THE Victoria Events Industry Council (VEIC) has welcomed the Andrews Government’s announced Victorian Visitor Economy Review for the benefit it will bring to the events industry.

“Victoria’s celebrated business, sporting and cultural events are an important part of our state’s $19 billion tourism sector and it is positive that the spotlight is on opportunities to further capitalise on this growth industry,” said VEIC Chief Executive Dianne Smith.

“Victorian businesses throughout our state are keen to collaborate further on events with government and we are confident that this review will highlight innovative opportunities for this.”

Ms Smith’s comments follow the Andrews Government’s announced Victorian Visitor Economy Review, which will study events in Australian and international cities, along with a review of Victoria’s relevant government bodies, to ensure Victoria retains its status as the events capital of Australia.

“Business and government absolutely need to continually work hard to make sure we get the greatest return possible from this thriving and important industry,” said VEIC Chair Peter Jones.

“It is a competitive market and many events, such as this week’s Formula 1 Australian Grand Prix, are highly sought after by competing destinations.”

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The Victoria Events Industry Council (VEIC) is the peak body for Victoria’s events industry, providing one united industry voice. Major Events contribute over $1 billion to Victoria’s economy every year, creating jobs and underpinning Melbourne’s status as one of the global sporting capitals and the World’s Most Liveable City.


vtic.com.au

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FEDERAL Parliament’s Public Accounts Committee will hold a public hearing this Friday as part of its review of an Australian National Audit Office (ANAO) report on the Regional Development Australia Fund (RDAF).

The Department of Infrastructure and Regional Development, and the ANAO will appear as witnesses.

Committee Chair, Dr Andrew Southcott MP, said that a number of issues in the report required further public scrutiny, with RDAF involving a significant outlay of public funds.

“The ANAO report emphasised there was not a clear trail through the assessment stages to demonstrate that the projects awarded funding were those with the greatest merit in terms of the published program guidelines. The ANAO also noted that the department had not implemented recommendations from a previous audit of the first RDAF funding round,” Dr Southcott said.

“The report concluded that there needs to be greater adherence to published program guidelines and identified principles of better practice grants administration, and that decisions need to be made in accordance with the public interest and without regard to party political considerations.”

The RDAF was established in 2011 as a nationally competitive, merit-based grants program. Four funding rounds were delivered between 2011 and 2013, with some $226 million in grant funding being awarded to 121 projects under the third and fourth rounds. The ANAO’s findings and recommendations are set out in Report No. 9 (2014-15), Design and Conduct of the Third and Fourth Funding Rounds of the Regional Development Australia Fund.

Details of the hearing are as follows:

Friday, 6 March 2015 – 9.30am to 11.30am

Committee Room 2R1, Parliament House, Canberra

Further information about the inquiry, including the program for the hearing and copies of submissions, can be accessed via the Committee’s website at www.aph.gov.au/jcpaa.

The hearing will also be streamed live at http://www.aph.gov.au/News_and_Events/Watch_Parliament.

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THE Australian Retailers Association (ARA) said the seasonally adjusted rise (0.4 percent increase) in monthly retail trade figures (month-on-month) reported today by the ABS followed a 0.2 percent rise in December 2014.

ARA Executive Director Russell Zimmerman said retailers reported strong sales in the first week of January but experienced a tougher trading environment towards the end of the month.

“Boxing Day was huge for retailers this year and many consumers carried on bargain hunting well into the first half of January.

“Department stores struggled during December, but come January, it seems effective promotions were successful in drawing people in-store.

“While food retailing suffered during January (-0.7%) due to consumers often being away from home and choosing to eat out instead, the cafes, restaurants and takeaway food services sector enjoyed a nice boost in sales (2.0%). As always at this time of year, Aussies are out and about socialising with friends and family at their local eateries. 

“With many consumers returning to work from their Christmas holiday towards the end of January, there was a natural drop in discretionary spending which unfortunately impacted the clothing, footwear and personal accessory sector (0.1%).

“It will be interesting to see the results of February retail sales when this information is released next month, as Valentine’s Day usually provides retailers with another welcome boost in sales,” Mr Zimmerman said.  

In seasonally adjusted terms the states which displayed rises were Queensland (1.2%), Victoria (0.5%), Tasmania (1.9%) and Western Australia (0.1%). New South Wales was relatively unchanged (0.0%). There were falls in the Australian Capital Territory (-1.9%), the Northern Territory (-1.8%) and South Australia (-0.1%). 

MONTHLY RETAIL GROWTH (December 2014 – January 2015 seasonally adjusted)

Department stores (2.2%), Cafes, restaurants and takeaway food services (2.0%), Other retailing (1.0%), Household goods retailing (0.7%) Clothing, footwear and personal accessory retailing (-0.1%), Food retailing (-0.7%) and Total sales (0.4%).

Tasmania (1.9%), Queensland (1.2%), Victoria (0.5%), Western Australia (0.1%), New South Wales (0.0%),  South Australia (-0.1%), Northern Territory (-1.8%) and Australian Capital Territory (-1.9%). Total sales (0.4%).

YEAR-ON-YEAR RETAIL GROWTH (January 2014 – January 2015 seasonally adjusted)

Household goods retailing (8.7%), Cafes, restaurants and takeaway food services (5.0%), Clothing, footwear and personal accessory retailing (3.0%), Food retailing (2.2%), Other retailing (1.1%) and Department stores (1.1%). Total sales (3.5%).

New South Wales (5.2%), Victoria (3.6%), South Australia (3.1%), Queensland (2.4%), Western Australia (2.1%), Tasmania (1.9%), Australian Capital Territory (1.7%) and Northern Territory (-2.0%). Total sales (3.5%).

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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 Reserve Bank of Australia’s (RBA) decision to keep the cash rate on hold today at 2.25 percent will support the retail industry for the time being but additional cuts are likely to be necessary.

The Australian Retailers Association (ARA)  Executive Director Russell Zimmerman said the current period of stable interest rates is a positive sign for both business and consumers.

“While the stable cash rate has positively impacted consumer spending, both the Federal Government and RBA must now do all that they can to ensure that retail trade is fully supported.

“Unfortunately, we have seen some concerning data lately including low wages growth and a weak international environment which has left consumers and businesses feeling a little nervous. The ARA therefore encourages the government to prioritise real productive reforms and for the RBA to consider further rate cuts next month to maintain consumer confidence,” 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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KEEPING  the community safe and maintaining personal privacy and freedoms will be canvassed at a public hearing on Wednesday, as part of an Inquiry into the use of section 313 of the Telecommunications Act 1997.

The House Standing Committee on Communications will hear evidence from two organisations that question the need for section 313 of the Act, which gives Australian government agencies the ability to obtain assistance from the telecommunications industry when upholding Australian laws.

Electronic Frontiers Australia (EFA) regards section 313 as a “dangerous impediment to Internet freedoms” and recommends that it be struck out completely, or, if retained, be restricted to law enforcement, national security agencies, and possibly oversight agencies such as ASIC.

The Australian Privacy Foundation (APF) is opposed to section 313 in its current form and believes its misuse has an adverse impact on Australians’ privacy. The APF says the section should be re-written to establish due process and appeal rights, and to remove conflicts and confusion between the diverse subject matter comprising law enforcement, crime prevention and national security.

Committee Chairman, Jane Prentice said, “The Committee is conscious of the wide range of views within the community about the need for balance between personal freedom and community protection—especially in the internet age. The Committee expects that by testing a range of views on the use of section 313, we will be able to find the right balance between the rights of citizens and the responsibilities of government agencies.”

Details of the hearing are as follows:

Date: Wednesday, 4 March 2015

Time :8:00 am

Venue:Committee Room 1R3, Parliament House, Canberra

Further information about the Inquiry, including the full terms of reference and how to prepare a submission can be obtained from the Committee’s website at www.aph.gov.au/section313 or from the Secretariat on (02) 6277 2352.

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VECCI Chief Executive Mark Stone said the organisation was urging the Parliament of Victoria to support the passage of the Back to Work Bill as a priority for the job creation benefit it will bring to Victoria.

"VECCI, Victoria's major business organisation, has consistently supported this important legislation as it will establish a $100 million fund to give payroll tax relief to businesses hiring unemployed youth, the long-term unemployed and retrenched workers into full time work," Mr Stone said.

"Employers will be eligible for a payroll tax rebate of up to $1,000 per employee to subsidise the cost of training, uniforms, transport and tools.

"We understand that the Upper House resistance involves the Greens being unwilling to support the Government’s attempt to facilitate job creation in Victoria, as well as minor resistance from the Opposition on reporting requirements; both of which should not be the main game here.

"Every attempt by any Government to improve the job prospects for young people should be debated on merit, not on red tape trivia. Debate over reporting only creates more regulation and cost for small business. Jobs and the ability to employ more people is what matters," Mr Stone said.

"Any opportunity to create jobs for young Victorians and reduce the red tape impost on business must be seen as a step forward.

"VECCI hopes the two major parties resolve their differences quickly to give the Back to Work strategy a chance to succeed."

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 Australian Retailers Association (ARA) has continued to expand its physical presence by officially opening a Queensland office launching the ARA Queensland Division with Queensland based retailers.

The ARA Queensland Division is run by retailers, for retailers with our local board fully comprising Queensland retailers.

Following the collapse of smaller retail organisations over recent years which left local retailers with very little voice, the ARA has now officially opened offices in Brisbane with staff and board members working across Queensland.

ARA Executive Director Russell Zimmerman said the ARA Queensland Division looks forward to working with the new Queensland Government and will take a new bi-partisan approach to supporting retailers in the state.

“For some time now, Queensland retailers have reported they want certainty and security by having a stable government in place and an industry body that is accessible at all times to retailers which will advocate their issues to all sides of Queensland politics.

“In order to truly represent the retail industry and have a thorough understanding of the issues facing retailers on a day to day basis, an industry body must be run by those who know first-hand the opportunities and challenges that come with running a retail business. This is why the new ARA QLD division is proudly run by retailers, for retailers with nearly all key ARA staff also having retail backgrounds,” Mr Zimmerman said. 

ARA Queensland national board member and new Chair of the Queensland Division Ralph Edwards said Queensland-based retailers want to be certain their government is focused on creating jobs and improving business conditions.

“Retailers have told me they want clear direction from the new Queensland Government on jobs and costs for business. The ARA Queensland Division and Board will be working alongside the new government to ensure the retail industry and small business remain at the forefront of government initiatives,” Mr Edwards said.

ARA Queensland Division Board:

Ralph Edwards - Bright Eyes Sunglasses (ARA national board member and Queensland Chair)
Rowan Hodge - Battery World
Manjit Sadhwani - Dollars and Sense
Stuart Beechen - Aktiv Brands
Emmanuel Drivas - Coffee Club
 
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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THERE is little point in the Reserve Bank of Australia cutting interest rates on Tuesday and a move could drive business and consumer confidence even lower. 

QUT financial economist Dr David Willis said the RBA would likely resist a second cut in consecutive months but tipped a rate cut further in the year.

In its February meeting, the RBA cut the cash rate by 25 basis points to 2.25 per cent after they had been on hold for 18 months.

"The quarter of a per cent cut could be described as a surprise and wishful thinking from the RBA about the effect such a cut would have on any investment decisions and consumer consumption," Dr Willis said.

"There is little point in the RBA using what is left in its monetary arsenal at this time."

Dr Willis said with interest rates at record lows, cutting them further risked damaging the housing part of the economy.

"On one side, the side the RBA hope for, companies see low interest rates as an opportunity to invest in new infrastructure and consumers cheer lower mortgage payments and, buoyed also by cheaper petrol, start spending and stoking the economy," he said

"However the other side, which seems to be playing out, is that the RBA is seen to be very worried about the wider economy and low wage growth, high unemployment and low consumer and business confidence.

"So rather than boosting confidence, another rate cut could cause business to be more pessimistic, stop spending and amass cash in the event of a recession. Meanwhile consumers are worried about unemployment so use any savings to pay down debt.

"Cutting rates further now will only have a very marginal effect in the medium term and may drive confidence even lower."

Dr Willis said the "only bright spot" for the RBA was the property market and rate cuts could also put this in jeopardy.

"The RBA is starting to place a lot of risk into the housing market and if this develops into a housing bubble, then, when interest rates rise again, it could mean a bust taking the entire economy with it.

"Therefore I think the RBA will do the responsible thing for this cycle and keep rates on hold, as a cut gives no appreciable gain for the economy as a whole."

But Dr Willis said the RBA would probably be forced to cut rates again later in the year.

"Government is presently looking to cut the budget, not spend, and the economy is already in adjustment from the end of the mining boom," he said.

"So the RBA will have little choice but to use everything at its disposal to try to stimulate the economy later in the year, even though it knows there will be only marginal or no effect on the real economy and it risks inflating a housing bubble."

www.qut.edu.au

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