Ursula Stephens (NSW, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister representing the Treasurer, Senator Wong. Can the minister update the Senate on the outlook for the Australian economy and, specifically, can she outline the approach the government is taking to supporting jobs?

Penny Wong (SA, Australian Labor Party, Minister for Finance and Deregulation) Share this | Link to this | Hansard source

I thank Senator Stephens for the question and her interest in Australian jobs, something those opposite seem not to be focused on. Australia has a growing economy, our net debt is less than a 10th of that of major advanced economies and our unemployment rate around half that of Europe. And this is a Labor government dedicated to ensuring that we support jobs and create jobs and that Australians have access to gainful employment.Those opposite might like to know that last month's employment figures, the labour force figures, showed the Australian economy created some 46,300 jobs in January and the unemployment rate fell slightly to 5.1 per cent. It was largest monthly increase in over 12 months, and this new jobs figure means that there are now more Australians in work, under this government, than at any time at the nation's history—something all of us can be proud of. It is an encouraging start to the year and a reminder that the Australian economy stands tall in the world, notwithstanding the efforts of those opposite to talk down the Australian economy and add to fear and anxiety because they always put their self-interest ahead of the national interest.

On this side of the chamber we are Labor people and jobs is our priority. We acted in the face of the worst global financial crisis in 80 years. We ensured we avoided recession. We saved hundreds of thousands of Australians from being on the unemployment scrapheap. Let us remember: had we taken the advice of those opposite, some 200,000 Australian families, some 200,000 people would be out of work. That would have been the position— (Time expired)

Ursula Stephens (NSW, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I have a supplementary question. Can the minister also outline to the Senate how the government's economic agenda is supporting jobs and working families?

Penny Wong (SA, Australian Labor Party, Minister for Finance and Deregulation) Share this | Link to this | Hansard source

We on this side understand that there are changes occurring in the global economy and therefore changes also occurring in the Australian economy and significant challenges facing some industries. That is why last year's budget invested some $3 billion in skills and training efforts to improve Australia's labour force participation and give more Australians the tools to participate in jobs today but, as importantly, in jobs tomorrow. It is why this government is investing in critical infrastructure including the NBN to drive productivity in our economy—something those opposite are committed to tearing down. It is why this government is spreading the benefits of the mining boom by introducing tax breaks for businesses which are not in the mining boom fast lane—tax breaks opposed by those opposite. The party of small business, the Liberal Party, is opposing tax breaks for small business, putting wealthy miners ahead of small business—that is the Liberal Party priority. (Time expired)

Ursula Stephens (NSW, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I have a further supplementary question. Can the minister outline to the Senate any changes the government has made to the tax system to keep the economy strong and support working families?

Penny Wong (SA, Australian Labor Party, Minister for Finance and Deregulation) Share this | Link to this | Hansard source

Thank you to Senator Stephens for giving me the opportunity to speak about tax reform, because this is a very important part of this government's priorities. We have made changes to the tax system to better reward effort and to encourage people to participate: three rounds of personal tax cuts worth some $47 billion. Someone earning $50,000 now pays $1,750 less tax than they did under the Howard government. And we on this side are building on this reform through our plans to triple the tax-free threshold in the coming years. Tripling of the tax-free threshold means a tax cut for every Australian earning under $80,000 a year—a tax cut opposed by those opposite.

The Liberal Party's priorities are clear. They want to preserve the profits of wealthy miners. They want to argue against any taxation on wealthy miners but they want to oppose tax cuts for working Australians, families and small business. (Time expired)