Tasmanian Business Reporter May 2018

MAY 2018
TASMANIA’S LEADING BUSINESS PUBLICATION. CIRCULATION 17,000 MONTHLY
Speaker
Hickey
swoops
The $28m Silo Hotel development
in Launceston.
New Speaker Sue Hickey
Tasmania’s Parliament was
thrown into chaos on the first
sitting day since the March
3 election with new Liberal
MHA Sue Hickey snatching
the prestigious speakership
from Premier Will Hodgman’s
preferred candidate, Rene
Hidding.
Ms Hickey hinted she
may not be a member of the
Liberal Party for long because
some of her colleagues were
upset she had accepted a
nomination from Labor leader
Rebecca White, which was
seconded by Greens leader
Cassy O’Connor.
However, Mr Hodgman said
the former Hobart Lord Mayor
had provided a guarantee of
supply and confidence in the
Government.
Latest update –
www.tasmanian
businessreporter.net.au
Full steam
ahead
Tourism
leads way
By TOM O’MEARA
UNPRECEDENTED development,
particularly in the tourism
sector, is generating a huge economic
windfall for Tasmania, with
no signs of it slowing down.
Across the state, business sector
confidence is booming, as multiple
multi-million projects take
shape.
Launceston has benefited from
a huge investment courtesy of the
JAC Group, with the $28 million
Silo Hotel project due for completion
next month and work rapidly
progressing on the CH Smith site.
Combined, the two projects are
pumping $2 million a month into
the Launceston’s economy.
Up to a 100 tradies a day are
working on the silo project, which
will open in June providing 108
rooms with eye popping views
of the Gorge and the Tamar River
Valley.
The development, transforming
the old wheat silos into a 4.5-star
hotel with conference and restaurant
facilities, was the brainwave
of JAC managing director Errol
Stewart.
It’s hoped the new, quality accommodation
rooms, using $7
million worth of Tasmanian materials,
will reduce the demand for
Airbnb .
Many buildings previously used
as traditional rental accommodation
have been removed from the
rental lists and converted into lucrative
Airbnbs to attract the accommodation
spend of national
and international tourists.
Across the road, Mr Stewart is
combining forces with architect
Scott Curran to turn the controversial
CH Smith site into modern
office space – the major client is
the State Government which will
lease offices for 350 Launceston
public servants from a variety of
departments – as well as 330-odd
car parking sites.
The momentum looks set to
continue, with a Development
Application expected in a few
months for the $50m Gorge Hotel
on the site of the TRC Hotel.
Continued Page 2
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2 Tasmanian Business Reporter - MAY 2018
NEWS
Experience counts
Collaboration
jobs success
A TWO-YEAR collaboration
between the Migrant
Resource Centre
North and StGiles has
been celebrated by some
60 past and present students
of the Jobs in Disability
Program.
Jobs in disability and
aged care are growing
areas of the Tasmanian
economy and identified
in the Ministerial Priorities
for Training and
Workforce Development.
The program, which
allows participants the
opportunity to explore
and experience a work
environment, was made
possible through funding
by the Tasmanian Government
Department of
State Growth as part of
Training and Pathway
Program.
“The project has been
validated by industry and
designed to meet the de-
mands of the disability
sector. It also contributes
significantly to the goals
of the Tasmanian Government’s
Population
Growth Strategy, through
the retention of migrants
who are able to engage in
sustainable employment
in the region,’’ MRC
chief executive Ella Dixon
said.
“The approach of this
project has been brought
about by an identified
labour shortage (by St
Giles) and finding a
source of supply (MRC
clients) to meet demand.
“This provides the
setting for a successful
program because it is
employer-led and underpinned
by a healthy
working relationship
between St Giles and
MRC,’’ she said.
“A highlight of the
Jobs in Disability program
has been to witness
the personal growth of
the participants,” Convenor
Nancy Patterson
said.
“Before commencing
the program, most
lacked self-confidence
and felt that English as a
second language would
always be a barrier preventing
them from securing
sustainable employment.
“The supportive learning
environment and
the amazing support received
from all the staff
at St Giles has allowed
participants to identify
their transferrable skills
and to acknowledge that
they do have the personal
attributes and skills
that are required in the
sector,” she said.
The program had a
success rate close to 75
per cent.
e dition
T A S M A N I A’ S L E A D I N G B U S I N E S S P U B L I C A T I O N . C I R C U L A T I O N 1 2 , 0 0 0 M O N T H LY
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Tasmania’s business newspaper is published monthly by the
Tasmanian Chamber of Commerce and Industry. It is distributed
to businesses in Tasmania as well as key decision-makers.
Circulation: 12,000
Tassie tourism leads way
From Page 1
The 130-room hotel, to
be built on the corner of
Patterson and Margaret
Sts, will be an expansion
of the Chromy Group’s
development connecting
to Penny Royal.
The Fragrance Group
has indicated it will expand
the Clarion Hotel in
Launceston with a $50m
expansion – the Hotel
Verge will be located on
the previously owned
car-park in Cimitiere St
with 86 rooms and convention
areas.
Building work is also
expected to start later this
year on the $300 million
development of the University
of Tasmania campus
at Inveresk.
In the state’s capital,
10 Murray St is tumbling
down to make way
for a luxury 128-room
hotel on the waterfront to
complete the Parliament
Square development.
The floor-by-floor
demolition of the former
State Government office
Opportunities in maritime
TASMANIA is well
placed to benefit from the
multi-billion dollar navy
ship building program,
the University of Tasmania
says.
UTAS Vice-Chancellor
Professor Rufus
Black said the Australian
Maritime College
was delighted to be announced
as a strategic
partner in the new national
enterprise, the
Naval Shipbuilding Institute,
a a joint venture
between Kellogg Brown
& Root and Huntington
Ingalls Industries, which
will operate the Naval
Shipbuilding College in
Adelaide.
Professor Black said
The much-anticipated Myer re-development in Murray St, Hobart.
AMC looked forward to
working closely with the
Institute – a partnership
he said paved the way for
profound benefits for the
university and the region.
“There will soon be
unprecedented career development
opportunities
in the maritime sector,
particularly in the fields
of maritime engineering
and logistics, as a result
of the Australian Government’s
multi-billion
dollar naval shipbuilding
program,” Professor
Black said.
“AMC’s strong defence
and industry connections,
coupled with
its breadth of offering
in maritime training, ed-
building is on track to be
completed by the end of
June.
Hobart’s hive of construction
activity is being
led by the $689 million
redevelopment of the
Royal Hobart Hospital
and the reopening of the
full Myer store site after
flooding interrupted reconstruction
of the building
following fire damage
in 2007.
The university’s investment
in the state includes
a $50 million,
450-bed student accommodation
complex in
Melville St, which will
be funded by commercial
partners and is due
to begin by the end of the
year.
ucation, research and
consultancy, means it is
well-positioned to respond
to these growing
demands.”
Despite concern from
some quarters that Tasmania
did not feature
more prominently in the
announcement, Professor
Black said AMC’s
unique combination of
specialist degree offerings,
leading-edge infrastructure
and teams
of expert academic and
technical staff placed the
institute in good stead to
support the operational
needs of the NSC, wider
industry and government.
AMC Chairman Paul
Other significant projects
in Hobart include the
new H&M clothing store
in Collins Street, while
MONA’s $300 million
plans to build HOMO, a
hotel on their Berriedale
site, heads the list of major
commercial construction
projects in the pipeline.
Gregg said the NSC
would not be competing
with the AMC as an additional
educational institution.
Rather, it would be an
industry-led entity, supported
by the education
and training sector, that
will manage the necessary
workforce pipeline
around the nation.
“The NSC will work
with education and
training providers
around the country to
develop programs that
will produce the highly
skilled workers crucial
to delivering on the $90
billion investment in
naval shipbuilding,” Mr
Gregg said.
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TASMANIA’S LEADING BUSINESS PUBLICATION. CIRCULATION 17,000 MONTHLY
Tasmanian Business Reporter - MAY 2018 3
NEWS
Safety a shared responsibility
THE most important reasons
for workplace safety are people
getting home safely, just
like the advertisements portray.
And all good Tasmanian
businesses know the importance
of good work, health
and safety practices.
Providing a safe workplace,
with all the required processes,
training and procedures, is
a critical requirement of modern
business.
Because all businesses,
which employ people, however
large or small, develop
major connections with their
staff.
Keeping people safe is the
aim of all Tasmanian industries,
particularly ones that
carry inherent dangers, for example
in mining or construction.
And the best businesses
foster a “partnership” between
staff and management
to ensure that workplace safety
standards are both set and
Michael
Bailey
TCCI Chief Executive
maintained. However, I believe
that the lack of application
of the concept of mutual
responsibility is a major
downfall in the interpretation
of the Work Health and Safety
Act.
Let me give you a real example
… this is not unique,
because we hear similar stories
all too often.
One of our members has
an established, expensive and
compliant WHS system in
their workplace.
They can show that their
system and regular training of
staff fulfils the requirements
under the Act properly and
professionally.
This business had a worker
undertake a maintenance task
in a fashion that was clearly
contrary to their processes
and the training that the staff
member had received.
The staff member was unfortunately
hurt.
The business did the right
thing and reported the incident
to WorkSafe immediately and
undertook an investigation.
It was established that the
worker knew what he was
doing was wrong, that it was
against the training he had received
and against the process
that he had signed.
But the business was still
prosecuted by WorkSafe.
Yes you read right, the business
was fined.
Keeping people safe is the aim of
all Tasmanian industries,
particularly ones that carry
inherent dangers.
How the heck is this fair?
The business has done everything
in their power to provide
a safe workplace.
The worker was in the
wrong and yet the business
was fined.
It raises the question, from
a regulation point of view,
“what was the point in undertaking
the long and expensive
WHS journey in the first
place?”
If the outcome was always
going to be a fine against the
business, why bother?
The reason we bother is that
the vast majority of businesses
and business owners want
to have safe workplaces.
But under the act is the capacity
for the regulator to proceed
against a worker if it is
determined that they were at
fault.
Guess how many times this
has happened in Tasmania ...
has it ever?
You guessed it... not once
(according to the regulator itself).
I recently asked SafeWork
Australia’s Maree Boland
(currently undertaking a review
into the Act) how many
times had a worker been prosecuted
rather than a business,
nationally.
She told me that to the best
of her knowledge, in each jurisdiction
around the country,
it had happened only twice for
horrible hazing situations.
I am completely sick of
businesses being held responsible
for every action of their
employees regardless of the
worker’s mutual responsibility
at work.
It is time for workers to be
held to account if they do not
follow established, and fairly
trained, processes and procedures.
When a business provides a
complementary WHS system,
proper training and refreshers,
they should be protected
under the act if a worker does
not comply.
The TCCI strongly supports
the WHS principals and
we are striving to ensure that
all workers return home at the
end of the day safe and unhurt.
But it must be clear that the
worker has a role in this aim.
Getting the WH&S
message across –
Craig Hortle, page 6
Distiller heads the right whey
VODKA produced by Tasmania’s
Hartshorn Distillery has won
World Vodka of the Year at the
World Vodka Awards in London.
The accolade is a wonderful
achievement for the young
business, which had already
gained two other international
awards this year.
Its Sheep Whey Vodka won
Best Varietal Vodka of Australia
at the World Vodka Awards 2018
for the second time in a row and
its Sheep Whey Gin won gold
at the International Gin Awards
2018.
Hartshorn Distillery is the first
company in the world to craft
spirits from sheep whey - not a
small feat for head distiller Ryan
Hartshorn, pictured, who won
Tasmania’s Young Innovator
of the Year in 2017. One of the
smallest distilleries in Australia,
Hartshorn Distillery makes 80
bottle batches of spirits using a
200L glass column still at Birchs
Bay.
Mr Hartshorn said he was
shocked to have won world
acclaim.
“It was always a goal of mine
to win this award however I did
not think it would happen this
quickly,” Mr Hartshorn said
“I already have a very busy
year ahead with some great
product ideas and this award
has made it even more so in
a good way. I think I will need
to take up yoga to reduce my
stress levels.
“I am very appreciative of the
award but weirdly my first
thought was not to celebrate
but to begin thinking what my
next steps are with this award
in regards to all other projects I
have in the fire right now.”
Mr Hartshorn said all
Hartshorn Distillery sheep whey
spirits were crafted to perfection
and were unfiltered for a
drink that had character and
complexity.
As well as being a world
class distiller, Hartshorn is also
part-owner in the family sheep
cheese business Grandvewe.
To take advantage of the whey
discarded in the cheese making
process, Mr Hartshorn bought
a still and taught himself how to
convert sheep whey into alcohol.
It was not a fast or easy
process, especially when
seeking the right enzyme
needed to break down the whey
proteins.
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4 Tasmanian Business Reporter - MAY 2018
THOUGHT LEADERSHIP
www.tcci.com.au
Importers welcome competition
Brett
Charlton
Agility Logistics
WHILE Tasmanian exporters
have been living in a sweet
spot with the plethora of services
available and competing
ex-Tasmania, coupled with
the assistance of the TFES
extension, our importers have
experienced the opposite with
higher freight rates and limited
space availability – especially
ex-Asia.
Importers would be happy
to know that MSC Line has
recently changed the rotation
of their Capricorn service
with Asia being connected via
Singapore into Bell Bay without
first discharging in Melbourne.
With a weekly service that
calls Singapore, Fremantle,
Adelaide and then Bell Bay
before Melbourne port, the
transshipment costs and additional
lifts that burden importing
companies are negated
somewhat – in some cases
significantly.
While this new service
promises some much needed
competition on the southbound
sector (internationally)
importers should be wary of
the seasonal space restrictions
ex the Asian countries
and while we are seeing some
reduced rate levels at the moment,
there is constant pressure
from all lines to increase
and maintain higher freight
rates particularly for import
cargoes.
We have recently been advised
of a new general rate
increase declaration for May
of US$200 per TEU ex-Asian
ports – whether this is successful
or not is yet to be seen,
however importers should, as
a matter of course, be mindful
of the pressure of space
ex-Asia and the effects this
can have on pricing as well as
timing of shipments (in peak
times, the Capricorn Service
will be in high demand and if
space is not available, the history
of the support of the other
New family leave
rules explained
Abbey
George
Workplace Relations
THE Fair Work Commission
handed down decisions
regarding domestic violence
leave and family friendly
working arrangements on
March 26.
In regards to domestic violence,
the commission has
made a decision to include
model clause into Modern
Awards that provide for domestic
violence leave of five
days to all employees (including
casual employees)
and some important points to
note from the decision are as
follows:
• the leave is to be unpaid;
• the leave will be made
available in full at the commencement
of each 12-month
period (not accruing progressively
during the year like
other leave);
• it won’t accrue from year
to year;
• the entitlement won’t be
pro-rated, so part-time employees
and casual employees
will also receive the full five
days each year;
• employees won’t be required
to take paid leave before
accessing the unpaid
domestic violence leave entitlement;
• the drafting of the model
clause will be concluded in
the coming weeks and will be
circulated for comment with a
further hearing being scheduled
in May; and
• the view was also expressed
by the commission
that “employees should be
able to access paid personal/
carer’s leave for the purpose
of taking family and domestic
violence leave”.
In regards to family friendly
working arrangements, the
commission has made a decision
to include a model clause
into modern awards that facilitate
flexible working arrangements
in relation to parental
and caring responsibilities as
follows:
• the model clause is intended
to expand the scope of the
requirements for the request
for flexible working arrangements
currently in operation;
• employees (including casuals)
with at least six months
service will become eligible
to request a change in working
arrangements relating to
Transshipment costs and additional lifts that burden importing companies are
negated somewhat with a new route that calls into Bell Bay before Melbourne.
parental or caring responsibilities;
• employers will be required
to meet with employees who
utilize this entitlement in
an attempt to reach genuine
agreement in accommodating
the request before refusing it;
• if an employer does refuse
the request then they must
confirm this in writing and
provide a more comprehensive
explanation than currently
required including details
of any changes agreed to as
well as any other changes that
could be offered to the employee;
and
• the commission is currently
asking for submissions
with a further hearing being
scheduled in May.
The full decisions can be
accessed via the Fair Work
Commission website: www.
fwc.gov.au/ and the summaries
of each decision can be
found here:
Domestic violence - www.
fwc.gov.au/documents/sites/
awardsmodernfouryr/2018fwcfb1691-summary.pdf
Family friendly working
arrangements - www.
fwc.gov.au/documents/sites/
awardsmodernfouryr/2018fwcfb1692-summary.pdf
For more information
contact the TCCI
Helpline on 1300 765 123
or TCCI on 1300 59 122
or workplacerelations@
tcci.com.au
lines will be a consideration).
Cheaper rates are great if
there is space available – absolutely
useless without the
space though.
The subject of coastal shipping
has been discussed recently
with a major shipping
representative body undertaking
a study into the viability
of coastal shipping around
Australia.
The coastal shipping research,
in the context of this
discussion, is the ability for
international shipping lines
to be able to carry domestic
shipments around the coast of
Australia (cabotage).
This discussion generates
mixed feelings from different
camps and there are some
deep emotions that emerge
when talking about this topic
– the Federal Government has
been discussing reform for
WITH the recent state
election now behind
us, it is important to
take stock of where
we are as a state and
continue as a government
to deliver positive
outcomes to support
the Tasmanian
small business sector.
We have a number
of important initiatives
in the small business
space to assist with
business development
and growth, including
grants for small businesses
to take on a
trainee or apprentice.
It is pleasing to note
that our strong support
of the sector is
reflected in the latest
March Quarter
Sensis business sur-
some time, but not much has
changed since cabotage came
to a grinding halt in 2012.
There have been times in
the past, if you care to look,
where I have called for cabotage
to be reinstated (especially
when the reform was
one of the reasons for the
withdraw of our international
AAA service back in the
day), but I have to admit that
I am a little more cautious
these days.
.Consider my first report
of the MSC service via Singapore
into Bell Bay, cheaper
freight rates - but what about
the space – these lines are
monsters and carry the majority
of the freight around
the planet – how can the
commitment be cemented to
Tasmania?
Who is to say that if there is
something shiny somewhere
else they won’t simply pull up
stumps and say “so long and
thanks for the fish”. (Hitchhikers
Guide reference).
Whereas the likes of Toll,
Searoad and TT Line have a
vested and committed infrastructure
and commitment
to the Bass Strait trade that
works and is indeed being invested
with new vessels.
We need to be careful to
consider all aspects of the debate
(in everything of course).
Small business positive
Business
Matters
By a State
Government
spokesman
...there is
constant
pressure
from all
lines to
increase
and maintain
higher
freight rates
particularly
for import
cargoes.
vey, which notes that
the Tasmanian Government
is the most
popular in the nation
with small and medium
sized businesses
(SMBs).
Tasmania’s SMBs
confidence levels are
leading the nation
at +54 index points,
equal with the ACT.
They are also the
most confident about
the direction of the
economy, with the
index sitting at +24
points.
Hobart has the highest
confidence level
of any capital city and
regional confidence is
also above average for
Tasmania.
These positive results
follow on from our
strong performance in
the CommSec State
of the States report
and the recent NAB
Monthly Business Survey,
which reported on
Tasmania’s positive
economic direction
and showed business
confidence and conditions
led the nation.
But we won’t be
resting on our laurels
– instead we will continue
to implement our
agenda to take Tasmania
to the next level to
create more jobs and
grow the economy.
We will support the
many small business
owners who put much
work into making their
businesses thrive.

TASMANIA’S LEADING BUSINESS PUBLICATION. CIRCULATION 17,000 MONTHLY
Tasmanian Business Reporter - MAY 2018 5
THOUGHT LEADERSHIP
www.tcci.com.au
Getting the safety message across
ONE of the more difficult
aspects of ensuring a safe
workplace is getting the message
across to all workers.
In any workplace there
can be a number of barriers
that prevent a clear message
of safety in the workplace,
some of these are:
• size of workplace;
• diversity of culture and
nationalities in the workplace;
• educational standards;
• type of work performed
by the business; and
• structure of the business.
To address these issues
requires a holistic approach
that provides a clear and
understandable approach to
working safely.
This can be achieved by
standardising the format that
information is conveyed.
For example the same format
of safe operating procedure
even if the type of work
may be different.
According to Australian
Craig
Hortle
Workplace Health & Safety
Bureau of Statistics figures
revised in 2008, about 49 per
cent of the state’s adult population
aged 15 to 74 do not
have adequate reading and
writing skills.
This may not mean that individuals
are not able read,
but it does mean that when
preparing information that
relates to working safely that
the format it is presented is
considered.
For example when presenting
information in text use
plain english, simple words
that are easily understood.
It may be better to use
more pictorial information to
transfer the message.
If your workplace employs
workers where English is
their second language, this
also needs to be considered.
If there is a large cohort of
a specific nationality it may
pay to have the safety information
translated into that
language.
Also depicting information
in pictures may help.
If there is only one or two
of a particular nationality it
may be beneficial to use a
mentor to help convey WHS
information.
If the workplace is located
over a large area or several
different locations it is
important that information is
It may be better to
use more pictorial
information to
transfer the message
readily available across the
site or sites.
Consistency of message
and the format that information
is conveyed should be
maintained.
For more information
contact Craig Hortle or
Janelle Whitehouse at
the TCCI on 1300 559
122 or contact
safety@TCCI.com.au
The safety message is
the same, whatever the
language.
Now is the best time to buy a business
Dean
Demeyer
Business Broker
THE local economy is
growing as a consequence
of:
• stable government;
• property prices soaring;
• positive business and
consumer confidence;
• unemployment rates
declining, and
• lower interest rates prevailing.
It would be reasonable
to assume the market for
selling businesses is robust.
However, brokers are
reporting sporadic sales.
The likely reason is low
wages growth combined
with high personal debts
limiting household spending.
This leaves small
business revenues and
profits stagnating while
they wait to benefit from
the favourable market conditions.
According to Seek
Commercial, the number
of small businesses for
sale in Tasmania has risen
by more than 11 per cent
over the last 12 months. unemployment rate and
There are plenty of stronger wages growth
business opportunities for over the next year, leading
sale.
to higher consumer
The Reserve Bank is spending.
predicting stability in the If these forecasts are
2
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realised, there should
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turnover and profitability
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I suggest, employing a
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So with plenty of businesses
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6 Tasmanian Business Reporter - MAY 2018
THOUGHT LEADERSHIP
www.tcci.com.au
Benefits in traders building trust
Sally
Chandler
Tradestart Adviser
TRUSTED Trader is open
to all Australian businesses
whether they are large or
small.
If your business has been
active in the international
supply chain for two years or
more and meets the eligibility
requirements, you can join an
increasing number of Australian
exporters who are accessing
the benefits of Australian
Trusted Trader.
Benefits include:
• faster access to international
markets;
• saving time and money
on customs processes - Priority
Trade Services when requesting
duty drawbacks and
refunds (importers), and advanced
rulings on tariff, valuation
and origin (exporters)
though the National Trade
Advice Centre;
• a dedicated Australian
Border Force account manager
who can provide you with
information and assistance
with customs related issues;
• mutual recognition arrangements
which provide
exporters differentiated treatment
at international borders
with China, New Zealand,
South Korea, Canada and
Hong Kong;
• use of the ATT logo which
is also recognised by international
customs administrations;
• a monthly report on all
goods imported and exported
under the business’ ABN;
• a seat at the table for you
to help develop the Australian
Trusted Trader program
and the future of Australian
trade; and
• streamlined processes
to become an Accredited
Sponsor under the Accredited
Temporary Skills Shortage
visa program.
If your business is importing
supplies or equipment,
the benefits increase.
The accreditation process
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An onsite visit of your
premises will be conducted
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controls that are in place
and it is an opportunity to
work together to identify
any improvements that may
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Benefits for Trusted Traders include faster access to international markets.
After an assessment of
your application and the onsite
validation, your business
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where you then
enter into a formal agreement
with the Australian
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Additional information
can be accessed at www.
homeaffairs.gov.au/trustedtrader
or by email trustedtrader@abf.gov.au
or
phone 1300 319 024.
For international trade
and investment assistance
contact the TCCI’s
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chandler@tcci.com.au or
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Inquiry needed on
apprentice pinch
Anita
Dow
Shadow Minister for Employment,
Training and Skills Development
TASMANIA’S lack of apprenticeships
and shortfalls in training
places requires investigation by
a Parliamentary Inquiry.
Some Tasmanian industries
are in real danger of falling short
of workers within only a handful
of years if no new workers are
trained.
Tasmania has lost at least
1,800 apprentices and training
places over the past four years
and we need to understand why
these positions have disappeared
and where the training
dollars have gone.
We are experiencing growth
in areas such as residential and
commercial construction but
serious questions need to be
answered about why apprentice
numbers have not grown at the
same time and in fact have gone
backward.
Tasmanian industries should
be able to take on more apprentices
and trainees, not fewer,
and if we are not providing
training we are in real danger of
reaching a point in the next few
years where there just will not be
enough people to do the job.
Political leaders should be
consulting closely with industry
but it has not happened.
Labor went to the election
with a commitment to grow the
economy and build for the future
through true partnerships with
industry by establishing eight Industry
Advisory Councils across
key sectors including building
and construction, minerals and
energy, advanced manufacturing,
tourism and education.
Labor is calling for a Parliamentary
Inquiry to be established
to look at key concerns
including costs for industry,
wages and training and work
pathways for the future and also
the prescribed numbers of apprentices
and trainees attached
to government projects.
The only way we are going
to establish how our local
industries have been put in a
position where they are struggling
to provide jobs to young
Tasmanians and fill the void in
the workforce is to provide the
opportunity for all stakeholders
- including apprentices - to put
their statements on public record
and then adequately plan
for the future.

Tasmanian Business Reporter - MAY 2018 7
FOCUS ON BUSINESS
StLukesHealth members benefit
Paul
Lupo
CEO, StLukesHealth
AFFORDABILITY of private
health insurance for Tasmanians
is always at the forefront
of consideration when setting
premiums at St.LukesHealth.
As a not-for-profit Tasmanian-based
health fund,
we only increase premiums
to cover claim costs. We do
not increase premiums to pay
shareholders or to boost profits.
In the last financial year, we
returned 92 per cent of all premiums
paid back to members
as benefits compared to just
84 per cent by the big three
for-profit funds.
Over the past few years
St.LukesHealth has experienced
substantial uptake of
our Super Extras product in
mainland states as consumers
begin to shop around and look
at better value health insurance
options outside the larger
national funds, particularly
in Victoria and New South
Wales.
Due to this shift in our
membership base, it was unsustainable
for the fund to
continue to offer our Super
Extras product at a single national
price.
In response, we have introduced
pricing based on the
customer’s state of residence
which reflects the costs of
providing our product in that
state.
What we have found is that
members in NSW and Victoria
are accessing services
more often and as a result the
overall benefits paid to members
is much higher.
The state-based pricing
model sees NSW members
receiving a 45.05 per cent rate
increase for Super Extras cover
(1.4 per cent of the fund’s
policies, 482 policyholders),
while those in Victoria experienced
a 35.03 per cent rise
(1.9 per cent of the fund’s policies,
652 policyholders).
The move to state-based
St.LukesHealth membership quality specialist Brittney Carter helps a
member review their cover.
pricing provides our overall
membership with a level of
fairness, and ensures members
are paying a premium
that is aligned to where they
reside and are not subsidising
other markets.
As a result, our Super Extras
policyholders residing
in Tasmania have received
a 4.46 per cent rate increase
since April 1, 2018, equating
to a $3 rise per month for singles
or $6 for families before
the rebate.
To complement our Gap
Free Preventative Dental benefits,
we have also increased
the benefits in the Super Extras
product to ensure our
members now receive better
cover for dental services
like extractions, fillings and
crowns, while eye therapy,
remedial massage and physiotherapy
have also had a benefit
increase.
As a notfor-profit
Tasmanianbased
health
fund ... we do
not increase
premiums to
pay
shareholders
or to boost
profits.
St.LukesHealth is a proud
Tasmanian company and we
take the health and well-being
of our members across the
country seriously.
We strive to offer the best
mix of cover and services to
suit the individual needs of
our members.

8 Tasmanian Business Reporter - MAY 2018
NEWS
Young achievers work for change
Liberal MHA and Minister Jacquie Petrusma,
left, presents the Premier’s Young Achiever
of the Year award to Angela Crane,
representing Kirby Medcraft.
Madelena Andersen-Ward, right, receives her
award from Elizabeth Daly OAM, Northern
Manager, for Colony 47.
First National Real Estate CEO Ray Ellis,
left, presents Grant Milbourne his award.
ABOVE: Spirit of Tasmania
General Manager,
Retail & Hospitality, Nick
Harriman presents
Tara Howell her award.
LEFT: Madeleine Fasnacht is
presented her award by
Campbell York, General
Manager, Motors Hobart.
ABOVE: Jack Dyson, right, receives his award from
Jeremy Pettet, CEO, TADPAC Print.
LEFT:
Angela Crane,
right, accepts
Kirby Medcraft’s
award from
Associate
Professor Karen
Swabey, Dean and
Head of School,
University of
Tasmania Faculty
of Education.
LEFT: Jason Travis,
Regional Development
Manager
TAS, The Coffee
Club congratulates
Stephanie Eslake.
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TASMANIA’S Young
Achiever of the Year
award winner is helping
other young people aspire
to achieve great results
into the future.
Kirby Medcraft, 29 of
Lutana, is Assistant Principal
at Windermere Primary
School where she
has brought about significant
change, particularly
in regards to family engagement.
She was awarded the
Other winners were:
Heather and Christopher Chong Community
Service & Volunteering Award -
Olivia Fleming, 21 of Rosny Park.
The Coffee Club Arts and Fashion
Award - Stephanie Eslake, 27 of Sandy
Bay.
First National Real Estate Leadership
Award - Grant Milbourne, 28 of Lenah
Valley.
Premier’s Young Achiever
of the Year award at a gala
dinner at Wrest Point in
Hobart, attended by hundreds
of people.
Ms Medcraft’s was acknowledged
for her K-2
“Counting Bags” takehome
Maths activities,
which had a 100 per cent
involvement from families.
Her “Bedtime Stories”
afternoon saw more than
200 parents attend school
to read with their child.
In her role, Kirby works
closely with early childhood
teachers, mentoring
them and modelling best
practice.
The Spirit of Tasmania
Tourism and Hospitality
Award was won by Tara
Howell, 27 of Launceston.
She founded Blue Derby
Pods Ride – a threeday,
soft-adventure mountain
biking experience at
Derby.
TADPAC Print Service to the Disability
Sector Award - Jack Dyson, 20 of
Rokeby.
St.LukesHealth Healthier Communities
Award - Nadine Ozols, 29 of Bicheno.
Motors Tasmania Sports Award -
Madeleine Fasnacht, 18 of Blackmans
Bay.
Colony 47 Young Indigenous Achievement
Award - Madelena Andersen-Ward,
26 of Margate.
QEW Orchards CEO Alderman
Heather Chong, left, presents Olivia
Fleming with her award.

Tasmanian Business Reporter - MAY 2018 9
FOCUS ON BUSINESS
AICD steps
to ensure
cyber safety
Hobart Course:
​Cyber for Directors,
Tuesday
July 24, 2018,
THE Australian Institute of
Company Directors will be
running a cyber safety course
for company directors in Tasmania
later this year.
Organisations need to comply
with the new Notifiable
Data Breaches regulation.
Here are five steps to protect
your data.
Identify
“What are we trying to
protect?” is a key question
for directors when assessing
their preparedness for the data-breach
notification.
“What information do we
have that’s likely to cause serious
harm?
“Where is it?” asks Jason
Wilk from Blue Zoo.
“It’s not all the information,
just certain bits.
“Until a director knows
where it is, they can’t make an
informed decision as to whether
it has been accessed or lost.”
Protect
One simple question directors
can ask here is: “If we
know what is likely to cause
serious harm, then what are
we doing about it?”
Detect
This is the step where many
organisations fall down according
to Wilk.
The issue involves how organisations
will know if an
outsider has accessed their
data.
“We assume that alarms
will go off when the bad guys
come in. The reality is – for
most large organisations –
that the time between when
they’re attacked and penetrated
and when they find out, is
in the order of months,” he
says.
Many directors think about
how to prevent and respond to
breaches but they don’t consider
the important middle
step of detecting them.
“How do we know that the
information that would fall
under the act has been disclosed
or lost? Or will we actually
know?” says Wilk.
Technical expertise is required
at this point, so directors
will have to engage audit
or security firms to check
the organisation’s monitoring
systems and firewalls.
While large companies are
usually organised, small businesses
and not-for-profits often
don’t have the budget to
hire consultants, notes Wilk.
Respond
Fix the problem and stop
more data leaking.
Recover
Recovery is about getting
back to business as usual.
Directors also need to refer
Register:
www.companydirectors.com.au/tas-cyber
Location:
AICD Hobart
Level 4, Hobart
Corporate Centre,
85 Macquarie St,
Hobart
back to the Information Commissioner’s
guidance about
notification (oaivc.gov.au).
Some of the specific requirements
remain unclear,
such as how soon a breach
must be notified. Is this done
via letter or email?
And will the organisation
need confirmation that the notification
has been received?
Go to aaic.gov.au for
more information.
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w: companydirectors.com.au/cyber

10 Tasmanian Business Reporter - MAY 2018
NEWS APPOINTMENTS and ANNOUNCEMENTS
Staff up for challenge
AURORA Energy has
once again joined forces
with TasTAFE to
deliver a suite of customised
qualifications
for its employees.
Sixteen Aurora Energy
employees undertook
the Formal
Qualifications Program,
achieving qualifications
in Certificate
III in Business, Diploma
of Leadership
and Management and
Diploma of Learning
and Management Strategic.
It brings the total
number of employees
over the past two years
to have obtained a nationally
recognised
qualification to 68.
The tailored program
provides direct
benefits to Aurora Energy,
integrating with
its culture, values and
strong customer service
focus.
Aurora Energy CEO Rebecca
Kardos said the energy
retailer remained committed
to supporting its Tasmanian
workforce by providing opportunities
to obtain formal
qualifications together with
maintaining a workplace
that was up-skilled and future-proofed.
“As an organisation in an
EMPLOYERS in the building
and construction industry
making contributions to a
Portable Long Service Fund
are celebrating, with over
$1.1 million flowing back
into the industry.
It follows the announcement
that provider TasBuild
has reduced the contribution
required by employers to 1.8
per cent of an employee’s ordinary
pay rate.
This represents a discount
of at least 28 percent over
the cost to actually fund the
Left to right: Aurora Energy Chairman Caryle Demarte, CEO Rebecca Kardos, TasTAFE
CEO Jenny Dodd, far right, with the Certificate III in Business graduates.
liability.TasBuild is responsible
for providing long service
benefits to workers in the
construction industry and ensuring
that both employee entitlements
are protected and
a level playing field for employers
in Tasmania is maintained.
Employers make payments
into the fund, which go towards
the industry’s employee’s
long service entitlements.
When employees move
from one employer to the
next, their entitlements go
ever-changing industry we
need to ensure we have people
with the capabilities and
mindset to adapt and this is
best achieved by investing in
knowledge, skills and leadership
development across
the business,” Mrs Kardos
said.
“To have a workforce
which embraces this challenge
makes it all the more
easier.”
TasTAFE CEO Jenny Dodd
said TasTAFE was proud to
continue its long-standing
working relationship with
Aurora Energy to provide tailored
training for its employees.
“Like all TasTAFE courses,
the emphasis of the training
with them. TasBuild CEO
Chris Atkins said the Tas-
Build board took the decision
to reduce the required contribution
employers make after
careful management and
long-term growth of the fund.
“This is the first time the
rate has changed since 2009,
the reduction in employer
contributions comes off the
back of careful investments
and management of funds
that has seen the fund grow
from $45.6 million in 2009
to $116.5 million to June
is practical with learning programs
structured so that they
can be applied back in the
workplace,” Ms Dodd said.
“This practical approach
means that Aurora Energy receives
a tangible benefit from
the investment and participants
can clearly see the value
of their training and how it
directly relates to their work.”
$1.1m flows back to builders
2017, with liabilities growing
from $49.0 million to
$95.1 million in the same
period,” he said.
“Our performance has
been improving year on year
for some time now and we
are delighted that we are
able to lower the costs of
doing business for the industry.”
The Tasmanian Business
Reporter incorrwectly stated
that TasBuild was a superannuation
fund in its April
edition.
APPOINTMENTS
Connelly’s Cradle Coast passion
THE Cradle Coast Authority has appointed Daryl Connelly as
Industry Development Manager.
Daryl, pictured, joins CCA’s Regional Development team on
a part-time basis, while continuing his work as CEO at Switch,
for which he is widely respected for helping new and emerging
Cradle Coast businesses.
“Daryl is passionate about the Cradle Coast and creating opportunities
to help others make
both their businesses and the
region better,” Cradle Coast Authority
CEO Brett Smith said.
“At its core, the CCA is about
regional economic development
with small business at the heart
of the Cradle Coast economy, be
it in the manufacturing, tourism,
hospitality or services sector.
“Supporting business to improve
productivity through business-to-business
networks and
bringing new knowledge to the
region via industry experts is
one way the CCA can help to lift the region’s prosperity and
wellness.”
Mr Connelly boasts diverse work experience across agriculture,
food manufacturing, hospitality and retail.
He was a founding director of Switch Tasmania when it was
established as a volunteer organisation and became its Business
Advisor in 2013.
New state boss at Rabobank
WESTERN Australian woman Kathryn Brown will head up
Rabobank’s business in Tasmania.
Ms Brown will be based in Launceston as branch manager
Tasmania, in charge of a including Launceston, Devonport,
Smithton and Hobart.
Announcing the appointment, Rabobank regional manager
for southern Victoria and Tasmania Hamish McAlpin said Ms
Brown brought extensive agri-banking experience and strong
leadership skills to the role.
“With more than two decades of agri-banking experience,
and senior leadership roles within
the bank, Kathy is well positioned
to lead the bank’s team
of 15 agri-banking specialists
around the state,” Mr McAlpin
said.
“Tasmania is a powerhouse of
Australian agriculture, with the
state’s farmers leading the way
with on-farm productivity gains,
water-use efficiency and diversification,
so it was also important
we appointed someone with a
passion for agriculture and food
production – which is shared by
all our Tasmanian team.”
Hailing from Western Australia, where she most recently
managed the bank’s operations in Albany, Ms Brown has had a
lifelong association with agriculture, Mr McAlpin said.
Ms Brown has also farmed in her own right, running a broadacre
cropping and livestock operation near Albany.
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IN BRIEF
Call for WorkSafe Awards
applications
APPLICATIONS for the 2018 WorkSafe Tasmania
Awards are now open.
Held every two years, the awards are designed to
help reduce workplace fatality, injury and disease
through recognising excellence in work health,
safety and wellbeing.
The awards reinforce the message that safe business
is good business, with less injury and illness
helping improve overall performance and productivity.
In the more than twenty years since the awards’
inception, the number of Tasmanians suffering
work related injuries or illnesses has more than
halved.
Further information and application details can
be found at www.worksafe.tas.gov.au with entries
closing on 3 June 2018.
The awards will be announced during WorkSafe
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Tasmanian Business Reporter - MAY 2018 11
EVENTS NEWS
ABOVE: Hawthorn Football Club
President Jeff Kennett.
ABOVE: Glenn Chapman, left, and
Ross Martin.
ABOVE: Launceston Mayor Albert van Zetten, left,
and ANZ Banking State General Manager,
Business Banking VIC and TAS Gareth Arbuthnot.
EVENT:
Kennett in Conversation. Presented by
the Launceston Chamber of Commerce,
sponsored by ANZ Banking.
LOCATION:
The Tramsheds, Inveresk, Launceston.
DATE:
Friday, April 27, 2018.
Pictures courtesy of The Examiner
ABOVE: Anthony Carr, left, Les
Warden and Robert Grant.
ABOVE: Joe Hammond and Derani
Power.
LEFT:
Michael
Siggins,
left, Jo
Siggins
and Neil
Grose.
ABOVE:
Ashley Green, Jason Reed and Donna Bain
ABOVE: Matthew Holmes, left, David Pretorius and
Gerard Hextall.
ABOVE: Andrew Wolfe, Philip Bushby and
Richard Trethwie.
ABOVE: ANZ Banking State General Manager,
Business Banking VIC and TAS Gareth Arbuthnot
speaks to guests.

PROPERTY MATTERS
Tasmanian Business Reporter - MAY 2018 12
Get ready to ride tourism wave
Scott Newton
Property Matters with
Knight Frank
Knight Frank Tasmania’s experienced
specialist consultant for the tourism and
leisure sector, John Blacklow, shares his
views on the future of this market.
MUCH has been written
about our booming tourism
industry in the last two years.
A record 1.28 million people
visited our state in the
year to September 2017, not
including cruise ships.
The number of cruise ships
has increased by 44 per cent
over the previous year, with
130 visiting Tasmanian ports
this season.
Tasmania is not just the
darling of the international
tourism scene, new research
shows the domestic tourism
market is growing faster in
Hobart than any other capital.
It would appear that Tourism
Tasmania’s forecast five
years ago that we would exceed
1.5 million visitors by
2020 is vastly understated.
A large number of new hotels
are proposed in both Hobart
and Launceston.
Of the 14 hotels planned
for Hobart, two have opened
for business, two are under
construction, and Development
Approval has been received
for another four.
If all are built, this will add
around 3,000 rooms to Hobart’s
accommodation inventory,
from a shortfall of 1,226
rooms by 2020 as predicted
two years ago.
So the question arises – will
the majority of these projects
eventuate and will Hobart go
from an undersupply position
to a large oversupply?
Much will depend on our
tourism boom becoming a
medium- to long-term scenario
rather than just being a
“honeymoon phase”.
Our Government and tourism operators must join together to develop new
attractions, such as Launceston’s Seaport, so that our state keeps evolving as a
destination hub.
There is no doubt that Tasmania
is now very much a
preferred destination and is
a hot topic of conversation
among travellers.
Obviously we cannot rest
on our laurels and just expect
the visitors to keep coming.
It is widely acknowledged
that MONA started our tourism
boom. Just one unique
attraction kickstarted the industry.
Our Government and tourism
operators must join together
to develop new attractions
so that our state keeps
evolving as a destination
hub.
Let’s consider a few new
projects that will push Tasmania
upwards:
1 The new runway extension
at Hobart airport will
open up direct flights to
other Australian cities, and
more importantly the Asian
market.
The Government must
lock in as many destinations
as possible.
2 The kunanyi/Mount
Wellington cable car appears
to have a lot of merit,
as will the cable car at Cradle
Mountain.
3 Macquarie Point is the
jewel in the crown for Hobart.
It is exciting what can be
developed on such a huge
parcel of waterfront land.
The only issue is that it is
taking forever to get off the
ground.
Hobart is crying out for a
large multi-purpose convention
and conference centre.
Such a major facility close
to the CBD would attract a
whole new market.
This should be the centerpiece
of Macquarie Point.
4 Further golf courses are
planned.
We have already seen the
huge popularity of the courses
at Bridport and King Is.
Three more top-class courses
will ensure that golfing visitors
will increase sharply.
5 The proposed developments
at MONA will add another
dimension to this wonderful
asset and prevent it
from becoming stale.
6 Our bushwalking and
trekking destinations are
hugely popular.
The completion of the
Three Capes Track will undoubtedly
bring in more tourists.
These are just some ideas.
Our state is so diversified
with nearly all visitors giving
us the “thumbs up”.
More new projects will be
the key to delivering Tasmania
as a long term major tourism
destination.
PROPERTY VIEW
MAY 2018
Subject property
Outline indicative only
Outline indicative only
For sale by expressions of interest
FREEHOLD TAVERN & BUSINESS
Tavern 42 Degrees South (T42), Elizabeth Street
Pier, Hobart
• Arguably the best located hospitality outlet in
Tasmania.
• Hugely popular bar and restaurant.
• Total seating capacity of 200 including deck
licences on both sides.
• Part of a strata title, the only one on the pier in
private hands – very rare real estate!
• Excellent standard, great fit-out – the business
has fantastic ambience and water views.
• Operated under management – owners wish to
retire after 20 years.
John Blacklow 0418 128 735
View at KnightFrank.com.au/4191784
For sale by expressions of interest
GIBSON’S MILL APARTMENTS
17 Morrison Street, Hobart
A historic landmark. In 2010 the building was
converted from offices to 12 luxury apartments plus
two levels of car parks.
• Apartments are under a Management
Agreement with Sullivans Cove Apartments.
Trading history dates back to 2013 and shows
consistent year-on-year revenue growth.
• The property and business can be bought as
either a passive investment with management
in place or alternatively to own and operate.
• Council has recently approved a strata title of the
complex whereby the 12 apartments could be
sold individually.
Scott Newton 0409 186 261
John Blacklow 0418 128 735
View at KnightFrank.com.au/4226056
For sale by expressions of interest
FREEHOLD TOURIST ATTRACTION
13 Bridge Street, Richmond
• The Richmond Maze has been a key tourist
attraction for the southern Tasmanian region
since 1986.
• Richmond is one of the most visited areas in
Tasmania, only 20 minutes from Hobart.
• Considerable time, effort, and money has
been spent by owners. It is well researched
and the projections are very conservative.
• DA approval, commencement of the
development, and feasibility studies – all of
this intellectual property is available to the
purchaser.
John Blacklow 0418 128 735
Ian Reed 0419 670 501
View at KnightFrank.com.au/4191813
For sale by expressions of interest
NEW SEVEN-YEAR LEASE TO TARGET
78 Charles Street, Launceston
‘Target’ has been the premier discount
department store in the Launceston retail
market and here is your opportunity to secure
this massive retail footprint.
• Launceston CBD site of 3,004sqm (approx.)
with full site coverage and two street
frontages.
• Ground and First Floor retail with lift and
escalator access.
• Dual street frontage adjoining a major multilevel
car park.
Rob Dixon 0408 134 025
David Webster 0419 516 629
View at KnightFrank.com.au/4196466
5 Victoria Street, Hobart 41 York Street, Launceston Shop 8, 48-54 Oldaker Street, Devonport
P: 03 6220 6999 P: 03 6333 7888 P: 03 6424 3568