We’re ignoring key jobs sector
IT is time for the not-for-profit and human services sector to be taken seriously as an integral contributor to the Northern Territory economy and creator of current and future jobs.
This year that contribution was $1.3bn, generating well over 10,000 jobs — real money, real jobs.
The number of jobs generated by the not-for-profit sector dwarfs the mining and manufacturing sector at 6000 jobs, is far larger than the tourism industry at 8400 jobs, and is more than four times as big as the agriculture, forestry and fishing sector at 2400 jobs.
The Productivity Commission estimates that in the five-year transition phase to the NDIS, the associated boost in productivity will account for one in five of new jobs across the country.
The NT is well behind the eight ball in rolling out the NDIS, and COAG estimates there is currently a $153m underspend in the Territory.
This is real commonwealth money being underused on an industrial scale.
To make it worse, the NDIS bilateral agreement with the commonwealth requires the NT government contribute $99m annually toward the scheme. So the Territory is giving away $99m a year, while $153m of commonwealth money that should be being spent here, isn’t.
New money, real money, gone begging. I hear people say yes, but that’s just government money, it’s not actual economic growth, it’s just taxpayer funds going through the wash cycle.
Well, it is money that could be coming here that isn’t — and it’s the same money that pays for much-heralded defence and infrastructure projects.
It also fails to acknowledge that the bulk of the Territory economy is held afloat by taxpayer dollars, and right now many small businesses are living from sugar hit to sugar hit as government rolls out one stimulus package after another.
Meanwhile, at the top end of town, many of the biggest names in Northern Territory business have built small empires on the back of rent-seeking projects that rely almost exclusively on winning successive government contracts.
Despite the obvious role the health and social services sector has to play in job creation, we now have a Territory Economic Reconstruction Commission Final Report that gives it a single mention and makes not one reference to disability or the NDIS.
The commission is made up of people with enormous talent and skill, and in no way do I mean to dismiss its work. It has identified areas for economic growth that are all valid and have their place.
But the point is that if the sector with potential to generate one in five new jobs across the country does not get a single mention in a 130-page report then there are some fundamental aspects of the Northern Territory economy that have either been ignored or misunderstood.
This is not surprising when you look at the membership of the committees that sit underneath the commission, including
WHILE BIG AND SMALL BUSINESS IS CELEBRATED FOR SPENDING TAXPAYER DOLLARS, NOT-FOR-PROFITS ARE RELEGATED TO THE ROLE OF INCONVENIENT NECESSITIES
LAWSON BROAD
Team Territory and the various regional economic reconstruction committees.
On my count, of the 103 members of these committees, fewer than five were from the not-for-profit and human services sector.
This sector includes a whole range of CEOs and boards with real experience, skill and capability, and with something informed and constructive to contribute to the conversation. And yet their voices seem to hold no weight.
While big and small business is celebrated for spending taxpayer dollars, not-for-profits are relegated to the role of inconvenient necessities.
It is time this sector with the potential for powerhouse job creation had a seat at the big table.