Latest / 360 with Katie Woolf / Chamber of Commerce NT's Greg Ireland shed light on why the NT is behind other states with wages

Transcript

Chamber of Commerce NT's Greg Ireland shed light on why the NT is behind other states with wages · 360 with Katie Woolf

• 0:00
  Speaker 1: What we can tell you nationally is that wages have
• 0:03
  Speaker 1: risen for the third quarter in a row, climbing point
• 0:06
  Speaker 1: seven percent in the three months to June. Now, Western
• 0:09
  Speaker 1: Australia recorded the highest quarterly rise while the Northern Territory
• 0:13
  Speaker 1: saw the lowest at point three percent. So the bump
• 0:17
  Speaker 1: in pay packets is not keeping up with the rising
• 0:20
  Speaker 1: cost of living and I think that we certainly can
• 0:22
  Speaker 1: attest to that here in the Northern Territory. Now joining
• 0:24
  Speaker 1: me on the line to talk more about this is
• 0:26
  Speaker 1: Greg Island, the CEO of the Chamber of Commerce. Hi.
• 0:30
  Speaker 2: Greg, Good morning Katie. How are you today? Yeah?
• 0:33
  Speaker 1: Really well Greg. Obviously Western Australia recording the highest quarterly
• 0:38
  Speaker 1: rise while the Northern Territory saw the lowest ato point
• 0:41
  Speaker 1: three percent. What's contributing to the Northern Territory performing worst
• 0:46
  Speaker 1: in this space?
• 0:48
  Speaker 2: Ok? I actually think you've just answered your own question
• 0:51
  Speaker 2: when you were talking about the teachers striking and the paypries.
• 0:55
  Speaker 2: Given that the territory is such a strong employer of
• 1:00
  Speaker 2: public servants roughly thirty three percent of their workforce of
• 1:05
  Speaker 2: public servants, that paypreees is really impacting on those numbers.
• 1:09
  Speaker 2: Particularly Also if you include the mining sector, which is
• 1:13
  Speaker 2: also a significant employer, having very high wages which are
• 1:17
  Speaker 2: don't get adjusted often.
• 1:19
  Speaker 1: And so Greg, when you sort of look at how
• 1:21
  Speaker 1: the public service compares to the private sector, you know,
• 1:26
  Speaker 1: how do those wages fare in comparison? Does that make sense?
• 1:31
  Speaker 2: Yeah, I know what you're asking Adian. There is a
• 1:34
  Speaker 2: significant uplift if you were doing a similar role in
• 1:39
  Speaker 2: the public sector versus the private sector. So it is
• 1:42
  Speaker 2: a better payer in that regard than Hence it's very
• 1:45
  Speaker 2: attractive to many Territorians to work for INTI government.
• 1:49
  Speaker 1: Yeah, which then I guess makes it hard, you know,
• 1:51
  Speaker 1: for the private sector when you're trying to fill different roles.
• 1:53
  Speaker 1: But you know, then looking at the fact that the
• 1:56
  Speaker 1: public sector does have that wage freeze in place, how
• 2:00
  Speaker 1: does that then impact Greg, You know, some of our
• 2:02
  Speaker 1: territory businesses when it comes to, you know, getting out
• 2:05
  Speaker 1: and spending your money.
• 2:08
  Speaker 2: Yeah, again, that's an interesting question from a territory business
• 2:12
  Speaker 2: point of view. I'm hearing right now that many trading
• 2:16
  Speaker 2: figures are through the roof and a lot of it's
• 2:18
  Speaker 2: got to do with the activity of the dry season.
• 2:20
  Speaker 2: We're having probably the best attendance records not only the festival,
• 2:24
  Speaker 2: but through the airports and to general tourism activity. So
• 2:29
  Speaker 2: business right now is doing okay, but that doesn't mean
• 2:32
  Speaker 2: it's going to be that way during the wet season.
• 2:34
  Speaker 1: Yeah. Well, I guess the tough part is that then
• 2:37
  Speaker 1: it comes down to sort of attracting and retaining staff
• 2:40
  Speaker 1: to fill some of those jobs when you are going
• 2:43
  Speaker 1: through a busy time. But as you've rightly pointed out,
• 2:45
  Speaker 1: its sort of ebbs and flows.
• 2:48
  Speaker 2: Yeah, that is the biggest challenge. Tomorrow, we're locally holding
• 2:52
  Speaker 2: a skill summit here that's going to be used to
• 2:56
  Speaker 2: inform the federal Skills Summit in the first week of September.
• 3:00
  Speaker 2: That's a particularly important exercise for us to make sure
• 3:04
  Speaker 2: we're represented properly over in camera.
• 3:07
  Speaker 1: And what do you reckon you're going to find? I mean,
• 3:08
  Speaker 1: I'm guessing that you probably have a fair idea what
• 3:11
  Speaker 1: businesses are going to say tomorrow and what message does
• 3:13
  Speaker 1: need to be taken to the federal government.
• 3:17
  Speaker 2: Yeah. Look, there's varying skill shortages through the territory, and
• 3:21
  Speaker 2: they're not always skill shortages. It really is up to
• 3:25
  Speaker 2: the business to make every effort to find people. But
• 3:30
  Speaker 2: it's certainly the gap they're holding us back everything from
• 3:34
  Speaker 2: people changing the sheets in hotel rooms all the way
• 3:36
  Speaker 2: through to engineers and doctors and nurses.
• 3:41
  Speaker 1: Hey, Greg, just going back to you know the wages
• 3:44
  Speaker 1: growth and the fact that you know that it has
• 3:47
  Speaker 1: risen around the country for that third quarter in a row.
• 3:50
  Speaker 1: I know that way obviously the highest quarterly rise. The
• 3:53
  Speaker 1: northern territories saw the lowest. When you look at that,
• 3:56
  Speaker 1: how does that sort of how does that impact us
• 3:59
  Speaker 1: when it does come to trying to get people to
• 4:02
  Speaker 1: move to the territory to fill some of those jobs.
• 4:06
  Speaker 2: Look, no doubt is a detractor in terms of people
• 4:10
  Speaker 2: taking that in consideration. And we've got a very competitive
• 4:14
  Speaker 2: market all people within Australia, which is why from a
• 4:18
  Speaker 2: chamber of perspective, we are pushing the barrow on increasing
• 4:21
  Speaker 2: the skilled migration visa allowances into the territory because we
• 4:25
  Speaker 2: think that's one of the things that is going to
• 4:27
  Speaker 2: shift the dial more quickly. We also want to see
• 4:30
  Speaker 2: a lot more training of kids through VET programs in
• 4:33
  Speaker 2: schools and see to use activities in delivering VET training
• 4:37
  Speaker 2: for kids that are going to set up their careers here.
• 4:40
  Speaker 1: And with you bringing skilled migration into the territory. Where
• 4:44
  Speaker 1: are things at in that space, because I know it
• 4:46
  Speaker 1: is something that you've spoken about on the show previously.
• 4:50
  Speaker 2: There's a lot happening. There's been a full rejig of
• 4:53
  Speaker 2: the specific labor mobility scheme, which means that we can
• 4:57
  Speaker 2: bring Pacific Islanders in under a really supported scheme that
• 5:02
  Speaker 2: is now looking at bringing in high skilled workers. So
• 5:05
  Speaker 2: construction is particular focused there. There's also some visa arrangements
• 5:11
  Speaker 2: with Indonesia and East Teamor which are being explored, and
• 5:16
  Speaker 2: DO and City Council visited the Bali region recently and
• 5:20
  Speaker 2: the Chambers heading off to ease Team Or next month
• 5:22
  Speaker 2: to look at exactly that. So trying the hardest to
• 5:25
  Speaker 2: identify opportunities fulfilling those visas and the opportunities that exist there.
• 5:31
  Speaker 1: And Greg, obviously, you know when you talk about bringing
• 5:34
  Speaker 1: workforce to the Northern Territory, the big discussion or the
• 5:36
  Speaker 1: big point that's always made is where are they going
• 5:38
  Speaker 1: to live. I know that it had been flagged a
• 5:41
  Speaker 1: couple of weeks ago about whether the former you know
• 5:45
  Speaker 1: how well it's still the Howard Springs area out there,
• 5:48
  Speaker 1: but whether the former quarantine center could indeed be utilized
• 5:51
  Speaker 1: for some of that workforce shortage and bringing people in.
• 5:57
  Speaker 2: Look, I think from a short term perspective, we've got
• 5:59
  Speaker 2: to remember with the Howard Springs Village that there is
• 6:02
  Speaker 2: no cooking facilities in those rooms, so it has to
• 6:05
  Speaker 2: be a fully catered exercise. Gets pretty expensive when you're
• 6:08
  Speaker 2: doing that sort of stuff and physically changing the place
• 6:12
  Speaker 2: to accommodate that would also be probably cost prohibitive. But
• 6:16
  Speaker 2: it's not just one that needs those residences. It's Katherine Tenant,
• 6:20
  Speaker 2: Alice Nullan, boy, you name it. We need that accommodation.
• 6:23
  Speaker 2: So the Chamber is a game working with government on
• 6:26
  Speaker 2: the program that we're calling Living it Up in the Regions,
• 6:28
  Speaker 2: which focuses on accommodation, childcare, supply, chain linkages, safety and
• 6:35
  Speaker 2: security and all those areas that we need. I think
• 6:38
  Speaker 2: the territory still needs to improve.
• 6:39
  Speaker 1: Theyre right well, Greg, it's always good to catch up
• 6:42
  Speaker 1: with you. We appreciate your time this morning. Thank you
• 6:44
  Speaker 1: very much for having a chat with us.
• 6:47
  Speaker 2: No worries, Katie and I must have been. I did
• 6:48
  Speaker 2: enjoy Tom Gleeson's hard quiz at the festival last night.
• 6:51
  Speaker 2: I'd encourage everyone to go and have a look excellent.
• 6:53
  Speaker 1: Yeah, how about those numbers? He Since this year's festival
• 6:57
  Speaker 1: officially opened, more than sixty two attendances recorded across free
• 7:02
  Speaker 1: and ticketed performances. It's pretty good going.
• 7:06
  Speaker 2: Yeah, it's spectacular, Katie. It's really a boost for the economy.
• 7:09
  Speaker 2: You can see the number of tourists around town. It
• 7:12
  Speaker 2: would just be nice if we could fix the taxi
• 7:14
  Speaker 2: situation at the airport and get them out quickly to
• 7:17
  Speaker 2: their accommodation when they arrive it on the Red Eyes.
• 7:20
  Speaker 1: Yeah right, So it's still an issue at the moment.
• 7:22
  Speaker 1: Those taxis very much an issue. How long are people waiting.
• 7:28
  Speaker 2: Up to a couple of hours or longer? And the
• 7:30
  Speaker 2: surge pricing on Uber also impacts it through that as well.
• 7:35
  Speaker 2: So yeah, we're talking the government and the industry about
• 7:38
  Speaker 2: how we can help with all of that. Has improved
• 7:42
  Speaker 2: the customer experience for people coming to visit us.
• 7:44
  Speaker 1: Yeah right, So you know with that surge pricing as
• 7:48
  Speaker 1: well with Uber, are people paying like really quite expensive
• 7:50
  Speaker 1: amounts to be able to get from the airport to
• 7:53
  Speaker 1: their accommodation.
• 7:55
  Speaker 2: As I understand that, Katia. I won't quote any numbers,
• 7:57
  Speaker 2: but two or three times the normal is an unusual
• 8:01
  Speaker 2: I'm hearing that's a.
• 8:02
  Speaker 1: Real shame, you know, because in some cases you might
• 8:05
  Speaker 1: have people coming here for the first time and you
• 8:07
  Speaker 1: want their experience to be a really positive one.
• 8:11
  Speaker 2: Yeah. Absolutely, and that is a real detractor at the moment.
• 8:14
  Speaker 2: I guess with uber being unregulated, it's very difficult for
• 8:17
  Speaker 2: anyone to do anything about that. It's a market driven scenario.
• 8:22
  Speaker 2: But from a taxi perspective, which is regulated, clearly it's
• 8:26
  Speaker 2: not driving the right missage to those people who wish
• 8:29
  Speaker 2: to participate in that industry. So one side's got the
• 8:32
  Speaker 2: money and one side does and I think that's driving
• 8:34
  Speaker 2: some of the gap.
• 8:35
  Speaker 1: And what about like I know that the airport had
• 8:38
  Speaker 1: said that they were going to put on charter buses
• 8:40
  Speaker 1: and stuff, but do you know if that has made
• 8:42
  Speaker 1: much of a difference.
• 8:44
  Speaker 2: Look, I haven't been given any data on that. I'm
• 8:47
  Speaker 2: still hearing that the taxis are an issue, but something
• 8:50
  Speaker 2: that we could certainly have a conversation with airport about.
• 8:52
  Speaker 1: Yeah, absolutely, and something that's worth a conversation definitely, you know,
• 8:56
  Speaker 1: because we want to make sure that our tourists and
• 8:58
  Speaker 1: those people arriving to the territory having a cracking time,
• 9:01
  Speaker 1: and part of that is being able to get off
• 9:03
  Speaker 1: the plane and go to your hotel.
• 9:06
  Speaker 2: Absolutely.
• 9:07
  Speaker 1: Oh Greg, good to catch up with you this morning.
• 9:09
  Speaker 1: Thanks so much for your time.
• 9:11
  Speaker 2: You're welcome.
• 9:12
  Speaker 1: Thank you.