The Good Oil by Rod Brown – Catching the hybrid workplace wave

New hybrid workplace arrangements are the way of the future and regional communities can be big winners if they can catch this wave.

We had a Zoom meeting recently with some California-based Aussies describing how small towns surrounding Los Angeles and San Francisco are benefitting from the end of the five-day office week.

There are two drivers – big corporations establishing certain operations in cheaper regional locations, and the rise in working from home for 2-3 days per week. They say hybrid working is definitely here to stay. My colleagues qualified this however – companies need good performance systems in place (a focus on outcomes rather than outputs) and attention to younger staff who need face-to-face interaction as part of their learning process.

Anyway, the growth of hybrid workplaces is well underway in Australia. To my mind, the fascinating issue is which regional communities will truly succeed in creating permanent homes for these new-age workers.

What can local councils do in this space?       

Well three success factors appear likely – quality internet services, good rail/road access to head office, and an ‘attractive ambience and lifestyle’. The latter is difficult to define and measure, but anecdotal evidence suggests that good schools, restaurants, coffee shops and sports/leisure facilities are important.

And an outward-looking local population can also be relevant. It’s hard to put a finger on this, and local government can hardly influence it, but it arguably explains the population growth of places like the Bellarine Peninsular and Canberra despite their harsh winter climates and high housing costs.     

One technique that is begging for attention is the establishment of planning precincts, whereby local infrastructure and services can be properly integrated. So much is written about this. It’s not a role for the feds, so it’s disappointing to see state agencies start with good intentions and then drop the ball.

A case in point is the New South Wales Special Activation Precinct Program. It is a brilliant initiative but it has only been rolled out to a handful of communities, and the signs for a further roll-out are grim.   My advice is that whichever state you’re in, read up on this program and ask your local MPs and state planning authority to give it a go.

Dominican Republic – worth some thought
ForeignPolicy.com, a Washington-based news service, reports that while the Dominican Republic’s bustling economy has been hammered by COVID-19, the International Monetary Fund expects it to make a robust recovery.

This confidence is based on a revitalisation plan being implemented by the nation’s new president, Luis Abinader. The aim is to broaden the economy via tax incentives, investment attraction and ‘nearshoring’ strategies – when businesses move their operations to a nearby country instead of a distant one viz. China.

This is all quite inspiring given that the region is home to numerous tin-pot dictators. And one of the world’s basket cases – Haiti (GDP/head of $US1300) – shares the same island! By contrast, the Dominican Republic’s GDP/head is $US8300, thanks to a manufacturing ecosystem based on medical devices, electrical components, jewellery, electronics, textiles, footwear, a competitive container port etc. Go figure.

The trigger for the revitalisation plan is the current geopolitical uncertainty generated by the United States-China trade war, COVID-19 and various global supply chain disruptions. The Dominicans aim is to convince United States and European Community multinationals to accelerate their reshoring/nearshoring strategies by relocating part of their production facilities to reduce operating costs and risks. The plan is underpinned by trade agreements with the Caribbean Community (CARICOM), Central America, Panama, United States of America, European Union and United Kingdom.

The revitalisation plan has apparently been nurtured by Harvard University – where President Abinader had studied – and the United States government.

It’s been suggested that sort of collaboration could be a model for Australia in its dealings in the Asia-Pacific. Our universities have indeed trained many Asia-Pacific leaders but examples of development programs or universities playing such a high-level role aren’t evidenced. Nevertheless, could Charles Darwin University or James Cook University – supported by local councils – enter the scene? This activity doesn’t need any federal government blessing, although the Australian National University and the diplomatic corps in Canberra could be useful allies.  

COVID-19 – lessons from Europe
Our man in France reports that there are currently around 20,000 new COVID-19 cases a day in France, despite 50 percent of the total French population having had two doses of vaccine. The French government has thus introduced compulsory vaccination for health workers, carers in retirement homes, firemen, emergency health staff, ambulance drivers. And the government is now busy introducing a ‘Health Pass’ (completed vaccination or recent PCR) to get into events, museums etc. and, more importantly, into restaurants.

Italy actually introduced compulsory vaccination for health care workers about a month ago. Italy will also introduce a ‘Health Pass’ that they very cleverly call a ‘Green Pass’ for cultural venues, sports events and indoor dining.

The bottom line – France and Italy have a blotched reputation on COVID-19, but we should track their progress with their Health Pass. Time for our politicians to stop bragging and to take the tough measures. The anti-vaxxers have no place in Australian society.

Rod Brown is a Canberra-based consultant and lobbyist specialising in industry/regional development, investment attraction and clusters, and accessing federal grants. He also runs the Cockatoo Network.
Phone: (02) 6231 7261 or 0412 922 559
Email: apdcockatoo@iprimus.com.au