Fair
0 °C
Germantown, Maryland
Fair

Wed Nov 21 2018
none

DON’T LET IDEOLOGY STAND IN THE WAY OF PROGRESS

10-07-2018
by 
in 

There are many occasions when politicians of either complexion really should learn to step back and think about the implications of their opposition before they go blindly ahead and just block a good idea.

The Government’s proposal to create a 12-month amnesty for companies to come clean and make up any shortfalls in their payments of the 9.5 per cent super guarantee is a case in point.

I personally have no “axe to grind” here. Industry Update makes a point of paying all its obligations on time. But I know of a fair few companies who have fallen behind in their payments, and I’m certain that an amnesty would provide a strong impetus for them to put matters right.

Don’t forget, we’re talking about employees’ superannuation entitlements here, and it’s reckoned that the scale of the problem is immense. Just for 2014-15 the ATO estimates that the shortfall is almost $3 billion! So employee super funds must be light to the tune of tens of billions of dollars.

We all know that for all its strong words, the ATO simply does not have the resources to go after every transgressor and enforce payment. So, anything that encourages such companies to make up the money voluntarily has to be a good idea. And the proposed amnesty is just such a good idea.

So it is particularly disappointing that the Labor opposition has been so vocal in its distain for the amnesty proposal, with both Bill Shorten and Shadow Treasurer Chris Bowen condemning the idea and the Labor party attempting (so far without success) to block the enabling legislation.

Is it strange that the party of the working classes is seeking to block legislation that is designed to put money back into the superannuation funds of those very workers? Of course it is.

The Labor party’s insistence that employers should not be able to get away with underpaying without punishment is taking its anti-business ideology to new extremes, and it is its own supporters that would fail to benefit.

Surely an extreme example of cutting off your nose to spite your face!

Related news & editorials

  1. 19.11.2018
    19.11.2018
    by      In
    Thankfully, the doom and gloom so long predicted by the naysayers has not come to pass.
    Australian manufacturing has continued to confound the critics during 2018 with robust growth throughout the year. It has done this in spite of the domestic backdrop of rising energy costs and amid the... Read More
  2. 21.09.2018
    21.09.2018
    by      In
    Much has been written about the problems facing small businesses, and in just about every survey cashflow is identified as one of the key problems faced. In Australia, at any given time, there is around $26 billion in unpaid debts owed to small businesses.
    However, the situation is improving, and... Read More
  3. 28.05.2018
    28.05.2018
    by      In
    Have you or your company ever fallen for a scammer? Well, it seems that it’s happening more frequently than we would like to admit.
    According to a recent report from the ACCC, scamming is something of a growth industry, with no fewer than 5432 cases reported by Australian businesses to the ACCC... Read More
  4. 08.05.2018
    08.05.2018
    by      In
    It’s that time of year again, and the industry’s focus is drawn to National Manufacturing Week in Sydney.
    While planning our own activities for the week, I was reminded just what a long association Industry Update has had with the industry’s premier exhibition and conference.
    This might seem... Read More