What government thinks of ‘company profits’

Daymark recently subscribed to GovConnex, a platform that enables us to monitor and research government activity on issues of relevance to our clients.

So, with another company results and AGM season behind us, we thought it interesting to see what politicians think, say, and do when it comes to ‘company profits’.

Using GovConnex we searched ‘company profits’ and found:

• Trends over time – Between 2010-2017, the term ‘company profits’ was rarely mentioned but from 2017 onwards it’s regularly mentioned in government discourse.
• Most vocal MPs – Jim Chalmers, Brendan O’Connor, Bill Shorten, Andrew Giles and Catryna Bilyk are the top five in Parliament to mention company profits.
• Most vocal parties – ALP (63% of total mentions), Greens (8%) and Liberal Party (6%).

A search of the latest 100 mentions of ‘company profits’ highlighted five key themes and the people commenting:

1. Wage stagnation: One of the central themes is the stagnation of wages for the Australian workforce despite rising company profits. Politicians like Josh Wilson and Ged Kearney have highlighted this issue, emphasising the need to address the growing income disparity.
2. Impact on inflation: Another theme revolves around the impact of company profits on inflation. Some, like Tony Zappia, argue that a significant portion of recent inflation can be attributed to rising company profits, leading to a rising cost of living for everyday Australians.
3. Government policies: The role of government policies in regulating and taxing company profits has been a recurrent topic. Some, like the Hon. John Ruddick, have criticised the government for not fulfilling promises relating to the taxation of company profits.
4. Economic productivity: The relationship between company profits and overall economic productivity is another crucial theme. Anthony Albanese has advocated for policies that aim to improve productivity while ensuring fair wages for workers.
5. Social impact: Beyond economic concerns, discussions have also touched on the social impact of prioritising company profits over other considerations. Public health, environmental concerns, and the welfare of vulnerable communities have all been brought into the conversation.

Prominent figures in this discussion include Allegra Spender, Pauline Hanson, and Tim Ayres, with many others voicing their opinions through parliamentary speeches, social media, and committee reports.