The Federal Government has announced six major reforms as part of its Industry Innovation and Competitiveness Agenda.
Launched last week, the agenda focuses on less regulation, lower taxes, a more skilled workforce, better infrastructure and policies that foster innovation.
The major reforms include employee share ownership, the establishment of five Industry Growth Centres, changes to the vocational education and training sector, enhancing the 457 Visa program, the promotion of science, technology, engineering and mathematics to upskill the workforce and accepting trusted international standards and risk assessments for certain product approvals.
The director of trade and international affairs at the Australian Chamber of Commerce and Industry (ACCI) Bryan Clark, welcomed efforts to liberalise trade.
"As well as continuing efforts to enhance our international trade liberalisation through preferential trade agreements, the Government also recognises the costly and unnecessary burden of compliance with Australian standards, certification and registration for products and chemicals and the need for increased liberalisation of professional services," he said.
"Each of these are very welcome initiatives that will reduce costs in Australia and assist to increase our access to global markets."
The government has announced a range of funding initiatives to increase the focus on science, technology, engineering and mathematics (STEM). "With estimations that 75 per cent of the fastest-growing occupations require STEM skills, Australia will depend on a workforce that has the necessary STEM capability to drive innovation and competitiveness in the global economy," a spokesperson said.
At the same time the government will invest $188.5 million over four years to establish five Industry Growth Centres.
In a bid to make the 457 visa program more flexible and to reduce red tape, the government commissioned an independent review into the program earlier this year. The aim of the review was to examine whether the current legislative and regulatory framework is appropriate in managing the integrity of the program while balancing the administrative burdens placed on business.
The report 'Robust New Foundations' was released last month with 22 recommendations designed to make it easier for businesses to access skilled workers. Changes to the program will be rolled out during 2014/15.
Plans include increasing the sponsorship approval period from 12 to 18 months for start-up businesses, greater flexibility in relation to English language testing and skill requirements for 457 applicants and to retain the Temporary Skilled Migration Income Threshold at $53,900 ahead of a future review of its operation.
ACCI director of employment, education and training, Jenny Lambert, said economic growth can only be powered by productivity and participation, and a skilled and inclusive workforce is critical.
"In the future this country faces a shortage of skilled workers, so we need to focus on skills development of Australians to meet the needs of industry, and bringing in skilled migration to fill gaps. The Agenda correctly identifies these needs," she said.