Senate debates

Thursday, 30 March 2017

Questions without Notice: Take Note of Answers

Answers to Questions

3:16 pm

Photo of Chris KetterChris Ketter (Queensland, Australian Labor Party) Share this | Hansard source

I listened very intently to the answers to questions asked by Senator McAllister and Senator Cameron today in relation to the minimum wage. Unfortunately, I was extremely disappointed with the responses, and I was hoping that the government senators would get on board with the much more reasonable position, which the opposition has put to the Fair Work Commission, in relation to the minimum wage case. I think it is worthwhile just pointing out the stark contrast between the opposition's position in relation to minimum wage increase as against the government's.

The opposition's submission talked about the fact that the panel's decision should be one that firmly supports a fair and economically responsible increase in the national minimum wage and all modern award wage rates—and I want to return to that point, because I think it is something that is overlooked in this debate. The opposition's submission also made reference to the fact that, whilst the opposition respects the independence of the commission, any variation of a modern award which results in the reduction of a take-home pay is unacceptable and inconsistent with the intention of parliament. We have a position where we understand that there is the prospect of a reduction in take-home pay and there is a real need for the commission to take this into account.

It is interesting that one part of the government does not seem to understand what the other part is doing, and there is a very jumbled set of twisted priorities coming out of this government. I have mentioned in previous speeches in this place that the Treasurer, quite usefully, has said in recent times that he acknowledges that record low wage growth is the biggest challenge facing the Australian economy.

One would have thought that, presented with the prospect of a cut to take-home pay through a penalty rate adjustment, this government should get on board with the minimum wage case and support a fair and economically responsible increase in the minimum wage. That would be the sensible thing to do, if you really do believe that low wage growth is Australia's biggest economic challenge. But, of course, here we see in the government's submission to the national wage case that they are saying that a minimum wage increase is not an efficient way to address living standards and they are throwing all sorts of other barriers in the way of the commission implementing a fair increase in minimum wages.

It is significant to note that the national wage bench does take particular regard to the submissions of the government of the day. I think they are very, very persuasive submissions and that adds to the tragedy of the situation where we have a government which claims to be interested in addressing the issue of low wage growth but, at the same time, coming out to the national wage bench and saying: 'Be very, very cautious about what you do here. It may add to unemployment et cetera.' This is a government with mixed messages and twisted priorities, and I think the workers of Australia are entitled to be very, very disappointed with this government's approach. They do not care about the interests of ordinary workers. They stand condemned for their inaction in relation to the cut to penalty rates.

There are some on our side of politics who understand the importance of the minimum wage case. It is a wonderful opportunity to address the issue of inclusive growth in our economy. The minimum wage does play a very important role not only for people on the actual minimum wage itself but it flows through to millions of workers who are award dependent, so this is a very important mechanism for addressing living standards, contrary to the government's submission.

In my closing few seconds, I want to give a shout-out to Margarita Murray-Stark who, I understand, is in Parliament House, meeting with various members of parliament. Margarita is affected by the penalty rates cuts. She believes she would earn $2,000 less and has decided to come to parliament to talk to MPs and, hopefully, to the Prime Minister. So good luck, Margarita, with that.

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