The Federal Government’s commitment to manufacturing industry has come under the spotlight with the announcement of a $6m - five per cent - reduction in print spending, under budget cuts announced by Penny Wong, minister for finance and deregulation.
The manufacturing industry including printing is facing major challenges as it deals with a high Australian dollar, shrinking margins and increased competition through the emergence of a multi-channel communication world.
Bill Healey, CEO, Printing Industries says, “It remains unclear how the figure was determined and where the cuts will be focused. However, it is estimated that a significant proportion of the $6m in cuts will be borne by printers in Canberra, based on the high level of work they do for Commonwealth agencies.”
Based on these figures Printing Industries estimates some 50 full time print jobs are at risk in the ACT alone, Healey says, “The government needs to understand that print intrinsically remains the preferred communication medium for many Australians. If cuts are required then they should be linked to a more holistic review of the broad spending on government communications rather than a narrow focus on one sector.”
Healey believes the government could not ignore the environmental costs of moving to greater on-line delivery, he says, “People don’t realise that in a multimedia world, print and paper will continue to be the sustainable way to communicate. By contrast some 234 million items of e-waste, a figure rapidly growing, end up in landfill in Australia each year.”
Healey says electronic waste is now the fastest growing component of the municipal waste stream. Printing Industries will be writing to the government outlining the likely impact of the proposed changes on the industry. It will also seek to have the Printing Industry Ministerial Working Group used as a vehicle to monitor decisions relating to any cuts.
“While government dollars may need to be saved, greater effort is now required for it to be done in a way that does not inject further pain or struggling small business operators.” Healey concludes.