Read The Times Australia

Daily Bulletin

We've had the endless budget warm up – now it's game on

  • Written by: The Conversation
imageTreasurer Joe Hockey has a lot of skin in the game coming into his second budget.AAP/Mick Tsikas

Budget day is high risk for all the political players.

Think of it this way. Fast forward two months. By early July, will we look back on the Coalition’s second budget as one that consolidated Tony Abbott’s position, or undermined it?

Where will it have left the currently weak man of the team, Joe Hockey, and the rising star Scott Morrison?

And will Bill Shorten have got another free kick, or found that he has become the one on the defensive?

Even new Greens leader Richard Di Natale has something significant at stake. It’s his first test. How he and his party respond to the budget will send some important messages about the way the minor party can be expected to operate under new management.

Budget eve had a touch of madness, as well as some serious discussion.

Morrison, in his endless round of interviews, felt the need to defend Hockey, seen to have been sidelined, by comparing him to rugby league player Greg Bird.

When shock jock Ray Hadley pointed out that “given Bird’s currently suspended for eight weeks that’s a really poor analogy”, Morrison pressed on: “Probably is, but anyway, not to worry, he’s the guy who will be scoring the points.”

Later Morrison attempted a clean up his faux pas via twitter. “Everyone can calm down. I meant Jack Bird [another rugby leaguer], not Greg Bird. I let Ray know straight after the interview.” It was a bit of a stretch.

Hockey was left to be annoyed at the comparison or rather pleased to see the man of the moment slip up.

It was a touch of quickly-forgotten nonsense except for those involved.

The serious side of budget eve was the reaction to the government’s Mothers' Day A$3.5 billion child care package, and its announcement, also on Sunday, that mothers would not be able to ‘double dip’ into both the government maternity leave scheme and an employer one.

Two problems emerged on child care. There was some criticism, including from a couple of Nationals, that it was too focused on trying to push people into work. The Nationals worried about those families on single incomes. Other critics points out that with unemployment over 6%, getting a job is difficult for many.

The other problem arose from the government’s linking delivery of the child care plan to the Senate passing the 2014 assault on the family tax benefits scheme, in particular the proposal that families whose youngest child was aged six or over would no longer be entitled to family tax benefit part B.

Abbott on Monday stuck hard to the point that there will have to be savings to offset the new child care spending, but he flagged a willingness to negotiate on what the savings are.

Somehow, the government has to strike a deal with the Senate because it desperately needs this child care package, pitched at middle Australia, to pass.

The measure against “double dipping” brought some criticism from business and dramatically highlighted how Abbott has gone from championing a ridiculously generous PPL plan that he was forced to drop to using PPL as a savings source.

Nearly half of the eligible women will be worse off under the government’s changes, which save nearly $1 billion over the budget perio.

Figures Hockey issued show that more than 50% of eligible mothers – about 90,000 a year – will be unaffected, receiving the full government PPL entitlement because they have no employer scheme.

About 27% - 45,000 – will have a partial PPL entitlement, as they some entitlement from an employer scheme but less than the maximum rate of the government scheme.

About 20% - some 34,000 – will only receive their employer-provided entitlements if this exceeds the PPL maximum rate.

Those who have been more likely to be able to have double benefits are in higher income jobs.

Years ago governments usually tried to keep budget measures under wraps. When stories came out they were genuine ‘leaks’.

Now governments ‘drop’ measures beforehand. This year the government has also announced major initiatives notably on pensions and child care.

The 2014 budget had both too many measures and too many shocks. This year’s pre-announcements have given the public, and especially stakeholders and the Senate crossbenchers (already consulted ahead of the announcements), plenty of time to absorb detail.

While this has teased out some criticism (on the pension assets test, probably less than the government anticipated) it was a sensible strategy. It makes it easier for the government to manage budget night and the immediate aftermath.

One area that hasn’t been much talked about in the budget run up is youth unemployment.

In its attempt to tick as many boxes as possible, the budget is said to contain an initiative to assist vulnerable young people into jobs. In this context, a test of how far the government has changed will be what it does with last year’s harsh budget measure – in limbo because of Senate opposition - requiring unemployed people under 30 to have up to a six-month wait for the dole.

Listen to Michelle’s interview with Health Minister Sussan Ley here, or on iTunes.

Authors: The Conversation

Read more http://theconversation.com/weve-had-the-endless-budget-warm-up-now-its-game-on-41625

Business News

How Telematics Helps Australian Companies Improve Productivity

Operating a commercial fleet in Australia is a uniquely demanding endeavour. Between the sprawling urban sprawl of cities like Sydney and Melbourne and the immense, unforgiving stretches of the Outb...

Daily Bulletin - avatar Daily Bulletin

Inside the Icon: The BridgeMuseum Officially Opens at the Sydney Harbour Bridge

A bold new way to experience one of Australia’s most recognisable landmarks has arrived, with BridgeClimb Sydney officially opening the all-new BridgeMuseum.  Located inside the Sydney Harbour Brid...

Daily Bulletin - avatar Daily Bulletin

Is Your Brand Showing Up in AI Search? Most Melbourne Brands Aren't.

The New Front Door Nobody Told You About Something changed. Quietly. Without a press release. The way buyers find businesses in Australia has been rewired. Not replaced, rewired. Google isn't dead...

Daily Bulletin - avatar Daily Bulletin

How Australian Businesses Can Measure SEO ROI

SEO can feel vague when you are staring at a dashboard full of numbers that do not clearly connect to revenue. The key is to measure the right signals in the right order, then tie them back to outcome...

Daily Bulletin - avatar Daily Bulletin

How Commercial Roller Shutters Improve Site Security Without Slowing Operations

Security upgrades can be frustrating when they make everyday work harder. A door that takes too long to open, creates bottlenecks at shift change, or fails at the worst time can turn “better protectio...

Daily Bulletin - avatar Daily Bulletin

Why a Document Destruction Service Still Matters for Modern Businesses

Businesses generate large volumes of information every day, from staff records and contracts to invoices, reports and customer files. While attention often focuses on how documents are stored, the way...

Daily Bulletin - avatar Daily Bulletin

Bicycle Rack Safety and Space-Smart Storage

Bike storage problems usually show up as small annoyances first: tangled handlebars, scratched frames, and bikes that topple when you pull one out. Over time, those issues become safety risks, especia...

Daily Bulletin - avatar Daily Bulletin

How to Tell if a Childcare Centre Is a Good Fit for Your Child

Choosing childcare can feel like you’re making a huge decision with limited information. Tours are short, centres are often on their best behaviour, and your child might act differently in a new space...

Daily Bulletin - avatar Daily Bulletin

Car Import Timeline: What Usually Happens at Each Stage

Importing a car into Australia can feel confusing because multiple agencies and checkpoints are involved, and the timeline is shaped as much by paperwork quality as it is by shipping speed. The most u...

Daily Bulletin - avatar Daily Bulletin

The Daily Magazine

Gold Migration Lawyers in Liquidation: How the Closure Affects Your ART Appeal

If your appeal was with Gold Migration Lawyers, a recent change to how the Tribunal decides cases ...

The pressure cooker: life in urban Australia in 2026

Australian cities have always been demanding. Long commutes, rising housing costs, busy schedules a...

What Actually Makes a Good Criminal Lawyer in Melbourne

Most people only think about this question once. That is usually too late. Most people charged wi...

Why Working With A Chatswood Tutor Can Improve Academic Performance

Academic expectations continue increasing for students across primary school, high school, and senio...

Is It Worth Getting Solar Panels in Melbourne?

The real question is not whether solar works in Melbourne. It works. The question is what it is co...

How A Diploma Of Project Management Builds Practical Skills For Modern Work Environments

Developing the ability to plan, execute, and deliver outcomes efficiently is a key requirement in to...

How to Choose the Right Football for Every Level

Choosing a football may seem straightforward, but the right option depends on who will be using it a...

What to Ask a Wedding Photographer Before You Book

Booking a wedding photographer can feel deceptively simple: you like the photos, you like the vibe...

Why Stress Relief For Dogs Is Essential For Emotional Balance And Long-Term Wellbeing

Managing emotional health is just as important as physical care when it comes to pets, which is why ...