New data has revealed Labor’s key industrial policy, the $15 billion National Reconstruction Fund, is pushing the manufacturing sector to the brink of demise.
In its official Australian Insolvency Statistics report released on January 10, 2024, ASIC has unveiled a concerning surge in manufacturing insolvencies under the present Labor government. The data compiled for the 2023-24 financial year discloses a remarkable increase, with 243 manufacturing businesses succumbing to insolvency – a stark contrast, being nearly three times higher than figures from two years ago under the Coalition.
Shadow Assistant Minister for Manufacturing, Michelle Landry MP, said Labor’s National Reconstruction Fund has failed the manufacturing industry.
“The National Reconstruction Fund was passed through Parliament almost a year ago. Not one manufacturer has seen a cent from this fund and in the meantime, 243 manufacturing businesses have had to shut up shop. This isn’t just a number in a report. This is thousands of Australians without a job at a time when cost of living is spiralling out of control.
“Anthony Albanese and Minister for Industry, Ed Husic, have been asleep at the wheel while Australian manufacturers have been thrown into the abyss through failed policies and media distractions. This is coming at a cost to businesses and their employees,” Shadow Assistant Minister Landry said.
Labor’s energy policies are in tatters with manufacturers battling increasing gas and electricity prices. In only 18 months, electricity prices have gone up 23% and gas more than 29%. “Struggling manufacturers need cheaper energy and less red tape, not a policy that is pushing Aussie jobs offshore. Anthony Albanese promised he would ‘build things in Australia’, but with thousands of jobs gone because of his failed policies, this is just another broken promise to add to the long list.’
