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On Tuesday 12 May 2026, Treasurer Dr Jim Chalmers handed down the Australian Government's 2026–27 Federal Budget. For Australia's hair, barbering and beauty sector, the Budget delivers a mix of positive measures designed to improve productivity, workforce capability and business investment, while also raising concerns about proposed tax reforms that could affect many small business owners.As Australia's salon sector is overwhelmingly made up of small businesses, sole traders and family-owned enterprises, the overall impact of the Budget is best described as a mixed outcome. While there are several welcome initiatives, ongoing cost pressures and tax uncertainty remain significant challenges for business owners.One of the most significant announcements for the sector is an $85.2 million investment to accelerate skills assessments and occupational licensing for migrant trades workers. The initiative aims to reduce the time it takes for qualified migrants to have their skills recognised and enter the Australian workforce. For salons continuing to experience workforce shortages, this has the potential to improve access to qualified overseas hairdressers and barbers, reduce recruitment delays and strengthen workforce capacity across metropolitan and regional Australia. The Government has also announced reforms to the permanent migration points test, placing greater emphasis on attracting younger, highly skilled and better-qualified migrants.The Budget also provides $361.1 million over five years to strengthen Australia's employment services and support more Australians into work. While not specific to the personal services sector, improved employment pathways may help connect employers with job seekers, encourage workforce participation and support future apprenticeship recruitment.For small business owners, one of the most welcome announcements is the permanent extension of the $20,000 Instant Asset Write-Off from 1 July 2026. Eligible businesses with an annual turnover of less than $10 million will be able to immediately deduct qualifying business assets, providing greater certainty for investment in salon equipment, furniture, technology and digital systems. After several years of temporary extensions, making this measure permanent gives businesses greater confidence when planning future investment.The Budget also includes several broader productivity reforms welcomed by the small business sector. These include progressing the Government's "tell us once" approach across agencies, harmonising payroll tax and licensing arrangements between states and territories, expanding the use of Digital ID for government services, reducing compliance costs through regulatory reform and establishing a Productivity Commission inquiry into barriers affecting business productivity. Collectively, these initiatives aim to reduce administrative burden and make it easier to operate a small business.The Government has also extended funding for the Small Business Debt Helpline and the NewAccess mental health coaching program, recognising the ongoing financial and personal pressures many business owners continue to face.The Budget includes $35.2 million for Jobs and Skills Australia to continue labour market analysis and workforce planning, while changes to the Australian Apprenticeships Incentive System are expected to provide more targeted support for small and medium-sized employers and Group Training Organisations. The practical benefits for salon businesses will become clearer as the detailed reforms are implemented.However, alongside these positive measures, the Budget has generated significant concern across the small business community regarding proposed tax reforms. The Council of Small Business Organisations Australia (COSBOA) has expressed concerns that proposed changes to Capital Gains Tax and the taxation of discretionary trusts could create additional complexity and potentially affect the retirement plans and long-term investment decisions of many small business owners. For salon owners who commonly operate through company or trust structures, these reforms will be important to monitor as further consultation occurs.COSBOA also notes that while measures supporting productivity and regulatory reform are welcome, many small businesses continue to face increasing pressure from rising wages, energy costs, insurance premiums, rent, freight, fuel and compliance obligations. These cumulative cost pressures remain one of the biggest challenges facing Australia's small business community, including the personal services sector.Overall, the 2026–27 Federal Budget delivers several positive initiatives for Australia's hair, barbering and beauty industry through workforce development, skilled migration, tourism, productivity reform and greater certainty around business investment. At the same time, the proposed tax changes and ongoing cost pressures reinforce the need for continued advocacy on behalf of the sector.The Creative Skills Retail Council (CSRC) welcomes the Government's investment in workforce capability, productivity and small business resilience, while supporting calls for continued consultation on tax reforms to ensure they do not create unintended consequences for Australia's small business community.&nbsp;

Federal Budget: Effects on Hair, Beauty, and Makeup Businesses

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National Apprenticeship Week Australia (NAWA) is an annual, week-long observance that promotes the importance of apprenticeships and traineeships across Australia, and for all sectors.The week is designed to raise awareness among employers, job seekers, industry bodies, training providers, and government about the vital role apprenticeships play in building skills, supporting industries, and contributing to Australia’s economy.The Creative Skills Retail Council (CSRC) proudly shows its support for National Apprenticeship Week Australia, running 9–15 February, and welcomes the opportunity to reinforce an important message - this is an inclusive national observance for apprentices and trainees across all sectors, not just traditional trades.An inclusive celebration of skills, careers, and opportunity National Apprenticeship Week shines a spotlight on the thousands of apprentices, trainees, educators, and employers who keep Australian industries moving and help shape the skills that drive our economy.From construction and manufacturing to hospitality, retail, health, personal services, and beyond, apprenticeships and traineeships provide structured, supported pathways into meaningful, sustainable careers. They are a cornerstone of workforce development and a critical lever in addressing Australia’s ongoing skills shortages.For the hair, barber, and makeup sectors, apprenticeships are more than training pathways - they are the foundation of a skilled, professional, and future-ready workforce.They create real opportunities for people to build long-term careers, develop technical and creative excellence, and grow commercial capability within businesses. Just as importantly, they support salon business owners and employers by developing talent from within and strengthening industry standards.Investing in apprentices is investing in the long-term strength of our industry, our businesses, and our communities and support for employers must remain an equal priority across all sectors to ensure apprenticeships are sustainable, achievable, and successful for everyone involved.How you can show your support this week?National Apprenticeship Week is also about visibility and recognition. Everyone can play a part and here are a couple of suggestions:1. Giving a shout-out to apprentices and trainees in your workplace 2. Sharing success stories and career journeys on social media 3. Acknowledging the educators, mentors, and employers who support apprentices 4. Highlighting the importance of apprentices to the future of your business and the industryThis week, CSRC celebrates apprentices across the hair and beauty industry, and the people who are teaching, mentoring, and guiding the next generation of creative professionals. #thankyou #nawaSource: https://www.nationalapprenticeshipweek.com.au/

Supporting National Apprenticeship Week Australia: 9-15 February

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The Fair Work Ombudsman has shared this helpful link to support you over the festive period - <a data-mce-href="https://www.fairwork.gov.au/newsroom/news/our-services-over-the-holiday-period" href="https://www.fairwork.gov.au/newsroom/news/our-services-over-the-holiday-period" target="_blank" rel="noopener">VIEW HERE</a>You’ll find tools and resources covering items such as:1. Rules and entitlements for employees working (or not working) on public holidays 2. Pay guidance to help calculate minimum rates for Christmas and seasonal casual hires 3. Information on shutdown periods and leave options for employeesIt's important to check the relevant resources before making decisions.

Fair Work Resources to Support You Over the Festive Break

Huge congratulations to the 2026 Skillaroos as they prepare for the 48th WorldSkills Competition, taking place 22–27 September 2026 in Shanghai.A special shout-out to the Social and Personal Services categories, proudly showcasing valuable skills that drive careers across both hospitality and personal services.&nbsp;Well done to every competitor, and an extra congratulations to Larni Roberts of Zedz Hair Salon and Alesandria Tipi of Eco Beauty Lounge Alice Springs. What an incredible achievement and we are cheering you on as you take this next remarkable step.Since 1981, WorldSkills Australia has championed skills excellence and helped more than 100,000 people compete in national and international skill competitions. Underpinning their passion is the knowledge and drive that skills grow careers - a message deeply aligned with CSRC’s commitment to capability, creativity and lifelong learning.The Creative Skills Retail Council proudly celebrates this national achievement and the role WorldSkills continues to play in shaping the future of skilled careers.Meet the 2026 Skillaroos team - <a data-mce-href="https://www.worldskills.org.au/competitions/shanghai/" href="https://www.worldskills.org.au/competitions/shanghai/" target="_blank" rel="noopener">HERE</a>&nbsp;Image Source: <a href="https://www.worldskills.org.au/competitions/shanghai/">https://www.worldskills.org.au/competitions/shanghai/</a>

WorldSkills 2026: Celebrating Australia’s Rising Stars in Personal Services

<h2>Consumer Insights and Retail Trends</h2>The mid-year CSRC Snapshot Report - is in the member portal and the next one is about to drop this month (December)!This report offers a timely analysis of consumer behaviour, retail sector dynamics, and the key challenges facing hair, beauty and barbering businesses across Australia. Drawing on national data and industry sources, the report provides valuable insights to help operators navigate changing spending patterns and competitive pressures. It covers four core areas: <ol><li>Small business and Sector Overview</li><li>Business Operational and Financial Challenges</li><li>The Battle for the Consumer Dollar</li><li>Key Lessons, Implications and Strategy Suggestions</li></ol>Sanphot is designed to support members with strategic context and practical takeaways in an evolving market. Members can access the latest CSRC Snapshop in the member portal.<figure id="figure-6j4u0zumuxmdv2uvza"><img id="6j4u0zumuxmdv2uvza" src="https://cdn.durable.co/blocks/39rIaJ7K9aEc25Ec7x5lrQXUYzePb8dKfSRXN0QETtKzaMetbtFe2G5BGLZdvURs.png" alt="" title="" class="object-cover bg-gray-100 " style="aspect-ratio: 16/9; object-position: center center;" data-corners="default" data-aspect="16:9" data-caption="" data-positionx="null" data-positiony="null" data-fullwidth="false" data-mce-src="https://cdn.durable.co/blocks/39rIaJ7K9aEc25Ec7x5lrQXUYzePb8dKfSRXN0QETtKzaMetbtFe2G5BGLZdvURs.png" data-mce-style="aspect-ratio: 16/9; object-position: center center;"></figure> &nbsp;&nbsp; &nbsp;

CSRC Snapshot

Following significant legislative reforms across Australia, employers are now required to treat psychological health with the same seriousness as physical safety. This includes psychological harms such as aggression, workplace fatigue, bullying and harassment.From 1 December 2025, Victoria introduced new psychological health and safety regulations, bringing the state into line with other jurisdictions and reinforcing employers’ duty to proactively identify, assess and manage psychological risks, not simply respond once harm has occurred.Meeting these obligations ultimately comes down to prioritising the wellbeing of your people. A healthy workplace culture is not only compliant, it is more productive, sustainable and it's not optional.At Creative Skills Retail Council, our suite of professional development courses and resources is included for all members, supporting businesses with the skills needed to foster healthy workplaces that support both people and performance - <a href="https://mycsrc.org/">https://mycsrc.org/</a>Read the release applicable to Victoria - <a data-mce-href="https://www.premier.vic.gov.au/new-regulations-start-today-protect-workers" href="https://www.premier.vic.gov.au/new-regulations-start-today-protect-workers" target="_blank" rel="noopener">HERE</a>Further information can be found via Safe Work Australia and WorkSafe Victoria and state and territory regulators.

News

Federal Budget: Effects on Hair, Beauty, and Makeup Busin...

Supporting National Apprenticeship Week Australia: 9-15 F...

Fair Work Resources to Support You Over the Festive Break

WorldSkills 2026: Celebrating Australia’s Rising Stars in...

CSRC Snapshot

Psychological Safety Matters Amid Significant Legislative...