Another side to the Super tax on Mining
The ‘Supertax’ debate is an interesting one and as expected, both parties are heavily invested in their own outcomes. One thing the Mining Companies understand is that the tax will lower the size of their profits in boom times for the resources sector – they’ll still be raking in billions, its just that some of the cream will be removed. And one thing most mining companies anticipate for the near term future, is a return back to the really big BOOM times. That’s why they are fighting this idea so hard because if they thought things were going to turn poorly, they’d be urging the Government to act because they’d want the benefits of paying less tax in the not so good times (which they’re saying little about at the minute). The Government also seems to be fighting this idea with limited perspective –
threats of job losses by the Mining Industry is NOT the doom for the Australian economy they’d like us to believe – in fact it could well be the opposite. As we’ve already seen when the mining industry quickly shed its part time workforce in the thousands at the first hint of a possible global recession, what other industry sectors gained was raft of workers suddenly available to pick up the delays in projects. When the Mining sector dumped its part time workforce all of those construction workers, bricklayers, plumbers, truckdrivers and a whole heap of ‘real’ workforce labour became available elsewhere. People who’d been waiting for months to get a new pergola or garage built, new factory completed or repairs to the manufacturing machinery finally had the workers available to do so, as those skilled labour personnel were forced by the Mining sector workforce shedding, to return to their previous areas of skill.
And this is where the Government seems to be missing the point. Delaying Mining projects will turn out to be a very good thing elsewhere in the Australian economy. The influx of available carpenters and bricklayers will see a more competitive environment for construction and renovations. More truck drivers will speed the delivery of goods and services and so on lowering the pressure on wages in those sectors as more skilled personnel return. Quite simply, any delay by the Mining sector in starting projects will be welcomed by other industries who really could do with a boost in the number of skilled workers. Rather than worry or buy into the Miners Mythology, other industry sectors should be shouting loudly: ‘bring it on!’
Great to see some quality collaboration between the City of Casey and City of Greater Dandenong aimed at addressing or tackling Social Issues and importantly bridging the divide between ‘our area’ and ‘their area’ artificial boundaries. Well done to both Councils Here’s the oveview of what they’re doing. This one looks to be an…
Read More >Most people who’ve been involved in planning and strategy development will have heard of VUCA – Volatile, Uncertain, Complex, Ambiguous. Emerging out of the US War College in 1987, it’s come to be more widely used by consultancies aiming to at least ‘sound smart’. But that’s not the main problem with its usage Instead…
Read More >In short – ‘No’. In days of yore manufacturing data meant jobs being done, employed people being paid, sales being made. But with robotics and off-shoring in many parts of Australian manufacturing, it’s no longer the value indicator it once was. In the US it is an even less reliable indicator because in the…
Read More >I’ve writen a fair bit over the years about the need to move futures thinking out of a theoretical approach and into a more applied model. Recently I’ve come off a 6 month project working with the Asian Productivity Organisation, an entity that brings together 20 member countries and their core government policy…
Read More >Every where we look we are being given clear signs of the blatant stupidity and arguably outright criminality of a toxic system of decision making. The Menindee Lakes and Darling River disaster is one example A couple of years ago I was invited to speak at a Private Equity conference at a lovely resort…
Read More >Every year I aim to identify what I think a major focus of the upcoming year will be and in that light I’m declaring 2019 the International Year of the Cooperative. I’m prompted by a multitude of signals that my daily research has uncovered, many of which will be familiar to you – Cost of…
Read More >Here we are with the last posting of the year looking at the potential for wide ranging strategy for a country like the United States. Arguably the United States is undergoing its own version of #Brexit though without the vote of the people. Instead the dictatorial nature of what I see as an incompetent strategic…
Read More >I’m reluctant to make predictions but am getting a few calls so: My tip is on a March 2019 election – the 9th or 16th But that will be an attempt to protect the existing NSW Government hoping that voters will have sufficiently vented. That said though, it also required a Federal Minoroty Government to…
Read More >The Asian Productivity Organisation has shifted gears from being a centre for member countries to talk about productivity, to one that now wants to upskills its member countries. We’ve just completed the first chunk of helping National Productivity secretariats to ready their staff for a more proactive, future facing approach to their Country’s development …
Read More >The question is, ‘how does the thinking inside this document stack up?’ Turns out, pretty good. What we spotted and what problems we said we’d have to watch out for, are just about spot on When it was discovered that the then Prime Minister Kevin Rudd was going to hold the Australia 2020 Summit,…
Read More >