With the much-vaunted Jobs Forum behind us and with it some sensible suggestions for the state government to digest (like supporting local businesses in its tendering processes), perhaps it is timely to put the overall employment situation here into some unpalatable context.
Jonathan West, who is considered to be somewhat of a guru on matters, has studied the derivation of Tasmanian household income and came up with the sobering conclusion that more than 70 per cent of us are dependent on government payments or government-generated work. Tassie born economist Saul Eslake delivered a similar assessment at the GRDC R&D day this week in Launceston. Both learned gentlemen have left no doubt that this is hardly the basis upon which to build an economy driven by private enterprise, wealth creation and the profit motive
The corollary to that is that if you do not depend on market forces for your income, you may be gullible enough to believe that we don’t need development in this state; or selfish enough not to care about those in the private sector whose livelihoods are at risk every day.
This economic imbalance we have while luxuriating in a lock-it-up mentality explains why some other states get their noses out of joint over the disproportionate amount of GST we claim back from the federal tax gatherer.
Added to that is our undeniable mendicant mentality. It is actually a form of addiction, since we have had our hands out so long and so often and eventually, like a spoiled child, we get what we want.
That leads Jonathan West to conclude:
“The problem is not that we can’t go on like this. The problem is that we can go on like this.”
That is an awful truth; and it is the nub of the problem that we all face as Tasmanians.
But it gets worse. Figures released this week show that our population growth is on a downward trend and looks set to actually fall below current levels in the coming year. As well, as Dr Julian Amos reminded us in his most recent newsletter, technology is changing the business and, by implication, the education requirements of our population. Yet we seem singularly unable to come to grips with the fact that we have the lowest educational attainment standards in the nation.
At the risk of sounding trite, we need to develop a shared vision for the future of Tasmania. If we don’t know where we are going on this bus of ours, it is difficult to attract passengers. If our vision is of Tasmania as a land of milk and honey, we have to fill in the spaces about how we achieve it. As Dr Amos suggests, “plans need to take into account the entire supply chain, of production costs, of processing costs, of distribution costs”.
As farmers, our biggest issue is a lack of profitability. We have thin margins, face a still high Australian dollar and the iniquities of a supermarket duopoly, and I won’t even raise the huge cost of regulation in this state. On top of that, we rely on exporting 75 per cent of our agricultural products.
It is becoming harder and harder to succeed in business with local costs that make us uncompetitive. We are behind the eight-ball from the start, just from the cost of regulations alone.
Yet farmers directly and indirectly employ one in seven Tasmanians. We are the ones who create jobs, not the government. The government’s role is to provide the environment in which can do that.
The TFGA’s take home message to the jobs summit last week was that the culture of our state government needs to be refocused to deliver ‘how can we help you?’ responses, instead of putting up roadblocks and finding reasons why things can’t be done.
We want meaningful consultation about decisions that will impact on our sector – including Regulatory Impact Statements and discussions about relevant legislation/regulation before drafting instructions are given. Importantly, we want to see streamlining of regulation and removal of unnecessary regulatory burdens. (On that, we’re seeking examples of red and green tape to build a more detailed picture for the government – you can send your story to us by email or give us a call on 6332 1800.)
It is time we all stopped talking about what should or should not be happening and focused on actually doing something to address the issues that are so clearly holding Tasmania back. That’s not going to be easy, and there will always be those amongst us that don’t like some of the answers. But, without those answers, we’re never going to achieve the fabulous potential that is so close to our grasp.
