Goff Phil: Questions for Oral Answer — Questions to Ministers Questions to Members 
Goff Phil: Questions for Oral Answer — Questions to Ministers Questions to Members 
[Volume:652;Page:1388] 
2.  
Hon PHIL GOFF (Leader of the Opposition) 
 to the  
Prime Minister 
: Is he satisfied that the measures he has announced are adequate to stop the projected surge in unemployment? 
Hon JOHN KEY (Prime Minister) 
: 
 The measures we have announced so far and further measures that we will announce as economic events unfold are designed to take the sharpest edges off this recession. Job losses would have been greater had these measures not been introduced and support packages like the ReStart scheme will help to soften the blow of redundancy for many people but they will not prevent an overall increase in unemployment over the course of this recession and the Government has been very upfront in saying that. This is a very serious global recession affecting employment in every country in the world. 
Hon Phil Goff 
: Does the Prime Minister intend to set out clear and consistent criteria on which the Government will base its decisions on whether to bail out specific companies in trouble; if so when will he publish these so that all companies that are facing difficulties are clear on where they stand? 
Hon JOHN KEY 
: The Government has already made it clear that there would be a very high benchmark indeed for the Government to be involved in bailing out companies. Our preference is that companies look to the classical banking solution to their problems. That is not to say that the Government could not or would not get involved; we reserve the right to do that. I suggest that if the member does not think the Government should ever get involved he should go back to the shop floor and tell New Zealanders his message. 
Hon Phil Goff 
: What conditions will the Prime Minister place around for example financial assistance to companies in trouble to ensure that New Zealand taxpayers’ money is being used to protect New Zealand jobs not jobs that have been or will be transferred overseas? 
Hon JOHN KEY 
: The member is jumping to conclusions in assuming there will be any bail-outs from this Government at this point. If there were any then there would be conditions of course and we would expect New Zealand jobs to be maintained but the member should not jump to conclusions. 
Nathan Guy 
: What measures has the Government introduced to take the sharpest edges off this recession? 
Hon JOHN KEY 
: The Government has taken a number of measures and will continue to take even more but at this point we have overseen the wholesale funding and retail deposit guarantee schemes tax cuts will come in on 1 April 2009 and we have introduced a small to medium sized enterprise package worth $480 million. Can I say there has been an overwhelming response from the small to medium sized enterprise sector thanking us for that well-targeted package. We are bringing forward expenditure on infrastructure of $483 million and my good colleague Mr English just made reference to the packages that will be delivered through the changes to be made to the Resource Management Act. There will of course be the Job Summit on 27 February and more measures may well come from that. 
Hon Phil Goff 
: Does Mr English—his good colleague I think he said—support his assurance to Fisher and Paykel Appliances that the firm would not be allowed to fail or are Mr English’s comments as reported in the  
Dominion Post  
this morning just further evidence of his view that while Mr Key floats from cloud to cloud Mr English makes the real decisions? 
Hon JOHN KEY 
: Firstly no assurance has been given to Fisher and Paykel Appliances that it will not be allowed to fail. Those are the facts of life. Mr Mallard’s running around the press gallery trying to tell its members that something was said on Radio New Zealand National that was not said is just a further example that Mr Mallard makes it up as he goes along. 
Hon Phil Goff 
: I seek leave of the House to table this document which says that Mr Key says allowing Fisher and Paykel Appliances to fail would be unacceptable. 
Mr SPEAKER 
: Could I just check for the benefit of the House. Is this a press release? 
Hon Phil Goff 
: It is a statement. It might be from a blog site. Let me clarify it. It is headed “New Zealand”— 
Mr SPEAKER 
: The member will sit down. Leave is sought to table a document from a blog site. Is there any objection? There is objection. 
Nathan Guy 
: Has the Prime Minister seen any other reports of measures to address growing unemployment? 
Hon JOHN KEY 
: Yes I have seen other measures and members will be relieved to know that I do not look just at blog sites to see those measures. I have seen a report from Ruth Dyson who said last year when the largest quarterly decline in employment for 19 years had taken place: “Oh well I don’t think that this is bad news at all actually.” I have also seen a report from the Opposition finance spokesman who apparently is developing his own suite of measures to address growing unemployment. He said that New Zealanders will be delighted to know that he intends to release that report some time before the next election. 
Hon Phil Goff 
: Is the Prime Minister telling the House that his comment quoted on NewZealand.co.uk that letting Fisher and Paykel Appliances fail would be unacceptable is therefore inaccurate? 
Hon JOHN KEY 
: I think the member should read out the whole quote. The question was whether if an offshore company—I think it was in reference to—wanted to come into New Zealand we might look at changing the rules. The answer was that I think failure there is unacceptable. No assurances have been given to Fisher and Paykel Appliances that it will not be allowed to fail. That does not mean that the Government does not reserve the right to look at whether there are things we can do. 
Hon Phil Goff 
: How many companies are on the list of businesses that the Prime Minister referred to on 21 January as being those that the taxpayer could be asked to bail out how much is he prepared to spend on bailing out such companies and where will he draw the line between which companies will be bailed out and which companies will be allowed to collapse? 
Hon JOHN KEY 
: There is no list of companies to bail out; there is advice from Treasury of sensitivities within the market and challenges that companies could face. There is no long list of companies to bail out. 
Hon Phil Goff 
: I seek leave to table a document that is headed “Key has business bailout list”. Is the media wrong again? 
Mr SPEAKER 
: Can I just seek clarification again. Is this a press release the member is seeking to table? 
Hon Phil Goff 
: This is an article written by Vernon Small for the  
Dominion Post 
. 
Mr SPEAKER 
: The member is seeking leave to table a press release. Is there any objection? There is objection.