Australia’s economy is not growing fast enough to deliver higher wages growth and better opportunities for all Australians, according to the Business Council of Australia (BCA).
BCA chief executive Jennifer Westacott said numbers show that Australia’s economy is slowing and productivity, which is the key driver of wages growth, is going backwards.
She said over the past 55 years the Australian economy has grown at an average of around 3.5 per cent, but the latest figures show that the country’s growth rate is just 1.8 per cent.
“Our current rate of economic growth simply cannot deliver the new jobs and higher wages Australians need.”
“Australia’s slow economic growth leaves us exposed to gathering economic headwinds. Only with a plan for a more competitive and productive economy can we provide Australians with a buffer against an unpredictable global economy.”
Ms Westacott said the country needs to accelerate its rate of growth, building a more resilient and innovative economy that provides more opportunities for all Australians. Although personal income tax reform to deal with bracket-creep and put more money in the pockets of everyday Australians are a good start, she said, a long term growth agenda is needed.
“Politicians, business and the community must act together to deliver the world’s best skills system, to attract the investment Australians need and give Australian workers a modern workplace relations scheme.
“Australians deserve a thriving economy and access to the new opportunities they want for themselves and their families. Only a thriving business sector can deliver a stronger Australia.”