Business loses in early exchanges

Thursday, 22 July, 2010 - 00:00

In a move that has disappointed many in business, Mr Abbott vowed that he would not alter the existing industrial relations legislation, declaring the former government’s WorkChoices was dead, buried and cremated.

However, the issue continued to dog Mr Abbott in the first few days of the campaign as he and other senior Liberals struggled to communicate how untouched the current laws would be, suggesting that some tweaking may be necessary.

While trying to neutralise the issue, the Liberals were also aware that some existing IR problems, such as the ability for students to work less than three hours after school, could be open for exploitation in the campaign.

Small business operators, who want to see unfair dismissal laws wound back for them, have also taken the Liberals to task.

The importance of IR to business was highlighted on the day the election was announced by the Chamber of Commerce and Industry WA, which stated that employer needs included a flexible and fair industrial relations system.

During the campaign, CCI said, it will be launching a paper listing the priority issues faced by WA employers, and what the next government needs to do to address them.

CCI said among the priorities were IR and a competitive tax system that encourages growth, investment and job creation.

CCI also said business needed to know how the issue of labour shortages would be tackled.

“WA deserves a greater share of infrastructure funding in recognition of its role as a key driver of the national economy, and to support new investment and attract more workers to WA,” the chamber said.

Another early turn in the election campaign that will concern many in the business community was a preferences deal between Labor and the Greens.

Labor agreed to preference the Greens in the Senate while the Greens have committed to providing preferences to Labor in 54 marginal House of Representatives seats.

The move provides a strong defensive position for Labor’s left but is likely to help the Greens gain the balance of power in the Senate.

If Labor wins the result could mean tougher policies on emissions trading or carbon taxes, which will concern business.

Labor has already been seeking to enhance its green credentials at the expense of business. This past week, Environment Minister Peter Garrett has moved to stop the expansion of phosphate mining on Christmas Island and decided to postpone a ruling on Queensland’s two most advanced coal-seam gas export projects.

There is also growing concern in the Queensland fishing industry that a big part of the Coral Sea may become a marine park. However, Mr Garrett has responded to concerns about consultation on the expansion of the East Marine Region, which extends into the ocean from the Great Barrier Reef.

“These areas for further assessment are simply areas where more detailed information will be collected,” he said in a statement. “Importantly, they are not proposed no-take zones – no proposed ‘no-take’ zones have been identified anywhere.”

There are similar concerns from primary industry in WA that Labor may use the election to announce a heritage listing for the western region of the Kimberley.