Senate debates

Wednesday, 2 September 2020

Questions without Notice

Economy

2:54 pm

Photo of Nita GreenNita Green (Queensland, Australian Labor Party) Share this | | Hansard source

My question is to the Minister for Families and Social Services, Senator Ruston: Australians are living through the worst recession since the Great Depression almost a century ago. Today's national accounts show household spending has collapsed, and we have record high unemployment, with one million Australians out of work and 400,000 more expected to lose their job by Christmas. Isn't this the worst time to be cutting back support?

2:55 pm

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Minister for Families and Social Services) Share this | | Hansard source

I thank Senator Green for her question. Quite clearly, the figures that we received today indicate the devastating impact that the COVID pandemic has had not only on Australia and on our economy but, most particularly, on the lives and livelihoods of many Australians, and that is why this government has put in place an unprecedented package of supports for Australians. So far, $314 billion has been put into the economy to make sure that Australians have a cushion to support them through this unprecedented pandemic that has hit the entire world but has also impacted Australia.

But what we did say at the time this pandemic first hit, back in March—everybody here was in the chamber at the time—was that we needed to put in supports to assist Australians from one side of this pandemic to the other. Clearly, we are not through that pandemic yet. But we all agreed at the time that we would put in place supports and, in my area of social services, those supports related to the coronavirus supplement. We made a decision in July and we announced to people in July that we were going to extend that support past the end of September, because we recognise that Australians are still doing it tough. But across much of the economy, we are starting to see the green shoots of our economy opening up. We are starting to see jobs occur.

It is the responsibility of a responsible government to make sure that we manage the balance between providing increased levels of support to support people in a shallow job market while at the same time recognising we have to put the incentives back in place so people start engaging with the job market, so that they can start getting themselves back into the job market. In addition to that, we also provided assistance through the income-free— (Time expired)

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

Senator Green, a supplementary question?

2:57 pm

Photo of Nita GreenNita Green (Queensland, Australian Labor Party) Share this | | Hansard source

In March, the Senate gave the minister extraordinary powers to increase support to those on support payments. What is the economic impact of the minister's refusal to use her extraordinary powers to give the one million Australians without work the support that they need?

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Minister for Families and Social Services) Share this | | Hansard source

I would point out to Senator Green that I have actually used my powers. There is an instrument laid in this place at the moment to extend the coronavirus supplement from the end of September to the end of December, recognising that the jobs market is still very shallow. But, in addition, we do want people to start re-engaging with the jobs market, because we understand that people who have any form of income in addition to their unemployment benefit are more likely to come off payment. I find it really quite extraordinary; I mean, it is almost like you guys want to have an each-way bet.

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

Order! Senator Watt, on a point of order.

Photo of Murray WattMurray Watt (Queensland, Australian Labor Party, Shadow Minister for Northern Australia) Share this | | Hansard source

On relevance. The question was asking the minister what the economic impact of her refusing to use her powers is, and she hasn't addressed that point.

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

The minister has been addressing the use of the powers; that was directly relevant. I'm listening to what the minister is saying. I consider it to be relevant to the question, referring to both the powers and the economic impact, which were phrases used in the question.

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Minister for Families and Social Services) Share this | | Hansard source

Thank you, Mr President. As I was saying, it is almost like those opposite want to have an each-way bet. In one instance you are telling us that we need to extend things and, in the other, you are telling us we need to transition out of it. Clearly, those on the other side really don't actually know what they want.

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

Senator Wong, on a point of order.

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Leader of the Opposition in the Senate) Share this | | Hansard source

Direct relevance: after the point of order was raised, the minister then went to a commentary on the Labor Party. They are in government; they answer the questions. I would ask you to ask the minister to return to the question.

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

It would be easier if there were no interjections and if ministers did not take them. That would be easier. The minister has five seconds left. I will encourage her to be directly relevant and for there to be no interjections to provide her with bait.

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Minister for Families and Social Services) Share this | | Hansard source

Thank you very much, Mr President. I have used my powers.

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

Senator Green on a final supplementary question?

2:59 pm

Photo of Nita GreenNita Green (Queensland, Australian Labor Party) Share this | | Hansard source

Why is the minister not only refusing to act but also cutting back support from the economy and the jobs market, making it even harder for the one million Australians out of work right now to find jobs and to put food on their tables?

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Minister for Families and Social Services) Share this | | Hansard source

As I said in the answer to the primary question that I received from Senator Green, everybody in this chamber was in the chamber in March when we made a decision to put in place a supplement, called the coronavirus supplement, for a period of six months. That period of six months expires on 24 September this year. The decision of this government—the government of which I am the social services minister—which we announced in the July Economic and Fiscal Update, was to extend the supplement past the September deadline until December and, at the same time, put in place an increased income-free area which allowed people to earn an additional $300 before any of their payments were cut back. In effect, we have said that we are transitioning people back into the economy, but we recognise the job market is shallow, and, for that reason, we have extended the supplement for a further three months at the same time as putting in an income-free area supplement.

Photo of Mathias CormannMathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | | Hansard source

Mr President, I ask that further questions be placed on the Notice Paper.