Friday, October 2, 2015

Consistent rising of House Prices?

Australia: House prices consistent in rising. 

Getting into the housing market has always been a struggle says Reserve Bank governor Glenn Stevens. According to him, it’s a bit daunting now because the amount of the deposit that you need to accumulate is larger.

Anyone who tries to get into the property market even at a time of low interest rates, will first face the biggest challenge: a home deposit that requires more savings over a long period while the prices keep rising.

He says that in 2000, it took about 5 years to save up for 20% of a capital city house price and now it’s more like seven years.

Will Keall of non-bank lender Homeloans says a first home buyer needs to be realistic about where they can afford to buy and focus on what they can afford.

Tuesday, September 29, 2015

7Eleven staffs were being chronically underpaid? Billionaire-founder Russ Withers has quit!

7Eleven staffs were being chronically underpaid? Billionaire-founder Russ Withers has quit!

The chairman of the embattled retail chain 7Eleven has resigned in the wake of the worker exploitation scandal. Billionaire-founder Russ Withers has quit along with chief executive Warren Wilmot after it was discovered that some staffs were being chronically underpaid. They faced a senate hearing into the scandal which was exposed by several whistleblowers.

7Eleven has appointed a new chairman, Michael Smith, following the resignation of the two executives. Mr. Smith is a member of 7Eleven’s board since 1999 and became a deputy chairman in August 2014. He resigned from being a chairman of Australian Institute of Company directors, and also from the board of Automotive Holdings Group to focus on fixing and repairing 7Eleven’s damaged reputation.

He said the decision by Mr. Withers and Mr. Wilmot to step down was “sad”.

The company will soon set in motion to find a new CEO and appoint new members of the board.

Mr. Smith said the problem is getting worse but there will be a lot of changes to be made in the company to stop it and to prevent it from happening again.

“It came to a point I think we realized that there have been some real failings in terms of our communications, reporting and knowing,” Mr. Smith said.

He estimated that the changes would cost “many millions of dollars”.
7Eleven would also review the back pay claims of its current and former staff and the company would also announce the changes to the profit share arrangement between head office and franchisees.

They are now moving to get this mess fixed as soon as it can be done.