Legislative Council: Tuesday, August 05, 2014

Contents

Employment Figures

The Hon. J.S. LEE (14:41): I seek leave to make a brief explanation before asking the Minister for Employment, Higher Education and Skills a question about employment.

Leave granted.

The Hon. J.S. LEE: On Monday 4 August 2014, ANZ job ads data revealed that South Australia has recorded the worst performance of all states and territories in Australia. In the month of July, South Australia experienced a drop of 18.4 per cent in the number of weekly newspaper job ads in seasonally adjusted terms. In the last 12 months to July, the number of weekly newspaper job ads fell by a staggering 57.6 per cent. In both trend and seasonally adjusted figures, South Australia recorded the worst performance for the month of July 2014 and the year to July 2014 of all states and territories in the nation.

In June, South Australia's 7.4 per cent unemployment rate was the highest in Australia. Another set of data by the National Centre for Vocational Education Research statistics demonstrated further bad news, as it shows that apprentice and trainee commencements were at their lowest level in 11 years, falling from 25,600 in 2012 to 15,720 in 2013. My questions are:

1. Has the minister reviewed recent job ads data and statistics? If so, what measures will the government put in place to address the job crisis in South Australia?

2. Can the minister demonstrate how many of the people who received funded training positions were successful in finding full-time jobs?

3. Can the minister explain why the government has delivered the worst job opportunities in Australia after 12 years of Labor government?

The Hon. G.E. GAGO (Minister for Employment, Higher Education and Skills, Minister for Science and Information Economy, Minister for the Status of Women, Minister for Business Services and Consumers) (14:43): Indeed, the ANZ job advert series for July 2014 was released on 4 August and, in trend terms, newspaper job adverts in South Australia fell by 11.3 per cent in July, to be 38.3 per cent lower. Western Australia was, in fact, the only state to record a rise in trend job adverts over the month.

With the exception of New South Wales and Western Australia, all states recorded a fall in trend newspaper job adverts over the year. Nationally, trend newspaper job advertisements fell by 1 per cent in July and the trend newspaper and internet job adverts rose by 0.1 per cent in July. As I said, the job adverts data released shows that, with the exception of New South Wales and WA, all states are recording a fall in trend of job adverts. ABS jobs figures have shown consistent jobs growth in 2014, more than 1,000 more jobs added each month, including 5,600 full-time jobs. So they are the jobs figures.

Although obviously the GFC adversely affected our state, we believe in the resilience of the South Australian economy, and I think we have already seen some improvements on the horizon. Just last week we learned of hundreds of new jobs that will be created by the construction of the Hillside mine, not to mention the service industries that will also grow around the site for workers and families. Tokyo-based Mitsubishi Corporation has also recently announced that it will establish a diesel import terminal at Port Bonython—a $110 million investment in South Australia that will certainly add to our jobs growth.

In 2014-15, the state budget includes more than $177 million worth of investment in skills for training and jobs growth, as well as $10 billion towards productive infrastructure, such as roads and rail, and these will boost our economy as well. It is estimated that they will create up to 4,700 jobs a year.

The budget investment includes $60.1 million over five years for Our Jobs Plan, $63 million over three years for skills training, $44 million of initiatives for the resources and energy sector and $10 million for a regional jobs accelerator fund. We obviously very much support business growth and investment through things like payroll tax exemptions, a review of our WorkCover act, with an estimated $180 million in savings to businesses, and providing more help to businesses to win government work through initiatives such as Tender Ready. But I note that the opposition, as usual, comes into this place grasping at every bit of bad news they possibly can. They wallow in it.

Minister Hamilton-Smith announced today that South Australia’s export performance has again topped the nation. South Australia’s export performance topped the nation, growing 15 per cent in the 12 months to June, to $12.362 billion. Minister Koutsantonis also announced today that, a decade since its inception, the Plan for Accelerating Exploration (PACE) initiative has become one of the state government’s greatest ever returns to government. Indeed, it has yielded an increase to the value of $2.4 billion in South Australia’s mineral production for an overall expenditure of less than $50 million—$2.4 billion.

The assessments show that PACE has had a dramatic impact on South Australia’s attractiveness as a global resource investment destination, resulting in the state’s number one rating in Australia for the international Fraser Institute Policy Potential Index. So, again, you only have to open the papers today to see some record performances in this state, record export—

Members interjecting:

The Hon. G.E. GAGO: —providing real leadership in terms of our exploration. And what does the opposition do, Mr President? They grasp at every bit of bad news they possibly can and enjoy wallowing in it. They enjoy undermining the consumer confidence and business confidence, that's what they enjoy doing. They enjoy putting down this state and bagging this state and, as I said, undermining business and consumer confidence.

I would like to know whether the Hon. Jing Lee has written to her federal Liberal counterpart and requested that the federal Liberal government reverse its decision to rip out $154 million from our VET training system—$154 million they are going to rip out of our vocational education and training system. I would like to see what the state Liberals have done in approaching their federal counterparts, their federal mates, about the slash and burn in relation to the federal budget. It is not just to VET. We have seen a huge impact on our health and other education.

Members interjecting:

The PRESIDENT: The honourable minister, take a seat.

The Hon. T.A. FRANKS: Supplementary.

The PRESIDENT: The honourable minister has not finished. I have asked her to sit down. I am having great difficulty in hearing the minister's answer, so if you could try to keep it down so that the minister can actually finish her answer. The honourable minister.

The Hon. G.E. GAGO: Yes; I will just finish my point by saying that it is not just the VET sector that they have ripped millions and millions of dollars from. They have gutted our health system and our education system, as well as our VET system. So, I would like to see what the state Liberal Party is doing about approaching the federal Liberal government in relation to their appalling cuts.

The PRESIDENT: The Hon. Ms Franks.