Australian (ASX) Stock Market Forum

The Abbott Government

Budget surplus a distant dream as Coalition presides over spending surge
Stephen Koukoulas


In opposition, the Coalition parties had a spokesman for debt reduction. Curiously, it is a position they dropped the moment they won the election and the reasons for doing that now seem clear.

Government debt is rising at a breakneck speed and when the mid year economic and fiscal outlook (Myefo) is released later this month, it will confirm wider budget deficits and rising government debt.

Before the 2013 election Andrew Robb was the opposition spokesman for debt reduction and time and time again, he bemoaned the level of government debt under Labor.

At various times he compared Australia’s debt level to that of Greece and Ireland and in 2012 he made the promise that “the top priority for a Coalition government would be slashing debt … the government should be paying down debt”.

Having now been in government for almost 15 months, the Coalition is floundering hopelessly on this commitment.

The level of gross commonwealth government debt has risen a thumping $75bn to a record $348bn. The level of net government debt has increased by $48bn to a record $226.4bn, according to the latest data up to September 2014. The figure will be higher still when Myefo is released and the forecasts will be for even higher debt.

In terms of ‘paying down debt’, this government has failed.


Unnecessary payments of $8.8bn have been made to the Reserve Bank of Australia. The paid parental leave scheme, roads and infrastructure and defence and border protection are all areas that have seen substantial spending increases.

And the government’s decision to give up scarce revenue with the repeal of the carbon price and mining tax has made the budget position all the more problematic.

The government has also had a hand in trash-talking the economy. By creating a mood of fear about a budget “crisis” or “emergency”, the government has left business investment sliding and consumer sentiment mired in pessimism.

When consumers are pessimistic, they tend not to spend, they building savings and the rate of growth is undoubtedly weaker than it would otherwise be. Weaker economic growth hurts government tax receipts.

This is the first government I can recall that continually talks down the economy in such a savage and persistent way.


Indeed, the way the government is spending and has given up compromising with the Senate on other policy changes, there seems little chance of a budget surplus for many years to come and the level of government debt looks like going up and up and up.

http://www.theguardian.com/australi...eam-as-coalition-presides-over-spending-surge
 
Nuclear power keeps the corporates in charge. No wonder it's conservatives' preferred solution to climate change

“I have no theological objection” to nuclear power, Tony Abbott said on 1 December, responding to Julie Bishop’s relaunch of the right’s preferred “solution” to global warming this week.

Abbott’s choice of words is fascinating. On the face of it he’s suggesting that opposing nuclear power is a faith-based, rather than rational, view. But it is the right’s consistent promotion of a technology that has been shown repeatedly to be too slow, too costly and too risky (see, for instance, here and here) that is underpinned by several right wing articles of faith. It’s worth unpacking this credo, because it reveals what’s really going on when nuclear power is raised.

http://www.theguardian.com/commenti...rvatives-preferred-solution-to-climate-change
 
Tony Abbott and Joe Hockey fight accusations of budget shambles

Prime minister denies budget measures in chaos, as treasurer calls on Australians to spend and not ‘let Santa down’

The Abbott government is on a pre-Christmas economic confidence offensive even as it prepares to unveil ballooning deficits in its budget update and fails to get $22bn in stalled savings through the Senate.

Both Tony Abbott and the treasurer, Joe Hockey, spent Tuesday rejecting suggestions the budget and the Coalition’s parliamentary strategy were a shambles. They insisted the economy was performing well, even though the government has struggled to pass the spending cuts it has previously insisted were necessary to overcome a budget crisis and a “debt and deficit disaster”.

http://www.theguardian.com/australi...ony-abbott-and-joe-hockey-push-festive-spirit
 
University deregulation: Senate rejects Education Minister Christopher Pyne's push for higher education reform

The Senate has rejected the Federal Government's push to deregulate universities, which would have allowed them to set their own fees.

Despite a last-ditch plea from the Government and the promise of several last-minute amendments to woo the crossbenches, the Senate voted down the bill 33 to 31.

The fate of the bill was sealed when the Government failed to gain the support of the Palmer United Party (PUP) and independent senators Jacqui Lambie and Nick Xenophon.

In the minutes leading up to the vote, PUP senator Glenn Lazarus made his feelings clear.
Audio: Senate rejects Government's uni fees deregulation package (PM)

"No amount of texting, chocolates and red roses from Christopher Pyne is going to change my mind, or the mind of my fellow colleague, Senator Dio Wang," he said.


http://www.abc.net.au/news/2014-12-...ments-push-to-deregulate-universities/5935116
 
'Stop harassing me': Glenn Lazarus declares higher education reforms dead, tells Christopher Pyne to back off

Palmer United Party senator Glenn Lazarus has told Education Minister Christopher Pyne to "stop harassing" him over the Government's contentious overhaul to the university sector, saying the changes are "bad to the core".

His statement means the changes are destined to fail in the Senate, where the Government has been trying to secure the six votes it needs from the crossbench.

The Government wants to cut funding for courses by 20 per cent but allow universities to set their own fees.

http://www.abc.net.au/news/2014-12-02/glenn-lazarus-christopher-pyne-back-off-uni-reforms/5933840
 
Almost 90% of Australians support renewable energy target, says poll

WWF poll finds overwhelming support for RET, particularly in Victoria, South Australia and Tasmania, as senators consider deal


http://www.theguardian.com/environm...ans-support-renewable-energy-target-says-poll

Ah yes quotes from the good old commie Guardian again........Don't believe what you read in that commie paper, they are the greatest distortion of the truth and will always suck in naive people like you.
 
Ah yes quotes from the good old commie Guardian again........Don't believe what you read in that commie paper, they are the greatest distortion of the truth and will always suck in naive people like you.

I'll make you a deal noco. You don't believe what you read/see/hear on the Guardian or ABC and I won't believe what I read/see/hear on any Murdoch outlet.

OK ?
 
Don't get too stressed up noco, Labor has now committed to no spending cuts, therefore it will mean increased taxes.
But no doubt, Abbott won't be able to pass them, as the senate and Labor will oppose it.
Ballooning debt and deficit will lead to a down grade of our credit rating.

Recession on the way.lol

Been through a few of them.

Paying the bills, when you don't have a job.:xyxthumbs
It's called the school of hard knocks, and it's about to re open.IMO
 
Julia (Is Islam Inherently evil ? said:
The ABC usually chooses to not even report what is happening in our nearest neighbour, New Zealand.
A rare item on this evening's "PM" gives an interesting analysis about why NZ has been able to so successfully introduce the very reforms our government is trying to get up here.
http://www.abc.net.au/pm/content/2014/s4140716.htm

It seems that, similarly to the way John Howard took the GST to an election, John Key did the same with his welfare and other economic reforms, got the electorate behind him and the country has gone from strength to strength as a result.

It's a pity that report did not mention what the welfare and economic reforms in NZ actually were.

I think a good reform would be to exempt small business from paying penalty rates and overtime to under 25's, thus enabling them to create more jobs and get young people off the dole. Great benefit to the government budget too, less dole payments and more tax receipts.

I wonder why such a simple idea hasn't been floated as it seems a win-win for everyone.
 
I'll make you a deal noco. You don't believe what you read/see/hear on the Guardian or ABC and I won't believe what I read/see/hear on any Murdoch outlet.

OK ?

That is your prerogative....But I know which one I would prefer to rely upon for the truth.
 
YES :xyxthumbs

Australia down the toilet, yes, Labor successful. YES

You are funny.lol

The Green/Labor left wing socialists were economic vandals in Government and economic vandals in opposition.

They are in complete denial in respect to the current circumstances and are doing their best to make the Abbott Government look the villains.......Labor have no concern for the national interest only their own interest in political point scoring.

The Labor Member for Ballarat has been caught out by the auditor general for rorting the system for money destined for regional Australia and diverted to marginal Labor seats in the metropolitan area....She has been well and truly caught with her hand in the cookie jar before the last election.
 
It's a pity that report did not mention what the welfare and economic reforms in NZ actually were.

I think a good reform would be to exempt small business from paying penalty rates and overtime to under 25's, thus enabling them to create more jobs and get young people off the dole. Great benefit to the government budget too, less dole payments and more tax receipts.

I wonder why such a simple idea hasn't been floated as it seems a win-win for everyone.

That is just a nasty suggestion, jeez if Abbott had suggested that, you would have been screaming.

Whats come over you? there would be no need to introduce those sorts of measures, unless we really decended into a huge fiscal situation like Spain, Greece etc.
 
That is just a nasty suggestion, jeez if Abbott had suggested that, you would have been screaming.

No I wouldn't

Whats come over you? there would be no need to introduce those sorts of measures, unless we really decended into a huge fiscal situation like Spain, Greece etc.

If you have to resort to sarcasm instead of debating a suggestion on it's merits I wonder if you really have any idea of how things can be improved or you just want to make debating points against someone you perceive to belong to "the other side" ?
 
If you have to resort to sarcasm instead of debating a suggestion on it's merits I wonder if you really have any idea of how things can be improved or you just want to make debating points against someone you perceive to belong to "the other side" ?

When you put forward a sensible suggestion I'll debate it, as I have done with Syd on several occassions.
Untill you do, I will treat it accordingly.
 
When you put forward a sensible suggestion I'll debate it, as I have done with Syd on several occassions.
Untill you do, I will treat it accordingly.

What's not sensible about relieving small business of the burden of penalty rates for under 25's ?
 
The churches have really got their claws into the Abbott government

Non-religious chaplains may not be funded under new chaplaincy program in 2015

Over 500 of Australia's 2,300 school chaplains may not be funded under the Federal Government's new chaplaincy program that begins next year, because they are not religious.

Under the Abbott Government's new policy guidelines a chaplain must be recognised by "religious qualifications or endorsements by a recognised or accepted religious institution".

Those currently working as secular, student welfare officers may soon be out of a job and replaced by people of faith.

Martin Grigg, CEO of Onpsych, an Australian company which trains people to work as psychologists and social workers in schools, said he hoped to find a way around the new exclusions by approaching religious institutions to endorse secular staff.

"They'll need to be well qualified, they'll need to have very good experience and have the support of the school," Mr Grigg said.

"We will need to see references and CV's but given all that, we hope that we can find a religious institution that will back us and back those workers and give the schools the choices I think they need."

The previous Labor Government gave schools the choice of religious or secular staff to work as school chaplains, and Mr Grigg said some religious schools chose secular staff to work as chaplains.

"Many of the schools which are established around their religion are using the chaplaincy to work with psychologists and social workers because they believed that the religious side of their education program was very well catered for and they didn't need any additional support," he said.

"But they had identified a need for psychologists, social workers or welfare officers."

Mr Grigg said he would be approaching a range of religious institutions over the next two months to try and win their support.
Secular staff say the new chaplaincy program is not merit based

Colleen Sweeney is the student welfare officer at Asquith Boy's High School in Sydney.

She is not part of any religious organisation but is highly qualified and has worked with street kids, young offenders, sexual abuse victims and spent more than ten years working with the Department of Community Services (DOCS).

Ms Sweeney is employed under the school chaplaincy program but will not be returning to the school next year.

"I think it's highly unfair," Ms Sweeney said.

"The kids are ultimately the ones who are going to suffer because you build those relationships.

I would certainly be very disappointed that it's got to the point where, rather than be selected for a job on merit, you are selected on the basis of religion.
Colleen Sweeney, student welfare officer at Asquith Boy's High School

"They trust you, they tell you things they've never told anyone, things they are ashamed of, things they worry about and then you are gone, so they are the ones who are going to suffer."

Dr Kim Pinnock is a member of the school Parents and Citizens Council which hired Colleen Sweeney, and said the school did not want to lose her.

"We had some very good people apply for the job, so it was actually difficult to choose someone," Dr Pinnock said.

"Colleen was very well qualified and so she was chosen deliberately on her merits to support the boys at the school.

"She's certainly done that very well so we really support her and want to keep her."

Ms Sweeney also questioned whether excluding non-religious staff would undermine merit-based appointments.

"I would certainly be very disappointed that it's got to the point where, rather than be selected for a job on merit, you are selected on the basis of religion," she said.
Chaplains must be multi-faith but not secular

Under the new school chaplains program, chaplains can be Christian, Muslim or from another faith but cannot be non-religious.

Chaplains are not allowed to proselytise. The school chaplaincy program will now be administered by states and territories after two successful High Court challenges questioned the legality of the Commonwealth funding the program.

It is yet to be seen whether secular staff currently working as school chaplains can be endorsed by religious organisations and fulfil the new criteria for the role.

When asked if a secular worker could be endorsed by a religious organisation to continue working as a school chaplain, a spokesman for Senator Scott Ryan, the Parliamentary Secretary to the Minister for Education referred the ABC back to the new definition of the school chaplain.

According to the definition, a chaplain is an individual who:

Is recognised by the school community and the appropriate governing authority for the school as having the skills and experience to deliver school chaplaincy to the school community,
Is recognised through formal ordination, commissioning, recognised religious qualifications or endorsement by a recognised or accepted religious institution,
Meets the NSCP's minimum qualification requirements.

http://www.abc.net.au/news/2014-12-...may-not-be-funded-under-new-programme/5935450
 
What's not sensible about relieving small business of the burden of penalty rates for under 25's ?

How the hell do you reconcile that, with under 25's? why not under 30's, or better still if you employ people over 60.
It would be probably more sensible to have an agreed flat rate, as per most industries.

The penalty rate system, was designed around a religious week where the sabath was deemed a day of rest.

I became a projects supervisor in the 1980's, the manager had a standing order, the workers weren't allowed to work on a Sunday.

Well it didn't sit well with me, that we were asking guys to do a 5/1 swing and making them sit in a donga on Sundays, in some godforesaken dump.

Well I put my job on the line, to get them 4/1 and work Sundays, they were over the moon.

Life isn't about saying under 25's should take a haircut, it is about what is affordable, what is achievable.
 
How the hell do you reconcile that, with under 25's? why not under 30's, or better still if you employ people over 60.
It would be probably more sensible to have an agreed flat rate, as per most industries.

The penalty rate system, was designed around a religious week where the sabath was deemed a day of rest.

I became a projects supervisor in the 1980's, the manager had a standing order, the workers weren't allowed to work on a Sunday.

Well it didn't sit well with me, that we were asking guys to do a 5/1 swing and making them sit in a donga on Sundays, in some godforesaken dump.

Well I put my job on the line, to get them 4/1 and work Sundays, they were over the moon.

Life isn't about saying under 25's should take a haircut, it is about what is affordable, what is achievable.

A pretty nonsensical reply imo.

People under 25 are looking for casual or part time jobs to help pay their way through uni/tafe, small businesses offer those types of jobs so why not bring the 2 together ?

Penalty rates were designed to compensate for lost family time, most under 25's don't have kids so they aren't losing much. As I said, win/win.
 
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