BUSINESS CONFIDENCE GROWING

Greens Continue to Provide Political Stability and Responsible Fiscal Strategy
Tim Morris MP
Greens Acting Leader

The Tasmanian Greens today welcomed the release of the TCCI Survey of Business Expectations- March 2012 which shows an improvement in business confidence about the state of the Tasmanian economy, which suggests that the current Budget strategy is delivering what business needs, which is balanced and responsible financial management.

Greens Treasury spokesperson Tim Morris MP said that while it was encouraging that the survey showed an expected increase in overall exports, the Greens were concerned about a predicted fall in profitability and employment.

“One of the key messages for State Labor is that business is still being constrained by a shortage of skilled labour. The survey does show some improvement in this area, but should serve to remind Labor of the need to ensure training meets the needs of businesses,” Mr Morris said.

“The Greens are concerned about the expectation that employment levels will fall, since a diversity of available jobs is the key to prosperity for Tasmanians and their families.”

“The main complaint for businesses was the lack of demand and economic activity. The Greens do not believe that the answer is for the State to go into debt to stimulate economic activity, rather, additional activity must be found in the private sector.”

“The second and third highest constraints were finance and wage costs, over which the state has little to no influence. What it shows is that Tasmanian businesses are being adversely affected by the impacts of the rapid growth in the mining sector which is keeping upward pressure on costs.”

“The expectation that business will be expanding investment in plant and equipment suggests that businesses are looking for productivity increases and efficiency gains.”

“The Greens believe that the best thing we can do to assist both the small and larger business sector is to continue to provide political stability, responsible economic management and to continue to advocate the case for State taxation reform so that inefficient taxes are removed.”

“I expect the Liberals to take the ‘glass half empty’ view of this latest survey which suits their ongoing negativity, whilst the Greens will remain positive because there are many things about Tasmania that make this one of the best places in the world to live and conduct business,” Mr Morris said.
Tim Morris MP Greens Deputy Leader