A RADICAL idea to help young people afford to buy their first home, start their own business or pay off their university fees, is being floated by a senior union official.
In a speech on Wednesday night, Tim Ayres, the NSW Secretary of the Australian Manufacturing Workers’ Union is expected to back a proposal to give every Australian a one-off capital grant when they turn 25.
Mr Ayres is supporting a suggestion made by “rock star economist” Thomas Piketty last year that Australia introduce an inheritance tax to pay for the grants.
The French economist visited the country in October and highlighted how unusual it was for Australia not to tax those who inherited multi-million dollar properties, unlike the US and Europe which taxed them at between 40 and 45 per cent.
“According to the Community Council of Australia — a 35 per cent estate duty on all estates over $10 million would raise at least $3.5 billion in government revenue, while affecting only a fraction of the top 1 per cent of Australians,” Mr Ayres is expected to say during an appearance for Australian Fabians in Sydney.
The union official said this money could be used to give a capital grant to every citizen.
“A universal inheritance would give millions of young people a future: they can put it to a
house, they can start their own business, they can pay off their university fees,” he is expected to say.
“It may be bold, but politics as usual doesn’t offer the scale of policy that is required to genuinely tackle regional and intergenerational inequality.”
Mr Ayres said he believes government should play a role in creating jobs and helping workers transition from fossil fuel industries and the automation of jobs.
He also suggested creating low-interest loans to encourage investment in Australian manufacturing jobs
“The success of (Donald) Trump, (Pauline) Hanson and Brexit is that they harness the anger that failure generates and channels it into a perverse ethno-nationalism that is pitted against the communities that have benefited from globalisation,” he will say.
In a speech on Wednesday night, Tim Ayres, the NSW Secretary of the Australian Manufacturing Workers’ Union is expected to back a proposal to give every Australian a one-off capital grant when they turn 25.
Mr Ayres is supporting a suggestion made by “rock star economist” Thomas Piketty last year that Australia introduce an inheritance tax to pay for the grants.
The French economist visited the country in October and highlighted how unusual it was for Australia not to tax those who inherited multi-million dollar properties, unlike the US and Europe which taxed them at between 40 and 45 per cent.
“According to the Community Council of Australia — a 35 per cent estate duty on all estates over $10 million would raise at least $3.5 billion in government revenue, while affecting only a fraction of the top 1 per cent of Australians,” Mr Ayres is expected to say during an appearance for Australian Fabians in Sydney.
The union official said this money could be used to give a capital grant to every citizen.
“A universal inheritance would give millions of young people a future: they can put it to a
house, they can start their own business, they can pay off their university fees,” he is expected to say.
“It may be bold, but politics as usual doesn’t offer the scale of policy that is required to genuinely tackle regional and intergenerational inequality.”
Mr Ayres said he believes government should play a role in creating jobs and helping workers transition from fossil fuel industries and the automation of jobs.
He also suggested creating low-interest loans to encourage investment in Australian manufacturing jobs
“The success of (Donald) Trump, (Pauline) Hanson and Brexit is that they harness the anger that failure generates and channels it into a perverse ethno-nationalism that is pitted against the communities that have benefited from globalisation,” he will say.