Portfolio Media
Tourism hung out to dry again by Rudd Government
03 July 2009
More than 5600 accommodation jobs have gone in just six months partly thanks to the Rudd Labor Government’s neglect of the tourism industry in its darkest hours, Shadow Minister for Tourism Steven Ciobo said.
Mr Ciobo’s comments followed today’s Tourism and Transport Forum (TTF) survey showing that more than 5600 jobs have gone in the accommodation sector between September and March. Almost half of those (2600) were in Queensland – the jewel in Australia’s tourism crown.
“As tourism numbers continue to plummet, jobs are axed and revenues slump, the Rudd Labor Government stands by and watches it all unravel,” Mr Ciobo said. “The Labor Government has pretended to be a friend of tourism, but instead, has shown complete disregard for one of Australia’s biggest employers and economic powerhouses.”
Labor’s sharp increases in tourist visa charges and new industrial relations regime would only add to industry woes, forcing up wage costs and fuelling further job losses, Mr Ciobo said.
On Wednesday unions seized on the opportunity of Labor’s Fair Work Act to press for wage increases for workers in 15 large hotels, including hotels in the Sheraton, Marriott and Hilton chains.
“It only took a few hours of the Rudd Labor Government’s new industrial relations regime for the unions to line up with their hands out,” Mr Ciobo said. “In yet another example of the fallout for businesses nationwide from Labor’s new industrial relations regime, we are already seeing a push for increases that are fundamentally unsustainable.”
The TTF report showed that revenue, occupancy and room yield had also all fallen in the March quarter.
“This part of the tourism industry is doing it particularly tough at the moment, suffering the double whammy of sagging tourism numbers and a sharp drop in business events travel. Not only is occupancy down across the board, but room yields as well.
“Only two months ago, the TTF warned the global recession and our softer tourism numbers could force hotels to shut whole floors of their properties. New wage demands on these businesses and possible industrial disruption will only serve to increase that pressure on the sector.”
“On top of hotels being forced to close floors now comes this attack on their overheads,” Mr Ciobo said.