Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) | Link to this | Hansard source

My question is to the Minister representing the Prime Minister, Senator Wong. Australians are in a cost-of-living crisis where they're noticing that their money simply is not going as far as it once did, due to record-high interest rates, sticky homegrown inflation, declining real household incomes and rising bills. Can the minister confirm that, under the Albanese Labor government, the employee cost-of-living index, as reported by the ABS, has shown an increase of 18.9 per cent in the cost-of-living expenses households are facing?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) | Link to this | Hansard source

As I said in response to her leader, I'd say to Senator McKenzie: Australians are doing it tough. We understand that, which is why working to lift wages, bring down costs, strengthen Medicare, increase bulk-billing, build more homes, deliver cheaper medicine and cheaper child care are all things that are our priorities.

I would make this point to the senator: we've seen wages growing for a number of consecutive quarters, and growth in, I think, the September quarter was the strongest in four years. That is a very important outcome for working people. It is a very important outcome for Australians trying to deal with cost of living, and it is an outcome that we have been working towards. We know that on this side we are supporters of higher wages for aged-care workers, for childcare workers, for workers on the minimum wage, and we understand that lifting wages is central to Australians who are struggling with the cost of living—just as we understood that making sure you can keep more of what you earn is central to meeting cost-of-living pressures. That is why it is this government that brought forward a revision to the tax cuts to ensure, instead of tax cuts which were unfairly skewed to those on very high incomes, we delivered a tax cut to every Australian taxpayer—every Australian taxpayer.

Senator McKenzie, I would remind you that you were so opposed to that for a period, when there was the rush of blood, you wanted to go to an election on it. Do you remember that, President? They were going to go to an election because they actually didn't want Australians to have a tax cut. So that does say something about the philosophical difference between our parties. We want higher wages and we want lower taxes for working people. You want lower wages and you want people to work more for less. (Time expired)

Sue Lines (President) | Link to this | Hansard source

Senator McKenzie, first supplementary?

Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) | Link to this | Hansard source

I'll take that as you can't or refuse to confirm the ABS employee cost-of-living increases. Can the minister please confirm for the Senate that the figures released by the Australian Bureau of Statistics that disposable income has collapsed to 8.7 per cent under your government is the largest fall since records began—a simple confirmation, Minister?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) | Link to this | Hansard source

This is fundamentally a question about inflation, Senator and, you're right, inflation is higher than we would like it to be, but I make the point that it is around a third of we inherited at the election.

I'll take the interjection from Senator McKenzie, again. If I may say, Senator, it's not your finest interjection: 'Whose fault is that?' That's what she said. 'Whose fault is that?' So, when we inherited in monthly inflation nearly three times what it is now, whose fault was that? The reality is that inflation is about a third of what the Labor government inherited at the election and around a quarter of its peak. Let's remember that. This is encouraging. I know that you don't celebrate it, but we actually think it's a good thing for working people, for Australians, that inflation is lower.

We know there is more to do, Senator, and, unlike you, we are for higher wages and lower taxes for working people. That is not the position of the Liberal Party. (Time expired)

Sue Lines (President) | Link to this | Hansard source

Senator McKenzie, second supplementary?

Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) | Link to this | Hansard source

Minister, since the Albanese Labor government was elected, interest rates have increased 12 times, and mortgage interest repayments have tripled, resulting in an average family mortgage being $35,000 more under this government. The US, UK, Canada, eurozone and New Zealand have all seen cuts. In fact, the government-appointed RBA governor stated that there isn't an interest rate cut in sight. Why are Australians uniquely worse off under Labor than anywhere else in the world? (Time expired)

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) | Link to this | Hansard source

I again say two things: monthly inflation is around a third of what we inherited and a quarter of its peak. Those opposite who say inflation is too high, we would agree. We want inflation to be sustainably within the band. We want inflation to come down from where it was. It is a good thing that we see the last ABS figures with a reduction in inflation. It is also a good thing that real wages have grown, as I said, for four consecutive quarters. If annual wage growth had continued under us as under you, the average Australian worker would have been over 5½ grand worse off. That's what would have happened. Do you know what they are? They're the party that says, 'We want you to work more for less.' That's the Liberal Party's way of dealing with inflation and dealing with economic challenges. They say to workers, 'Work more for less.' (Time expired)