Media Releases May 2016

The Australian Industry Group Australian Performance of Manufacturing Index (Australian PMI®) has consolidated its recent gains, falling 2.4 points to 51.0 in May to remain above the 50-point level separating expansion from contraction. The result continues the longest unbroken period of growth for the Australian PMI® since September 2006, now at 11 months.

"The 2.4 per cent minimum wage increase awarded today by the Fair Work Commission is out of step with record low wage outcomes across the economy and very low inflation. The increase will put upwards pressure on wages. It will be a significant impost on businesses at a time when the economic and business environment is difficult, risky and uncertain," Australian Industry Group Chief Executive Innes Willox said today.

"New research released today by the Centre for Workplace Leadership shows that disruptive technologies and innovation will largely depend on the capability of our leadership and employee engagement levels in order to sustain and grow our competitiveness," Australian Industry Group Chief Executive, Innes Willox, said today.

"The Australian Industry Group (Ai Group) welcomes today's announcement by Fair Work Building and Construction Director Nigel Hadgkiss of new compliance measures for the Building Code 2013. The Building Code enables the Federal Government to use its purchasing power to ensure that the cost of roads, schools, hospitals and other vital community infrastructure is not inflated through unacceptable work practices and unproductive enterprise agreement provisions," Ai Group Chief Executive Innes Willox said today.

The Australian Advanced Manufacturing Council (AAMC) partnered with the Australian Industry Group to produce this video, which aims to tackle common misconceptions about advanced manufacturing.

"With the federal election now officially underway, Ai Group is urging all parties to adopt policies to deliver the diverse and dynamic economy needed to lift living standards and underwrite sustainable growth," Australian Industry Group Chief Executive, Innes Willox said today.

"Cutting the rate of company tax is the right policy to better equip the economy in its current rebalancing phase. It would help counter the longer-term pressures of the ageing population; lagging productivity growth; and our increased vulnerability to swings in commodity prices and the domestic currency. We simply cannot afford to leave the company tax rate at its highly uncompetitive level," Australian Industry Group Chief Executive, Innes Willox said today.

The national construction industry edged slightly into expansion in April, with the Australian Industry Group/Housing Industry Association Australian Performance of Construction Index (Australian PCI®) rising by 5.6 points to 50.8 (readings above 50 indicate expansion in activity, with the distance from 50 indicating the strength of the increase).

"Ai Group congratulates Tim Nicholls on his election today as leader of the Liberal National Party in Queensland and his appointment as Opposition Leader," Ai Group's Queensland Head Jemina Dunn said today.

"Ai Group welcomes the Government's announcement that Dr Philip Lowe will become the next Governor of the Reserve Bank when the present Governor Mr Glenn Stevens completes his term in September," Australian Industry Group Chief Executive, Innes Willox said today.