SmartCompany readers have overwhelmingly embraced Opposition Leader Malcolm Turnbull’s decision to vote against the Government’s $42 billion stimulus package in Parliament.
The Coalition voted against the $42 billion plan early this morning, with Turnbull arguing the package is both too large and will increase the country’s national debt. But the stimulus package bills have now passed the House of Representatives and are set to be debated in the Senate later today.
But Turnbull and his front bench have refused to back down from his position, claiming the package provides few resources for small businesses to help retain staff and pay wages.
Shadow Small Business Minister Steven Ciobo also said the stimulus package fails to address small business cashflow challenges, and proposed a plan to pay a portion of the Superannuation Guarantee levy.
“The Coalition proposes to directly assist small business by paying a portion of the Superannuation Guarantee levy. This improves small business cashflow and lowers the cost of employment – to help keep Australians in their jobs and small businesses profitable.”
Turnbull announced the proposal in Parliament, saying it would, “provide support for small business, lower the cost of employment and provide an incentive across the board to every small business”.
SmartCompany readers joined the Coalition in opposing the package, saying it provides little for businesses to stay on their feet during the downturn.
Beverley Pinder at Rowland Pinder Public Relations says she agrees with Turnbull, arguing any stimulus package needs to address the capability of SMEs to keep staff and pay wages.
“Rudd’s stimulus propositions are certainly stimulating the minds of the average consumer who is finding new ways to spend the windfall bestowed upon them. I for one do not want my $950. What I do want is to keep my staff and continue to operate a very small business for the next five years.”
Kate Bourke from Woot!Creative says the stimulus package not only provides little for SMEs, but penalises business owners.
“I did not receive any support from the Government during the financial year. I financed the business and my living expenses through personal savings. Nonetheless, according to the Rudd Government, because I didn’t pay any personal income tax, I therefore do not qualify for the $950 bonus. Apparently, I am not a working Australian.”
Reader Kevin McAney argues the Government should reduce taxes and penalties, such as payroll tax, to help businesses keep employees and stimulate the economy.
“If the Government or Opposition were fair dinkum about helping the economy, they would reduce the amount of money they take out of SMEs’ pockets by eliminating or reducing the fees and charges SMEs pay.”
Yatala Glass says the stimulus package needs to focus on infrastructure, rather than cash payments, and must provide benefits for businesses struggling with cashflow.
“Funds are tight and small businesses, particularly in the construction industry, are fighting for existence. The assistance planned in the stimulus package will take enormous periods of time to work its way through to the small enterprises and sub contractors. They simply do not have that time.”
Patrick Stafford is a freelance journalist and a former deputy editor of SmartCompany.
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