Senate debates

Wednesday, 17 October 2018

Questions without Notice

Defence Procurement

2:09 pm

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

My question is to the Minister representing the Minister for Defence, Senator Payne. Yesterday the ASC informed its workforce that a further 56 blue-collar jobs will be lost to the shipyard at Osborne, bringing the number of workers sacked this year to 372. Just this month, Prime Minister Morrison boasted, 'Our defence industry plan is delivering.' How is the defence industry plan delivering for the 372 workers and their families who have lost their jobs since Christmas last?

Honourable senators interjecting

Photo of Scott RyanScott Ryan (President) Share this | | Hansard source

Before I call Senator Payne, I asked repeatedly for silence during questions. That applies on my right as well as on my left. The Minister representing the Minister for Defence, Senator Payne.

2:10 pm

Photo of Marise PayneMarise Payne (NSW, Liberal Party, Minister for Foreign Affairs) Share this | | Hansard source

I thank Senator Carr for his question. Most certainly, the issue of job losses in any industry, in any business, is always a matter of concern to government and to industry as well. The workers at ASC have been doing a significantly important job, particularly in the construction of the air warfare destroyers and the delivery of those vessels. They have been doing that job based on the last orders which were placed for vessels into the ASC shipyard which, of course, were placed by a coalition government.

In the six years in which those opposite were in the position of government in this country, they did not commission one single naval vessel. This government is commissioning 54 naval vessels from shipyards in Australia, focused on South Australia—the shipyard to which Senator Carr referred—and Western Australia. If that had not been done, then perhaps Senator Carr could take issue with this government's approach to policy in this matter. However, his approach and the approach of the government of which he was a member—he was the minister for industry, if I recall correctly—was that no work was done in this area whatsoever. In fact, it is known appropriately as Labor's valley of death. It was directed by them; it was authored by them; it was written by them. This government has turned it around, this government has turned around Australia's naval capability and this government will deliver.

Photo of Scott RyanScott Ryan (President) Share this | | Hansard source

Senator Carr, a supplementary question.

2:11 pm

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

If the government has turned it around, why are you still laying people off? Given the government's continued failure to meet its own targets in the Naval Shipbuilding Plan, will the minister now ensure that the ASC draws down the $30 million it was awarded last December to create training scholarships in order to retrain those highly skilled workers?

2:12 pm

Photo of Marise PayneMarise Payne (NSW, Liberal Party, Minister for Foreign Affairs) Share this | | Hansard source

I would have hoped during the period of time in which Senator Carr held responsible for an industry portfolio that he understood the process that is required for naval shipbuilding, but, no. I actually know why he doesn't understand it. It's because they had no experience at it whatever.

Let me tell you what this government has done to support jobs in a number of ways that go beyond the investment that I've already talked about. We have a targeted retention strategy, which is creating up to 200 positions within ASC submarines for current shipbuilders working on the Air Warfare Destroyer Program, including up to 100 workers supporting the Future Submarine program office and filling vacant positions in the Collins class sustainment office and up to 100 scholarships to workers to support opportunities to upskill in roles in operations management, computer aided design, engineering—

Photo of Scott RyanScott Ryan (President) Share this | | Hansard source

Senator Cameron on a point of order.

Photo of Doug CameronDoug Cameron (NSW, Australian Labor Party, Shadow Minister for Human Services) Share this | | Hansard source

This is on relevance. The question goes to the issue of whether the government will draw down on the money. The minister hasn't gone near that question.

Photo of Scott RyanScott Ryan (President) Share this | | Hansard source

That was the second part of the question. I think the minister's being directly relevant.

Photo of Marise PayneMarise Payne (NSW, Liberal Party, Minister for Foreign Affairs) Share this | | Hansard source

I can also confirm with pleasure that two offshore patrol vessels will be built by ASC shipbuilding, with production starting in the fourth quarter of 2018, directly employing up to 400 workers at Osborne and 600— (Time expired)

Photo of Scott RyanScott Ryan (President) Share this | | Hansard source

Senator Carr, a final supplementary question.

2:13 pm

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

Given the claims that are being made regarding the building of the two offshore patrol vessels at Osborne and the claims being made that it will ensure the continuity of work until the commencement of the Hunter frigate projects, I'm wondering whether or not you can assure the Senate that Minister Pyne has actually been honest in his public pronouncements to workers at Osborne, or is this just another example that, when it comes to shipbuilding jobs, this minister and this government can't be trusted?

2:14 pm

Photo of Marise PayneMarise Payne (NSW, Liberal Party, Minister for Foreign Affairs) Share this | | Hansard source

That's an interesting proposition to be put by those opposite, who did not commission a single naval vessel in their entire time in government—not one! Not only did they leave the Royal Australian Navy exposed in terms of capability but they left the workforce completely exposed. They created the valley of death, and they are its authors.