Senate debates

Thursday, 12 March 2009

Questions without Notice

Employment

2:00 pm

Photo of George BrandisGeorge Brandis (Queensland, Liberal Party, Shadow Attorney-General) Share this | | Hansard source

My question is directed to the Leader of the Government in the Senate, Senator Evans. I refer to today’s Australian Bureau of Statics figures which show that a further 53,800 Australians lost their jobs last month. Don’t these figures prove beyond question that the government’s December cash splash failed to create the 75,000 jobs that the Prime Minister promised it would?

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

I thank Senator Brandis for the question. I am a bit disappointed he seeks to politicise the very serious unemployment figures that were released today. Through you, Mr President: they are of great concern, Senator Brandis. It is highly unfortunate that the employment statistics show a worsening unemployment rate. That is, of course, in line with projections and, in that way, it is not unexpected.

Photo of Mathias CormannMathias Cormann (WA, Liberal Party, Shadow Parliamentary Secretary for Health Administration) Share this | | Hansard source

Senator Cormann interjecting

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

Senator Cormann interrupts, ‘It’s all your fault.’ Well, Senator, what is clear—and you may not understand on that side—is that we are in the middle of a global financial crisis. All the economies in the world are suffering. I am not sure if you are aware, but the unemployment rate in the US rose to 8.1 per cent last month—more than 500,000 people, half a million people, in the US are losing their jobs every month. These are global problems and we are not immune, and they are problems that this government is tackling, front and centre.

Opposition Senators:

Opposition senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Order! When we have quiet, we will resume question time.

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

We have been upfront with the Australian people that there are going to be enormous impacts from this global financial crisis and that we are not immune. That is why we have acted early and strongly to try and protect the Australian economy as much as we can. That is why we implemented the measures that we did late last year and why the payments that we introduced are being paid this week. This is to try and protect the economy and to try and protect Australian jobs. We are trying to do all that we can to protect us from the worst impacts of this financial crisis. Senator, we appreciate the support you gave for those measures in December. This is an international crisis. We are acting decisively and strongly to protect as many Australian jobs as we can but— (Time expired)

Photo of George BrandisGeorge Brandis (Queensland, Liberal Party, Shadow Attorney-General) Share this | | Hansard source

Senator Evans, given that unemployment has risen from a record low of 3.9 per cent under the previous coalition government to 5.2 per cent now under the Rudd Labor government in little over a year, will the government now release its modelling, if it exists, on the effect of the new IR framework on employment? Can the minister guarantee that these IR changes won’t further add to the number of unemployed Australian workers?

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

It is interesting that, when interest rates dropped to record lows, the Liberal Party said that that was nothing to do with the government, but when unemployment moves up it is all the government’s fault. This is why they have no credibility with the Australian public. They are playing politics with the serious impacts of the global financial crisis on Australians. What we are doing is taking every measure we can to try and protect Australian families and Australian jobs. I know, as you on that side know, that Work Choices is one of the things that make Australian families feel insecure. They know that it made their jobs less secure. They know that they had no rights at work. They had no redundancy payments under many of the agreements put in under Work Choices. We are going to abolish Work Choices. We make no apologies for that, and it will be interesting to see whether or not those opposite support us. Australian families want to see the end of Work Choices, and we are going to deliver.

Photo of George BrandisGeorge Brandis (Queensland, Liberal Party, Shadow Attorney-General) Share this | | Hansard source

Mr President, I ask a further supplementary question. Given the increasing pace of job losses as revealed today, will the government now abandon its plan to rush its bureaucratic and job-destroying emissions trading system into place by 2010? Minister, when will you stop hiding behind the global financial crisis and accept that the loss of Australian jobs is the responsibility of the Australian government?

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

The opposition has lost any claim whatsoever to economic credibility. When BHP sheds 6,000 or 7,000 jobs around the world and half of them are shed in Australia, that is our fault; that has nothing to do with their international trading position—nothing to do with any of the economic factors! What nonsense. What economic illiteracy. For some sort of cheap political point, you make those sorts of claims. You know it is a nonsense. You know that we are in the middle of a global financial crisis. You know that we have made every effort to try and get in front of the curve.

Opposition Senators:

Opposition senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Order! Senator Evans, you should address your comments through the chair. Those on my left should be quiet such that I can hear the answer of Senator Evans.

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

This government are absolutely committed to doing everything we can to protect Australian jobs. That is why we have taken all the measures that we have to try and build confidence—

Photo of Helen CoonanHelen Coonan (NSW, Liberal Party, Shadow Minister for Finance, Competition Policy and Deregulation) Share this | | Hansard source

Yes, but they haven’t worked.

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

Senator Coonan, it may not have worked in your view, but what would have been the result if we hadn’t acted? What if we hadn’t acted, Senator? There would have been the loss of more jobs. You just do not get it. (Time expired)

Honourable Senators:

Honourable senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Order! We will not proceed with question time until there is order. On my left, on my right, order!

2:07 pm

Photo of Catryna BilykCatryna Bilyk (Tasmania, Australian Labor Party) Share this | | Hansard source

My question is to the Minister for Innovation, Industry, Science and Research, Senator Carr. Can the minister inform the Senate what the government is doing to support jobs through the global economic crisis?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

I thank Senator Bilyk for that question. Protecting and supporting Australian jobs is the government’s No. 1 priority, and that is why we have moved quickly—

Opposition Senators:

Opposition senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Order! Senator Carr, resume your seat. At this rate we will get two questions during question time. We have to remain silent during question time. Thanks, Senator Bernardi.

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

Protecting and supporting Australian jobs is the government’s No. 1 priority, and that is why we have moved quickly to boost activity through the $10.4 billion Economic Security Strategy and the $42 billion Nation Building and Jobs Plan. By stimulating aggregate demand, we are supporting jobs in all Australian industries, whether we grow things, whether we make things, whether we manage things or whether we sell things. The government is focused on getting Australians through these difficult times and preparing them for a better future.

Today’s unemployment figures highlight the scale of the challenge we face. The unemployment rate rose from 4.8 per cent to 5.2 per cent in February. This compares with the unemployment rates of 6.3 per cent in the United Kingdom, 8.1 per cent in the United States and 8.2 per cent in the Eurozone. Employment also increased in February, just as it did in December, just as it did in January, defying market expectations. However, the decline in full-time employment is a matter of serious concern to the government. Every job lost is a tragedy, and that is why this government have intervened aggressively to defend Australian workers. There is no question that our actions have buoyed consumption and morale. Westpac described the positive results in the consumer sentiment survey it released this week as:

… a strong vote of confidence that current policies are providing a strong foundation in the longer term.

(Time expired)

Photo of Catryna BilykCatryna Bilyk (Tasmania, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a supplementary question. Can the minister explain to the Senate what the government’s strategy means for the manufacturing sector?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

The manufacturing sector is critical to the Australian economy and central to our plans for the future. It is great to see management and unions cooperating to avoid job losses by reducing working hours and bringing forward leave. It is great to see enlightened executives reducing their salaries. The government’s $3.8 billion business tax break helps manufacturers directly and gives all Australian firms an incentive to invest in products of manufacturing, including plant and equipment and car fleets. Our first home owners boost is driving demand not just, of course, for building supplies but for all the things people need to fit out a new home. Our historic commitment to build 20,000 new dwellings for social housing is doing the same. Our energy-efficient homes initiative is expanding the market for insulation. Our massive investments in road, in rail, in schools and in university infrastructure will boost demand— (Time expired)

Photo of Catryna BilykCatryna Bilyk (Tasmania, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a further supplementary question. Can the minister update the Senate on what new measures the government has introduced to help retrenched workers?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

We are dramatically increasing support for workers who lose their jobs through no fault of their own. The $75 million targeted Productivity Places Program will make 10,000 training places available to help retrenched workers update and upgrade their skills. This is in addition to the 10,000 structural adjustment places which were announced last October. The $950 learning and training bonus will also ease the cost of study for people on social security undertaking approved courses. There is the $145 million Securing Apprenticeships program, which will give employers incentives to take on apprentices who have been retrenched before completing their training. We are spending $298 million over the next two years to give retrenched workers immediate, intensive and personalised help to find new jobs. It is a pity the opposition was not prepared to stand behind such measures. (Time expired)