Would a bank or Telstra hire any extra staff if Payroll Tax were abolished? Nope. Not a one.
I actually disagree with that.
Never get in between a CEO and a bucket full of money. If they think they can do with less staff, and know that sacking people will increase the value of their stock options, they'll do it. Companies employ only as many people as they need to satisfy the customers. No more than that.
A number of business surveys that I have read cite payroll tax as a significant disincentive to taking on new workers.
Likely true for very small businesses like the local deli that's making ends meet or very little companies starting out. Self interested special pleading twaddle from the rest of them though. Like Coles Myer's going to say, "No, we actually like payroll tax."
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Date: 2005-10-31 02:08 am (UTC)I actually disagree with that.
Never get in between a CEO and a bucket full of money. If they think they can do with less staff, and know that sacking people will increase the value of their stock options, they'll do it. Companies employ only as many people as they need to satisfy the customers. No more than that.
A number of business surveys that I have read cite payroll tax as a significant disincentive to taking on new workers.
Likely true for very small businesses like the local deli that's making ends meet or very little companies starting out. Self interested special pleading twaddle from the rest of them though. Like Coles Myer's going to say, "No, we actually like payroll tax."