THE Tasmanian caravanning industry risks a bleak summer despite Australians embracing caravanning and camping in other states as they emerge out of lockdown and borders start to re-open.

Recent data released by Caravan Industry Association of Australia regarding November caravan park accommodation shows Tasmania is the worst performing caravanning destination for the month with falls of 40 percent on last year.  This was at a time when overnight rates for cabin accommodation also saw the greatest decrease of any state.

While consistently in the top three desired caravanning destinations in the country, Tasmania is missing out on the V-shaped recovery as states clamber to attract or retain Victorians looking to re-engage with drive-based holidays.

Bass Strait continues to be the single biggest impediment to the Australian caravanning community flocking to the island, with the local market still slow to recover and get out and see some of the magnificent natural features that the state has to offer.  Calls for Federal Government support to extend the Bass Strait Passenger Vehicle Equalisation Scheme to include free travel for cars and caravans are echoed by the peak national body for the industry.

Caravan Industry Association of Australia CEO, Stuart Lamont said, “Passengers who arrive by the Spirit of Tasmania stay longer, spend more and disperse further, supporting not only Tasmania but also stimulating the Victorian industry as well.

“The Passenger Equilisation Scheme is meant to normalise the costs of travelling on the water as if it was part of the road network, with the government saving millions of dollars as Bass Strait has been largely closed during COVID with border closures between Victoria and Tasmania.

“The government must act quickly to save Christmas for many local caravan park operators who are already struggling to survive and whose pipeline bookings are much softer than they should be for this time of year,” Mr Lamont said.

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THE Retail Supply Chain Alliance unions -- the AWU, TWU and SDA -- are demanding a Royal Commission into the exploitation, wage theft and abuse "that is rife across Australian farms" in the wake of another explosive new report into the Australian horticulture sector. 

The McKell Institute report, Blue Harvest, focused on blueberry pickers in the Coffs Harbour region, where thousands of backpackers flocked in search of farm work during coronavirus lockdowns in 2020.

An investigations team traversed the mid North Coast, gathering data and stories from blueberry workers employed during the 2020 picking season. Some were paid as little as $4 a bucket to pick low-quality fruit, while others earned just $3 an hour -- well below the award rate of $24 an hour.^[1] Others described common employment arrangements where accomodation, transport, food, and even vital equipment like gloves and berry containers had to be bought directly from farm-owners, reducing daily earnings.

The report also investigates how many workers are recruited by fly-by-night labour hire companies which use Facebook, WeChat and Gumtree to falsely promote fruit-picking as highly paid, fun work.

Retail Supply Chain Alliance spokesperson, AWU national secretary Daniel Walton, said after years of hand wringing, inquiries and reports, it was time for action.

“This shocking new report can be added to the mountain of research indicating that Australian farms have become a hotbed of wage theft, exploitation, and worker abuse. It’s not just Coffs Harbour either – pick a spot on the map, and you will find outrageous exploitation. ” Mr Walton said. 

“It’s about time David Littleproud (National Parfty deputy leader) woke up and took some responsibility for the sector he’s supposed to be in charge of. Under Mr Littleproud’s watch, Australian farms have developed an addiction to illegality and a domestic and international reputation as a place where you are likely to be ripped off or worse," Mr Walton said. "The Minister needs to stand up and announce his support for a Royal Commission urgently. 

“This idea that exploitation is limited to a few bad apples needs to be done away with. This is a sector defined by and built on illegality. By turning a blind eye, the government has created a system of rules and structures that rewards labour abusers and punishes those operators doing the right thing. We’d like to see good farmers stand with us and call out the bad operators, rather than staying silent and let the rip offs continue.

“It doesn’t need to be this way. There are developed nations that produce abundant horticultural exports without relying on labour exploitation to subside their product. Australia needs to decide if we want to take the ethical, high-productivity route or the unethical, labour exploitation route. To inform this decision we need a root and branch examination of the sector and a Royal Commission is the ideal vehicle."

Australian workers becoming victims

Natalie Trigwell, a picker featured in the report, lost her Northern Rivers home in the bushfires and decided to take up farm work in Coffs Harbour region.

“I packed everything in the campervan and headed off berry picking, just out of sheer desperation. I went down there and found that I was earning $15-20 per day,” she said. 

McKell Institute policy director Edward Cavanough said the backpackers he spoke to felt intimidated and “powerless to complain”.

“These foreign workers are often aware they are being exploited, but feel frightened and uncertain about making formal complaints,” Mr Cavanough said. 

“Those who do complain often face hurdles like language barriers and bureaucratic delays which means their allegations are never investigated.”

Key findings of the report

• No worker shortage in Coffs Harbour 

The COVID-19 outbreak actually increased numbers of migrant workers (mainly Working Holiday Makers) to around 2000 in the Coffs area during the study. 

• The rapid growth of industry has led to bad behaviour

An increase of blueberry farms over five years has resulted in an influx of labour-hirers who exploit anabundance of short-term workers.

• Backpackers are being set up for exploitation

Tourists on the Working Holiday Maker visa wanting to extend their stay are vulnerable to underpayment, because of rules requiring them to work 88 days in regional Australia.

• Wage theft is a business model

Some workers have alleged gross underpayments as low as $3 an hour, orchestrated through the systemic abuse of piece-rates.

The McKell report also outlined a range of simple reforms including a crackdown on rogue recruiters, stronger penalties, greater enforcement from workplace investigators, reforms of Australia’s visa schemes and new laws to ensure farmers are required to pay a minimum hourly rate.

The Australian Workers’ Union, the Transport Workers’ Union, and the Shop, Distributive and Allied Employees' Association, jointly funded the investigation through their Retail Supply Chain Alliance. The Alliance believes the issues uncovered in Coffs Harbour is a mere microcosm of the industry where everyday workers harvesting grapes, berries, flowers, vegetables and fruits are systemically underpaid.

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AUSTRALIA must increase incentives for venture capital as well as research and development to boost the economy and employment, according to Stoic Venture Capital partner Geoff Waring.

Dr Waring said more needed to be done to attract investment in venture capital and research and development.

Dr Waring pointed to recommendations outlined in the Senate Select Committee on Financial Technology and Regulatory Technology’s recent Issues Paper which highlight the critical role research and development, foreign investment and talent play in growing our economy.

“This insightful paper stresses the importance of attracting investment and channelling it towards long-term drivers of our economy including venture capital and research and development,” Dr Waring said.

“Programs such as the Business Innovation and Investment Program and the Global Talent Visa program provide millions of funding that is allocated to venture capital.

“We are in a competitive global market for entrepreneurial talent and capital. Australia must highlight its advantages over competing countries. Accessing global talent and capital will help Australian start-ups to grow into next generation business and employment powerhouses.

“This creates a virtuous circle, where success attracts more talent and capital.”

Dr Waring said the most successful national technology programs combine public research with private industry.

Stoic Venture Capital brings private capital to public research. Stoic is the Co-Investment Fund of Uniseed, a commercialisation fund which focuses on financing early-stage companies that emerge from Uniseed’s member universities.

“We must provide more incentives to attract and retain founders as well as growing technology companies in Australia,” Dr Waring said.

“We encourage the Australian Government to increase the amount required to be allocated to venture capital under the BIIP. Venture capital has higher public returns than other asset classes and is a differentiator compared to other countries’ visa programs without this option.

“This will help Australia develop the economic benefits of next generation innovations from universities, which include high paying jobs and new industries that spring from novel intellectual property.”

About Stoic Venture Capital

Stoic Venture Capital provides financing for early-stage companies, particularly those arising from university research. Stoic is unconditionally registered as an Early Stage Venture Capital Limited Partnership (ESVCLP) and takes a collaborative approach to investing in the highest potential companies. Atlas Advisors Australia AFOF is the major limited partner for the Fund. www.stoicvc.com.au

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THE NUMBER of loans to owner occupiers soared by 11.5 percent during the month of October, smashing the record set just one month earlier in September according to Master Builders Australia CEO Denita Wawn. 

“The remarkable result is shown in the latest ABS lending data and is the latest evidence that the success of HomeBuilder is having a positive impact on the housing sector and the economy,” she said. 

“As yesterday’s GDP figures show, HomeBuilder is already moving the economy forward. Compared with October 2019, the number of loans for new home construction has expended by 82.8 percent.

“Work on all of these new home building projects is keeping the residential building industry very busy in the lead up to Christmas and means that 2021 will get off to a very positive start,” Ms Wawn said. 

“HomeBuilder is not only meeting its KPIs, but exceeding expectations. Last weekend’s announcement around the extension to HomeBuilder represents a very positive development. It means that new home building and major home renovations work can look forward to a steady pipeline into 2022. 

“Home renovations work jumped by 5.1 percent during the September 2020 quarter and contributed to the 3.3 percent expansion in Australia’s economy over the three months,” Ms Wawn said. 

“Residential building activity has a much stronger ability to support overall economic growth than almost any other sector.

“We will see more of the benefits from HomeBuilder coming over the next few months. This is good news for the businesses in the building supply chain and the people they employ. It is good news for the whole economy,” Ms Wawn said.

www.masterbuilders.com.au

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