O75 Public Administration

Second wave would be $25bn tsunami

roymorgansocial Leave a comment

Original article by Patrick Commins
The Australian – Page: 4 : 11-Jun-20

The OECD’s latest economic outlook report forecasts that the Australian economy will contract by five per cent in 2020, compared with an average decline of 7.5 per cent among member nations. The OECD also expects the domestic economy to rebound by 4.1 per cent in 2021, in the absence of a second wave of the coronavirus. A fresh outbreak would reduce GDP growth in 2021 to just one per cent, according to the OECD. The Paris-based organisation expects the global economy to contract by 6% in 2020, and 7.6% if there is a second wave.

CORPORATES
ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT

Council brakes slow recovery

roymorgansocial Leave a comment

Original article by Rebecca Urban, Damon Johnston
The Australian – Page: 1 & 4 : 11-Jun-20

Federal Treasurer Josh Frydenberg says local councils should fast-track development applications in order to stimulate economic activity in the post-coronavirus world. He says the state and federal governments are helping to boost the construction sector, and local governments should do so as well. It takes an average of 70 days for development applications to be approved in Victoria – well above the statutory requirement of 60 days – and this had blown out to at least 120 days for some councils prior to the pandemic. The average number of days to approve a development application in New South Wales is 84 days.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY

ANZ-Roy Morgan Consumer Confidence ends record nine week run, down 1.3pts to 97.0

roymorgansocial Leave a comment

Original article by Roy Morgan
Market Research Update – Page: Online : 11-Jun-20

ANZ-Roy Morgan Australian Consumer Confidence fell 1.3% to 97.0 in the week to 7 June, after a nine-week run of consecutive gains. Now 22% (down 2ppts) of Australians say their families are ‘better off’ financially than this time last year, while 34% (down 2ppts) say their families are ‘worse off’ financially. Meanwhile, 37% (down 1ppt) of Australians expect their family to be ‘better off’ financially this time next year, and 17% (unchanged) expect to be ‘worse off’ financially. Just 9% (down 1ppt) expect ‘good times’ for the Australian economy over the next 12 months, while 40% (down 2ppts) expect ‘bad times’. In addition, 37% (down 5ppts) of Australians say now is a ‘good time to buy’ major household items, while 35% (up 1ppt) say now is a ‘bad time to buy’. The four-week moving average for ‘inflation expectations’ fell 0.1ppt to 3.2%. The weekly reading remained unchanged at 3.1%.

CORPORATES
ROY MORGAN LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Qld border closure irrational, discriminatory: silk

roymorgansocial Leave a comment

Original article by Chris Merritt
The Australian – Page: 1 & 4 : 10-Jun-20

A Brisbane-based travel agency is the lead plaintiff in a High Court challenge to the legal validity of the Queensland government’s coronavirus-induced border closure. The six plaintiffs want the government to disclose the information it relied upon when deciding to close the state’s borders. Amongst other things, they contend that the border closure breaches their constitutional right to travel freely within Australia and goes beyond what is necessary to control the virus’s spread.

CORPORATES
HIGH COURT OF AUSTRALIA, QUEENSLAND. DEPT OF THE PREMIER AND CABINET

BOOT test a hurdle for IR reform: Scott

roymorgansocial Leave a comment

Original article by Eli Greenblat
The Australian – Page: 13 & 16 : 10-Jun-20

Wesfarmers CEO Rob Scott says that Australia’s first recession in three decades requires a new approach to industrial relations. He says the ‘better off overall test’ in the Fair Work Act in particular is a hindrance to finalising enterprise bargaining agreements. He argues that employees and businesses alike benefit from EBAs if they are structured in the right way. Wesfarmers’ trading update shows that Bunnings has recorded sales growth of 11.3 per cent so far in 2019-20, while Kmart’s sales are up 6.1 per cent.

CORPORATES
WESFARMERS LIMITED – ASX WES, BUNNINGS GROUP LIMITED, KMART AUSTRALIA LIMITED

Don’t go, Beijing warns students

roymorgansocial Leave a comment

Original article by Richard Ferguson, Tim Dodd
The Australian – Page: 1 & 2 : 10-Jun-20

Federal Education Minister Dan Tehan has rejected the Chinese government’s claim that Australia is not a safe destination for international students. China’s Ministry of Education has advised the nation’s students against studying in Australia, claiming that people of Asian appearance have been targeted in ‘discriminatory attacks’ during the coronavirus pandemic. Shadow education minister Tanya Plibersek has supported Tehan’s comments, stating that Australia is one of the safest countries for international students. Beijing also recently advised Chinese tourists against visiting Australia due to allegations of racist attacks.

CORPORATES
AUSTRALIA. DEPT OF EDUCATION AND TRAINING, CHINA. MINISTRY OF EDUCATION, AUSTRALIAN LABOR PARTY

Less gloomy Treasury flags faster recovery

roymorgansocial Leave a comment

Original article by Matthew Cranston
The Australian Financial Review – Page: 4 : 10-Jun-20

Treasury secretary Steven Kennedy has told a Senate inquiry that Australia’s unemployment rate is now likely to peak at around eight per cent as the economy begins to re-open and coronavirus lockdown restrictions are eased. The Treasury had previously forecast that the impact of the pandemic would cause the jobless rate to reach 10 per cent by June. Australia’s official unemployment rate is currently 6.2 per cent. Kennedy also said the impact of the pandemic on GDP growth will also not be as severe as initially forecast.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY

Protests cost economy $1bn

roymorgansocial Leave a comment

Original article by Geoff Chambers, Dennis Shanahan
The Australian – Page: 1 & 4 : 10-Jun-20

The timetable for the further easing of coronavirus lockdown restrictions may be pushed back due to the recent Black Lives Matter protests across Australia. The national cabinet meeting on 12 June had been expected to approve the easing of stage two restrictions, but the Australian Health Protection Principal Committee believes that it will take up to 14 days to determine whether the protests have caused a fresh outbreak of the virus. Meanwhile, ACTU secretary Sally McManus says the potential for a second wave of infections means that lockdown restrictions must remain in place until medical professionals advise that it is safe to lift them.

CORPORATES
AUSTRALIAN HEALTH PROTECTION PRINCIPAL COMMITTEE, ACTU

Asset write-off extension to aid business

roymorgansocial Leave a comment

Original article by Matthew Cranston, Tom McIlroy
The Australian Financial Review – Page: 1 & 4 : 9-Jun-20

The federal government will extend its $150,000 instant asset write-off scheme for another six months. It will be accessible to companies with annual turnover of less than $500 million, which covers more than 3.5 million businesses employing over 9.7 million people. Council of Small Business Organisations CEO Peter Strong says the government has done the right thing by the small business sector in extending the scheme.

CORPORATES
COUNCIL OF SMALL BUSINESS ORGANISATIONS OF AUSTRALIA LIMITED

China turning off the cash tap

roymorgansocial Leave a comment

Original article by Glenda Korporaal
The Australian – Page: 1 & 2 : 9-Jun-20

A report produced by KPMG and the University of Sydney shows that Chinese investment in Australia fell to a 12-year in 2019. Chinese investment fell by 60 per cent to $3.4bn in total, including the acquisition of Bellamy’s Australia for $1.5bn. The report also shows that China-based investors made just 42 deals in Australia during 2019, compared with 74 in 2018. The report covers completed deals worth more than $US5m. Doug Ferguson of KPMG says Chinese investment in Australia is likely to continue to fall in 2020.

CORPORATES
KPMG AUSTRALIA PTY LTD