Senate debates

Thursday, 21 June 2007

Questions without Notice

Telstra

2:33 pm

Photo of Steve FieldingSteve Fielding (Victoria, Family First Party) Share this | | Hansard source

My question is to the Minister for Communications, Information Technology and the Arts, Senator Coonan. Minister, over the past few weeks we have seen the fallout of the government’s decision to sell off all of Telstra, which Family First opposed, with the company announcing it will immediately slash 500 jobs as part of its grand slash-and-burn strategy to cull 12,000 jobs over the next three years. I note also that you have publicly condemned Telstra for its actions. Minister, given you led the campaign to sell off Telstra, what do you say to the thousands of Australian workers and their families whose lives will be devastated by these massive job losses?

Photo of Helen CoonanHelen Coonan (NSW, Liberal Party, Minister for Communications, Information Technology and the Arts) Share this | | Hansard source

I thank Senator Fielding for the question. The first point I would make about that is that, whilst I have publicly stated that I have a good deal of sympathy for anyone whose job is under threat, Telstra is a commercial company and it has been a commercial company and run as such in effect since the Labor Party have been in government. So I do not really think that Senator Fielding can draw any connection between the full sale of Telstra and any particular job loss.

However, having said that, I do think it is disappointing that Telstra has taken a decision to close down call centres especially in regional areas. I think that is really where the critical issue is. Although we have had the lowest unemployment in some 30 years—and I think it is now 4.3 per cent—it is often very difficult in regional centres for these kinds of jobs to be replaced. So my office has had discussions with Telstra and the discussions are currently ongoing. Initially they have been very constructive and we have gone through some options to minimise the impact of the decision. The options are now under consideration and will be worked through in the coming weeks.

There are some options in relation to the closure of some of the call centres particularly the one in Tasmania, in Launceston, which employs more than 250 people. There are some other options if Telstra does not reconsider this decision. I am certainly not in a position to say what those other options are but I am very confident that we will be in a position to ensure that those who are adversely affected by these decisions will be looked after in other ways by this government. We do appreciate that a job is very important. That is why this government has been so keen to promote policies that give people a chance of having a job. That is the way in which we will be approaching this matter as it affects Telstra and its call centres.

Photo of Steve FieldingSteve Fielding (Victoria, Family First Party) Share this | | Hansard source

Mr President, I ask a supplementary question. Minister, recent media reports have revealed a Telstra executive said that the organisation had to be more efficient and run like a dictatorship. The executive said:

We run an absolute dictatorship and that’s what’s going to drive this transformation and deliver results... If you can’t get the people to go there and you try once and you try twice... then you just shoot ‘em and get them out of the way.

Minister, do you agree that Telstra should be run as a dictatorship in a bid to be more efficient, and how do you respond to its attitude to staff of ‘just shoot ’em and get them out of the way’?

Photo of Helen CoonanHelen Coonan (NSW, Liberal Party, Minister for Communications, Information Technology and the Arts) Share this | | Hansard source

I am not aware of that comment. Certainly, Senator Fielding has not identified who is alleged to have made that comment. Clearly, it is important that employees are treated as indeed employers need to be treated—with respect and in accordance with the law. That is what I would say. In respect of job losses that may arise as a result of Telstra’s proposed closure of the call centres, I have already indicated a plan of action that will continue to consult with Telstra to minimise the impact on affected individuals.