The federal government has tabled more than 80 amendments to a contentious workplace relations Bill with some changes catching business groups by surprise.
The federal government has tabled more than 80 amendments to a contentious workplace relations Bill, with some changes catching business groups by surprise.
The Australian Resources & Energy Employer Association (AREEA), which went out on a limb last week to support changes designed to exempt service contractors, joined other groups in expressing concern about some of the amendments.
Workplace Relations Minister Tony Burke tabled the changes to the Fair Work Amendment (Closing Loopholes) Bill 2023.
They included late changes negotiated with Greens leader and industrial relations spokesman Adam Bandt, who said his party had won “some much-needed changes that will lift wages and make it easier for workers to fight for the pay and conditions they deserve”.
“The Greens’ amendments help fix problems that have seen workers’ superannuation stolen, left teachers unprotected from being pushed into casual work, and given big employers the upper hand in enterprise bargaining negotiations,” Mr Bandt said.
AREEA chief executive Steve Knott said the amendments relating to service contractors delivered on the government’s promise.
“AREEA’s multifactor test provides more certainty than a definition of labour hire and gives service contractors five clear criteria to rely upon to demonstrate their service is not labour hire,” he said.
“Under these changes, if an application is made against them, service contractors will not have to litigate out of an order.
“Rather, they will simply have to file a submission to the Fair Work Commission to assist it in informing its view, as per other functions of the IR system.”
Mr Knott said amendments tabled today revealed other concerning developments in relation to the labour hire provisions.
This includes an apparent expansion of the FWC’s jurisdiction to consider joint venture and “common enterprises”, as well as to effectively make “multi-employer” orders capturing a number of employers supplying labour to a host business via one application.
“The service contractor exemption will apply equally to these new processes, but AREEA’s firm position is applications should be considered carefully by the FWC on a case-by-case or employer-by-employer basis,” Mr Knott said.
“Service contractors should not be roped into proceedings that may involve traditional labour hire companies or attempts to cover all employers operating at one site under a common order.”
Master Builders Australia CEO Denita Wawn expressed similar concerns.
“Alarmingly, the minister has tabled amendments to give the FWC even more powers to rope in other businesses to the same Regulated Labour Hire Order,” she said.
“These amendments add further complexity and administrative burdens for businesses.
“Unless businesses have the time and financial means of appearing before the Commission to prove subcontractors should not be captured, they will be by default.”
The Business Council said amendments will still mean more costs on businesses and consumers, increased complexity across the economy and uncertainty on pay and hours for 2.7 million casual workers.
Chief executive Bran Black said the government’s changes have made a bad Bill worse by seemingly adding new union demands while not fixing measures that cost Australian families.
“The changes to the definition of a casual employee are nothing more than tinkering at the edges and they do nothing to fix the complex and confusing nature of the definition for workers or their employers,” he said.
Mr Black said the removal of the new misrepresentation provision was a step in the right direction, however, it did not fix the core issues with casual employment contained in the Bill.
Legal advice provided to the Business Council confirmed that many casual jobs now available will likely need to become permanent if the Bill is passed.
Mr Black backed calls by nine members of the crossbench in the House of Representatives, asking government not to rush the legalisation through the lower house this week.
“This legislation is some of the most complex workplace relations change we’ve seen in many years and it deserves proper scrutiny and debate and we echo the crossbench calls not to rush this through," Mr Black said.
The ACCI said most of the amendments were a complete surprise.
“The House of Representatives will have no time to properly consider the changes before the government rams the bill through,” ACCI chief executive Andrew McKellar said.
“The government has failed to fix the fundamental issues in the Bill.
“None of the government's amendments deal with increased powers for union officials, road transport, the complexity of the labour hire changes or the extraordinary scope of the employee-like changes which go well beyond laws currently regulating gig companies.”
He said the government should delay further consideration of this Bill in the House of Representatives until the Senate committee had reported in February.
“Furthermore, reports that the government has agreed to support three contentious amendments proposed by the Greens necessitates the need for further consultation and consideration," Mr McKellar said.
“Business continues to support the proposal of senators Jacqui Lambie and David Pocock to split the Bill, so that the non-contentious changes can be passed before Christmas.”
