THE Australian Retailers Association (ARA) is appalled by false union claims suggesting the Fair Work Commission (FWC) found no evidence linking employment levels to penalty rates.

ARA Executive Director Russell Zimmerman said the ACTU’s claim that the FWC found no evidence that cutting penalty rates leads to employers hiring more staff is completely untrue.

“It is common knowledge that the FWC said last year (during its decision to reduce the Sunday penalty rate for restaurant industry workers) the Sunday penalty rate ‘would have some effect on employment’.

“The ARA is aware that many large retail chains have been closing as many stores as possible on Sundays and public holidays to avoid paying penalty rates.

“Unrealistic penalty rates have made many businesses unviable over the last year. The ACTU has chosen to ignore this sad reality.

“There’s no denying the fact that retailers would employ more staff if they did not have to pay penalty rates. However, seeking to be the voice of reason, the ARA is not calling for penalty rates to be abolished altogether but there is a strong need to get the balance right. Only then can retailers operate competitively on weekends and offer increased employment opportunities,” Mr Zimmerman said.
 
Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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THE Victoria Tourism Industry Council (VTIC) has applauded the State Government’s announced $100 million upgrade to Melbourne’s iconic Flinders Street Station.

“Flinders Street Station is a vital part of Victoria’s past, present and future and is a major tourism icon,” said VTIC Chief Executive Dianne Smith.

“The Station is pivotal to the success of Melbourne’s visitor precinct that includes the neighbouring Federation Square, Yarra River, MCG and arts precinct and this upgrade will bolster what is an increasingly vibrant area.”

Ms Smith welcomed that fact that the upgrade will include enhancement to both the aesthetic and operational aspects of the building.

“Upgrades to platforms, entrances, toilets and information displays will make facilities more user-friendly, especially for first-time visitors. These upgrades are essential to manage increasing visitor and passenger numbers and will encourage more people to use our transport system to explore Melbourne,” said Ms Smith.

“Along with this, the upgraded façade and heritage clock tower will enhance the streetscape and add to this already popular attraction.”

The Victoria Tourism Industry Council (VTIC) is the peak body for Victoria’s tourism and events industry, providing one united industry voice. Tourism and events are growth industries for Victoria and contribute $19.6 billion to the state economy each year and employ more than 200,000 people.

vtic.com.au 

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“THOUSANDS of Victorian small businesses will foot the bill for the costs of the two new public holidays being introduced by the Andrews Labor Government this year,” said VECCI Chief Executive Mark Stone.

Mr Stone’s comments come in the wake of the Victorian Government formalising a new public holiday for Easter Sunday (5 April 2015) that, when coupled with the proposed new public holiday for grand final eve (2 October 2015), will impose significant costs on  small business, and the Victorian economy.

“The new holidays will result in both lost productivity and higher wage costs for small business at a time when many are facing difficult trading conditions,” said Mr Stone. 

“On grand final Friday, the cost to pay many of Victoria’s almost 2 million full time employees not to come to work could reach $543 million for the day.”

Additional wages for the retail, accommodation, food services and recreation industries are estimated to cost small business owners $105 million for the two holidays as wages can be 50 percent higher on Easter Sunday and 150 percent higher on grand final eve.

The two new holidays widen the disparity between public holiday arrangements across Australia and will result in Victoria having a nationwide high of 13 days, compared to states like New South Wales with 11 and Queensland and Western Australia with 10.

VECCI recognises the introduction of two new holidays was a pre-election commitment of the Government.  However, their significant costs highlight the consequences of making populist decisions at the expense of good public policy.

VECCI urges the Government to carefully consider impacts on business, especially small business, when making future decisions in respect of public holidays.

The December 2014 quarter VECCI-Bank of Melbourne survey of business trends and prospects examined the impact of penalty rates on business operating costs and found that if penalty rates were changed, businesses would give more hours to existing staff, hire more workers or reinvest the savings back into their business.

The Victorian Employers' Chamber of Commerce and Industry (VECCI) is the most influential business organisation in Victoria, informing and servicing more than 15,000 members, customers and clients around the state.

vecci.org.au

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THE Council of Small Business Australia (COSBOA) is calling on the government to create an even playing field by removing the Fringe Benefits Tax (FBT) on childcare and health services for small business employees.

Peter Strong, Chief Executive said, “We appreciate that the government is focusing more on our needs and wants to support small business.  We currently have a situation where on-site crèches and fitness services provided by big businesses are FBT exempt, while small businesses owners and employees have to pay FBT for exactly the same service off-site.

"That’s an extra 47% that a big business employees may not have to pay. The FBT was introduced to stop the wealthy from manipulating the tax system to their advantage, but childcare and fitness is not the realm of the rich but a service for us all.

“Removal of the FBT for small business is a great idea that would not have a big impact on the budget but will greatly benefit health, families, work place productivity and increase employment opportunities.  This is the right support for government to give to small businesses with very little negative impact on government revenue in the short term and a positive economic impact in the medium term” Mr Strong added.

COSBOA has also congratulated Fitness Australia, the national health and fitness industry association, on their campaign (FITnotFBT) to remove Fringe Benefits Tax (FBT) for small businesses.

“COSBOA knows that the impact on the budget is likely to be low as these types of services are not often taken up due to the extra cost of the FBT. A submission from Deloitte to the Federal Treasurer shows that expanding the FBT exemption to external providers would not significantly decrease FBT revenue to government. 

"Deloitte further concluded that any costs would be recouped via the flow-on benefits of reduced health care costs, increased workplace productivity and extra income tax from the fitness industry. This must also apply equally to childcare and will further increase the health and welfare of families, individuals and small business,” Mr Strong concluded.

For more information on COSBOA visit: http://www.cosboa.org.au/

Connect through social media channels:

Facebook: /COSBOA
Twitter: @COSBOA

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