NEIL BREEN:
The Treasurer, Josh Frydenberg is on the line. Good morning, Treasurer.
JOSH FRYDENBERG:
Good morning, Neil. Nice to be with you and your listeners.
NEIL BREEN:
4.2 per cent it kind of seems hardly believable, even though they have to be believed.
JOSH FRYDENBERG:
Well, there are some businesses and obviously families that are doing it tough right now. And we know that the health system is under pressure. We know that the supply chains are under pressure with high levels of absenteeism due to Omicron. But the underlying fundamentals of the Australian economy are very sound, Neil. What we've seen is strong investment numbers, both in terms of new housing construction, but also in terms of business investment. And the unemployment rate at 4.2 per cent is the lowest in more than 13 years and since the Coalition came to Government, we've seen more than a million women get into work. It's quite a remarkable set of numbers. It's not to overlook or dismiss the challenges that we face now, but even with Omicron, you've heard from the major banks who see the real time data that the economic shock of Omicron is not as severe as either feared or reported. And so there are some promising signs that the Australian economy will continue to strengthen.
NEIL BREEN:
Well, I saw some numbers this week, I think it was an ANZ Roy Morgan report that showed that spending in Australia last week was the worst week of spending since 1992, there were other banks disputing that.
JOSH FRYDENBERG:
There are differing views from the various banks. So the Commonwealth Bank has said that they've seen spending go down by 3 per cent in the early weeks of January. Westpac have said that consumer sentiment still is in positive territory. And you've heard from National Australia Bank that their spending data is above pre‑pandemic levels. So that is real time data coming from the banks, which gives us a good insight into the economy. But certainly, with Omicron, there are challenges. And as we know from the supermarket chains, what we know from the trucking companies, we know from the abattoirs, the impact on their workforces are real and that's why we've made a series of changes, Neil. Whether it's around the isolation requirements, whether it's around visas and working requirements for people who are coming to this country, or whether it's rolling out the vaccine to young people and the boosters to older people, it's all important in terms of responding to Omicron.
NEIL BREEN:
A lot of people would probably look at that 4.2 per cent number fairly simply and say, oh it's because we don't have a lot of overseas workers and Aussies have taken the jobs, is that the case?
JOSH FRYDENBERG:
Well, certainly the closed borders is having an impact on the labour market and because people can't travel as frequently or as easily overseas, they're spending some of that money here in Australia. There are a number of factors that are at play here. The good news is that our trade apprenticeship numbers now are around 220,000, so that's the strongest since those records began back in 1963. We've ticked over a million people who are working in manufacturing today. Remember, one in eight jobs in manufacturing were lost under Labor. And the actual underemployment rate, as well as the unemployment rate, as well as the youth unemployment rate, are all lower today than when Labor was last in office. And we know that Jim Chalmers, a Queenslander, the Shadow Treasurer, has said the single biggest test for the Morrison Government in managing the pandemic will be what happens to unemployment, and unemployment has come down to 4.2 per cent when it was 5.7 per cent under Labor. So it's a very clear contrast between the Coalition, who is creating more jobs even in the face of this recession, and the Labor Party which saw jobs lost.
NEIL BREEN:
Unfortunately, many voters have short memories and the number one thing in their memory bank at the moment is the noise and the lack of availability around RATs. Has this been a major failure of the Federal Government and will it hurt you at the ballot box?
JOSH FRYDENBERG:
Well, there are two issues with respect to rapid antigen tests. The first is supply and the second is access. Now, with supply, more than 200 million, Neil, are actually on order and we've seen 7 million arrive in Victoria in the last two weeks and we've seen more coming to Queensland and New South Wales and other states across the country. We ourselves have already distributed more than 6 million RAT tests to the aged care sector, which is our responsibility. And we're providing 10 million RAT tests to the states for those state clinics. On the issue of access, it is the view of the National Cabinet, of which all the states and the territories are represented, as well as the Federal Government, that RAT tests are not recommended by the health professionals as being a universal screening process across the whole economy. They are to be used in situations where someone is symptomatic or someone is a close contact, and if someone is listening to your programme this morning, they can turn up at a state clinic, get a RAT test, get a PCR test at no cost to themselves. And we as the Federal Government, will pick up half the cost with the state government. So we are providing it to people who need it in aged care and disability settings where there are vulnerable cohorts, as well as to people who are symptomatic, as well as providing free RAT tests to concessional cardholders, more than 6 million, including pensioners and others on income support. But as for the broader application of those RAT tests, Neil, across the economy individual employers will make that decision.
NEIL BREEN:
Steven Miles, our deputy Premier, said this yesterday.
[PLAYS EXCERPT] STEVEN MILES:
It's bad enough that they won't help us. It is worse that they are making our job even harder by taking the tests away from us that we have secured.
NEIL BREEN:
The ‘they’ is you. He's accused you of theft and has accused you and your Government of not helping Queensland basically at all.
JOSH FRYDENBERG:
Have you ever heard such bolox? I mean, seriously where does this guy get off? He's out there trying to just throw haymakers the whole time. The problem is he's hitting himself. I mean, the Queensland Government has received, or Queenslanders, have received from the Commonwealth more than $30 billion of economic support through this programme. We're picking up the cost of the vaccines and fortunately in Queensland double‑dose vaccination rates are approaching 90 per cent. And with respect to RAT tests, the states are ordering, the Commonwealth are ordering. We're not taking any off the states. These are just completely false claims. So let's focus on the facts. And the facts tell a very clear story that the Morrison Government every step of the way has been there to support Queenslanders in their hour of need.
NEIL BREEN:
Treasurer Josh Frydenberg, thanks for your time.
JOSH FRYDENBERG:
Always a pleasure, Neil. I hope you and your listeners are well.