Penalty rate cuts will not save jobs: Citi

Original article by Anna Patty
The Age – Page: 23 : 1-Dec-16

Per Capita’s Tim Lyons says a report from Citigroup shows that retailers would not hire additional staff if penalty rates are reduced. The report concludes that retailers are likely to pass the benefits of lower penalty rates on to their shareholders in the form of higher returns or by cutting prices for consumers. It also notes that the enterprise agreements of many listed retailers have expired, and suggests that they are not renewing the agreements due to expectations of a reduction in penalty rates.

CORPORATES
CITIGROUP PTY LTD, PER CAPITA AUSTRALIA LIMITED, ACTU, MYER HOLDINGS LIMITED – ASX MYR, JB HI-FI LIMITED – ASX JBH, WESFARMERS LIMITED – ASX WES, BUNNINGS GROUP LIMITED, BIG W DISCOUNT STORES, COLES SUPERMARKETS AUSTRALIA PTY LTD, JUST GROUP LIMITED, KMART AUSTRALIA LIMITED, TARGET AUSTRALIA PTY LTD, NATIONAL RETAIL ASSOCIATION LIMITED, AUSTRALIA. PRODUCTIVITY COMMISSION, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, THE AUSTRALIAN INDUSTRY GROUP

Penalty rate cuts will not save jobs: Citi

Original article by Anna Patty
The Age – Page: 23 : 1-Dec-16

Per Capita’s Tim Lyons says a report from Citigroup shows that retailers would not hire additional staff if penalty rates are reduced. The report concludes that retailers are likely to pass the benefits of lower penalty rates on to their shareholders in the form of higher returns or by cutting prices for consumers. It also notes that the enterprise agreements of many listed retailers have expired, and suggests that they are not renewing the agreements due to expectations of a reduction in penalty rates.

CORPORATES
CITIGROUP PTY LTD, PER CAPITA AUSTRALIA LIMITED, ACTU, MYER HOLDINGS LIMITED – ASX MYR, JB HI-FI LIMITED – ASX JBH, WESFARMERS LIMITED – ASX WES, BUNNINGS GROUP LIMITED, BIG W DISCOUNT STORES, COLES SUPERMARKETS AUSTRALIA PTY LTD, JUST GROUP LIMITED, KMART AUSTRALIA LIMITED, TARGET AUSTRALIA PTY LTD, NATIONAL RETAIL ASSOCIATION LIMITED, AUSTRALIA. PRODUCTIVITY COMMISSION, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, THE AUSTRALIAN INDUSTRY GROUP

Clubs face union threat on penalties

Original article by Joe Kelly
The Australian – Page: 1 & 6 : 24-Nov-16

The Queensland branch of United Voice has sent letters to club managers warning them of the possible consequences of reducing Sunday penalty rates. The union asks clubs to specify their position on Clubs Australia’s application for a reduction in Sunday wages, lodged with the Fair Work Commission. Clubs Queensland CEO Doug Flockhart and club managers have accused the union of using bullying tactics.

CORPORATES
AUSTRALIA. FAIR WORK COMMISSION, CLUBS QUEENSLAND, CLUBS AUSTRALIA AND NEW ZEALAND INCORPORATED, UNITED VOICE, REDLANDS SPORTING CLUB, MORETON BAY BOAT CLUB, SOUTHPORT SHARKS CLUB

Fair Work member brands Coles penalty rates ruling ‘illogical’

Original article by David Marin-Guzman
The Australian Financial Review – Page: 3 : 14-Oct-16

The decision of the Fair Work Commission’s full bench to uphold the challenge to a Coles workplace agreement by a part-time worker has wider consequences. The Coles decision prompted Woolworths, Bunnings, Target, Domino’s Pizza and other companies to suspend enterprise bargaining talks for fear of their agreements being also challenged. FWC deputy president Peter Sams criticised some aspects of the Coles decision.

CORPORATES
SUPERMARKET AND FOOD STORE SALES, SHOP, DISTRIBUTIVE AND ALLIED EMPLOYEES’ ASSOCIATION, WOOLWORTHS LIMITED – ASX WOW, AUSTRALIA. FAIR WORK COMMISSION, DOMINO’S PIZZA ENTERPRISES LIMITED – ASX DMP, BUNNINGS GROUP LIMITED, SHOP, DISTRIBUTIVE AND ALLIED EMPLOYEES’ ASSOCIATION, CORRS CHAMBERS WESTGARTH, TARGET AUSTRALIA PTY LTD

Coles deal forces union rates retreat

Original article by Ewin Hannan
The Australian – Page: 1 & 6 : 30-Aug-16

The Shop, Distributive & Allied Employees’ Association has reviewed nearly 100 enterprise agreements in response to the Fair Work Commission’s decision to strike down its pay deal with Coles. The SDA’s national secretary, Gerard Dwyer, has warned that the ruling means that the union will have to cease the long-standing practice of trading off penalty rates in return for gaining higher base rates of pay for its members. The FWC ruled that the Coles enterprise agreement breached the "no disadvantage" test.

CORPORATES
SHOP, DISTRIBUTIVE AND ALLIED EMPLOYEES’ ASSOCIATION, COLES SUPERMARKETS AUSTRALIA PTY LTD, AUSTRALIA. FAIR WORK COMMISSION

Turnbull throws down the gauntlet on IR reform

Original article by Joe Kelly
The Australian – Page: 1 & 2 : 26-Jul-16

The Fair Work Commission is tipped to announce the outcome of its review of weekend penalty rates in sectors such as hospitality and retail in September 2016. Prime Minister Malcolm Turnbull has indicated that the Federal Government will abide by the FWC’s decision and will not intervene, despite being urged by Opposition Leader Bill Shorten to make a joint submission to the review. Turnbull in turn has called on Shorten to support proposed legislation to outlaw the payment of "corrupting benefits" by employers to unions in return for surrendering employee entitlements such as penalty rates.

CORPORATES
AUSTRALIA. FAIR WORK COMMISSION, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN LABOR PARTY, COLES SUPERMARKETS AUSTRALIA PTY LTD, SHOP, DISTRIBUTIVE AND ALLIED EMPLOYEES’ ASSOCIATION, AUSTRALIA. ROYAL COMMISSION INTO TRADE UNION GOVERNANCE AND CORRUPTION, VICTORIA. COUNTRY FIRE AUTHORITY, AUSTRALIAN WORKERS’ UNION-FEDERATION OF INDUSTRIAL, MANUFACTURING AND ENGINEERING EMPLOYEES, CLEANEVENT PTY LTD

United Voice penalty rates push key to marginal swing

Original article by Sarah Martin
The Australian – Page: 8 : 7-Jul-16

David McElrea, the assistant secretary of United Voice, says the union movement’s campaign on the issue of penalty rates in 10 marginal was a significant contributor to the large swing to the Australian Labor Party in the federal election. The union-backed campaign included text messages, robocalling and digital advertising, and played on fears that the Coalition would reduce weekend penalty rates in the retail and hospitality sectors if it is re-elected.

CORPORATES
UNITED VOICE, LIBERAL PARTY OF AUSTRALIA, NATIONAL PARTY OF AUSTRALIA, REACHTEL PTY LTD

Record fine for 7-Eleven exploitation

Original article by Anna Patty
The Age – Page: 2 : 22-Jun-16

The Federal Circuit Court has ordered a 7-Eleven franchisee to pay $A408,348 in penalties for underpaying staff. The court has found that the Brisbane store’s owner had underpaid 12 employees more than $A82,000 and had falsified the store’s payroll records. Judge Michael Jarrett said the franchisee had displayed "contemptuous disregard" for workplace laws. He was ordered to pay the outstanding wages, although the employees are still owed about $A35,000.

CORPORATES
7-ELEVEN STORES PTY LTD, FEDERAL CIRCUIT COURT OF AUSTRALIA, AUSTRALIA. FAIR WORK COMMISSION, AUSTRALIA. FAIR WORK OMBUDSMAN

Shoppies wedge Shorten on penalties

Original article by Elizabeth Colman, Jared Owens
The Australian – Page: 8 : 3-Jun-16

The Shop, Distributive & Allied Employees’ Association has attracted criticism after its enterprise agreement with Coles was struck down by the Fair Work Commission. Council of Small Business of Australia CEO Peter Strong has accused the union of hypocrisy for using its website to continue campaigning against lower penalty rates. The enterprise agreement excluded penalty rates for some workers. A spokesman for Opposition Leader Bill Shorten says the FWC should not have approved the agreement in the first place.

CORPORATES
SHOP, DISTRIBUTIVE AND ALLIED EMPLOYEES’ ASSOCIATION, COLES SUPERMARKETS AUSTRALIA PTY LTD, AUSTRALIA. FAIR WORK COMMISSION, COUNCIL OF SMALL BUSINESS ORGANISATIONS OF AUSTRALIA LIMITED, AUSTRALIAN LABOR PARTY, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, 7-ELEVEN STORES PTY LTD, ACTU, AUSTRALIA. PRODUCTIVITY COMMISSION, NATIONAL TERTIARY EDUCATION INDUSTRY UNION, AUSTRALIA. DEPT OF EMPLOYMENT

Coles-union deal paid below legal safety net

Original article by Elizabeth Colman
The Australian – Page: 2 : 1-Jun-16

The Fair Work Commission has ruled against an enterprise bargaining agreement between grocery giant Coles and the Shop, Distributive & Allied Employees’ Association. The FWC found that the agreement does not comply with the Fair Work Act’s requirement that employees must be better off overall, as it provides for an hourly rate of pay that is above the award rate but includes lower penalty rates. The FWC had approved the deal in 2015, but a part-time employee challenged the validity of the agreement.

CORPORATES
COLES SUPERMARKETS AUSTRALIA PTY LTD, SHOP, DISTRIBUTIVE AND ALLIED EMPLOYEES’ ASSOCIATION, AUSTRALIA. FAIR WORK COMMISSION