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Government welcomes bi-partisan support for franchising reform

25 Jul 2013

Federal Minister for Small Business Gary Gray today welcomed the Coalition's support for the government's recently announced franchising reforms.

The Opposition's spokesman on small business Bruce Billson indicated his support during his address to the Council of Small Business of Australia today in Brisbane.

Mr Billson supported the use of penalties to give the Australian Competition and Consumer Commission "teeth" to implement the proposed amendments to the Franchising Code of Conduct.

"This $130 billion industry will have certainty and confidence," said Mr Gray.

"The 400,000 franchise employees and 73,000 franchise small business units right around Australia will be heartened by this news.

"As I said yesterday when announcing the reforms, I have written to Mr Billson about them and I look forward to continuing to work with him on these important reforms. I welcome the thoughtful bipartisan approach adopted by the Coalition.

"This is important as the $130 billion industry deserves the certainty of the whole parliament supporting these measures and that can only be achieved if there is a bipartisan resolve.

"We should set the goal of passing the legislation by Christmas.

"The reforms will move to introduce into the Franchising Code of Conduct an obligation to act in good faith, include civil pecuniary penalties for breaches of the code and address other areas of concern including marketing funds and disclosure."

The Government will move to implement its response through the Parliament as soon as practically possible.

Media contacts: Minister's office (02) 6277 7930

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