News Flash

In an ABC radio interview this morning Treasurer Foley has restated his intention to make severe staffing cuts in the forthcoming State Budget.

The Treasurer also reiterated that these cuts were necessary for the State to retain its AAA Credit Rating.                           

The Treasurer's position is significantly at odds with independent academic research released recently by Professor John Spoehr of the University of Adelaide's Australian Institute for Social Research.

Key findings by Professor Spoehr include:

'The combination of the Mid-Year Budget Review net revenue improvement, the increase in GST and general assistance revenue, and the economic stimulus contribution to South Australia leads to an estimate of $2.8 billion extra net revenue for (or extra payments to) South Australia to 2012-13.'

'There is no realistic prospect of a credit downgrade given current economic and budgetary conditions.'

There is no economic basis for cuts to jobs and services by the State Government in its September Budget.  The cuts will impact on all South Australian families and create severe hardship for many.

Members are encouraged to provide details of cuts known or expected within their Agencies, and the impact upon the South Australian community.  Information can be provided directly to the PSA or entered on the website – doesntaddup.com.au

19 August 2010