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Inquiry into Engine Test Cell 1 upgrade at RAAF Base Amberley

THE Parliamentary Standing Committee on Public Works yesterday announced that it is inquiring into a proposal from the Department of Defence for the Engine Test Cell 1 Upgrade at RAAF Base Amberley.

The purpose of this project is to establish a fit-for-purpose engine test facility that satisfies both the ongoing Super Hornet and Growler and the new F-35 engine testing needs. The engine test facility at RAAF Base Amberley is Australia’s largest fast jet engine test facility and this project will extend the existing functionality to enable efficient kitting and testing of the Super Hornet, Growler and F-35 engines.

The estimated cost of the project is $23.7 million.

It is anticipated that the Committee will conduct public and in-camera hearings for the inquiry in January/February. Further information on the public hearing will be available soon.

Full details on the project are available on the Committee’s website: www.aph.gov.au/pwc

The Committee would like to hear from all individuals or organisations interested in the inquiry.

Submissions will be accepted until 25 January 2018.

NB: The Parliamentary Standing Committee on Public Works is neither involved in the tendering process nor the awarding of contracts. Enquiries on those matters should be addressed to the Department of Defence.

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Landmark report on modern slavery delivered

THE Foreign Affairs and Aid Sub-Committee of the Parliament’s Joint Standing Committee on Foreign Affairs, Defence and Trade has tabled the final report for the Committee’s inquiry into establishing a Modern Slavery Act in Australia.

The Committee’s report, Hidden in Plain Sight, makes 49 recommendations to improve Australia’s efforts to combat modern slavery here and around the world. Latest estimates suggest that over 40 million people around the world, including 4300 in Australia, are victims of some form of modern slavery, which includes human trafficking, slavery, debt bondage, forced labour and other slavery-like practices.

The Committee recommends that the Australian Government introduce a Modern Slavery Act in Australia similar to but improving on the UK Modern Slavery Act 2015. The Committee recommends that the proposed Act should establish an Independent Anti-Slavery Commissioner and supply chain reporting requirements for entities operating in Australia. The Committee further recommends improvements to:

  • support for victims (including a national compensation scheme);
  • criminal justice responses (including training for frontline officials); and
  • protections for workers vulnerable to exploitation (including changes to Australia’s visa framework and establishing a national labour hire licensing scheme).

The Committee heard particular concerns about ‘orphanage trafficking’ and also recommends a range measures to ensure that Australians do not perpetuate the exploitation of children in overseas orphanages through donations or tourism. This includes establishing a register of approved orphanages and a national awareness campaign on the risks of orphanage trafficking.

Chair of the Foreign Affairs and Aid Sub‑Committee, Mr Chris Crewther MP, said that “modern slavery describes some of the greatest crimes our time".

“This report highlights that modern slavery is often ‘hidden in plain sight’ across a range of industries in Australia and in the global supply chains of businesses and organisations operating here. An Australian Modern Slavery Act, as recommended by this report, will make a significant contribution to ensuring that, here in Australia, we are doing all we can to combat these crimes,” Mr Crewther said.  

The report is available from the Committee’s website: www.aph.gov.au/modernslavery.

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House Economics Committee announces new recommendations for reform of banking sector

THE House of Representatives Standing Committee on Economics today presented its Third Report on reforming the Australian banking sector.

The report builds on the suite of important reforms previously recommended by the committee, which have been broadly adopted by the Government.

Key reforms to date include putting in place a one-stop shop for consumer complaints, the Australian Financial Complaints Authority; a regulated Banking Executive Accountability Regime; and, new powers and resources for the ACCC to investigate competition issues in the setting of interest rates.

The Government also adopted the committee's recommendations to establish an open data regime and change the regulatory requirement for bank start-ups in order to encourage more competition in the sector.

The Committee’s Third Report makes the following recommendations to Government:

  • If the banks do not act by 1 April 2018, regulatory action should be taken to ensure that merchants have the choice of how to process “tap and go” payments on dual network cards.  At present merchants are forced to process these transactions through schemes such as Visa and MasterCard rather than eftpos.  It is estimated that this forced processing costs merchants hundreds of millions of dollars in additional annual fees at present;
  • The Australian Competition and Consumer Commission, as a part of its inquiry into residential mortgage products, should assess the repricing of interest-only mortgages that occurred in June 2017;
  • The Government should introduce legislation to mandate the banks’ participation in Comprehensive Credit Reporting as soon as possible; and
  • The Attorney-General should review the major banks’ threshold transaction reporting obligations in light of the issues identified in the Australian Transaction Reports and Analysis Centre’s (AUSTRAC) case against the Commonwealth Bank of Australia.

Committee Chair David Coleman MP said "the Committee continues to hold the major banks to account during these regular hearings.  We look forward to the Government’s response to the Committee’s new recommendations."

The report can be accessed from the Committee’s website

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Recommendations for reforms to the film and television industry announced

THE House of Representatives Standing Committee on Communications and the Arts today presented its report on the Australian film and television industry. The committee has made 13 recommendations to ensure the future growth and sustainability of this sector.

The key recommendations are:

  • a single harmonised producer offset of 30% for all Australian screen productions which is a 50% increase in the current rebate for television programs and non-cinematic features;
  • an increase in the location offset from 16.5% to 30% to ensure that Australia can effectively compete for large-scale international productions;
  • that subscription video on demand companies invest part of their revenue earned in Australia in new Australian content;
  • that children’s content quotas be reformed in light of current viewing trends but continue to require quality Australian programs for children to be available across all platforms, particularly live-action drama;
  • that the Government consider replacing all or part of the current hours-based quotas for new children’s content with a contestable fund to create quality Australian children’s programs into the future;
  • that a minimum hours-based quota for first release children’s content be included in the ABC charter and that SBS show a minimum of 50% Australian content across all of its channels;
  • that 10% of Screen Australia’s funding be earmarked for productions filmed outside of the Sydney and Melbourne metropolitan areas;
  • that the Government remove the unnecessary red-tape obligation to consult the Media, Entertainment and Arts Alliance before permitting a foreign actor to work in Australia.

The Chair of the committee, Luke Howarth MP, said, "Australia’s film and television industry makes very important cultural and economic contributions to the nation. These proposed reforms will greatly enhance the growth and sustainability of this industry into the future.

"Technological advances have significantly changed the way Australians now access their screen content and the policy settings need to be updated to reflect this," added Mr Howarth.

The report can be accessed from the Committee’s website

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First public hearing on Section 44

THE Joint Standing Committee on Electoral Matters will hold its first public hearing on matters relating to Section 44 of Australia’s Constitution tomorrow.

Committee Chair Senator Linda Reynolds said the hearing will provide the Committee with the opportunity to consider the complexities surrounding Section 44 of the Constitution and the types of possible action that can lead to greater stability in our Parliamentary system.

“Australians need to be assured all members of parliament are constitutionally eligible to serve and they must also have confidence in the processes leading to parliamentarians’ election,” Senator Reynolds said.

The Terms of Reference are available on the Committee’s website.

Submissions are now open and will close on 9 February 2018.  

The Committee will hear evidence from the Australian Electoral Commission, the Attorney General’s Department, and professors Anne Twomey, Graeme Orr and George Williams AO.

Public hearing details: 9.00 a.m.Friday, 8 December 2017, Committee Room 2R1, Parliament House, Canberra

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

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Improving public sector performance reporting

THE Joint Committee of Public Accounts and Audit has tabled its report on the Commonwealth Performance Framework.

Committee Chair Senator Dean Smith said that improving the Commonwealth performance framework, to improve line of sight between the use of public resources and the outcomes achieved by Commonwealth entities, has been a long-term focus of the Committee.

“To build on momentum in the implementation of the Commonwealth performance framework, the Committee has recommended that the Public Governance, Performance and Accountability Act 2013 be amended to enable mandatory annual audits of performance statements by the Auditor-General, with Commonwealth entities to be consulted on the implementation timeframe,” Senator Smith said.

“The Parliament and the Australian public would then receive the same assurance on non-financial performance reporting as on financial reporting, where an independent audit is mandatory.”

The Committee has also recommended that:

  • the Australian National Audit Office considers conducting an audit of one complete Commonwealth performance reporting cycle;
  • the Australian Government amends the PGPA Rule and guidance to clarify the functions and charter of Commonwealth entity audit committees to reflect their role in assurance of the appropriateness of performance reporting;
  • the four audited Commonwealth entities from Audit Report No. 54 on 2016-17 Corporate Planning report back on how their senior management teams are working to further embed the corporate planning requirements in future cycles;
  • the Department of Finance undertakes a more comprehensive monitoring and evaluation program for the ongoing implementation of the Commonwealth performance framework;
  • the Australian Public Service Commission conducts a review on whether non-financial performance reporting and evaluation requires strengthening as a training and research discipline in consultation with other relevant agencies, and Finance reports back on progress in developing capacity training in this area; and
  • Finance reports back on Commonwealth entity progress in implementing a more mature approach to risk management and ‘joined up’ government.

The Commonwealth performance framework, established under the PGPA Act, requires Commonwealth agencies to produce corporate plans, Portfolio Budget Statements and annual reports, including annual performance statements.

The Committee’s inquiry was based on the following Audit Reports:

  • No. 58 (2016-17), Implementation of the Annual Performance Statements Requirements
  • No. 6 (2016-17), Corporate Planning in the Australian Public Sector
  • No. 31 (2015-16), Administration of Higher Education Loan Program Debt and Repayments

Interested members of the public may wish to track the committee via the website

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House Committee bookmarks online shopfronts

WITH more online shopfronts opening in Australia all the time, the House of Representatives Industry, Innovation, Science and Resources Committee will today begin collecting evidence for its inquiry into the impacts on local Australian businesses from global internet-based competition.

The Committee will hear from representatives from the Department of Industry, Innovation and Science at a public hearing in Canberra.

The Inquiry examines how Australian businesses, particularly in the retail and small business sectors, have responded to growing competition from global online companies and what effect this change has already had and will continue to have. The Committee is still accepting submissions addressing the terms of reference and will hold further hearings early in 2018.

Committee Chair Michelle Landry MP said that the Committee is looking forward to hearing from the Department of Industry, Innovation and Science to start the inquiry.

“As business increasingly moves online, especially in the retail field, it is important that Australia has the right policy settings so that local businesses can continue to compete,” Ms Landry said.

Ms Landry also noted that the inquiry follows on from the Committee’s recent inquiry into the social issues relating to automated vehicles.

“Technology is changing the way we do things, from buying groceries to driving to work. But these changes do not happen in a vacuum, which is why it’s important that the Committee consider some of the consequences and ensures that the parliament and the government can respond to them.”

Public hearing details: 10.45am – 11.30am, Wednesday 6 December, Committee Room 1R1, Parliament House, Canberra

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

Interested members of the public may wish to track the committee via the website

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Retail sales are rocky heading into Christmas

THE Australian Retailers Association (ARA) said the October trade figures released today by the Australian Bureau of Statistics (ABS) represent a cold start for Christmas trade, with a 1.82 percent total year-on-year growth.

ARA Executive Director, Russell Zimmerman said, these figures were extremely disheartening this close to the biggest trading period of the year, and urges the Government to alleviate some of the significant cost pressures affecting small and large retailers today.

“With Christmas just around the corner, these trade figures illustrate just how hard it is for small businesses to compete with rising costs, coupled with the increase in global competition and the 24-hour market place,” Mr Zimmerman said.

“As household prices begin to ease off, these October figures have been mostly affected by the significant drop in Household Goods, with this retail category receiving a -1.95 percent in year-on-year growth.”

Other retail categories showing a considerable drop in year-on-year growth include Hardware & Building (-4.92%), Newspapers & Books (-4.08%) and Other Recreational Goods (-2.43%).

The ARA believe Amazon’s entrance into Australia today presents a fantastic opportunity for retailers to increase their sales through their online platform.

“With over 300 million users already on the Amazon Marketplace, retailers will be able to optimise their sales and reach consumers all around the world,” Mr Zimmerman said.

“Clothing Footwear & Personal Accessories (1.61%) had a moderate year-on-year increase due to spring racing, however this growth is still lagging compared to the start of the year.”

Department Stores (2.78%) have begun to recover their year-on-year growth since July, after re-focussing their product and service offerings to compete with the impending launch of Amazon, and other global giants entering the Australian retail market.

“Cafes Restaurants & Takeaway Food (3.09%) and Food Retailing (2.95%) have seen the biggest growth year-on-year of the retail categories due to the change in season and warmer weather,” Mr Zimmerman said.

South Australia (4.09%), Victoria (3.36%), Tasmania (2.68%) and New South Wales (2.43%) showed the strongest year-on-year growth of all the states. While both the Australian Capital Territory (1.31%) and the Northern Territory (0.11%) remained quite low. Unfortunately, we saw Queensland (-0.17%) and Western Australia (-0.98%) receive negative figures, a scary sign for Christmas.

“With the Labor Party threatening small business, retailers will continue to struggle to open their doors on weekends, employing more staff and meeting targets,” Mr Zimmerman said.

“Consumers enjoy shopping on the weekend, and retailers across the country look forward to the Penalty Rates Decision continuing to alleviate cost pressures, enabling local retailers to open their stores for longer, and meet consumer demand.”

To view the ARA and Roy Morgan’s Annual Pre-Christmas Sales Predictions for 2017 click here.

MONTHLY RETAIL GROWTH (September 2017– October 2017 seasonally adjusted) 

Cafes, restaurants and takeaway food services (1.68%), Clothing, footwear and personal accessory retailing (0.97%), Department stores (0.50%), Food retailing (0.32%), Other retailing (0.27%) and Household goods retailing (0.09%).

Northern Territory (1.68%), South Australia (1.20%), Victoria (0.99%), Australian Capital Territory (0.59%), Tasmania (0.54%), Western Australia (0.46%), New South Wales (0.26%) and Queensland (0.13%).

Total sales (0.53%).

YEAR-ON-YEAR RETAIL GROWTH (September 2016 – September 2017 seasonally adjusted)

Cafes, restaurants and takeaway food services (3.09%), Food retailing (2.95%), Department stores (2.78%), Other retailing (1.81%), Clothing, footwear and personal accessory retailing (1.61%) and Household goods retailing (-1.95%). 

South Australia (4.09%), Victoria (3.36%), Tasmania (2.68%), New South Wales (2.43%), Australian Capital Territory (1.31%), Northern Territory (0.11%), Queensland (-0.17%) and Western Australia (-0.98%).

Total sales (1.82%).

 

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For interview opportunities with ARA Executive Director Russell Zimmerman call the ARA Media Line on 0439 612 556 or email This email address is being protected from spambots. You need JavaScript enabled to view it.

 

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $310 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

Last word on tax compliance

THE Australian Taxation Office (ATO) will address the House Committee on Tax and Revenue tomorrow to round up the Committee’s inquiry into taxpayer engagement with Australia’s tax system.

The Tax and Revenue Committee was formed in May 2013 to provide scrutiny of the ATO in its dealings with small businesses involved in tax disputes.

The Committee now undertakes a broader sphere of review, responsive to the transformation of the ATO under its Reinvention Program into a modern digital tax service.

Chair of the Committee Kevin Hogan MP said that the current inquiry has grappled with issues larger than tax administration, such as the challenges associated with the cash economy, its connections with illicit activity, and the revenue implications for regulators and consumers as fintech innovation transforms business, banking and information services.

“Evidence taken during the inquiry suggests the ATO is tracking well against the new demands and, with the roll out of e-invoicing and Standard Business Reporting, is poised to deliver a simpler, more user friendly tax service to businesses.

“This public hearing provides the ATO with the opportunity to discuss new initiatives and sum up outstanding issues, including what the ATO is doing to meet government commitments to leave nobody behind under the digital by default agenda,” Mr Hogan said.

Public hearing details: 4.40pm to 5.40pm Wednesday 6 December 2017, Committee Room 2R1 Parliament House, Canberra.

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

Interested members of the public may wish to track the committee via the website

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Santa delivers Amazon early this Christmas

THE Australian Retailers Association (ARA) is excited for Amazon’s official arrival in Australia today, as this innovative platform will be a great opportunity for local retailers looking to enlarge their customer base and increase their sales, especially in the lead up to Christmas.

Russell Zimmerman, Executive Director of the ARA said Amazon’s entrance today provides retailers both large and small an additional platform to increase their sales in such a challenging environment during the busiest time of year.

“With over 300 million active users already on Amazon’s Marketplace, the majority of Australian retailers view Amazon’s platform as a supplementary channel to their current retail offering,” Mr Zimmerman said.

“Amazon Marketplace will provide local retailers an additional revenue stream, and Amazon’s Fulfilment by Amazon (FBA) program will enable Australian retailers to eliminate bottlenecks in their supply chain.”

With the ARA and Roy Morgan Research predicting the ‘Other Retailing’ category, which includes online sales, to increase by 3.96 percent this Christmas, the ARA believe progressive retailers who are already on the Amazon platform are meeting consumer demands.

“Online sales currently account for more than 7 percent of total retail sales, and is growing at 5 percent annually” Mr Zimmerman said.

“With the advancement in digital technologies across the retail sector, we believe online retail sales will account for 13% of total retail sales in the next five years.”

The ARA is delighted Amazon will be a part of Australia’s Christmas trade this year, and believe progressive retailers will re-focus their efforts on their consumers, ensuring their business meets the expectations of the digital age.

“Retail has significantly transformed this year, and will continue to evolve every year; therefore, we encourage retailers across Australia to embrace change, and meet the demands of both consumers and the 24-hour market place,” Mr Zimmerman said.

“Amazon’s arrival means many things for Australian retail, it means growth, opportunity, and employment and the ARA look forward to seeing the retail industry thrive in 2018.”

 

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $310 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

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Labor making a mockery of taxpayers money: ARA

THE Australian Retailers Association (ARA) is 'completely dumbfounded with Labor’s insidious act' in disregarding one of the most progressive decisions for the retail industry, first ruled by the Full Bench of the Fair Work Commission (FWC) and upheld by five judges of the Federal Court in the Senate yesterday.

Both the ALP and the Greens have tampered with the Fair Work Amendment (Repeal of 4 Yearly Reviews and Other Measures) Bill 2017, hastily adding two amendments which will severely stifle employment growth and smother small businesses across the country, according to ARA executive director Russell Zimmerman.

Mr Zimmerman said Labor’s "underhanded actions" have made a mockery of a fair-minded organisation, the Australian Justice system and taxpayers money.

“Labor have undermined the integrity of the Fair Work Commission, an independent umpire, established by the Labor Government in 2009, to ensure employers across all industries in Australia are treated fairly,” Mr Zimmerman said.

“The ALP have also disregarded Australia’s court system, as the Federal Court agreed with the Commission’s decision to reduce Sunday penalty rates to be in-line with Saturday penalty rates, as this reduction would allow retailers to open their stores for longer, and enable retailers the opportunity to employ more staff on weekends.”

With the Labor Party overlooking the judiciary, and disobeying their own self-governing establishment, Mr Zimmerman said the ARA was confused as to "why Labor formed the Fair Work Commission at all, as it has been costing Australians millions of dollars every year".

“Like the Australian Justice system, the Fair Work Commission was established to serve the best interest of the Australian public, and Labor’s rushed amendments to the Fair Work Amendment Bill 2017 is not only hypocritical, it will have detrimental effects to small and large businesses across Australia,” Mr Zimmerman said.

“The ARA thank the Government on behalf of employees and employers in the retail industry, for supporting small businesses and requesting this amended Bill be heavily examined.”

The ARA believes a moderate reduction, not removal of penalty rates, will increase youth employment within the retail industry, and enable retailers to remain competitive in the 24/7 global marketplace.

“With many retailers across the board unable to open their doors on Sundays, the reduction of penalty rates will enable retailers to look at employing more staff on a Sundays as it is their busiest trading day of the week,” Mr Zimmerman said.

 

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $310 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

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