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‘Unviable': Foodies warned to brace for price hikes when eating out
‘Unviable': Foodies warned to brace for price hikes when eating out

News.com.au

time6 days ago

  • Business
  • News.com.au

‘Unviable': Foodies warned to brace for price hikes when eating out

Since opening seven years ago, Brad Pettitt's cafe has become a beloved local fixture in the tight-knit community of Albion Park, near Wollongong, and most days the 65-seater is buzzing. Despite its popularity and Mr Pettitt's expansion into catering, functions and pop-up events, skyrocketing operating costs have pushed him to the brink. Sharp increases to the cost of everything from insurance and electricity to the price of produce and stock have seen his profit margin shrink to a razor-thin five per cent. Now, the owner of Three Flamingos Espresso is bracing for the latest financial hit – a 3.5 per cent hike to the minimum wage, announced on Tuesday by the Fair Work Commission. 'Our staff work really hard and they absolutely should be rewarded, but in the context of all these other huge cost increases, it's really difficult to cope,' Mr Pettitt said. 'In the past two years, our electricity costs are up 40 per cent, gas 20 per cent, insurance and worker's comp both 10 per cent, coffee recently went up 15 per cent, bacon is up 10 per cent, and eggs, of course, the big one, is 44 per cent. 'The wage increase is modest for a few employees, but we have a staff of 24 so it all adds up to a big additional expense.' Millions of workers will see their hour rate lift to $24.95, a total of $948 per week based on 38 hours worked, up from $24.10 per hour and $915.90 per week. The Australian Industry Group estimated that the increase will see the national wages bill rise by $5 billion over the coming financial year. 'We're doing everything we can to diversify our income streams because we can't rely on day to day trade,' Mr Pettitt said. 'It's just not viable anymore.' He concedes an increase in menu prices is now inevitable – and he's not alone. Industry groups say the larger-than-anticipated minimum wage increase will hurt vulnerable businesses, especially those in hospitality, and consumers will ultimately pay. As a result, the prices of everything from a pub meal to accommodation could rise as many business owners battle to cope with higher wages bills amid especially tough trading conditions. The 'viability' of hospitality businesses and even 'the future of gastronomy' in Australia are at risk, Restaurant and Catering Association chief executive Suresh Manickam claimed. A recent industry survey by the group found 80 per cent of businesses were already considering a hike in menu prices, Mr Manickam said. 'The decision will need to be closely monitored for its impact on the wage-price inflationary spiral,' he warned. 'This wage hike is purely unsustainable for operators, as we know any increase in minimum wages has repercussions beyond a business' wage costs, and will lead to higher rates of unemployment and underemployment, and economic repercussions that impact the everyday consumer.' Stephen Ferguson, national boss of the Australian Hotels Association, said the increase was 'at the higher end of the scale' and above the current inflation rate. 'And it's certainly higher than what business groups were hoping for,' Mr Ferguson said. 'No one begrudges anyone [receiving] a pay rise with the cost-of-living [crisis], but it is definitely an additional cost of business and will have an impact.' The price a consumer pays is subject to a range of cost pressures faced by business operators, he said, adding: 'Wages are a factor, as well as electricity, food costs, insurances, and so on.' The FWC decision comes as the national economy 'muddles through' the lowest period of growth since the recession in the early 1990s, Australian Industry Group chief executive Innes Willox said. 'Business margins are falling, private sector employment and investment is weak, while productivity is barely moving … [and] uncertainty arising from global tariffs and turmoil is also beginning to weigh on the outlook,' Mr Willox said. 'While we supported a moderate increase in real award wages reflecting cost of living concerns, 3.5 per cent combined with the additional 0.5 per cent superannuation costs employers will face from next month is well beyond what current economic conditions can safely sustain. 'Its effects will fall hardest on industries such as retail, manufacturing, and accommodation and food, which are already struggling with very weak business conditions.' The painful combination of the cost-of-living crisis forcing consumers to pinch pennies and soaring business costs had seen revenue fall, Mr Pettitt said. Forced menu price rises had dealt a further blow, with a fall in volumes wiping out most of the gains, he added. 'There's only so much people can pay and it gets to point where many will just cut back,' he said. 'We've seen it with coffee, where we used to 60 to 65 kilos a week, but now we're down to 50 to 55 kilos. 'You see a lot of small businesses closing and it's not hard to understand why. If you sit down and look at the numbers, it doesn't just doesn't sense. For us, it's a labour of love.' The number of companies entering insolvency has 'risen sharply' over recent years, according to the Reserve Bank of Australia, and more than three-quarters of those are small businesses. In another clear sign of the pressure facing business operators, AMP chief economist Shane Oliver enterprise investment as a proportion of the overall economy is at its lowest level in four decades. 'Business investment fell slightly in the March quarter, with pretty weak plans for the year ahead,' Mr Oliver said. 'Private new capital expenditure fell 0.1 per cent against expectations for a 0.5 per cent gain. What's more, investment plans for 2025-26 were just 0.7 per cent higher than the same plans a year ago for 2024-25, suggesting pretty soft business investment growth in the year ahead.' Mr Oliver also pointed out that retail sales fell in April, showing consumers are still struggling with cost-of-living pressures and spending less as a result, hurting businesses' bottom lines. Small businesses are the largest private sector employee in the country and many are struggling to turn a profit in the current economic climate, advocates say. A costs crisis driven by higher rents, insurance premiums, energy bills and other input expenses have left 'razor thin margins', Council of Small Business Organisations Australia chief executive Luke Achterstraat said. 'For every dollar increase in the award rate, employers also face higher levels of workers compensation, payroll tax and, of course, another legislated increase in the superannuation guarantee from July 1,' Mr Achterstraat said. While consumer prices will likely increase, there's only so much of the additional burden businesses can pass on, he said. 'This decision will affect more than 100 different industry awards and a multitude of different role classifications. Many owners will need to personally absorb these higher costs, unable to pass on any further price rises to consumers.' And more pressure for businesses is likely, with Professor John Buchanan from the University of Sydney Business School tipping the FWC's next boost likely to be even bigger, Professor John For one, the commission flagged a potential phasing out of same of the lowest wage classifications in the future. 'In this way it does not have to 'increase rates' for low paid classifications as such,' Professor Buchanan wrote in analysis for The Conversation. 'Rather, it just eliminates the possibility of having rates for exceptionally low paid jobs – and so raises the base rates dramatically for the lowest paid workers.' Secondly, the decision marks a 'break with the recent habit' of using low paid workers as a 'shock absorber' for macroeconomic policy, he added. 'The 3.5 per cent rise is a modest increase but an important one. More important is the framework the commission has set up for decisions in future years.

State branded climate change capital as emissions swell
State branded climate change capital as emissions swell

The Advertiser

time6 days ago

  • Business
  • The Advertiser

State branded climate change capital as emissions swell

Official figures showing greenhouse gas emissions in WA increasing to near record levels confirm the state as Australia's climate change capital, a Greens MP says. WA emitted 89.37 million tonnes of carbon dioxide in 2022/23, the latest available data shows, an annual increase of nearly four per cent on the previous year. The figures are in the National Inventory Report 2023, recently submitted to the UN climate change secretariat under reporting requirements of the Paris Agreement. The data, which spans 1989-2023, shows WA's highest emissions were 89.64Mt in 2009/10. Greens WA leader Brad Pettitt said it "reinforces what we already knew - Western Australia is the climate change capital of Australia". "WA's emissions have continued to rise under Labor in the critical decade for climate action, peaking again in 2023, almost 17 per cent above 2005 levels," he said. "The Cook Labor government have also dumped their commitment to legislate a pathway to net zero by 2050 - the absolute bare minimum - and continue to use Woodside talking points about WA gas helping to decarbonise Asia - talking points that have been proven to be false and misleading," Dr Pettitt said. Conservation Council of WA executive director Matt Roberts said it was "unfathomable" that Premier Roger Cook had indicated that he expected emissions to go up. He said that "folks are really fired up to try and express themselves in a way that they feel heard," about growing concerns over emissions. He was speaking after protests across the country on Wednesday targeting government MPs, as green groups pressure federal environment minister Murray Watt to consult the public and release the conditions of his approval to extend Woodside's North West Shelf gas project. The approval, announced on May 28, would allow Woodside to extend the project's life from 2030 to 2070, subject to conditions about the impact of air emission levels from the expanded onshore gas plant at Karratha in WA's northwest. Those conditions remain secret and a coalition of 80 groups and prominent individuals have written to Mr Watt demanding he publicly release them, and use his powers under the Environment Protection and Biodiversity Conservation Act to allow the public to be consulted. Woodside still has to accept conditions around heritage and air quality at the project on WA's Burrup Peninsula, home to ancient rock art, before the approval is made official. On Wednesday morning, conservation councils coordinated protests against the approval at government and MP offices in all states and territories. Indigenous as well as non-Indigenous Australians "deserved to be heard" in light of recent information on climate, emissions and impacts from the facility on Murujuga rock art, Mr Roberts said. Campaigners fear the extension approval brings Woodside a step closer to tapping the Browse Basin gas field, a vast reserve beneath the pristine Scott Reef, north of Broome. "If the extension goes ahead, it will lock in polluting gas for decades to come, creating demand for new gas projects like Browse, bringing Woodside's toxic operations closer to Scott Reef, and setting back the clean energy transition in WA," Mr Roberts said. Official figures showing greenhouse gas emissions in WA increasing to near record levels confirm the state as Australia's climate change capital, a Greens MP says. WA emitted 89.37 million tonnes of carbon dioxide in 2022/23, the latest available data shows, an annual increase of nearly four per cent on the previous year. The figures are in the National Inventory Report 2023, recently submitted to the UN climate change secretariat under reporting requirements of the Paris Agreement. The data, which spans 1989-2023, shows WA's highest emissions were 89.64Mt in 2009/10. Greens WA leader Brad Pettitt said it "reinforces what we already knew - Western Australia is the climate change capital of Australia". "WA's emissions have continued to rise under Labor in the critical decade for climate action, peaking again in 2023, almost 17 per cent above 2005 levels," he said. "The Cook Labor government have also dumped their commitment to legislate a pathway to net zero by 2050 - the absolute bare minimum - and continue to use Woodside talking points about WA gas helping to decarbonise Asia - talking points that have been proven to be false and misleading," Dr Pettitt said. Conservation Council of WA executive director Matt Roberts said it was "unfathomable" that Premier Roger Cook had indicated that he expected emissions to go up. He said that "folks are really fired up to try and express themselves in a way that they feel heard," about growing concerns over emissions. He was speaking after protests across the country on Wednesday targeting government MPs, as green groups pressure federal environment minister Murray Watt to consult the public and release the conditions of his approval to extend Woodside's North West Shelf gas project. The approval, announced on May 28, would allow Woodside to extend the project's life from 2030 to 2070, subject to conditions about the impact of air emission levels from the expanded onshore gas plant at Karratha in WA's northwest. Those conditions remain secret and a coalition of 80 groups and prominent individuals have written to Mr Watt demanding he publicly release them, and use his powers under the Environment Protection and Biodiversity Conservation Act to allow the public to be consulted. Woodside still has to accept conditions around heritage and air quality at the project on WA's Burrup Peninsula, home to ancient rock art, before the approval is made official. On Wednesday morning, conservation councils coordinated protests against the approval at government and MP offices in all states and territories. Indigenous as well as non-Indigenous Australians "deserved to be heard" in light of recent information on climate, emissions and impacts from the facility on Murujuga rock art, Mr Roberts said. Campaigners fear the extension approval brings Woodside a step closer to tapping the Browse Basin gas field, a vast reserve beneath the pristine Scott Reef, north of Broome. "If the extension goes ahead, it will lock in polluting gas for decades to come, creating demand for new gas projects like Browse, bringing Woodside's toxic operations closer to Scott Reef, and setting back the clean energy transition in WA," Mr Roberts said. Official figures showing greenhouse gas emissions in WA increasing to near record levels confirm the state as Australia's climate change capital, a Greens MP says. WA emitted 89.37 million tonnes of carbon dioxide in 2022/23, the latest available data shows, an annual increase of nearly four per cent on the previous year. The figures are in the National Inventory Report 2023, recently submitted to the UN climate change secretariat under reporting requirements of the Paris Agreement. The data, which spans 1989-2023, shows WA's highest emissions were 89.64Mt in 2009/10. Greens WA leader Brad Pettitt said it "reinforces what we already knew - Western Australia is the climate change capital of Australia". "WA's emissions have continued to rise under Labor in the critical decade for climate action, peaking again in 2023, almost 17 per cent above 2005 levels," he said. "The Cook Labor government have also dumped their commitment to legislate a pathway to net zero by 2050 - the absolute bare minimum - and continue to use Woodside talking points about WA gas helping to decarbonise Asia - talking points that have been proven to be false and misleading," Dr Pettitt said. Conservation Council of WA executive director Matt Roberts said it was "unfathomable" that Premier Roger Cook had indicated that he expected emissions to go up. He said that "folks are really fired up to try and express themselves in a way that they feel heard," about growing concerns over emissions. He was speaking after protests across the country on Wednesday targeting government MPs, as green groups pressure federal environment minister Murray Watt to consult the public and release the conditions of his approval to extend Woodside's North West Shelf gas project. The approval, announced on May 28, would allow Woodside to extend the project's life from 2030 to 2070, subject to conditions about the impact of air emission levels from the expanded onshore gas plant at Karratha in WA's northwest. Those conditions remain secret and a coalition of 80 groups and prominent individuals have written to Mr Watt demanding he publicly release them, and use his powers under the Environment Protection and Biodiversity Conservation Act to allow the public to be consulted. Woodside still has to accept conditions around heritage and air quality at the project on WA's Burrup Peninsula, home to ancient rock art, before the approval is made official. On Wednesday morning, conservation councils coordinated protests against the approval at government and MP offices in all states and territories. Indigenous as well as non-Indigenous Australians "deserved to be heard" in light of recent information on climate, emissions and impacts from the facility on Murujuga rock art, Mr Roberts said. Campaigners fear the extension approval brings Woodside a step closer to tapping the Browse Basin gas field, a vast reserve beneath the pristine Scott Reef, north of Broome. "If the extension goes ahead, it will lock in polluting gas for decades to come, creating demand for new gas projects like Browse, bringing Woodside's toxic operations closer to Scott Reef, and setting back the clean energy transition in WA," Mr Roberts said. Official figures showing greenhouse gas emissions in WA increasing to near record levels confirm the state as Australia's climate change capital, a Greens MP says. WA emitted 89.37 million tonnes of carbon dioxide in 2022/23, the latest available data shows, an annual increase of nearly four per cent on the previous year. The figures are in the National Inventory Report 2023, recently submitted to the UN climate change secretariat under reporting requirements of the Paris Agreement. The data, which spans 1989-2023, shows WA's highest emissions were 89.64Mt in 2009/10. Greens WA leader Brad Pettitt said it "reinforces what we already knew - Western Australia is the climate change capital of Australia". "WA's emissions have continued to rise under Labor in the critical decade for climate action, peaking again in 2023, almost 17 per cent above 2005 levels," he said. "The Cook Labor government have also dumped their commitment to legislate a pathway to net zero by 2050 - the absolute bare minimum - and continue to use Woodside talking points about WA gas helping to decarbonise Asia - talking points that have been proven to be false and misleading," Dr Pettitt said. Conservation Council of WA executive director Matt Roberts said it was "unfathomable" that Premier Roger Cook had indicated that he expected emissions to go up. He said that "folks are really fired up to try and express themselves in a way that they feel heard," about growing concerns over emissions. He was speaking after protests across the country on Wednesday targeting government MPs, as green groups pressure federal environment minister Murray Watt to consult the public and release the conditions of his approval to extend Woodside's North West Shelf gas project. The approval, announced on May 28, would allow Woodside to extend the project's life from 2030 to 2070, subject to conditions about the impact of air emission levels from the expanded onshore gas plant at Karratha in WA's northwest. Those conditions remain secret and a coalition of 80 groups and prominent individuals have written to Mr Watt demanding he publicly release them, and use his powers under the Environment Protection and Biodiversity Conservation Act to allow the public to be consulted. Woodside still has to accept conditions around heritage and air quality at the project on WA's Burrup Peninsula, home to ancient rock art, before the approval is made official. On Wednesday morning, conservation councils coordinated protests against the approval at government and MP offices in all states and territories. Indigenous as well as non-Indigenous Australians "deserved to be heard" in light of recent information on climate, emissions and impacts from the facility on Murujuga rock art, Mr Roberts said. Campaigners fear the extension approval brings Woodside a step closer to tapping the Browse Basin gas field, a vast reserve beneath the pristine Scott Reef, north of Broome. "If the extension goes ahead, it will lock in polluting gas for decades to come, creating demand for new gas projects like Browse, bringing Woodside's toxic operations closer to Scott Reef, and setting back the clean energy transition in WA," Mr Roberts said.

WA news LIVE: Western Australia's emissions continue to rise; Rottnest rebates for school kids
WA news LIVE: Western Australia's emissions continue to rise; Rottnest rebates for school kids

The Age

time7 days ago

  • Business
  • The Age

WA news LIVE: Western Australia's emissions continue to rise; Rottnest rebates for school kids

Western Australia's carbon emissions continue to rise, according to the latest data from Australia's national greenhouse accounts. According to the data for 2023 – the latest available – WA pumped 89.37 million tonnes of greenhouse gases into the atmosphere in that year. More than 90 per cent of those emissions comes from the burning of fossil fuels across sectors including electricity generation, the oil and gas sector and transport. WA's figure is nearly equal to the state's worst year in history 2010 when it emitted 89.64 million tonnes of pollution and represents a continued rise in the state's emmissions after recording 85.97 million tonnes in 2022. Nationally, Australia's emissions have also edged slightly higher from 397.06 million tonnes to 397.98 million tonnes, driven by WA's increase as well as increases in New South Wales and Queensland. WA Greens leader Brad Pettitt said the data reinforced what we already knew; Western Australia is the climate change capital of Australia. 'WA's emissions have continued to rise under Labor in the critical decade for climate action, peaking again in 2023 at 89 million tonnes, equal to their all-time high in 2019 and almost 17 per cent above 2005 levels,' he said. 'What's even more concerning is that WA's emissions are set to continue rising to 2030 and maybe even beyond because the Cook Labor government has no serious plan to decarbonise our economy. 'This decade – between now and 2030 - is when we need to substantially reduce emissions if we are to keep warming under 1.5 degrees. The Cook Labor government is abjectly failing on this key global commitment.' Premier Roger Cook has in the past acknowledged WA's emmissions would likely rise over the next decade or so because of the state's continued path of approving fossil fuel projects, which he said would help decarbonise other nations. 'I obviously speak to the gas companies, I speak to their customers, and their customers have said very clearly...'we want to get from 39 per cent profile of coal-fired power in our grid down to 19 per cent. The only way we can do that is by utilising gas',' he said. The data comes as environmental groups ramp up their protests over the Commonwealth's decision last week to approve the 40-year extension of the North West Shelf gas project. The Conservation Council of WA is holding a snap protest outside the Commonwealth government offices while the Prime Minister Anthony Albanese is in Perth for a cabinet meeting. 'At the recent election, Australians voted for climate action. They did not vote for Peter Dutton's 'bucket loads of gas' and a fast-tracked approval for the North West Shelf,' CCWA director Matt Roberts said. 'Labor's mandate does not extend to paving the way for more gas and climate chaos or a reckless approval for the North West Shelf.'

WA news LIVE: Western Australia's emissions continue to rise; Rottnest rebates for school kids
WA news LIVE: Western Australia's emissions continue to rise; Rottnest rebates for school kids

Sydney Morning Herald

time7 days ago

  • Business
  • Sydney Morning Herald

WA news LIVE: Western Australia's emissions continue to rise; Rottnest rebates for school kids

Western Australia's carbon emissions continue to rise, according to the latest data from Australia's national greenhouse accounts. According to the data for 2023 – the latest available – WA pumped 89.37 million tonnes of greenhouse gases into the atmosphere in that year. More than 90 per cent of those emissions comes from the burning of fossil fuels across sectors including electricity generation, the oil and gas sector and transport. WA's figure is nearly equal to the state's worst year in history 2010 when it emitted 89.64 million tonnes of pollution and represents a continued rise in the state's emmissions after recording 85.97 million tonnes in 2022. Nationally, Australia's emissions have also edged slightly higher from 397.06 million tonnes to 397.98 million tonnes, driven by WA's increase as well as increases in New South Wales and Queensland. WA Greens leader Brad Pettitt said the data reinforced what we already knew; Western Australia is the climate change capital of Australia. 'WA's emissions have continued to rise under Labor in the critical decade for climate action, peaking again in 2023 at 89 million tonnes, equal to their all-time high in 2019 and almost 17 per cent above 2005 levels,' he said. 'What's even more concerning is that WA's emissions are set to continue rising to 2030 and maybe even beyond because the Cook Labor government has no serious plan to decarbonise our economy. 'This decade – between now and 2030 - is when we need to substantially reduce emissions if we are to keep warming under 1.5 degrees. The Cook Labor government is abjectly failing on this key global commitment.' Premier Roger Cook has in the past acknowledged WA's emmissions would likely rise over the next decade or so because of the state's continued path of approving fossil fuel projects, which he said would help decarbonise other nations. 'I obviously speak to the gas companies, I speak to their customers, and their customers have said very clearly...'we want to get from 39 per cent profile of coal-fired power in our grid down to 19 per cent. The only way we can do that is by utilising gas',' he said. The data comes as environmental groups ramp up their protests over the Commonwealth's decision last week to approve the 40-year extension of the North West Shelf gas project. The Conservation Council of WA is holding a snap protest outside the Commonwealth government offices while the Prime Minister Anthony Albanese is in Perth for a cabinet meeting. 'At the recent election, Australians voted for climate action. They did not vote for Peter Dutton's 'bucket loads of gas' and a fast-tracked approval for the North West Shelf,' CCWA director Matt Roberts said. 'Labor's mandate does not extend to paving the way for more gas and climate chaos or a reckless approval for the North West Shelf.'

Perth got millions for new trees. Not a single one has been planted
Perth got millions for new trees. Not a single one has been planted

The Age

time26-05-2025

  • Politics
  • The Age

Perth got millions for new trees. Not a single one has been planted

Approaching a year since the state government promised $7.2 million to replant 16,000 trees devastated by a destructive beetle, not a single tree has been planted and none will hit the ground until at least May 2026. In response to concerns raised by Greens MLC Brad Pettitt in state parliament regarding the progress of the WA Tree Recovery program, including the number of applications received from local governments and residents, new Environment Minister Matthew Swinbourn said only that the 'program continues to progress'. The multimillion-dollar investment was to help replace thousands of trees affected by polyphagous shot-hole borer at Perth landmarks including Perth Zoo and Hyde Park. It comes after the news that the majority of trees and shrubs on the islands in Hyde Park's two lakes are now infested with shot-hole borer, and will need to be removed. Its eradication is a tough battle with no treatment options proven to be effective anywhere in the world – tree pruning and removal of infested trees is the only accepted way to stop the spread. City of Vincent Mayor Alison Xamon said the council just started its annual tree program with around 4000 new plants to be planted on Hyde Park islands this winter, including mature trees to bring back canopy quicker. She said minimising the loss of more trees to the borer was a priority for Vincent. 'The State Government grant funding is not yet available. As soon as it is released, we will apply,' she said. 'We will continue to seek additional funding support from state or federal government to ensure we not only replace, but increase our tree canopy coverage across Vincent.'

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