Business lobby sticks to its guns with call for early election
On Tuesday morning, Mr Rudd met the Business Council of Australia for the first time since being reinstated as Prime Minister. He promised last week one of the first things he would do as leader was work "very closely" with business.
Business Council of Australia president Tony Shepherd said the meeting was useful and constructive but said he still wanted an election as soon as possible.
It has been suggested Mr Rudd wants to delay the election beyond September 14.
"We believe an early election would be a good way of settling down business confidence," Mr Shepherd said after the meeting.
"I think that business is on hold at the present time, and the sooner that that can be resolved, the better it will be for everybody."
Since replacing Julia Gillard as Prime Minister, Mr Rudd has distanced himself from the rhetoric of former treasurer Wayne Swan, who alienated business leaders by lashing out at billionaires, including Clive Palmer and Gina Rinehart.
Besides abandoning the former treasurer's rhetoric, Mr Rudd is understood to be considering at least one policy change favoured by business. He would prefer to abandon the carbon tax and move quickly to a floating price on carbon, linked to global markets.
In his first speech after the leadership spill, Mr Rudd made a direct plea to business: "Let me say this to Australian business: I want to work closely with you."
Mr Rudd reminisced about how closely he worked with business in the past, particularly during the global financial crisis.
Mr Shepherd was cautious when asked whether he thought Mr Rudd had changed and would listen more to business.
"We'll see that play out in the future," he said. "But it was a constructive meeting ... I think it's an opportunity to hit the reset button."
Frequently Asked Questions about this Article…
The Business Council of Australia has renewed calls for an early election, arguing it would help settle business confidence. Council president Tony Shepherd told reporters business is "on hold" and that resolving election timing sooner would be better for everyone — a signal investors often read as a desire for clearer policy direction and less political uncertainty.
Prime Minister Kevin Rudd met the Business Council of Australia for the first time since his reinstatement. He promised to work "very closely" with business, the meeting was described as useful and constructive, and council president Tony Shepherd reiterated his preference for an early election.
Yes. The article says Mr Rudd is understood to be considering abandoning the carbon tax in favour of moving quickly to a floating carbon price linked to global markets — a policy shift that business leaders favour and that investors will watch closely.
Since replacing Julia Gillard, Mr Rudd has moved away from the rhetoric used by former treasurer Wayne Swan, who had publicly criticised high‑profile billionaires such as Clive Palmer and Gina Rinehart. Rudd is emphasizing a more collaborative approach with business.
Tony Shepherd described the meeting as useful and constructive but said he still wants an election as soon as possible. He was cautious about whether Mr Rudd has truly changed and said "we'll see that play out in the future," while calling the meeting an opportunity to "hit the reset button."
According to the Business Council, an early election would be a good way to settle business confidence because it would resolve political uncertainty. The council believes ending the current limbo would free businesses from being "on hold," which is a positive sign for everyday investors watching policy clarity.
Not immediately. The meeting was described as constructive and Rudd is understood to be considering policy changes, but Tony Shepherd was cautious and said changes will "play out in the future." Investors should not expect instant policy shifts solely from this meeting.
Investors should watch for announcements on election timing (there was speculation Mr Rudd might delay beyond September 14), any formal moves on the carbon tax or a shift to a floating carbon price, and further engagement between government and business that could signal policy direction and impact market confidence.
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