THE Australian Small Business and Family Enterprise Ombudsman Kate Carnell is backing the video game industry’s call for a 30 percent tax offset, to ensure Australian producers are internationally competitive.

In its submission to the Federal Government’s inquiry into Australia’s creative and cultural industries, the Interactive Games and Entertainment Association (IGEA) has recommended the tax offset to encourage productivity and help local producers secure a greater share of international contracts.

Ms Carnell said there was a strong economic argument as to why Australia’s video game industry, which is comprised of many high growth potential small businesses and start-ups, ought to be supported.

“The video game production industry was worth about $250 billion globally in 2019, but the Australian sector earned a mere $114 million of that,” Ms Carnell said.

“Internationally, we are seeing video game production industries in countries that offer tax incentives such as Canada, the UK and New Zealand securing substantially larger slices of the pie.

“For instance, in Canada, which offers a digital media tax credit on labour and certain marketing expenditures, the video game development industry employs more than 27,000 full time workers and generates $3.8 billion in revenue.

“Australia compares poorly with less than 1,300 full time workers in the video game production sector and earning less revenue that New Zealand," Ms Carnell said.

“While the Federal Government invests $750 million annually in arts and culture, the video game sector continues to fall through the cracks.

“IGEA estimates Australia could create a $1 billion industry in game development, providing export revenue and employing an additional 10,000 full time workers with the right support.

“A tax offset for game development, similar to the incentives given to the screen production industry would be an excellent start.”

www.asbfeo.gov.au

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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 18 November 2020.

The committee will review the performance and operations of the corporate regulator, with a particular focus on ASIC’s organisational structure.

The committee will hear evidence from the Australian National Audit office (ANAO) after its recent audit which identified potentially inappropriate expenses paid to ASIC Commissioners.

Submissions will also be heard from a number of academic experts on the optimal organisational structure for regulators.

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

Committee Chair Senator James Paterson said, “This hearing is an opportunity for the committee to hear from experts about ASIC’s leadership structure and alternatives to ensure we have a high-performing regulator which enjoys the trust and confidence of Australians.”  

Public hearing details

Date:  Wednesday, 18 November 2020
Time:  9am to 5pm
Location: Videoconference
The hearing will be broadcast live at aph.gov.au/live.

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THE South Australian CFMEU and Master Builders SA are jointly calling on the South Australian Government to immediately work with the industry to avoid a prolonged shutdown of construction which would damage the economy and hurt businesses and workers as the state grapples with the coronavirus outbreak.

CFMEU SA Construction Secretary Andrew Sutherland and MBA CEO Ian Markos said they understood the need to get on top of the coronavirus outbreak, however the construction industry around the country has clearly demonstrated it can safely operate during the pandemic. 

"We both agree that the Marshall government must protect the livelihoods of the more than 75,000 South Australians directly employed in the industry," Mr Sutherland said.

"The industry understands the importance of getting the virus under control and since the pandemic began workers, unions and builders have worked collaboratively to put in place the hygiene and safety measures that ensure the industry can remain open and covid-safe. 

"We are calling on the Marshall Government to work with us to find ways to keep construction going, as the industry has done safely and successfully around the country throughout 2020."

Even at the height of the pandemic crisis with hundreds of cases being reported daily, the construction industry in Victoria did not shut down completely. The Victorian CFMEU and MBA successfully worked together to keep sites safe and maintain the industry's role as a backbone of the economy.

"The industry in South Australia has already put in place strong safety and hygiene measures to limit the risk of Covid exposure and spread on construction sites and we are ready to work with the State Government to keep the industry open and able to maintain its vital role to the SA economy.  It can be done," he said.

"It is critical that the industry is able to commence planning this weekend for a start next Wednesday – or sooner, so that construction work can start in a safe, planned and controlled way."

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INDUSTRY Super Australia (ISA) has welcomed the Victorian Government’s record $5.3 billion investment in social housing.  

The Andrews Government's five-year investment will provide homes to many Victorians in need and jobs for workers who have been impacted by COVID-19 and the state’s lockdowns.

ISA said the Andrews Government should be congratulated for recognising that there exists a unique opportunity for government stimulus spending to not only create jobs but to address areas of social need.

Industry Super Australia chief economist Stephen Anthony said, “The Andrews Government investment will boost the state’s economy while putting a roof over the head of some of Victoria’s most vulnerable people.

“The Victorian Government must be congratulated for seizing the opportunity of using its stimulus programs to not only create jobs but to meet a long-term social need.

“Australia’s housing shortfall is growing, only a co-ordinated effort between all layers of government, the social housing sector, construction bodies, investors and charity groups can we arrest the 30-year decline.”     

ISA is part of the National Affordable Housing Alliance (NAHA)- a coalition anti-poverty groups, construction bodies, unions and super funds, who want to lift construction of community and social housing.

The group collectively advocates for a commitment by all governments to the long-term funding of social and affordable housing in Australia. ISA is continuing to work with governments, housing providers, anti-poverty groups to develop policies and programs that will help address the 30-year under-investment in affordable and social housing stock

The shortfall of community and social housing is widening and by 2036 is set to reach 1 million properties nationally.   

The best way to address the national social and community housing shortfall is through a co-ordinated national plan and close co-operation between all levels of government, according to ISA.

ISA has had discussion with several governments on policies that would help unlock institutional investment in social and affordable housing and has written a paper discussing solutions to Australia’s affordable housing problem: https://www.industrysuper.com/media/fixing-affordable-housing-in-nsw-and-beyond/ 

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KEY PLAYERS in the superannuation sector will be scrutinised at the House of Representatives Standing Committee on Economics public hearing this Friday.

Committee Chair Tim Wilson said Friday’s hearing would provide an opportunity to ask questions about superannuation funds’ response to COVID-19.

"We are continuing our scrutiny of the super sector to ensure they’re putting members and members’ interests first," Mr Wilson said. "The significant numbers of Australians who have accessed their super during the pandemic highlights the need for the sector to be there for Australians when they need them.

"Recently our scrutiny has raised questions about bonuses above $30 million for individual fund managers from the superannuation savings of Australians, prompted ASIC investigations into potential insider trading and anti-competitive behaviour within funds.

'Following on from our hearing on 6 November, we are looking forward to exploring these and other super related topics further, as, particularly in times like these, it is crucial that the superannuation sector is operating effectively, fairly, and to the benefit of fund members."

The hearing forms part of a broader review of Australia’s four major banks and other financial institutions. Examination of these institutions will also include monitoring the financial sector’s progress on implementing relevant recommendations from the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.

A full program for the hearing is available on the committee’s website.

Public hearing details

Date: Friday, 20 November 2020
Time: 10.30am to 5.30pm
Location: Videoconference

The hearings will be broadcast live at aph.gov.au/live.

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CONSUMER groups, financial counsellors and domestic violence advocates have slammed the Australian Government’s plans to remove critical protections for women experiencing economic abuse.

Chief executive officer of the Financial Rights Legal Centre, Karen Cox said current lending obligations prescribe important steps which often identify red flags in domestic and family abuse.

“These critical protections serve a vital purpose, requiring the lender to make inquiries as to the loan’s purpose, suitability and affordability,” Ms Cox said.

“Australia’s lending laws require lenders to undertake an assessment process that will often put them on notice when loans should not be approved.

“This is an important role in identifying and preventing the financial abuse of vulnerable women.”

Tania Farha, chief executive officer of Domestic Violence Victoria, said the lending laws we have in place provide a remedy for women when lenders do not undertake the required steps or ignore the red flags of economic abuse.

Carmel Franklin, chief executive officer of Care Financial Counselling said removing these laws would reduce the ability of advocates like financial counsellors and community lawyers to assist survivors with debts that they accrued during abusive relationships.

Laura Bianchi, team leader of Redfern Legal Centre’s Financial Abuse Service NSW and coordinator of the Economic Abuse Reference Group NSW, said its members had grave concerns about the impact of removing lending protections on people experiencing domestic and family violence.

“The wind back of responsible lending obligations will have dire consequences for people experiencing financial abuse. Coerced debt is a common factor preventing victim survivors from leaving a violent relationship and re-establish their lives,” Ms Bianchi said.

“It has been well documented that rates of family violence and economic abuse have risen sharply during the COVID-19 pandemic.

“Removing these critical protections at a time when so many women are more vulnerable than ever to economic abuse could have devastating results.”

BACKGROUND

On the September 25, 2020, the Federal Government announced a suite of changes to Australia’s consumer credit framework contained in the National Consumer Credit Protection Act 2009 aimed at reducing red tape for lenders as part ofthe Government’s economic recovery plans. Consumer groups and financial counsellors immediately voiced their concerns about removing these critical protections for consumers.

Exposure Draft Legislation was released for public consultation on 4 November: National Consumer Credit Protection Amendment (Supporting Economic Recovery) Bill 2020.

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THE Joint Committee of Public Accounts and Audit has launched two new inquiries into Governance of Public Resources and Regulatory Activities as part of its examination of Auditor-General reports.

Committee Chair Ms Lucy Wicks MP said, “By taking a thematic approach to these inquiries, the Committee seeks to encourage improvements in key areas of public administration.

“For the first inquiry, we’ll be looking into how governance of public resources can be improved across Commonwealth entities, to ensure Australia’s public sector can continue to deliver better outcomes,” Ms Wicks said.

“The second inquiry will look into regulatory activities—how effectively Commonwealth entities regulate matters in accordance with relevant legislation, including monitoring compliance."

As Parliament’s joint public administration committee, the JCPAA has an important role in holding Commonwealth entities to account. The Committee has the power to initiate its own inquiries. The Committee examines all reports of the Auditor-General tabled in the Parliament and can inquire into any items, matters or circumstances connected with these reports.

Submissions from interested individuals and organisations are invited by Friday January 29, 2020. The preferred method of receiving submissions is by electronic format lodged online using a My Parliament account.

Further information about the inquiries is available on the Committee’s website.

The Committee’s inquiries are based on the following Auditor-General reports:

Governance in the Stewardship of Public Resources

No. 11 (2019-20), Implementation of the Digital Continuity 2020 Policy
No. 31 (2019-20), Management of Defence Housing Australia
No. 39 (2019-20), Implementation of the CSIRO Property Investment Strategy
No. 2 (2020-21), Procurement of Strategic Water Entitlements
No. 9 (2020-21), Purchase of the ‘Leppington Triangle’ Land for the Future Development of Western Sydney Airport

Regulatory Activities

No. 33 (2019-20), Tertiary Education Quality and Standards Agency’s Regulation of Higher Education
No. 47 (2019-20), Referrals, Assessments and Approvals of Controlled Actions under the Environment Protection and Biodiversity Conservation Act 1999
No. 48 (2019-20), Management of the Australian Government’s Lobbying Code of Conduct: Follow-up Audit
No. 5 (2020-21), Regulation of the National Energy Market
No. 8 (2020-21), Administration of Financial Disclosure Requirements under the Commonwealth Electoral Act

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AN $18.72 million project to consolidate the CSIRO’s four Perth locations will be scrutinised in a new inquiry from the Parliament’s Public Works Committee.

The Committee aims to conduct a public and in-camera hearing for the inquiry into the Perth Precinct Project (P3) in January of 2021.

The Committee wants to hear from all individuals or organisations interested in the project. Submissions for the project will be accepted until Wednesday January 13, 2021. Submission acceptance has been extended to take into account the Christmas/New Year period. 

Note that the  the Parliamentary Standing Committee on Public Works is not involved in the tendering process, awarding of contracts or details of the proposed works. Inquiries on these matters should be addressed to the relevant Commonwealth entities.

For more information about this Committee, you can visit its website.

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