INDUSTRIAL RELATIONS – AUSTRALIA

ACTU wage bid ‘damaging’, puts recovery at risk

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Original article by David Marin-Guzman
The Australian Financial Review – Page: 3 : 6-May-20

The ACTU has called for the minimum wage to be increased by four per cent in 2020, or $30 a week. Industrial Relations Minister Christian Porter has warned that the ACTU’s wage claim could jeopardise Australia’s recovery from the coronavirus pandemic. The Australian Chamber of Commerce & Industry contends that it would increase the financial strain on businesses that are already battling during the crisis.

CORPORATES
ACTU, AUSTRALIA. DEPT OF EMPLOYMENT, SKILLS, SMALL AND FAMILY BUSINESS, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY

Business Council backs Gary Banks on critical IR reform

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Original article by David Marin-Guzman
The Australian Financial Review – Page: 2 : 5-May-20

There has been a mixed response to a call by former Productivity Commission chairman Gary Banks to make industrial relations reform a priority in the wake of the pandemic. Business Council of Australia CEO Jennifer Westacott supports his proposal to revisit the recommendations of the PC’s 2014 inquiry into the IR system, particularly those regarding the Fair Work Act’s ‘better-off-overall test’. However, University of Melbourne labour economist Jeff Borland has questioned the benefits of major IR changes, while the ACTU also opposes any such reforms.

CORPORATES
BUSINESS COUNCIL OF AUSTRALIA, AUSTRALIA. PRODUCTIVITY COMMISSION, UNIVERSITY OF MELBOURNE, ACTU

Porter seeks Hawke-style accord with unions to spark a recovery

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Original article by Rosie Lewis, Greg Brown, Olivia Caisley
The Australian – Page: 4 : 23-Apr-20

Council of Small Business Organisations CEO Peter Strong has called for the industrial awards system to be abolished, while Australian Industry Group CEO Innes Willox says awards should be retained but simplified. Industrial Relations Minister Christian Porter has signalled that workplace reform will be on the federal government’s agenda. He hopes to build on recent good relations with ACTU secretary Sally McManus to have constructive discussions with union leaders regarding workplace reforms aimed at creating jobs and boosting wages when the coronavirus abates.

CORPORATES
AUSTRALIA. DEPT OF EMPLOYMENT, SKILLS, SMALL AND FAMILY BUSINESS, COUNCIL OF SMALL BUSINESS ORGANISATIONS OF AUSTRALIA LIMITED, THE AUSTRALIAN INDUSTRY GROUP, ACTU

Tax reform cure for virus fever

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Original article by Patrick Commins
The Australian – Page: 1 & 6 : 22-Apr-20

Reserve Bank of Australia governor Philip Lowe has warned that the nation’s GDP growth will fall by around six per cent in 2020 due to the coronavirus pandemic. However, he says the economy should begin to recover in September, with GDP growth of 6-7 per cent expected in 2021. Lowe also says the unemployment rate could peak at 10 per cent in coming months, and it is likely to remain above six per cent for several years. Lowe adds that total hours worked in Australia are forecast to fall by 20 per cent in the first half of 2020. Lowe has also used a speech in Sydney to argue that industrial relations and tax reform should be considered in the wake of the pandemic.

CORPORATES
RESERVE BANK OF AUSTRALIA

Extra leave bid for frontline staff

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Original article by Ewin Hannan
The Australian – Page: 6 : 9-Apr-20

The ACTU will push for eight industry awards to be amended to provide workers in the health, aged care, pharmacy and disability sectors with paid pandemic leave. The peak union body contends that such workers should also be entitled to paid leave more than once, as they are generally at greater risk of both being exposed to the coronavirus and having to self-isolate for 14 days. The Fair Work Commission has ruled that workers who are covered by some awards are entitled to two weeks of unpaid pandemic leave. It will consider the ACTU’s proposal to provide frontline workers with paid pandemic leave.

CORPORATES
ACTU, AUSTRALIA. FAIR WORK COMMISSION

Covid casuals: money for jam

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Original article by Rosie Lewis, Geoff Chambers, Joe Kelly
The Australian – Page: 1 & 6 : 7-Apr-20

The federal government has reached a compromise with the ACTU regarding the JobKeeper wage subsidy scheme. Industrial Relations Minister Christian Porter negotiated a deal with ACTU ­secretary Sally McManus to address the union movement’s concerns about draft legislation to amend the Fair Work Act. Labor still favours implementing the scheme via the Fair Work Commission, but it intends to vote for the legislation when parliament reconvenes for a one-off sitting on 7 April. Meanwhile, new data suggests that some casual workers may be paid significantly more under the JobKeeper scheme than they earned prior to the pandemic.

CORPORATES
AUSTRALIA. DEPT OF EMPLOYMENT, SKILLS, SMALL AND FAMILY BUSINESS, ACTU, AUSTRALIAN LABOR PARTY

Bosses, union unite to save jobs

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Original article by Ewin Hannan
The Australian – Page: 4 : 25-Mar-20

The Fair Work Commission has approved temporary changes to the industry award for hospitality workers in response to the coronavirus pandemic. The agreement between the United Workers Union and the Australian Hotels Association will allow employers to reduce workers’ hours to 60 per cent of full-time or regular part-time hours; employees can also be directed to take leave at half pay with just 24 hours’ notice. The changes to the Hospitality Award will initially be in place until 30 June. Employers and unions will seek similar changes to awards covering clerks and restaurant workers.

CORPORATES
AUSTRALIA. FAIR WORK COMMISSION, UNITED WORKERS UNION, AUSTRALIAN HOTELS ASSOCIATION

Bosses call for wages freeze, or jobs will go

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Original article by Ewin Hannan
The Australian – Page: 5 : 16-Mar-20

Master Grocers Australia has urged the Fair Work Commission to freeze award pay rates in the retail sector for 12 months in response to the coronavirus pandemic. The MGA warns in its submission to the FWC’s annual review of the minimum wage that the impact of the coronavirus is likely to be felt for at least a year, so it is not an appropriate time to be increasing award wages. The MGA also contends that a small increase in the minimum wage may be justified, but not the three per cent rise in 2019. Most workers employed by MGA members are paid minimum award rates.

CORPORATES
AUSTRALIA. FAIR WORK COMMISSION, MASTER GROCERS’ AUSTRALIA PTY LTD

Qantas worker underpay hit $7.1m

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Original article by Ewin Hannan
The Weekend Australian – Page: 10 : 14-Mar-20

National carrier Qantas has become embroiled in the wage underpayments scandal, after admitting that it had been in breach of the Fair Work Act for several years. Qantas has agreed to an enforceable undertaking with the Fair Work Ombudsman following revelations that 638 employees were underpaid a total of $7.1m over an eight-year period. The scandal will cost Qantas around $9m when back-pay and interest is taken into account. It will also made a contrition payment of $390,000, which the Australian Services Union says is inadequate.

CORPORATES
QANTAS AIRWAYS LIMITED – ASX QAN, AUSTRALIA. FAIR WORK COMMISSION, AUSTRALIAN SERVICES UNION

Politics is killing productivity, says McKibbin

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Original article by David Marin-Guzman
The Australian Financial Review – Page: 8 : 12-Mar-20

Professor Warwick McKibbin of the Australian National University warns that productivity reform will not be achieved without support from both sides of politics. The former Reserve Bank board member has told a business summit that the political system is the biggest hurdle to achieving such reform. Meanwhile, Business Council of Australia CEO Jennifer Westacott has called for an overhaul of the enterprise bargaining regime, arguing that it is no longer working.

CORPORATES
AUSTRALIAN NATIONAL UNIVERSITY, RESERVE BANK OF AUSTRALIA, BUSINESS COUNCIL OF AUSTRALIA