JOSH FRYDENBERG:
Today is an important day. A solemn day. Remembrance Day. From the fields of Europe to the deserts of the Middle East to the jungles of Asia, 102,000 brave Australian souls have paid the ultimate price. They have given their lives so that we can enjoy ours. It was very heartening earlier this morning to be at Remembrance Day services and see young school students present. Because it was for them that those sacrifices were made. And it will be through them that their memories will live on. Today, we also received the job numbers for the month of October. It covered a reference period from the 26th of September to the 9th of October. The unemployment rate increased to 5.2 per cent confirming what we already know - that lockdowns cost jobs. That lockdowns are detrimental to the labour market. When you drill down into today's numbers, it's very much a tale of two cities. New South Wales, and Victoria. In Victoria, in the month, around 50,000 jobs were lost, and an additional 20,000 people were stood down on zero hours. In New South Wales in the month of October, more than 21,000 new jobs were created and more than 60,000 people who were stood down on zero hours went back to work. It's very important to note that, when this data was taken more than a month ago, there were 13 million Australians in lockdown. Half the country was in lockdown. Since that data was taken more than a month ago, the economy has turned the corner. Business and consumer confidence are both up. Business confidence back to where it was in April. Consumer confidence up now 8 out of the last 9 weeks. Job ads are more than 30 per cent higher than they were at the start of the pandemic and at a 12-year high. $340 billion is now accumulated on household and business balance sheets - money that will be spent as those lockdowns have come to an end and the restrictions have eased. Indeed, consumption in New South Wales and Victoria has been up $150 million a day since those lockdowns have ended. And we've also seen, in the most recent economic forecasts from the Reserve Bank of Australia, that they've upgraded their economic outlook. Where economic growth has gone from being expected to be 4 ¼ per cent next year to 5.5 per cent. And importantly, the Reserve Bank is expecting unemployment to be below 5 per cent by year end, and then to stay in the 4s for some time. Indeed, it will be the first time since the 1970s that we have seen unemployment at a sustained level at that time. There is good reason to be optimistic and confident about the Australian economy. Our two largest states - New South Wales and Victoria - are out of lockdown. Restrictions are easing. Businesses are reopening. People are getting back to work. And the economy has turned the corner.
REPORTER:
Treasurer, there are a lot of people in Victoria here still living on COVID Disaster Payments, which run out next week. Unemployment is down 1 per cent. Underemployment is up to 11.3 per cent. Does this indicate that they'll be finding it tough to get back into the workplace without the Disaster Payments?
JOSH FRYDENBERG:
The good news is that the restrictions have now eased in Victoria as we've hit those vaccination rates of 70 per cent and now 80 per cent plus. And as a result, businesses need those workers back. So we have always expected and prepared for those emergency payments to come to an end. We set that, I think, at the right level - at the 80 per cent vaccination rate. But we also allowed for a 2-week transition period where the payments step down. That is appropriate because the labour force needs to find its right level. When you speak to a lot of businesses today in Melbourne or in Sydney, whether it's hospitality, whether it's construction, mining, in Western Australia and elsewhere, labour force shortages are real. There are jobs. As I said, job ads are up by 30 per cent on where they were since the start of the pandemic. Those jobs are available, and people are taking them now that those restrictions have ended.
REPORTER:
Treasurer, from my colleague in Canberra, Shane Wright - Shane says we had evidence to a Senate committee today that the proposed Glenferrie Railway Station does not go close to being justified. He says about 11,000 people use it every day, 93 per cent of whom walk to the station. The head of Parking Australia told the Senate that this commuter car park will only be used by shoppers on Glenferrie Road. Do you agree? And when will it be built? As it's now more than 2.5 years since it was announced.
JOSH FRYDENBERG:
We’re determined to see it built. And of course, there was a business case that was undertaken, and thousands of cars go along that strip every day. This has been welcomed by local community groups. It has been on VicRoads' most dangerous level crossings, and one that should have been removed by the state government a long time ago. Unfortunately for them, the people of Hawthorn have been ignored. Unfortunately for them, the people of Boroondara have gone ignored by the state government. We had agreed to put significant funds to make that possible, and we're determined to see it built. It is a dangerous one, because it has cars, trains, and trams along the same road. And you also would be aware that they've removed other level crossings in the area, so it only makes sense to remove that one.
REPORTER:
Some questions from Canberra: Would you be prepared moving to emissions to take a higher 2030 emissions reduction target to the next election than present a more ambitious target to the next COP meeting?
JOSH FRYDENBERG:
We've already established what our targets are with respect to 2030. They've been taken to the Australian people – 26 to 28 per cent. The good news is that we're making very strong progress and are on track to meet and beat that target. You see, our emissions are down by more than 20 per cent today. In Canada, it's less than 5 per cent. In New Zealand, it's also less than that. Our emissions have been coming down faster than the United States, faster than Japan, faster than Canada, faster than New Zealand. But we also know from the projections that the emissions could be down by up to 35 per cent in that time period. The key point to understand is it's not a binary choice between a stronger economy and a lower-emissions future. Because in that time, since 2005, that we have reduced our emissions by more than 20 per cent, actually the economy's grown by 45 per cent and we have seen more people in work.
REPORTER:
Is Australia trying to water down the draft COP26 communique?
JOSH FRYDENBERG:
We went to COP26 with a target to reduce our emissions down to net zero by 2050. That was a substantial commitment that we have made. And it's one that we have a plan to meet. And unlike other countries, we've put out details about our plan to reduce emissions, including substantial investments in a whole range of new technologies.
REPORTER:
The US and China have committed to doing more to tackling climate change overnight at COP26, including phasing out coal. Does that leave Australia vulnerable, given China is such a big customer for Australian coal?
JOSH FRYDENBERG:
Well, the first thing is that we already know about some of our big customers like Japan, like Korea and others, who have committed to a net zero target. And we welcome that. With respect to China, the world's largest emitter - their emissions have been going up quite dramatically. So it's important that China makes it tangible to reduce its carbon footprint. We welcome signs of progress with the United States. But of course, a lot more work needs to be done.
REPORTER:
Does it make Australia vulnerable?
JOSH FRYDENBERG:
Again, Australia will continue to ensure that we have strong export markets for our commodities, and we've seen a strong demand for those commodities. But we're also investing in new technologies like hydrogen, looking at low-emission-production processes for steel, for aluminium, recognising that that will be not only in the interests of the environment, but also in Australia's economic interests longer-term. Thank you.