QUESTIONS WITHOUT NOTICE - Manufacturing and Tax Cuts

QUESTIONS WITHOUT NOTICE - Manufacturing and Tax Cuts Main Image

27 February 2024

Image attribution: Ford Australia, Broadmeadows plant, 1979 — FORD AUSTRALIA

Senator PRATT (Western Australia—Deputy Government Whip in the Senate) (14:56):

My question is to the Minister representing the Minister for Industry and Science, Minister Watt. The Albanese government went to the election promising to rebuild Australia's manufacturing capability and deliver a future made in Australia. We know this vision for our nation cannot be achieved without a safe and well-paid workforce. What will be the impact of Labor's tax cuts on Australian workers in the manufacturing industry?


Senator WATT (Queensland—Minister for Agriculture, Fisheries and Forestry and Minister for Emergency
Management) (14:57):

Thank you, Senator Pratt. I know you have had a very long history of supporting the manufacturing industry and manufacturing workers in this country.

Unlike those opposite, Senator Pratt—and everyone on this side of the chamber—believes in Australian manufacturing. We don't go around shutting down car industries and shutting down the manufacturing industry. We actually support manufacturing.


Opposition senators interjecting—


Senator WATT: And they don't like being reminded of them closing down the car industry.


Opposition senators interjecting—


The PRESIDENT: Order! Order! Minister Gallagher?
Senator Gallagher: On a point of order: I was just going to say, the interjections from those opposite are making it difficult to hear Senator Watt.


The PRESIDENT: They are indeed, and I would again remind senators that they are to listen in respectful
silence. Minister Watt.

Senator McKenzie interjecting—


The PRESIDENT: Senator McKenzie, I've just called the chamber to order. I've asked for respectful silence. I don't want the interjections to continue. Minister Watt.


Senator WATT: Jeez, aren't they touchy about their history of closing down the car industry! We always know the things you don't want to talk about, because they wake you from your slumber and you start deciding to become a viable human entity again! Well, unlike all of you opposite, Senator Pratt believes in a future made in Australia, and so does everyone on this side of the chamber. And, unlike those opposite, who drove car manufacturing into the ground—


Senator Henderson interjecting—
Senator Rennick interjecting—


The PRESIDENT: Please resume your seat. Senator Henderson and Senator Rennick, you are out of order, seriously, both of you. Yelling and pointing across the chamber, Senator Henderson, is disrespectful. And yelling out at the top of your voice, Senator Rennick, is also disrespectful. I ask people to listen.


Honourable senators interjecting—

The PRESIDENT: I ask people to listen in respectful silence. Minister Watt, please continue.


Senator WATT: As I was saying, unlike those opposite, who drove car manufacturing into the ground, we are
taking action to help Australian business to grow, and we're making sure that manufacturing workers prosper at the same time. That's why we're taking such action on cost-of-living pressures and we're improving job security, and that is why we are giving Australian manufacturing workers a tax cut.


What does it mean in practice? Well, Senator Pratt, you'd be aware—I'm sure you've had a Bundaberg ginger
beer over the years. Let's look at that. It's a business that I know Senator Chisholm, as well, is very familiar with, in my state of Queensland.


An entry level worker on the Bundaberg production line or in the brewhouse or in the warehouse—the people
who make the magic happen—makes around $50,000 a year. With Labor's tax cuts, a worker at that plant will
be $955 a year better off. Those opposite have been happy to accuse the government of stifling ambition, not
believing in aspiration and discouraging workers from improving their lot in life. If that worker at Bundaberg
gains the experience to get an even higher paid job at $65,000 a year, they will be over $1,300 a year better off as a result of Labor's tax cuts.


The PRESIDENT: Senator Pratt, a first supplementary?


Senator PRATT (Western Australia—Deputy Government Whip in the Senate) (15:00):

From metal workers to food processors, we know that manufacturing workers play a critical role in the day-to-day lives of all Australians. How will Labor's tax cuts ensure that all manufacturing workers are able to keep more of what they earn, and why is this so important?


Senator WATT (Queensland—Minister for Agriculture, Fisheries and Forestry and Minister for Emergency
Management) (15:00):

Thank you again, Senator Pratt. As we've indicated repeatedly, Labor stands for manufacturing workers and all workers to earn more and keep more of what they earn. I'm very pleased to inform Senator Pratt that it isn't just food and beverage manufacturing workers who will benefit from Labor's tax cuts; it is all manufacturing workers in my state of Queensland, in Senator Pratt's state of Western Australia and everywhere else around Australia.


To give you another example, workers at Capral Aluminium in Bremer near Ipswich in Queensland who work
at the biggest aluminium extrusion plant in Australia making aluminium products for use as windows, doors, ute trays and much more will also benefit from Labor's tax cuts. A full-time entry level production worker at the Capral plant currently makes around $52,000 a year. They will enjoy more than $1,000 from Labor's tax cuts.

With a pay rise through gaining extra expertise and earning up to $73,000, they will get more than $1,500 a year from Labor's tax cuts. Our tax cuts are good for workers in manufacturing. (Time expired)


The PRESIDENT: Senator Pratt, second supplementary?


Senator PRATT (Western Australia—Deputy Government Whip in the Senate) (15:01):

When Labor's tax cut policy was announced, without even seeing the details, those opposite promised to fight this legislation through the House of Representatives and the Senate, saying, 'We're not prepared to give up on this.' Minister, why is it so important that manufacturing workers benefit from Labor's tax cuts?


Senator WATT (Queensland—Minister for Agriculture, Fisheries and Forestry and Minister for Emergency
Management) (15:02):

Again, manufacturing workers had to suffer too long under a coalition government— in fact, 10 years too long—seeing industry wound down, seeing their wages suppressed and seeing their jobs become insecure. That is changing under the Labor Party. Manufacturing workers are finally getting the respect they deserve, and now they will be better off thanks to Labor's tax cuts. But that isn't all that we've been doing in this space since coming to government.


Across the manufacturing industry, workers are earning more since Labor came to government. The average
full-time earnings for manufacturing workers since Labor came to office are up by $145 a week. There are also more manufacturing workers since Labor came to power—more than 85,000 additional secure, well-paid jobs in manufacturing, many of them in outer suburban and regional communities. Thanks to Labor's tax cuts, a worker earning the average full-time manufacturing wage will be nearly $1,900 better off.

Under Labor you'll earn more and keep more of what you earn.

(Time expired)