Matt Keogh (Burt, Australian Labor Party) Share this | Link to this | Hansard source

Unemployment in Western Australia is officially the worst in the country, rising to 6.5 per cent in October. Just yesterday, Rio Tinto confirmed another 500 West Australian jobs will be cut from its iron ore division over the next few months. And what has been the response of the Nationals? To whack a flat tax on an already struggling industry. Let's be clear: Brendon Grylls's Nationals proposal for a $5 a tonne iron ore tax simply could not come at a worse time for the mining industry and for Western Australia. It would see a 1,900 per cent increase in the production rental levy. This is not 2008; the rivers of gold are no longer flowing in the Pilbara. Margins have tightened, and an additional flat rate levy on iron ore will be a direct hit to the competitiveness of the WA mining industry.

The combination of the mining and construction boom coming to an end, a low iron ore price and a hapless Liberal state government have proven devastating for the people of Western Australia. Further investment in new or replacement mining operations, such as Area C, will be crucial for saving jobs in the mining industry. But, if BHP and Rio cannot see the financial benefit of investing in Western Australia, capital will flow elsewhere at the expense of Western Australian jobs. Make no mistake: the election of the Liberal-National state government at the state election will see this job-destroying policy become a reality. The only way that the people of Western Australia will again see jobs in WA is the election of a Mark McGowan Labor government.

Tony Smith (Speaker) Share this | Link to this | Hansard source

In accordance with standing order 43, the time for members' statements has concluded.