Appropriation (2012/2013) Bill – Second Reading Speech delivered in Parliament 6 June 2012
Mr PALLAS (Tarneit) — It gives me pleasure to rise to speak in regard to the Appropriation (2012/2013) Bill 2012. There come times in political life when you hear many in the elite of political opinion saying that there is no difference between political sides and that we are in fact nothing more than a Tweedledee and Tweedledum reflection of each other. This is not one of those times. This is a time when you couldhttp://www.timpallas.com.au/wp-admin/post.php?post=585&action=edit not pick a more demonstrable difference — a chasm — in terms of opinion and desire.
Ms Asher — Financial responsibility and financial irresponsibility.
Mr PALLAS — We hear from the Minister for Innovation, Services and Small Business at the table that it is about financial responsibility. The problem for the minister of course is that she does not appreciate that the greatest responsibility that any government bears for its community is in regard to its welfare. That means balancing the finances with the effective requirement to build a future for that very community.
We have heard much about sustainability but very little about welfare and the interests of the community at large. The 2012 budget has revealed the failure of this government to think things through.
This is an unctuous, indifferent government, a government that feigns concern for the wellbeing of Victorians, but through its actions, through its lack of planning, through its lack of conviction and its basic beliefs about the way that a government should approach its time in charge of a state, it is effectively doing a great disservice to the people of Victoria.
The government is failing time and again. We have heard speaker after speaker on the other side of this chamber talking about the 11 dark years. They become a glowing light compared to what we have had to endure under this government. Of course time is all relative, and you could not get any more relative a demonstration of the disregard for the people of this state than what we have seen from this government. We hear time and again that the highest priority for anyone in Victoria at the moment is to make sure that we do not see this state haemorrhaging jobs. We heard it from those opposite when they were in opposition.
At the time of the 2009-10 budget we heard from the then shadow Treasurer and now Treasurer that the no. 1 thing the government should do was develop a job strategy to make sure that no more jobs fell out of the Victorian economy. We did that. We actually produced 200 000 jobs in the 2009-10 financial year. We led the nation in job creation — 92 per cent of all full-time jobs created in this country in 2009 were created in Victoria.
We were the jobs capital of the nation.
What we saw replacing that was a government that lacked not only conviction but effort and vision. Last year the government projected that it would see up to 55 000 jobs created in Victoria over the 2011-12 year. What an indictment and what a demonstration of failure we saw from this government. Government members demonstrated such over-bloated egotism about what they could do, and when they had to look at the stark reality of their capacities against their effort, Victorians came up worse for it.
Indeed there are 16 000 fewer jobs in Victoria now than there were at the start of the 2011-12 year, and it is almost a mathematical certainty that we are unlikely to create 71 000 jobs in the next week to reach that so-called target. The government does not stop there; its level of failure in terms of the workforce has been demonstrated time and again.
There are over 49 000 fewer Victorians in full-time work than there were at the start of the last budget year. Unemployment is up 0.6 per cent since the last budget and the participation rate in our economy is down 0.6 per cent. Under this failure to meet its own expectations and its own requirement of what constitutes success, what we see is a government that continues to review, revise and downgrade its expectations of how poorly it will perform, and this year it has revised its target down to 7000 jobs.
Last year the government failed to meet its job creation expectations. It estimated another 50 000 to 55 000 jobs would be created, but of course we now know that some 15 000 more Victorians are unemployed now than when the Baillieu government came to office. The Treasurer’s failure to mention jobs is a funny thing given his commentary in the 2008-09 and 2009-10 budget debates on the performance of the former government, a commentary we would love to see compared to the performance of this government.
We do not hear the word ‘jobs’ often mentioned by this government because it has been an abject failure. It has demonstrated by its own efforts a decided and deliberate effort to strangle the life out of the Victorian economy through its efforts to cast away jobs in the public sector, to talk down the Victorian economy as only it could do from government and to identify a litany of excuses, jurisdictions and other things that are at fault. This is a government that never loses an opportunity to miss an opportunity.
The Treasurer’s failure in his first budget speech to mention the word ‘jobs’ or to indicate that the government was thinking about how to maintain the jobs growth that Victoria had been experiencing up until then has been followed up by a commitment to not grow jobs at all — an outstanding achievement and a demonstration that this government really does not have a clue about what the principal responsibilities of its custodianship of the state are all about. We heard from the Treasurer when he was the shadow Treasurer that jobs were the no.
1 objective in the 2008 budget. In a speech he gave to the Committee for Economic Development of Australia on 28 April 2009 he said:
- When it comes to the economy, the Brumby state Labor government has been sitting on its hands watching as jobs disturbingly disappear from across Victoria on an almost daily basis.
- …
- The government will be held accountable by Victorians on how it handles the difficult financial and economic times ahead and what it does to save and create Victorian jobs.
- Therefore, a significant focus of the 2009-10 budget must be on protecting and growing jobs for Victorians.
- …
- … the state government has a responsibility to encourage and facilitate new investment and support business to maintain and grow employment.
- To reiterate, jobs must be the highest priority.
Business interrupted pursuant to sessional orders.
Sitting continued on motion of Mr McINTOSH (Minister for Corrections).
Mr PALLAS (Tarneit) — To reiterate, back then the Treasurer, who was the shadow Treasurer at the time, argued for what he thought the Brumby government ought to do. He said the bottom line for the
2009-10 budget was that the state government’s performance would be assessed on how it dealt with the growing jobs crisis. If that was a crisis, I wonder what it is we are confronted with at the moment! Given government members’ performance on this front over the last year, this still seems to be a big task, but apparently instead of working harder, government members are just lowering their standards. Instead of saying, ‘We failed to meet our previous target; we are going to do better, and we are going to get there eventually’, they in effect lowered the standard. The standard they should be looking to is the 198 000 jobs created in the two years before this government came into office. How do they think their next two years in office will compare, with an additional 600 jobs cut from the public sector?
Before the election, the Premier promised he would not cut a single job. Instead he has sacked 4200 public servants, and he has cut $3.3 million from employment programs run by the Department of Business and Innovation.
There have been record cuts to employment programs, cuts to TAFE courses and the firing of public servants. The government has advocated the minimum wage not be raised, especially for the most vulnerable Victorians. The government is keeping public servants’ pay below inflation rates, in effect providing a real pay cut. The only plan government members have been able to put into place is to make things harder for Victorian workers.
Despite the Department of Business and Innovation and the obsession of those opposite with talking about the impact of a variety of federal government policies on jobs, there has been not one word — not even one concession — about the impact that the government’s so-called 50 per cent increase in port charges will have on business. Business has been prepared to speak out long and loud about it. The stevedoring industry has called the port licence fee the final nail in the coffin.
We have heard from Murray Goulburn that not only have jobs been lost but it will be forced to pay $600 000 extra each year because of this government’s port licence fee — a fee that in this place the Premier said had the resounding support of industry. What a farce and what a joke that has proven to be!
When we look at this government’s strategies, whether it is the port licence fee or its strategy to provide infrastructure, what we see is that this is a government that has not planned its infrastructure strategies sensibly. As ACIL Tasman recently identified in an article in the Australian Financial Review, this is a government that has failed to sensibly identify its infrastructure investments and its priorities. But ACIL Tasman is not the only one; BIS Shrapnel has said exactly the same thing — that is, increasingly business is forming the view that this is a government that lacks a vision and an agenda for creating investment.
We have seen stunt after stunt from this government. We have seen the Premier attend a geotechnical drill hole for a project that, conservatively, will cost $12 billion, and not a dollar of real project has been delivered. We have heard talk of a prison-led jobs recovery. We have seen the Minister for Energy and Resources talk up the prospect of creating jobs in the export of brown coal in circumstances where demonstration projects have not even started. This is a government that grasps at any straw as it drowns in a sea of indifference towards real action that might have a practical and pragmatic effect upon the wellbeing of Victorians.
This is a government that will never cease to take an opportunity to fail to take an opportunity; what that means is a government that must ultimately put its priorities above the puerile and the immediate. We have seen thought bubbles like super driverless trucks.
We have heard about the Geelong car trade, we have heard about ferries on Port Phillip Bay and yesterday we heard about flying boats. If this were not serious, if this were not the business of government, people would have every right to be outraged.
I want to spend just a moment on my own electorate to look at how the community of Tarneit in the city of Wyndham, the fastest growing in the nation, is being dealt with by this government. What we have seen, if we look at general government expenditure, is that Wyndham, having a population of about 184 000 people, has received something in the vicinity of $7 per head in new capital expenditure. Applying that across the state of Victoria we see that the average is $42 per head in new capital expenditure. If we were to include the broader government sector — that is, going beyond government departments — that figure would rise to $97 per head in Wyndham but $465 per head in the rest of Victoria.
We have seen that writ large. We have seen the Minister for Planning proposing to put $20.15 million into an interchange only on condition that the federal government will match it, despite the fact that the government is likely to reap a reward of about $140 million for selling off land in that same area, putting 2000 houses into my community and spending not one cent on new roads. This is a government whose priorities are puerile and a government that has turned its back on those who need the greatest investment and opportunity.