The recent release of the Australian Federal Budget brings several key changes and initiatives that will impact businesses and employers across the country. Harrisons, as your HR business partner, are here to help you navigate these changes and optimise your operations in light of the new budget.
Key Impacts on Employers:
- Job Creation and Skills Development
- Increased Funding for Training and Apprenticeships: The budget includes significant investment in vocational training and apprenticeships. Employers can benefit from government subsidies for hiring and training apprentices, which can help address skills shortages and enhance workforce capabilities.
- Workforce Incentive Programs: Look out for new incentives for hiring in-demand professions and sectors. These programs can reduce hiring costs and support business growth.
- Wage and Superannuation Changes
- Minimum Wage Adjustments: Be prepared for potential changes in the minimum wage, as the budget may influence Fair Work Commission decisions. Ensure your payroll systems are updated to comply with any new wage standards.
- Superannuation Guarantee Increase: The Superannuation Guarantee rate is set to increase. Employers must plan for this additional cost and ensure their payroll systems can handle the increased contributions.
- Tax Incentives and Relief
- Small Business Tax Relief: The budget includes tax relief measures for small businesses. These may include reductions in company tax rates, expanded asset write-off thresholds, and additional deductions. Ensure you take full advantage of these benefits to improve cash flow and reinvest in your business.
- Digital Transformation Incentives: Funding and incentives are available to support digital transformation. Consider investing in digital tools and platforms to enhance efficiency and competitiveness.
- Health and Safety Regulations
- Mental Health Initiatives: Increased funding for mental health programs is a key feature of the budget. Employers are encouraged to implement or enhance workplace mental health initiatives, which can improve employee well-being and productivity.
- Workplace Health and Safety (WHS) Investments: Additional resources are being allocated to workplace safety programs. Ensure your WHS policies are up-to-date and consider leveraging available grants or funding to enhance your safety measures.
- Environmental and Sustainability Measures
- Green Business Grants: The budget includes measures to support businesses in reducing their environmental impact. Look for grants and incentives for energy-efficient upgrades, sustainable practices, and green technologies.
- Reporting Requirements: Be aware of any new environmental reporting requirements and ensure your business is compliant with these regulations.
Next Steps for Employers:
- Review Budget Details: Closely examine the budget announcements relevant to your industry and business size. Stay informed about specific programs and deadlines.
- Adjust Financial Plans: Update your financial and operational plans to incorporate changes in wages, superannuation, and tax obligations.
- Leverage Incentives: Take advantage of available grants, subsidies, and tax relief measures to support your business growth and compliance efforts.
- Update Policies and Systems: Ensure your HR, payroll, and WHS systems are ready to implement new changes. Provide training to your HR team and employees as needed.
As always, Harrisons is here to assist you in navigating these changes. If you need further guidance or support, please contact us for personalised advice and solutions tailored to your business needs.
Claire Harrison is the Founder and Managing Director of Harrisons, a flourishing HR consulting business that sprouted in 2009 from Claire’s passionate belief that inspiring leaders and superstar employees are the key success factor to any business. With over 20 years’ experience, Claire has worked as a HR Director of multi-national organisations, as a Non-Executive Board Director, and a small business owner. Claire’s corporate career includes working with companies such as BHP, Westpac, Fonterra and Mayne Nickless.
