Industry peak bodies across fashion and business sectors have shared their support over the Labor Government’s productivity push and its future made in Australia, but some are calling for caution.
This comes as the Australian Government’s Productivity Commission made a call for submissions this week on priority reform areas in boosting local productivity.
Meanwhile, the Albanese Labor Government confirmed late last week that it will invest in a Future Made in Australia plan to bring new jobs and opportunities to communities across the country.
In a media release, Labor wrote that its 2024-25 Budget will invest $22.7 billion over a decade to “help Australia succeed and remain an indispensable part of the global economy as the world undergoes the biggest transformation since the industrial revolution.”
Ethical Clothing Australia welcomed the renewed commitment, but said it cannot come at the cost of ensuring this manufacturing is done ethically.
“Australia’s textile, clothing, and footwear (TCF) industry is a vital part of the local economy, contributing more than $27.2 billion annually, generating a further $7.2 billion in exports, and employing almost half a million people,” ECA shared in a statement.
“Ethical Clothing Australia exists to ensure that workers’ rights are protected and that they are receiving the correct award rates and entitlements and that they are working in safe conditions. Ethical Clothing Australia continues to work with local businesses and promote onshore manufacturing opportunities.
“It is critical that our accreditation program continues to map business’s Australian supply chain from design to dispatch including initial design, pattern making, cut, make, trim and all value adding services.”
In a recent survey by ECA of more than 1,000 Australians, close to 60 per cent believe that exploitation of workers exists in the Australian textile, clothing and footwear industry.
Close to 60 per cent also said that brand transparency around worker protections influences their purchasing of garments or footwear.
And close to 100 per cent of respondents acknowledged that there is a difference between a business conducting its own audit and having a third-party independent audit to ensure compliance with relevant workplace laws.
The Business Council of Australia also welcomed the incoming productivity push.
“We welcome the opportunity to work with the Government in delivering a productivity agenda this term that boosts investment, business opportunity and quality of life for all Australians,” Business Council CEO Bran Black said.
“Business investment is critical to addressing our productivity challenge — with six out of every seven workers employed by the private sector, and 80 per cent of Australia’s economic output coming from businesses of all sizes.
“The BCA looks forward to working with the Treasurer, the Finance Minister and the broader economics team to deliver productivity solutions across the economy, including through the Productivity Commission’s ‘five pillar’ inquiries.”
The Productivity Commission’s five inquiry areas include Creating a dynamic and resilient economy, Building a skilled and adaptable workforce, Harnessing data and digital technology, Delivery quality care more efficiently and Investing in cheaper, cleaner energy and the net zero transformation.
The consultation process opened this week.
Black also highlighted the Labor Government’s commitment to boosting Australia’s competitiveness with greater international engagement, particularly through the continuation of Foreign Affairs Minister Penny Wong and Trade Minister Don Farrell.
“With one in four jobs being trade dependent, it’s crucial that business and government continue to secure new opportunities abroad to grow our economy at a time of geopolitical uncertainty,” Black said.
Black added that business stands ready to assist the Government in driving urgently needed reforms to the Environment Protection and Biodiversity Conservation Act that deliver for both the economy and the environment.
“If we want to deliver increased housing supply, the energy transition and a Future Made in Australia, then it’s right to make fixing our out-of-date, clumsy and cumbersome approvals system a priority,” Black said.
“The BCA looks forward to working closely with Minister Murray Watt to deliver reforms in line with the Samuel Review.”