TEL:
PRIME MINISTER
TRANSCRIPT OF THE PRIME INIUZTER, THE HON P J KEATINOe KP
DOORSTOP, MILTON INTERNATIONAL HOTEL, SYDNEY
18 JUNE 2992
X G OZ PROOF COPY
0: lIn't the real point about un plmolmant, 10 per cent
regardless is unacceptable for yuu and the adult
population?
PM: Absolutely, and I think ABC radio have done me a
disservice in nvt running my full quotation which was to
explain that these sort of gloomy projections of 46 per
cent youth unempoyinunt are not correct, that aDout
per cent t-ttrv u high and that's why I'm focussing On
this national meeting to see what we can do to get young
people back to work. That i, open up job and training
opportunities for them and at the same time open up
training opportunities by the modernisation of the
technical and further education system. There are two
chances for a young Australian, that ls, to train
themselves or tv find work in places where other people
are prepared to train them so that the sort of dead-end
job whioh come people, particularly In the Liberal Party
are now lonqiziq for, in a thing of the pest * nd that
Australian kids leaving school, it they train
themselves, can find work in the new kind of Order we
have in the sognomy,
J3 Don't you think the fact that high unemployment and the
youth factor is just one Of the painful results of the
structural change that you are talking about?
PM; No, I don't think that is true. Zn part It Is. When I
was a teenaVec there were plenty of unskilled jobs, but
in the economy we have today the unskilled jobs are
disappearing ano skilled jobs are appearing and that's
why the emphasis must now be on treining and skills,
But for those kid* who did leave school and have not had
trilntng, what I'm opsiig from national discussions is
that we can open up opportunities for kids to get on the
job training so they can get work experience an*
training, give them that hope. They need to feel that
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they are wonted, they're in the work force and as well
as that they can move on to other things.
J: Training is not a substitute for wages is it?
PM; We are looking at training wages. The Chsrmichael
report Is about that very topic. That Is, what we can
do to encourage employers to take on people who have
left school, pay them wages, but at the same time give
them training opportunities. And it holds great
promise.
J: Now I& it that these figures are exaggerated?
PM: Just the simple misunderstanding that people don't
understand that when they refer to exaggerated claims
about the likes of 50 per cent youth unemployment.
They're talking not about the age cohort 15-19 as a
grouping, they're talking about those actually in the
work force looking for work and that's a different
vategorioation.
J; They are still out of work though aren't they?
PM: Absolutely, and that's What we're trying to do move
them back into work, give them work experience and
training. But that won't be done at the moment simply
letting market forces decide it.
Js there could be an over-educated work force?
PM: No, that was the way the Liberal Party thought in the
and ' 70s, that what we neetd to an under-educated
work force. In the early 19808 three children In ten
completed secondory school, that is now eight in ten,
35-40 per cent or those are now going to universities
in the 120,000 university places created by this
government. Now in the 1980. when the economy was
growing those kids were taken up in trained jobs an they
will be taken up in the 1990a, but they won't be taken
up unskillod.
J: What's your reaction to Mr Crean's proposal that the
youth unemployed should be utillsed on the land?
PM: It's not Mr Crean's proposal exclusively, but he has
looked at some options in land cars which may be useful
in reglonal or urban environments whefe industrial
opportunities are not available. That Will be one of
the subjects we will be looking at, at this national
discussion.
0: Pr me Minister, Is the inflation culture now reaching a
stage where it may be conduced to another reduction in
Interest rates?
PM: I don't discuss interest rates at doorstops.
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J; Is the high unemployment rate jeopardising the ' One
Notion' growth forecast?
Pm: 2 No, I CQfl't think so. The economy I@ picking up as I
think you heard at this business lunch. People ore
saying that thero to a feeling about growth returning,
there is more confidence around in the business
community. it is regionalised, admittedly, it's m'oe
prevalent In NSW, QLD and WA then perhaps it Is In VlIC
or Indeed in SA. But it is returning I think, and as it
does we will see the economy gather speed through the
course of the year 192-93.
is Westpoo consumer confidence survey released today shows
that consumer confidence has fallen nine points in June
wipingV out all the gains of ' 92, What's your reaction to
that?
PM-. 1 1 nuva to have a look at It to see what It Is, when It
was taken and what circumstances it was taken in, but
these thtings move up and down. sy end large I think
we've had reasonably strong retail sales figures
recently and they're the best indication of the lot.
3: at 5.2 per cent In that westpto survey are you
worried about that?
PM: Again, I would need to have a look at It. If it was
taken after the Premiers' Conference when the Premiers
of NSW and VIC annou1nced price increases, tax increases
that could hove well changed the sample by that degree.
But I think it's the trend declines which matter and the
Inflationary expvvtotions trend series over the last
twenty years shows inflationary expectations of
Australia now at Its lowest levels since the 19609.
ENDS