Small business within the printing and packaging industries risks being pushed further out of the economy by the Fair Work Commission’s decision last week to lift minimum and award wages by 3.5% – the ninth year in a row in which minimum wages have risen more than inflation.
Australia’s National Minimum Wage is now close to, if not, the highest in the world.
“This minimum wage increase will intensify pressure on people running small businesses in the printing and packaging industries, many of whom are already struggling,” PIAA CEO Andrew Macaulay said.
“I have been inundated with calls and emails over the past few days and over the weekend from concerned members about what exactly this will mean,” says Macaulay.
PIAA said last week that it would be talking with businesses about the impact of this change.
“We will be continuing this period of consultation,” notes Macaulay.
One thing is certain: “it is not an acceptable situation where a small business owner who is taking all the risk is earning less money than the employees they employ.”
“More than half of small business owners across the Australian economy earn less than $50,000 per year, and there will be a point at which they will wonder why they bother if wages are raised by more than prices, and business overheads are too high.”
Small printers are a fundamental part of the economy. On any main street, you will find a small print shop. In any regional town, you will find a printer.
“There are concerns from small printing businesses everywhere,” says Macaulay.