Easing the Burden - Six low-cost, low-inflation ideas for the Commonwealth to

Easing the Burden Six low-cost, low-inflation ideas for the Commonwealth to address the cost of living in 2024 Discussion Paper – January 2024 About the McKell Institute The McKell Institute is an independent, not-for-profit research organisation dedicated to advancing practical policy solutions to contemporary issues. [...] Compared to the current personal income tax rates, the new changes would: • Adjust the tax rate in the $19,000–$45,000 bracket from 19 per cent to 16 per cent; • Cut the 32.5 per cent to 30 per cent; • Retain the 37 per cent tax bracket, though commencing from $135,000; • Commence the top marginal rate of 45 per cent at $190,000 rather than $180,000. [...] This doctrine provides that a non-compete clause will be void unless it is reasonable in the interest of the parties, and it is reasonable in the interests of the public.34 While this doctrine renders void many non-compete clauses, the reality is that many unskilled workers are unaware of their workplace rights and may simply capitulate when told they cannot seek alternative employment. [...] Who stands to benefit The abovementioned survey found 22 per cent of Australian workers know themselves to be covered by a non-compete clause, but this figure is likely an underestimate of the true coverage.37 A significant number of Australian workers would therefore benefit from the banning of most non-compete clauses. [...] It is also likely that the costs to employers who utilise these terms will be minimal compared to the individual benefits to the worker, and much-needed aggregate macroeconomic benefits to productivity and wage growth.