In Industry

Federal Shadow Minister for Innovation Industry and Science Sophie Mirabella

Labor’s ‘Conscience Money’ For Car Industry Damage

Victor P Taffa

Labor’s disastrous $1.8 Billion hit to the car industry through its changes to Fringe Benefits Tax (FBT) arrangements totally overshadows today’s nebulous announcement of $200 Million in extra assistance, Shadow Minister for Innovation, Industry and Science Sophie Mirabella said.

“It is scandalous that Labor is unable to provide any proper detail regarding this announcement or what the $200 Million will actually fund.”

“The FBT changes were sprung on the industry without any warning let alone consultation and immediately resulted in job losses.”

“Today’s announcement is Labor’s attempt at damage control after the widespread outrage its $1.8 Billion hit on the sector sparked. It amounts to little more than ‘conscience money’.” Mrs. Mirabella said.


“Labor’s $1.8 Billion FBT hit comes on top of Labor’s $1.4 Billion worth of broken promises to the car industry over the past three years.”

“In addition, Labor’s carbon tax will slug the sector more than $800 Million over the next decade.” Mrs. Mirabella said.

“Labor’s glib aim for a new ‘target’ for government purchases of locally-made cars are a further admission of failure, given that sales of Australian-made cars to government fleets have already fallen nationally by over 30% from 74,523 in 2007 to 51,087 in 2012.”

“The $200 Million announced today amounts to a bandaid on a bullet wound compared with the damage and uncertainty this government has caused.”

“It is a weak and belated admission of the damage this dreadful FBT policy decision has caused. A Coalition government will not proceed with Labor’s job-destroying FBT changes.” Mrs. Mirabella said.


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