Arthur Sinodinos (NSW, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Minister representing the Treasurer, Senator Wong. Minister, I refer you to recent tweets by the Treasurer—

Honourable Senators:

Honourable senators interjecting—

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

Order on my right! Senator Sinodinos is entitled to be heard in silence.

Arthur Sinodinos (NSW, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | Link to this | Hansard source

I refer the minister to the Treasurer's tweet: 'At 5.5 per cent Australia has one of the lowest unemployment rates in the developed world.' Are you aware that, according to The Economist of 8 June 2013, several developed economies have unemployment rates that are lower than Australia's, including Japan at 4.1 per cent, Austria at 4.9 per cent, Norway at 3.7 per cent, Switzerland at 3.1 per cent, Singapore at 1.9 per cent, South Korea at 3.2 per cent, Taiwan at 4.2 per cent and Hong Kong at 3.5 per cent? Minister, do you concede that these countries have lower unemployment figures than Australia does?

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

I have to say I was not aware of the tweet, but thank you very much for sharing that with us. I am aware that Australia's unemployment rate is indeed lower than that of many other advanced economies. Certainly, if you look to the economies of Europe, if you look to the eurozone, if you look to the United States, you will see economies with far higher unemployment rates than Australia.

I find it passing strange that the coalition is so anxious to talk down good employment outcomes for Australians, because those good employment outcomes ought not to be political. We all ought to be cheering the creation of jobs in this country, because it is a good thing for the people who send us here. Whilst there are many things that this government has done which I think have contributed to a better Australia, one of the first amongst those is the creation of jobs. No amount of negativity and carping and constant heckling from Senator Brandis—I do not need a blue tie, Senator, to know you are a pompous git; I really do not.

Honourable Senators:

Honourable senators interjecting—

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

Order! Senator Wong, you should withdraw that.

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

Which bit would you like me to withdraw—that he is a pompous git or that he is wearing a blue tie, which I am responding to?

Honourable senators interjecting—

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

Order! Just withdraw the comment.

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

I am responding to an earlier prediction, Mr President. I am happy to withdraw it, but I am not sure which part you would like me to withdraw.

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

Order! I do not specify the part; you know the part.

Honourable senators interjecting—

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

I withdraw. Before I was again interrupted by Senator Brandis, I was making the point that 960,000 jobs have been created since this government came to power. We see more Australians in work than ever before, and it is a pity that the opposition cannot see past short-term politicking and a desire to criticise the government. They should recognise that that is a good thing for the nation. It stands in stark contrast to the millions of people we have seen join the unemployment queues around the globe in many developed countries. It stands in stark contrast to the sorts of unemployment rates— (Time expired)

Arthur Sinodinos (NSW, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Minister, how is it that, given the government has cited factors such as global volatility and the Australian dollar as key reasons affecting parts of the labour market, these economies achieve superior unemployment outcomes compared to Australia? Will the minister concede that it is the government's own higher taxes, increased regulation and unstable governance that are the primary factors in explaining these much worse labour market outcomes?

Honourable Senators:

Honourable senators interjecting—

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

Order on my right! I will call Senator Wong when there is silence on both sides.

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

Mr President, we see more of the same of what I was responding to on the first question. We see a coalition senator—generally Senator Sinodinos is a little better than this—suggesting that there is something dreadful with the employment figures in this country. The reality is, as he would know and these are figures from May, the OECD average unemployment is eight per cent, the US is at something over seven per cent, and the euro area is at an all-time high of just over 12 per cent, from memory.

Honourable Senators:

Honourable senators interjecting—

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

Order! Senator Wong, resume your seat. If you wish to debate the issue, the time is after three o'clock when taking note, not now.

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

Unlike a country like Spain, where we see so many young people facing long periods of unemployment with all of the social and economic dislocation and all the long-term social and economic disadvantage that comes with it, what we see here in Australia is an unemployment rate— (Time expired)

Arthur Sinodinos (NSW, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. Minister, I refer you to comments by Peter Harris, the chair of the Productivity Commission, where he warned of the need for a continuous program of economic reform to prevent a hit to income growth. Minister, are Australian jobs at risk of a sharp rise in unemployment if the terms of trade continue to fall faster than the government is forecasting? What risk mitigation strategy does the government have to protect Australian jobs?

Honourable Senators:

Honourable senators interjecting—

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

Order on both sides! When we have silence on both sides we will proceed.

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

The first part of the question was a reference to reform and it would be useful perhaps if Senator Sinodinos could explain to the chamber how his party's increase in the company tax rate to fund a millionaire's paid parental leave scheme is good economic reform. I am not surprised that you look embarrassed, because you know it is embarrassing as a policy. I am very happy to respond because Senator Sinodinos is right in that there are risks to the global outlook and there are always challenges ahead, even for an economy as resilient as ours. That is why the government made the decision we did to put jobs and growth first in the budget, as the Labor Party always should, and we stand in stark contrast to the austerity prescriptions that cut to the bone that those on the other side would implement, should they come into government. They should be up-front with Australians that that means lower growth and higher unemployment.

Stephen Conroy (Victoria, Australian Labor Party, Minister for Broadband, Communications and the Digital Economy) Share this | Link to this | Hansard source

I ask that further questions be placed on notice.