Scott Ryan (Victoria, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister for Innovation, Industry, Science and Research, Senator Carr. Could the minister inform the Senate exactly how many jobs have been lost in the Australian automotive components sector since the election of the Rudd Labor government?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

Mr President, the fact is there have been a number of announcements of redundancies in the Australian automotive industry. That has, of course, come about as a result of a quite serious downturn in the changes that have occurred within Australian manufacturing. There has been a period of some months now where we have seen a decline in a number of employment opportunities in manufacturing. The fact remains, though, that since October last year the number of jobs has actually grown in total.

Eric Abetz (Tasmania, Liberal Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

In the components sector?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

No, across manufacturing. The ABS figures highlight the fact that since October—and I appreciate the ABS figures do move around from time to time—there has been a growth in the manufacturing sector. Even in the figures announced today there has been a growth of 0.4 per cent. I am sure Senator Ryan would be aware that a year-on-year comparison shows that across manufacturing there has been a growth of some 4.6 per cent. So despite the considerable number of redundancies that have been announced—they are matters of deep regret to the government—the overall situation in manufacturing is nowhere near the position of doom and gloom that those opposite have tried to peddle.

The truth of the matter is that there have been a number of jobs lost and that these losses are regrettable. However, the government have in place a range of measures to assist those workers who are directly affected and we will be moving to establish a comprehensive response with regard to the Bracks recommendations. These will provide an opportunity for the industry to transform itself still further, to allow this industry to be placed on a more sustainable, environmentally much more effective basis than it currently is.

The difficulties in the automotive components sector have been clearly canvassed in the Bracks review and, more generally, the worldwide and domestic economic conditions present a real challenge to industry at the moment. However, I remain optimistic about the future of manufacturing in the light of these challenges. My optimism is based on the fact that the government is going about the task of lifting education standards, improving access to skills and redeveloping national infrastructure and that the support we are providing to the industry will enable them to innovate and meet these challenges head-on. We are developing new approaches to engage industry and unions on a wide range of policy matters. This is a government that is focused on managing the economy to ensure that the operating environment is conducive to the long-term viability of manufacturing firms. Lowering inflation is critical to that objective.

Eric Abetz (Tasmania, Liberal Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

Mr President, I rise on a point of order. The minister has now had 3½ minutes to answer a specific question—not about manufacturing in general but about the automotive components sector in particular. That is what the question restricted itself to. The minister has not even sought to touch on the area of the automotive components sector, which was the central part of the question.

Joe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | Link to this | Hansard source

Mr President, on the point of order: the response from the minister was relevant to the question. The minister has been answering the question. He has been answering the question for 3½ minutes. As to the precise issue that Senator Abetz raises, it is a matter that the minister is answering adequately.

John Hogg (President) Share this | Link to this | Hansard source

On your point of order, Senator Abetz, as you know, I cannot instruct or order a minister on how to answer a question. You have 36 seconds left, Senator Carr; I draw your attention to the issues that were raised in the primary question.

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

Ford Australia has announced that there will be a reduction in the number of employees this year in the Broadmeadows stamping, casting and engine plants. There have also been announcements in Geelong in regard to Unidrive, PBR Bosch and Kenworth Australia. I am afraid that the opposition has failed to grasp some fundamentals when it comes to the economics of manufacturing in this country. They did their very best to undermine manufacturing for the 12 years in which they were in office. They took the view that manufacturing was someone else’s problem. (Time expired)

Scott Ryan (Victoria, Liberal Party) Share this | Link to this | Hansard source

I thank the minister for his response but, to bring the matter back to the job losses in the automotive components sector, I further ask: how many more jobs will be lost in the automotive components sector before the government actually does something rather than just talking about it or arranging photo opportunities? Does the government plan to put in place a short-term assistance package for the Australian automotive components sector, which is haemorrhaging jobs under the Rudd Labor government?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

I appreciate that Senator Ryan, not having been here very long, probably does not know very much about what we have been doing in the Australian automotive industry. He is probably not aware of this government’s commitment to the Australian automotive industry. He is probably not aware of the lack of commitment from his colleagues, who chose to turn their backs on the Australian automotive industry. It was his colleagues who in 2002 put in place a program which they set and then forgot. They have had this industry on automatic pilot since 2002. In that time, the Australian dollar has increased its value by 77 per cent. What we have seen is that the previous government had no regard for the Australian automotive industry. It took the view that this was an industry that could get on by itself. (Time expired)