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Live. Unemployment goes

new higher, so too the number of

new jobs. Not quite child's play. The Federal Government

tries to keep a lid on

childcare costs. The aim here

is to respond to parents'

concerns about fee increases

and affordability. Floodwaters

retreat in some parts of

Victoria but still threaten

others. Most people in

Gippsland are used to the

nature of flooding events and

how they operate how they operate can the speed

with which some of these rivers

can rise and they do. And the

death of the science fiction

writer who didn't want to predict the future but

sometimes wanted to prevent it.

Hello and welcome to ABC News

across Australia. I'm Ros

Childs. Markets in the US and Europe are up Europe are up today so local

stocks are getting a boost. The

All Ordinaries is up 53 points,

good gains in Japan, the Dow

night and the Australian Dollar Jones had a great night last

now at parity with the

greenback. First to the

economy. The latest unemployment numbers are just

out and while the jobless rate

has ticked up, a surprisingly

large number of people have

found fulltime work. The May

unemployment rate came in at

5.1%, up from a revised 5.1%, up from a revised 5% in

April. Almost 39,000 new

fulltime jobs were created as

more people came back into the

workforce. At the same time,

casual work fell. We'll have

more on those numbers later in

the bulletin. The childcare

industry is getting top-level

attention today. The Prime

Minister has ordered a summit

of unions and childcare

operators to discuss the twin

problems of low wages for

workers and rising costs for families. Julia Gillard families. Julia Gillard isn't

ready to make any promises and

says day care is already more

affordable under her

leadership. Nadda gill more

reports from Canberra.

Apologies, we'll bring you that

story a little later in the

program. Meanwhile, with the

flood situation in Victoria,

people in Victoria's Gippsland

are nerve lys waiting for

floodwaters to peak. Residents

are standing by to evacuate

with three river systems in

flood, feeding large volumes of

water into the whole Gippsland

lakes system. Reporter Lisa

Maksimovic is in the small town

of Lindenow in Gippsland. Lisa,

how are things there? Ros, I'm

on a property of some 7 00

acres. It's vegetable

production here that they grow

broccoli, call flour, lettuce and spinach

and spinach but if you look

over my shoulder, much of the

crop is underwater at the

moment. It's been heavily

affected by the floods of the

past couple of days, in fact 90

to 95% of it has been

practically wiped out by this

flood. So the property owner

here estimates that damage is

worth between half a million to

800,000 dollars here and

expects it will take months to expects it will take months to get back to production. He's

not alone. There are a number

of other properties like this

one in this particular region

and they'll receive some assist

ance we've heard today from the

Government in terms of

low-interest loans to assist

them through this period. In in other townships further

downstream, they've spent the

last 24 hours on high alert and

it is another tense day for

them as they wait for them as they wait for the water

to flow from the alpine

regions, down the rivers and

into the ocean at Lakes

Entrance. In these townships

they had a high tide last night

that put some pressure on the

community but they weren't

inundate ed so this morning

there was some relief at least

there. Power could be seriously disrupted by all this water.

What's the latest on

What's the latest on that?

Yesterday we saw extraordinary

vision of torrents of water

spill nothing to an open-cut

coal mine at the power station

but we're told most of the bulk

of that water went into an

unused area of the coal mine so

the Government is saying it

will not affect the rest of the

State's power supply. We still

don't know the total extent of

the damage there. the damage there. That's still

being surveyed by crews at the

scene but here's what Premier

Ted Baillieu said about the

matter earlier this morning.

There have been some dramatic

pictures over the last 24 hours

about what's happened at the

power station. Clearly, the

Muller River diversion has

breached and water has spill

under to one of the open-cut

mines there and they are

I do want to obviously dramatic pictures but

I do want to make it clear that

the bulk of the water that has

spilled has spilled into what

is an unused mine at Yallourn.

There is no immediate threat to

generation capacity in this State. There is spare capacity

and we are confident there is

no threat to power

supplies. Lisa, how are local

people coping with it all? Of course, in areas course, in areas like this one

farmers are devastated that

they've been so heavily

affected but they have dealt

with flood events like this

before and they're confident

that they will get back on

their feet. In communities like

I spoke about earlier,

townships like Lake Entrance,

they're also optimistic. They

were expecting to be more

heavily impacted overnight and

to wake up this morning and find that they've dodged find that they've dodged a bullet, they're quite confident

that over the next 24 hours

they'll also be able to manage

and they have adequately

prepared them selve because

they had quite good warnings.

They're looking ahead to this

weekend. They're tourism

destinations and very popular

destinations for tourists over

this long weekend period.

They've got a lot of events

that have been planned so

they're really urging visitors to not deter their

to not deter their trips. They

want everyone to come down and

see that they haven't been

affected. Lisa, thank you. Back

now to the childcare summit and

the Prime Minister has ordered

a meeting of unions and

childcare workers to discuss

the twin problems of low wages

for workers and rising costs

for families. Nadda gill more

reports from Canberra. They've

got her attention and Julia got her attention and Julia

Gillard's ready to listen but

isn't making any promises yet.

The Prime Minister says childcare is already more

affordable than ever under her

Government. A family earns

$75,000 a year, they've got one

child in long daycare, that

used to take 13% of their

income, now it takes 7.5%. That

little comfort to those paying

the bills. I work fulltime and the bills. I work fulltime and basically my whole scalry goes

towards paying for childcare.

Increase the childcare rebate.

It is difficult for families.

We're all struggling. A survey

released this week by the

childcare union shows fees have

jumped by 11% this year. On

average parents pay $70 a day,

some up to $120. It's those

figures that have the Prime

Minister looking at other

options. The aim here is to options. The aim here is to

respond to parents' concerns

about fee increases and affordability. Childcare providers, workers and their

union are taking part in

today's summit, staff pay and

retention is also in the

spotlight with figures showing

an exodus of workers in the

sector, up to 180 a week. Our

number one fundamental issue is

really the Government's got to

get on board and fix the wages

in this sector.. It's in this sector.. It's not for

me to strike an hourly rate for

childcare workers. We've

created a fair system of

industrial relations. Julia

Gillard has ruled out caps on

childcare fees, hinted at

better training to help retain

staff and says paying subsidies directly to childcare centres

is one of many options on the

table. She's not promising a

quick fix, saying any outcomes

quick fix, saying any outcomes

are months away. With more on

the childcare meeting, here's

Julia Davison, CEO of Goodstart

Early Learning, the largest

long daycare provider in

Australia. She's taking part in

the summit and says every

effort is made by operators to

keep fees down. Goodstart is a

not-for-profit and we do our

best to keep our prices as low as we possibly

as we possibly can and we're

continuing to do that so where

we can absorb costs, increase

costs, we will do that but

you're correct, there has been

an increase in childcare fees.

The Government changes still

have a way to run, you've got

ratios decreasing again in a

couple of years' time and

childcare worker qualification

requirements increasing after

that so costs and fees are just

going to keep rising? There

going to keep rising? There

was a big increase in fees in

January of this year in those

places where ratios were not

previously being met but one of

the interesting things about

the childcare sector is

everybody's starting from a

different baseline so if we

just look at our 650 Goodstart

centres, we have some centres

where we had no fee increases

whatsoever and others where it whatsoever and others where it

was up to $6 per day. In a

meeting today with the Prime

Minister, it is being variously

called an emergency summit and

a crisis meeting, it has been

called at the last minute. Is

this an industry in crisis?

From where I sit within

Goodstart, there's a lot of

good news. At Goodstart we've

reduced staff turnover from 30%

down to 17%,

down to 17%, we generated a

significant surplus last year

to reinvest in the quality

performance which has meant we

haven't had to pass that on in

fees to parents so from where I

sit it doesn't feel like a crisis. Julia Davison, thank

you. Thank you. Up to 30,000

teachers are on strike across

Victoria today as part of a pay

dispute. The Australian Education Union Education Union says more than

100 schools will close as

teachers step up their campaign

for a pay rise. They've accused

the Baillieu Government of

reneging on a promise to make Victorian teachers the best

paid in the country. The State

Government has walked away from

its pledge to make Victorian

teachthers highest paid and

instead offering just 2.5% pay

increase. The other pledge they increase. The other pledge they

made was to rein in the high

level of contract

employment. The State

Government is urging the union

to accept its performance-based

pay rise offer. Aung San Suu

Kyi is planning to make her

first trip to Australia next

year. The invitation was

delivered by the Foreign

Minister Bob Carr who's on a

3-day trip to Burma. The pro

democracy leader has described

Australia as a sanctuary from

persecution for many of persecution for many of the

30,000 ethnic Burmese residents

now here. Australia and New

Zealand are unusual in this

region and I'm very much like

to see what it is like

there. During talks, the pair

also discussed the need for all

Burmese to benefit from political reform and how

Australia can foster that.

Today Mr Carr is expected to

discuss the prospect of further

easing sanctions with Burma's easing sanctions with Burma's

President. The Defence Minister

has defended Australia's

military ties with the US

during a visit to Beijing.

Stephen Smith has denied

reports that a secret chapter

in the 2009 White Paper

outlined a plan for Australia

to provide military support to

the US in a war with China.

He's also been asked to Spain

why his delegation left their

nons and laptops in Hong Kong

before entering China. This report from report from China correspondent

Stephen McDonnell. Economic

relations between Australia and

China may be going great guns

but with military matters it's

not the same. Defence Minister

Stephen Smith has led an

Australian delegation to

Beijing. A cause for great

fanfare in the capital of the

world's most populist nation,

but behind the flashy dis plays of well of well drilled soldiery,

there's considerable concern

here. This senior adviser to

the institute for international

strategic studies asked about

an Australian newspaper report

of a secret chapter in the 2009

defence White Paper regarding

plans to go to war with China.

The 2009 Defence White Paper

was not aimed at any one

country, it was not aimed at

China. The Minister's clear denial of

denial of the existence of this

secret chapter didn't stop the

questions regarding what's seen

as Australia taking sides in

some sort of neo-Cold War.

This current Government allow

ed 22,500 US marines to station

in Darwin so what made the

change of your Government? The

question may keep on coming but

the analysis and the answer is the analysis and the answer is

exactly the same. We've had an

alliance with the United States

for over 60 years. At the Great Hall of the People,

Stephen Smith met China's next

President. It was all very

convivial but is there really

trust in this relationship? No

matter how many times Australia

tries to reassure China,

Defence issues continue to be a

problem. It seems that every

senior Minister who comes to Beijing is Beijing is asked to explain why

it is that Australia has agreed

to post US marines in the north

of the country. If there's an

up side to this friction, it's

nat both Beijing and Canberra

are definitely putting more

effort into military to

military contacts. It's hoped

this will promote less


Wall Street and European

markets rallied this morning markets rallied this morning

but the pressure is still on to

rescue Spain's ailing banks.

International leaders are increasingly concerned the

turmoil that's pushed Greece to

the edge could soon sweep

through Europe. Here's the

immediate problem. Finding the

money to bail out struggling

banks in Spain, cleaning up the

mess from loans which went

wrong after a property boom

could prove to be beyond the Spanish

Spanish Government. Spain is

struggling to afford its own

bail-out of its banking system.

Principally because of the wave

of pesinism sweeping through

International Capital markets

right away and of markets'

reluctance to lend to Spanish institutions. Previous

interventions by the Eurozone

bail-out fund have seen loans

to Portugal, Ireland and Greece

, subject to tough controls on

tax and spending. Now Spain a much bigger much bigger economy, needs

money to shore up banks but

doesn't want a formal bail-out

with policies imposed by others

Eurozone members. It wants

funds to go direct to the

banks. The German chancer

doesn't want bail-out cash paid

directly to banks but there are

reports talks are under way

aimed at reaching a compromise.

Britain's biggest drinks

company today nounced a major investment in scotch investment in scotch whiskey

production. It says Asian and

US sales are doing well but

it's braced for no growth in

the Eurozone. An awful lot of

businesses in the UK export to

Europe and therefore if those

markets weaken then clearly

we're not going to be exporting

as much, we're not going to be

employing as many people and it

becomes a sort of downward

spiral. We don't want that. As I

I said, central bankers,

politicians, sort it out. So a

direct challenge there for

policy makers, sort out Spain

and the rest of the Eurozone's

problems to head off a damaging

economic downturn. Let's go to some of the other stories

making news in business. More

than 1200 plumbers employed by

the collapsed Hastie Group are

going back to work. The Workplace Relations Minister

had the good news after meeting with the company's with the company's

administrators and the

plumbers' union in Melbourne.

For some of you young blokes

who say when you're sitting

around in the smoko shed and

say, "What has the union ever

done for us?" Please, when

you're on your next job, just

remind them, "Well, when Hastie

Group got into trouble, they

pulled it together with the

management cooperatively, with the the administrators

cooperatively and got our jobs

back." You can tell your kids

tonight it will be

alright. Last week's collapse

of the building services

group's put 2700 jobs in

jeopardy. Activity in the construction industry has hit

an 8-month low according to a

May survey by the Australian

Industry Group while units

construction rose, house

building retreated and commercial construction commercial construction

plunged. And the social

networking website Lindenow is investigating claims that over

6 million passwords have been

stolen by hackers. Technology

experts are advising users to

change their Linked In

password. Let's take a check of

the markets with John Milroy of

Macquarie private wealth. The

markets took the jobs numbers

in their stride and liked them. in their stride and liked them.

Big increase, 39,000 job s made

in May. What that means is the

RBA is now on hold on the back

of and in conjunction with the

strong GDP numbers from

yesterday, barring any sort of implosion from Europe, they'll

be on hold for the next couple

of mnings. The market was

going great guns before those

numbers came out? True, they numbers came out? True, they rallied a further 10 points on

the back of the numbers. The

Aussie dollar rallied strongly,

up to 99.55 or thereabouts

pretty much across the board.

These types of rallies do go to

explain the extend to which the

market is short when they pop

like this. Comments expected

tonight from Ben Bernanke when

he appears before the joint Senate committee, perhaps noise

from him on what might be in

the wings in terms of

the wings in terms of qurth QE3

or more accommodative monetary

policy. There - the resources

sector doing well? Had-T has

been bearing the brunt of some

selling and short interest has

been going. You're seeing the reverse of that and underperformance of the sector

over the course of the last

several days. Same story with

the bank s? I think so,

certainly concern around the

issues of Spain you mentioned and some and some of that is coming out

with talk and perhaps some

stories that the ECB is work on

a plan for Spain. That's helped

those European markets last

night and that's taking some

pressure off that sector as

well. John, thank you. To that

rally on Wall Street, 2% plus

was the order of the day. The

energy, tech and finance

sectors led the charge, some of the banks made big gains.

Opposition activists in Syria

have reported a new massacre.

They've released footage yet to

be verified of what they be verified of what they say

are some of the 78 victims of a mass kidding by security forces

in Hama province. They

reportedly came under heavy attack from Government forces

and were also targeted by a pro

Government militia. More than

half were women and children.

Those killed were shot or

stabbed with some bodies later

dumped in houses that were set

alight. Had deaths sparked

protests in nearby towns. State television has television has blamed

terrorists for the atrocity.

With near record speeds, new legislation levelling huge

fines for taking part in

illegal demonstrations has been

pass by Russia's parliament. The penalties now need Vladamir

Putin's signature to become

law. The maximum fine for

individuals is about individuals is about $9,000,

more than the average yearly

salary. Outside Russia's

parliament, the Douma, those

trying to slow down the new

protest law were met with a

familiar response, dragged away

and arrested. Inside,

Opposition attempts to add

hundreds of amendments couldn't

stop late-night passage of the

law after just hours of debate. Soon it was rocketing through

the Douma's Upper House. the Douma's Upper House. Protesters weren't welcome

there either. The situation in

our countvy going on such way

that it's not a surprise. It

will be sad. The new

legislation is a response to

the mass protests that followed

disputed elections. It

dramatically boosts maximum

fines for taking part in illegal demonstrations to more

than $30,000 for organisers and $9,000

$9,000 for individuals. That's more than the average yearly

salary. Opponents say the law

has one goal, stifle dissent. TRANSLATION: I'm confident this

law will be applied selectively

against those people the

authorities do not consider

loyal. Even this is the kind of

demonstration the new law is

intended to stamp out. This is officially illegal because it hasn't been sanctioned by the hasn't been sanctioned by the

authorities. Now, even for

holding a sign, you could pay a

heavy price. Russian President

Vladamir Putin says the

legislation morely sets out the

rules for protests, just like

in Western countries. But the

idea is to essentially fine demonstrators until they're off

the streets, not everyone's

convinced it will work. It's

possible to threaten several

persons, it's possible to threaten dozens but threaten dozens but if there

will be 100,000 guys, I think

that it doesn't work. With a

mass protest planned for next

week and the new law expected

to be in force, the Kremlin and

the Opposition are about to

find out if it works. The

science fiction world is

mourning the loss of one of the

genre's greats. Ray Bradbury has died in

has died in LA, he was 91.

Bradbury is renowned for his

disturbing portrayals of

society. He rose to prominence

in the 1950s with a short story

collection 'Martian

Chronicles'. He was passioned

about the need for humans to

explore the universe. We

become the Martians. I've said

this many times in the last 20

years. There are no Martians

there so we must stand in for

them. It's very important. In a

literary career spanning nearly

seven decades, he's best known

for the Cold War-inspired novel

'Fahrenheit 451' and 'Something Wicked This Way Comes'. A poet

and a screen writer, he's also

credited with writing several episodes of the 'The Twilight

Zone'. He wanted these words on

his gravestone, "Here lies a

man who loved life from

beginning to end and is sorry

it's over." Let's have a quick it's over." Let's have a quick

look at other stories making

news - health authorities are

Scotland are trying to trace

the source of a Legionairre's

disease outbreak that's claimed

one life and put 21 others in

hospital. It's thought the

infection originated in cooling

towers in the industrial

suburbs of Edinburgh. The

Government in Kabul is blaming

the Taliban for outbreaks of

sickness in girls' schools in

northern Afghanistan. It's claimed

claimed 15 people have been

arrested in connection with a

plot to poison students and

there's been a spectacular

sequel to recent earthquakes in

northern Italy where

firefighters had to blow up a

damaged bell tower that had

become unsafe. Locals had been

hoping the structure, built in

1907, could be propped up but

the continuing aftershocks

ruled that out. Andy Murray's

quest for his first tennis major is back on hold after he major is back on hold after he

was upset in the quarterfinals

of the French Open. The

25-year-old was beaten in four

sets by number 6 seed David

Ferrer, ending his run of five

successive Grand Slam semis. I

think it was a good tournament

for me coming in I wasn't

feeling as good as I did coming

in last year. I believe I lost to a better clay court to a better clay court player

than me. David Ferrer will play defending champion Rafael Nadal

for a spot in the final after

the Spaniard accounted for

Nicolas Almagro. Australia's

remaining hope, Sam Stosur,

plays her semifinal tonight.

Two normally peaceful islands

near Darwin have been

experiencing some explosive

action. The Defence Force has

been busy blowing up bombs near

turtle nests and it's cleaning turtle nests and it's cleaning up unexploded ammunition dating

back to World War II to make

the area safe for visitors and

for the turtles. Phoebe Stuart

reports from Quail Island.

That's just one of the bombs

which have left Quail and Bare Sand islands scarred with

craters. The islands about 45k

from Darwin were hammered by

the RAAF and allied forces from

World War II until 1975. This was

was the main air weapons range

that was used in World War II

for aircraft that were

departing from Darwin and

flying north to places like

Timor to undertake raids on the

Japanese. Technicians have

been blowing up live ammunition

there since last year,

including a thousand-pound

aircraft bomb. So far they've

removed 47 tons of spent

ammunition. And they're using GPS technology

GPS technology to uncover even

more. It's part of a tail fin

off a large aircraft bomb. You

can still see some of the shape

tin. The old bomb tails used to

be square type shapes. The

other thing we've been finding

is things like practice bombs.

That's part of a practice

bomb. No matter how carefully you do this work, it's difficult to guarantee with

absolute certainty that every single item of ordinance has single item of ordinance has been recovered. Every dig is

treated as a potential

explosion with a 5km exclusion

zone around the islands but

some of the locals have taken

little notice. Thousands of

baby endangered flatback

turtles hatch there every year

and Defence says it's been

mindful not to disrupt nesting

grounds. The islands also hold

sacred sights for the Larrakia traditional owners traditional owners who take

possession once the project is

finished. Defence is hoping to

clear the islands of all

dangerous ordinance by the end

of the year to return as a safe

haven for Indigenous use,

research, tourism and turtles.

15 months on, a dog swept away

in Japan's tsunami disaster has

washed ashore on the US West

Coast. Covered in barnacles and seaweed, the concrete seaweed, the concrete and metal

structure emerged from the

Pacific at a beach in Oregon

State. Local officials have

confirmed the 20m-long dock is

Japanese. The plaque on top

identified it as being from an

area devastated by the tsunami. Residents from there don't want

it returned and a decision has

yet to be made on whether to

salvage it. On to the weather

now and the satellite shows

cloud over the west in a cloud over the west in a trough, cloud over eastern NSW

and brisk southerly winds.

Cloud over Victoria and

Tasmania in southwesterly winds. Southeasterly wind

should cause showers on the NSW

and Queensland coasts, a large

high should cause a cold night

for the southeast interior.

Southwesterlies should trigger

showers in western Tasmania and

southern Victoria and a trough

should cause patchy rain should cause patchy rain

through southern WA. A look

around the capitals now:

Back to the markets now:

That's the news for now, on a

day when the unemployment rate

went up and so too did the

number of jobs created, the

Federal Government called unions unions and providers together

to look at keeping a lid on

childcare costs and Victorian

Premier Ted Baillieu said his

State would not run short of

power despite the Gippsland

floods. There's continuous news

on ABC news 24 and also news

online. Our next full bulletin

on ABC 1 is 7:00 this evening.

I'm Ros Childs, thanks for

joining us and we'll leave you

with shots of the space shuttle

enterprise making its way up

New York's Hudson New York's Hudson river to a

space museum. Have a good


Closed Captions by CSI

Evening, Mr West. Third-class, London Bridge. Single or return? Oh, it doesn't matter, single. WHISTLE BLOWS Quickly, quickly.