Adele Farina
Proposed support packages for businesses impacted by the Western Australian State Government’s decision to end native forestry have been rejected by industry. Source: Timberbiz
The business transition support programs were presented to the Native Forest Transition Group (NFTG) and have been described by Forest Industries Federation WA (FIFWA) Chief Executive Officer Adele Farina as offensive.
“The State Government continues its deplorable treatment of timber businesses in proposing these packages, which can only be described as offensive,” Ms Farina said.
“The eligibility criteria are so restrictive, very few businesses will be able to access the packages and even if a business meets all the eligibility criteria, payment remains at the discretion of the Minister for Forestry.
“There is no transparency to the process and no right of appeal.
“The payout amount so miniscule, it doesn’t justify the effort of the application process.”
The State Government is demanding that harvest and haulage businesses continue in the industry until at least July 2023, despite many skilled workers resigning to take more secure jobs elsewhere.
Ms Farina said these businesses could not continue to operate without a skilled workforce and should not be expected to continue if the business was no longer viable.
“If this wasn’t bad enough, a business that becomes unfinancial due to no fault of its own and as a direct consequence of the Government’s policy decision, will become ineligible to access any of the business funding packages,” Ms Farina said.
“Sawmills are being offered compensation comprising of a payment based on the 2022 indicative supply volume provided by FPC, which it plucked from the air and falls well short of the base contracted volume. The payout is so insignificant, sawmills are better off remaining in the industry after its closure.”
Ms Farina said the draft business transition program illustrates the contempt the State Government has for family run timber businesses that not only provide local jobs but support regional communities.
She said it should be a red flag for other small businesses in WA.
“Every small business should be very concerned about the State Government’s blatant disregard for the enormous contribution small business makes to our state economy,” Ms Farina said.
“The government’s willingness to destroy successful small businesses and local jobs without remorse and just compensation, is as shameful as it is shocking.
“When announcing its policy decision, Premier Mark McGowan said he was building on former Premier Geoff Gallop’s legacy. A large part of that legacy was the respectful treatment and just compensation of impacted businesses.
“Far from building on Gallop’s legacy, McGowan is trashing that legacy.”
