🦘 Rapid Increase in Affordable Housing, Major Banks To Increase Fees, 2024 Workplace Wellbeing Index Findings

G’day everyone!

Here’s what we’ve got in store for you today:

• Rapid Increase in Affordable Housing

• Major Banks To Increase Fees

• 2024 Workplace Wellbeing Index Findings

Let’s have a look at the market snapshot before jumping into the news:

Affordable Housing Boom in Australia

Developers in the Eastern Australia region are ramping up their efforts to meet the growing demand for affordable accommodations, particularly for essential workers.

City West Housing has just scooped up a new site in Alexandria, Sydney, ramping up its $850 million affordable housing efforts, which include providing homes for around 1,600 residents.

This new acquisition is nestled near the strategic Green Square hub, crucial for transportation between Sydney Airport and the CBD.

Meanwhile, HousingFirst in Melbourne has transformed a former social housing site into 99 modern units, aimed at uplifting up to 140 people.

The City of Melbourne is also on board with new projects converting council properties into affordable housing.

Adding to these efforts, the Australian Federal Government is rolling out the red carpet for 10,000 new affordable homes over the next five years as part of a grand National Housing Accord aimed to soften the harsh blows of the housing crisis.

The drive towards affordable housing is not just about putting roofs over heads; it's about ensuring that key community workers - like firefighters, paramedics, and even those fleeing domestic violence - have sustainable and proximate living options.

With a mix of funding through equity, debt, and government aids, developers like City West Housing are gearing up to significantly boost affordable rental spaces, highlighting the increasing importance and recognition of affordable housing in Australia’s real estate landscape.

Aussie Major Banks May Hike Fees to Support Rural Branches

Hold onto your wallets!

Customers of Australia’s big five banks - Commonwealth, Westpac, ANZ, NAB, and Macquarie Bank - might soon see a jump in fees and interest rates that could collectively cost an additional $370 million.

But here’s the kicker: most of these new charges are likely to be passed down to consumers through higher loan rates or slimmer savings interest.

The inquiry, after hearing tales of woe from communities, councils, and even Australia Post (which is feeling the strain with increased costs to shuttle cash to remote towns), is likely to outline steps to address this burgeoning crisis.

As the cost of halting remote and small-town branch closures looms large, Aussie bank customers in urban areas might just feel the pinch in their pockets.

Stay tuned as the inquiry produces its long-awaited report and its implications for Australians far and wide.

It's All About the Money and Perks in 2024, But Don't Forget Flexibility!

As we pave our way through 2024, salaries and perks are stealing the limelight in the employee retention playbook, thanks to the ever-soaring cost of living.

According to the latest scoop from Gallagher's Workplace Wellbeing Index, while flex hours and career growth are still in the game, it’s the flashy numbers on the paycheck and extra goodies that are turning heads, especially among the younger crowd facing their first high inflation rodeo.

Here’s a peek at the numbers: The Index took a pulse on 2,499 workers down under, noting a small bump in workplace satisfaction - 53% are feeling good about their jobs, a jump of five percentage points from last year.

On the flip side, about 10% have waved goodbye to their jobs due to poor workplace vibes.

Despite a gloomier job market, companies still need to bring their A-game.

Why? Low worker wellbeing isn't just a mood killer; it hits where it hurts - the company's bottom line. Companies shining in this arena see it as their chance to stand out by balancing solid pay with perks.

While flex work remains a darling in the benefits bouquet for the over 35s, the younger lot places training over telecommuting, closely associated with upward mobility.

In 2024, if businesses want to keep their teams intact and thriving, it's about more than just money - it’s about genuinely caring for their wellbeing.

Major Shake-Up Looms for Lendlease: CEO to Present Crucial Turnaround Plan

Investors at Lendlease are bracing for a pivotal meeting on Monday, amidst high expectations that CEO Tony Lombardo will announce drastic changes.

The anticipated revamp could include significant staff layoffs and asset disposals aimed at streamlining the business, with eyed reductions potentially impacting around 1000 jobs, particularly within its United States and United Kingdom construction divisions.

This move comes as Lendlease's construction segment reported a worrying 18% revenue drop in the first half of the current fiscal year, including a notable exit from its ambitious $20 billion Google project in San Francisco due to challenging market conditions.

Lendlease’s investors, including hefty stakeholders Tanarra Capital, Allan Gray, and HMC Capital, are vocally calling for a comprehensive overhaul.

They criticize the current board for overextending into non-core markets, accusing them of poor investment returns and diluting the company's competitive edge.

The company's forthcoming strategy presentation, spearheaded by Lombardo followed by an extensive Q&A session, is garnering significant attention.

Investors and market analysts such as those from Citi, anticipating potential earnings downgrades, are eager to understand the detailed roadmap for Lendlease’s operational and financial recalibration amidst a globally strained construction sector.

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