Barnaby Joyce (Queensland, National Party) Share this | Hansard source

It is interesting to talk here on the Workplace Relations Amendment (Transition to Forward with Fairness) Bill 2008 tonight because things have changed over time. I remember that when this legislation initially came in I was very hesitant—I would say reticent—and so was Queensland, about the adoption of this bill. The issues at the time spoke to an economy that was robust, where opportunities were abundant, where the horizon had what a nation should have levelled out before it for its citizens.

That was some time ago in politics now. Economically the world has changed dramatically since then and it seems almost foolish, almost lemming-like, that the discussions politically around this chamber and other chambers tonight ignore the realities of exactly where the world is. The IR changes came before the US pumped $200 billion to try and refloat the American economy, to no avail. Even if we look today at the headlines in the papers, we see that the worsening credit crisis has heightened concerns about the liquidity of major investment banks after the US Federal Reserve was forced on Friday to bail out one of Wall Street’s top five firms, using powers not exercised since the Great Depression.

We have to acknowledge in this chamber and in this parliament where the world is heading. We have to have a reality check about exactly what is in front of us. We have to confirm that the US, with 26 per cent of the world economy, and by default Australia, with about 1.5 per cent, are heading for a recession. I looked at this before I came in here and googled some words. This is four minutes ago. ‘Shares plunge.’ ‘US bank crisis spooks investors.’ Basically Asian markets have gone down four per cent, Europe has gone down two. ‘Big Apple softening.’ ‘European investment bank shares dive as credit crisis fears spread.’ Vancouver, with stories of people losing their homes in impending recession in the United States. This is the reality of where the world is now, so what on earth are we talking about? What on earth are we talking about in how we are going to deal with this problem, the major problem that is coming before our nation now, and calling for those with a bit of steel about them to deal with it? This problem is way beyond any of the minor nefarious imbroglio that surrounds this bill. This problem is the big deal of the day.

My position is entirely different to my position when, with hesitancy, I first voted for this bill. I think, to be honest, that my position now in supporting this bill is probably stronger than ever. We have an impending train wreck. It has been preceded by the subprime mortgage meltdown; it has been preceded by the $200 billion injection; and it has been preceded by the fact that the Australian market has gone down by, I think, 21 per cent since October last year. First and foremost, the thing that we need to do for people is to keep them in a job.

The Prime Minister, the Deputy Prime Minister and the Treasurer of this country today have an immense responsibility in front of them. I know they cannot stop it, but they need to try and mitigate the effects on the Australian people of what will happen—to soften the blow. Let us look at what levers they have before them. They have monetary policy, which they have exercised by basically saying nothing—by taking the rudder off the ship, putting it in full sail and seeing were it blows. And now Australian working families are at tipping point in what they can afford in their mortgage repayments. That is not an emotive statement; that is a statement of fact. Last weekend in Brisbane, in my home state, the clearance rate on the sale of houses was 26 per cent. That is astronomically low. In the major market of Sydney, it is less than 50 per cent. There have been a record number of listings in Melbourne, yet we sit back and pretend that there is nothing happening. We sit back and pretend that the world is just going on as per normal. We have reached tipping point for Australian working families. We are tipping them out of their houses and we are tipping them out on the streets. We need to take hold of some of the levers to try to mitigate the effects of this fall for our nation.

We have had statements by the Prime Minister and the Treasurer about fiscal restraints. But they are not quantifiable. We cannot pin them down. There is nothing you can actually get to. We cannot even at this point in time quantify exactly where the so-called two per cent efficiency dividend is.