The Forum > Article Comments > Cost of living crisis revisited > Comments
Cost of living crisis revisited : Comments
By Tristan Ewins, published 27/8/2008Services, infrastructure, wages and welfare: the many-faceted nature of Australia’s cost-of-living crisis.
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>>to mandate the openning up of vacant rooms in hotels and motels (plus free meals)<<
The cost of this would be astronomical.
Think of the complexity of the process.
How would you determine whether a room is available or not. What time of day would you ascertain this? To whom would you allocate the room i.e. against what criteria? How would you arrange transport? How would you pay for it? Who would cover the insurance?
Given that this would necessarily be a day-by-day exercise, how many people do you think it will need to administer and run the programme? To whom would they report, and how would their success be measured?
Wouldn't it be simpler and cheaper just to provide more accommodation as per Kev's proposal?
>>An alternative to trading in LSL might be to have a universal and portable scheme.<<
You may see LSL as being designed "to help workers get a break from the grind of work and bring them back refreshed after a few months off". The employer views it as a reward for ten years of commitment to the company.
Why would I want to reward years of loyalty to someone else?
As an employer, I start accruing LSL on my balance sheet after five years, and encourage that leave to be taken after ten.
If someone fronts up for a job carrying with them nine years of accrued LSL, will I be allowed to take that into consideration?
After all, if he's on $50k, I would immediately have to take on board a balance sheet liability of $13.5k, and only a year later, let him go on over two months of paid leave.
Seems a touch unfair, especially as his previous employer would be able to write back the same amount into his P&L.
And don't even think of suggesting that the liability must travel between jobs. While it sounds superficially do-able, what happens when there isn't an immediate next employer? The opportunities to rort would be legion.
Totally impractical.
You've never worked in business, have you Passy?