Anne McEwen (SA, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister representing the Prime Minister, Senator Evans. Can the minister please explain to the Senate how the government’s stimulus package, the Nation Building and Jobs Plan, is benefiting the Australian economy?

Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Link to this | Hansard source

I thank Senator McEwen for her question—and hope her cold gets better! The global recession, the slowdown in China and the unwinding of the mining boom has serious consequences, as we all know, for Australian growth, jobs and our budget bottom line. In the midst of this global recession it would be irresponsible for the federal government, or any government, not to act swiftly and decisively to support jobs and invest in our nation building. The government’s two major stimulus packages provide comprehensive support for low- and middle-income earners. In times like these, the only certainty is that things would be worse if we did not act.

Approximately 95 per cent of all adult Australians who earn less than $100,000 per annum have received at least one cash payment between the Economic Security Strategy and the Nation Building and Jobs Plan. The payments under the second plan will begin flowing today and they will support local businesses in every community around the country over the coming months. This investment will support jobs and those businesses continuing. The Access Economics retail forecast quarterly report released today says, ‘These measures will lift the spending power of households throughout 2009, providing important support for retailers against the tide of rising unemployment and consumer caution.’ That is dead right. This package finds the best balance between supporting jobs now and building the homes, schools and roads that we need for future growth. While we get a stimulus out of these payments, three-quarters of this package is directed towards building things that will last, the schools and other infrastructure that will continue to deliver for their communities for many years to come. These packages will help ensure prosperity and jobs in very difficult times. (Time expired)

Anne McEwen (SA, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Could the minister also please explain how the government’s first stimulus package, the Economic Security Strategy, has already helped stimulate the Australian economy?

Eric Abetz (Tasmania, Liberal Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

Sunk without a trace!

Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Link to this | Hansard source

Senator Abetz and the Liberal opposition are in denial. The reality is that the first stimulus package has made a significant contribution to the Australian economy. Retail sales rose by 3.8 per cent in the month of December—the strongest increase in eight years. That is proof that the stimulus package helped—

Opposition Senators:

Opposition senators interjecting—

John Hogg (President) Share this | Link to this | Hansard source

Order! Senator Evans, resume your seat.

Opposition Senators:

Opposition senators interjecting—

Doug Cameron (NSW, Australian Labor Party) Share this | Link to this | Hansard source

Jeez you lot are a rabble!

John Hogg (President) Share this | Link to this | Hansard source

Order, on both sides! Senator Evans.

Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Link to this | Hansard source

Australians know that the retail industry is vital to this country. There are about 1½ million jobs in retail in this country and those payments help protect those jobs. Those payments help families and help jobs in this country. The evidence is in. It does not matter how often the opposition deny it, the reality is that all the evidence proves that stimulus package helped deliver. We know that consumption rose in Australia while it fell around the world. These packages are working to assist jobs in this country. (Time expired)

Anne McEwen (SA, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. Can the minister please detail to the Senate how the government is investing in nation-building infrastructure as a key part of its Nation Building and Jobs Plan?

Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Link to this | Hansard source

As part of this package we continue to invest in our long-term nation-building agenda. We have already set aside more than $26 billion for nation-building funds to finance major infrastructure projects, but we have also put $4.7 billion as part of this package into our roads, rail and education institutions—dividends that will be coming to the Australian community for many years to come. These funds will go towards improving school facilities—school halls, school libraries. These will provide long-term investment and long-term return for Australia. This package delivers on our nation-building agenda. It delivers facilities and infrastructure for the Australian community. While the opposition may ridicule it, every school I have been to realises that this is a very important investment. They know it will provide benefits and jobs to the Australian community. (Time expired)