Department of the Legislative Assembly, Northern Territory Government

Ms FINOCCHIARO - 2013-08-27

Last month, without consultation, the Rudd Labor government changed the motor vehicle fringe benefits tax and the knock-on effect means everyone loses.

Can the Treasurer outline to the Assembly what effect these changes are having on the business community, and is he aware of any examples where Kevin Rudd’s policy has resulted in lost jobs?

ANSWER

Mr Deputy Speaker, the member for Drysdale is correct. Kevin Rudd’s changes to the fringe benefits tax mean everyone loses. Something Kevin Rudd said was aimed at the big end of town to punish the wealthy, we are now finding is impacting more on those people on lower incomes, particularly people who work for charities, the non-government sector, and in the public service across the country, including the Northern Territory.

We know the Northern Territory government is set for an additional $20m bill over the next three years because of these changes. We know those charities and NGOs are looking at other ways to incentivise employment opportunities in their businesses because they are struggling. We already know that Fleet Choice NT, a business run by James Herraman and Cameron McNally, has immediately ceased operations.

I would be surprised if there is a person in this Chamber who does not know one of the Territory’s top businessmen, Kerry Ambrose-Pearce. Kerry owns Kerry Holden on the Stuart Highway in Stuart Park, and has a related business called Salary Packaging NT. He informed me last night that half the employees have lost their jobs. People in Darwin, Brisbane and Adelaide, 15 of them, have lost their jobs because of this. He fully expects, if Kevin Rudd is elected on 7 September, the business will close entirely. That will be 30 people in that business who have lost their jobs.

Fleet Choice, of course, has already closed its doors to business. It is having dreadful impacts, and you have to ask, what is the response by Territory Labor to this disastrous call in the Northern Territory?

Is the member for Barkly lobbying Kevin Rudd to turn this around, or is he in his electorate campaigning for Kevin Rudd? Is he supporting the man who is putting Territory businesses to the wall? How can a man who purports to represent the electorate of Barkly not be here today and be out campaigning for Kevin Rudd on a Northern Territory parliamentary sitting day? That is absolutely shameful.

What have we heard from the CPSU, the mob that is saying it supports public servants and their entitlements? It is the public service which is set to lose most out of this. It is shameful that the CPSU and Territory Labor are not doing more to highlight the problem.

Mr DEPUTY SPEAKER: Your time has expired, minister.
Last updated: 09 Aug 2016