PRESS DIGEST-Australian General News - July 8
Compiled for Reuters by Media Monitors. Reuters has not verified these stories and does not vouch for their accuracy. THE AUSTRALIAN FINANCIAL REVIEW (www.afr.com) Total dividends paid to Australian shareholders are expected to fall A$7 billion compared with the previous year to around A$41.5 billion for fiscal 2009, according to financial services firm Macquarie Securities. Paul Xiradis, of fund manager Ausbil Dexia, says that the slump in dividend payouts had been compounded by the "uncertainty surrounding the credit markets," forcing Australian companies to raise almost A$90 billion in new capital on the equity markets during the last financial year. Page 1.
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Australia's lowest paid workers are not going to receive any pay increase this financial year following fears of rising employment. Australian Fair Pay Commission chairman Ian Harper yesterday rejected the Federal Government's call for a "considered rise" of the A$543.78 minimum wage, saying that "this is not the time to risk the jobs of low-paid Australians by increasing minimum wages." However, Workplace Relations Minister Julia Gillard described the ruling as "disappointing," saying the move amounted to a wage reduction in real terms. Page 1.
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Australia's official cash rate was left unchanged at 3 percent yesterday following better than expected retail figures in May and an unexpected 0.4 percent increase in economic growth in the March quarter. Reserve Bank of Australia governor Glenn Stevens said that "economic conditions in Australia have to date not been as weak as expected a few months ago." However, Mr Stevens signalled that the central bank would reduce the rate further "if needed," saying that further decline in economic output was "likely over the rest of the year." Page 1.
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Prime Minister Kevin Rudd has outlined his plans for tackling the "second great challenge" facing Australia's economy. Mr Rudd said yesterday that the Government's economic stimulus measures had put increasing pressure on bond yields which when combined with any future rise in interest rates could lead to higher inflation. However, Mr Rudd maintained that any retreat from the stimulus measures must be "timely and maximally co-ordinated to avoid unnecessary economic and financial market dislocations." Page 4.
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THE AUSTRALIAN (www.theaustralian.news.com.au)
The Australian Navy has conceded that the recent scandal centring on allegations of sexual misconduct aboard a fleet replenishment ship could hinder its recruitment drive to employ more women. Rear Admiral Steve Gilmore said yesterday that the incident, which allegedly involved four sailors on board the HMAS Success betting on the number of female crew members they could have sex with, was "abhorrent and therefore totally inappropriate" and could have an effect on the 'navy's exposure and… recruiting." Page 1.
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Gordon Nuttall, a former Queensland government minister, has denied that a A$300,000 payment given to him by Macarthur Coal (MCC.AX) founder Ken Talbot was improper, claiming that the money was "to help his children get into the real estate market." In taped evidence presented to the courts yesterday, Mr Nuttall conceded that he had given Mr Talbot "some suggestions about hotels' before receiving 35 secret payments from Mr Talbot, but maintained that the payments did not benefit him in any way. Page 2.
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The Victorian Government's A$21 million in extra funding for the state's off-season burning program has been labelled as insufficient by East Gippsland Member of Parliament Craig Ingram. Environment Minister Gavin Jennings announced yesterday that the extra funds would be used to purchase fire fighting equipment and to employ 15 extra staff. However, Mr Ingram said that there needed to be a "fundamental shift in public policy from fire suppression to fire prevention." Page 3.
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The High Court has overturned a Supreme Court decision to allow a man convicted of rape and murder to have his non-parole period extended for five years, claiming the original move to apply for the increased sentence happened after the prisoner had moved interstate. The Supreme Court maintained that Jonathan Peter Bakewell, 48, should be eligible for parole after serving his original 20 year sentence, as the appeal by the Northern Territory Government to extend it came after he had been transferred to South Australia and was therefore not constitutional. Page 5. Continued...
