Industry News

The nation’s employers are increasingly hesitant about hiring new staff according to the latest Manpower Employment Outlook Survey released by the ManpowerGroup. The results of the survey show a continuing downward trend in employer optimism that began this time last year.

The survey canvassed over 2,200 Australian employers in a bid to measure hiring intentions for the coming quarter. The survey fond that 20 per cent of employers expect to increase hiring (down from 24 per cent last quarter), while the number of employers looking to decrease hiring has remained steady at 11 per cent.

“The high exchange rate, low consumer sentiment and uncertainty in Europe is making employers nervous and holding back hiring in many parts of the economy,” Lincoln Crawley, Managing Director of ManpowerGroup Australia and New Zealand.

"While this may seem at odds with the surprise fall in the unemployment rate in April, the Manpower Employment Outlook Survey suggests employers are looking ahead with flagging confidence levels, and responding to economic uncertainty by adjusting their workforce strategies from month to month.”

The survey revealed some surprising results across the country, with hiring intentions in the mining and construction sector dropping significantly, with employer confidence dropping nine per cent from last quarter.

"The Mining sector has been venerated as the workhorse of the Australian economy since the GFC, but the reality is it only makes up about two per cent of our labour market. Frustrations over continued skills shortages and lack of effective solutions in this sector have seen employers take a step back from the aggressive hiring competition that has been a constant in the industry since 2010," Mr Crawley said.

By contrast to the contracting mining sector, employers in finance, insurance and real estate reported the most improved forecast, up five per cent from last quarter. The research also shows a surprising increase in employer optimism in the manufacturing sector, up 3 per cent.

The results are as follows:

Net Employment Outlook Comparison - Region

Net Employment Outlook Comparison - Industry

The NSW Government has announced $100,000 prize money for the best ICT technology start-up companies participating at the Tech23 innovation event in Sydney in October.

Deputy Premier and Minister for Trade and Investment Andrew Stoner said Tech23 supports the best new ICT innovations in Australia by showcasing 23 young technology companies and their business models to an audience of over 400 potential investors, partners and clients.

Entries are now open for the fourth annual Tech23, which is organised by Slattery IT and supported by NSW Trade & Investment and will be held at Surry Hills on October 23.

 “We will be promoting high growth business innovation in NSW through a ‘Four Cs’ approach – Connecting, Capability Building, Collaboration, and Competing internationally,” Mr Stoner said.

“This involves connecting companies to the resources they need; building capabilities for high growth; supporting collaborations that drive success; and competing in global growth markets while taking NSW innovations to the world.

“By doing this we will support an innovation ecosystem that encourages the skills and attitudes needed for creative enterprise to prosper in a competitive and dynamic business sector.”

Mr Stoner said the NSW Government is pleased to be the prime sponsor for Tech23 and provide $100,000 for four cash prizes:

• Outstanding Collaboration for Innovation Award - a $20,000 prize for the company which best demonstrates active engagement in a business partnership or collaboration contributing to the development of their innovation.
• Greatest Potential Award - a $20,000 prize for the company which best demonstrates how they will progress their business model to the next level providing the greatest potential for growth and progress.
• High Growth Catalyst Award – a $20,000 prize for the company which can best drive change and high growth in any industry sector.
• Innovation Excellence Award – the major $40,000 prize for the company deemed the best of the Tech23 by demonstrating how their innovation is unique and can underpin company performance, industry dynamics, productivity change and economic growth.

For further information on Tech 23 visit www.tech23.com.au

The Federal Government has released a new carbon farming methodology that promises dairy producers the ability to convert manure into carbon credits.

“This methodology offers a new way for dairy farmers to earn tradable carbon credits and also provides an opportunity to cut power bills by turning gas into a source of electricity or heat," said Mark Dreyfus, Parliamentary Secretary for Climate Change and Energy Efficiency.

The system will involve placing a cover over manure ponds, which are commonly used by dairy farmers to manage liquid dairy manure produced by their operation.

The cover traps harmful methane and other gasses, allowing them to be burnt off or converted to be used by combustion engines and gas boilers, which generate electricity and heat.

Regional Australia Minister Simon Crean said the methodology had the potential to deliver both economic and environmental benefits to regional communities.

"Pricing carbon under the Government's Clean Energy Future Plan creates a market that rewards good behaviour - and regional communities can be big winners," said Mr Crean.

"Regional communities have determined "what" needs to be done to reduce their carbon footprint, and our programs are helping them with the "how".

The draft methodology, and further information on the Carbon Farming Initiative is available at www.climatechange.gov.au/cfi

A team of researchers from the University of Adelaide have found that twins born at 37 weeks are significantly less likely to develop serious complications.

The research, published in the British Journal of Obstetrics and Gynaecology, is is based on the world’s biggest study addressing the timing of birth for women who have an uncomplicated twin pregnancy.

Studying 235 women in Australia, New Zealand and Italy, researchers found that babies born to women in the early birth group (37 weeks) were significantly less likely to be small for their gestational age compared with babies born to women in the standard care group (38 weeks or later).

"This slowing of the growth rate can result in low birth weight, which is associated with an increased need for care in the neonatal nursery in the short term and increased risk of health problems in later life, including heart disease and diabetes. There is also the risk of one or both twins being stillborn,” Lead researcher Professor Jodie Dodd said.

"We found that at 37 weeks, elective birth is associated with a significant reduction in the risk of serious morbidity for infants, without increasing complications related to immaturity or induction of labour."

Professor Dodd says there has been a lot of uncertainty in clinical practice about the optimal time for twins' birth.

"We hope this study will help clinicians to make recommendations to women with healthy twin pregnancies that lead to less complications at birth, and therefore lead to happier, healthier lives for their babies.

The Beef Co-operative Research Centre at Armidale in NSW will close at the end of June, having failed to secure ongoing funding.

The Beef CRC was established in 1993 to identify the genetic and non-genetic factors affecting beef quality and other production traits of economic importance.

It has focused the work of more than 100 Australian scientists from 10 different institutions across 12 research locations in most states.

The CRC established and managed two new research facilities, including Australia’s premier cattle research feedlot facility ‘Tullimba’, near Armidale in Northern New South Wales.

Total cash and in-kind resources invested in the first two successive terms of the Beef CRC amounted to $146.4 million.

The Tasmanian Government has released the results from the state’s latest round of chemical testing of Tasmania’s rivers and streams.

The head of the Department of Primary Industries, Parks, Water and Environment Chemical Management Branch, Christian Goninon, said the samples were collected from 47 locations across Tasmania during May 2012.

The DPI tested the water sources for the presence of a range of agricultural chemicals, finding that 43 sites were clear of all pesticides. However, four sites tested positive to several different pesticides. Including:

Montagu River at Renison Road

• MCPA at 0.29ppb – a pesticide used to control weeds in pasture

Montagu River at Stuarts Road

• Simazine at 0.35ppb – a herbicide used to control germinating grasses in both forestry and agriculture

Clyde River at Bothwell

• MCPA at 0.40ppb
• 2,4-D at 0.15ppb – a herbicide used to control flat weeds in pasture and cereal crops

Tuckers Creek at Barnbougle Road

• Prometryn at 0.07ppb -  a herbicide used to control both broad leafed weeds and grasses in a range of agricultural crops.  

Results for all 32 rounds of testing are available on the DPIPWE website at www.dpipwe.tas.gov.au

The NSW 2012-13 Budget has allocated funding of more than $45 million for the Office for Medical Research, including:

• $5 million for the Medical Research Support Program (bringing the state’s total spend on the program to $37 million each year) to support independent medical research institutes;
• $5 million for a new Medical Devices Seeding fund; and
• $3.5 million to further support the implementation of the Health and Medical Research Strategic Review.

The Australian National University and the Research School of Physics and Engineering have announced a joint collaboration that will see the construction of a pioneering plasma thruster, an engine that could be used  to power satellites as far as Mars. The collaboration will also see the construction of a space simulation facility at Mt Stromio Observatory.

The project is being driven by the Space Plasma Power and Propulsion (SP3) Laboratory of the Research School of Physics and Engineering in close collaboration with the Research School of Astronomy and Astrophysics at The Australian National University.

The plasma thruster and the space simulation facility are expected to be ready by mid-next year. The plasma thruster could be propelling a test satellite into space within the next two years.

The initial missions will investigate the possibility of using the plasma thruster to send out-of-date satellites into ‘graveyard’ orbits. The long-term aim is to scale the prototypes up to allow flights to Mars. This would be the first time a satellite with a plasma engine has been tested.

Professor Rod Boswell, of the Space Plasma Power and Propulsion Laboratory, said that the plasma thruster project was significant for the Australian space community because it allowed for the development of completely Australian satellites.

“A number of Australian universities teach aerospace and mechantronics. Up until now, there’s been nowhere for them to test their spacecrafts – they have to go overseas. So this will really be providing a major service, not only in Australia, but also in Southeast Asia,” Professor Boswell said. 

Victorian Governor Alex Chernov will lead the state’s 60 strong delegation attending the world’s largest biotechnology convention and exhibition, Bio2012.

 "The BIO2012 mission offers a great opportunity to raise the profile of Victoria as a leading Asia Pacific centre for biotechnology and innovation and to grow Victorian partnerships, investments, jobs and exports,” State Technology Minister Gordon Rich-Phillips said.

"BIO attracts the biggest names in biotechnology, offers strategic networking and investment partnering opportunities and provides insight into the major trends in the industry.

"Victoria offers a highly innovative operating environment with access to world-class research institutions, a strong pipeline of talented and motivated professionals, a stable and transparent regulatory environment and an enviable quality of life.

"We are home to a growing pharmaceuticals manufacturing base and our expertise in stem cell, infectious disease, cancer, neuroscience and agricultural biotechnology is internationally recognised."

Hosted by the Biotechnology Industry Organisation (BIO), BIO2012 will take place from 18-21 June in Boston. Governor Chernov will also address the Australian Biotechnology Investment Showcase being held in New York on 15 June.

The Bureau of Meteorology (BoM) has warned that the country faces slipping back into the El Nino weather pattern, which will produce similar drought conditions that ravished the country during the summer of 2009.

The BoM has announced that all of its modelling predictions indicate that the El Nino weather system will most likely make a return in October this year.

The El Nino weather pattern forms as a result of the warming of the central and eastern Pacific, resulting in significant shifts in weather patterns.

"Most of those models are saying probably neutral to El Nino conditions over the next few months but then out into spring a lot of the models are going for an El Nino event,” BoM’s manager of climate modeling Karl Braganza told the ABC.

"The drying over the south-west and the south-east has been occurring for a lot longer and it's not necessarily related to El Nino events."

The Northern Territory Government has completed a review into the financial sustainability of shires, concluding that while shires are viable there are some key issues that need to be addressed to further improve them in the long term.

The review also concluded that existing shire council structures are appropriate in continuing to serve the needs of the communities.

The Territory Government commissioned Deloitte Touche Tohmatus to review the financial sustainability of shires in November last year, which included a steering committee comprising of local government specialist and senior Territory Government officers.

Local Government Minister, Malarndirri McCarthy today released the first Review of Councils’ Financial Sustainability report, since the amalgamation of shires in 2008, and said a Taskforce will be set up to review and manage the implementation of the 32 recommendations. 

“The shires in this report and the Local Government Association of the NT are committed to working with the Territory and Australian Governments to ensure the financial sustainability of our shires into the future,” said Minister McCarthy.

“The report identifies issues that need to be addressed to ensure the long term financial sustainability of shires, and specifically changes to their revenue and expenditure functions.

“The report also provides recommendations to improve the operations and the legislative and reporting framework applicable to shire councils.

“Despite this, the report does not recommend going back to the previous set up of smaller community councils – in fact it argues for further amalgamation.

The review by Deloitte was completed in May this year and has resulted in a final report containing:

• Financial analysis of the Councils’ financial information;
• Identification of the critical issues including a risk assessment;
• Commentary on Council financial sustainability across core and non-core services and fee-for-service operations;
• Commentary on the effectiveness of current funding arrangements; and
• Commentary on whether the current structure of the Councils is appropriate to meet future service delivery requirements.

A copy of the report is now available on the department’s website at

www.localgovernment.nt.gov.au/local_government_reviews

The Western Australian Government has announced the creation of the state’s 11^th marine park, with the Ngari Capes Marine Park being listed on the Government Gazette.

“The Capes region is home to a remarkable marine environment as well as some of Australia’s top surfing spots,” State Environment Minister Bill Marmion said.

Situated about 220km south of Perth, Ngari Capes Marine Park covers about 124,000ha and extends from Geographe Bay near Busselton to Augusta, including the waters between Cape Naturaliste and Cape Leeuwin.

It is one of the State’s most popular tourist destinations and includes the Leeuwin-Naturaliste National Park, which attracted more than 2.7 million visits in 2010-11.

“The vast majority of the marine park is open to fishing, with 93 per cent of the coastline available for recreational fishing. The Government has achieved the right mix of conservation, recreation and commercial activity for one of WA’s iconic marine settings,” Mr Marmion said.

The park contains a range of both tropical and temperate marine habitats and species as a result of the influence of the warm Leeuwin and cold Capes currents that flow through the area. The park is also home to a range of marine mammals, such as humpback and southern right whales, sea lions and New Zealand fur seals. 

The Victorian Government has announced plans to overhaul the way in which the state procures information and communication technology services through the introduction of a ‘streamlined and transparent process’ that will give companies more opportunities to bid for tenders.

State Assistant Treasurer Gordon Rich-Phillips said the overhaul will see the current eSerivces Panel replaced with an eServices Register.

The reform to the tender process was the key recommendation of a joint industry and government working party that was appointed last year to review ICT procurement.

"We have accepted the preferred option of the working party report and will consult with industry over the next few months on how this recommendation can best be implemented," Mr Rich-Phillips said.

"The Coalition Government will consider the report's full recommendations and work with industry to transition from the current panel arrangement to a proposed register.

"Current suppliers will be automatically eligible to join the new eServices Register when it is implemented over the next year.

The report found that a transition to an eServices Register would allow for a more fair and efficient process of bidding for tenders. The register will be mandated for use by government departments and agencies with membership open to all companies that meet eligible criteria.

"The register will provide for further competition, increase value for money and allow the government to consider new and innovative technology and services," Mr Rich-Phillips said.

Electricity giant AGL has been selected by the Federal Government as the successful proponent in the solar photovoltaic (PV) category of the Solar Flagships Program. The company, together with manufacturer First Solar, will deliver large-scale solar PV power projects totalling 159 MW at two sites in New South Wales.

AGL will develop a 106 MW project at Nyngan and a 53 MW project at Broken Hill.  First Solar will provide engineering, procurement and construction services for both projects, using its advanced thin-film PV modules.

AGL’s Managing Director, Michael Fraser, said:  “AGL is delighted to be working with the Commonwealth and NSW Governments, our project partner First Solar, and the people of Broken Hill and Nyngan to deliver these significant renewable energy projects. They represent a tremendous opportunity for AGL and the broader solar industry to begin the roll-out of solar power as a meaningful source of generation supply in Australia.

“This investment is also a clear demonstration of AGL’s commitment to renewable energy and is a natural next step for us to build on our strong track record of wind, hydro and biomass renewable generation assets.

“Together with AGL’s recent purchase of the Silverton Wind Farm development rights, the development of a large-scale solar PV project close to Broken Hill will see the location emerge as NSW’s renewable energy hub.”

The Commonwealth and NSW Governments will provide grant funding to support the delivery of the projects, with the Federal Government contributing $129.7 million. The NSW government will provide the remaining $64.9 million.

On an annual basis, the projects will produce enough electricity to meet the needs of over 30,000 average households in New South Wales. The electricity and large-scale generation certificates produced will be sold to AGL under a long-term offtake arrangement to support its customer base and meet its renewable energy obligations under the Renewable Energy Target legislation.

“As an extra boost to the regional economies of both locations, we expect the projects to create significant new direct and flow-on employment during construction.  Ongoing employment will also be generated to support project operations,” said Mr Fraser.

It is estimated that approximately 150 direct construction jobs will be created in Broken Hill and up to 300 in Nyngan.

The projects will be developed in 2012-13 with construction complete in 2015. First Solar will maintain both projects for AGL for five years after commercial operation starts.

The Australian Human Rights Commission has released the Working Past Our 60’s: Reforming Laws and Policies for the Older Worker paper, detailing how age barriers in workers compensation, income insurance and licencing block willing and able older workers continuing to work their 60’s and beyond.

“Although most people want to continue to work through their 60’s and beyond, they face a number of external barriers,” Age Discrimination Commissioner Susan Ryan said.

“Recent research tells us that, of people aged over 55 years, there are about 2 million who are capable and want to work, but are barred from jobs.”

Commissioner Ryan said that most workers compensation stops at 65, or soon after, and income insurance is hard to get after 60.

“This is a big barrier for tradespeople who need to insure their business and themselves,” Ms Ryan said.

“For example, age bars in licencing stop capable vehicle drivers from getting jobs, even in the current climate of skills shortages.”

The report can be found here

http://www.humanrights.gov.au/age/publications.html

The New South Wales Government has announced an extra $1 billion will be invested in the NSW health system for the financial year, bringing the total investment in the state’s health infrastructure to $18.3 billion.

State Minister for Health, Jillian Skinner, said the spend on health is a 5.4 per cent increase compared to the previous year and will allow for the growing demand for hospital care.

Ms Skinner said the investment public health will provide for an extra 50,000 emergency department presentations, 30,000 additional acute inpatient services including 2,000 more elective surgery procedures, and improved intensive care services including:

• $5.6 million for additional adult intensive care services at Gosford, Prince of Wales, Nepean and Liverpool Hospitals
• $1.4 million for the Sydney Children’s Hospital Network to enhance paediatric intensive care services to improve critical care services for children
• $2.8 million for additional neonatal intensive care services at John Hunter Children’s and Westmead Hospitals

On 1 July 2012 NSW begins the move to the new Activity Based Funding (ABF) model for public hospitals which will provide a clearer, more transparent basis for funding and comparing hospital costs.

New major capital works projects for the metropolitan area include:

• $16 million to begin construction on Stage One of the $270 million Blacktown Mount Druitt Hospital expansion
• $3.5 million for Stage One of the $120 million Hornsby Hospital redevelopment
•  $31.7 million to upgrade car park facilities at Blacktown, Nepean and Wollongong Hospitals

Rural and regional capital works projects include:

• $1.5 million to upgrade Cessnock Hospital’s Emergency Department
• $6.8 million for the $170 million Bega Hospital
• $17.7 million for the $220 million Tamworth Stage Two Redevelopment

The New South Wales Government has outlined its education spending for 2012/13 year, recording an increase in training and early childhood education of $383 million to $13.83 billion.

“This Budget promotes our objectives of improving the future of education in NSW for students, as well as enhancing the NSW skills base, meeting the needs of students with disability, and tackling Literacy and Numeracy,” Minister for Education Adrian Piccoli said.

“I am proud to announce that an extra $115 million will be spent for national partnerships, mainly in Early Childhood Education, Smarter Schools, Empowering Local Schools, Skills Reform and More Support for Students with Disabilities.

“We are spending an extra $98 million on early childhood education and care, focused on universal access to a quality early childhood education program in the 12 months prior to starting school, bringing the total to $377 million.

“$48 million in National Partnership funds  is being spent  across three years  to  support the Government’s implementation of Every Student, Every School which will provide enhanced learning and support for students with a disability. Additionally, an extra $47 million will be delivered to support the Assisted School Travel Program.

The State Government has also further outlined its Local Schools, Local Decisions reform will allow for greater school autonomy

The New South wales Government has announced it will invest $5 billion to build and maintain critical road and maritime infrastructures across the state.

“This year’s budget includes a significant investment aimed at tackling ongestion in our busy city areas and improving our rural and regional network with major commitments to the Pacific, Princes, Hume and Great Western highways,” NSW Roads and Ports Minister Duncan Gay said.

Features of the roads and maritime budget include:

• $2.2 billion for new roads;
• $1.3 billion for maintenance of the State’s existing roads;
• $311 million for improvements to the traffic network;
• $270 million for road safety; and
•  $17 million for commuter wharf upgrades.

Key initiatives to improve NSW roads include:

• $530 million to continue building the Hunter Expressway between the F3 Freeway at Seahampton and the New England Highway at Branxton (State and Federal funded);
• $240 million to start  work on the Pacific Highway upgrade between Tintenbar and Ewingsdale, north of Ballina (State and Federal funded);
• $180 million to continue work on the dual carriageway upgrade of the Pacific Highway between Coffs Harbour (Sapphire) and Woolgoolga (State and Federal funded); $90 million to start major work on the Gerringong upgrade of the Princes Highway between Mount Pleasant and Toolijooa Road;
• $70 million to continue planning the upgrade of the Pacific Highway between Woolgoolga and Ballina (State and Federal funded).

This year’s Budget also has funds allocated to complete a number of important projects including:

• $100 million to complete  the Holbrook bypass as the final stage of the Hume Highway duplication between Sydney and Melbourne (State and Federal funded);
• $59 million to complete the dual carriageway upgrade of the Pacific Highway at Bulahdelah (State and Federal funded).

Also announced was:

• $10 million to finalise planning and start work on the four lane divided road upgrade of Nelson Bay Road, between Bobs Farm and Anna Bay;
• $9 million to upgrade the New England Highway between the hospital and railway station roundabouts in Maitland;
• $8 million to upgrade of Raymond Terrace-Dungog Road by Port Stephens and Dungog councils;
• $6 million to upgrade Hunter Region wine roads;
• $5 million  to upgrade of Wallanbah and Avalon Road by Greater Taree Council;
• $1 million for replacement of railway level crossing on Woy Woy Road at Horsfield Bay; and
• $1 million to upgrade Wisemans Ferry Road on the Central Coast.

The New South Wales Government has announced the creation Urbangrowth NSW, a new organisation responsible for driving investment in key locations in the state and help ‘underpin the future prosperity of urban and regional centres.’

“Establishing Urbangrowth NSW will drive further investment into the NSW economy, particularly the housing market,” NSW Planning and Infrastructure Brad Hazzard said.

“Urbangrowth NSW will continue the Government’s 10,000 housing lots program; coordinate and deliver lead-in infrastructure and service provision to development areas; plan and fast-track urban renewal projects to unlock further private sector investment -providing more housing choice and affordability.”

The New South Wales Government has announced plans to refinance State-owned assets, including Port Kembla, in a bid to fund and expedite priority infrastructure projects.

“While we have already started the process of releasing funds through the successful long-term lease of the desalination plant, undertaking a scoping study for the long term lease of Port Botany, and the planned sale of the electricity generators announced last month, more needs to be done to free-up vital funds for critical road, school and hospital projects across NSW,” State Treasurer Mike Baird said.

Mr Baird said the Government’s scoping study for the long-term lease for Port Botany has revealed strong bidder interest.

“The successful lease of the desalination plant demonstrates the strong private sector interest in quality infrastructure assets in NSW and we think that both Port Kembla and Port Botany can deliver significant value for NSW taxpayers,” Mr Baird said.

Mr Baird said the additional scoping work on Port Kembla would not delay the Port Botany transaction process. The Government will consider the scoping study recommendations during the first half of 2012, with a view to completing the transaction by mid- 2013.

Mr Baird said proceeds from the transaction will be invested in Restart NSW (with 30 per cent of funds reserved for projects in regional areas), while $100 million is earmarked for infrastructure projects in the Illawarra which will be determined by Infrastructure NSW later this year.