While the Printing Industries Association of Australia (PIAA) has criticised the government for postponing the Coalition’s proposed tax cuts for businesses, the AMWU says it will campaign against the move, blasting it as a means to enrich bosses.
Speaking to ProPrint Lorraine Cassin, national print division secretary at the AMWU slammed the proposed cuts, saying, “We know that the trickle-down economics of corporate tax cuts is a lie."
Citing existing changes as evidence Cassin says, “We have seen it with the penalty rate cuts in retail and hospitality – we were promised that cutting penalty rates would create more jobs, but all it has done is ripped money out of the hands of the workers and put it in the pockets of bosses.
“Hundreds of companies in Australia are not paying any corporate tax at all, and many more are already paying well below 30 per cent. Australia does not need a company tax cut, we need decent wage increases for working people.
“We will continue to oppose tax cuts for companies, and will campaign for decent wages for all workers.”
The proposed bill, which would see corporate tax fall from 30 to 25 per cent failed to get the numbers this time around. The PIAA said it was disappointed the Senate failed to back the bill, with a promise to target the two politicians who did not support it, Senator Derryn Hinch of Victoria and Senator Tim Storer from South Australia.
[Related: PIAA disappointed in tax cuts halt]
Andrew Macaulay, CEO of PIAA is giving strong backing to the proposed cuts, he says, “Taxing profits is a tax on jobs and a tax on economic growth. Small and big business account for 86 per cent of all jobs in Australia, we need support for business to encourage job creation.
“The print and packaging sector would employ more people if government impositions are removed.”
“We have long been campaigning for the removal of state-based payroll tax, a tax on employing people. The cutting of corporate company tax is consistent with this policy position. Businesses should not be penalised unduly by Government for doing well.”
Paul Mitchell, industrial relations manager with the PIAA says, “I am based in Victoria and I get a lot of feedback from our members about how hard it is to do business in Australia. We have had positive feedback on our lobbying to abolish the payroll tax, businesses should not be taxed more for hiring more people.
“The corporate tax rate is too high and printers are worried about their competitors overseas which have much it lower.”
Macaulay says, “Overall, we must remain competitive in our region on tax or else print and packaging jobs may go offshore.”
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