Karen McNamara (Dobell, Liberal Party) Share this | Hansard source

I must say that it is a pleasure to return the debate to the actual bill before the House. I rise to support the Australian Small Business and Family Enterprise Ombudsman Bill 2015. The bill fulfils yet another commitment by this government to the Australian small business community. This government recognises the vital role small businesses play in this trade and economy. I recognise and applaud small business on the New South Wales Central Coast for the role they play in the Central Coast economy. Australia's two million small business produce more than $330 billion in economic output and employee over 4.5 million people. Seventy per cent of all Australian businesses are family enterprises, and they deserve the full support of the government.

When introducing the Australian Small Business and Family Enterprise Ombudsman Bill 2015 the Minister for Small Business, the Hon. Bruce Billson, said:

These businesses and their enterprising women and men are the foundation on which Australia's economy is built and our future prosperity will be realised. The ability for small businesses to remain innovative, grow and deliver new jobs is dependent on reducing costs and increasing the time that owners have to invest in their business. We understand that small businesses do not have the same level of resources available to big businesses when dealing with compliance and regulation.

I know firsthand from my role, before I came to this place, as a compliance manager with a New South Wales government regulator that the majority of businesses want to do the right thing but they do struggle with compliance. So it is important that they know where to go to get that important information so they can comply. Small businesses must ensure that they comply with the workplace relations framework, competition policy, contract law and business and tax law. This is all in addition to meeting the needs of their customers. There is no doubt that small business operators are time poor and, as I mentioned, they need to know where to go for advice and assistance.

Since the coalition was elected we have delivered a suite of measures to ensure that the small businesses of Australia are operating within an environment that is focused on supporting success. The Australian Small Business and Family Enterprise Ombudsman Bill establishes the position of an ombudsman who will assist the small business and family enterprise sectors. The concept of the Australian Small Business and Family Enterprise Ombudsman was first proposed by this government prior to the 2010 federal election. In 2013 the government announced the creation of an Australian Small Business and Family Enterprise Ombudsman with real power. Importantly, the office of the ombudsman will serve as a single entry point to access federal small business programs and support. The ombudsman will have two key primary functions—as an advocate and to provide assistance. The ombudsman will serve as a Commonwealth-wide advocate for small business and family enterprise and a concierge for dispute resolution who will also provide an outsourced alternative dispute resolution service and as a contributor to ensuring Commonwealth legislation and regulations are more small-business friendly.

These functions have been welcomed by the Australian Chamber of Commerce and Industry, who have stated:

Small businesses lacked the financial and logistical resources to pursue any formal legal action on their own.

They suggested that the new ombudsman be given powers to perform investigations and refer disputes to authorities. The ombudsman will provide an alternative dispute resolution role providing improved access to justice for small business at a Commonwealth level. An example of a dispute resolution service provided by the ombudsman may be in relation to interstate and international commerce. As part of the dispute resolution function the ombudsman may recommend that an alternative dispute resolution process be undertaken. This may include referring parties to a relevant provider to independently perform the alternative dispute resolution process. The ombudsman's alternative dispute resolution service will complement the concierge role and will not replace existing systems across the Commonwealth, states and territories. Ultimately, the government's aim is to help improve business productivity, preserve business relationships and avoid expensive litigation. Therefore it is important that the ombudsman facilitate the timely resolution of disputes.

This builds upon the role of the Australian Small Business Commissioner. The former Labor government established the commissioner without a commission or legislative backing, therefore reducing their capacity to assist our small businesses. It is essential that positions such as the commissioner and ombudsman receive appropriate legislative authority to act and are equipped with the proper tools to assist small businesses. Unlike the Australian Small Business Commissioner, the Australian Small Business and Family Enterprise Ombudsman will be supported by legislation. Significantly, the ombudsman will be a strong advocate for small businesses and family enterprise in relation to relevant legislation, policies and practices.

This government takes small business seriously. Unlike the former Labor government, which had six ministers for small business in as many years, we understand the importance of having a strong, constant voice advocating for small business. This is why our Minister for Small Business has a seat at the cabinet table. Building upon this strong foundation, the ombudsman will listen to small businesses and family enterprise and operate within the Treasury portfolio to ensure that small business perspectives and views are considered by all areas of government when developing programs and policy. Furthermore, the ombudsman will be granted information-gathering powers to enable investigation into the wide range of issues impacting small business and family enterprise. This is particularly important if we are to understand the issues confronting small business as they interact with the public sector and elements of the private sector.

Importantly, the ombudsman will not duplicate the functions of other officials. The ombudsman will be directed to work collaboratively with Commonwealth officials such as the Commonwealth Ombudsman and the state small business commissioners to deliver outcomes for small businesses. As Minister Billson highlighted in his second reading speech, the government acknowledges that a number of services already exist for small business issues, complaints and disputes. Not all small businesses know where to turn for support. The ombudsman will provide small business with a point of contact when an issue arises. This means that a small business can approach the ombudsman for assistance in regard to a dispute or complaint. However, the ombudsman will be required to transfer a request for assistance to another Commonwealth, state or territory agency if that jurisdiction is best placed to resolve that complaint.

The government will ask the ombudsman to identify issues that warrant a national approach. It is important that we collaborate with the states and territories to ensure that it is as easy as possible for small businesses to operate across state borders. This bill will also allow the Minister for Small Business to refer matters to the ombudsman for investigation. The ombudsman can be requested to undertake a public inquiry into matters of significant interest to small business or family enterprise. In instances where this authority is used, the minister will be required to table the report of the ombudsman's inquiry in each house of parliament.

As a member of this government, I am proud to have supported efforts to tackle overregulation and the burden of compliance on small business. Cutting red tape is building a stronger and more prosperous economy. This has been particularly important for our small businesses, which currently spend far too much time dealing with regulation. As I have highlighted previously in this place, the average Australian business deals with eight regulators in a given year, spends close to four per cent of its total annual expenditure on complying with regulatory requirements and spends approximately 19 hours a week on compliance related activities. This is valuable time that could be better utilised growing its business and delivering more jobs.

Last year, I had the pleasure of hosting a delegation of business stakeholders from the Central Coast for the government's first regulation repeal day. John Mouland, CEO of Regional Development Australia Central Coast, welcomed the government's commitment to cutting unnecessary red tape and green tape. He said, 'It's great to see the Commonwealth introduce measures to simplify or completely remove unnecessary or duplicated regulation that directly adds to the spiralling cost of compliance that local Central Coast businesses face.' Our subsequent repeal days have continued to deliver relief for Australian businesses, ensuring that they spend their time focused on growing their business rather than complying with government requirements. To date, the government has delivered a total deregulatory saving of $2.45 billion.

The ombudsman will assist the government with our deregulation agenda by providing advice on proposed and existing regulations, legislation and practices. This ensures that small business and family enterprises are at the centre of policy and program design. Furthermore, it will also ensure that the burden of regulation and red tape is minimised, removed or prevented from being imposed.

As I previously mentioned, this is a government that listens to and understands small business. Our $5.5 billion Jobs and Small Business package was welcomed with open arms by the small business community. The New South Wales Business Chamber stated:

The engine room of the national economy, the small business sector, has received a much needed boost in the Federal Budget …

The Business Chamber also highlighted the difference between this government and the former Rudd-Gillard-Rudd Labor government in regard to support for small business. New South Wales Business Chamber CEO Stephen Cartwright said:

Five years ago, the small business community wasn't even mentioned on budget night, but now it is front and centre of Budget commentary.

This bill continues to build upon the great support delivered through this year's budget. Importantly, the Business Chamber stated:

These measures will be particularly well received in regional Australia where unemployment is at its highest and job opportunities are limited.

These are the results when you have a government committed and determined to ensure the success of Australia's small business.

We are already seeing the results of this government's determination to help Australian small businesses. When the Hon. Bruce Billson MP, Minister for Small Business, said, 'Australians are well known for their enterprising spirit and their willingness to have a go,' he was absolutely correct. In 2013-14, Australians started over 280,000 small businesses. Our $5.5 billion Jobs and Small Business package will create the right conditions for small businesses to thrive and grow. This bill, the result of extensive consultation with the small business community, continues to build upon this government's strong record of achievement for small business.

Small businesses and family enterprises in my electorate of Dobell will benefit from the introduction of the Australian Small Business and Family Enterprise Ombudsman. And we are determined to make life as easy as possible for small business operators so they can spend their time growing their business, spending time with their families and taking that well-earned break. On behalf of the 8,703 small businesses in my electorate of Dobell, I thank our Minister for Small Business, Mr Billson, for his commitment to small business. I commend this bill to the House.

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