AUSTRALIA’S HIGHLIGHTS AND DISCOVERIES:AUSTRALIANS HIGHS ON LABOR:The Australian Industry Group has said the deal would bring about a boost to Australia’s economy by boosting productivity and job creation, and create more than 100,000 new jobs.
The AIG said the merger would also provide a much-needed boost to the Australian manufacturing sector by boosting the competitiveness of the region’s supply chains, including Australia’s supply chain for semiconductors, memory, batteries and power electronics.
“It will be a major boost to our economy, providing our businesses with the tools they need to continue to grow and create jobs,” the AIG added.
The deal was announced on Thursday as the Australian Government announced it was cutting the tax rate on companies with more than 20,000 employees from 25 per cent to 20 per cent and reducing corporate tax rates for firms with more a maximum rate of 25 per the current corporate tax rate of 35 per cent.
The announcement comes after Australia announced last week it was slashing the corporate tax for companies with over 50,000 workers from 35 per day to 25 per day.
Australia’s manufacturing sector, a key part of its economy, was hit hard by the global economic downturn and the global recession which has since taken a heavy toll on the economy.
Its exports to China fell by $3.1 billion in October, and by a third in the second quarter.