SUBJECTS: Peter Costello, Tony Abbott, paid parental leave, superannuation, health reform, independent tax review.
ASHLEIGH GILLON:
Joining me now in the Canberra studio, the Minister for Human and Financial Services, Superannuation and Corporate Law, Chris Bowen. Hello.
CHRIS BOWEN:
Afternoon, Ashleigh.
GILLON:
You and your colleagues have been quick to seize on Mr Costello's comments today, but he also had something to say about your health reforms, saying that he thinks they'll just create a new layer of bureaucracy. Do you agree with that? Do you agree with his comments on the paid parental leave scheme?
BOWEN:
Well, you'd expect Peter Costello to attack Labor policy; it's what he's done very effectively over the last 12 years. But what he's done today has nailed a Liberal policy. He's nailed a Liberal policy as being economically irresponsible, increasing corporate tax when the rest of the world is reducing corporate tax, making Australia less competitive, making it harder for companies to create jobs and putting more upward pressure on prices.
Now, we've known for some time that Peter Costello thought that Tony Abbott wasn't up to economic management. And when Tony Abbott was asked about this a few months ago, he said, 'Well, judge me on my policies'. Well, Peter Costello has judged him on his policies, and it's a dog of a policy. And Peter Costello has judged it accordingly, as civil, leading, serious economic commentators have, as bad policy.
And what the underlying message is, is not so much about policy as the erratic policymaking of Tony Abbott, and it underlines what a risk he would be to the Australian economy.
GILLON:
You're the Superannuation Minister. Did you lobby your Government to try to include super in Labor's paid parental leave scheme?
BOWEN:
Our policy is well balanced. There will be some people who think it should go further and some people who think it doesn't go far enough, but it's well balanced. It's based on the Productivity Commission report. We've taken that, we've considered it, we've further consulted, we've made it fit the Budget because we need to economically responsible.
GILLON:
Would you consider an amendment, though, to that scheme to include super for parents taking this sort of leave?
BOWEN:
Well look, obviously as we try to get things through the Senate we talk to all parties and we –
GILLON:
Is that an option, though, a serious option?
BOWEN:
Well, we're going to take to the Senate our policy and we're going to argue vigorously for it. There's trading in the Senate on all sorts of things to get legislation passed. That's the case with this policy and other policies.
But we believe this policy, our policy, strikes the right balance. It does provide paid parental leave for the first time in Australia on a nationwide legislated basis and it does so in a responsible way.
GILLON:
But it doesn't do anything to fix what is quite a super equity problem.
BOWEN:
There's a big super equity problem in Australia, but it's not just about parental leave. There's all sorts of reasons why women don't do as well out of the superannuation system as men. Yes, that does need to be on the agenda but this is a well balanced, properly thought out policy.
GILLON:
Well, Mr Costello also suggested that the Government might try and take more GST from the states in the future, like it wants to do with the health reforms, saying that, you know, some GST money could go towards school boards and some could go toward police boards. Is that something the Government is happy to rule out?
BOWEN:
We've made it clear that health is the case where the Australian people want the problem fixed. And the Australian people recognise that the current funding model is not appropriate for health. Now, states need an income flow from the GST to deliver services which they provide under the Constitution.
We have put forward the biggest health reform in generations because it is so important to the future of the nation – so important to families, to seniors – and so important for the sustainability of Australian governments, including state governments. So it is a special case which has required this very substantial reform package.
GILLON:
You're not having much luck, though, selling it to the states so far. The Victorian Premier – well, just one of his problems with this is that he wants to see the Henry Tax Review. The Government wouldn't really release the Henry Tax Review on the same day as the Budget, would it?
BOWEN:
Well, we've indicated that we'll release the Henry Tax Review in plenty of time, in a way which allows for plenty of consultation.
GILLON:
Well, you've said by the Budget.
BOWEN:
Yeah, and we've also said early this year. So it's very important that when we release the independent tax review that we do so with a response which lets the Australian people know our thinking on many of the matters in there, and I think the Australian people will understand that.
GILLON:
But you'd just be trying to bury it, wouldn't you? Well, that would be the perception if it came out on Budget day.
BOWEN:
Well, at the end of the day we've given a commitment that we will release it in a way and at a time which enables the Australian people to have a good look at it, spend time consulting on it, and give an indicative response from the Government on it. And that takes some time to work through.
GILLON:
Chris Bowen, thanks for your time.
BOWEN:
Great pleasure, Ashleigh.