House debates

Monday, 13 August 2018

Private Members' Business

Employment

5:02 pm

Photo of Nola MarinoNola Marino (Forrest, Liberal Party) Share this | | Hansard source

I move:

That this House:

(1) notes that:

(a) 1,000,000 jobs have been created since the election of the Government in 2013; and

(b) the creation of jobs can only occur when the Government sets the right economic framework;

(2) congratulates the Government on its strong economic management and its plans to reduce the tax burden on individuals and business; and

(3) acknowledges that the Opposition Leader’s policies of higher taxation on individuals, businesses, retirees and pensioners would severely jeopardise further job creation in Australia.

The federal government's focus has been and continues to be on job creation. We've continued to focus on growing the economy to support businesses and jobs. Our record speaks for itself. There were 403,100 jobs created in 2017, including 303,400 full-time jobs, the most number of full-time jobs on record created in a calendar year. You can't argue with that. Since the coalition government was elected in September of 2013 more than one million jobs have been created and total employment is at a record high.

If we look at some of the initiatives around youth unemployment, we have the Youth Employment Package and—one that I think works really well—the Youth Jobs PaTH (Prepare-Trial-Hire) that has worked so well for many young people who were struggling to work. There is no doubt the government's economic policies are driving confidence and investment, but it is businesses themselves that are creating these jobs. It is often the case that they are small to medium enterprises. We've seen this prompted in regional areas by tax relief for small business, the lowest tax rate for 78 years. We know small to medium businesses, particularly small businesses, often give people their first job and their last job, particularly in rural and regional areas. If I look at the free trade agreements, they have also helped to prompt more jobs growth in regional areas.

Then I look at Albemarle, which is going to be building a lithium plant in my electorate. It is looking at five different trains of processing over time, processing between 20,000 and 100,000 tonnes per annum of lithium hydroxide. That's going to employ between 300 and 500 people in the construction phase and around 500 people during operations. This will have a 25-year life. This is a $1.3 billion project. I went along to one of their meetings, and the most important thing for the people in the room was the opportunity for jobs, even for other businesses that may be able to get involved in that supply chain. We've seen the requirements for plumbers, electricians, the refrigeration trades, the mechanical and metal trades, building and form workers, steel fixers, scaffolders, rigging, dogging, mobile plant operators, truck drivers, crane operators, labourers—you name it, and they're going to be part of what is a really good project in my electorate.

Then I look at what Labor is proposing for places like the south-west—$200 billion worth of higher taxes. They've already announced $164 billion in higher taxes. We know about the retiree tax—that plan to stop Australians from receiving refunds of tax paid on their share dividends. It's a reintroduction of a double taxation, and it will hurt mostly low-income earners and future pensioners. It will hurt most of those people who've worked hard and assumed responsibility for managing their savings. We've got Labor's housing tax, Labor's investment tax and Labor's tax return tax. It goes on and on. We've got Labor's higher income tax and Labor's family business tax. We've got a savings tax from Labor and we've got the tradie tax. We've got Labor's growth tax—higher taxes on business earnings. We are seeing tax upon tax upon tax proposed by Labor. That's what's ahead for people. It's going to be a very clear decision.

When I look at the businesses in my part of the world, I see the numbers of those small to medium sized enterprises that, through the decisions and policies of this government, have actually been able to invest in their own future. That's what you see with small to medium sized enterprises: people who have the confidence, the courage and the will to go out and achieve for themselves. They invest their own money. As you know, they often mortgage their house and their car, and they go out and have a go. They're the people who go on and employ others. We've seen this repeatedly in rural and regional areas. That's one of the things that I think this government has done particularly well: providing the policy settings that have encouraged aspiration and encouraged small to medium sized enterprises to not only invest in themselves but employ others. I have seen it frequently. Albemarle is just one of those in a major business sense—a major new industry, a major new processing capability in my electorate—and I'm looking forward to the additional jobs that are going to be created on the back of sound policy decisions.

Photo of Luke HowarthLuke Howarth (Petrie, Liberal Party) Share this | | Hansard source

Is the motion seconded?

Photo of Damian DrumDamian Drum (Murray, National Party, Assistant Minister to the Deputy Prime Minister) Share this | | Hansard source

I second the motion and reserve my right to speak.

5:08 pm

Photo of Ed HusicEd Husic (Chifley, Australian Labor Party, Shadow Minister for the Digital Economy) Share this | | Hansard source

As much as this jobs motion tries to say a number of things, it misses three points. Don't listen to the words expressed; note the things that weren't mentioned—three in particular. As much as the coalition likes to talk about the number of jobs created, it doesn't talk about the rate of joblessness. The rate of joblessness under the coalition government, since it was elected in 2013, has hardly budged. It's been at close to six per cent the entire time. We're certainly happy for people to get jobs. We want people to get jobs. But, as much as they talk about the number of jobs created, they don't talk about the rate of joblessness.

The first point is the target they talk about, that they extol, that they said they'd beat—the one million jobs target that they reached. How was that target created? It was the work of dartboard economics, where they just threw a dart at a number to work out what to do. There was no thinking behind this number. There was no thinking and no logic behind the one million figure. The logic—for the benefit of members—was that in the member for Warringah's office, when he was running for Prime Minister, they went, 'Well, this was the rate of job creation under John Howard, so we must be able to do that again.' That was it. Dartboard economics, as I call it, is what drove that. When talking about the number of jobs created, they don't talk about how many people—700,000—have remained jobless for a long period of time. Of those, the bulk are in the jobactive system. The bulk of them are long-term unemployed. They haven't been able to budge them. That's the first thing.

The second thing they don't talk about is the other record that is of deep concern—underemployment. Underemployment is where people want to work more hours but can't, where people don't want to be stuck in casual or part-time work. They want full-time jobs. The ABS is recording record levels—1.1 million—of those people. This is a serious issue for people. I agree that there are some people who want casual and part-time work because it suits their circumstances, but there are a lot of people who do not want that. They don't have a casual commitment to a mortgage. They don't have a part-time commitment to their bills. They want full-time work to be able to make ends meet.

The third thing that you don't hear those opposite talk about is the failings of their jobs programs. The member for Forrest, who moved this motion, bravely spoke about PaTH. Some $1.5 billion has been used to support PaTH and Work for the Dole. PaTH managed to get 5,000 interns in the last year. The target was 30,000, so the success rate of PaTH is just over 17 per cent. Of the people who go through Work for the Dole, 20 per cent to 30 per cent might get a full-time job at the end of it.

If you look at the figures and stats about performance—this is even in the government's papers that have been put out recently as part of the employment services review—about how long mature-age workers are staying outside of work, it's not good at all. Two-thirds of the jobactive case load are long-term unemployed. Half of that case load have been on it for two years. The average length of time the hardest cases spend on jobactive is five years. Research suggests that those people make up the bulk of the long-term unemployed. This is a huge number of people. There is no suggestion, evidence, proof or inkling that the government is going to fix these programs. Instead, all it does is announce new job programs, one after the other, without actually fixing the ones that are supposed to be getting people into work. Again I make the point that, as much as they want to crow about the number of jobs created, the bigger focus in this country is to reduce the number of long-term unemployed, to get that figure of 700,000 unemployed down, to make sure that people are adequately trained for the skills shortages that we know exist and are holding people back, and, instead of the spin, to get the substance required to get people into work.

5:13 pm

Photo of Damian DrumDamian Drum (Murray, National Party, Assistant Minister to the Deputy Prime Minister) Share this | | Hansard source

It is sad that the Labor Party's lead speaker spent so much of his contribution trying to find fault with the current economic situation that we have here in Australia. The Liberal-National government have delivered significant commitments to have one million new workers more than there were prior to their election. That is a direct result of the hard work of Australian businesses and the government's setting the right economic environment for those businesses to take on those workers. These thriving businesses create jobs in Australia and give Australians the opportunity for work. Over the last five years, we've delivered personal and small-to-medium business tax cuts and more trade deals, which means more exports and more jobs. This has certainly been extremely prevalent in the Goulburn Valley, where every time we're able to list a new commodity in a free trade agreement we have farmers and businesses prepared to take advantage of it.

Last year was the best year on record for jobs growth and saw employment go to a record high of just over 12.5 million people. And, yes, there is a problem we have with the stubborn end of our workforce—it's hard to get rid of that bottom five or six per cent—even though in my electorate there are hundreds if not thousands of job opportunities that cannot be filled in the lines of mechanics, diesel mechanics, steel fabricators and food technicians, not to mention people involved in the standard agricultural pursuits of fruit picking and milking cows who also have opportunities to work in meat-processing plants. It's not clean work. It's not great work. But in my electorate of Murray we have literally thousands of jobs, right now, that we are having trouble filling.

The Liberal-National government has delivered tax relief for hardworking Australian families. We have this basic understanding that the money Australians earn is their money, and we believe they should be able to keep as much of their own money as possible. It's a view that our political opponents do not share. They believe that Australians should pay more tax to enable governments to spend more money. It's a view we do not share. We believe that a new model will be a fairer taxation model. It will deliver lower taxation, fairer and simpler. We can only do this because the coalition government has this nation in a financially responsible way, with a surplus to be delivered at the next budget.

An opposition member: At the next budget!

Next year. In 2019-20 we will be delivering a surplus. This will be the first time that has been delivered for more than 10 years. The previous Labor Party government was certainly unable to deliver this—although they did brag that they were going to deliver three in a row. They weren't able to deliver one.

The economic plan by the Liberal-National government is working. In my electorate of Murray we are seeing local food processors and manufacturers investing and growing their businesses. But there are business costs and pressures—certainly in the areas of electricity and gas but also in the costs associated with water, which plays a huge role in the production of primary produce. Three milk processors are in the process of builds of over $100 million in total and creating over 100 new jobs, so there is a tremendous optimism in the milk-processing industry and, hopefully, that optimism will flow on—it doesn't at the moment—to the farmers producing that milk.

There are fruit packers who have plans on the table to invest in cutting-edge technologies in storage and packing that will result in opening up new markets, both domestically and overseas. This will be another investment, over $100 million, in the fruit industry, which will lead to more Australian jobs and a further increase in the GDP of the Goulburn-Murray region.

The Liberal-National government's economic plan is working. Not one policy from the Labor Party will lead to more jobs; not one policy will to lead to less taxation for our people. I support the motion.

5:18 pm

Photo of Graham PerrettGraham Perrett (Moreton, Australian Labor Party) Share this | | Hansard source

I rise to speak on the motion moved by the member for Forrest about good Australian jobs. This is an area close to my heart, and close to the whole Labor Party. The clue is in the title of our party: the Labor Party. We've always been a party about jobs. It has been said before, and it is so true, that modern Australia's version of fairness started with industrial relations, whether you go back to the Harvester case or even before that. But this motion is just another example of the wrong priorities from members of the Liberal-National coalition government.

Already this year we've seen the Turnbull government prioritise big banks over local public hospitals and schools, and then commit in question time—again today—that this would be their focus at the next election. We've seen the Turnbull government prioritise grants to reputable charities but without completing any tender or due process. We've seen the Turnbull government prioritise cuts to penalty rates over standing up for workers' take-home pay, especially for some of the lowest-paid people in our society, and now we're seeing the Turnbull government prioritise self-congratulation over the real story, treating workers simply as a statistic, without giving a damn about any single one of them.

The Turnbull government try to bring facts to a debate about good, secure jobs, but all they ever bring are more smoke and more mirrors. So let's have a look at the real story of employment, and unemployment, in Australia. For a start, there are more unemployed people now, under the Turnbull government, than there were when the Labor Party was in government. In September 2013, there were 702,300 people unemployed. In June 2018, there were 719,000 people unemployed—16,700 more people. We have record underemployment—that is, people who are actively looking for more work but can't find it. We have record low wage growth—something not touched on by those opposite, I notice, even though it's of such concern to the Governor of the Reserve Bank that he's mentioned it regularly. When the cost of living is rising faster than wages, it is workers and their families who feel the real strain—they're effectively going backwards. Forty per cent of workers are now in insecure work—that is, contract, casualised or labour hire. For people under 25, it's over 50 per cent. It makes it difficult for them to ever get ahead.

This self-congratulatory motion, patting themselves on the back and popping champagne corks, talks about the government getting the economic settings right. But I think there's a lot more work to do. I challenge anyone to go out into their community, talk with local workers doing it tough and ask them what they think about the government's economic framework—particularly that record low wages growth. Ask them what they think about the Turnbull government's priorities. I'll tell you what I reckon they'll think: they'll think the Turnbull government is out of touch. Instead of bringing motions to the Federation Chamber to congratulate themselves, why isn't this government taking action to ensure good, secure local jobs are obtained for all Australians?

Labor has already announced a range of policies that will support workers and will support good, secure jobs and conditions. For a start, we will restore penalty rates in our first 100 days of government and legislate so that they can never be cut again. We will reform the definition of 'casual' so that it is used for the purposes for which it was originally intended. We will prevent employers forcing their workers into sham contracting arrangements to avoid direct employment. We will provide 10 days paid family violence leave for all workers who need it. We will abolish the Australian Building and Construction Commission.

Recently, we announced that we will crack down on dodgy labour-hire companies that rip off and exploit workers. Tackling unfair labour hire is part of our 'same job, same pay' policy. A Shorten Labor government will protect workers and ensure they get a fair deal by tackling unfair labour hire, cracking down on dodgy labour-hire companies that rip off and exploit workers. Labor will legislate to ensure that workers employed through a labour-hire company receive the same pay and conditions as people employed directly, who might actually be working directly alongside them at the worksite. Labor's policy is based on a simple principle: if you are doing the same job, you should get the same pay. At the moment, there are too many workers in Australia subject to unfair labour-hire practices, often treated like second-class citizens with lower wages, worse conditions and no job security. For some workers, labour hire and casual work is a pathway into a permanent job, but for too many workers it has become a way of life. For these workers it's tough to pay the rent and the bills, let alone make longer-term decisions like taking out a car loan or buying their own home. That is not good. We need to look after workers. That's why Labor will act to restore fairness to the labour-hire industry and to protect workers.

5:23 pm

Photo of Ted O'BrienTed O'Brien (Fairfax, Liberal Party) Share this | | Hansard source

I am delighted to stand here and join with the member for Forrest to congratulate the coalition government on its record of strong economic management. The member for Moreton is right in one regard: there is no doubt that there is more to do. There is always more to do. Where he's wrong, however, is suggesting that the government has the wrong priorities. It's very simple: this coalition government's priority is jobs. The Labor Party's priority is taxes. Jobs. Taxes. It is as simple as that. The coalition government believes in creating jobs. The Labor Party believes in taxing people. Do they have a plan? Yes, they do. They have a plan for over $200 billion worth of taxes; add on the Labor Party's personal income tax plan, and that goes to nearly $300 billion. Labor's plan isn't to create jobs but to actually make people poorer. If you earn an income, Labor will tax you more. If you own your own house, Labor will tax you more. If you have more savings, Labor will tax you more. That's what the Labor Party's plan is.

The Turnbull government has a record not only of driving jobs and growth that is unmatched by any previous government since Federation but also of delivering outcomes that are improving the lives of millions of everyday Australians across this country, because they have jobs. With jobs comes fulfilment. With jobs comes the ability to put food on the table. That is what this party—this government—is delivering.

Just last week, the respected Melbourne Institute, in their annual HILDA survey—HILDA stands for Household, Income and Labour Dynamics in Australia—showed that (1) relative poverty is at an all time low, and (2) that inequality of equalised household disposable income has fallen each year since the coalition came to power in 2013. It is now lower than it ever was under the Labor Party. While the government's jobs record is nothing short of outstanding—with the latest labour-force numbers showing 339,000 new jobs created in the year to June 2018, and well over one million jobs created in less than five years since the coalition came to government—and while this track record is, indeed, first-class, we don't take such past experience for granted. We do not just sit back passively or complacently looking at today's trajectory, as positive as it is. Every single day, this coalition government, right from the backbench through to the cabinet table, is working hard to ensure that this economy continues to grow and people continue to have jobs.

There is perhaps no better example of the coalition's strong economic management in action than the recent tax cuts for individuals and for the small and medium businesses of our economy. Commencing last month, this government delivered tax relief for over 10 million low- and middle-income earners. This is just step 1 in a three-step plan that also addresses bracket creep and delivers simpler, flatter income tax, to encourage the aspirations of hardworking Australians, enabling people not just to keep their jobs but to get better jobs and to get ahead. At the same time, there are now around 940,000 small to medium sized businesses, employing close to five million Australians, that enjoy a lower tax rate of 27½ per cent. These are tangible benefits, because they deliver jobs. The coalition delivers jobs, while Labor is just tax, tax, tax, tax, tax. That is the only plan the Labor Party has—over $200 billion in taxes. Their personal income tax plan would make it nearly $300 billion.

5:28 pm

Photo of Maria VamvakinouMaria Vamvakinou (Calwell, Australian Labor Party) Share this | | Hansard source

I'm very pleased to be given the opportunity to speak to this private member's motion which was moved by the member for Forrest. I do so because this motion speaks, essentially, about job creation. However, I'm yet to see any real and meaningful jobs created in my own electorate of Calwell. It is senseless to talk about job creation and economic settings as a social policy success story when the impact on real Australian lives varies markedly from region to region. Like so many of this government's policies, the impact is one of inequality and a growing divide in our society between those who are doing well and those who are struggling to retain a basic quality of life and independence.

If we're talking about employment, we need to look no further than what is happening in the electorate I represent, the federal seat of Calwell, and in the northern and western suburbs of Melbourne generally. Because of this government's industry and manufacturing policies, parts of this nation that have traditionally been the powerhouse of the manufacturing industry have faced significant declines in employment opportunities. The 2016 census showed that in the suburb of Broadmeadows, the heart of my electorate, unemployment was at nearly 16 per cent, compared to a national average of 6.9 per cent. That is more than double the national average. According to this government's own figures, by the end of last year that number of unemployed in Broadmeadows had soared to over 25 per cent. One in four people who want to work have been left without a job.

Neighbouring suburbs have been similarly hit, also. Coolaroo has 23.2 per cent unemployment. Meadow Heights sits on 24.3 per cent unemployment. For the city of Hume, overall unemployment has risen in the 12 months from June 2016 from nine per cent to 10.3 per cent. Youth unemployment, as a separate category, is even more concerning, with some areas showing close to 50 per cent unemployment.

There are numerous factors behind these growing figures. However, the closure of some of our largest and once-important employers cannot be overlooked. The end of the car manufacturing industry in this country has seen the loss of many jobs at the Broadmeadows Ford plant. The closure of numerous other manufacturers, many part of the auto supply chain, and a range of other iconic brands has made a dent in the opportunities available to our local workforce. In the 2007 census, manufacturing was the top industry for employment in Calwell at 7.4 per cent. This figure dropped significantly to 3.87 per cent in 2016. While I acknowledge some of the wonderful and innovative new businesses that have opened in my own electorate, I challenge anyone to explain how these dynamic but small companies can make up for the job losses in traditional manufacturing.

The city of Hume is now home to one of the largest influxes of migrants, many of them refugees from war-torn countries. I strongly support the need for this country to provide a new and safe life for these newest arrivals and champion the role they play in strengthening and diversifying our vibrant Australian culture. Many of these refugees and new migrants are highly educated and highly skilled. However, they too face the debilitating prospect of not being able to find work. We need specific policies to ensure that their skills and training are properly recognised and their potential to contribute to our society and economy is better realised.

While we are talking about the multiple problems of high local unemployment in my area, high unemployment also creates problems for my constituents such as the obvious social dislocation that comes with poverty, family breakdown, mental and physical health problems as well as the daily trauma that unemployed people face. That is primarily, in their case, having to deal with Centrelink—which itself has had its workforce cut by this government and, as a result, cannot keep up with the demands on the service—having a Newstart allowance that is inadequate and having the charade of going through the hoops of job network services, many of which have no services at all to offer to my constituents.

This government and, indeed, this motion laud the assertion that one million jobs have been created since they took office in 2013. Yet these jobs don't seem to be finding their way to my electorate, these jobs don't seem to be making their way to the job network providers who are supposed to be looking for work for the unemployed in the federal seat of Calwell and these jobs are certainly not making their way to my constituents.

5:33 pm

Photo of Tony PasinTony Pasin (Barker, Liberal Party) Share this | | Hansard source

I sometimes think that the things most important to my electorate, in order of priority, are jobs, jobs and jobs. That's why I rise to speak in support of this motion which has been brought by the member for Forrest. The reality is that, since coming to government in 2013, we've created over a million new jobs. Before those opposite say, 'They're casualised jobs; they're not significant,' I'll remind them that 80 per cent of those jobs are full time. Before they say, 'Yes, but you're not assisting with the equitable distribution of those jobs between genders,' I will remind them that the majority of those people who were successful in gaining full-time employment were, in fact, women.

That in itself is a significant achievement—that is a million jobs—bearing in mind we set ourselves that Herculean target when we came to government. But I'm more focused on the trajectory. In the last 12 months, over 400,000 jobs have been created. In effect, when we came to government we set ourselves a plan. We sat down, as anyone would, whether in government or in private business, and said, 'How are we going to achieve that objective?' We set about doing the things necessary: cutting red tape and establishing free trade agreements with the northern Asian powerhouse economies. And all of that has paid dividends. It has paid dividends in terms of job creation.

The member for Chifley was quite critical. He said, 'Yes, but the unemployment rate hasn't shifted.' I say to the member for Chifley: if we hadn't created those million jobs, imagine where the unemployment rate would be. Just like those on this side earlier, I agree: there's much more work to be done. I would love to see our nation at full employment, or as close to that as it practically could be. But to deride the efforts of our government, as those opposite are trying to do, is simply to find foul because they perceive that as their role in this place.

I say this to members opposite: I have the great privilege of representing what I believe to be one of the greatest electorates in the country. I'm sure those opposite believe that they do as well. But one of the things I can say about my electorate is that on the back of the free trade agreements and the opportunities, particularly, to put food and fibre into our northern markets via free trade agreements, we now have an insatiable demand for labour. It is literally insatiable. There are communities in my electorate—and I can mention them; in the Tatiara and in other places—where, quite frankly, what is holding back business investment decisions today is the concern that those investors have that there won't be staff. Those small and medium businesses that are working to fill this demand for food and fibre that has presented itself globally are reluctant to make that investment because they are worried that if they make this investment there won't be staff to work in these communities. This is a plea: if you are genuine about finding a job, then come to our electorate. Work in some of the roles that are desperate for staff.

I can talk about the abattoir sector. Those opposite would know that an abattoir in my electorate, a significant one, recently burnt down and we are doing our best to make sure it's rebuilt. But that abattoir is a classic example of what is symptomatic in this industry across the country. Of the 1,500 workers at that site, 1,000 of them were foreign workers. That's not because the operators of that abattoir had a penchant towards employing foreign labour, despite what the union tries to suggest, but, rather, because they cannot source workers to work in that industry.

What I say is that we have met our target. We set ourselves the Herculean target of a million jobs. We achieved that target and the trajectory is accelerating, which is always good news, but there is more to do. We acknowledge that there is more to do, because we won't be satisfied until we've got as close to the natural rate of unemployment in this country as we practically can. I ask those opposite, who'd rather spend their time bemoaning the achievement, to work with us, to see if we can go even deeper into this long list of unemployed Australians.

5:38 pm

Photo of Matt ThistlethwaiteMatt Thistlethwaite (Kingsford Smith, Australian Labor Party, Shadow Assistant Minister for Treasury) Share this | | Hansard source

This is typical of this government: self-congratulations while most Australians are struggling to make ends meet. There are plenty of families in Australia who I know that have gone onto repayment plans with their electricity provider because they simply can't afford to pay the bill on a quarterly basis anymore because of the skyrocketing electricity prices that they face. It's winter and there are plenty of pensioners in my electorate who can't afford to turn the heater on this winter because they simply can't afford the increase in energy prices.

But this lot here want to come into this chamber and congratulate themselves through this motion. Why have electricity prices been increasing? Because this government are worried more about themselves and their internal bickering than the interests of Australian families, small businesses and pensioners. Those opposite have been in government for five years. The pyramids were built in less time than this mob have been in government, yet they can't decide on an energy policy. They're still bickering over whether or not they'll agree to the National Energy Guarantee. The latest round—I think we're up to about round 14 now—is going to take place tomorrow morning, when the Prime Minister will be pitted against the likes of former Prime Minister Tony Abbott and former leader of the National Party Barnaby Joyce. We'll await the outcome and the rest of Australia will continue to deal with their increasing electricity prices while this lot argue amongst themselves about the division and about their policies.

They dismantled the policies of the previous government, which were ensuring that we made a smooth transition to a cleaner energy future and that we kept a lid on energy prices. Remember when they said that energy prices would go down by $550 when they were elected? Energy prices have actually done the opposite and gone up. Those opposite still don't have a policy to deal with this issue, yet they want to come into this chamber and congratulate themselves through this motion. Families are dealing with cost-of-living pressures associated with private health insurance, with increasing childcare costs and with the cuts that this government has introduced to funding for schools and hospitals, and yet those opposite come to Canberra to congratulate themselves. It proves just how out of touch they are.

The cost of living is increasing. Australians' incomes haven't kept pace with the cost of living and inflation over the last decade. Real incomes in Australia are falling, and Australian families and workers are suffering. The wage price index is stuck stubbornly at around 1.9 per cent to two per cent and the cost of living for households over the last 12 months has risen by 2.3 per cent, to June 2018, yet they're cutting penalty rates. They're supporting cuts to penalty rates for working on weekends for some of the lowest paid workers. So we've got the cost of living increasing, real wages decreasing and cuts to penalty rates being cheered on by the Turnbull government, and those opposite come in here and congratulate themselves.

This motion doesn't once mention the real incomes of Australian workers. It doesn't mention the living standards of Australian workers. Does it mention the battle of Australian workers and their families with electricity prices and other household costs? No. It's all about them. The motion doesn't mention their tax cuts to big business, either. At the same time that families are struggling with cost-of-living pressures and trying to make ends meet, this motion talks about giving tax cuts to big business in this country. That includes the big Australian banks. Haven't they done a wonderful job by the Australian people over the last decade! Haven't they been out there in the interests of Australian workers and their families! It says everything about how out of touch those in this government really are that they come here to Canberra, to the ivory tower, and congratulate themselves on their policies to cut taxes for corporations yet make no mention of the living standards of Australians and the cost-of-living pressure that the average Australian worker and their family are facing. It proves just how out of touch they are.

They spruik these corporate tax cuts. The evidence from the United States, where these corporate tax cuts have gone through, is that workers got not one dime of the benefits of those corporate tax cuts. They all went into profits and the pockets of shareholders and executives in America. American workers did not receive a cent. At the same time, the budget deficit in the United States has blown out. It is forecast to blow out to over a trillion dollars, or five per cent of GDP. We don't want to go down that track here in Australia. If this government were interested and in touch, they'd be talking about the interests of Australian workers and families.

5:44 pm

Photo of Luke HowarthLuke Howarth (Petrie, Liberal Party) Share this | | Hansard source

That was a nice speech by the shadow minister, the member for Kingsford Smith, but it was very inaccurate. If he actually looked at the statistics for the last 12 months, he would see that all the job creation has been created in businesses with a turnover of less than $50 million. Is that any coincidence, given that the company tax rate has been reduced for businesses with a turnover of under $50 million? I think not.

But I rise to speak on the motion on job creation moved by the member for Forrest. It's a good motion. It talks about the million jobs that have been created in Australia over the last five years, with 400,000 or more in the last 12 months. That was an election commitment the coalition government took to the election in 2013. It's now been achieved and it should be celebrated. It's a good thing.

But I will say it wasn't by accident that that happened. There was a clear plan to create more jobs. That was reinforced at the 2016 election—job creation and economic growth is what we campaigned on. The plan involved company tax reductions in order to bring us into line with other countries around the world and here in Asia, where it's much lower. It involved the defence manufacturing plan to create more jobs in manufacturing in our defence industry. It involved free trade agreements for our farmers and other people to make sure they have the opportunity to turbocharge exports and send more goods and services overseas. It also involved innovation. We've seen companies like the Evolve Group, which started in my electorate of Petrie, reshoring manufacturing jobs from China back to Australia. The Evolve Group have just won a contract to make plastic bottle tops for water bottles that they sell in Woolworths. That is $2 million a year—great news. So it wasn't an accident that a million jobs were created—and the member for Forrest is right that we need to talk about that.

I myself have been running jobseeker boot camps in my electorate. The last one was on 25 July. I had the Minister for Jobs and Innovation, Michaelia Cash, come up for that. It was good to have her there. I get local people looking for work and I connect them with employers that employ more than five people. It's really a simple question. I say to the employer: 'Mate, you employ more than five people. What is it that you look for when you're hiring? Tell the people here looking for work.' They hear it straight from the horse's mouth and it encourages a lot of people to get work. One of the speakers, Michael Kennedy, spoke about a number of things. The first thing he said is, 'If you're looking for work, be drug and alcohol free.' The second thing he said is to make sure that you're on time, that you're ready, that you're committed and that you're not taking sick days when they're not needed. He said you need to be really ready and engaged. The third thing he spoke about was caring about the work you're performing. He gave some really good tips to those jobseekers.

In fact, one of the guys that Michael hired, going back some time ago, got his job after I met him through the Work for the Dole scheme. I went down to the local Police Citizens Youth Club, met all the Work for the Dole participants and asked: 'How are you, ladies and gentlemen? What is it that you want to do? What sort of work are you looking for?' This young man said, 'I'd love to work with timber.' I knew Michael Kennedy, from Kennedy's Timber, so I said: 'Let me give this guy a ring for you and see what he's got.' Do you know what? He got a job. What was more impressive is that he worked for him on a casual basis for about nine months and then it slowed down and he got laid off, but that young man then kept ringing Michael, asking, 'Have you got any work?' He was then put back on and he has had a full-time job now for three years. So that's really good news. That was a great experience in my own electorate where Work for the Dole has been working well.

I say to those opposite that we need bipartisan support in relation to work. When you look at our plan, you can see we have a clear plan for jobs—what I just spoke about. The member for Moreton spoke about his plan for jobs. That plan revolved around what the unions want in this country. It was nothing to do with what's best for those unemployed but, rather, what's best for the unions. He spoke about restoring penalty rates. Penalty rates are set by the Fair Work Commission, which Bill Shorten created after Work Choices. He spoke about redefining 'casual' in the workplace. Unfortunately, I don't have enough time now, but I'll come back to this because there are important points that need to be made here. (Time expired)

Debate adjourned.