Senate debates

Wednesday, 6 September 2023

Questions without Notice

Economy

2:15 pm

Photo of Jane HumeJane Hume (Victoria, Liberal Party, Shadow Minister for the Public Service) Share this | | Hansard source

My question is also to the Minister representing the Treasurer, Senator Gallagher. In how many consecutive quarters has Australia's GDP per capita declined?

2:16 pm

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

I thank Senator Hume for the question. It is not uncommon from quarter to quarter for the per capita measure to move in that direction. In fact, it has gone backwards one in every four quarters since these records began about 50 years ago, or 48 times out of the last 199 quarters. There is no doubt, though, that in today's numbers—and the Treasurer dealt with this in his press conference earlier today—that we are seeing the impact of higher interest rates, high-but-moderating inflation, which is welcome, and some of the impacts of global uncertainty. We have been clear and upfront with people about those challenges and the impacts it is having on households, which is why our cost-of-living package, most of which those opposite opposed, has been so important to support households through this. But at the same time, we have seen a rebound in population growth which has been driven by the reopening of our economy post COVID and this very significant return of international students in particular, which is showing up in the services exports numbers and that is good news of course for our education and tourism sectors. While we are seeing international students are returning to more normal levels following the pandemic, we are still not expecting to see net overseas migration catch up to the level forecast by the coalition government prior to the pandemic until the end of the decade. I think, in short, the answer to the question is we have seen—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Hume, on a point of order?

Photo of Jane HumeJane Hume (Victoria, Liberal Party, Shadow Minister for the Public Service) Share this | | Hansard source

On relevance, I just asked how many quarters consecutively that Australia's GDP per capita has declined.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

I believe the minister is being—

Photo of Jane HumeJane Hume (Victoria, Liberal Party, Shadow Minister for the Public Service) Share this | | Hansard source

In a minute and a half, we haven't got there yet.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

She has answered back to the time records were held, but I am happy to draw your question to the minister.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

I have made the point in the answer to my question that it is not uncommon to see these numbers move around quarter to quarter. In fact, we have seen them move quite significantly. In almost a quarter out of all of the quarters reported, we have seen these numbers move around. You do see quarters of negative per capita growth since these numbers have been recorded.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Hume, a first supplementary?

2:18 pm

Photo of Jane HumeJane Hume (Victoria, Liberal Party, Shadow Minister for the Public Service) Share this | | Hansard source

Minister, what has productivity changed by in the June quarter and what do today's national accounts show that it has changed by throughout the last financial year?

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

Frankly, I am surprised that Senator Hume would ask a question about productivity when the decade that they were in government saw the worst productivity growth in the last 60 years—in the last 60 years! The decade that you were in power had the worst productivity growth that we have seen. It was, on average, 1.1 per cent per annum for the decade you were responsible and you failed to deal with the challenges to productivity growth. We knew you were trying to keep wages low—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Minister Gallagher, please resume your seat. Senator Birmingham?

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | | Hansard source

I have a point of order, President, on direct relevance. Senator Hume has asked about the productivity changes in the June quarter and over the last year. It's all very well for the minister to talk about the previous decade, but she's happy to claim the budget surplus for the last year so how about the government takes responsibility for the productivity figures for the last year?

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Birmingham, the last part of what you were claiming was a debating point. Minister Farrell?

Photo of Don FarrellDon Farrell (SA, Australian Labor Party, Minister for Trade and Tourism) Share this | | Hansard source

On the point of order: I think that the minister is directly answering the question that she was asked, and I think she should be allowed to continue to answer that question.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Thank you, Minister Farrell. The minister has just started her answer. I will listen, and if she's not—

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | | Hansard source

She only has 18 seconds left!

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Birmingham, if you've called the point of order I would expect you to listen to my response in silence. Is this another point of order?

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | | Hansard source

It's another point of order, President: fairness. It's a further point of order, on your ruling. Sometimes it's reasonable to point out that the clock has only elapsed a short period of time. On this occasion, the clock has elapsed 42 out of the 60 seconds so in fairness, President, if we're going to draw the minister's attention to the question it needs to happen now if she is to have time to actually answer the question.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Farrell?

Photo of Don FarrellDon Farrell (SA, Australian Labor Party, Minister for Trade and Tourism) Share this | | Hansard source

On the point of order: the minister has been answering the question directly and every time Senator Birmingham interrupts it's less time to answer that question.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Thank you, Senator Farrell. I am going to allow the minister to continue, Senator Birmingham, and I will listen carefully to her continued response. Minister.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

Thank you. The point I was making is that we do have a productivity challenge in our economy; that's reflected in the national accounts. But it's reflected in the economy that we inherited from those opposite, who didn't do the things they needed to do in skills, in reconstruction, in investments in IT and in supporting employees. For all of these things we're having to fix up your mess— (Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Hume, a second supplementary.

2:22 pm

Photo of Jane HumeJane Hume (Victoria, Liberal Party, Shadow Minister for the Public Service) Share this | | Hansard source

That's two questions that the finance minister has been unable to answer. Economists universally agree that Labor's industrial relations reforms will further hurt productivity; that decisions such as the rejection of additional Qatar Airways flights hurt competition; and that the Albanese Labor government's policies are making a weakening economy weaker. How much poorer will Australians be and how many jobs will be lost as Labor's policies drive Australia deeper into a per capita recession?

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

Thank you very much for that, and for the statement from Senator Hume. We are very confident—and it doesn't surprise me that we have criticism of our industrial relations policy, because we know that those opposite wanted to keep wages low—

Opposition Senators:

Opposition senators interjecting

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

Don't you start talking about productivity! What happened under you, Senator Birmingham—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Minister, please resume your seat.

Opposition senators interjecting

Order! Minister, please continue.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

We are addressing the productivity challenge and we are addressing the wages challenge that we inherited—

Opposition senators interjecting

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Minister Gallagher, please resume your seat. Senators on my left—

Senator Birmingham!

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | | Hansard source

Two per cent for the June quarter—if you knew why didn't you answer it?

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Birmingham! I'm calling you to order—

I've called you twice, Senator Birmingham. I would think that, as the leader, you would set—

Don't answer me back!

Opposition senators interjecting

I called the Senate to order and I particularly called you to order. I should not have to call twice!

I called the Senate to order and the minute the minister stood the disorder started again. I am asking senators, particularly those on my left, but not exclusively, to be respectful. Minister Farrell.

Photo of Don FarrellDon Farrell (SA, Australian Labor Party, Minister for Trade and Tourism) Share this | | Hansard source

I have a point of order. The leader was quite disrespectful to you just a moment ago. I think—

Photo of James McGrathJames McGrath (Queensland, Liberal National Party, Shadow Assistant Minister to the Leader of the Opposition) Share this | | Hansard source

What's the standing order?

Photo of Don FarrellDon Farrell (SA, Australian Labor Party, Minister for Trade and Tourism) Share this | | Hansard source

It was disrespectful to the President and you ought to apologise for your comments to the—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Farrell, please resume your seat.

Opposition senators interjecting

Order! Senator McGrath and Senator Hughes! I'm asking the chamber to be respectful. Senator Farrell, I have dealt with Senator Birmingham. I call the minister to continue her answer.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

Thank you. In summing up, Australia will be a much stronger country. It will have a much stronger economy from the policies that we are implementing, whether they are about addressing the productivity challenges or whether they are about addressing the wages issue that we have had in our country for more than a decade.

Photo of Hollie HughesHollie Hughes (NSW, Liberal Party, Shadow Assistant Minister for Climate Change and Energy) Share this | | Hansard source

The unions will be much stronger. The CFMMEU will be much stronger, not Australian businesses.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Hughes.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

It's no surprise that those opposite would take every last breath in their bodies to fight against working people getting fair treatment—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Minister Gallagher, please resume your seat. Senator Hughes, I called you to order, and what did you do? You just kept interjecting. Your interjections are disorderly, and they are disrespectful to this chamber.

You as well, Senator McGrath. Minister, please continue.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

I've finished my answer.