Hansard debates

                        SMALL BUSINESS COMMISSIONER BILL
                                 Second reading

  Mr BRUMBY (Treasurer) - I move:
  That this bill be now read a second time.
The  purpose  of  the  bill is  to establish  the office  of the  Small Business
Commissioner.
It is with great pride that I introduce this bill into the house, because  it is
a testament to the Bracks government's commitment to small business. It delivers
on  a  major commitment contained  in the government's  small  business election
policy, Growing Small Business: Getting on with the Job.

The Small Business Commissioner is an Australian first. With the passage of this
bill, Victoria's small  and medium businesses  will have ongoing protection from
being taken advantage of due to their size.
The activities of the Small Business Commissioner will be integral to building a
business environment that promotes competitive, innovative and vibrant Victorian
small businesses.
The Bracks government recognises the critical contribution of small business  to
the Victorian  economy.  There are over  270 000 small  businesses  in Victoria,
which  comprise 95 per  cent  of all  businesses.  Small businesses in  Victoria
employ a total of  811 000 people, which represents  43 per cent of the  private
sector work force.

A  supportive  business  and  regulatory environment is essential to encouraging
small businesses to invest and create more jobs.
The government has listened to  the  concerns of many small businesses about the
difficulties  of competing  in a  market in  the face of unfair conduct by their
major competitors.
We  recognise the need for a central point where small business  concerns  about
unfair market practices can be addressed in a timely and low-cost manner.
We have listened to the concerns of  retailers regarding retail leasing  matters
and have introduced a new regulatory framework that promotes certainty and 

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fairness in the relationship between tenants and landlords.
We  understand  the  frustrations  of  small  businesses  when  dealing  with  a
bureaucracy  that  does not  appear  to  be responsive  to  their  needs.  Small
businesses  should  be  able  to expect a similarly high level of  service  from
government agencies as businesses provide to their customers.
The Bracks government has listened  to  small  business and is acting to address
their needs.
The bill establishes  a Small Business  Commissioner,  who will be  dedicated to
promoting a fair and competitive market environment for small business.

The  Small Business  Commissioner  will encourage  the  fair treatment of  small
business in the marketplace, promote informed decision making  by small business
to minimise disputes, investigate complaints about unfair  market  practices  by
other  businesses  and  promote  initiatives  that  ensure that small businesses
receive high-quality service from government agencies.
The Small Business Commissioner  will have the power to investigate breaches  of
industry codes of conduct that deal with small  business concerns. For instance,
the  bill  provides  that the Small Business Commissioner will have the power to
investigate breaches  of  the liquor code  of conduct, which is  currently being
developed.
The bill provides the Small Business Commissioner with the power to intervene in
proceedings under section 8A of the Fair Trading  Act  1999,  which  relates  to
unconscionable conduct in business transactions.

This enables the Small Business  Commissioner to  run test cases in support of a
small business that  has  been  the subject of grossly unfair conduct by another
business.
The Small Business Commissioner will oversee the introduction  and monitoring of
small business service charters in all government departments.
The functions of the Small Business Commissioner  will include ensuring that any
proposal  to introduce new  regulations  takes into full  account its impact  on
small and medium-size businesses.
Monitoring  small business access to government procurement  processes  will  be
another function of the Small Business Commissioner.

To ensure the integrity of the position, the Small Business Commissioner will be
a  statutory officer appointed by the Governor in Council and will report to the
minister on the impact that unfair market practices and government regulation is
having on small business.
The Small Business Commissioner is required  to  submit a report to the minister
annually and that report must also be tabled in Parliament.
The  Small Business  Commissioner  will  be  resourced  with  officers from  the
Department of Innovation, Industry and Regional Development.
In conclusion, the bill is proof that the Bracks government is delivering on its
commitment to  promote a competitive and  fair environment that  helps Victorian
small businesses to prosper.

I commend the bill to the house.
Debate adjourned on motion of Ms ASHER (Brighton).
Debate adjourned until Thursday, 13 March.