Industry News

The New South Wales Government has announced remuneration packages for councillors and mayors, allowing rise by up to 2.5 per cent for the next financial year.

The announcement comes after the Local Government Remuneration Tribunal recommended councils be permitted to increase wages of councillors’ and mayors’ fees by a maximum of 2.5 per cent from July 1.

NSW councils have different scales of fees for councillors and mayors, depending on their population and other factors, as determined by the Division of Local Government (see table, below). Mayors receive councillor fees in addition to mayoral fees.

“As Minister, I believe it is appropriate that the people who take the time to represent their fellow ratepayers and their communities are considered as part of the broader public sector of NSW, and have their remuneration determined in the same fair, independent and transparent way as other members of the public sector,” New South Wales Minister for Local Government Don Page said.

“Therefore, I agree with the Local Government Remuneration Tribunal’s recommendations to increase the fees paid to councillors and mayors by up to 2.5%, should councils decide the rise is necessary.

The New South Wales Senate’s General Purpose Standing Committee No. 5 has published a report into the environmental, economic and social impacts of coal seam gas (CSG) mining in NSW, delivering 35 recommendations for Government action.

“A key theme throughout the report is the level of uncertainty surrounding the potential impacts of the coal seam gas industry. More data needs to be gathered to assess potential impacts, and in order to do this, we need to allow the exploration phase to proceed. While exploration and drilling are of great concern to many community members, they are unavoidable if we are to assess whether it is safe for the industry to proceed to production,” said the Committee Chair, Rober Brown said.

The report urges a moratorium on all CSG approvals before the Government ensures that all deficiencies in the regulatory framework are addressed. The inquiry also expressed concern over property rights.

“With regard to property rights, we found an imbalance between landholders and mining companies with regard to land access. The Committee therefore recommends that the  Petroleum (Onshore) Act 1991 be reviewed with a view to strengthening landholder rights and achieving a fair balance between the rights of landholders and coal seam gas operators.”

The full report can be found here

ACT Chief Minister and Minister for Health Katy Gallagher MLA welcomed the start of the ban on smoking in cars with children under the age of 16.

"Children have a right to be protected from the health effects of tobacco smoke when they are in a car," the Chief Minister said.

"The ban will be enforced by ACT Policing. Those found to be smoking in a car with children will have to cough up a $250 on the spot fine or up to $5,500 if the offence is proven in court.

"While it is an adult's right to choose to smoke and expose themselves to all the associated and well-known health risks, this ban aims to protect children who could not otherwise protect themselves.

"The Smoking in Cars with Children (Prohibition) Act 2011, which comes into force [start of May, 2012], protects that right. Exposure to tobacco smoke is harmful, especially to children and is associated with an increased risk of health conditions such as various cancers, ear infections, asthma and SIDS."

A comprehensive education campaign has been conducted informing the Canberra community of the ban. This has included posters, bus and radio advertisements.

ANZ has posted a statutory profit after tax of $2.29 billion for the half year ended 31 March, representing a remarkable 10 per cent increase when compared to the same time last year.

The results will undoubtedly place pressure on the bank to pass on the Reserve Bank’s 50 basis point cut in full, but the bank is staying reserved on whether it will commit to a cut.

The bank has committed to its rates mechanism, after it publically broke from the RBA’s mandated rate policy. Rather than shadowing the RBA, the bank now announces its own rates on the second Friday of every month.

“We do recognise that adapting to this environment creates major challenges. Our recent decisions on interest rates for customers in Australia and on employment within the Group reflect the need to reshape our business. Clearly though, we need to work harder to find new ways of responding to customer and community concerns about banking and to the changes that have been brought upon the banking sector by this environment,” ANZ CEO Mike Smith said. 

A new CEDA paper is calling for Perth to consider congestion charging to avoid the gridlock strangling other Australian capital cities such as Sydney and Melbourne.

CEDA Chief Executive Professor the Hon Stephen Martin said Western Australia's economic success was generating significant population growth, increasing pressure on transport infrastructure.

"This population growth will need to continue if WA is to avoid predicted labour shortages, which means consequences of that growth, such as congestion, need to be managed now," he said.

"This paper Stifling Success: Congestion charges and infrastructure delivery, aims to generate debate on options for addressing congestion in Perth now, before the issue becomes too costly for residents and business."

Paper author, CEDA Chief Economist Nathan Taylor said the cost of congestion to Perth is forecast to rise from $900 million in 2005 to $2.1 billion by 2020.

Mr Taylor said while congestion charges are often unpopular when proposed, the experience in other jurisdictions is that once implemented they become more broadly accepted.

In response, Perth Lord Mayor Lisa Scaffidi says CEDA’s  proposal is totally insulting to Perth.

“Coming from an out-of-town representative, it shows little understanding of our traffic masterplan and certainly no ‘sense of place’ appreciation whatsoever,” Ms Scaffidi said.

"I am actually quite shocked.  Having previously worked for this think tank, I'm of the view that this kind of commentary shows ‘no thinking’ and feel they have tanked with this one”

Attorney-General Nicola Roxon has announced the Federal Government’s intentions to reform the country’s privacy laws, with an aim to simplify credit reporting arrangements, give new enforcement powers to the Privacy Commissioner and better protect people’s personal information.

The Attorney explained that key changes to benefit consumers are:

• clearer and tighter regulation of the use of personal information for direct marketing
• extending privacy protections to unsolicited information
• making it easier for consumers to access and correct information held about them
• tightening the rules on sending personal information outside Australia
• enhancing the powers of the Privacy Commissioner to improve the Commissioner’s ability to resolve complaints, conduct investigations and promote privacy compliance

The Government will also modernise credit reporting arrangements. Benefits for consumers include:

• making a clear obligation on organisations to substantiate, or show their evidence to justify, disputed credit listings
• making it easier for individuals to access and correct their credit reporting information
• prohibiting the collection of credit reporting information about children
• simplifying the complaints process by removing requirement to complain to the organisation first, complaints can be made directly to the Privacy Commissioner, and by introducing alternative dispute resolution to more efficiently deal with complaints.

“There have been big changes to the way we access finance since 1990 when the existing credit reporting provisions came into effect,” Ms Roxon said.

“Many consumers have expressed their frustration at not being able to understand their credit rating.

“These changes will provide much more power to consumers to be able to access and, if necessary, correct their credit reports.”

The reform will be achieved through changes to the Privacy Act 1099, and will be introduced before Parliament in the Winter sitting period.

Further information is available from www.ag.gov.au/Privacy/Pages/Privacy-Reforms.aspx

Information about Privacy Awareness Week is available at www.privacyawarenessweek.org/

Australian households are better off than they have ever been before, but our lifestyle aspirations are compromising our disposable income, according to the latest AMP.NATSEM Income and Wealth Report.

The Prices these days! The cost of living in Australia explores how living costs had changed since 1984, finding that disposable income had increased 20 per cent of the last 27 years.

The report found that cost of living pressures continued with strong price growth since 1984 across everyday essentials including electricity, which increased 253%, rent prices grew 223%, mortgages increased 256%, petrol increased 208% and public transport costs jumped 287%.

The report concluded that households are spending significantly more on discretionary items, including private schooling, restaurant meals, childcare and tertiary education. The report also found that incomes have outpaced the costs of living since 1984.

While Australia enjoys petrol prices that are amongst the lowest in the world, the costs of services, particularly education, have increased strongly since the 1980’s.

Finally, and what will come as little surprise to their inhabitants, Sydney and Melbourne rank amongst the most expensive cities in the world, with the two cities hitting 7^th and 8^th respectively. However, the two cities also enjoyed amongst the highest incomes.

The full report can be found here 

Optus has announced a major restructure of its business with an aim to drive greater efficiencies in its dealing with customers.

However, the announcement will see Optus shed approximately 750 jobs as it moves to ‘remove a number of areas of duplication’ to save upwards of $37 million.

The majority of the redundancies will come from senior and middle management, as well as from operations, back office and support areas.

“By creating a more efficient organisation with a renewed focus on the customer, we will be able to compete more effectively. When combined with our reinvigorated Optus brand and stronger mobile network, these changes will put us in an even stronger position to provide our customers with an exceptional and rewarding experience, while at the same time driving sustainable growth for our business,” Kevin Russel Chief Executive Officer, Consumer Australia said.

The announcement comes a month after Optus’s parent company, Singtel, announced a major restructure of its global business assets.

A stormwater management plan for the Brownhill and Keswick Creek catchments is a step closer following a strategy proposed by the Chief Executive Officers of the five catchment councils involved in the project.

The strategy calls for the commencement of the bulk of proposed flood mitigation works – as recommended by consulting firm WorleyParsons – including construction of bypass culverts, detention basins, creek diversions and channel upgrades along the catchment.

In light of community concerns about the proposed flood control dam in Brownhill Creek Recreation Park, the strategy also commits to pursue a feasible alternative to the dam over the next 12 months while other works elsewhere in the catchment get underway.

CEOs from Adelaide, Burnside, Mitcham, Unley and West Torrens Councils will recommend the strategy and seek approval from their respective councils this month.

Michael Salkeld, Project Director of the Brownhill Keswick Creek Stormwater Project, says if the five councils endorse the strategy it will then form the basis of a stormwater management plan to be formally presented to the Stormwater Management Authority for approval.

“We are confident of moving forward with a stormwater management plan that has the support of all five catchment councils and takes into consideration the views and concerns of council constituents,” he said.

Carbon emissions within the City of Adelaide have reduced by 7.7 per cent in the four years ending in 2010, a recent study has found.

The study conducted by the Adelaide City Council, compared the city’s carbon emissions in 2006 and 2010 in an effort to measure the effectiveness of initiatives to reduce the city’s emissions.

Lord Mayor Stephen Yarwood said the reduction was a significant achievement and congratulated the City community and State Government on their commitment to a low carbon future for Adelaide.

“What we are seeing is a positive shift in attitudes towards energy consumption and a great investment in renewable energy in the State,” Stephen said.

The city’s reduction in emissions was primarily due to extensive investment in South Australia in renewable energy sources such as wind power, which accounted for 21 per cent of the State’s generated grid electricity.

The Victorian Government has announced a $35 million innovation spending initiative in the State 2012-13 Budget.

Victorian Minister for Innovation Louise Asher said the innovation budget will double the number of Victoria Prize and Fellowships on offer, as well as a number of new initiatives.

"A $5 million voucher program will promote the uptake of new skills and support businesses to exploit Victoria's world-class science and research capabilities," Ms Asher said.

"Increasing the number of these awards demonstrates the Coalition Government's commitment to furthering Victoria's status as the science and research capital of Australia.

"I am also pleased to announce that the number of Innovation Fellowships offered annually by the Victorian Endowment for Science, Knowledge and Innovation (VESKI) will be increased with a new $1.5 million commitment.”

Nominations are now open for the 2012 Australian HR Awards, with invitations extended to nominate individuals and organisations who have exhibited outstanding performance in the field of Human Relations in 2012.

Online nominations, which can be made here , are the first round to be judged by the panel of industry experts.

New Award categories for the 2012 awards include Best Reward and Recognition Strategy, Best Recruitment Strategy and an award for Lifetime Achievement in the HR field.

More information on the awards can be found here

Parramatta's smart card – ParraSync – has fought off heavyweight competition from the Commonwealth Bank and Google to win a major award at the Smart Card Awards Asia in Singapore.

ParraSync won the award for Best Near-Field Communication Collaboration Initiative.

This Australian-first initiative will integrate access to many areas of city-living into one card or smart-phone application.

The initiative was developed by a technology consortium comprising Parramatta City Council, STMicroelectronics and SGS Technologie Australia, and is supported by the NSW Government's Collaborative Solutions - Mobile Concierge initiative.

"I'm absolutely delighted that ParraSync has won this prestigious award against such tough competition," said Lord Mayor of Parramatta, Cr Lorraine Wearne.

Member for Parramatta, Geoff Lee MP said when it is launched later this year, ParraSync will bring many cards into one multi-purpose card or smart-phone application.

"Card holders and mobile users will be able to access Council-owned car parks, use it as a security tag to access work buildings, borrow from local libraries, purchase items from businesses, access loyalty programs and more," Mr Lee said.

ParraSync is currently in a trial phase and will be available for distribution later this year.

The Victorian Government has announced $5.8 billion in infrastructure spending in the State’s 2012-13 Budget.

Premier Ted Baillieu said the infrastructure investment was a vital part of the Victorian Coalition Government's economic strategy to generate jobs, boost productivity and grow Victoria's economy.

In 2012-13 there will be $41 billion of public sector capital projects including public private partnership projects underway in Victoria," Mr Baillieu said.

Major spending programs announced in the program are:

• $350 million to be spent over four years to remove level crossings at Springvale Road, Springvale and Mitcham Road and Rooks Road, Mitcham and to construct premium railway stations and associated facilities;
• $156 million for the next stage of the Dingley Bypass;
• $66 million to build the Koo Wee Rup Bypass;
• $49 million to duplicate Narre-Warren Cranbourne Road between Pound Road and Thompson Road;
• $38 million to build the Ballarat Western Link Road;
• $42 million to continue the duplication of the Western Highway between Beaufort and Buangor;
• $172 million for rail maintenance for the regional freight and passenger network; and
• acquiring additional carriages to provide V/Line with a standard fleet of three-car trains.

The Victorian Government has outlined $58 million in spending for high performance manufacturing in the State’s 2012-13 Budget.

New productivity networks, support for new technology and innovation and specialist advice and services for Victorian manufacturers are set to benefit from the spending to be delivered over foru years.

"These grants will support Victorian manufacturers to transform their operations by adopting strategies that improve productivity and competitiveness, strengthen capability and encourage wider and ongoing innovation,” State Minister for Manufacturing Richard Della-Riva said.

"This funding includes support for networks to plan and scope potential activities and to undertake specific projects such as information exchanges, collaboration with research institutions or pursuing new business and market opportunities.”

The Federal Government has announced the formation of three expert groups to help inform the design of the National Disability Insurance Scheme (NDIS).

The groups will work under the NDIS Advisory Group to assist the Government in designing the scheme that will aim to meet the lifetime car enad support the needs of those with significant and permanent disability.

They will advise on the design of key elements of the scheme including eligibility and assessment, quality safeguards and standards and a national approach to choice and control for people with disability.

The formation of the expert groups comes after the Federal Government announced the rollout of the NDIS scheme, with the first cover expected to be granted in July 2013.

The expert groups are:

National Approach to Control and Choice
Jeff Harmer, NDIS Advisory Group (co-chair)
Fran Vicary, NDIS Advisory Group (co-chair)
Robbi Williams, Julia Farr Association
Kirsten Deane, National Disability and Carers Alliance
Lesley Hall, Australian Federation of Disability Organisations
Samantha Jenkinson, National Disability and Carer Council
Ara Cresswell, Carers Australia
Vicki O’Halloran, Somerville Community Services Darwin
Daniel Leighton, Inclusion Melbourne

Eligibility and Assessment
Rhonda Galbally, NDIS Advisory Group (co-chair)
Joan McKenna-Kerr, NDIS Advisory Group (co-chair)
Ros Madden, University of Sydney
Janet Dore, Transport Accident Commission
Robbi Williams, Julia Farr Association
Tim Moore, Carers Australia
Graeme Innes, Australia’s Disability Discrimination Commissioner
Frank Quinlan, Mental Health Council of Australia
Suzanne Lulham, New South Wales Lifetime Care and Support Authority
Lesley Hall, Australian Federation of Disability Organisations

Quality Safeguards and Standards
Lorna Hallahan, NDIS Advisory Group (co-chair)
Bruce Bonyhady, NDIS Advisory Group (co-chair)
Stephanie Gotlib, Children with Disability Australia
Margaret Reynolds
Marita Walker, Perth Homecare
Sally Robinson, Griffith University
Kevin Cocks, Queensland Anti-Discrimination Commissioner
Kelly Shay, United Voice

The Federal Government has announced $10 million in funding for Western Australia’s Carnegie Wave Energy’s Perth Wave Energy Project on Garden Island near Fremantle.

“With the Government’s assistance through the Emerging Renewables Program, this $31 million pilot project will demonstrate the potential for Carnegie’s Australian invented and owned CETO technology to provide up to two megawatts of energy to the electricity grid,” Minister for Resources and Energy Martin Ferguson said.

“This technology not only has the potential to increase investor confidence in wave projects and help unlock Australia's untapped wave energy resource, but it could also produce zero emission desalinated seawater, which on a dry continent such as Australia, is a significant additional attraction.”

The Western Australian Government will contribute $5.5 million to the project.

The Australian Law Reform Council (ALRC) has released an Issues Paper for its inquiry into the legal barriers to mature aged participation in the workforce.

The release of the paper comes after the ALRc has been asked to investigate a number of laws, including superannuation law, family assistance, child support and employment law.

“There is often a complex interaction between things that are ‘barriers’ to workforce participation and things that are ‘incentives’ to leave the workforce. Leaving the paid workforce may also mean people are able to make a valuable contribution in other productive work—like the hugely important role of volunteers in our community,” ALRC President Professor Rosalind Croucher said.

“The ALRC considers that six interlinking principles should guide reform in this area: participation; independence; self-agency; system stability; system coherence; and fairness. One key question we are asking in the Issues Paper is whether there are any other principles that should inform our deliberations. Other questions refer to changes that should be made to remove barriers in the various areas of law under review.”

The full issues paper can be found here

The Victorian Government has outlined $13.68 billion for health spending in the Victorian 2012-13 State Budget, marking a $618 million increase over the last year.

Health Minister David Davis said the budget had balanced the growing needs of the health sector with maintaining fiscal responsibility.

Mr Davis said the highlights of the Government's health service expansion, redevelopment and building program included:

• $46 million to provide 60 extra beds at Ballarat Base Hospital, and to honour the election commitment to build a helipad for the hospital, on top of a new multi-deck carpark;
• $15 million to expand maternity services and establish an intensive care unit at Sunshine Hospital;
• $23 million to build the new Charlton Hospital, co-funded with the Commonwealth, to replace the hospital that was damaged in the January 2011 floods;
• $93 million for a major upgrade at Geelong Hospital, including 64 extra beds, care for older patients and a boost to cancer care;
• $40 million to expand and reconfigure the Frankston Hospital emergency department, including a 12-bed short stay unit;
• $10 million to upgrade Castlemaine Hospital, including a new second theatre;
• $5 million for radiotherapy services in Warrnambool, to service south-west Victoria;
• $20 million to redevelop and expand Kilmore Hospital, including 30 extra beds; and
• $2 million to introduce chemotherapy services at Seymour Hospital.

Also announced was a further $59.6 million over the next four years to boost cancer research through the Victorian Cancer agency.

"The Victorian Cancer Agency provides a major co-ordinating role in cancer research in Victoria and this funding will ensure Victoria continues to progress vital work," Mr Davis said.

"Our initiative supports the activities of several cancer research and treatment facilities, including the $1 billion Victorian Comprehensive Cancer Centre, the Olivia Newton John Cancer & Wellness Centre, Monash Comprehensive Cancer Consortium and the regional cancer centres.”

Due to external economic shocks, Victoria's revenue forecasts over the next four years will be $8.3 billion lower than was forecast in late 2010. This is a bigger financial hit than that which occurred during the 2008 global financial crisis.

The Budget attempts to build on measures announced last year to put Victoria's finances back onto a sustainable path through further savings of $1 billion over four years. Measures taken include:

• limiting Parliamentarians' pay increases to 2.5 per cent for the next twelve months and a freeze on their allowances;
• limiting senior public servant salary increases to 2.5 per cent;
• a further reduction of 600 public service positions; and
• additional departmental efficiencies.
• The 2012-13 Budget delivers surpluses exceeding $100 million each year growing to $2.5 billion by 2015-16.

The government's fiscal strategy will stabilise net debt to six per cent of GSP by June 2016.

Through this budget, the  Government has prioritised the following:

• The Government will cut WorkCover premiums by an average of three per cent from July 1 this year.
• As part of the Government's manufacturing blueprint A More Competitive Manufacturing Industry, the 2012-13 Budget delivers $58 million to boost productivity and assist Victorian manufacturing businesses to compete in the global economy.
• The Government will invest a further $1 billion over four years to support future economic growth with a better educated and skilled workforce, to increase productivity and workforce participation.
• The budget provides $13.7 billion to Victoria's hospitals and health system in 2012-13. $1.2 billion is provided over four years in additional funding for health and aged care services. Funding has also been provided for major hospital upgrades in metropolitan and regional Victoria.
• A $200 million school capital program will fund new schools and important facility upgrades.
• The 2012-13 Budget also delivers $1.4 billion in new funding for early childhood development, education and training and $336 million to better protect Victoria's most vulnerable children.
• The 2012-13 Budget delivers on important new infrastructure projects, including $42.2 million for the Western Highway, $35.5 million for the Ballarat Western Link Road and additional regional rolling stock.