While fly-in, fly-out (FIFO) workforces make economic sense (given the temporary nature of much of the resources sector drilling and construction activity and due to the impact of fringe benefits tax) there are possibly some adverse social impacts requiring management. Unfortunately, man’s best friend may be suffering as a result of the big increase in FIFO labour, as reported in the Sunshine Coast Daily (Mine boom the pits for dogs):

SUNSHINE Coast dogs are being abandoned as their owners head to the mines to cash in on the resources boom.

Sippy Downs Animal Refuge has launched the Needy November Nine campaign in an attempt to find the pooches a new “forever” home.

Volunteer carer Rosalie Symons said owners were struggling to find a pet-friendly home in the tight rental market in the Bowen Basin.

Others struggled to find a carer on the Coast to match with their fly-in, fly-out rosters.

Last month, in a submission to the Federal Parliamentary Inquiry into FIFO, the Queensland Government called for a review of fringe benefits tax:

Fringe benefits tax arrangements currently benefit companies providing temporary accommodation in special purpose on-site or off-site workers villages in contrast to providing or subsidising permanent housing for workers in towns and centres near mining operations. The Commonwealth could consider tax arrangements that encourage the provision of housing in resource towns through better tax policy neutrality.

While I can see some merit in this argument, given that the workers would be unlikely to live in the towns if it weren’t for the job, there is no doubt workers are being provided a benefit that should be taxed like income. Hence, on balance, I don’t think a fringe benefits tax exemption would be a good idea.