Queensland government furore

The State Opposition has accused the Government of "talking down" Queensland's economy...

A review of the June Budget to be released tomorrow will show a 0.5 per centage point rise in Queensland's predicted unemployment rate.

Nationally, there has also been a big slide in newspaper and internet job ads.

To try to cushion the blow, the Queensland Government will increase spending on programs to help those who may lose their jobs.

Opposition Spokesman Tim Nicholls says he supports that, but he is more concerned by the Government's language.

"The way the Government is talking down the economy," he said.

Chamber of Commerce and Industry Queensland (CCIQ) President Beatrice Booth says that mirrors feedback from business.

"They will indeed and of course some have already have begun to make staff redundant," she said.

"The construction industry of course is, as we've seen in a downturn.

"The tourism industry also has been for the last 18 months, so we've seen quite a few jobs cast aside there unfortunately.

"So looking ahead at least in the next year the indications from our members are that they will be laying staff off."

Queensland Treasurer Andrew Fraser has told a business breakfast in Gladstone he is taking the Budget into deficit, rather than cut spending on infrastructure, to help maintain jobs.

Source: www.abc.net.au