Fair Work Act is working and unions will defend against employer pushback: ACTU chief

 

     The Secretary of the ACTU, Jeff Lawrence, has issued a warning to big business that if seeks to continue to undermine the Fair Work Act, unions will respond in kind.

     In a sternly worded speech to an Australian Industry Group conference, Lawrence has accused business and employer groups of running a covert campaign against the Act.

     He said unions had been willing to let the Act and award modernisation settle down and had accepted that it was a balancing act.

     But he told the conference that if business continued on its campaign to undermine the safety net – 150 applications have been made this year alone by employers and their representatives to vary modern awards - unions would have to reconsider this passive stance.

     “The Fair Work Act has been operating for 18 months now,” Lawrence said.

     “The pushback we’re seeing from some in business has no basis in reality. It’s ideology – plain and simple.

     “Most Australians don’t care about ideology.  What’s important is that the IR system works – for them and, as a secondary point, for the economy.

     “And if there are some that want to drag it back to ideological fighting lines – remember Australians have voted not once, but twice, to reject WorkChoices.  Australians want a balanced system that protects the rights of working Australians and their families, particularly vulnerable workers.”

     Lawrence said some elements of the business community had been making unfounded claims that the economy was close to stalling under the Fair Work Act.

     The reality was that business had prospered under the Fair Work Act, he told the Ai Group audience.

     Operating profits have increased by almost 30% over the past 12 months, and jobs growth is strong.

     Claims of strikes, lower productivity and wage break-outs were unfounded, he said.

     In the case of wages, these have barely kept pace with inflation, with private sector wages rising by just 2.7% in the past year.

     Wage growth has actually been moderate in the areas where we have heard the loudest outcry from employers: in mining it was 3.8% over the past year, while profits rose by 60%; in construction wages grew by 2.9% but profits by 55%; and in telecommunications, wages increased by 2% but profits by 10%.

     Lawrence said the recent moves by retailers to cut the minimum hours entitlement in the modern retail award was an example of employers spinning the facts to suit their real business agenda.

     He said minimum shifts were an important condition that makes sure people get a fair wage for coming to work and that it’s actually worth it. They ensure a workers’ wage isn’t subsumed in the costs and time of travelling to work, childcare and other expenses.

     It is only in Victoria that the minimum shift in the modern retail award increased from 2 hours to 3, while in Tasmania, there is some anger that workers have had their minimum shift decreased from 4 to 3 hours.

     “I’m looking forward to some honesty in the debate,” Lawrence said.

     “I want employers who cry poor that they can’t pay a student for 3 hours work – to admit that junior workers are paid as little as $8.89 an hour.  I doubt anyone here could eat lunch on that.  It barely covers the cost of a daily train ticket to and from work.

     “I don’t think the case is about making sure students have after school work.  What we are seeing is attempts to undermine the safety net, bit by bit. 

     “Remember, this is a safety net that not only students rely, but that adult workers, who may have families to care for, rely on too.

     “And the shocking thing is, when the evidence of these cases comes to Fair Work Australia, we find that many employers have already been undermining the safety net.”

     Lawrence said unions have been mature about the bedding down of the Fair Work Act and modern awards, and have always kept the big picture in mind.

     He said that while there had been a number of outcomes unions had disagreed with, they accept it had been a balancing act and neither employers nor unions had got everything they wanted.

     Unions had resisted litigating over the award system because they were committed to maintaining and enhancing a safety net that was strong and relevant now and in the future.

     “I suspect that there is still an underlying desire from some [employers] to gut awards – i.e. WorkChoices,” Lawrence said.

     “It’s really time to move on from award modernisation.  Unions are focused on bargaining to deliver strong outcomes for workers that also build productivity, participation, safety and skill development.

     “But when unions are being called on every day to defend matters that have already been settled – we will change our tack.  We will not sit by as employers and industry bodies keep pushing to lower the safety net.

     “If the award modernisation process is re-opened – have no doubt, we have a number of provisions that working people have lost, that we will prosecute.

     “If business wants to re-litigate Award modernisation endlessly – we will too.”

I suppose Jeff Lawrence will forgo his salary while the suckers are on strike for his ego?

Verge wrote on Oct 20^th, 2010 at 7:54pm:


Game, Set AND MATCH !