TED O’BRIEN MP
DEPUTY LEADER OF THE OPPOSITION
SHADOW TREASURER
MEMBER FOR FAIRFAX
THE HON TIM WILSON MP
SHADOW MINISTER FOR SMALL BUSINESS
SHADOW MINISTER FOR INDUSTRIAL RELATIONS AND EMPLOYMENT
MEMBER FOR GOLDSTEIN
JOINT MEDIA RELEASE
The Australian economy is being crushed under the weight of Labor’s spending spree.
Australian Bureau of Statistics figures released on Thursday show the unemployment rate has reached its highest level since the pandemic.
The figures show an additional 34,000 Australians were thrown into the dole queue in September alone, taking the number of additional unemployed Australians since Labor came to office to a staggering 130,000.
This is the inevitable consequence of a government that can’t live within its means.
Under Labor, government spending is growing at more than four times the rate of the economy and has reached its highest level outside of recession in 40 years.
Shadow Treasurer Ted O’Brien said Labor’s spending spree was forcing the RBA to keep rates higher for longer, crushing the private sector, and ultimately hurting everyday Australian households and businesses.
“When Labor spends, it’s everyday Australians who pay the price,” Mr O’Brien said.
“When government spending gets out of control, inflation remains sticky, leaving the RBA with no choice but to keep rates higher for longer”, he said. “Jim Chalmers has his foot on the accelerator while Michelle Bullock has her foot on the brake.”
Shadow Minister for Employment and Industrial Relations, Tim Wilson, said the figures show more Australians are doing it tough while the Government clings to an unsustainable strategy of public spending.
“These unemployment numbers come despite analysis showing eight in ten jobs are being created by public spending, and nine in ten in Victoria,” Mr Wilson said.
“The only solution this Government has to rising unemployment is to borrow more and spend more leading to higher inflation and higher interest rates for every Australian.”
The unemployment result was well above the RBA forecast and came just a day after RBA Assistant Governor Sarah Hunter warned that inflation was now expected to also come in above the RBA forecast.
Having both unemployment and inflation above their RBA forecasts is highly unusual and leaves the RBA in a difficult position. And they are now sounding the alarm.
In Washington overnight, Governor Michele Bullock warned government spending is “growing very quickly”, with “substantial” deficits projected into the foreseeable future.
The Governor warned “if we can’t make the budget stronger during this period… then what happens in the next downturn?”
The Governor’s message was clear – Labor’s spending spree is putting Australia at risk.
Albanese and Chalmers behave as though their spending spree has no cost. But it’s everyday Australians who are paying the price. At the checkout. In their electricity bills. In their mortgage statements. And in their struggle to hold onto a job.
The time for talkfests and hollow promises is long since over. It’s time for action. It’s time for Labor to stop its spending spree and to start growing the economic pie.
Otherwise, Australians will continue to pay the price.