No, it is incredibly simple. You have a master key and the government holds this key on a secure audited system which can only be used to unlock a device once a court order is granted.
The government's security for the master key will certainly be much better than the average user's password security so this will not decrease the average user's security in the least.
You would also make the master keys expire regularly (maybe daily) so as long as a user updates their phone they will get updated with the new keys to protect against a leaked key.