David Smith (Bean, Australian Labor Party) Share this | Hansard source

I thank the member for Forde for this opportunity to speak on productivity growth in Australia. But I'd also quickly remind the member that declining productivity didn't happen overnight. It was inherited from a decade of Liberal-National inaction and missed opportunities—from a government that was more interested in entrenching low wages as a design feature of the economy. They won the gold medal for low productivity. We don't need these old canards about public servants versus contractors and consultants. We know the difference in how much money we are saving through the budget by returning public sector work to public servants. Just as this decline in productivity didn't suddenly happen when this government was elected, the solutions to turn this trend around will not suddenly undo decades of declining productivity.

Under this Albanese government, we have a genuine focus on boosting productivity, whether it is through the energy transformation or whether it is technological change or human capital, particularly investing in skills not only to meet the great public policy challenges of our times but also to use such opportunities to make our economy more productive. The Albanese government understands productivity can grow when we address a few of the key factors that have constricted growth historically. Some of that starts with the bread-and-butter issues around unnecessary red tape.

The Albanese government announced this year we would invest $27.9 million over three years with ongoing funding of around $10 million per year to continue reducing red tape—an area that was left unfunded despite the rhetoric by the former Morrison government—so we can deliver reforms that make a difference for business and individuals. This investment will include making it quicker and easier for overseas health practitioners to come to Australia to work; streamlining and standardising requirements for national worker screening in disability, aged, children and veterans care sectors while maintaining safety for care recipients; improving Australia's food standards to enhance consumer food choices by reducing costs for both industry and government; the modernising of regulation and improving regulator performance, including greater use of data and digital technology in delivering government services, which leads to another key area of focus for this government: the utilisation of technology to improve productivity.

Earlier this year the Minister for Industry and Science released Australia's first national robotics strategy. Robotics and automation technologies have enormous potential to transform advanced manufacturing, supporting our transition to net zero, combatting workforce shortages and creating safer and more productive work environments for Australians. The strategy aims to support Australian industries developing and using robotics and automation technologies to strengthen competitiveness, boost productivity and support local communities. The strategy complements and is supported by the government's National Reconstruction Fund, Industry Growth Program and the Future Made in Australia, which seek to increase the commercialisation and adoption of critical technologies like robotics to support the growth of our economy.

The government's continued investment in the NBN will also underpin economic activity and productivity growth across Australia, helping businesses stay internationally competitive and consumers to stay connected. It is the type of infrastructure that needs to be properly invested in for its productivity gains to be realised yet, under the former governments, it was gutted to be done on the cheap. You simply cannot replace high-tech, high-quality fibre optic with copper wiring and not have consequences.

But this government is not just focused on the technology and red tape that are holding back productivity; it has invested in the people behind our economy. For a labour market to be productive and contribute to a growing economy, it cannot be burning out. People must have eight hours of rest, eight hours of recreation and at least eight hours of work. Under the Albanese Labor government unemployment is at historic lows, wages are moving after a decade of stagnation, industrial action has fallen and the gender pay gap is at the lowest level on record. These are the strong foundations for a more productive economy.

This government has made child care and early education cheaper, allowing parents to return to the workforce sooner, or free them up to pick up more shifts at work. But, as the Prime Minister has made clear, when people are loyal to their employer and focus on what they should be doing for eight hours a day—or longer if that is the agreed-upon shift—and not being distracted for 24 hours a day, you will get a more productive workforce. Productivity in this country had already plummeted under the former government, but, under this government, we are laying the foundations for a return to productivity with a plan to grow productivity in Australia.

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