Efforts were welcomed, but bargaining changes were criticised all over again
Businesses across Australia have welcomed the efforts of the government to address the country's skills shortage in its newly delivered federal budget 2022. Yesterday, the Albanese government delivered its first budget in office, which Treasurer Jim Chalmers said addresses three key issues:
- Provide cost-of-living relief that is responsible, not reckless – to make life easier for Australians, without adding to inflation
- Target investments in a stronger, more resilient, more modern economy
- Begin the hard yards of budget repair
In his speech, Chalmers outlined a five-point plan that will provide cost-of-living relief, which includes:
- Cheaper childcare
- Expanding paid parental leave
- Cheaper medicines
- More affordable housing
- Getting wages moving again
Read more: Unions and employers agree: more migrants needed to fill skills shortage
"This budget provides important strategic directions to encourage stronger labour force participation, particularly through expanded paid parental leave and cheaper childcare – economic reforms that will promote stronger opportunity and gender equality," said Andrew McKellar, chief executive of the Australian Chamber of Commerce and Industry (ACCI). "Combined with changes that remove barriers to employment for pensioners, welcoming back skilled migrants, and increase supply of affordable housing, these measures will help address the acute staff shortages faced by business."
However, businesses also expressed disagreement with the government's proposed workplace bargaining reforms, which the government said will be "reinvigorated through targeted and balanced changes."
McKellar warned the reforms could bring a "seismic shift" in Australia's bargaining system.
"We are concerned that these changes will drag many businesses into so-called agreements that they do not support and cannot afford," he said.
Read more: Employers warn anew against multi-employer bargaining
The Australian Industry Group, the national employer organisation, added that the proposed workplace relations reforms will "do little to lift productivity, which is the sustainable foundation for real incomes growth, employment generation, and business confidence."
"While there are welcome commitments around childcare, parental leave, housing, migration, the energy transition, gas supply monitoring, and trade facilitation, the budget's contribution to the critical productivity agenda is limited to positive initiatives that, over time, will boost our workforce and trades base," Innes Willox, Ai Group chief executive, said in a statement.
Despite disagreeing on the workplace reforms, however, McKellar still described the budget as a "responsible one."
"Tonight's budget is a responsible one. Now the hard work must begin to maintain momentum," McKellar said. "As the budget warns, we cannot afford to be complacent against the global headwinds of severe inflationary pressures, climbing interest rates and soaring energy prices."
