Doorstop - Australian Submarines Corporation - 11/03/2016

11 March 2016

SENATOR PENNY WONG, LEADER OF THE OPPOSITION IN THE SENATE: Thanks very much for coming. Its always good to be here at ASC, but its not good when we have a Government that keeps betraying South Australian jobs. So Im here today with my Labor colleagues, also with Steve Georganas, the candidate for Hindmarsh, with Nick and Senator Anne McEwen, but most importantly with workers and unionists representing the people who work here.
Malcolm Turnbulls been in South Australia lately, hes been in South Australia this week and hes been telling us how much he cares about South Australian jobs. And hes announced with great fanfare a Centre for Defence Industry Capability. Well Malcolm Turnbulls plan for South Australia is 36 jobs for South Australia, 3000 jobs for Spain. Turnbulls plan 36 jobs for South Australia, 3000 jobs for Spain. Its very clear what his priorities are.
Now, lets understand the supply ships which have been sent offshore, when the Government tells you they had to be built overseas dont believe them, because its just not true. And we know its not true because not only the advice we got in government but we know from the Senate Committee that shipbuilders here have said these ships could have been built here. These ships could have been built here and we could have made sure Australian jobs could have been supported.
But this isnt the first betrayal from the Liberal Government. South Australians remember David Johnston coming down here and telling these workers behind me and telling South Australians everywhere we would have 12 submarines built in South Australia. Well, were still waiting. And what everyone should remember is Malcolm Turnbulls White Paper does not deliver that promise. It does not deliver that promise because it leaves open a completely offshore build for the submarines.
And then of course weve had Malcolm Turnbull tell us that the offshore patrol vessels would start here in Adelaide. Well Malcolm Turnbulls White Paper does not deliver on that promise, does not deliver on that promise. South Australians have experienced what the workers behind me have experienced, is betrayal after betrayal when it comes to South Australian jobs.
So what Id say to Mr Turnbull stand up for South Australian jobs and deliver your promises. 36 jobs for South Australia, 3000 jobs for Spain is not a plan for jobs here in our State. So Ill throw now to Nick Champion.
NICK CHAMPION, SHADOW PARLIAMENTARY SECRETARY FOR MANUFACTURING: I have here the Spanish newspaper report which has a picture of one of our Navy supply ships under the Sydney Harbour Bridge. And what this headline says is its a historic day for Cadiz in Spain. 3000 Australian jobs, that should have been at this shipyard with these workers standing behind us, have been exported to Europe, to Spain. And the Spanish Mayor is bragging, bragging about the historic day for the Port of Cadiz.
This is a disgraceful betrayal of the workers behind me, a disgraceful betrayal. And it is a disgraceful betrayal of our national interest and our national sovereignty and it cannot be allowed to stand. This Government must come clean with the Australian people about what theyve done with these supply ships, not just the two that theyve tendered for now, but the third one thats coming up in the mid-2020s. Its time for this Government, the Turnbull/Abbott Government or the Abbott/Turnbull Government to come clean with the Australian people. And today youre going to hear from union officials, youre going to hear from unionists, youre going to hear from workers, who are all angry about this terrible decision.
Joe Szakacs, secretary unions sa: Thanks everybody for being down here today. The message from the workers here at ASC is very clear. Theyre just sick and tired of political games around their jobs. Malcolm Turnbull told us last week that theres never been a more exciting time to be Australia, well I think theres never been a more exciting time to be a Spaniard worker.
Its now the time to bring these jobs home to South Australia. Its not too late and our message is very clear to Malcolm Turnbull and the Liberals. Bring these jobs home, bring these jobs home to South Australian working people. These hard working men and women behind me today, theyre the most highly skilled, highly specialised workers amongst our economy and Malcolm Turnbull wants to send their expertise offshore. These men and women, they shop here, they pay their rent and mortgages here in Adelaide, their families go to school both here along the Peninsula and right across our State, they pay local taxes. Dont you think theyre worth $1 billion of investment? Dont you think South Australia, dont you think that our local economy is worth that $1 billion, Malcolm Turnbull?
Our message is that were not going to stop this fight. Were committed to taking this fight all the way through to the election, because there is nothing more important to our community, there is nothing more important to the men and women behind me today than our local jobs. Were willing to fight for that, were committed to fighting for that and Im very pleased that were joined here today by political representatives, the likes of Senator Wong, Senator McEwen, Nick Champion and Steve Georganas, who are absolutely committed to that fight as well. Thank you.
ANDREW DANIELS: Hi, my names Andrew Daniels. I work here at ASC. The decision to send those two supply ships is pretty disgusting. Three years ago I started as a delegate here, I started campaigning for future shipbuilding in Australia. Since then weve lost Forgacs, 900 shipbuilders. Their jobs are gone, that shipyards gone. Weve got BAE in Williamstown, that shipyards just about closed. And ASC here, well weve got 42 job losses coming up on April 13 here with the submarines, and another 66 jobs next door at the south shipyard. The futures not looking good here.
We cant just keep sending jobs overseas. 1300 jobs in shipbuilding in the last two years have disappeared. This Governments only going to be known for one thing when they finally do get kicked out, for the job losses in manufacturing in Australia. They dared the car companies to leave, they left. They allow cheap steel to come into Australia, Whyallas suffering from that. And now they send ships overseas and we suffer for that. Theyve got to take a stand, theyre voted in by Australians to support Australians. Its about time they take a stand for Australians. Thanks.
JOURNALIST: These ships that are being built in Spain, what would it have meant to ASC if they had been built here instead?
DANIELS: Well, it means work for at least four years, five years, theres $2 billion there. The lads next door, they wouldnt be getting laid off.
JOURNALIST: So over in Spain theres 3000 people whove got a job now. How does it make workers here feel that the 3000 jobs arent them, or people in Adelaides northern suburbs?
DANIELS: Have a look at their faces. Look at their faces. Look at these young lads here, theyve got a future in shipbuilding if we can get ships. If we dont get ships these young lads here, they havent got a future. Theyll be on the scrap heap like the other 1300 shipbuilders who have already gone down the road.
JOURNALIST: Defence Minister Marise Payne has said that we dont have the capacity here to build the ships. Is that untrue, because of the size of the ships?
DANIELS: We do have the capacity. It needs a $50 million injection into the ship lifting stall to allow it to bring it up to capacity, to lift that ship. When they talk about the ship, you talk about it being a certain size and weight, but when its dry, nothing in it, its lighter. So we need to upgrade that to a 25,000 tonne, you must be able to pick that ship up. We can still build modules here. We can actually make the modules here and ship them, if thats the case, and then ship them to Spain. Similar to what theyve done with the helicopter landing ships, they actually made the hull and then shipped it across and BAE finished it off. We could actually do the outfitting of the ships when they come back, theres work there for Australians, theres work there for Victorians, South Australians, New South Welshmen.
Weve got to get these ships, weve got to get something. They cant just keep on giving all this work away to overseas.
JOURNALIST: (inaudible) frigates being built here though and the language is positive around the submarines. Does it get to a point where potentially ASC is being greedy in wanting all the projects?
DANIELS: I cant speak for ASC. I can only speak for the workers here, thats who Im elected for. Youll have to talk to management if you want to talk about whether theyre greedy or not.
JOURNALIST: Just say, if the Federal Government invested $50 million on a better ship lift thats bigger and has more capacity-
DANIELS: -Increase the capacity, yes.
JOURNALIST: Then there was full capacity for this $2 billion project.
DANIELS: Thats what we were told two years ago, yes.
JOURNALIST: And it hasnt happened.
DANIELS: No.
JOURNALIST: Andrew, can you give us a sense, from a workforce perspective, this continued uncertainty around the future of this yard, what sort of impact is that having on yourself and your colleagues behind you?
DANIELS: In six weeks time I may not have a job. Ok, six weeks time. No, five weeks time. On April 13 I may not be here. I may not have a job. Ive got two kids, ones disabled. I need my job, I need to have an income. But, yeah, Ill be out there looking for a job if this place lets me go.
JOURNALIST: Weve been told that ASC was out of the running on this job for a while now, the jobs that have been sent to Spain. Have you been campaigning during that time to try and change that and bring it here?
DANIELS: Yes, weve been lobbying. The unions have been lobbying every year for the last three years to try and secure work and weve talked about this in Canberra with politicians and it wasnt just ASC that was locked out. Every industry, every shipbuilder in Australia was locked out. The only people who could tender were Spain and Korea, thats it. They were the only two countries that could tender, no Australians were allowed to tender for this work.
JOURNALIST: Can I get a response from you too as well, Senator? What do you make of the fact that this has been in the pipe works for well over two years, the fact that its a limited tender process. Why all the noise now?
WONG: The noise is because of the people behind me. These are men and women who are highly skilled, who could have done this work, who have been excluded by this Government, a conscious decision by this Government to exclude this yard and shipbuilders around Australia from this work. And I again say what I said before, the Turnbull Governments plan for South Australian jobs 36 jobs for South Australia, 3000 jobs for Spain.
JOURNALIST: Just on the point about too many contracts for ASC-
WONG: -You know I listened to your question, you said the words are pretty good around the submarines. Well theyre just words. Lets remember theyre just words. The Liberals keep telling South Australians heres all the good news and then when you look at whats actually happening, jobs are not coming here.
So weve had the big fanfare before the election, 12 subs here. Malcolm Turnbulls White Paper does not deliver that promise. It leaves open the opportunity for a completely offshore build and people need to understand that. What Id say to Mr Turnbull is this: you should be making a decision before the election to build the submarines here, you should be delivering on your promise because what we have learned, to the detriment of the people standing behind me, is that you cant trust the Liberals when it comes to South Australian jobs.
JOURNALIST: Isnt it a bit unrealistic though to expect that all the contracts would go here, surely there is a maximum (inaudible)
WONG: Thatd be a good problem to have, wouldnt it? Thatd be a good problem to have if we actually had the problem that we had too much work here. Thats not the problem we have. The problem we have at the moment is people being laid off.
JOURNALIST: Do you need to take any responsibility though? The Federal Government repeatedly makes the point that decisions werent made under the Labor Government.
WONG: Im always interested, and Im sure South Australians are, at the extent to which this Government for the whole of this term will blame Labor for everything. Its pretty impressive. Were going to be blamed for the heatwave next.
Lets be really clear, we did a lot of work with ASC, the men and women behind me, on the sustainment of the submarines. They did what we asked them to do they improved the material ready days, we did a lot of work on that. As you know there were two big contracts which were let just prior to us coming to government the Air Warfare Destroyers was one of them and these men and women did a great job on that as well.
But on the supply ships, we made clear before the election that we would bring them forward and we would ensure that Australia would be part of that build. This Government, after the election, said no were sending it offshore. Thats the difference.
JOURNALIST: Should the former Federal Labor Government then have budgeted $50 million or so to upgrade the ship lifts?
WONG: All I can say to you is this: when we were in government the shipyards had jobs, the shipyards were working. Theyre in government, people are being laid off. People can make up their own minds.
JOURNALIST: The Government has said that while Spain is the preferred option, theyre in negotiations and they havent locked it in yet. Would you like to see-
WONG: -Has someone told the Spanish that?
JOURNALIST: Do you think theres any chance and would you like to see them pull out of the deal with Spain?
WONG: Look, since the election Andy, his members, the unions, people who support South Australian jobs, have been saying to the Government build these ships here, build these ships here. And they havent been listening.
JOURNALIST: Do you think its reasonable that we probably wont have a decision on the submarines and OPVs before the federal election?
WONG: What Id say on that is that you just cant trust what the Liberals will say on South Australian jobs. Time and again theyve promised us jobs here and their actions have been very different. Andy went through it. We saw what happened to Holdens. We saw Joe Hockey, whos now got himself a different job, but Joe Hockey goading Holdens to leave. Well, they did. And weve got a federal election coming and what Id say is I dont trust, and I dont think people behind me trust, what the Liberals say about South Australian jobs.
JOURNALIST: What do you make of the Governments claims though, that this shipyard didnt have the space or the capabilities to deliver this particular project?
WONG: Well, Id refer you to what Andy said, which is consistent with the evidence from the shipbuilders during the Senate Committee hearings over the last couple of years. Its a convenient excuse for the Government.
JOURNALIST: Just briefly on another matter, if you dont mind.
WONG: Anything else on this? Ok, lets go.
JOURNALIST: With regards to the possible bill which could trigger a double dissolution election, would you like to see that debated next week?
WONG: Hasnt it been fascinating to watch Malcolm Turnbull? Malcolm Turnbull was elected with such high hopes, wasnt he? High hopes inside the Liberal Party, high hopes across the country, that hed be different. And all hes doing is running Tony Abbotts election campaign. Hes delivering Tony Abbotts policies and hes going to deliver Tony Abbotts election campaign. A negative election campaign, an election campaign thats about hacking into unions, hacking into working people, and a scare campaign. That wasnt what people elected him for.
On the ABCC bill, which is the one I think youre referring to, weve got our position and our position is clear. I think the more interesting thing is that the Greens are delivering to Malcolm Turnbull the things he wants for a double dissolution, which is the changes to the Senate voting. Ok, thanks.