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Collaboration key to strengthening the Economy
04 Jun 2018 | Archive
Stronger profits are driving jobs and wage growth in data released from the Australian Bureau of Statistics today.
However the Australian Chamber of Commerce and Industry said the results were not due for celebration yet.
“Profit growth is not strong by any measure”, Australian Chamber Chief Economist, Adam Carr, said.
“Annual profit growth is well below normal as the last two profit figures have shown.
“That said, what pick-up there is in profits looks to be flowing through the economy.
“It’s providing jobs and wage growth.
“Is profit growth what businesses want? No it isn’t – it should be stronger much stronger.
“Is wage growth where everyone wants it? Again no it isn’t. And neither is business investment.
However Mr Carr said there was reason for optimism.
“But things are getting better, slowly but surely,” Mr Carr said.
“What we don’t need are policies that pit employers and employees against each other – that’s not going to help anyone.
“What we do need to do is work together to strengthen this country – to strengthen our businesses and boost profits. Which creates jobs.
“It’s a no brainer – if business are profitable they hire, they invest – they pay higher wages.
“That’s what we’ve been highlighting for some time now and the data today’s shows why that is true.”