Acutally it doesn't work in lucid.
Every now and then my system reverts to right handed.

When in a non-working state my xinput looks like this:

 xinput list
⎡ Virtual core pointer                    	id=2	[master pointer  (3)]
⎜   ↳ Virtual core XTEST pointer              	id=4	[slave  pointer  (2)]
⎜   ↳ Microsoft Microsoft 5-Button Mouse with IntelliEye(TM)	id=12	[slave  pointer  (2)]
⎜   ↳ Tripplite B015-000 R0.74 USB to PS2 adapter.	id=14	[slave  pointer  (2)]
⎜   ↳ SynPS/2 Synaptics TouchPad              	id=16	[slave  pointer  (2)]
⎣ Virtual core keyboard                   	id=3	[master keyboard (2)]
    ↳ Virtual core XTEST keyboard             	id=5	[slave  keyboard (3)]
    ↳ Power Button                            	id=6	[slave  keyboard (3)]
    ↳ Video Bus                               	id=7	[slave  keyboard (3)]
    ↳ Video Bus                               	id=8	[slave  keyboard (3)]
    ↳ Power Button                            	id=9	[slave  keyboard (3)]
    ↳ Sleep Button                            	id=10	[slave  keyboard (3)]
    ↳ Laptop_Integrated_Webcam_2HDM           	id=11	[slave  keyboard (3)]
    ↳ Tripplite B015-000 R0.74 USB to PS2 adapter.	id=13	[slave  keyboard (3)]
    ↳ AT Translated Set 2 keyboard            	id=15	[slave  keyboard (3)]
    ↳ Dell WMI hotkeys                        	id=17	[slave  keyboard (3)]

lsb_release -a
No LSB modules are available.
Distributor ID:	Ubuntu
Description:	Ubuntu 11.10
Release:	11.10
Codename:	oneiric

uname -r
3.0.0-16-generic

dpkg -s gnome-settings-daemon
Package: gnome-settings-daemon
Status: install ok installed
Priority: optional
Section: gnome
Installed-Size: 1588
Maintainer: Ubuntu Desktop Team <email address hidden>
Architecture: amd64
Version: 3.2.2-0ubuntu2.1
Depends: libappindicator3-1 (>= 0.2.92), libc6 (>= 2.4), libcairo2 (>= 1.10.0), libcanberra-gtk3-0 (>= 0.25), libcanberra0 (>= 0.2), libcolord1 (>= 0.1.12), libcups2 (>= 1.4.0), libdbus-glib-1-2 (>= 0.88), libfontconfig1 (>= 2.8.0), libgconf2-4 (>= 2.31.1), libgdk-pixbuf2.0-0 (>= 2.22.0), libglib2.0-0 (>= 2.29.14), libgnome-desktop-3-2 (>= 3.1.5), libgnomekbd7 (>= 2.91.90), libgtk-3-0 (>= 3.1.10), liblcms2-2 (>= 2.2+git20110628-2), libnotify4 (>= 0.7.3), libpolkit-gobject-1-0 (>= 0.99), libpulse-mainloop-glib0 (>= 1:0.99.1), libpulse0 (>= 1:0.99.1), libupower-glib1 (>= 0.9.9), libx11-6, libxfixes3 (>= 1:4.0.1), libxi6 (>= 2:1.2.99.4), libxklavier16 (>= 5.1), dconf-gsettings-backend | gsettings-backend, gsettings-desktop-schemas, nautilus-data (>= 2.91.3-1)
Recommends: pulseaudio
Suggests: x11-xserver-utils, gnome-screensaver, metacity | x-window-manager
Breaks: banshee (<< 0.13.2+dfsg-7), gnome-color-manager (<< 3.0), gnome-control-center (<< 1:2.21.5), gnome-screensaver (<< 2.28.0), gnome-session (<< 2.24), rhythmbox (<< 0.11.5), totem (<< 2.22.0)
Conffiles:
 /etc/xdg/autostart/gnome-settings-daemon.desktop d80fe6e07c196b0b069fc6185d3e3a29
 /etc/xdg/autostart/gnome-fallback-mount-helper.desktop 58e84e1f8fd68806037a2f70265af2f9
 /etc/dbus-1/system.d/org.gnome.SettingsDaemon.DateTimeMechanism.conf 0c753d296e5fe10239b210c97c1f20e7
 /etc/gnome/config/Xaw.ad 8b1d2b8fd63d2966d223c36ac56a8081 obsolete
 /etc/gnome/config/Tk.ad 0774b17084384112e7e2b5ef3d044b3c obsolete
 /etc/gnome/config/General.ad 49682440378a2c7ef52c37ee91f0ba0d obsolete
 /etc/gnome/config/Emacs.ad 348fea42a2bc046db8ba8323027d545b obsolete
 /etc/gnome/config/Motif.ad 12aca8840f777bcbec2894578141f8e2 obsolete
 /etc/gnome/config/Editres.ad 05a3123759008f95ddc2425c822bcfa4 obsolete
Description: daemon handling the GNOME session settings
 This package contains the daemon which is responsible for setting the
 various parameters of a GNOME session and the applications that run
 under it. It handles the following kinds of settings:
 .
  * Keyboard: layout, accessibility options, shortcuts, media keys
  * Clipboard management
  * Theming: background, icons, GTK+ applications
  * Cleanup of unused files
  * Mouse: cursors, speed, accessibility options
  * Startup of other daemons: screensaver, sound daemon
  * Typing break
 .
 It also sets various application settings through X resources and
 freedesktop.org XSETTINGS.
Original-Maintainer: Debian GNOME Maintainers <email address hidden>