THE Australian Small Business and Family Enterprise Ombudsman Kate Carnell says government investment in regtech would be an effective way to cut red tape for small businesses.

Appearing before a Senate Select Committee hearing today on Financial and Regulatory Technology, Ms Carnell said the emergence of regtech created an opportunity to make life easier for small businesses.

“Research shows us that a quarter of small businesses spend 11 hours a week or more on compliance and close to half estimate the annual cost of compliance is $10,000 plus,” Ms Carnell said.

“Regtech uses information technology to simplify regulatory processes for the end user. It’s a potential game-changer for small businesses trying to navigate Australia’s complex regulatory system.”

The Ombudsman has made a number of key recommendations in regards to key areas where regtech could be implemented including award simplification, tax requirements, skills and training, government procurement and OH&S.

“With effective use of regtech, the government could streamline processes and reduce the burden on small businesses to interpret and implement complex regulations,” Ms Carnell said..

“This would be particularly useful in the industrial relations space where regtech solutions could ensure small businesses are paying wages and entitlements correctly and on time. We’ve recommended the Fair Work Ombudsman accredit regtech solutions for this purpose.

“In addition, government procurement would be optimised with digitisation. Regtech could provide small businesses with easier access to panels and demonstrate ongoing compliance. It could also simplify the tender process for small businesses.

“Ultimately the government has an opportunity to modernise their systems now to reduce red tape so that small businesses can develop the skills and products Australia needs to remain globally competitive.”

www.asbfeo.gov.au

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COMMISSIONERS of the Australian Securities and Investments Commission [ASIC] will appear before the Parliamentary Joint Committee on Corporations and Financial Services at a public hearing via videoconference on Wednesday July 15, 2020.

The committee will review the performance and operations of the corporate regulator, with a particular focus on ASIC’s performance during the COVID-19 crisis.

This will be the fourth public hearing with ASIC before the Corporations and Financial Services committee in this Parliament.

Committee Chair Senator Paterson said, “This hearing is an opportunity for the commissioners of ASIC to update the parliament on the measures they have taken in response to COVID-19 and their outlook for the financial sector in the months ahead.”  

Public hearing details

Date:  Wednesday, 15 July 2020
Time:  9:30am to 1pm
Location: Videoconference
The hearing will be broadcast live at aph.gov.au/live

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WHILE EALRY adaptation of on-site hygiene practices, including safety, physical distancing rules and staggered break times, were implemented on construction sites to provide safer workplace practices – the increase in community virus transmissions has necessitated further safety measures.

Michael Paynter, liaison officer for the Building and Construction Industry, will brief up to 200 construction Health and Safety (H&S) representatives to ensure they are armed with all guidelines for safe work practices.  

The briefing initiative will help ensure H&S representatives have the capability to assist the Department of Health and Human Services (DHHS) with workplace mapping of close and casual contact of workers who have tested positive to COVID-19.

Mr Paynter said, "By briefing on-site H&S representatives, we will be better positioned to assist with workplace mapping, all of which will further strengthen the health and safety platform for building and construction workers – and in turn – keep our Industry operational."

CFMEU officials closed a site in Melbourne’s inner west where 11 positive COVID-19 cases have been confirmed. The CFMEU in conjunction with site management immediately shut the site after the first case was confirmed (four days prior to the DHHS instruction) preventing any further opportunities for the virus to spread amongst workers. 

Yesterday, DHHS contacted the relevant site management to perform further contact tracing, instructing the job to remain shut for the next two weeks, with no workers to return to the site without proof of a negative test result. 

John Setka CFMEU secretary for Vic/Tas said, "Our commitment to the health and safety of our workers has always been paramount and we’ve done a great job so far; but we need to do more to look after each other, our families and the community.  So, if you or anyone in your household is unwell, stay home and get tested."

He said the CFMEU remained committed to the implementation of COVID-19 safety procedures to ensure the protection of all construction workers.  The current industry guidelines are first class, with daily on-site virus testing clinics.  To date, well over 6,000 workers have been tested at more than 100 construction sites around Melbourne.

"It is critical that the industry continues to move forward with health and safety testing clinics for all construction workers and expanding safety measures where and when required."

WITH ‘free childcare’ ending today, the Australian Small Business and Family Enterprise Ombudsman Kate Carnell said many women in small businesses will be faced with difficult decisions.

“For small business owners – many of which are mothers – who have been working tirelessly to get back on their feet, childcare has just become unaffordable,” Ms Carnell said.

“Many of these young families working in small businesses are relying on JobKeeper, which will not cover childcare fees reinstated from today.

“This could force parents – mothers more often than not - out of their jobs, which is detrimental to their business, their families and even worse for the economy.

“We know women make up more than a third of Australia’s small business owners (38%) and more than 5 million women work in these businesses," Ms Carnell said.

“Recent ABS labour force data shows women have been among the hardest hit by the pandemic, with the female participation rate falling dramatically.

“The government should be monitoring this situation very closely and be considering innovative ways to increase the participation rates for women to ensure productivity gains and to help those in their efforts to get their businesses back on track," she said.

“Our COVID-19 Recovery Plan makes the point that childcare is an essential service for parents in small businesses and needs to be affordable.

“There are a number of ways the government can do this, including making childcare tax-effective or by phasing in an expanded subsidy scheme, which the Grattan Institute estimates would deliver an $11 billion economic boost.

“Economists have long referred to the ‘double dividend’ of childcare increasing workforce participation rates and providing early education," Ms Carnell said.

“Equally the government should be monitoring the impact that the reinstatement of fees is having on childcare centres, many of which are small businesses, which have warned of dire consequences of the so-called snap-back to the previous system.”

www.asbfeo.gov.au

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