Louise Pratt (WA, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister for Innovation, Industry, Science and Research, Senator Carr. Is the minister aware of the Australian Bureau of Statistics figures released today showing a fall in manu­facturing jobs over the past quarter? Can the minister outline to the Senate what the government is doing to support manu­facturing jobs?

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

I thank Senator Pratt for her question. This is a government that has as its first priority jobs. Our record speaks for itself. Over 700,000 jobs have been created in this country under our watch and there would be 200,000 fewer jobs if we had followed the opposition's advice during the economic crisis. Our record speaks for itself—700,000 jobs.

Honourable Senators:

Honourable senators interjecting—

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

On both sides, when there is silence we will proceed.

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

We kept the economy strong and jobs secure through the worst economic crisis in living memory. Manufacturing is a critical part of that story. It employs a million Australians today and has done so for the better part of 50 years. Manufacturing employment will always fluctuate, as we saw during the economic crisis, and we have lost over 5,000 jobs in the last year. But throughout the decades of change it has always emerged much more robust, much more resilient and more productive. Manufacturing survived the rise of China, it has survived the rise of India and I am absolutely optimistic it will survive the new pressures of the resources boom.

Our approach is to work with firms to build solutions and not just whinge about problems. We are about building an innova­tion agenda. We are about transforming every firm and every factory for the 21st century. We are about helping them build the capabilities to compete in a global market. We know that our programs work and we are ramping them up today. There is our Enterprise Connect, for instance; Com­mercialisation Australia; and the new supplier advocates.

I frankly welcome Mr Abbott's interest—perhaps it is a new-found interest—in manufacturing because it certainly was not evident when he was the minister for industrial relations. Back then his only answer to manufacturing was to make it easier to sack people. (Time expired)

Louise Pratt (WA, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. How does the Minister respond to Mr Abbott's alleged concerns that smaller manufacturing firms apparently lack the resources to innovate?

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

Thank you. What I can say is that Mr Abbott's answer to manufacturing is to make it easier to sack workers—that is his approach: to sack workers. The best thing that Mr Abbott could do is to help those firms to support the government's new research and development tax credit.

Opposition Senators:

Opposition senators interjecting—

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

When there is silence, we will proceed.

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

Our programs reach many, many firms. Our tax scheme is the most powerful lever we have to spread the transformation of our economy. The benefits that exist under the taxation concession are aimed at specifically assisting small and medium sized firms as well as helping larger firms. We think it is a better use of the $1.8 billion of taxpayers' funds than the current arrangements. We are particularly keen to see that smaller firms, who dominate our manufacturing sector, are able to claim renewed benefits. The new tax credit will redistribute support in favour of those firms. It is a simpler, it is a fairer and it is a more accessible incentive for genuine R&D. (Time expired)

Louise Pratt (WA, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. What is the minister doing to help manufacturers keep pace with their competitors in an online environment?

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

The government has said from the very outset that ICT is one of those great enabling technologies for the 21st century. Together with the National Broadband Network, this government's innovation agenda will be the backbone of our new knowledge economy. We are about building the future of manufacturing through innova­tion. Today more than ever, manu­facturers need high-speed broadband to cut their costs, to boost their supply chains and to find new markets at home and abroad. That includes manufacturers clustered in regional areas. Without the NBN many will never know the benefits of a website, let alone the incredible tools that we are seeing emerge from our universities today. Australia has the research strengths to make ICT—

Opposition Senators:

Opposition senators interjecting—

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

If those on my left wish to debate the issue, the time is post question time. You are well aware of that. All we are doing is wasting the time of question time by interjections that are disorderly.

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

a really strong compet­itive edge for this country. What the government is about is ensuring that we spread those benefits to every single enterprise in this country.