Senate debates

Thursday, 25 August 2011

Questions without Notice: Take Note of Answers

Manufacturing

1:29 pm

Photo of Richard ColbeckRichard Colbeck (Tasmania, Liberal Party, Shadow Parliamentary Secretary for Fisheries and Forestry) Share this | | Hansard source

I move:

That the Senate take note of the answer given by the Minister for Innovation, Industry, Science and Research (Senator Carr) to a question without notice asked by Senator Colbeck today relating to the Australian manufacturing industry.

The answer by the Minister for Innovation, Industry, Science and Research follows on from his pitiful defence of his role as a minister yesterday with a ministerial state­ment. That statement was promised by the Prime Minister and the Treasurer on Monday to be a significant statement, but it turned out to be nothing more than a regurgitation of things that everybody already knew. Although Paul Howes said, on Lateline last night, that we now need comprehensive plans for each of a number of industries, the minister has again failed to come up with anything. It demonstrates the significant risk that this government has become. What a failure this minister is in the industry port­folio. We know that his actions in stripping away promises made to the car industry have now put the government in the position of being regarded as a significant governance risk, a sovereign risk, to major corporations and major manufacturing industries being prepared to invest in this country. Those corporations have told us that. So we have the finance industry, the car industry and other manufacturers being really concerned about the sovereign risk that this government presents. This was confirmed by Mr Howes, who effectively said last night that the government has no plans. It needs a compre­hensive plan, according to Mr Howes, but of course the minister is not prepared to address that as an issue. We have seen that, over the last three years, 105,000 jobs have been lost at the rate of 620 jobs per week. The minister again was not prepared to confirm whether or not this was the most rapid rate of job loss in Australian history.

It is little wonder that not only has industry lost confidence in this minister and this government, but even senior union officials, the movers and shakers, those who decide who is and who is not Prime Minister, have lost confidence in this minister and the fact that he has no plans to guide this country forward, and that he has no plans for the manufacturing sector. Why would Mr Howes say that comprehensive plans are now needed for each of a number of industries? Why would he say that if he believed this government actually had those in place? He said that the government is in its deepest crisis since the Great Depression. This is not the Australian newspaper, it is not a member of the Liberal Party or the National Party and it is not anybody on this side of politics; this is a senior Labor official saying that Austra­lian manufacturing is in deep crisis. This is one of the people who decide who the Prime Minister of Australia is, and he is saying that Australia is in its deepest crisis since the Great Depression and that comprehensive plans are now needed for each of a number of industries. Yet Minister Carr came in here yesterday to table a ministerial statement on the manufacturing sector but failed to provide anything new.

The Prime Minister, earlier in the week, indicated that big things were going to be announced, on behalf of the industry port­folio, to deal with job losses at BlueScope Steel and at OneSteel. What did they announce? They announced the appointment of Peter Beattie. Now you have Minister Carr standing on one side—the minister proudly says, 'I will stand beside industry and I will stand beside the workers'—and Peter Beattie standing on the other side. I am sure that industry is absolutely delighted and excited to have that great level of support standing beside them. But what are they doing? They have no new policy and nothing to offer, but one of the people who decides who the Prime Minister of this country is, Mr Paul Howes, says that comprehensive plans are now needed for each of a number of industries. That is a declaration from their own side, from a senior member of the Labor Party, that this government has not found its way. I think I recall Julia Gillard saying, when she took the leadership of the party after Paul Howes gave it to her, that this government had lost its way. It is quite obvious that it still has not found its way and that it has completely and utterly failed industry. The Prime Minister gave every indication of something big earlier in the week, yet the minister failed to deliver it yesterday and again today. (Time expired)

3:07 pm

Photo of Claire MooreClaire Moore (Queensland, Australian Labor Party) Share this | | Hansard source

I am really pleased to see this newfound interest and this wonderful relationship that Senator Colbeck has now established with union leaders in this country. Usually at this time in the afternoon we have significant contributions involving quotes from the Australianand other newspapers, with absolute deference to the media in this country. Recently we have also had, at length, quotes from radio stations. At the same time that the opposition looks at the clips they can listen to the radio and then come in here and give standard comments about what is happening in this country.

I listened carefully to Minister Carr's response which this motion moves to take note of. There was one question on this issue today—only one question. The minister was quite open in talking about what is happen­ing with the steel industry in this country. There was no attempt to say that we are not deeply concerned and that we do not have deep sympathy for the workers who have been caught up in this decision. What the minister did do was look at the real history of manufacturing in this country over the last few years, which has not been mentioned by anyone on that side. In fact, when people from this side of the parliament were looking at ways into the future—with strategic plans for how we can transform the steel industry and how we can work effectively with indus­try, with the workplace, with business and with the market—there did not seem to be any support for that from the opposition.

There is a plan, but the plan does not stay stagnant; it evolves as the process continues. We understand that there has been a serious loss in the steel industry and for a number of manufacturers over the last couple of days. That has been fully reported. We understand that, and we on this side of the chamber want to work with those workers. We want to work with the unions and the employers to go through this crisis. There has been no attempt to say that it is not important to work with the industry. Senator Colbeck is inter­ested in the appointment of Mr Peter Beattie to work with government and industry on this issue. As a Queensland senator, I know full well about the work Peter Beattie was able to do in Queensland looking at industry and at jobs. He had that ability to work across areas and focus clearly on outcomes. That is what is important.

We know that in several areas of the Australian community there is real concern and fear about what is happening with jobs. As an effective government we respond to that, and we seek the support of the opposi­tion to do it. While there has been this ongo­ing attack on the credibility of Australia's financial position and daily attacks from the opposition on the strength of our economy, then naturally the kinds of concerns raised by Senator Colbeck will come into industry. If a part of the Australian parliament sees it as the answer to every issue to downplay the strength of our economy, as outlined by ministers today in this place, that will give credence to the idea that there is a crisis that cannot be surmounted.

The best way to look at what is actually happening in this community is to work effectively on identifying the issues, to listen to all the ideas. Certainly Mr Howes and other trade union leaders will have an important role to play. We need to have that input into the discussion. The ministers and all of us in parliament want that input so that we are responding to all the ideas, all the energy and all the needs of the community to work through this time in our economy.

We have heard from the steel producers that there are a number of concerns in their industry. One of the key ones that is consistently being talked about is the strong Australian dollar. That is something we will have to understand. We will have to work through it with the kind of planning the minister has put forward. Yesterday he gave an innovation statement for the whole econo­my, not just for the steel industry. An effect­ive way to move forward would be to agree on the process, agree on the plan, use every skill available and work with Mr Beattie—in the same way that previously, in the auto industry, we brought experts together so we could work through the immediate threat of the global economic crisis in that area.

The way forward is to ensure that the plans being put forward are understood, that people engage in the process and that it is not used as a cheap political attack. At the same time that we are trying to score points and move forward politically, the people who will suffer are the people whose jobs we should be looking after. We should acknow­ledge that there are issues there, but we need to move into the future effectively. (Time expired)

3:12 pm

Photo of Cory BernardiCory Bernardi (SA, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | | Hansard source

It is clear to me, judging by the rhetoric Senator Moore has used for the last five minutes on this motion to take note of Senator Carr's answer, that no-one told her that the 'moving forward' slogan from the last election was dumped when the 'real Julia' came out. This is the most ridiculous defence of a very poor government that I have ever heard. They keep talking about their plans for the future—for 2015 and 2020 and 2025. It is all going to come to nought. We on the benches on this side are exposing the folly, the uselessness and the hopeless­ness of this government, and they are saying that this is what is causing a crisis in manu­facturing. The Senate chamber on the government side is in complete and utter denial. The activities and actions of the government are what is paralysing industry in this country. The people of Australia have no confidence in your ability to manage any policy program or implement it in an effective, fair and balanced manner.

The evidence is very clear to see, and the warnings were equally clear. I remember standing up in this place and warning that Senator Carr, as the industry minister responsible for manufacturing, would take the giant leap backwards, and that is clearly what has happened here. We have lost 105,000 jobs under this minister in this area. Manufacturing employment is under a million for the very first time that I can recall. We are going backwards at a rate of knots, and it is not our fault; it is your fault—not you specifically, Senator Moore, but it is the government's fault. They turn everything they touch into dust—and that is the most polite way I can manage to say it. I remember when Senator Carr, in his original incarnation as innovation minister, was claiming it a great innovation to send text messages into space, in the hope that some life form up there would be able to respond and give him some guidance about what to do with industry back here on earth. I am saying to Senator Carr, and the others on the government side, that they should take their heads out of the clouds and get their focus not on space but back on earth. They should bring their focus back to earth and confront their demons—and their demons are large and they are many.

The government cannot manage money, they cannot implement policy programs, they have no consistent narrative in which they can build a framework to take this country forward. That is very clear. That is why the people of Australia are protesting. That is why the people of Australia have no confi­dence in this government. And that is why this government are languishing. They are languishing not only in the polls but internally—the morale is at the lowest it has ever been.

Photo of Gavin MarshallGavin Marshall (Victoria, Australian Labor Party) Share this | | Hansard source

That's not true!

Photo of Cory BernardiCory Bernardi (SA, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | | Hansard source

The morale of the Australian people is at the lowest it has ever been. Of course, we know Senator Marshall is buoyant and joyous, because he loves to thrive on the chaos over there as the Left are taking control! But, you know, Senator Marshall, not everyone indulges in your sense of schadenfreude. Not everyone takes pleasure out of the pity and misery of others, let me tell you. We will let you occupy that rare niche with your band of followers over there, clearly one of whom voted for you for President of this chamber—given that it wasn't you!

Returning to the matters of substance that really do concern the Australian people: it is about job security, it is about the cost-of-living issues, it is about these new taxes that are coming in from this government. It seems to me that there is a huge level of denial, a denial that this government is responsible for the bad policies, that it is responsible for these massive budget deficits, that its carbon tax is going to increase the cost of living for families and is going to drive industry out.

I heard a story the other day about Mr Dreyfus QC, from the other place, who was confronted by an angry man who said, 'This carbon tax is going to put the cost of my electricity in my manufacturing plant up by $250,000 or so.' And Mr Dreyfus said, 'See, you've got nothing to worry about'! This is the level of denial that is creeping out into the public. The Labor Party are so removed from reality that they say, 'This doesn't matter; it'll be okay in 2013 or 2015, and we are on the right track.' We are not on the right track. We have taken the wrong path. We have taken the low road. It is the road that is leading Australia downhill. We need to replace this government. That is some­thing that the Australian people agree on. If you are not convinced of that, take it to an election. (Time expired)

3:17 pm

Photo of Lisa SinghLisa Singh (Tasmania, Australian Labor Party) Share this | | Hansard source

Dear me! The first alarming words that I heard in Senator Bernardi's contribution were the words 'job security'—as though on that side of the chamber they think they actually care about job security. This is an opposition that is in opposition because of their policies against job security, because of their stance on Work Choices, which drove them out of government. Yet they stand here today and all of a sudden a thought bubble comes into their head and they pretend that they are a friend of the manufacturing workers. Let us not be fooled in this place at all on that front.

For Senator Colbeck to raise the question to Minister Carr is, again, an alarming thought, because Senator Colbeck would know—

Senator Bernardi interjecting

Yes, one question that we are all taking note of here today. Senator Colbeck would know, as a Liberal senator from Tasmania, that what happens under Labor governments is that, when there is a serious issue in relation to the manufacturing industry, and when serious job losses from manufacturing are on the line, Labor governments act. Senator Colbeck would have some memory of that in Tasmania. We have had a loss in Tasmania of the Blunds­tone factory. The state Labor government acted to ensure supports were given to those workers who were losing their jobs from the Blundstone company.

It is similar today. What we have here is a recognition from those on this side of the chamber of the plight of those workers, a recognition of the serious loss of the steel industry—and that is why we have acted. That is why we have appointed former Premier Beattie to come in, as someone of reputable character, someone with great knowledge and expertise—having been Premier of one of the larger states in this country—someone with great capability, and give assistance to this particular industry. The manufacturing industry is an industry we take extremely seriously on this side of the chamber, because we recognise that it has a number of workers who need attention and support as our economy changes and goes through this transition period.

Again, Senator Colbeck should remember that we have recently borne witness to that in Tasmania in relation to the forestry industry. There are industries in our country that are in transition, because our economy is in transition, but what does the Gillard Labor government do about that? Do we sit here and idly waste time and wait for those workers to lose their jobs, for things to go down into a dire heap? No, not at all. That is what happened under the coalition govern­ment. The only time, in my memory, that the coalition government acted in relation to jobs in the manufacturing sector was when John Howard had some family connection with the company in question.

Photo of Gavin MarshallGavin Marshall (Victoria, Australian Labor Party) Share this | | Hansard source

Don't we all remember that!

Photo of Lisa SinghLisa Singh (Tasmania, Australian Labor Party) Share this | | Hansard source

Yes, don't we all remember that: the old textile workers that he had a brotherly connection to—too bad for all those others in the manufacturing industry, but when there is an interest of family importance, then we see some action from the coalition government.

What we know is that those on that side of the chamber have no plan when it comes to issues of change in our economy, when it comes to issues of workers needing support and needing to transition into new jobs in a new economy; whereas those on this side have a plan. We have a plan to support them and to look at the ways in which our economy needs to be supported through a reform process. And those reform processes are many and varied, as have been imple­mented by a great era of Labor governments that have gone before us, and that we continue implement, to ensure that we are making things better in this country. I could go through a huge list of those areas of reform that outline the differences between us on this side and those on the coalition side. But the most obvious one is that we do support job security. We do support fair work. All they support is unfair work, which is why they are in the situation they are in—in opposition. (Time expired)

3:22 pm

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Shadow Parliamentary Secretary for the Murray Darling Basin) Share this | | Hansard source

Senator Singh proclaims that the government has a plan—that Labor has a plan. She proclaims that there is a plan. Obviously Senator Carr is not aware of the plan. Senator Carr clearly does not know what the plan is. Perhaps Senator Singh had better make a quick shift down to the front bench to Senator Carr's seat, because if she knows what Labor's plan is, if she knows what the government's plan is, obviously Senator Carr does not. Obviously Senator Carr does not know what the plan is, because Senator Carr came into this place yesterday and gave his 10-minute ministerial state­ment, and there was no new plan. There were no new policies. There were no new ideas. There was no content. There was no substance. It was all the things we have come to expect from Senator Kim Carr as Minister for Innovation, Industry, Science and Research. So, if Senator Singh has the plan, she had better dust it off and reveal it to Senator Carr and the government, because her government needs a plan and it needs a plan fairly desperately.

Whatever the current plan is, if indeed there is one at all, it is transparently not working for Australia's manufacturing industry. It is not working at all. One hundred and five thousand jobs have been lost over the last three years in the manu­facturing industry. That is a sobering statistic and a statistic over which Senator Carr, as the industry minister, should hang his head in shame. Six hundred and twenty jobs per week, under his watch, have been lost.

I am just sorry that Senator Cameron is not in the chamber to debate this. He would and does love to speak about Australia's manufacturing industry. He loves to debate it. He loves to talk about this sector, which he wants to champion. The thing is, though, that the longer his government is in place, the less of a manufacturing industry there is. As for his beloved old union, which he used to champion out of this place and whose cause he now loves to champion in this place, there will not be much of a union left by the time he and his government have finished. The union will not have any manufacturing workers to represent, Senator Cameron. However, he is not here to debate at this time.

Senator Carr stood up today and, when challenged about what his plan was, when challenged about what his policies were, he said he has a vision. Senator Carr's vision is a little more like a mirage, it would seem, because his vision lacks any substance. It lacks any detail and it lacks any commitment about how he expects to get the manu­facturing industry in this country back on track and get it into a shape where it stops bleeding jobs week after week, month after month, year after year.

as with so many things, when the govern­ment get into strife, they like to have talk. They pretend that talk is action. Some time ago they decided that a great way of having action that was actually talk was to establish the Steel Industry Innovation Council, of which Mr Howes, who last night on Lateline declared that Australian manufacturing is in its deepest crisis since the Great Depression, is a member. But guess what? At this time of crisis in the manufacturing industry, in the lead-up to a time when 1,400 jobs across BlueScope Steel and OneSteel have been lost or announcements about them have been made, has the Steel Industry Innovation Council met? Not once has the Steel Industry Innovation Council met in the last six months. That means that not only has there been no discussion about how to handle these job losses but there has not even been any consultation with this council about the government's carbon tax. The government have not been engaged in discussions about the carbon tax with the Steel Industry Inno­vation Council. This body was meant to be tasked with setting the future direction, so the government proclaimed, but of course it was all just an announcement. It was all just an announcement at the time of the council, and that is what—

Senator Wong interjecting

Senator Back interjecting

Photo of Stephen ParryStephen Parry (Tasmania, Liberal Party) Share this | | Hansard source

Order! Senators on both sides, order!

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Shadow Parliamentary Secretary for the Murray Darling Basin) Share this | | Hansard source

And of course that, Senator Wong, will be exactly the same approach you will take to the Beattie report. You bring in Peter Beattie; you make a grand announcement. You will get a report, but do you know what will happen with that report? Like everything else, it will gather dust, because it will have just been an announcement of talk masquer­ading as action. It is not action at all. It is not policy. It is not planning. It is just putting masking tape over the mistakes of this government and over the fact that Senator Carr is unable in this industry space to run a comprehensive policy that actually saves Australian jobs rather than bleeds Australian jobs.

Question agreed to.