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House of Assembly - Fifty-Fourth Parliament, Second Session (54-2)
2020-03-04 Daily Xml
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Grievance Debate

State Economy

The Hon. S.C. MULLIGHAN (Lee) (15:03): Mr Speaker, 2019 was the first full calendar year that this Marshall Liberal Government has been in office. Today, of course, the verdict is in. What has happened to the state's economy throughout 2019? Well, it is unambiguous: it is beyond doubt now that the South Australian economy has screeched to a halt under this Marshall Liberal government. Their policies, which they have brought down amongst much fanfare in their two state budgets, have now caused not only the state's economy to grind to a halt but also the growth in jobs in this economy.

There is no dancing around the figures. As much as the Premier likes to claim that between 1 January 2019 and 31 December 2019 the state was experiencing the impacts of coronavirus and bushfires, that is not the case. Unfortunately, these economic figures relate to a period of time before South Australia started experiencing the impacts of these two issues. Of course, they do not like hearing it opposite, but the state's economy in state final demand terms contracted over calendar year 2019.

The annual employment growth on trend terms grew, but barely so—by 0.03 per cent. Nearly 10,000 full-time jobs were lost from the economy and, troublingly, 18,000 fewer men now have full-time employment than they did at the beginning of 2019. Why has this happened? Well, do not believe the bogus spin from the Premier that it is bushfires or coronavirus. This has occurred throughout the course of calendar year 2019 because the South Australian community has started experiencing the worst impacts of this government's two budgets—the cuts, the closures and privatisations of the first budget.

Particularly, for example, if you live in the north-eastern suburbs, in the member for King's electorate, or if you live in the member for Newland's electorate, you would be suffering the cuts to the Service SA centre, you would be suffering the closure of the TAFE up there and you would be suffering the axing of the park-and-ride facilities being delivered, which had not only been committed to but funded by the former Labor government. But it has got worse because not only have we had one state budget full of cuts, closures and privatisations but we had a second state budget that imposed a half a billion dollar increase in state taxes, fees and charges on South Australians.

These included $50 million a year in additional revenue from motor vehicle owners, higher registration costs and higher transaction costs, including a new higher charge on South Australian households through a massive increase in the Marshall Liberal government's bin tax, a 40 per cent increase in the solid waste levy that all councils have had no choice but to pass on to ratepayers. If you are a hospital worker or visiting someone in hospital or you have to take yourself to hospital, perhaps for day treatment or as an outpatient, of course hospital car parking fees have gone up.

So, with all those impacts and all those uncertainties, it is no wonder that those contributors to that economic measure of state final demand have started contracting. Engineering construction work is down by 15 per cent throughout 2019 and confidence has fallen through the floor. Is it any wonder when they look for leadership from this government and they see the bungled handling of the land tax reform that completely paralysed the South Australian property market and housing construction industry? The South Australian construction industry, I should say, has gone from having over 70,000 people working in it to having barely over 60,000 people working in it.

Those are the impacts of this government's failed economic policies. When you ask the Premier, 'Where to from here? What's the big plan?' well, there is no plan. Other than hopefully getting a couple more public servants to work in the Space Agency, he is doing nothing about rescuing the 700 jobs we stand to lose to Western Australia for the Collins class submarines sustainment works, and there is no big plan in the pipeline to stimulate jobs growth. Our economy is going backwards and this Liberal government has nothing to say or do about it.

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