PETER STEFANOVIC:
Well joining me live is the Treasurer, Josh Frydenberg, in Canberra. Treasurer I do want to ask you about Brittany Higgins and developments there in Canberra this week. But first of all to our top story this morning which is the ongoing stoush with Facebook. Have there been any developments overnight?
JOSH FRYDENBERG:
Look there were no movements overnight, but I have been in touch with Mark Zuckerberg and we have agreed to talk later this morning, so we will see if we can find a pathway forward. But the Australian Government’s commitment remains very firm, very strong to legislating and implementing this Mandatory Media Bargaining Code. Pete, this is a very important issue. It is a micro-economic reform. It’s about levelling the playing field. It’s about seeing public interest journalism protected and it’s about seeing journalists rewarded for generating original content. And the rest of the world’s eyes are on us because others have failed where we’re now trying to succeed. So let’s see how it plays out today. But we did see earlier this week is the positive result between Google, the other media giant, the other digital giant, and Channel Seven, Channel Nine and News Limited. That will see many, many millions of dollars flow through from that company to these news media businesses.
PETER STEFANOVIC:
So just to clarify there, so have you had a call with Mark Zuckerberg overnight to say that you’re going to have another call later on this morning? Or was that yesterdays call?
JOSH FRYDENBERG:
We spoke yesterday morning. We’ve messaged late yesterday, and we’ve agreed to talk this morning.
PETER STEFANOVIC:
Ok. Does it sound positive?
JOSH FRYDENBERG:
Well again it’s too early to say. They have some issues with the Code as it is. And they had been progressing deals with the media businesses ahead of their decision yesterday to withdraw Australian news media content, as well as close down those other Government sites. That was very regrettable, very unfortunate, very disappointing. I think it was heavy handed, and I think it damaged Facebook’s reputation here in Australia.
PETER STEFANOVIC:
Are you seeking more support from international leaders?
JOSH FRYDENBERG:
Well its coming. Whether we seek it or not. The rest of the world’s eyes are looking upon Australia because they know that this is a very important issue. I mean we are in the middle Pete, of a digital revolution. The digital economy is changing the way we shop, the way we work and of course the way we communicate. And we were very conscious of that change and that’s why the now Prime Minister, then Treasurer, back in 2017 commissioned the ACCC to undertake a very comprehensive review of this space, and what they found was that there was an unequal bargaining position between the media businesses and the digital giants. And this is a $9 billion annual online advertising market. Now $81 of every $100 spent in that online advertising market goes to Google and Facebook. And so they recommended to us, the ACCC, that we put in place a mandatory code. We’ve taken that advice. We’ve been in deep and extensive consultation with the parties, the stakeholders, for around two-plus years, and now we’re at the point where we’ve passed the legislation through the House of Representative and look to pass it through the Senate next week.
PETER STEFANOVIC:
Ok just on to the issue of Brittany Higgins at the moment, Treasurer. There have been text messages that have been conferred in the Australian this morning. It shows the Prime Minister’s office did know about an alleged assault of Brittany Higgins within days of it actually happening. The Prime Minister still denies that saying they were told just last week. So either he’s lying or he’s running an incompetent Government. Which one is it?
JOSH FRYDENBERG:
Well it’s neither, and the Prime Minister gave a statement as you say, earlier this week where he laid out that timeline and I’m not aware of any different positions to that. The Prime Minister also laid out a series of processes to improve the culture in Parliament House, and that’s really important. Including a review by the Deputy Secretary, of his Department. Work that is now underway by Celia Hammond, a college of ours. Who has been the Vice Chancellor of The University of Notre Dame and is familiar with related issues in an institutional setting. As well as now an independent review across party-political lines into the culture in Parliament House. And we are after all, in Parliament House and the rest of the country looks to our workplace and we do need to improve that culture and improve that culture fast.
PETER STEFANOVIC:
And you know the discrepancies though aren’t washing though with a lot of people. And you know Treasurer it’s never the incident it’s always the cover up that brings people down.
JOSH FRYDENBERG:
Well I will leave that commentary to you. What I can say is that our focus now, is very much on improving the culture in Parliament House. The Prime Minister has laid out a process to do so.
PETER STEFANOVIC:
Ok just finally Treasurer, JobSeeker and JobKeeper; are you going to be making an announcement next week on that and will it be a combined package all in one?
JOSH FRYDENBERG:
Well I’m not going to pre-empt any decisions the Government may or may not take in respect to JobSeeker or economic supports across the rest of the economy. We have said that with the elevated rate of JobSeeker coming to an end in March, we will make an announcement about that future rate, before that date. And that still remains the case. With respect to JobKeeper, we’ve seen a dramatic reduction in the number of Australians who are relying on that payment in the December quarter. Over two million fewer Australians workers and 520,000 fewer Australian businesses relying on that JobKeeper payment in the December quarter compared to the period prior. And just yesterday Pete, we saw some very positive economic data with the employment rate falling from 6.6 to 6.4 percent. 29,000 full time jobs being created. The underemployment rate at its lowest level since 2014. And this is another proof point, that the economic recovery here in Australia is firmly underway.
PETER STEFANOVIC:
Ok Treasurer Josh Frydenberg as always, appreciate your time this morning. Thanks for joining us.
JOSH FRYDENBERG:
My pleasure.