CHESTER CONCERNED FOR EMPLOYMENT SERVICE PROVIDERS
March 26, 2009
The Nationals Member for Gippsland Darren Chester is seeking a guarantee that no services will be lost from regional areas when the Federal Government announces its new Job Network contracts.
Mr Chester said he was concerned by reports that the Rudd Government was planning to award contracts for essential job services to British based companies.
“I’m concerned that sending contracts overseas will deprive local, non-profit organisations of revenue they put back into community services,” Mr Chester said.
Mr Chester said it could also lead to non-profit organisations laying off staff and the closure of services in smaller communities.
Today on ABC radio the Minister for Employment Services refused to guarantee that there would be no job losses among the existing Australian based service providers.
“Generally speaking, the existing service providers in Gippsland do an excellent job in matching job vacancies with applicants and ensuring people have access to training to improve their skills,” Mr Chester said.
“I am extremely concerned that the Minister is intending to award contracts to foreign companies at a time when unemployment in Australia is rising.
“The hardest hit will be not-for-profit organisations.
“In a time of rising unemployment, there is going to be even more pressure on these organisations for the services for they are providing.
“So instead of having more revenue and more staff to look after the unemployed, they will be have less income to draw on and less staff to support the community.”
Mr Chester said the Rudd Government had a poor track record of retaining services in regional areas.
“In Gippsland we have already seen the Small Business Assistance officer taken away and replaced by a Dandenong office,” Mr Chester said.
“There are also major concerns about the continuing operations of the Gippsland Area Consultative Committee (GACC) with Labor refusing to provide ongoing funding to support their regional service.
“We need a guarantee from the Minister that employment services won’t be removed from regional areas once the new contracts are announced.”