A message from the President

As property owners, business owners and job creators, unemployment data rapidly approaching double digits is a real wake-up call.

In fact, the last time South Australia’s jobless rate was higher than 8.2% was in the year 2000. That was four Premiers ago at a time when Essendon were AFL premiers and Central Districts won its first of nine SANFL premierships in 11 years. My point is, you’ve got to look far back in time to find a higher number than what we saw yesterday.

In seasonally adjusted terms, Australia’s unemployment rate for June 2015 was 6.0%, an increase of 0.1% on last month. Contrast that with South Australia, which leapt from 7.6% to 8.2%. Incredibly, Tasmania’s employment rate decreased from 7.0% to 6.5%, leaving our state 1.7% higher than Tasmania and 2.2% higher than the nation’s average.

And the scary part about this deepening jobless trend is that the worst is probably yet to come. So what does this mean for us all?

If we’re serious about becoming ‘the best place to do business,’ we need to cut red-tape and create a tax and business environment that is competitive around the country, and also around the world.

We need lower costs associated with owning and developing land in South Australia, cheaper utilities, and regulation that doesn’t get in the way of creating jobs.

We need to create compelling reasons for interstate and international businesses to invest here, and give young job-seeking South Australians a reason to not increase our brain drain exodus.

That’s why last month’s announcement to phase out stamp duty on non-residential property transfers was strongly endorsed by the property sector. Following last week’s jobs data, there’s actually a strong case to fast-track this policy to create an immediate incentive to invest.

We also need to think about infrastructure as a jobs driver. The State Government just released its Integrated Transport and Land Use plan; however, funding hasn’t been locked in for initiatives like extending the tram line. As we all know, investment begets investment and confidence will follow.

Let’s take a look at start-ups. There’s plenty of confidence in hospitality start-ups at the moment, with our city’s small bar revolution instilling greater confidence amongst our entrepreneurial youth. Something positive is happening. More entrepreneurs are trying their hand at running a business and employing people.

With the likes of Renew Adelaide and Majoran Distillery, they’re focusing on youth, creativity, ideas and innovation. This is part of the new economy that everyone’s talking about. And if we do this right, we’ll retain our youth and maybe even attract some back. All the foundations are in place, we just need to improve the business offerings.

At InvestSA recently, we saw the next generation of entrepreneurs and innovators. And they really opened our eyes to how our economy could evolve over coming years.

Ultimately, the jurisdictions with the most competitive tax environments and the most liveable cities will win the contest for young people, business creators, skilled immigration and global investment.

I am committed to making sure the Property Council is leading the charge for real job creation and will work closely with all interested parties and stakeholders to bolster employment prospects in South Australia.