ASX Health Quarterly Wrap: Neurizon turns up the dial on ALS drug progress
Quarterlies offers a crucial opportunity to gauge business momentum and future prospects, particularly for the healthcare sector. After years of underperformance despite solid fundamentals, healthcare has been one of the market's long-suffering segments.
While the broader market rose 10%, the ASX healthcare sector decline 4% in FY25. However, recent gains suggest the sector's fortunes may be shifting.
The S&P/ASX 200 Health Care Index (ASX:XHJ) surged 5.4% last week, building on a 5% jump the week before and is up so far this week with optimising growing of a rotation back into healthcare stocks.
Neurizon advanced its development pathway for its lead drug candidate NUZ-001 during the quarter, achieving several manufacturing, preclinical, clinical, and regulatory milestones.
These included development of a liquid formulation of NUZ-001 and promising interim results in the 12-month open label extension (OLE) study in Amyotrophic Lateral Sclerosis (ALS).
Neurizon completed a series of foundational studies during the quarter, which deepen the company's "mechanistic understanding of NUZ-001, highlight its differentiated pharmacology, and support its expansion as a platform therapeutic beyond ALS".
During the quarter Neurizon made key appointments to its executive team bolstering expertise in finance, preclinical and clinical development as well regulatory strategy to position the company for its next phase of growth, drug development and commercialisation.
The company also expanded its global presence and strengthened its engagement with key stakeholders in ALS and neurodegenerative disease through active participation in leading scientific, industry and community events.
Neurizon said achievements during the June quarter provided the catalyst for crucial milestones post quarter-end, including an exclusive global license agreement with NYSE-listed Elanco Animal Health Incorporated for monepantel (NUZ-001).
Post-quarter end the biotech received positive written feedback from the US Food & Drug Administration (FDA) on its strategy to resolve the clinical hold for NUZ-001.
The company has submitted a comprehensive Clinical Hold Complete Response (CHCR) to the regulator requesting the clinical hold to be lifted, paving the way to advance its investigational new drug application (IND) and entry into the HEALEY ALS platform trial in the December quarter.
Neurizon has also announced it has executed a loan agreement for $1.5m with specialist R&D financing firm Radium Capital, which is secured against a small portion of its expected 2025 R&D tax rebate.
The loan provides provides non-dilutive funding on top of Neurizon's existing cash balance of $4,161,000 at the end of June to ensure the company can maintain its pipeline of work in advance of receiving this year's R&D tax rebate.
Arovella Therapeutics (ASX:ALA)
A biotech focused on developing its invariant Natural Killer T (iNKT) cell therapy platform, Arovella continued to progress its lead product, ALA-101, towards a first-in-human clinical trial and to expand its platform into solid tumours during the quarter.
During the quarter, Arovella expanded its management team in readiness for its first-in-human phase I clinical trial for ALA-101 with the appointment of clinical operations leader Jacqui Cumming as senior director, clinical development.
The company entered into an exclusive option to licence multiple patent families from Baylor College of Medicine to expand use and improve the performance of its iNKT cell platform.
Arovella also set up its own research laboratory within the Jumar Bioincubator, with the new facility enabling Arovella to speed up its research output as it expands its solid tumour programs and continues building on its IP portfolio.
At the end of the quarter, Arovella announced that Dr Thomas Duthy would retire as a non-executive director and chairman with current non-executive director Dr Elizabeth Stoner serving as interim chair.
Arovella's CEO and managing director Dr Michael Baker said it was a productive quarter, including preparing an IND submission for the FDA.
"We made significant progress preparing for submission of our IND application, and we believe we are positioning the company for the best chance of success with the FDA," he said.
The company finished Q4 FY25 with cash of $20.9m, which is expected to fund the company through to completion of patient enrolment for the phase I clinical trial for ALA-101.
The funding will also support the advancement of its solid tumour programs (CLDN18.2-CAR-iNKT targeting gastric cancer) and its armouring program (IL-12-TM).
During the quarter Perth-based medtech Singular Health signed a commercial pilot agreement valued at US$1.3m (~A$2m). with major managed service organisation (MSO) in the US Provider Network Solutions (PNS), which manages care for more than 3.7 million people.
The contract marks transition to phase three of the company's multi-phase engagement with PNS and involves co-development of a pilot program where 1,000 of Singular Health's 3DICOM MD licenses will be distributed to primary care providers.
Following quarter close Singular Health announced a six-month collaboration with radiologist and founder of Life Radiology in Doral, Florida Dr Alex Alonso, who will serve as a strategic advisor and radiology architect for the PNS pilot, offering technical insight into US standards and workflows.
Singular Health also progressed multiple commercial discussions across the US education and healthcare sectors during the quarter with proposals requested by private and public institutions.
The company commissioned an independent report by Signify Research to quantify the US market opportunity. The findings show a total addressable market exceeding US$19 billion, with ~1.3 million primary care physicians in the US and each representing an average licence opportunity of US$800 per year.
Singular Health continued to pursue strategic opportunities in Australia aimed at improving access to medical imaging data and supporting clinical training, including a proof-of-concept integration proposal submitted to government departments to address inefficiencies in retrieving imaging data across disconnected PACS environments.
During the quarter, a capital raise of $8m was completed at an issue price of 35 cents per share, led by the Wallabi Group. The raise included participation from several institutional and high-net-worth investors, with further investment from PNS and Marin and Sons.
On the regulatory front, the company successfully completed its ISO 13485 re-certification and confirmed SOC 2 Type 2 and HIPAA formal certification and also progressed technical development.
The company closed out quarter with $13.7m cash and no debt.
Nerve-repair company ReNerve reported quarter sales revenue rose by 25% to $94,000 and contributed to cumulative FY25 sales of $271,000, up 53% on the previous year.
During the quarter ReNerve entered a partnership with Berkeley Biologics to develop two new product ranges, strengthening its commercial portfolio in the regenerative tissue and biologics sector.
Launch of the first new product ranges under the ReNerve brand are expected in Q3 CY25 and second by end of CY25.
The company received marketing approvals for its NervAlign Nerve Cuff in Bahrain, marking the first regulatory approval secured through its exclusive distribution agreement with Union MediScience B.S.C.
ReNerve and Union MediScience are now progressing with commercial rollout processes for the NervAlign Nerve Cuff product in the country, with early clinical cases and data gathered now anticipated to support future regulatory submissions in additional Middle East and North Africa (MENA)jurisdictions.
In April ReNerve signed a deal with NetCentrix Ventures to pursue regulatory approval and commercialisation of the NervAlign Nerve Cuff in India. The Indian nerve repair market is valued at ~US$115 million and forecast to exceed US$270 million by 2030.
ReNerve's net cash position at the end of the quarter was $4.75 m.
Imagion Biosystems (ASX:IBX)
Focus on progressing MagSense HER2 breast cancer imaging agent program during quarter
Working towards filing IND application to US FDA in Q3 FY25 for phase II trial
Preparations underway for manufacturing of MagSense HER2 drug for use in trial
The majority of Imagion's activities in the quarter focused on progressing its MagSense HER2 breast cancer imaging agent program towards filing an IND application to the US FDA for its phase II clinical trial including:
Submission of a pre-IND briefing document to the FDA
Preparations for manufacturing of the MagSense HER2 drug for use in phase II trial
Surgical oncologist at University of Oklahoma Health Sciences College of Medicine Dr William Dooley appointed principal investigator
Subsequent to the quarter close Imagion received positive written formal feedback from the FDA regarding the pre-IND briefing documents submitted. The IBX clinical team then held a meeting with senior FDA advisors to review the IND submission, which could be filed as early as Q3 CY25.
Start of the phase II trial is subject to IND approval by the FDA, with a response expected in Q4 CY25.
During the June quarter, Imagion entered into a master service agreement with Biosensis Ltd, providing the company with the ability to keep its operating costs low by not having to maintain an R&D facility or personnel, while still having access to new nanoparticle formulations for future research programs.
The two companies previously entered a licensing agreement in 2024, allowing Biosensis to use Imagion's proprietary nanoparticle manufacturing methods to supply research markets.
During the quarter vice chair of innovation at University Hospitals and an associate professor of radiology at Case Western Reserve University in Cleveland Dr Leonardo Kayat-Bittencourt was appointed clinical advisor for the company's prostate cancer program.
Imagion ended the quarter with $883,000 cash, down $826,000 from the prior quarter. Operating cash outflow for the quarter was $818,000, a $141k improvement largely due to lower admin and corporate costs.
The company expects reduced outflows next quarter as it focuses on cost control and funding the IND application.
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ABC News
27 minutes ago
- ABC News
Do class actions really deliver justice?
Sam Hawley: On average, there's a class action launched in Australia every week. But do they really help bring justice to groups of Australians exposed to wrongdoing? Today, Anne Connolly on her Four Corners investigation into the class action traps leaving victims short-changed and lawyers richer. I'm Sam Hawley on Gadigal land in Sydney. This is ABC News Daily. Sam Hawley: Anne, in Australia, class actions have become pretty common, haven't they? It's a really important way to address injustices in this country. Anne Connolly: Well, yes, that's what class actions are designed to do. And I mean, when there were some really major catastrophes, such as the Victorian bushfires, the Queensland floods, class actions were taken to get some money back for those people. News report: Property owners around Horsham in Victoria have banded together to bring the first class action arising from the Black Saturday bushfires. Anne Connolly: Same with the pelvic mesh issue against Johnson & Johnson. News report: The federal court found Johnson & Johnson had been negligent and driven by commercial interest and ordered them to pay compensation. Anne Connolly: There's many, and they're very varied. Sam Hawley: Yeah, and you found during your Four Corners investigation, this is a billion dollar industry, but it's not always in favour of the individual victims. So to explain this further, why don't we look at a recent case, Anne, a legal fight between more than 8,000 Australian taxi drivers and Uber. Anne Connolly: Well, I mean, I think most people remember when Uber entered the market, obviously the taxi industry was absolutely decimated. They just couldn't compete any longer. One of the taxi owners I spoke to is a man called Stephen Lacaze. He said he had a licence in Queensland, which was at the time valued at about half a million dollars. It went to being virtually worthless once Uber came along. Stephen Lacaze, taxi owner: Oh, it was devastating. People virtually went into shock. Anne Connolly: So when Maurice Blackburn, which is one of the biggest class action firms in Australia, came along and proposed a class action, he was very keen to sign up. Stephen Lacaze, taxi owner: We were friendless. And here comes Maurice Blackburn with their Bradman-like batting averages, and their 'we fight for fair' banner, and we're there with bells on. Sam Hawley: OK, so Stephen was keen to fight this. Maurice Blackburn lawyers take it on, and they get a third party, a litigation funder, to pay the costs. Just explain how that works. Anne Connolly: Yeah, so what happens is Maurice Blackburn doesn't want to go this alone. So what they do is they engage somebody called a litigation funder. And litigation funders, they pay the lawyers' fees, they support them, and if they lose, they pay all of the costs, so there is some risk. But in return for taking that risk, they want a percentage of any payout that they win. So in this case, with Maurice Blackburn, they had a partnership with an offshore firm called Harbour Litigation Funding, which is actually registered in the Cayman Islands. It's a tax haven, and there's quite a few litigation funders in tax havens. Under this deal, they said, we want 30% of the proceeds. And Stephen signed up for that, as did most of the taxi drivers. Stephen said he did that because he thought they were going to get a payout worth billions because that's how much they'd lost. Sam Hawley: So in this case, Maurice Blackburn, the law firm, ends up settling this class action. So just tell me what happens then. Are the taxi drivers elated about this? Anne Connolly: Well, the night before the trial was due to start in March last year, Maurice Blackburn brokered a deal with Uber. That would be that Uber would pay $272 million in compensation. Now, once Harbour took its commission, that came out at $81.5 million. Maurice Blackburn took its legal costs, which came to $39 million. It means that the drivers were left with just over half the payout. Now, we don't know what individual taxi drivers will get. Stephen Lacaze believes he'll get about $20,000 once all of these fees and commissions come out of his payment, which he says is nowhere near what he lost. Sam Hawley: What did Maurice Blackburn have to say about that? Anne Connolly: They said the federal court had approved the settlement as fair and reasonable, and Harbour, the funder, said that the case was long-running and there were significant risks. Sam Hawley: Hmm, OK. So, Anne, that's the case of the taxi drivers against Uber, and we're going to talk about another really concerning case in a moment. But before we do, let's just look at the system more deeply. The worry here is that the whole class action system is set up to make profits for the law firms and the funders, but not deliver the justice to the victims, right? Anne Connolly: Well, there's some people who are concerned about that. I mean, the lawyers and the funders will say, without us, people would get nothing. The problem is that what's happening now is most people think a class action begins with a group of victims, but that's not really the case anymore. Now everything has changed because litigation funders have now entered the Australian market. So what happens is, it's the law firms and the litigation funders getting together and seeing, what are these issues that we could launch a class action on so that they can make money and then they can sign up the group members? So the concern is, are they really seeking justice for people or are they actually just finding a business opportunity so that they can make as much profit as they possibly can? Sam Hawley: Anne, let's now look at another case where the victims are left with, in comparison, petty change. Just tell me about Minnie McDonald. Anne Connolly: So Minnie McDonald is a woman in her 90s. She lives in Alice Springs and she was approached by Shine lawyers to become what's called the lead plaintiff in a class action in the Northern Territory for stolen wages of Indigenous workers who worked on cattle stations and missions for little or no money. Minnie McDonald, lead plaintiff: No shoes, get up in the morning, go to work. Come back afternoon, cold. Anne Connolly: So this case relates to the treatment of people like Minnie who, along with a lot of other... ..thousands of other Aboriginal men, women and children worked for little or no pay between the 1930s and the 1970s. Look, I just think, you know, one of the things I want to say about this is if ever there was a class action needed, perhaps it was in this particular case. I mean, there's questions about why the governments didn't just actually pay people what they deserved instead of being forced to court and forced to pay out compensation. But in any case, what Shine says and what the litigation funder says is we were doing our very best to get right a particular historical injustice. Sam Hawley: So the law firm Shine takes on this class action along with the litigation funder, Litigation Lending Services, and Minnie becomes the lead plaintiff. But the thing is, Anne, we know with legal cases, there's a lot of paperwork and Minnie had to sign a lot of that and she can't read or write. Anne Connolly: That's right, she can't read or write. So Minnie had her granddaughter Elizabeth to help her. However, Elizabeth does say, you know, it was complicated. It was difficult to understand at times. So Minnie did sign one document which said that Shine's costs had increased by $10 million and she signed off on that. I asked her about it and I asked her granddaughter if they remembered it. They didn't. I asked Shine, did they check that Minnie had the capacity to understand the complex legal and financial issues around class actions? They said being unable to read or write is no indication of intelligence and that they had an Indigenous barrister who helped to cross these cultural barriers and explain the process to them. Sam Hawley: So tell me what ended up happening with the case. Anne Connolly: So there were two class actions in WA and the NT and they both settled. So they didn't go to court. In Western Australia, there was a settlement for $180 million. In the Northern Territory, it was $200 million. Which sounds, you know, really positive. But what has to come out of that are the legal costs and the commission for the litigation funder. So they're not going to end up with that much. They'll end up with at least $10,000 and some will end up with more than that. Minnie McDonald, lead plaintiff: So somebody might... get a car and just take me for a picnic somewhere, you know, have a feed. But... I didn't get enough. Anne Connolly: You didn't get enough to buy a car? Minnie McDonald, lead plaintiff: Yeah, yeah. Nothing. Not enough. Anne Connolly: On the other hand, what's happened is Shine Lawyers is going to get about $30 million for its work. And the funder, Litigation Lending Services, they will take a commission of about $57 million. Sam Hawley: And you've had a really good look, haven't you, also, at the amount the law firm Shine was actually charging. Anne Connolly: Well, that's very interesting because Shine was roundly criticised in both WA and Northern Territory courts by the judges there. In one instance, Shine was charging for law clerks, charging them out at $375 an hour, even though many of them were unqualified uni students. They hired at least a dozen barristers that cost almost $3.5 million. One of those barristers charges almost $5,000 an hour. So, you know, the legal costs are the things that's really interesting. Sam Hawley: All right. So, Anne, the law firms and the funds are making a lot of money from these class actions in many cases. They do argue, as you mentioned, that they're actually giving people a chance to have these cases heard. What has Shine told you? Anne Connolly: Well, Shine said we were the only ones who were willing to take this on. We have given Aboriginal workers a chance to tell their stories. They've received compensation and they're being acknowledged for the historical injustices that they've suffered. And they said that these cases require experienced and well-resourced lawyers. And Litigation Lending Services, they said that they're proud of their involvement and that their commission was lower than the standard market rates because they wanted to reflect the social justice nature of these claims. Sam Hawley: And you spoke to the head of the Association of Litigation Funders. So this is a group that represents the firms that financially back these class actions, the funds. Its head is John Walker. So what's he had to say? Anne Connolly: Well, he said, look, you know, this is a market. This is a financial market that they operate in. They're trying to get some justice for people, but at the same time they're trying to make a profit and they don't shy away from that. John Walker, Association of Litigation Funders : We underwrite the project. We'll pay everybody if we lose, but in return, if we win, then we get a share of the recovery. We don't see it as gambling. We see it as investing. It's a market, and I don't step away from that. Anne Connolly: He essentially says, look, what we're doing is we're trying to correct the bad behaviour. Even if these class members are not getting enormous sums, it's sending a message to the big end of town that you can't operate in this way any longer. John Walker, Association of Litigation Funders : I'm absolutely proud of what's happened with class actions in Australia. They're absolutely essential to create accountability in respect of the big companies and governments. Sam Hawley: But, Anne, it does sound like a system that's not really working as it should. That is for the everyday people who need it. Anne Connolly: Well, I think what happens is a lot of people look at a class action sum and they believe that the sum that's been publicised is what people are getting. They don't realise that up to half of it can disappear in fees and commissions. The other point being the only class actions that actually get funded and get run are those that turn a profit. So when you're talking about others that might be very worthy, they won't get up if the bottom line doesn't look good. I think the problem arises when you're talking about people who have really suffered, such as these Aboriginal workers in the stolen wages cases who thought that they were going to get some proper compensation and what they're getting is simply a fraction of what they really deserve. And when they do see litigation funders and lawyers walking away with tens of millions of dollars, it makes it difficult for them to understand and sometimes it can feel like they've been exploited all over again. Sam Hawley: Anne Connolly is an investigative reporter with the ABC. You can see her Four Corners report on ABC TV tonight at 8.30pm or you can catch it on iView. This episode was produced by Sydney Pead. Audio production by Sam Dunn. Our supervising producer is David Coady. I'm Sam Hawley. Thanks for listening.
ABC News
4 hours ago
- ABC News
TikTok and online games driving surge in Defence Force recruitment
Targeted advertising on social media and in online games has helped deliver a boost to Australian Defence Force recruitment, offsetting a perennial problem of declining service rates. Figures from the federal government show the permanent and full-time headcount reached more than 61,000 personnel, reflecting an annual increase of almost 1,900 people, the highest in 15 years. Year-on-year, it reflects a 17 per cent increase in the number of people joining the ADF, which Defence Personnel Minister Matt Keogh attributed to "smarter" career advertising. "So, doing that advertising in games, in computer games, utilising TikTok," he said. "Making sure that we're focusing on having that advertising presented where our target age groups are, so they are seeing those messages and they're seeing the breadth of role types that are available across the Australian Defence Force." Fewer than 10 per cent of the more than 75,000 people who applied ultimately enlisted in the ADF. Of the more than 7,000 people who joined the ADF, around half were in the Army (3,442). This took its headcount to a four-year high. Enlistment in the Navy (1,524) and Air Force (2,093) saw their respective overall headcounts reach their highest levels since 2006. Mr Keogh partially attributed a broadening of entry eligibility for a five-year high in applications. "We had a situation before where medical conditions like acne could automatically exclude someone from being able to enlist," he said. "Clearly that's stupid in the 21st century. "We're now making sure that our eligibility requirements match the more than 300 different types of roles that are available in the Defence Force. "So, if you're doing something like cyber ops, you know, you're working out of a basement, you're never leaving Australia, we don't need to have as strict requirements as might be required as someone who's going to be in an infantry force that's going to be deployable outside of Australia." The median age of recruits was 23 years. Mr Keogh and ADF chief of personnel Natasha Fox said responding to the Veterans' Suicide Royal Commission had also helped bolster people's willingness to join the military. Defence has long struggled to recruit and retain personnel, in part due to accusations about the culture within the ADF. So, the government has also trumpeted a decline in the rate of people leaving the ADF, down from 11.2 per cent in 2021/22 to 7.9 per cent — the lowest rate in a decade. Figures released last year showed the ADF had a shortfall of around 4,400 workers. It remains unclear to what extent that has been reduced in the past year's intake. But officials have insisted the government was on track to reach its target of 69,000 permanent workers by the early 2030s. "We're also conscious that we have more work to do in this area as well," Mr Keogh said. A year ago, the government announced foreign nationals would be able to serve in the ADF in a bid to boost recruitment. Initially starting with New Zealanders, Australian permanent residents from the UK, US and Canada (members of the so-called Five Eyes intelligence sharing network) are now eligible to apply to join the ADF. But so far, only three New Zealanders have enlisted. Figures from the government show a further 70 people are in a pre-enlistment phase, and are expected to officially join in the coming months. As of July 13, there were 520 active applications from Five Eyes citizens, of which 400 were from New Zealand. The United Kingdom had the second most applicants, followed by the United States and Canada.
The Australian
4 hours ago
- The Australian
Collapse in private-sector job creation as public sector surges
Private-sector job creation has collapsed as employment funded by federal and state governments soars to five times the normal rate, sparking warnings of unsustainable distortions in the labour market that are at the heart of the nation's productivity slump. Analysis of labour-market data shows that 82 per cent of all jobs created over the past two years were government-funded positions, with the private sector adding only 53,000 jobs in 2024. This marks a dramatic reversal of normal labour market trends, in which the private sector typically contributes about two-thirds of total job creation. While Jim Chalmers has ruled out discussion of industrial relations at this month's economic and productivity summit, employer groups are demanding that dysfunction in the labour market needs urgent attention. Australian Industry Group analysis shows that the historically low unemployment rates maintained since the pandemic are masking a fundamental shift in the composition of job creation, which lies at the heart of the nation's productivity slump. It warns that labour-market resilience, as shown in official unemployment data, was being supported almost entirely through government spending, leading to an excess of job vacancies in the private sector. This was unsustainable, according to the Ai Group, which also pointed to a dramatic fall in mobility rates – the frequency of workers changing jobs or roles – to a record low in 2025 that was directly linked to productivity. The analysis showed that the number of new jobs needed for the economy to maintain an unemployment rate of about 4 per cent was approximately 400,000 a year. 'Since the pandemic, this has been achieved, however, the composition of job creation has changed dramatically,' the Ai Group analysis said. 'Typically, the private-market sector accounts for about two-thirds of job creation in Australia. However, as the economy has slowed since 2023, private-sector job creation rates have collapsed. 'In 2024, the sector only added 53,000 new jobs – about a fifth of its normal level of job creation. In its place, two government-supported sectors took up the slack. 'Employment in these government-supported sectors has boomed since the pandemic, adding an additional 670,000 jobs over the last two years. This is over five times higher than the normal growth rate, and ultimately accounted for 82 per cent of all job creation in Australia. 'It was driven by significant uplift in public-sector staffing levels, as well as the rapid expansion of the private-sector (but government-funded) care-economy workforce. One of the Albanese government's key election boasts was its maintenance of low unemployment and job creation. But the bulk of those jobs have been in the public sector (where workers are directly employed by government), and the non-market sector (industries such as healthcare and education) which are driven by government funding decisions. 'Job creation has become unsustainably dependent upon government spending,' the Ai Group research said. 'Growing regulatory burden has raised the costs of private sector employment generation. Job mobility rates have rapidly declined, while excess vacancies and skills shortages have disrupted business operations and efficiency.' The public sector was the least productive part of the economy and, with public spending showing signs of easing, unemployment rates have begun to rise. Last month, the jobless rate surprised experts by jumping from 4.1 to 4.3 per cent. This prompted economists to call for the central bank to lean in further on interest-rate cuts, following its surprise decision last month to keep them on hold, to protect the economy. Ai Group chief executive Innes Willox said the historically low headline unemployment rate had created a 'blind spot to labour-market trends that are decreasing our productivity, our wellspring to national wealth'. 'While the labour market has remained resilient, with the jobless rate around 4 per cent for the past three years, in many other respects it is failing to meet the broader needs of our economy or productivity,' Mr Willox said. 'There are four key areas that are a material drag on productivity: job creation has become almost entirely dependent on government spending; a growing regulatory burden has increased private sector costs; there is a persistent overhang of excess job vacancies; and mobility is declining. 'These all make job creation more expensive and difficult, reduce the efficiency of matching jobs to employers, while disrupting productivity and sapping business growth.'' Mr Willox said there was an urgent need for the private sector to resume its role as the primary job creator 'or our labour market resilience will be at risk'. 'Regulation has pushed up employment costs since the pandemic, with growth in superannuation, workers compensation and payroll tax adding $14bn to the annual wage costs,' Mr Willox said. 'The regulatory costs for employment, on top of wages, have grown to 15.6 per cent from 14 per cent in the past three years. 'We have a plague of excess job vacancies, which disrupts business operations, make it harder to allocate resources properly and less likely to pursue new opportunities for growth.' Mr Willox said the intervention by governments to prop up job creation through their budgets had starved the private sector with about 330,000 jobs remaining unfilled at the beginning of 2025. This was 100,000 more than the historical average. 'This persistence of excess vacancies has exacerbated a further challenge for employers: a crippling skills shortage,' Mr Willox said. 'The sectors with the most chronic shortages – healthcare and social – also delivered the worst productivity outcomes, so there is a clear link between the two.' Mr Willox said the issue needed to be a central piece of the productivity debate at the Treasurer's roundtable this month. Nation A massive pro-Palestine protest brought Melbourne to a standstill as activists clashed with riot police, harassed officers, blocked traffic, and targeted fashion brand Zara – defying Premier Jacinta Allan's warning of swift action. Nation The PM's energy infrastructure tsar and a pro-renewables independent are worried concerns about one of Australia's largest proposed solar farms are being ignored.
