Labour market shift shows tax hikes coming at the wrong time
Australia's unemployment rate rose to 4.5% in April per ABS data. Master Builders Australia says planned tax hikes are poorly timed given the weakening labour market.
Australia's unemployment rate jumped to 4.5 per cent during April
What does the 4.5% unemployment rate mean for tradies and tax changes?
Rising unemployment and tax increases could squeeze trade business margins and reduce demand for building work.
Key takeaways
- Australia's unemployment rate has risen to 4.5 per cent in April according to ABS data.
- Master Builders Australia says tax hikes are poorly timed given the labour market changes.
- The unemployment jump signals a shift in Australia's labour market conditions.
- Building industry concerns grow as economic conditions and tax policy collide.
Related
ATO ramp up of small business debt collection
Master Builders Australia has published a news item saying the ATO is stepping up its debt collection against small businesses. The text provided gives no further detail on the measures, timing or amounts.
Why it matters: Builders and other trade businesses with outstanding tax debts may face firmer ATO collection action, which could strain cash flow. Details are not in the source text, so check the ATO or Master Builders directly.
Trades shortages persist as work on the ground remains solid
Skilled trade shortages remain widespread across Australia. The HIA says demand for workers is being supported by the recovery in home building activity over the past year.
Why it matters: Builders, carpenters and other residential trades should expect continued tight labour supply. That can mean higher wage pressure, harder hiring and longer lead times on jobs.
Builders Oppose Proposed Jobs Framework and Supplier Code
Master Builders Australia opposes the proposed Secure Australian Jobs Framework and changes to the Commonwealth Supplier Code. The article excerpt gives no further detail on what the proposals contain.
Why it matters: Builders and contractors working on or seeking Commonwealth-funded projects could face new employment and supplier requirements. The practical impact is unclear until details of the proposals are released.