Interview with Sarah Abo and Anna Caldwell, Today Show

6 July 2023

SARAH ABO: Rumours are swirling that Reserve Bank governor Philip Lowe may receive a tap on the shoulder by Treasurer Jim Chalmers. The Government moving to usher in someone new after the 12 interest rate hikes over the past year. Joining us to discuss today's headlines is Liberal Senator Jane Hume and editor of the Sunday Mail and Saturday Courier-Mail, Anna Caldwell. Thank you both so much for your time. We're looking quite the picture today, aren't we? All almost matching. Anna, I want to come to you first. Now, the Treasurer reportedly has a list of contenders to take Philip Lowe's job. Do you think his time is up?

ANNA CALDWELL: Look, I think Philip Lowe is not doing super well in the popularity stakes in this country. You know, I think it's hard to get past that dire call where he told Australians that interest rates will remain at record lows until 2024. You know, I just think it's impossible to get away from that. People made really big decisions and now they're in a huge amount of pain. You know, I do accept the idea that this is an independent position. It should be an independent position. Perhaps we shouldn't be politicising it. But I think Australians who are trying to pay their bills are very frustrated and would be pretty happy to see another person in that job.

SARAH ABO: We know obviously the RBA governor isn't very popular with the Australian public at the moment, but Jane, he's pretty popular with you. Want him to stay there?

JANE HUME: Sarah, actually, what I've said is that Phillip Lowe is one of the most qualified economists in the country today, and he steered the economy through some really difficult times. He's been in the job since 2016. We're in the middle of a cost of living crisis right now, and consistency is very much the key to managing the economy. He is certainly well qualified to stay in the position. Now, that said, there's some very interesting names on that list. The most important thing is that the Governor of the Reserve Bank remains independent from the Government of the day and I do feel that he has been unfairly demonised. It's like the Government has pointed to high interest rates and say, ‘see, that's his fault’. But in fact you need to make sure that I mean, poor old Phillip Lowe is only doing his job. His job is to keep inflation in that 2 to 3% per cent band. If the Government isn't doing its fair share of the heavy lifting, of course the RBA has to do all the hard work and of course he's the face of it.

SARAH ABO: But he's not the only one making these decisions too. So he's somewhat unfairly targeted.

JANE HUME: That’s right, there's a board behind him. He's simply the spokesperson for the decisions that the board makes. That said, I think he's done an exceptionally good job in very, very difficult circumstances for many years.

SARAH ABO: Changing things might be even more difficult. All right. Well, the nation's construction sector has been dealt a major blow after insolvencies have exploded by 75% in the past year alone, leaving builders unable to cope with the crisis. Jane, Productivity down and prices up. This can't end well.

JANE HUME: No, If productivity is down, that means that, and Philip Lowe said this, that when wages go up it is in fact inflationary. We need to make sure that productivity lifts with wages in order to keep inflation down within that 2 to 3% band. That's why we need to make sure that we have low energy prices, that we have flexible industrial relations laws, that we keep regulations at a minimum and that we increase competition.

SARAH ABO: Yeah, and that's one going to affect so many families when we see these insolvencies. It's awful news. It is school holidays, as we know, and so many families are currently travelling, but it seems they may not be able to trust Jetstar for reliable service. Dozens of passengers forced to sleep on the floor after their flight was delayed for 30 hours. Anna, imagine being stuck in that small Queensland airport for 30 hours. I mean, it seems as though airlines can no longer guarantee they'll get you from A to B. It's crazy.

ANNA CALDWELL: It is horrific. Those pictures are shocking. And anybody who knows the Whitsundays knows that it is a special type of cruel to be in one of the most beautiful parts of the world. There's really nowhere better and then to be stuck sleeping on a chair, as we can see in those images, it's absolutely shocking. You know, Jetstar is, of course, saying that there were safety reasons, which of course should always be paramount. But at the end of the day, in a country like Australia, absolutely nobody should be holed up at an airport for 30 hours sleeping on a hard plastic chair. It's extraordinary.

SARAH ABO: It's unacceptable. Put them in a hotel, for crying out loud.

ANNA CALDWELL: That’s right and maybe we need some more tourism investment on the Whitsundays. So everybody just you know, come on down, put your money into the place and let people find a place to stay.

SARAH ABO: Yeah, that's one way of solving it, I guess, if the airlines can't get their act together. All right. England has its back against the wall on home soil in this years Ashes series, as Australia’s ambush gives them a 2-nil lead. It has been with lots of controversy, Victoria Bitter has even weighed in sending the poms a case of England bitter, how good is this! Jane, what antics do you think we can expect from a fired up whinging mob who are desperate to bounce back?

JANE HUME: I love that Victoria Bitter changed names, I thought that was very clever, very Australian, look i'm going to agree with Anthony Albanese on this and I don’t say that very often, look he should have stayed in his crease, he was stumped fair and square, stop this whinging from the poms, but more importantly it’s been a really exciting test, again something I don’t say very often, is that the cricket has been exciting!

SARAH ABO: You and me both Jane, I have to say. It’s starting tonight and I’m very excited about it, do you think we can start celebrating just yet?

ANNA CALDWELL: Oh not just yet but fingers crossed, let’s just bring it home and make it three in a row, let’s just hope there is a lot more whinging, carry on, sulking from the poms and i just hope it ends in a good old Aussie victory.

SARAH ABO: Yes, we are all hoping for that, that’s for sure. Thank you both for your time.