Skip to main content

Business News Releases

Same rules for all card payment companies urges ARA

THE Australian Retailers Association (ARA) says retailers are being forced to wear unreasonably high acceptance costs on credit cards as a result of the Reserve Bank of Australia’s unequal regulation of companies providing card payments.

ARA Executive Director, Russell Zimmerman, says some cards cost retailers more than twice as much in fees to accept than others, leaving retailers with no alternative than to pass these costs on to consumers through a surcharge to be able to continue accepting these high cost cards.

“For many years, unequal regulation of payment cards has caused headaches for retailers,” Mr Zimmerman said.

“While the cost of accepting some cards has been reducing due to regulation, accepting other cards has remained unjustifiably high -  an issue that has caused confusion for both retailers and shoppers.

“It is simply baffling why the RBA chooses to regulate certain payment companies, but not others. The ARA is calling for the RBA to apply the same rules to be applied on all payment schemes,” he said.

Unregulated card companies include American Express, Diners Club, and China Union Pay, who as a result, set the price of accepting their cards so high that retailers are forced to surcharge shoppers who use these cards instore.

“Surcharging is not a positive experience for retailers or customers and should be avoided, however, this can only can be done for low cost, regulated cards,” said Mr Zimmerman.

“The ARA has been pushing for reforms of card regulation and will continue to lobby the Government and RBA on this issue for a better outcome for both retailers and consumers.

“In the interim, it’s important for retailers to be aware that they may be contacted by unregulated payment companies in an attempt to have them absorb their excessive costs and asking them to help protect their market position.

To date, the ARA has been able to reduce costs for retailers on the three regulated payment schemes - EFTPOS, Visa, and MasterCard.

 

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $293 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

For more information, visit www.retail.org.au or call 1300 368 041.

ends

Agricultural innovation inquiry to wrap up in Sydney

ON THURSDAY this week, the House of Representatives Agriculture and Industry Committee will travel to Sydney to conduct a public hearing for its inquiry into agricultural innovation.

The Committee will hear from a range of stakeholders, including representatives from universities, industry, and farming peak bodies.

The Committee will also take the opportunity to visit the Australian Centre for Field Robotics, at the University of Sydney.

Committee Chair, Rowan Ramsey MP, said, "We’ve heard throughout our inquiry that automation is going to have a significant role in the farms of the future. We look forward to seeing firsthand some of the projects at the Australian Centre of Field Robotics, including research and development into robotics and intelligent systems that could have very important applications in agriculture."

Thursday’s public hearing will be the final hearing for the inquiry.

The hearing will be held in The Refectory, Level 5 of the Abercrombie Building, at the corner of Abercrombie Street and Codrington Street, University of Sydney:

Thursday, 14 April 2016
10.00 am - Australian Farm Institute (Submission 85)
10.30 am - Ag Institute Australia (Submission 73)
11.00 am - NSW Farmers (Submission 45)
11.45 am  - The University of Sydney (Submission 40)
12.15 pm - Australian Centre for Field Robotics (Submission 94), Dr Lindsay Campbell (Submission 31), United States Studies Centre (Submission 39), The Warren Centre for Advanced Engineering (Submission 43)
2.15 pm - Professor Brian Orr (Submission 30)
2.45 pm - John Deere
3.15 pm - NNNCo Pty Ltd (Submission 34)
3.45 pm - Dr Aharon Arakel (Submission 77)
The public hearing will be webcast live at: http://www.aph.gov.au/News_and_Events/Watch_Parliament

Further details about the inquiry, including submissions received and the terms of reference, can be obtained from the Committee’s website at: www.aph.gov.au/agind.

ends

Company tax rate cut under the microscope at Melbourne Economic Forum

TAX REFORM options, including the proposed cut in the company tax rate, personal tax cuts and incentives for innovation will be the focus at the next Melbourne Economic Forum at Victoria University.

The forum, to be held at the University’s City campus on Wednesday, follows the success of the December forum which closely examined various tax reform proposals, including payroll tax reform as an alternative to increasing the GST rate.

Dr Janine Dixon, senior research fellow at the Centre of Policy Studies at Victoria University, will deliver a modelling assessment on the impacts of a company tax cut in Australia.

She joins a panel of leading economic and tax experts who will take a closer look at Tax Reform in the hope of shedding new light on this national issue, and informing policy.

Speakers include:

  • Professor John Daley, chief executive officer, Grattan Institute on the assessment of recent tax proposals and the politics of tax reform 
  • Professor John Freebairn, from the Department of Economics at the University of Melbourne on the small business investment incentive effects of personal tax cuts 
  • Professor Beth Webster, the director at the Centre for Transformative Innovation at Swinburne University on tax policy and innovation.

Professor Peter Dawkins, Vice-Chancellor and President at Victoria University and Professor Ross Garnaut, Professorial Research Fellow in Economics at University of Melbourne will also speak.

The Melbourne Economic Forum is a joint collaboration between Victoria University and the University of Melbourne. It is run in association with the Australian Financial Review.

What:  Melbourne Economic Forum: Tax Reform
When:  Wednesday 13 April
Time: 11am to 2pm
Where:  Victoria University:  Conference Centre, level 12, 300 Flinders Street, Melbourne

ENDS

 

Retail penalty rates debate nears conclusion - ARA

THE FINAL week of hearings in the Fair Work Commission (FWC) has kicked off today with the Australian Retailers Association (ARA) confident the evidence it has put forward in the case demonstrates that current Sunday penalty rates under the General Retail Industry Award 2010 (GRIA) are costing jobs and impeding growth in the retail sector.

The ARA and the retail industry has been engaged in a review of GRIA for the past 18 months, with the view to reducing the costs for retailers who trade on Sundays, proposing a reduction in Sunday penalties from the current double time (100 percent) to time and half (50 percent).

ARA Executive Director, Russell Zimmerman, says a reduction in Sunday penalty rates will have a number of benefits for the community and economy, in addition to cost reductions for retail businesses.

“Should Sunday penalties be cut, retailers will be able to afford to employ more staff for more hours. With youth unemployment rates at an all time high, and retail being one of Australia’s largest private employers, this change will enable businesses to employ more staff, helping to reduce unemployment levels, particularly in the sector of under 25s,” said Mr Zimmerman.

“Retail employees cite shortage of staff as one of the most significant negative aspects of Sunday work - a direct consequence of the high penalty rates in place under the current GRIA. A reduction in Sunday penalty rates will allow retail employers to be able to provide more labour hours to retail employees who would like to work on Sundays.

“More staff employed for further hours will lead to more money in the pockets of these workers, increasing their spending power and fostering a stronger economy overall.”

Independent research commissioned by the retail industry demonstrates retail employees are prepared to work on Sundays for a lower penalty rate, with most retail workers indicating that their willingness to work on Sundays changes very little whether they are paid at double time or time and a half.

In December, the Productivity Commission’s (PC) final report on Workplace Relations Framework recommended that given changes to Australian lifestyles, Sunday rates should be brought into line with those of Saturday penalty rates - 25 percent, or time and a quarter.

"It is important to note that the ARA does not advocate for the removal of penalty rates, simply a reduction of the current Sunday penalty rate of double time and a half.

“The ARA and our legal teams believe the FWC is in the best position to make a decision on this important issue for the retail industry, and we are hopeful for a successful outcome,” said Mr Zimmerman.

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $293 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

For more information, visit www.retail.org.au or call 1300 368 041.

ends

Resource industry supports abolition of the Road Safety Remuneration Tribunal

THE Road Transport Remuneration Tribunal (RSRT) should be consigned to history as a misguided and flawed experiment before permanent damage is done to owner-drivers and the wider transport sector, says resource industry employer AMMA.

“Australia’s resource employers welcome today’s announcement that the Turnbull government will, if reelected, abolish the RSRT. This tribunal was setup only to pander to former Prime Minister Julia Gillard’s mates in the Transport Workers Union (TWU),” says executive director, policy and public affairs Scott Barklamb.

“While safety is the absolute priority in both the resources and transport sectors, the RSRT would have no effect but to force current self-employed owner-drivers into the unemployment queue to the benefit of company-employed drivers and the TWU.

"Conflating OHS matters with industrial relations tribunals is rarely helpful. If further resources need to be put into OHS in the road transport industry, this should be through existing safety regulars and should accompany a return to mainstream IR regulation by the Fair Work Commission.”

Mr Barklamb also notes that Australia relies on an effective, competitive road transport industry, including both employed drivers and owner drivers, operating at competitive and sustainable prices in an effective market for transporting goods.

“The significant contribution of owner-drivers in the trucking industry is critical to both the supply and distribution of Australia’s resource operations, as well as the regional and remote communities in which we operate,” he continues.

"It is clear this damaging regulation seriously endangers the jobs, livelihoods and assets of swathes of working Australians, particularly those who have chosen to be self-employed and support their families through owning and operating their own trucks.

“We need our lawmakers to have the courage to admit when they have got it wrong, and the courage to put things right.

“Labor and the Greens should join the government in a unity ticket to abolish the RSRT as a matter of urgency and return to a situation where award minimum wages apply, as they did for more than a century, and safety is again be dealt with by OHS regulators.”

www.amma.org.au

ends

Ten days left for Australian innovators to enter the 2016 iAwards

Canberra, 8 April 2016 – Australian innovators still have 10 days remaining to enter the iAwards – Australia’s premier awards programme recognising  home-grown innovation.

The deadline for nominations has now been extended to 18 April 2016 as newly appointed CEO of the Australian Information Industry Association (AIIA), Rob Fitzpatrick, brings a renewed focus to building a strong network of business mentors to support this year’s finalists.

“The iAwards is not just about winning. Its greatest benefit is in offering individuals and businesses an opportunity to develop and communicate their brand identity, strength in innovation and competitive advantage in their given fields.”

With 10 days remaining, the 2016 iAwards has seen a 20 percent increase in nominations across ten industry sectors, against this time last year.

“The iAwards is an ideal showcase for Australian visionaries who want to demonstrate their best innovations and innovative projects. I’m delighted to see students, governments and large corporates all put their hats in the ring to compete – all the name of celebrating great ideas.”

The iAwards is hosted by the AIIA, a non-profit organisation run by members for members driving innovation in technology.

To nominate, visit: https://www.iawards.com.au/nominate.

About the iAwards:

The iAwards honours innovators from corporate, research, academia, students, government and start-ups. The key goal of the iAwards’ is to discover, recognise and reward innovations that have the potential to, or are already having, a positive impact on the community – at home, in the office and on a global scale.

http://www.iawards.com.au/

Join the conversation:
One of the great things about the iAwards is that they get people talking about Digital Innovation. Take advantage of the hype by joining the conversation on Twitter, liking us on Facebook, staying in touch with LinkedIn or following us on Pinterest.

@theiAwards / #iAwards

ends

 

QRC on Coal Mine Workers’ Health Scheme

THE Queensland Resources Council (QRC) says it is keen to work with all stakeholders in progressing the interim findings released today as part of the state government’s review of the respiratory component of the Coal Mine Workers’ Health Scheme. 

"As anticipated, the review initiated by the Minister for Natural Resources and Mines, Dr Anthony Lynham, has released an interim report identifying enhanced medical assessment practices to further protect the health of our workforce," Queensland Resources Council acting chief executive, Greg Lane said.

"The health and safety of workers is a top priority and the resources sector is committed to maintaining compliance with the Coal Mine Workers’ Health Scheme.

"The resources sector has co-operated fully with the review process and in support of the Minister’s five-point action plan announced earlier this year," Mr Lane said.

"Industry remains committed to implementing the recommendations of Professor Sim and his team of experts, in a timely matter."

www.qrc.org.au

ends

ARA congratulates new ACCI CEO

THE Australian Retailers Association (ARA) congratulates James Pearson on his appointment today as CEO of the Australian Chamber of Commerce and Industry (ACCI).

Mr Pearson has formerly held roles with Shell Australia, Chevron Australia, the Australian Petroleum Production & Exploration Association, the Western Australian Department of Resources Development, and the Department of Foreign Affairs & Trade, and CEO of Chamber of Commerce and Industry Western Australia (CCIWA).

ARA Executive Director, Russell Zimmerman, said he is looking forward to continuing to build on the ARA’s strong relationship with ACCI with Mr Pearson at the helm.

“The ARA worked with Mr Pearson in his previous role as CEO of CCIWA, and I expect he will bring the same level of innovation, development and professionalism to his new role at ACCI,” Mr Zimmerman said.

“Mr Pearson is a sound choice to lead the ACCI cause with an extensive business background and I look forward to progressing the ARA and ACCI’s cooperative alliance.

“I have no doubt he will be an outstanding advocate for ACCI and its members, given his understanding of the challenges and needs of those he represents.”

Mr Pearson succeeds Kate Carnell, who has taken up the role of Federal Government’s first Small Business Ombudsman. He will take up the appointment within the next few weeks.

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $293 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

For more information, visit www.retail.org.au or call 1300 368 041.

ends

AMMA congratulates new Australian Chamber CEO

AMMA chief executive and Australian Chamber of Commerce and Industry (ACCI) board member, Steve Knott, congratulates experienced business advocate and current Shell Australia executive James Pearson on his appointment as CEO of ACCI.

“James Pearson is an outstanding appointee chosen from a large field of high quality candidates,” Mr Knott says.

“James brings to his new role a strong track record as a proven, effective advocate for the Australian business community, as chief executive of the Chamber of Commerce and Industry Western Australia (CCIWA) between 2008 and 2013, and a former board director of ACCI.

“He has extensive national and international experience in policy and advocacy as a diplomat in federal and state government, and in senior executive roles with some of the world’s preeminent global companies including Shell Australia and Chevron Australia.

“His international experience makes him well placed to add to ACCI's considerable track record of global business leadership through the International Labour Organisation (ILO), International Chamber of Commerce (ICC) and in business advocacy to the OECD.

“Resource employers and other trade-exposed industries will especially welcome James’ experience in international markets, and understanding what it takes to attract job-creating investment to Australia.

“He is eminently qualified to lead the nation’s peak business representative body at a time when our economy is transitioning, our labour markets and skills are evolving, and there are both significant challenges and great opportunities across all business sectors.

“AMMA, as Australia’s national resource industry employer group and a member of the ACCI network, welcomes James’ appointment and congratulates him on securing the role.”

www.amma.org.au

ends

Capturing the value of the private sector on transport connectivity

NATIONAL and international private sector infrastructure companies will have the opportunity to discuss pricing mechanisms for new or improved transport infrastructure projects in Sydney tomorrow as part of the inquiry into the role of transport connectivity on stimulating development and economic activity.

Chair of the House of Representatives Infrastructure, Transport and Cities Committee, Mr John Alexander MP, said that paying for new or improved transport infrastructure was one of the key questions before the inquiry.

“So far, the Committee has received a wide range of suggestions for innovative new funding mechanisms for building and maintaining transport infrastructure,” Mr Alexander said. 

"We have heard varied perspectives on the potential benefits and pitfalls of value capture mechanisms and at this hearing we will have the opportunity to discuss these mechanisms with private sector infrastructure companies that are active both in Australia and around the world,” Mr Alexander said.

In its submission, global commercial and industrial property group Goodman emphasises the role that active integrated land use planning and appropriate value capture mechanisms can play in raising revenue to help pay for the costs of transport infrastructure, noting that ‘the existence of a holistic framework for revenue raising and the allocation of funds to well devised projects will give the stakeholders confidence that the property sector can achieve, lasting and sustainable urban and regional growth in Australia.’

Hearing details
Date: Thursday, 7 April 2016
Time: 9:00 am–2:30 pm
Witnesses:

  • Autodesk (Submission 56)
  • Urban Taskforce Australia (Submission 66)
  • Goodman Limited (Submission 65)
  • Action for Public Transport NSW (Submission 60)
  • Mr Rob Senior
  • Centurion Group (Submission 69)

Venue: Macquarie Room, Parliament of NSW, Sydney
The public hearing will be webcast live at http://www.aph.gov.au/live

ends

Differential tax rates for small business not a bad thing - IPA

FURTHER lowering the company tax rate for small business would help Australia drive productivity and future economic growth, according to the Institute of Public Accountants (IPA).

“The 2015 Federal budget made steps in the right direction with a 1.5 per cent corporate tax cut for incorporated small businesses.  Unincorporated small businesses also receive a tax discount of 5 per cent up to a cap of $1,000,” said IPA chief executive officer, Andrew Conway.

“Small business is still defined as using the existing $2 million turnover test which has not been indexed since it was introduced in 2007.  If this had been indexed it would now be $3 million.

“The IPA has long advocated for a concessional income tax rate for small businesses to compensate for the regressive nature of compliance costs on such entities.

“It must be recognised that the long term well-being of the nation is dependent on the productivity and growth of the small business sector. 

“A two-tier tax system is not as bizarre as some organisations have touted but can be quite the opposite in delivering a more efficient tax regime which is fairer for small business.  A lower tax regime for small business is already part of the corporate tax regime in a number of OECD countries including Canada, France and Japan.

“Whilst differential rates of taxation may add some limited degree of complexity, it is more than offset by the benefits gained by small businesses being able to reinvest cash flow savings from lower taxes to sustain their growth,” said Mr Conway.

About the Institute of Public Accountants

The IPA, formed in 1923, is one of Australia’s three legally recognised professional accounting bodies.  In late 2014, the IPA acquired the Institute of Financial Accountants in the UK and formed the IPA Group, with more than with more than 35,000 members and students in over 65 countries.  The IPA is a member of the International Federation of Accountants, the Accounting Professional and Ethical Standards Board and the Confederation of Asian and Pacific Accountants.  The IPA was recognised in 2012 as Australia’s most innovative accounting organisation and listed in the top 20 in the 2012 BRW Most Innovative Companies List.

ends