Labor opens ears to pension compromises

The government says confirmation about what it will do with pensions will come in the May budget.

Federal Labor is open to the idea of reducing the part-pensions of wealthier retirees.

The government is in talks with Senate crossbenchers about the alternative to an unpopular 2014 budget measure that links pension increases to inflation.

Opposition Leader Bill Shorten told reporters in Melbourne on Wednesday Labor was willing to work "seriously" with the government about a proposal that would cut $3 a fortnight from the age pension for every $1000 over of an assets threshold.