Chris Ketter (Queensland, Australian Labor Party) Share this | Hansard source

I rise to speak on the MPI, which goes to cost-of-living issues. It's disappointing that, when given the opportunity to speak on the issues that impact ordinary Australians, Senator Paterson and Senator Hume chose to take that opportunity to talk about the Labor Party—to obfuscate and engage in political hyperbole and talk about Labor's principled position in respect of tax reform, a proposal which 92 per cent of taxpayers are unaffected by.

I want to talk about cost-of-living issues and I particularly want to talk about the issue which even the Treasurer identified as being the greatest single threat to the Australian economy, and that is wages growth. Wages growth is at historically low levels despite the fact that we have enjoyed 26 years of continuous economic growth, and cost-of-living pressures are therefore weighing heavily on low- and middle-income households. So, having put it out there that this is the greatest single threat to the Australian economy, what has the government done about this issue? The government put out the company tax cut proposal, which is their centrepiece—from which all good things will come and, according to them, will lead to wages growth. That is trickle-down economics and patently absurd. The Australian people don't buy that story anymore, but that remains the government's centrepiece. The Treasurer also talked about productivity growth. But, at a time when productivity is continuing to grow, wages are flatlining. So the Treasurer is completely out of touch on that issue.

It is quite clear that average workers are not getting the benefit of that economic growth. Last week, I had the opportunity to visit the Australian Workers' Union and ETU protest outside the ExxonMobil facility at Longford. At that time, those workers had been protesting for 265 days and taking a principled stand against a 30 per cent wage cut being imposed on them by one of the subcontracting firms within the ExxonMobil facility. They were taking that principled stand not only for themselves but also for other workers and their children. They saw it as very important to take that position. So we know that the rules are broken when it comes to enterprise bargaining. The government could take the opportunity to talk about that issue, but they are silent on that.

The national wage case decision is coming up, which presents a very important opportunity to address the issue of wages. We know that the outcomes of the national wage case have flow-on effects throughout the economy. What particularly disappointed me was the submission to the wage case by the National Retail Association, where they have come out and said that they are proposing a zero per cent wage increase for workers across the economy. What are the government doing about that? How can they stand by silently whilst that sort of nonsense is being put out there? I say: shame on the National Retail Association for putting it out there. They had the gall to indicate that the explanation for that policy was in part the fact that retailers did not enjoy spending growth in the pre-Christmas period, which is when they traditionally get a pick-up in retail sales. Of course, it's quite clear that, if you give workers a zero per cent wage increase, next Christmas we're going to see an even worse outcome in retail sales in the lead-up to Christmas. So that is a very short-sighted policy position from the National Retail Association and I call on them to change their position.

Labor believe in affordable healthcare and education options and affordable insurance. We believe in cracking down on corporate tax dodgers. We believe that a fair tax system should be in place and that those who can afford to pay more should pay more.

Going back to that Retail Association submission, what added insult to injury from my perspective was that not only are the retailers asking for a zero per cent wage increase; they're also continuing to enjoy the benefits of the penalty rate cuts which are flowing through the system. Again, the government are silent on that. In fact, they have done nothing about those penalty rate cuts, which are impacting on the cost-of-living pressures for ordinary workers. It's time for the government to get on with the job and do something about this issue.