Bass Liberal MHR Andrew Nikolic says the federal government’s jobactive employment services model has reduced unemployment, which dropped to 6.5 per cent in May.
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However, Bass Labor candidate Ross Hart says more needs to be done to tackle the problem of underemployment, reflected through a dwindling participation rate.
Released on Thursday, the Australian Bureau of Statistics statistics data showed 6.5 per cent unemployment in Tasmania, a drop of 0.3 per cent when compared to May of the previous year.
The participation rate dropped to 59.7 per cent, which was 1.2 per cent less compared to last year.
Mr Nikolic said the $24 million Tasmanian jobs and investment fund, announced in May, would generate 800 jobs in Tasmania and over $100 million dollars in private sector investment.
“Here in my electorate of Bass that equates to 140 new jobs and almost $20 million dollars of investment,” he said.
Mr Nikolic said under job active, the number of people staying employed had increased.
Mr Hart said the various grants and applications for the Tasmanian jobs and investment fund anticipated a level of employment.
“We will see what actually comes out of that grant process in the fullness of time.
“I’m not criticising the grant process other than the fact that it’s a recycled money from 2013,” he said.
The data showed 4100 jobs have been lost in Tasmania since last year, as the total employed in trend terms slumped from 241,300 in September 2015 to 237,200 in May this year.
Mr Hart said the proposed University of Tasmania’s relocation to Inveresk would restore jobs to the North-West state, in short to medium construction jobs, education and increased skills.
“We’ll continue to press for that project going forward (UTAS)...and I was encouraged by the Prime Minister’s words when he visited last time that he’d have more to say on that project before the end of the campaign,” Mr Nikolic said.