A million new jobs in five years: Abbott minister says this is not a 'con job'

http://www.theguardian.com/world/2014/jan/02/million-new-jobs-not-con-job

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The Abbott government has shrugged off Labor accusations of an economic “con job”, reaffirming its election promise to create a million jobs over the next five years.

But the government warned its ability to deliver was tied to the passage of its legislation to scrap the carbon and mining taxes and reduce regulations.

The focus on employment growth came as new analysis suggested the government was likely to fall short of the target based on current budget forecasts. The shadow treasurer, Chris Bowen, said the data he released on Thursday showed the Coalition’s jobs promises were a hollow “con job on the Australian people”.

The finance minister, Mathias Cormann, tried to turn attention back to the opposition, accusing Labor of “standing in the way of the creation of a million new jobs over the next five years” by blocking bills to abolish the carbon price package and the minerals resource rent tax.

“We’re confident that we will be able to deliver one million new jobs over the next five years, as long as we are able to deliver on our agenda which involves scrapping the carbon tax, scrapping the mining tax, cutting unnecessary red tape and investing in the roads of the 21st century,” Cormann said in Perth.

“If Labor was genuinely interested in job creation they would get out of the way and they would let the government get on with its agenda to build a stronger economy and create more jobs, instead of forcing us to wait until 1 July 2014 [when the new Senate sits].”

The Coalition’s Real Solutions election booklet said: “We will generate 1m new jobs over the next five years and 2m new jobs within a decade by growing a bigger, more productive and prosperous economy.”

The number of employed people in Australia is expected to increase by about 620,000 over the four years from the 2013-14 financial year, according to Labor-commissioned analysis by the parliamentary library. The figures were based on Australian Bureau of Statistics labour force data and employment growth estimates outlined in the budget update released in December by Cormann and the treasurer, Joe Hockey.

The analysis does not extend to the fifth year, but Bowen said the government may fall about 200,000 short of its one million pledge. The government’s attempts to blame Labor were “pathetic”, he said.

“If they fall more than 200,000 jobs short, that will be 200,000 broken promises and the Australian people will have every right to be angry and disappointed,” Bowen said.

Cormann dismissed the figures, saying the mid-year economic and fiscal outlook he released alongside Hockey last month was “an update of Labor’s last budget” and the state of the economy the Coalition inherited. He said Labor had dishonestly tried to use an analysis of outcomes from Labor’s last budget to “try to sell it as an indicator of future performance of our government”.

Cormann said the government was committed to creating one million new jobs over five years and would use its first budget in May to outline its plans to deliver.

Bowen rejected suggestions his criticism was premature. Bowen said the government had made clear its policy involved further cuts, which was “hardly going to engender the growth and employment that we need”.

“Memo to Mathias Cormann: you're now the finance minister and pathetic excuses and trying to blame the previous government for not meeting a target in five years’ time won't wash with the Australian people,” Bowen said.

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