under the Employment Services Act, which was later restructured [7].
- The Whitlam Labor government (1972-1975) initially focused on training programs and direct job creation during high unemployment, before the Fraser Coalition government shifted the orientation in 1975 [8].
- The Rudd/Gillard Labor government continued and modified employment services established under the Howard government, maintaining the privatised Job Services Australia model introduced by the Coalition [7].
- Most significantly, when the Howard Coalition government came to power in 1996, it "substantially cut the Working Nation labour market programs" that had been implemented under the previous Labor government [9].
**Historical context:** Employment programs have been regularly restructured, renamed, and replaced by governments of both parties.
* * * *
The Howard government's 1998 introduction of the Job Network replaced the public Commonwealth Employment Service with a privatised, contestable market model - a far more significant structural change than the suspension of a single wage subsidy program [7][10].
While critics argued the suspension would harm long-term unemployed job seekers who needed the subsidy to transition to employment [2], the government maintained the program had exceeded its budget due to high demand and required restructuring to ensure sustainability [1][2].
The Coalition did not abolish wage subsidies entirely - they redirected the funding toward the Restart program targeting mature age workers, who face significant barriers to workforce participation [4][5].
Wage subsidies have been a long-standing feature of Australian employment policy under governments of both persuasions, with programs regularly modified, renamed, and restructured when governments change [8][11].
The Australian National Audit Office has examined wage subsidy administration across multiple governments, indicating their ongoing use regardless of which party holds power [11].
**Key context:** This is not unique to the Coalition.
Both major parties have historically restructured employment programs upon taking office, with the Howard government's cancellation of Labor's Working Nation programs in 1996 being a more substantial precedent than this 2013 suspension [9].
The core factual claim is accurate - the Coalition government did suspend (effectively ending for new applicants) the Wage Connect program in December 2013 [1][2].
The core factual claim is accurate - the Coalition government did suspend (effectively ending for new applicants) the Wage Connect program in December 2013 [1][2].