His Australian Financial Review Article

Australian Financial Review, Australia 19 Mar 2021, by Phillip Coorey And David Marin-Guzman

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̈ Industrial relations bill gutted ̈ Centre Alliance splits ̈ PM keeps wage theft in reserve ̈ Unemployment down to 5.8pc Single senator sinks jobs reform Phillip Coorey and David Marin-Guzman awarded back pay equivalent to all Almost a year of negotiation and hard months of discussions last year between unions, business and the gov- the entitlements of a permanent work has amounted to little with the worker – but was also allowed to government’s industrial relations omni- ernment, was opposed from the outset by Labor and the Greens. keep the 25 per cent casual loading bus bill gutted in the Senate and a cloud he had already paid. cast over the potential for future reform. Crossbenchers Rex Patrick and Jacqui Lambie declined to fully engage, This precedent created a potential Responding to the heavy defeat, $39 billion liability for employers. Prime Minister Scott Morrison left leaving the government dependent on the support of Senator Stirling Griff Business hopes for reforms now open the possibility of another attempt turn to the Fair Work Commission, at IR reform after just one of the five and One Nation. While agreement was struck with which is considering more flexibility elements in the bill survived – that deal- in hospitality and retail awards, ing with casuals. One Nation on the whole bill in return for amendments to the casual provi- including ‘‘all in’’ rates, streamlined The other four relating to wage theft, classifications and exemptions for enterprise agreements, award simpli- sions, Senator Griff would only pass the measures relating to casuals and those high earners. fication and greenfields agreements The measures include an ACTU- were either withdrawn or defeated. that cracked down on wage theft and underpayment. COSBOA proposal similar to the bill’s The Australian Chamber of Com- dumped provision that allowed part- merce and Industry, the Australian Senator Griff’s vote sparked a rift in his two-person Centre Alliance party timers to work extra hours without Industry Group, the Master Builders overtime penalties, but with more Association, the Business Council of with lower house colleague Rebekha Sharkie accusing him of not following safeguards. Australia and the Australian Mines Australian Industry Group chief and Metals Association issued a joint the party position, saying ‘‘where this landed is totally unacceptable’’. executive Innes Willox said it was statement praising the ‘‘much-needed vital that the government does not certainty’’ of the casual reforms. She said she and Senator Griff ‘‘had agreed that we would only support two give up on IR reform. However, they urged the government ‘‘To do so would send a terrible ‘‘not to abandon the rest of the bill and parts of the omnibus bill and only if further efforts need to be made over the both the business community and the message to small and large busi- Continued p4 months ahead to secure support’’. nesses,’’ he said. As the bill was being pulled apart by The rest of the legislation failed the Senate yesterday, the government From page 1 because three crossbenchers showed itself withdrew one key element – ‘‘capitulation to union threats and cracking down on wage theft and Single senator intimidation trumped the interests underpayment – with the aim of using of hundreds of thousands of Austra- it as leverage to secure support should sinks jobs reform lians’’. it decide to try again for further change. BCA chief executive Jennifer ‘‘I will send them other things to Westacott said the Senate’s failure to unions were in agreement. Those approve. I will send them other job- pass reforms for enterprise agree- parts related to the definition of cas- making initiatives they can support,’’ ments was a ‘‘betrayal of Australian ual workers and harsher penalties Mr Morrison said on a day the unem- workers’’. for wage theft.’’ ployment rate fell to a better-than- ‘‘By failing to make these import- Under the changes achieved, there expected 5.8 per cent. ant changes to the workplace rela- will be a new definition of a casual ‘‘If they don’t want to support these tions system, particularly the EBA and employers must offer them a job-making initiatives, then that is on system, Australia has been con- permanent job after 12 months, or them. If they don’t want to create jobs demned to the slow lane and Austra- explain why it would not be appro- as much as the government does, then lian workers condemned to lower priate – with recourse to the Federal they need to answer to that.’’ wages,’’ she said. Circuit Court’s small claims division The ACTU and Labor contended the ‘‘The reforms were very modest, for disputes. changes to casualisation would but they would have revitalised the Small businesses, defined as 15 or increase job insecurity and they said EBA system, which now faces a slow fewer employees, will be exempt the government had given the green and painful death.’’ from having to offer conversion after She said new agreements had 12 months. Instead, the employee can fallen 63 per cent since 2008, which light to wage theft by withdrawing the request it. was ‘‘a disaster’’ as they paid workers wage theft provisions. As well, the bill overturned a pre- an average $100 a day more than the The bill, which was formulated after cedent set last year by the Federal award. Court when a labour hire worker was Australian Financial Review, Australia 19 Mar 2021, by Phillip Coorey And David Marin-Guzman

It is understood that Senator Griff’s colleague Ms Sharkie, who holds the Adelaide Hills seat of Mayo, was threatened by Labor and the unions with a campaign against her. One Nation was issued with similar threats. She said they had supported the ACTU and COSBOA deal on the casual ‘‘double dipping’’ provisions, announced earlier yesterday. ‘‘Those amendments did not pass and consequently Stirling voted in a manner that I do not support,’’ she said. ‘‘I simply cannot support any IR reform that is not supported by both COSBOA and the unions. I cannot support a package that doesn’t include wage theft provisions for workers.’’ ACTU secretary Sally McManus also accused Senator Griff of choos- ing to ‘‘sell out working people’’.

Crossbencher Stirling Griff, left, with Finance Minister Simon Birmingham in the Senate yesterday. PHOTO: ALEX ELLINGHAUSEN Australian Financial Review, Australia 19 Mar 2021, by Phillip Coorey And David Marin-Guzman

Senator Stirling Griff in debate over the industrial reform bill with Labor Senate leader Penny Wong, above, Social Services Minister Anne Ruston, below, and crossbenchers Jacqui Lambie and Rex Patrick. PHOTOS: ALEX ELLINGHAUSEN