Big spending on construction, tourism and jobs will kickstart the state
Tourism, big building projects, farmers and support small business will be the key to kickstarting Victoria’s economy after the hit of coronavirus. Experts have mapped out how we can claw our way back.
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Victoria must strike quickly to develop an ambitious plan to super charge our state as we exit lockdown and lessen the massive economic turmoil ahead.
As part of the Herald Sun’s Kickstart Victoria campaign, key industry representatives have revealed ideas ranging from giving all Victorians a $250 voucher, revitalising the Yarra River into a top tourist drawcard and rebranding the state in a new and fresh way have all been detailed in a new Herald Sun campaign.
Kickstart asks the captains of industry, leaders and everyday workers, to chart a path forward, out of the darkness, into the light.
HAVE YOUR SAY ON HOW VICTORIA SHOULD REBUILD
Committee of Melbourne chair Scott Tanner and chief executive Martine Letts said a ‘Made in Melbourne’ campaign were needed to bring the city back to life.
It also wanted “crippling bureaucracy” to be swept aside to get “bold projects” moving.
Victorian Chamber of Commerce and Industry (VECCI) chief Paul Guerra said with coronavirus lockdowns setting Melbourne to fall by $61 billion over the next five years, Victoria was headed for a recession “far worse than the 1990s”, and needed to act decisively, now, to lessen the blow.
“Let’s be defined by our response to COVID-19 … let’s come back swinging,” he said.
One of those companies defying the odds is 160-year-old Geelong manufacturer Backwell IXL.
Foundry manager Ross James said he was so proud of his “adaptable” workforce they would still be in production in 160 years time.
With Victoria’s unemployment rate at 7.1 per cent, and predicted to go as high as 11 per cent, it was “time to inject some clear hope before more Victorians suffer financially, mentally and emotionally”, VECCI chief Mr Guerra said.
Victorian exports were forecast to fall by $16.4 billion this year, he said.
“These sobering numbers demonstrate why it’s so important for us to do all we can to preserve Victorian jobs and businesses,” Mr Guerra said.
Victorian Tourism Industry Council (VTIC) chief Felicia Mariani said by the end of this year the workforce in her sector was expected to be half that of last year.
And the second lockdown had put the Victoria six months behind other states, leaving it vulnerable to having its major events poached, she said.
“Other states are positioning to poach our events as they’re seen to have more immediate stability and certainty than Victoria can promise,” Ms Mariani said.
Melbourne and Avalon airports also needed to be opened as soon as possible and Victoria imaginatively rebranded to present the state “in a new and fresh way”, Ms Mariani said.
“This will be a critical step towards leaving behind the dark persona that’s enveloped us and show Australia and the rest of the world that we’re back with all the energy and vibrancy that’s made us famous,” she said.
A prepaid voucher system which saw all Victorians given $250 from the government to spend on travel, food, entertainment, accommodation or at a tourist attraction would provide an instant boost to the industry, Ms Mariani said.
Tourism and Transport Forum (TTF) figures for September – released this week – reveal Victoria is losing a staggering $1.44 billion a month in domestic tourism expenditure because of COVID restrictions.
Another $984 million a month in international tourism spending was being lost because of border closures and 165,000 tourism industry jobs had disappeared, creating a $6.6 billion wages hole in the Victorian economy.
Grattan Institute chief Danielle Wood said “jobs, jobs and more jobs” were desperately needed.
Fortunately, there was “plenty” that could be done to help Victoria’s 250,000 unemployed and 500,000 underemployed find work, she said.
Boosting social housing construction, establishing intensive tutoring programs to help disadvantaged students catch up on learning lost during remote schooling and turning Melbourne into an international student mecca would all create jobs while doing great good on other fronts, Ms Wood said.
Meanwhile, Master Builders Victoria said it was pushing for a reduction in stamp duty, red tape and levies.
Premier Daniel Andrews welcomed industry leaders putting forward their vision for the state’s recovery as part of the Herald Sun’s Kickstart Victoria campaign.
When asked about the campaign, Mr Andrews said the government would consider the ideas suggested and that the community would drive the recovery process.
“It’s really positive that some people have got a really optimistic agenda for the future,” he said.
“It’s really important we get that positive discussion and debate going.
“Following the amazing work of the Victorian community to beat this second wave, we will put in place the biggest package of recovery and competence.”
Mr Andrews said he wanted the Victorian economy to once again lead the nation.
“They are the facts of the last five years,” he said.
“I’m really confident that we’re going to have a lot of great new thinking.
“I want to congratulate all of those people who contributed to that process.”
READ WHAT THE EXPERTS HAD TO SAY:
HOW MELBOURNE WILL LOOK DIFFERENT NEXT YEAR
GRATTAN INSTITUTE: JOBS, JOBS AND MORE JOBS THE WAY TO REVIVE
TOURISM INDUSTRY: TRAVEL READY FOR ROLL
FARMERS FEDERATION: REGIONAL VICTORIA READY TO LEAD
COMMITTEE FOR MELBOURNE: COLLABORATION KEY TO RECOVERY