HIA Managing Director, Jocelyn Martin, said too many policy decisions in the halls of Parliament House are made without understanding what life is actually like for the thousands of small businesses that make up Australia's residential building industry.

"Come and spend a day in a small building business.

"See what it's like when the alarm goes off before daylight and the day doesn't end until well after dark.

"See what it's like when the kitchen table isn't just where the family eats dinner, it's also the boardroom, the accounts department, the payroll office and the planning meeting for tomorrow's work."

Ms Martin said most small business owners do not have teams of lawyers, accountants, compliance officers and human resource managers.

"The builder is the CEO, the operations manager, the payroll officer, the apprentice mentor and often the last person paid.

"They're trying to win work, manage staff, pay invoices, complete paperwork, chase payments, order materials and keep projects moving, all while making sure there is enough money in the bank to pay wages on Friday."

Ms Martin said governments often view new policies individually, but small businesses experience them collectively.

"Over recent years we've seen a 30.1 per cent increase in minimum annual award wages. We've seen payday super obligations, increasing reporting requirements, insurance costs that have in many cases risen from $15,000-$20,000 a year to $40,000-$60,000 a year, fuel and transport cost increases, payment system changes and proposals for new taxes and restrictions.

"Every one of these decisions is often considered separately in Canberra, but they arrive on the same kitchen table for the nation’s 2.7 million small businesses."
Ms Martin said proposals flagged to be introduced in parliament this week, affecting family trusts demonstrate how disconnected policy debates can become from the reality of small business.

"Around three in five HIA members operate through a family trust.

"These are not exotic tax structures or sophisticated avoidance schemes. They are family businesses managing risk in an industry where one bad debt, one defective product or one legal dispute can have significant consequences.

"When policymakers target trusts, they need to understand they are targeting ordinary builders, family business tradies and small business owners."

Ms Martin said small businesses are not asking for special treatment.

"What they want is for governments to understand the cumulative impact of their decisions.

"Every new obligation means more paperwork. Every new cost means less money available to invest in equipment, employ staff, train apprentices or grow the business.

"At a time when governments are demanding more homes be built, we seem to be making life harder for the very businesses expected to build them."

Ms Martin said policymakers should spend less time talking about small business and more time understanding it and supporting them to let them get on with running and operating an effective business.

"Come and sit at the kitchen table. See where the invoices are paid, where the BAS gets done, where the payroll is processed and where the family worries about whether there is enough work lined up for the months ahead.

"Walk a day in their shoes before making decisions that affect their lives.

"You might discover that small businesses aren't looking for handouts. They're simply asking government to stop making it harder to do what they do best: employ Australians, train apprentices and build the homes our country desperately needs," concluded Ms Martin.

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