Yvette D'Ath (Petrie, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister for Employment Participation. How has NEIS been improved under the new employment services and how is the government supporting the unemployed to establish new businesses?

Brendan O'Connor (Gorton, Australian Labor Party, Minister for Employment Participation) Share this | Link to this | Hansard source

I thank the member for Petrie for her question. I know that she is a very big supporter of small business in her electorate in Brisbane and beyond, across the country, because she knows—as other members on this side know—how important small businesses are to our economy and to this society. It was a privilege—it gave me great pleasure—last week to present the National NEIS Association business awards. The NEIS business awards, as the Minister for Trade knows, recognise the outstanding success of small businesses established under the Australian government’s New Enterprise Incentive Scheme. The NEIS program provides support and help to eligible job seekers to start and run their own small businesses. It was first established in 1985, so it is a program that has changed but it has certainly survived the test of time. It was a Hawke government initiative, but the fact that it was embraced by subsequent governments shows how important it has been in helping job seekers to find a different path to employment.

For that reason I was there on award night last week, providing, I guess, support for the program but also to acknowledge the winners of the particular awards. The winners covered a range of businesses and sectors, including those involved in transportation and distribution, traditional trades, the hospitality industry, and graphic arts and design, just to name a few. Melbourne business Verve Portraits was announced as the winner of the new business award. Established by Holly McErvale in 2006, with the support of RMIT NEIS, Verve Portraits has expanded from a sole trader, in just 18 months, to a company now employing more than 30 people across two studios. Indeed, Ms McErvale informed me that she is looking to start up an enterprise in Sydney also. Verve Portraits’s success shows what individuals can achieve when their ingenuity and perseverance is combined with the expertise of NEIS providers in providing appropriate mentoring and support.

Adelaide based Wise Choice Healthy Foods was named the best growth business in the category for businesses operating for longer than 15 months. It has taken its high-quality milk throughout the Adelaide region. I commend their great efforts. Finally, Melbourne based DNR Logistics won the NEIS change award. These businesses and the individuals who underpin their success show us why NEIS will continue to be an important option for job seekers and an essential element in the government’s new employment services. The government will strengthen the NEIS program, with up to 18,900 training places being made available under the Productivity Places Program for job seekers who wish to establish their own small business in an area of skills shortage.

Small business, as we know, creates much of the prosperity in communities around the country. Three-quarters of a million businesses employ nearly four million people. Therefore, their importance to our economy can never be overstated. In response to the challenging economic climate, recent measures taken by the government will improve the viability of small businesses and the availability of finance to the small business community. I listened to the answer by the Minister for Small Business, Independent Contractors and the Service Economy. He indicated that there will be a conference this Friday. I think that is another great initiative by this government, which wants to listen to the concerns of small business.

Finally, the government will continue to support the future businesses that will be developed under the NEIS program. It is a great program. We have reformed it and provided appropriate training and mentoring. We wish all of the participants in the program from this point on every success.