VECCI applauds pro-business commitments, but warns of lost opportunity as election nears

VECCI Chief Executive Mark Stone today applauded both major parties' adoption of many of VECCI's election agenda recommendations for business and state economic growth, but said business is disappointed that the opportunity to lift the payroll tax threshold remains outstanding.

Mr Stone’s comments came as over 250 of Victoria’s business leaders gathered to hear the chief executive report back on the economic commitments of both parties prior to the November 29 state election.

"We commend both major parties on their pre-election announcements that are consistent with the recommendations contained in VECCI's Taking Care of Business agenda,” said Mr Stone. 

“Taking Care of Business calls for action to support jobs, infrastructure, skills and international engagement and we have seen significant pledges in these areas that will help raise business competitiveness.”

Key outcomes:

Jobs

• Strong job creation plans, with the Coalition pledging to create 200,000 jobs over five years and Labor 100,000 over two years through a range of measures, including tax incentives. 

Infrastructure

• Support for major infrastructure projects including building a metro rail tunnel, privatising the Port of Melbourne, removing level crossings and widening the Tullamarine Freeway. 

The Coalition’s significant rolling stock investment, with a strong emphasis on local content and job creation, has been welcomed by industry and Victorian Labor now needs to demonstrate a similar commitment.

Two key points of difference between the major parties relate to their positions on constructing the East West Link and expanding the Melbourne Convention and Exhibition Centre. Both projects are strongly supported by VECCI, but only have commitment from the Coalition to date.

“These projects are vitally important to business and we would hope that Victorian Labor reconsiders its positions if elected to government,” said Mr Stone.
 
Skills

• Strong commitments to apprenticeships and training to support the creation of a well-trained, job-ready workforce. 

In keeping with VECCI’s recommendations, Victorian Labor committed to reforming the vocational training system by improving VET regulation and undertaking a review of VET funding.
 
International engagement

• Commitments to further boost Victoria’s strong international engagement record through an expanded inbound and outbound trade missions program and the establishment of new Victorian Government Business Offices in South America and Asia. 

However, Mr Stone said business is frustrated that neither major party has committed to raising the payroll tax threshold from $550,000 to $850,000, as this measure would reduce business costs and encourage job creation.

“While November 29 is fast-approaching, both parties still have the opportunity to influence business,” said Mr Stone.

“Business is asking why the parties are not taking the opportunity to create jobs by lifting what is currently Australia’s lowest payroll tax threshold.”

Mr Stone pledged to keep pushing policy makers to adopt outstanding commitments before the election and into the new term of government if required.

Mr Stone also urged voters to consider their choice this election.

“Don’t waste your vote. Use it wisely to make sure Victoria has a majority government with a mandate to deliver on its commitments,” said Mr Stone.

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The Victorian Employers' Chamber of Commerce and Industry (VECCI) is the most influential body for employers in Victoria, informing and servicing more than 15,000 members, customers and clients around the state.

vecci.org.au

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