A STATEMENT ON THE CHINA FREE TRADE AGREEMENT

I support free trade and I support a free trade agreement with China. But the bill that passed the House of Representatives today is flawed. Instead of rolling over to get its tummy tickled, the Labor Party should have pushed the Government harder to remedy the deficiencies. I was pleased to support the Greens’ amendments that would have tightened labour market testing.

Chapter 10 allows Chinese citizens to enter the Australian labour market in a range of occupations and industries, including corporate executives and contractual service suppliers. I am concerned that this allows a loophole for employers to bring in Chinese workers to Australia to the detriment of local workers. And I am concerned that although the agreement allows Australian Government officials to determine if jobs are to be offered to local workers before it issues 457 visas, it does not require this to happen.

I am also concerned that the agreement could be used to undercut local wages and conditions because a Chinese worker may be willing to work for less. Moreover history shows that foreign workers are often underpaid and exploited because they are fearful of speaking up and unaware of their rights. This is not fair on Australian workers or Chinese workers.

Although under the ChAFTA all Chinese applicants for 457 visas will still need to gain Australian trade licenses and registration within 90 days, I am concerned that the resources available to monitor compliance are woefully inadequate and will be too easily flouted or circumvented. And for all we know, Chinese workers could be brought in with no trade licenses or registration, stay for 89 days and then be sent home.

I am also concerned that the CHaFTA contains investor-state dispute settlement provisions, which could open up Australian governments to damaging lawsuits from foreign companies. Tasmania is particularly vulnerable due to its high quarantine standards which are particularly important for industries such as aquaculture. And our GMO-free status could be challenged by foreign companies exploiting these ISDS provisions.

I would like to see a successful free trade agreement with China. But the Australian Government should have negotiated harder with the Chinese, and the Labor Party should have negotiated harder with the Government.
Independent Member for Denison Andrew Wilkie