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An Albanese Labor Government will invest $1 billion in advanced manufacturing, as part of our commitment to create secure well-paid jobs and build a future made in Australia.
 
Labor’s Advanced Manufacturing Fund will be part of Labor’s $15 billion National Reconstruction Fund.
 
The Morrison-Joyce Government have overseen the loss of 85,000 manufacturing jobs since they came to office. Australia ranks dead last on manufacturing self-sufficiency compared to other OECD countries. Unless we act, Australia will be in the bottom half of all countries when it comes to economic growth over the next decade.
 
Labor believes Australia can become a country that makes things again with national reconstruction focused on advanced manufacturing and creating local job opportunities for the next generation. 
 
The Liberals and Nationals goaded the car industry to leave Australia. When the car industry went offshore around 11,350 people were employed directly by Holden, Ford and Toyota and approximately 50,000 people were also employed in other areas of manufacturing that supply parts and services to the supply chain. We need to be investing in the jobs of the future to make up for this blow. 
 
Australia ranks 15th in the world for innovation inputs. But on innovation outputs we rank 33rd. Labor’s plan to invest in advanced manufacturing will aim to close this gap and capitalise on the ingenuity for which Australia is known.
 
The Advanced Manufacturing Fund is part of Labor’s commitment to ensuring we build on our national strengths and diversify Australia’s industrial base in key areas.
 
Labor’s $1 billion investment will rebuild our industrial base creating new capabilities and opportunities to innovate in transport, defence, resources, agricultural and food processing, medical science, renewables and low emission technologies manufacturing.
 
Labor’s plan will give businesses access to capital to diversify operations, industrial processes, and use research and development to climb the technological ladder. 
 
Labor will undertake wide-ranging consultation with local communities, businesses, unions, regional development authorities, states and local governments to identify projects that support innovation, grow advanced manufacturing jobs and repair the damage of the past nine years.
 
Under Labor’s plan for A Future Made in Australia, we will rebuild our proud manufacturing industry, and build a future made right here in Australia.
 
Today’s announcement is part of Labor’s $15 billion National Reconstruction Fund which will rebuild Australia’s industrial base.
 

Anthony Albanese said:
 
“I want to be the Prime Minister who helps Australia stand on our own two feet again. This is about sovereign capability.
 
“Serious countries should make things. Serious countries can stand on their own two feet when it comes to manufacturing essentials.” 
 

Richard Marles said:
 
“There are hundreds of thousands of skilled and well-paid jobs up for grabs – but if manufacturing all goes overseas, we will miss out.
 
“Only Labor will ensure we come out of the pandemic stronger through bringing manufacturing home.” 
 

Ed Husic said:
 
“The Coalition has run down manufacturing capability in this country and jobs have been lost as a result.  

“Labor wants to back the local know-how that is keen to not just rebuild manufacturing but use our smarts and technology to put our advanced manufacturing potential at the front of the global pack.” 

Australia’s largest construction materials and building products supplier Boral is being supported by the Morrison Government to explore the feasibility of developing a carbon capture plant in the NSW Southern Highlands to lower emissions across the cement industry.

In collaboration with environmental technology company Calix, Boral has been awarded $30 million to develop a commercial scale plant that captures and compresses up to 100 kilo-tonnes per annum of unavoidable CO2 emissions resulting from the decomposition of limestone in cement manufacturing.

Through the Technologies Stream of the Carbon Capture Use and Storage (CCUS) Hubs and Technologies Program, the Morrison Government is backing businesses which are developing projects to help achieve long-term emissions reductions.

Boral’s proposed FutureCem plant will use Calix’s world-leading Low Emissions Intensity Lime and Cement (LEILAC) technology to re-engineer the existing process flows of a traditional calciner, indirectly heating the limestone via a special steel vessel. The unique process enables CO2 to be captured as it is released from the limestone, as the furnace exhaust gases are kept separate.

Minister for Industry, Energy and Emissions Reduction Angus Tayor said cement manufacturing accounts for around seven per cent of all global emissions and projects such as FutureCem will help lead the way in bringing them down.

“This is game-changing, home-grown technology being tried and tested right here in regional NSW,” Minister Taylor said.

“Not only will this investment help to deliver long-term emissions reductions in a hard-to-abate sector, it’ll also generate new jobs across the Southern Highlands region with 140 new roles expected to be created during construction.”

The Morrison Government is also backing manufacturers in New South Wales with four innovative New South Wales business sharing in almost $23 million of funding under Round 2 of the Integration and Translation Streams of the Modern Manufacturing Initiative (MMI).

Successful recipients include Sydney-based medical device company EmVision which has been awarded $5 million to help develop a portable brain scanner to help transform stroke care for patients.

This significant investment will allow EmVision to manufacturer this Australian innovation at commercial scale and export it across the globe and here at home helping the company to grow and be recognised as a global leader in medical imaging.

Minister Taylor said the Morrison Government’s Modern Manufacturing Strategy will accelerate job creation and support a strong, modern and resilient economy which is better able to respond to a rapidly evolving geopolitical landscape.

“Backing businesses to grow our manufacturing sector and securing our sovereign capability is critical to our plan for a strong economy and a stronger future for Australia,” Minister Taylor said.

Other projects funded under the latest round of MMI in New South Wales include:

• $13.9 million for Wetherill Park-based packaging company Pro-Pac Group to create Australia’s first fully circular supply chain to divert plastic from landfill into high-value packaging products.
• $1.7 million for radiopharmaceutical manufacturer Cyclotek which will use the funding to support a streamlined supply chain of next generation nuclear therapeutics at Lucas Heights. The medical technology will help diagnose and treat cancer.
• $2.1 million for Thomas Global Systems in Newington to create onshore capability to develop and manufacture military avionics equipment for export into the global defence market.

The Coalition Government will invest $100 million to create two new business and research partnerships with leading Queensland universities, creating 2,400 new jobs in Queensland.

The $100 million investment will support two new Trailblazer partnerships:

• $50 million to establish a space sector Trailblazer led by the University of Southern Queensland (USQ), which will work with 23 industry partners, including 17 SMEs, and two universities – the University of South Australia and the Australian National University
• $50 million to establish a food and beverage Trailblazer led by the University of Queensland (UQ), which will work with 14 industry partners and two universities – the Queensland University of Technology and the University of Southern Queensland

Acting Minister for Education and Youth Stuart Robert said the UQ and USQ partnerships are the final two Trailblazers to receive funding through the Trailblazer program which is designed to focus Australia’s considerable research power on Australia’s National Manufacturing Priorities.

“Our economic plan is supercharging Australia’s research and development, creating more jobs and helping to build a stronger economy and a stronger future, Minister Robert said.

“We are investing in new technology in our growing space industry and our booming agri-tech sector to create jobs around Australia, particularly in Queensland.”

“The Trailblazers program has brought together universities and businesses exactly as we intended, with $362 million in taxpayer funding attracting more than $1 billion in co-investments from industry and university partners.”

Minister for Regionalisation, Regional Communications and Regional Education Bridget McKenzie said the project will have a significant impact for regions across Australia.

“The UQ and USQ partnerships and their industry collaborators have promised more than $230 million in co-investment, matching public funding by more than 2 to 1.

“The co-investment of the 37 industry partners to these two Trailblazers shows that Australian industry is hungry to collaborate with universities to unleash a new wave of technology that will drive economic growth and jobs in regional Australia,” Senator McKenzie said.

“The new USQ Trailblazer will turbocharge our growing space industry, helping us to achieve our goal of having 20,000 space sector jobs by 2030, and the new UQ Trailblazer, will accelerate our world-leading agri-tech industry to capitalise on new opportunities for Australian products in food and beverage supply chains

“This Trailblazer funding is part of our plan for a stronger, sustainable and more prosperous regional Australia and means more jobs right here in Queensland, a stronger research and development sector and a stronger economy.”

The UQ and USQ Trailblazers are the final two of six total Trailblazers to be announced. The six successful Trailblazers were selected through a two-stage competitive assessment process where universities were required to submit expressions and interest and then more detailed business cases.

Together, the 6 selected Trailblazers:

• Have established 170 industry partnerships, with small businesses representing more than 60 per cent of the industry partners
• Have attracted more than $1 billion in co-investment, matching the Government’s funding by 3:1
• Are expected to create more than 7,400 jobs in Australia’s cities and regions
• Will catalyse significant new innovations and economic opportunities in national priority areas, including defence, clean energy and recycling, resources technology and critical minerals, food and beverage, and space.

The Coalition Government has invested $362 million in the Trailblazer Universities program – an initial $243 million announced in November last year and an additional $119 million through our Regional Accelerator Program announced on Budget night. This is part of the Government’s $2.2 billion University Research Commercialisation Action Plan, which will focus the considerable research power of our universities on Australia’s National Manufacturing Priorities.

Only the Morrison Government has a plan to deliver a strong economy and a stronger future for Queenslanders.

The Royal Australian Air Force’s Air Combat capability will be bolstered with the addition of uncrewed autonomous systems as part of the Morrison Government’s additional investment of $454 million in the Loyal Wingman Program.

Minister for Defence, Peter Dutton, said the investment will deliver seven uncrewed autonomous aerial vehicles – recently named MQ-28A Ghost Bat – to come into service with the RAAF within the next two years.

“Since 2017 the Coalition Government has invested more than $150 million dollars to support the joint venture between the Royal Australian Air Force (RAAF) and Boeing Defence Australia to deliver a world-leading air system that will team with existing air combat aircraft and conduct air combat, reconnaissance and surveillance missions, ” Minister Dutton said.

“In just four years our partnership with Boeing has successfully designed, manufactured and flown the first Australian-built military combat aircraft in 50 years.

“This investment today will see the MQ-28A systems expected to enter service with the RAAF in 2024-25.”

With components for the aircraft to be manufactured around Australia and the production facility established in Toowoomba, the Morrison Government’s investment will deliver significant job opportunities across the country.

“Over 70 per cent of each aircraft is sourced, designed and manufactured in Australia, by Australians,” Minister Dutton said.

“This investment will more than double the Australian workforce directly associated with the program, generating a significant number of advanced engineering and high-tech jobs in the aviation and Defence advanced technologies sectors, particularly in Brisbane.

“In addition to the direct engagement with Boeing Defence Australia, our investment will see the program expand to support engagement of an additional 46 Australian companies, alongside international partners and allies.

“This will result in the number of businesses engaged in this program growing from 35 to 81 companies, along with many more highly-skilled jobs.”

“This investment in world-leading technology further advances Australia’s first-mover status in a highly competitive industry and establishes the Loyal Wingman Program as a serious competitor in key export markets.”

Minister Dutton said the rapid development of uncrewed air combat capability could offer potential benefits for allies and partners in the region and around the world.

“By sharing technology and leveraging the expertise of our US partners, the MQ-28A aircraft will be interoperable with our allies and partners in the Indo-Pacific region ensuring that our combined air combat forces are enhanced and stand ready to defend Australia and its national interests.

The MQ-28A aircraft first flight took place in February 2021, just two years and three months from project commencement.

A second aircraft has joined the flight test program, with a third aircraft being readied for flight testing later in 2022.

The speed of this development and the demonstrated potential of the Airpower Teaming System aircraft has given the Morrison Government confidence to continue investment in the program.

“When Labor were last in government they delayed the acquisition of fighter jets for our air force and reduced the capability of the RAAF.

“The Coalition has restored funding, partnered with industry, delivered real job opportunities and enhanced Australia’s defence capability.

“This is another example of the Coalition’s commitment to delivering Defence funding and enhancing the capability and lethality of the Australian Defence Force.”

The great Australian dream of home ownership will be unlocked sooner for thousands of first home buyers who will now be able to harness their superannuation to get into the property market.

Under the Super Home Buyer Scheme, first home buyers will be able to invest up to 40 per cent of their superannuation, up to a maximum of $50,000 to help with the purchase of their first home.

It will mean Australians can buy their first home sooner by slashing the time taken to save a deposit by three years, on average.https://www.youtube.com/embed/j6ed7Y2VK9U?color=white&rel=0&enablejsapi=1

The scheme will apply to both new and existing homes with the invested amount to be returned to their superannuation fund when the house is sold, including a share of any capital gain.

This means that a person’s super is harnessed to purchase a first home while also protecting their long-term savings plan for retirement.

Prime Minister Scott Morrison said supporting first home buyers was a key part of the Morrison Government’s Plan.

“Our Plan for the future is focused on supporting more Australians to realise their dream of home ownership,” the Prime Minister said.

“Super should be harnessed to support the aspiration of many thousands of families who want to buy a home.

“Our Plan makes it easier for first home buyers to save for a deposit, reducing the time people need to pay rent, and also means a smaller mortgage with less debt and smaller repayments.

“It’s a Plan that gets the balance right – it utilises money that’s currently locked away to transform a family’s life, with the money then responsibly returned to the super fund at the time of home’s sale.”

Assistant Treasurer and Minister for Housing Michael Sukkar said the Super Home Buyer Scheme would be a gamechanger for aspirational Australians and provide hope and opportunity to first home buyers.

“The Liberal and National Government are fundamentally committed to helping more Australians achieve their dream of home ownership,” Minister Sukkar said.

“By allowing people to access their super and buy a house, we are providing the opportunity to turn that dream of home ownership a reality.

“Allowing your super to work for you to purchase your first home and then being returned to your super at a later date achieves the best of both worlds – home ownership and retirement security.”

Minister for Superannuation Jane Hume said this is a two for one win for Australians – a home and a return on retirement savings.

“Under the Super Home Buyer Scheme you keep building your super savings – in the home you live in. When you sell, the amount you invested is returned to your super – plus a share of any capital gain,” Minister Hume said.

“It gets the balance right, helping first home buyers break into the market but protecting their retirement savings.

“The Liberals know it’s Australians’ money, not the super funds’ and not the governments. Australians work hard to earn it. They work hard to save it. One dollar in $10 of everything they earn is saved in super right now.

“Superannuation is there to help Australians in their retirement, and the Super Home Buyer Scheme will ensure Australians can use those savings they are responsibly building up to improve their quality of life now and standard of living in retirement.”

The Super Home Buyer Scheme will start by 1 July 2023.

There are no income or property caps under the Super Home Buyer Scheme with eligibility restricted to first homebuyers who must have separately saved five per cent of the deposit.

Over the last three years, the Morrison Government’s housing policies have supported more than 300,000 Australians into home ownership.

Only the Coalition Government has a comprehensive plan to help Australians realise the dream of home ownership.

Under the Liberal and Nationals plan, the Home Guarantee Scheme will next year help 50,000 Australians into a home, including 10,000 places for new homes in regional Australia and the First Home Super Saver Scheme is already helping Australians make voluntary savings to put towards their first home.

The proposal announced by the Coalition today to bust open super for first home buyers housing deposits would add tens of thousands of dollars to housing prices and would undermine the retirement savings of all Australians.

Any additional money Australians can take out of super via the scheme announced today would almost immediately be gobbled up through housing price surges as analysis shows it could hike the nation’s five major capital city median property prices by between 8-16%,

The proposal is not what super was set up to do and would torpedo super fund investment returns for all Australians – forcing funds to carry more cash and be less able to invest for the long term – which has been the key in delivering members’ bigger nest eggs.

Lower super fund investment returns would also put more pressure on the aged pension – a cost worn by future taxpayers.

ISA modelling shows allowing couples to take just $40,000 from super would send property prices skyrocketing in all state capitals, but the impact would be most severe in Sydney, where the median property price could lift a staggering $134,000. (see table 1 below)

Many potential buyers would soon be locked out of the supercharged market, others would be lumped with far bigger mortgages.

But the scheme is a real winner for the banks who would reap the windfall of the inflated mortgages.

A chorus of economists, Prime Ministers – including John Howard just weeks ago – Coalition ministers both past and present, the RBA and housing experts have all cautioned against schemes like this due to its inflationary impacts and its potential to undermine investment returns for millions of Australians.   

Industry Super Australia Chief Executive Bernie Dean said

“Throwing super into the housing market would be like throwing petrol on a bonfire – it will jack up prices, inflate young people’s mortgages and add to the aged pension, which taxpayers will have to pay for.”

“Super is meant to be for people’s retirement, not supercharging house prices and pushing the home ownership dream further away.”

“Not only will it lock young people into hugely inflated mortgages without any requirement for their own deposit, it will torpedo investment returns for everyone leading to everyone having far less at retirement.” 

“We need sensible solutions to address house prices – like boosting the supply of affordable housing which will bring prices down and get young people into a home without lumbering workers with higher taxes in the future.”  

Table 1: Impact on capital city prices of allowing couples to withdraw up to $40,000 from super for a house deposit. 

City	Current median price1	Super price hike %	Median after super price hike	Difference $
Sydney	$826,000	16%	$960,000	$134,000
Melbourne	$640,000	9%	$695,000	$55,000
Brisbane	$475,000	8%	$510,000	$35,000
Adelaide	$448,400	8%	$485,000	$36,600
Perth	$435,000	14%	$495,000	$60,000
Hobart	$453,900	6%	$480,000	$26,100
Darwin	$444,500	10%	$490,000	$45,500
Canberra	$613,800	13%	$690,000	$76,200

¹The median residential property price is sourced from ABS Cat.6416.0 and our estimate covers both established houses and attached dwellings and accessed in February 2021.

Methodology notes: ISA’s modellers analysed current non‑homeowner rates by age, marital status and geographical regions and compared this to 10 years prior as a measure of pent-up demand. They then applied an assumed take-up rate based on a combination of national consumer sentiment survey results and observed take-up of the previous COVID early release scheme to estimate the potential increase in demand.  ISA estimated the impact this sudden influx of demand would have on prices by applying demand, supply and income elasticities sourced from a number of Australian academic papers.

Importantly, there is a distinction between an increase in demand and those who may ultimately be successfully at an auction. That is, even those who want to/attempt to access their super but remain priced out of the market would impact demand and play a role in driving up house prices because they are able to then bid more at auction even if ultimately unsuccessful.

The Australian Institute of Superannuation Trustees (AIST) has raised serious concerns about the impact on housing prices if the Morrison government’s proposal to allow access to superannuation for first home buyers becomes a reality, as well as undermining of the core purpose of the superannuation system.

“Accessing your super early won’t get you closer to your dream home or fix Australia’s housing crisis. Using super as a deposit will drive up property prices, leaving Australians with higher debt and depleted retirement savings,” CEO of AIST Eva Scheerlinck said.

“First home buyers are being asked to choose between a home and saving for their retirement, they should be able to have both. The Australian Government must address this modern-day inequity by addressing supply issues rather than raiding super. A first home should not come at the expense of dignity in retirement.”

“Today’s policy announcement by the Morrison government ignores all of the research on housing affordability triggers and will further inflate house prices. This is an ill-informed and ill-targeted measure, and all Australians should be aware of the dangers of this proposal,” Scheerlinck said.

It would also significantly reduce asset diversification by further concentrating Australians’ savings in residential property while doing nothing to address the fundamental challenges of saving for a home, such as stagnant wages and rising inflation. 

Individuals should not be expected to sacrifice their quality of life in retirement because housing is unaffordable. 

More needs to be done to address the supply of housing and superannuation should not be the ‘go to’ to fix systemic problems that are the responsibility of government to address.  “Superannuation was established to provide support for Australians in retirement and it is not a piggy-bank the government can open at its convenience to avoid dealing with the real systemic issues facing first home buyers.”

Australians say concern over health workforce shortages will affect the way they vote, according to a new survey – but neither of the major parties have proposed a solution to this problem, with less than a week to go before polling day.

APHA CEO Michael Roff said the Association’s survey of just over 1000 Australians commissioned last week assessed the impact of health workforce shortages on voters, and the news for the major parties is not good.

“This survey shows ninety percent of Australians are concerned about the impact the shortage of nurses will have on the health and aged care systems, and 53 percent say this will affect the way they vote.

“While Australians understand a shortage of nurses will constrain efforts to clear the backlog of essential elective surgery or improve the quality of aged care, it is disappointing that neither major party seems to get it.

“With all the major ‘set-piece’ announcements of the campaign now done, neither of the parties seeking to form government has put forward a plan to address this critical health workforce shortage,” he said

Mr Roff said while there had been announcements about ‘more nurses’, no one can explain how Australia will attract a skilled workforce and rebuild the local workforce.

“We are calling on both parties to announce a plan to guarantee a pathway to permanent residency for skilled health care migrants coming to Australia, while we also build capacity at home.

“It is not just a matter of opening the borders and inviting people to come, we are competing for nurses, doctors and allied health professionals with the rest of the world. The United Kingdom, France and Canada have all made steps to make residency easier for migrant health professionals. Australia needs to step up or lose out,” he said.

Mr Roff said an internal survey of APHA hospital members showed almost 60 percent anticipated falling short of their workforce needs in the first half of 2022.

“Private hospitals tell us they have a current shortfall of 5,500 nurses and they urgently need 1000 skilled migrants to fill some of this gap. But overseas nurses are reluctant to come to Australia as other countries are making it more attractive. As pressure to deliver delayed elective surgeries is at its height, Australia is struggling to fill its workforce needs. That could mean further delays for people who have already waited years for help and result in an even more exhausted workforce.

“In the short term, there’s a solution. it’s reducing the red-tape around bringing people into the country for employers and making Australia the most attractive option for those looking for a new place to call home,” he said.