Australia’s small business community now sits front of mind for lawmakers after the Jobs and Skills Summit, Council of Small Business Organisations Australia (COSBOA) chief Alexi Boyd says, dismissing fears SME interests would be overpowered by bigger organisations and unions at the landmark event.
The two-day summit concluded in Canberra on Friday, after more than 140 industry, union, government, and community representatives shared their opinion on how to boost Australia’s sluggish productivity growth while improving conditions for workers and employers alike.
Given the presence of dozens of union representatives, and some of Australia’s largest corporations, some onlookers suggested small business viewpoints would be crowded out of those pivotal discussions.
One such claim came from Peter Strong, Boyd’s predecessor as COSBOA CEO, who wrote that “representation from small business at the summit will be token at best”.
Those fears were unfounded, Boyd said, telling SmartCompany: “It was really pleasing to see how many times small businesses were really discussed in terms of the main issues of the summit.
“The feeling we get is that this time, small business is at the front of that discussion.
“And we’re going to keep it front and centre, and make sure that what we’re doing is fighting best for what’s best for small business,” she added.
COSBOA has been very busy up at Parliament House the past 2 days for the #JobsSummit! We're very appreciative of the opportunity to represent #smallbizau at this historic event with @AlboMP @JulieCollinsMP @JEChalmers & our members @ITECAust @SmartEnergyCncl & @retailaustralia pic.twitter.com/u2Emu2onWn
— COSBOA (@COSBOA) September 2, 2022
Small business representation is apparent across the 36-point action plan the federal government released after the summit, detailing the most pressing policy updates needed to reach full employment and elevate productivity.
The document calls for “immediate actions” to ensure workers and employers are not unnecessarily limited from brokering multi-employer agreements — a key element of COSBOA’s controversial memorandum of understanding with the Australian Council of Trade Unions (ACTU).
Further changes to the Fair Work Act will ensure “all workers and businesses can negotiate in good faith for agreements that benefit them, including small businesses”, responding to fears today’s industrial relations system is too expensive and difficult for SMEs to effectively navigate.
COSBOA’s commitment to explore multi-employer bargaining was roundly criticised by big business groups, which fear an expansion of industrial relations rules could expose more employers to industrial action.
But Boyd, who says COSBOA would only support an “opt-in” approach for small businesses under any new rules, defended the way her organisation took its open-ended joint statement to the summit.
“There’s been nothing agreed to there’s been no consensus reached,” she said.
“What we did was make sure that we understood there were certain principles that we would discuss, and that’s where the discussions begin.”
Another “immediate action” flagged in the document is a plan to pilot a Visitor Economy Disability Employment scheme, connecting small businesses, employment services providers, and jobseekers with a disability.
Further down the line, the document flags “policies to address regional labour shortages and how to improve small business access to skilled migration”.
After COSBOA’s insisted that the Albanese government find new ways to increase workforce participation and expand the nation’s migration scheme, Boyd says small business groups are now poised to shape those policies in practice.
Small business groups are the “best people to ask when you’re considering what the skills migration list looks like”, she said.
“So really what we’re calling for is good consultation with small business experts, to make sure that that small business voice is heard and of course, continuing the good work to try and make the simple process simpler, more accessible.”
The document also includes policy measures destined to impact small businesses, even if the paper does not make explicit note of SME exposure.
The federal government is set to provide aged pensioners a temporary $4000 income tax credit, meaning they can earn a higher amount through employment before their government entitlements are docked.
A similar scheme was proposed by the Australian Retailers Association, who in the lead-up to the summit described an untapped number of older Australians willing and able to work in short-staffed stores, were it not for those pension disincentives.
In addition, the government will legislate Jobs and Skills Australia, a statutory body it says will provide lawmakers and industry players guidance on the skills needed in tomorrow’s economy.
And the government maintains it will devote $1 billion in funding to additional fee-free TAFE places from 2023, “while a longer-term agreement that drives sector reform and supports women’s workforce participation is negotiated”.
At the upper end of the SME space, the document suggests employers with more than 100 staff will need to report their gender pay gap data to the Workplace Gender Equality Agency, a measure designed to ensure parity between Australian workers.
The “hard work” will now begin as small business advocates ensure the sector remains at the centre of policy discussions.
But “it was really pleasing to see how many times small businesses were really discussed in terms of the main issues of the summit, which of course were VET and skills, migration, the digital economy, and the important part of the IR reform”, Boyd said.
Senior Business Journalist
Focused on the small business sector, David’s work covers the political, regulatory, and economic issues facing Australian entrepreneurs. Prior to joining SmartCompany, he was a reporter for Business Insider Australia. You can follow him on LinkedIn.
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