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Victoria records no coronavirus cases as federal parliament returns – politics live Victoria records no coronavirus cases as federal parliament returns – politics live
(32 minutes later)
Lockdown in Melbourne extended as authorities monitor outbreak in city’s north, and federal parliament resumes with the head of Treasury to face questions at Senate estimates. Follow all the latest updatesLockdown in Melbourne extended as authorities monitor outbreak in city’s north, and federal parliament resumes with the head of Treasury to face questions at Senate estimates. Follow all the latest updates
NSW records one new locally acquired case.
It’s the first covid case of the day - but it has been linked to a known cluster and have been in isolation.
From NSW Health:
There were 7,447 tests reported to 8pm last night, compared with 12,465 in the previous 24 hours.
While it is not unusual for weekend testing numbers to be lower, if we are to ensure NSW continues to detect cases as soon as possible and prevent onward transmission, it is vital that members of the community continue to come forward for testing.
NSW Health continues to appeal to the community to be tested right away if anyone has even the mildest of symptoms like a runny nose or scratchy throat, cough, fever or other symptoms that could signal COVID-19.
Of the four new cases to 8pm last night:
Three were acquired overseas and are now in hotel quarantine.
One was locally acquired and linked to a known case
The one new locally acquired case is a household contact of a previously reported case linked to the Oran Park community cluster. They have been in isolation. There are now 23 cases linked to this cluster.
A text message from ‘Mineralogy’ - Clive Palmer’s company - has been sent around, asking people to ‘Stop Labor’s 20% death tax’.
Labor has not proposed a death tax. In fact the only commentary around a death tax has been refuting that one exists in response to this sort of campaigning.
It was one of the issues identified in the last federal campaign - a rumour took hold that Labor was in support of a death tax, was pushed on social media and taken up by opponents who vowed to fight the non-existent tax policy. And here we are again.
Neither Labor, or the LNP have proposed a death tax in the Queensland election.
Labor moves on to the controversy about the Leppington triangle. Steve Kennedy was the secretary of the Department of Infrastructure at the time the controversial land purchase took place. (This is the Sydney airport issue, officials paid $30m for land valued at $3m).
Kennedy says he was “surprised and concerned” by the findings in the ANAO report including the criticisms of the department’s processes.
The ANAO said officials conducting the land purchase kept senior decision makers in the department and the ministers office out of the loop.
Kennedy says it is hard to provide information to the ANAO that hasn’t been provided to you.
So there was no way for you to have known the information in the financial statements was inaccurate, Katy Gallagher asks?
Kennedy says he is waiting for the independent inquiries before forming a view.
Kennedy says there are concerning comments about the quality of the department’s systems. “They concern me,” Kennedy says.
“I was the secretary”.
Kennedy says officials worked hard on those transactions and “it’s now reflecting poorly on all, of us ... the ANAO has done its job and it’s now up to us to respond”.
Gallagher asks did he know the Leppington land purchase was underway?
“I was aware in broad terms. I wasn’t across it in detail,” he says.
Kennedy then asks himself a question (bit rare in a Senate estimates hearing, witnesses grilling themselves): why did I sign off on financial statements that proved to be inaccurate?
Gallagher is glad the secretary gets to the nub of the issue.
Kennedy says he signed the statements because he was at that point heading to Treasury and he didn’t want to leave his successor with unsigned financial statements.
“I didn’t appreciate the significance of this matter,” Kennedy said. Kennedy said he knew there were some issues and he would have been advised to that effect by the department’s chief operating officer.
“I did sign off but that will be one of my other reflections – whether I should have chosen to wait until that exercise had been complete, but I felt I was starting a new job in Treasury and I had to be responsible for the year that I had just seen and a huge amount of activity goes on in that department and it was my responsibility to sign it off, so I chose to sign it off”.
Labor has moved on in Treasury estimates to recent developments at the corporate regulator, Asic.
The chairman, James Shipton, stood aside on Friday while the Treasury investigates payments of more than $118,000 made to KPMG for tax advice he received.
Amy has let you know that the deputy chair, Daniel Crennan, has resigned this morning.
Did the treasurer, Josh Frydenberg, seek advice from Treasury when the Australian National Audit Office flagged this issue? Not at that point, is the answer from a Treasury official, Meghan Quinn. Steven Kennedy says he spoke to Frydenberg’s chief of staff on 28 September about the issue flagged by the ANAO.
Some correspondence has been tabled at the committee this morning about the interactions between the players.
The Labor senator Jenny McAllister is trying to unpick who did what when. “There was a series of conversations ... flowing from the September 28 discussion,” Quinn says.
Quinn says the initial advice to the treasurer was to wait for the final advice from the ANAO. Was there thought given to an independent inquiry, McAllister asks?
Quinn says they were waiting for a final arbitration from the ANAO. After that, further advice was provided on 22nd October.
Treasury said an “independent review” would be advisable in the circumstances.
She says Frydenberg learned Shipton would step aside on 23 October, just before the Asic chair announced his intentions publicly.
McAllister notes that Crennan said last week he wouldn’t resign. What has changed between Friday and Monday, she asks?
Mathias Cormann refers McAllister to Crennan’s statement. Was Crennan asked to resign?
“Not to my knowledge,” Cormann says.
After a couple of minutes, Cormann says he can confirm Shipton wasn’t asked to resign.
In other news, Marise Payne says the Australian academic Kylie Moore-Gilbert has been visited recently by the Australian ambassador.
Dr Moore-Gilbert has been moved out of an Iranian prison.
The matter has been reported to the AFP – it is unclear what jurisdiction they have to investigate it, though.
Marise Payne says she has “never in her life” heard a story like the one female passengers on the Qatar airlines flight went through.
Marise Payne is speaking on Jen Bechwati’s story:
Marise Payne is about to hold a press conference.Marise Payne is about to hold a press conference.
The foreign minister is notoriously media shy, so this is a rare event.The foreign minister is notoriously media shy, so this is a rare event.
Labor’s Murray Watt is asking attorney general’s department officials about this press release from Matt Canavan and George Christensen confirming the government will provide a clear and certain statutory definition and universal and strengthened access to casual conversion. Labor’s Murray Watt is asking Attorney General’s Department officials about this press release from Matt Canavan and George Christensen confirming that the government will provide a clear and certain statutory definition and universal and strengthened access to casual conversion.
In the release, the attorney-general Christian Porter is quoted as saying: In the release, the attorney general, Christian Porter, is quoted as saying:
The officials confirm that they have provided a draft bill to Porter for industrial relations changes, intend to conduct consultation, adding that the timeframe to bring legislation this year is “tight” but doable.The officials confirm that they have provided a draft bill to Porter for industrial relations changes, intend to conduct consultation, adding that the timeframe to bring legislation this year is “tight” but doable.
Watt expresses scepticism that a definition of casual - which has plagued the common law for decades - will be so easily achieved. Watt expresses scepticism that a definition of casual – which has plagued the common law for decades – will be so easily achieved.
It’s curious that before this spell of questioning, Malcolm Roberts asked if during the pandemic is “the right time to be making sweeping changes to IR” - suggesting scepticism also from One Nation. It’s curious that before this spell of questioning, Malcolm Roberts asked if during the pandemic is “the right time to be making sweeping changes to IR” – suggesting scepticism also from One Nation.
Mike Bowers was in the chamber as Helen Haines introduced her bill, on behalf of the crossbench. Mike Bowers was in the chamber as Helen Haines introduced her bill on behalf of the crossbench.
And here is what the chamber looked like as she did it And here is what the chamber looked like as she did it.
Back in Treasury estimates the Green senator Nick McKim is asking about the gender dimensions of the downturn and the budget. Steven Kennedy says the recession has hit women harder than men.Back in Treasury estimates the Green senator Nick McKim is asking about the gender dimensions of the downturn and the budget. Steven Kennedy says the recession has hit women harder than men.
The impacts have been “uneven in gender terms, but that’s changing,” Kennedy says. The impacts have been “uneven in gender terms, but that’s changing”, Kennedy says.
“The gender impact appears to us to have lessened quite a bit”. “The gender impact appears to us to have lessened quite a bit.”
The Treasury secretary says the department remains concerned about the impact of the recession on young people because young people have lost work and employment opportunities but these haven’t rebounded as yet. The Treasury secretary says the department remains concerned about the impact of the recession on young people because they have lost work and employment opportunities but these haven’t rebounded as yet.
Attorney General’s Department officials have confirmed that a definition of casual employee and preventing backpay of conditions for misclassified workers are likely to feature in the industrial relations reform package.Attorney General’s Department officials have confirmed that a definition of casual employee and preventing backpay of conditions for misclassified workers are likely to feature in the industrial relations reform package.
Under questioning from the One Nation senator Malcolm Roberts, the deputy secretary, Martin Hehir, said we “need to get a definition of casual employees right” and ensure the “current uncertainty is dealt with effectively”.Under questioning from the One Nation senator Malcolm Roberts, the deputy secretary, Martin Hehir, said we “need to get a definition of casual employees right” and ensure the “current uncertainty is dealt with effectively”.
He said roundtables were confidential but both Scott Morrison and Christian Porter had said they were “looking to find ways to capture workers who are genuinely casual” and ensure that for “those who aren’t casuals to allow them a process to convert or identify them upfront”.He said roundtables were confidential but both Scott Morrison and Christian Porter had said they were “looking to find ways to capture workers who are genuinely casual” and ensure that for “those who aren’t casuals to allow them a process to convert or identify them upfront”.
Roberts asked about backpay of entitlements if a worker was misclassified as a casual and then was later found to be permanent.Roberts asked about backpay of entitlements if a worker was misclassified as a casual and then was later found to be permanent.
Hehir noted the federal court case of Rosatto – who was found to be entitled to backpay – but said the case was under appeal to the high court.Hehir noted the federal court case of Rosatto – who was found to be entitled to backpay – but said the case was under appeal to the high court.
The government has “sought to appeal to ensure that where someone received loading intended to compensate for the [national employment standards], intended to compensate for leave and redundancy [entitlements], that they shouldn’t be able to be claimed”.The government has “sought to appeal to ensure that where someone received loading intended to compensate for the [national employment standards], intended to compensate for leave and redundancy [entitlements], that they shouldn’t be able to be claimed”.
The Labor senator Katy Gallagher is asking about the business incentives in the budget (which have a revenue forgone cost north of $29bn) – including the full expensing measure.The Labor senator Katy Gallagher is asking about the business incentives in the budget (which have a revenue forgone cost north of $29bn) – including the full expensing measure.
Steven Kennedy says these investment allowances, which have deployed in Australia since the GFC, work. In revenue terms, investment allowances net out over time. There’s a big initial cost to the budget, but then revenue returns. Steven Kennedy says these investment allowances, which have deployed in Australia since the GFC, work. In revenue terms, investment allowances net out over time. There’s a big initial cost to the budget but then revenue returns.
The finance minister Mathias Cormann says: “You recoup all of it eventually”. The finance minister Mathias Cormann, says: “You recoup all of it eventually.”
Kennedy says this recession hasn’t disrupted the flow of credit. This isn’t a banking crisis. This is an economic shock caused by the government shutting down the economy to safeguard public health.Kennedy says this recession hasn’t disrupted the flow of credit. This isn’t a banking crisis. This is an economic shock caused by the government shutting down the economy to safeguard public health.
Kennedy says it’s hard to predict how the economy will recover because this is a new kind of recession to manage, but he says he suspects there is a “demand impulse” out there (I think he means pent up demand. People waiting to spend and invest and hire once the restrictions end). He says it’s hard to predict how the economy will recover because this is a new kind of recession to manage, but he says he suspects there is a “demand impulse” out there (I think he means pent-up demand – people waiting to spend and invest and hire once the restrictions end).
Kennedy says it is possible because of that suppressed impulse that the economy could roar back more rapidly than normal – but it all depends on the health side. If the pandemic isn’t contained then nothing roars back.Kennedy says it is possible because of that suppressed impulse that the economy could roar back more rapidly than normal – but it all depends on the health side. If the pandemic isn’t contained then nothing roars back.
Gallagher asks what new information the government is waiting on before it decides whether to reduce the jobseeker payment again after Christmas.Gallagher asks what new information the government is waiting on before it decides whether to reduce the jobseeker payment again after Christmas.
Kennedy’s answer is quite interesting. He says the government needs to consider the adequacy of the payment (which has been an ongoing debate about Newstart). He characterises this as “the structural position”.Kennedy’s answer is quite interesting. He says the government needs to consider the adequacy of the payment (which has been an ongoing debate about Newstart). He characterises this as “the structural position”.
He says the Treasury needs more information about the labour market before providing its final advice to the government.He says the Treasury needs more information about the labour market before providing its final advice to the government.
Kennedy notes it has been a useful contribution to supporting demand in the economy to have people on low incomes given money to spend. Kennedy notes that it has been a useful contribution to supporting demand in the economy to have people on low incomes given money to spend.
(Sounds like the Treasury secretary doesn’t think it would be a brilliant idea for the Newstart payment to return to where it was pre-crisis). (Sounds as though the Treasury secretary doesn’t think it would be a brilliant idea for the Newstart payment to return to where it was pre-crisis.)
Helen Haines has put in her bill
Queensland has recorded no new cases of Covid.
I mean, he’s not wrong?
Ireland, which had similar daily case numbers to Victoria when it went into its second-wave hard lockdown, has now seen case numbers of over 1000 a day.
For those watching the Groom LNP pre-selection, the split vote meant a victor came up the middle - knocking off both favourites - David van Gend (for the conservatives) and Rebecca Vonhoff (for the common sense brigade)
Mining engineer Garth Hamilton won pre-selection in the government’s safest seat (against Labor) in the nation, meaning he just won himself a job for life (if he so wishes/doesn’t screw it up)
The Actuaries Institute has looked at Australia’s mortality data, and found that deaths are down, across the board - as lockdowns and social distancing saved us from more than just Covid.
From the Institute’s statement:
And from the paper:
Overall the various non pharmaceutical measures to reduce the spread of COVID-19 in the period up to the end of June across Australia (lockdowns, social distancing measures, wearing of facemasks, etc) have almost certainly reduced mortality from other causes across Australia, with deaths during June being 400 lower than the bottom of the likely range.
The Labor senator Katy Gallagher asks about jobs figures attached to the jobmaker program. Were the various policies agreed and then the job estimates came after that?
Steven Kennedy says there’s significant uncertainty around the economic shock, and programs are designed to “flex with the shock”.
He says the job estimates attached to programs like jobmaker are an “iteration”.
It’s hard to predict how programs will work in an economic shock like the one we are in, he says. “I won’t pretend it’s a precise science,” the Treasury secretary says.
“The government is going to have to remain very alive as to how it will continue to respond. The government is going to have to be nimble. It’s an iterative process.”
He says when it comes to estimating how many jobs will be created as a result of various programs, “we’ve not built it up on a mechanical bottom-up basis”.
He says the Treasury is working towards “a full employment objective” but he says there’s a lot of dislocation in the labour market.
The hope is unemployment peaks at 8% (which he says would be a comparatively good result in the circumstances). He says the objective is to drive the unemployment rate as low as possible consistent with maintaining persistent low inflation.
Gallagher asks whether Treasury’s advice was reflected in the October budget measures.
Kennedy says yes, it was. “I can’t tell you if [the policy design] is optimal, but it does represent our advice ... and it reflects our collective experience going through the GFC.”
Asked whether the government should have spent more, whether there should be more stimulus, Kennedy emphasises again there is room to move if more fiscal support proves necessary but the current spend is “proportionate” to the circumstances.
“There is no set and forget on fiscal policy”. (It’s interesting how much Kennedy is emphasising this point this morning: we might need to spend more.)
Gallagher asks whether it is wise to withdraw jobseeker and jobkeeper given all the unknowns? Kennedy says it is “still my judgment that jobkeeper should taper in March”.
The finance minister, Mathias Cormann, says the economy has to “adjust to the environment we are in”.
He says some businesses will not adjust to the new environment. “If we didn’t allow that adjustment to take place the economic recovery would be slower and weaker.”
Josh Frydenberg has responded to Asic deputy chair Daniel Crennan’s resignation:
Here is a little more from Steven Kennedy’s opening statement to budget estimates, as reported by Murph – it’s on how he sees the budget moving forward:
If ever there was a time to look up Dan Murphy’s opening hours, it is now.
Morning all. Steven Kennedy, the secretary of Treasury, is appearing at Senate estimates this morning.
“The pandemic is far from over,” Kennedy says in his opening address, noting that continued vigilance will be required to ensure Australia meets the challenges of the crisis.
The pandemic has led to a profound global economic shock, he says. Kennedy notes the second wave of infections in many countries.
Of the current recession Kennedy notes it is a “truly novel economic shock”. GDP in Australia contracted by record percentage in the last quarter.
Effective unemployment peaked at 15%. Kennedy says the economy is, however, rebounding.
He says there’s a two-speed economy (not his words, but that’s what he’s describing) – with some states experiencing near normal conditions and Victoria still in lockdown.
Kennedy notes that higher income households in the main experienced no significant change in their fortunes in the opening months of the pandemic, whereas lower income households experienced a 20% increase in income (presumably due to the income support through jobkeeper and jobseeker).
He says the government has delivered $257bn in direct support through the crisis. Kennedy says the Treasury forecasts unemployment to have a six in front of it by 2022, but he says the lessons of previous recessions is that labour markets can take longer to recover.
He says the pandemic is reshaping the global economy. Some businesses will close and never reopen. Some jobs will be lost permanently. Many transactions will move online.
Kennedy acknowledges debt is high in Australia now but he says the environment of low borrowing costs means there is more headroom for the government to fund another round of fiscal stimulus should that be required – Kennedy characterises this as “additional targeted and temporary fiscal support measures to be adopted, should they be required”.