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Labor Prepares To Legislate A Living Wage (Read 3313 times)
whiteknight
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Labor Prepares To Legislate A Living Wage
Mar 13th, 2019 at 6:30pm
 
Labor prepares to legislate a 'living wage' by changing the Fair Work Act   Smiley

March 12, 2019
Sydney Morning Herald
 

Opposition Leader Bill Shorten is preparing to legislate a "living wage" if he becomes prime minister, in a move that would boost minimum pay packets and embolden unions but alarm corporate Australia just two months out from the federal election.

Dismissing business leaders opposed to a rise as "fat cats", the Labor leader on Tuesday foreshadowed a change in the law to encourage the independent Fair Work Commission to set a higher minimum wage.   Smiley

Business threatened job losses within hours of Mr Shorten's comments, which have placed industrial relations firmly at the centre of the impending election campaign.


“It could see one person’s pay rise cost another person their job," Australian Chamber of Commerce and Industry chief executive James Pearson claimed.


“For more than a century, minimum wages have been set by an independent body - not the government, nor Parliament."

Mr Shorten is under pressure to increase the living wage amid a renewed push by the Australian Council of Trade Unions.

In its submission to the commission's annual minimum wage review to be lodged this week, the union peak body will demand an initial increase of 6 per cent from $719.20 to $762.20 - or $43 a week - for the 2.23 million Australian workers who depend on the minimum wage.

Under the plan, the rate would increase by 10.7 per cent over two years, bringing the minimum wage in line with the ACTU's "living wage" target of 60 per cent of the national median wage, or $852 a week.

The ACTU will kick off its industrial relations campaign with a rally in Attorney-General Christian Porter's marginal seat of Pearce in Western Australia.

"No one in Australia should be forced to work below the poverty line," ACTU secretary Sally McManus said.

Speaking in Canberra on Tuesday, Mr Shorten noted governments could make a submission to encourage the independent Fair Work Commission to lift wages, but for the first time said "another tool or mechanism which is available is to change the legislation".

"We’ll have more to say on this in coming weeks," he said.

University of Adelaide employment law expert Andrew Stewart said Labor could amend the Fair Work Act to require the commission to set a "living wage" but predicted Mr Shorten would likely take the approach of only "encouraging" it to do so.

He said Labor was unlikely to remove the requirement for the commission to also consider "the performance and competitiveness of the national economy, including productivity" when deciding by how much to lift pay packets.

Professor Stewart said it "would not be feasible" to reach the ACTU target of 60 per cent of the median full-time wage within a year, saying a phased introduction of this target would likely need to be implemented over more than two years.

Data from the Australian Council of Social Services shows the share of wage-earning Australians in poverty is growing, a statistic seized upon by Mr Shorten to claim the status quo was not working.

"It simply isn't fair, nor sustainable for economic confidence in this country that an adult could work full-time and be earning $18.93 an hour at the minimum wage before tax," he said.

"We trust the Fair Work Commission. But periodically, they do get it wrong."


A legislative change to the Fair Work Act would dwarf any of the other six wage proposals floated by Mr Shorten in an election he has labelled a "referendum on wages".

Mr Shorten has pledged to restore Sunday penalty rates, target sham contracting, close down dodgy visas, crackdown on labour hire operators, and close the gender pay gap.

He is yet to unveil a detailed policy on industry wide bargaining, which Labor is expected to roll out in low-paid industries.

Research published by the Reserve Bank of Australia last year found that there was "no evidence that small, incremental increases in award wages" resulted in higher unemployment but noted that at some point there would be an impact.

The Fair Work Commission increased the minimum wage by 3.5 per cent in 2018, and 3.3 per cent in 2017 – well above wage growth and inflation across the economy at around 2.1 per cent, but from a lower base.

Treasurer Josh Frydenberg said wages were driven by boosting productivity and more competition for labour, not by increasing taxes or intervening in the market.
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whiteknight
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Re: Labor Prepares To Legislate A Living Wage
Reply #1 - Mar 13th, 2019 at 6:36pm
 
Well good on you Mr Shorten.  People need pay rises, the minimum wage is too low.  They need a good increase so they can have a living wage.   Smiley 
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lee
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Re: Labor Prepares To Legislate A Living Wage
Reply #2 - Mar 13th, 2019 at 6:41pm
 
whiteknight wrote on Mar 13th, 2019 at 6:30pm:
Labor prepares to legislate a 'living wage' by changing the Fair Work Act   


So the independent FWC will no longer be truly independent? Having to abide by what Parliament decides.
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philperth2010
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Re: Labor Prepares To Legislate A Living Wage
Reply #3 - Mar 13th, 2019 at 6:58pm
 
Nobody knows how or even if Labor will change legislation yet so everything is speculation....One thing is certain that the Coalition will do everything within their power to keep wages low and do nothing to address worker exploitation....And then there is this???

Quote:
Business threatened job losses within hours of Mr Shorten's comments


Without even knowing what Labor will propose business has already threatened workers with losing their jobs....The deck has been stacked against workers ever since the Coalition stacked the fair work commission with their business mates....Threatening job losses at the first hint of workers gaining a pay rise shows there is already a lack of independence from these ass holes!!!

Roll Eyes Roll Eyes Roll Eyes
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whiteknight
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Re: Labor Prepares To Legislate A Living Wage
Reply #4 - Mar 13th, 2019 at 7:12pm
 
This is a why we need a Shorten labor government.  Get rid of the coalition, and their trickle down rubbish.   Sad
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lee
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Re: Labor Prepares To Legislate A Living Wage
Reply #5 - Mar 13th, 2019 at 7:14pm
 
philperth2010 wrote on Mar 13th, 2019 at 6:58pm:
The deck has been stacked against workers ever since the Coalition stacked the fair work commission with their business mates..


And yet it was the Labor appointees who killed penalty rates. Roll Eyes
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stunspore
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Re: Labor Prepares To Legislate A Living Wage
Reply #6 - Mar 13th, 2019 at 7:18pm
 
lee wrote on Mar 13th, 2019 at 7:14pm:
philperth2010 wrote on Mar 13th, 2019 at 6:58pm:
The deck has been stacked against workers ever since the Coalition stacked the fair work commission with their business mates..


And yet it was the Labor appointees who killed penalty rates. Roll Eyes


That's what some people keep saying.  But i also heard that by the time FWC said reduce penalty rates, some people were replaced with Libs. 

Also, independent bodies makes mistakes.  ALP trying to fix them.
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whiteknight
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Re: Labor Prepares To Legislate A Living Wage
Reply #7 - Mar 13th, 2019 at 7:19pm
 
A Shorten labor government will restore, and protect the weekend and public holiday penalty rates.  Within the first 100 days.  Smiley
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philperth2010
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Re: Labor Prepares To Legislate A Living Wage
Reply #8 - Mar 13th, 2019 at 7:49pm
 
Stacked with Coalition cronies who are costing us a motza....Business was not happy they had to deal with public servants....Let the peasants pay for the right too keep their wages low!!!

Edited....
Quote:
The president, a former assistant secretary with the Australian Council of Trade Unions, had previously informed the government that only one new commissioner was necessary to replace departing commissioner Anna Cribb.

But Industrial Relations Minister Kelly O'Dwyer went on to appoint an additional six new deputy presidents (Paid $461,850 a year each) a position usually assigned to full bench cases.

The appointments mean most members of the Fair Work Commission are now Coalition appointments.


Angry Angry Angry

https://www.afr.com/news/policy/industrial-relations/fair-work-president-sidelin...
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lee
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Re: Labor Prepares To Legislate A Living Wage
Reply #9 - Mar 13th, 2019 at 8:05pm
 
stunspore wrote on Mar 13th, 2019 at 7:18pm:
That's what some people keep saying.  But i also heard that by the time FWC said reduce penalty rates, some people were replaced with Libs. 


You only have to look at the determination. All of those on the penalty rates review were Labor appointees, it was not the Full Board. It doesn't matter that some people have been replaced by Liberals, those sitting on that board were Labor appointments.

stunspore wrote on Mar 13th, 2019 at 7:18pm:
Also, independent bodies makes mistakes.  ALP trying to fix them.


By trying to change the legislation? That reduces their independence; does it not?
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lee
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Re: Labor Prepares To Legislate A Living Wage
Reply #10 - Mar 13th, 2019 at 8:08pm
 
philperth2010 wrote on Mar 13th, 2019 at 7:49pm:
The appointments mean most members of the Fair Work Commission are now Coalition appointments.


And? Positions change, they are generally appointed for a fixed period. You want them to be there still in their dotage?

And they tend to change in between changes of government.
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Re: Labor Prepares To Legislate A Living Wage
Reply #11 - Mar 13th, 2019 at 8:10pm
 
lee wrote on Mar 13th, 2019 at 7:14pm:
philperth2010 wrote on Mar 13th, 2019 at 6:58pm:
The deck has been stacked against workers ever since the Coalition stacked the fair work commission with their business mates..


And yet it was the Labor appointees who killed penalty rates. Roll Eyes


Fair work was broken from the start, they got it wrong time to fix it.
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lee
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Re: Labor Prepares To Legislate A Living Wage
Reply #12 - Mar 13th, 2019 at 8:13pm
 
Dnarever wrote on Mar 13th, 2019 at 8:10pm:
Fair work was broken from the start, they got it wrong time to fix it.


Well it was a Labor child.
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Re: Labor Prepares To Legislate A Living Wage
Reply #13 - Mar 13th, 2019 at 8:14pm
 
lee wrote on Mar 13th, 2019 at 6:41pm:
whiteknight wrote on Mar 13th, 2019 at 6:30pm:
Labor prepares to legislate a 'living wage' by changing the Fair Work Act   


So the independent FWC will no longer be truly independent? Having to abide by what Parliament decides.


They always worked under guidelines set in our the act, when something is flawed and failing it is time to fix the problems.
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Dnarever
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Re: Labor Prepares To Legislate A Living Wage
Reply #14 - Mar 13th, 2019 at 8:14pm
 
lee wrote on Mar 13th, 2019 at 8:13pm:
Dnarever wrote on Mar 13th, 2019 at 8:10pm:
Fair work was broken from the start, they got it wrong time to fix it.


Well it was a Labor child.


Who cares just fix it.
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