LA EIC - Disadvantaged Jobseekers Inquiry Submission no. 75 Received: 2 August 2019
Victorian Trades Hall Council and National Union of Workers Submission to the Inquiry into Sustainable Outcomes for Disadvantaged Job Seekers July 2019
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Contents
1. About VTHC and NUW ...... 3 2. Definition of Sustainable Work ...... 3 3. Job Seekers in Victoria...... 4 4. Disadvantaged Job Seekers ...... 5 4.1 Women Job Seekers ...... 5 4.2 Young Job Seekers ...... 6 4.3 Migrant Job Seekers ...... 6 4.4 Aboriginal and Torres Strait Islander Job Seekers ...... 6 4.5 Job Seekers with Disabilities ...... 7 4.6 Job Seekers in Regional Areas ...... 8 5. Recommendations for Job Creating for Disadvantaged Job Seekers ...... 8 6. Exploitation of Disadvantaged Workers is Endemic ...... 11 6.1 Wage Theft ...... 11 6.2 Gendered Violence ...... 13 7. Supporting Job Seekers ...... 14 8. Unionised Workplaces Provide Sustainable Work ...... 14 9. Conclusion ...... 16 10. List of Recommendations ...... 17 11. References ...... 18
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1. About VTHC and NUW
The Victorian Trades Hall Council (VTHC) was founded in 1856 and is the peak body for unions in Victoria. VTHC represents more than 40 unions and over 430,000 workers in Victoria. These workers are members of unions that reach into every industry in the state, both in the public and private sectors.
Since gaining the Eight Hour Day in April 1856, VTHC has had a long history of fighting for and defending the rights of workers in Victoria. The importance of winning the Eight Hour Day is significant not just in Australia but worldwide. Few advances in the quality of life for working people would have been achieved without the involvement of the Victorian union movement.
NUW is the union that has coverage of workers in many of the industry’s most adversely impacted by modern slavery. NUW was formed in 1989 from the amalgamation of six unions which were established in the early 20th century. Since the amalgamation, NUW has been at the forefront of campaigning to end the exploitation of migrant workers in the agricultural industry. The NUW and VTHC will continue to campaign tirelessly for the rights, entitlements and protections of workers in Victoria, no matter their gender, sexuality, workplace or employment status. This inquiry highlights that workers who belong to marginalised groups are more likely to be unemployed, and interventions that are appropriate and targeted are necessary. This inquiry also pinpoints a broader problem with the relationship between economic insecurity and joblessness; once a disadvantaged jobseeker obtains a job, they are more likely to be exploited at work. The need for sustainable jobs to be quality and secure cannot be overstated.
2. Definition of Sustainable Work
This inquiry must find a working definition of sustainable work, and must strive to ensure that all recommendations prioritise finding quality jobs for job seekers. VTHC emphasises that sustainable work must be secure, including full-time and only casual or part-time where necessary. It must be safe and comply with all OHS regulations, and also recognise that wage theft is an endemic issue that must be overcome. The rapid rise in insecure work is one such issue that must be considered when defining sustainable work. Research conducted by the ACTU shows that 40% of workers across Australia are in some form of insecure or casual work.1 This extends to hospitality and retail workers, workers in the gig economy, and sub-contractors on sham contracts. Casual work has grown rapidly across Australia, particularly throughout the last few years. After having remained steady around 20% since the 1980’s and into 2010, the current rate of casual work has increased to 24.6%.2 Workers who are unable to pay the bills due to inadequate hours and rates of pay, and are actively looking for more work, are underemployed. Underemployed workers are also job seekers, and any approach must prioritise full-time job creation as sustainable work.
Recommendation 1: Create a ‘sustainable’ work definition that encompasses the right to secure, well paid, safe work, free from wage theft and gendered violence.
1 Australian Council of Trade Unions (ACTU), Australia's insecure work crisis: Fixing it for the future, 2018, accessed
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3. Job Seekers in Victoria
Workers who are seeking employment have a range of characteristics and belong to many and varied communities. Most obviously job seekers are workers who are unemployed. Unemployment rates have generally declined in Victoria overall, falling from 6.6% in 2000, to 6% in 2008 and to 4.6% currently.3 However, research conducted by the Australian Council of Social Services (ACOSS) indicates that there is a lack of jobs for working people across Australia. For example, in the retail, hospitality and construction industries there are 43 applicants for every entry level job, and 19 applicants for every low skilled job generally.4 ACOSS research shows that unemployed workers struggle to find a job; 64% of Newstart and Youth Allowance recipients were unemployed long-term, meaning they received payments for more than a year. Further, 44% received the allowance for over two years, and 15% for over five years.5 In addition, underemployment rates have also risen dramatically. Currently 337,000 Victorians are underemployed, representing 9.9% of the workforce. This has risen from 6.8% in 2000, to 9.1% in 2009. Underutilisation figures have similarly risen, from 12.9% in 2000, to 14.5% in 2009, and currently sitting at 14%.6 Data from the Household Income and Labour Dynamics in Australia (HILDA) survey demonstrates that underemployment is the pervasive norm within employment systems. Of all workers who are employed part-time, a third (33.8%) are underemployed.7 On average, an underemployed worker works 17 hours per week, which is 2.5 hours less than the average part-time worker. Underemployed workers are most likely to work in the community and personal service industries, as sales workers and as labourers, in smaller businesses with less than 20 workers.8 A significant portion of underemployed workers (10.9%) have more than one job, and 8.1% of all workers have more than one job.9 ACOSS figures also show that across the broader economy, there were 8 applicants per job vacancy, but when adding in employed workers applying for second jobs or changing jobs, this number doubles to 16.10 Of those who became fully employed after a year, 3.9% of underemployed workers were able to increase their hours with the same employer, and 2.8% increased their hours through finding a different employer.11 Underemployment rates are some of the highest they’ve ever been. The current employment structures make it easy for employers to exploit workers, placing them in insecure work patterns. While more people are in work, casual and insecure employment is increasingly used as an unsustainable form of work.
3 ABS, Labour Force Data, Australia, cat. no. 6202.0 4 Australian Council of Social Services (ACOSS) Faces of Unemployment, September 2018, p 15, accessed
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4. Disadvantaged Job Seekers
The realities of job seeking is harsher for certain communities, resulting in disadvantage. VTHC highlights that for women, young workers, workers of migrant backgrounds, Aboriginal and Torres Strait Islander workers, workers with disabilities and workers from regional areas, the difficulties of unemployment, underemployment and insecurity manifest more acutely and in inter-related ways. Approaches to providing sustainable employment for these disadvantaged job seekers should be targeted, inclusive and relevant. 4.1 Women Job Seekers
Action for disadvantaged job seekers must address the gendered inequalities that women are subjected to in the labour market. For example, the male unemployment rate is 4.6%, compared to 5.3% for women in Victoria.12 There has historically been a large and gendered difference in participation rates for men and women workers. In 2000 the participation rate for women was 54.4%, compared to men’s 71.4%. While that has increased to 60.7%, compared to men’s 71.9%, this figure has hovered around 59- 60% since 2012, having barely budged in the last six years.13 The increase of underemployment particularly impacts women workers. In 2000, the rate of underemployment for women workers was 8.9%, compared to men’s 5%. It rose to 9.5% in 2009, compared to men’s 8.7%, and is currently sitting at 12.3% compared to men’s 7.9%.14 The gender gap for underutilisation is also more pronounced. For men, it is currently 12.1%, and for women it is 16.3%.15 The graph below shows the persistent gap in women’s underemployment in Victoria.
Underemployment Rates in Victoria 13.0
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6.0 ’00 ’01 ’02 ‘03 ’04 ’05 ’06 ’07 ’08 ’09 ’10 ’11 ’12 ’13 ’14 ’15 ’16 ’17 ’18 ‘19 Underemployed % Underemployed Women % Similarly, men are more likely to work in full-time jobs. Currently, 81% of Victorian men workers are employed full-time, compared to only 52.6% for women workers.16 Women are therefore much more likely to be employed part-time, 48% compared to 19.6% for men workers.
12 ABS, Labour Force Data, Australia, cat. no. 6202.0 13 Ibid 14 Ibid 15 Ibid 16 Ibid
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Research also shows that caring responsibilities have a greater impact on women workers. For example, a partnered mother of a 0 to 4-year-old is the most likely group to not be in the labour force; 3.8 times the average Victorian.17 The second most likely is a single mother of a 0 to 4-year- old, and single mothers more generally are 1.7 times more likely to be short-term unemployed.18 4.2 Young Job Seekers
For young workers, the problems in the Victorian labour market are more pronounced again. While for young workers aged 15-24, the unemployment rate has also fallen; from 12.6% in 2000, to 11.6% in 2009, it is still currently 4.8% higher than the overall rate, at 9.4%.19 The underemployment rate for young workers is 20.4%; 10.5% higher than the overall figure, having increased starkly from 12.5% in 2000, and 16.2% in 2009. HILDA research also shows that 41.2% of part-time workers aged 14-19 are underemployed, and 47.1% of part-time workers aged 20-24 were underemployed.20 These issues are further multiplied for young workers who have caring responsibilities. For example, a young parent of a 0 to 4-year-old is 2.6 times more likely to be not in the labour force, than the average Victorian.21 A young parent of a child 5 years or old are 2.8 times more likely to be long-term unemployed than the average Victorian.22 4.3 Migrant Job Seekers
Issues around accessing jobs are complicated for workers of refugee and migrant backgrounds. For example, women refugees are the most likely to be short term unemployed, at 3.37 times the average Victorian,23 and men refugees are the second most likely to be long term unemployed, at 3.12 times. ACOSS analysis shows that 19% of Newstart and youth allowance recipients were from culturally and linguistically diverse backgrounds.24 Underemployment is also a substantial issue for migrant workers, as 17% of workers from non- English speaking countries are underemployed.25 Migrant workers are also one of the most likely groups to be exploited once they get a job. The NUW recently surveyed 655 migrant farm workers about their experiences. Due to the added vulnerability they face, their work is not secure and they often end up in cash in hand, low waged jobs. The NUW found, on average they were paid $14.80 per hour, well below the minimum wage. 4.4 Aboriginal and Torres Strait Islander Job Seekers
Aboriginal and Torres Strait Islander (A&TSI) workers are particularly vulnerable when it comes to job seeking.
17 Deloitte Access Economics, Inclusive Growth Projects: Key findings and opportunities for reform, Discussion Paper prepared for the Premier’s Jobs and Investment Panel, June 2017 18 Ibid 19 Ibid 20 Melbourne Institute, The Household, Income and Labour Dynamics in Australia Survey: Selected Findings from Waves 1 to 16, 2018, accessed
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A&TSI workers occupied three out of the five most likely groups in Victoria to be short-term unemployed.26 This included young A&TSI, who were the second most likely group to be short term unemployed, at 3.3 times the average Victorian, A&TSI living in remote areas, who were 2.3 times, and A&TSI with low education levels, 2 times more likely to be short-term unemployed.27 Young A&TSI Australians were also 3.1 times more likely than the average Victorian to be long term unemployed.28 A&TSI workers also had the highest duration of long-term unemployment, averaging 4.69 years. Due to this, the average cost to a long-term unemployed A&TSI worker is $853,801, about a third higher than the average long-term unemployed Victorian.29 A&TSI workers on unemployment benefits are also forced into the discriminatory Community Development Program (CDP). Through this program, A&TSI workers are forced into ‘Work for the Dole’ style work programs, performing proper work, while receiving as little as $11.60 per hour. They are not covered by the Fair Work Act or OHS protections, or entitled to any leave benefits. The First Nations Workers Alliance (FNWA) reports that CDP workers have 70 times the financial penalties imposed upon them than non-remote dole workers.30 ACOSS’s analysis of Newstart and Youth Allowance figures also show that 13% of total recipients were A&TSI.31 Considering this community makes up 0.8% of the Victorian population,32 there is an acute over-representation of A&TSI unemployed workers, demonstrating the employment system is disastrously unfair. 4.5 Job Seekers with Disabilities
The unemployment rate for workers with disabilities across Australia is 5.7% and the participation rate is 79.1%. Of the workers with disabilities who are employed, 67% are employed full-time and 32.8% part-time. The underemployment rates for workers with disabilities is very high; 25.5% compared to 9.9% of all workers across Victoria.33 Research also shows that the price of unemployment for Victorian workers with disabilities is profound. The cost of unemployment for one-year short-term unemployment for disabled Victorians is $106,859 and, $201,988 for long term unemployed.34 This is the highest cost of unemployment for all disadvantaged groups, compared to $82,448 for the average short-term unemployed Victorian, and $177,577 for the average long-term unemployed Victorian.35 Similarly, ACOSS analysis shows the over-representation of unemployed workers with disabilities as 24% of Newstart and Youth Allowance recipients have a disability, and 29% of long-term unemployed workers have disabilities.36 Workers with disabilities are also subjected to an additional form of discrimination in job seeking. According to the Department of Employment, Skills, Small and Family Business, the Supported
26 Deloitte Access Economics, Inclusive Growth Projects: Key findings and opportunities for reform, Discussion Paper prepared for the Premier’s Jobs and Investment Panel, June 2017 27 Ibid 28 Ibid 29 Ibid 30 First Nations Workers Alliance, “Community Development Program”, Australian Council of Trade Union, accessed < https://www.australianunions.org.au/fnwa> 31 Australian Council of Social Services (ACOSS) Faces of Unemployment, September 2018, p 15, accessed
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Wage System applies to employees with disabilities with ‘reduced capacities’, who can be paid less according to their disabilities.37 For example, if a worker has a “capacity of 70% [they are] entitled to 70% of the relevant pay rate”.38 The lowest a disabled worker can be paid is $87 per week, meaning if they work full-time at 38 hours a week, they are paid $2.28 per hour. This idea is frankly offensive to both workers with disabilities and unions who have fought for minimum wages as a right that enables self-determination, and shows the current employment system is unfair for workers with disabilities. 4.6 Job Seekers in Regional Areas
Unemployment is particularly bad for young people in regional areas. The Brotherhood of St Laurence found that across Victoria, the highest youth unemployment rate was in Bendigo, at 18.3%, followed by Shepparton at 17.5% and Melbourne’s West at 15.5%.39 ACOSS also reported that 29% of recipients of Newstart & Youth Allowance live outside metropolitan areas.40 A person with a mental illness living in a remote area is also the most likely to be long-term unemployed in Victoria. They are 3.9 times more likely to be long-term unemployed than average Victorian.41
5. Recommendations for Job Creating for Disadvantaged Job Seekers
To address the issues facing disadvantaged job seekers, the approach must be multifaceted. Most importantly, as the figures above indicate, despite a booming economy, there are still not enough good jobs for working Victorians. The Andrews’ Government ‘Big Build’ program has been a good example of a coordinated and deliberate plan to create jobs for working people by investing in vital infrastructure, and VTHC applauds this program. This includes the construction blitzes of level crossing removals and opening new train lines, new schools building programs, and road upgrades.42 Without these programs, Victoria’s unemployment rates would not be as low as they are, and the government should be congratulated for its success. Workers in union want to see this expanded across the state, with specific targeted action to include disadvantaged groups.
Recommendation 2: Continue the ‘Big Build’ in regional areas as a driver of new job creation.
The Victorian Government’s ‘Big Build’ program is delivering much needed infrastructure and community improvements across regional Victoria. VTHC recommends the continued expansion of this program to further regional development. A coordinated and planned approach to building and reinforcing regional centres with public transport construction blitzes, new schools, hospitals, and
37 Department of Employment, Skills, Small and Family Business, 2018 “Supported Wage System”, accessed
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environmental programs could have a similar revitalising effect on regional centres, and bring a large number of jobs to these communities. Areas of regional Victoria are in decline. Reports project that the shire of Southern Grampians is projected to decrease in population by 1,110 people by 2036, and Yarriambiack projected to lose 1,090 people.43 Schools are closing down, businesses are leaving, and work becoming increasingly transient clearly ads to issues of unemployment and underemployment.
Recommendation 3: Use action to combat climate change to drive economic development and job creation in Victoria.
The Victorian Government has committed to addressing the climate emergency and is already taking action to bolster the sustainability industry through development and manufacturing in Melbourne and in regional centres. A good example of this is the wind farm developments in Dundonnell and Berrybank, a program that also bring jobs to Geelong and Ballarat.44 These areas are growing, with the populations of Geelong projected to reach 431,700 and Ballarat 210,000 by 2036.45 This approach has the potential to be expanded significantly. Friends of the Earth has examined how the state’s infrastructure needs to adapt to meet the changing climate.46 Their report highlights some practical steps that need to be taken to prepare for the impacts of climate change including electrifying train networks and updating all forms of infrastructure to deal with the changing climate. These projects would create opportunities for working people, that are so desperately needed.
Recommendation 4: Regulate the Sustainability Industry to Ensure Jobs are ‘Sustainable’.
VTHC recognises the urgent need to address climate change and bolster the sustainable energy industry, however, workers in this industry tell us that these jobs are insecure, low paid and often subject to OHS contraventions. In short, the sustainability industry does not provide sustainable jobs. While research is still being conducted into these industries, workers in union know that the contracting out of manufacturing and energy jobs leads employers seeking to provide their services as cheaply as possible, which for workers means casual employment, minimum wage, and labour hire. VTHC emphasises the role of Government in regulating this industry. Their role in ensuring workers here are safe and well paid cannot be overstated.
Recommendation 5: Set Quotas in Government contracts for Employment of Vulnerable Groups.
As a key economic driver, the Victorian Government has the ability to ensure there are allocated quotas for the employment of vulnerable groups in all government contracts. Specific employment
43 Department of Environment, Land, Water and Planning, Victoria in Future: Population Projection 2016 to 2056, July 2019 44 Minister for Energy, Environment and Climate Change, Lily D’Ambrosio, Media Release, “New Wind Farm Developments Bring Jobs to Geelong”, October 2018, accessed
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programs should be appropriate and targeted to the particular experience of the vulnerable workers. VTHC recommends that for each project receiving government funding there should be deliberate employment of workers from disadvantaged communities. This approach should be applied where the government is a direct employer, and where government funding is provided, in line with social procurement frameworks. Employment of disadvantaged groups must not be left solely up to charities or social enterprises, who often unwittingly contribute to systems of wage theft or unemployment through adopting models of ‘charity’ rather than self-determination. It is through social enterprises and charities that the supported wage system is used for workers with disabilities. Disadvantaged workers deserve to be employed across all industries, and to have access to secure and well-paid jobs. The Victorian Government has an obligation to these workers to set the standard across the state’s economy. Examples of target setting can be found within public services across Australia. The former Disability Commissioner, Graeme Innes has called for long term targets of 15% for disabled workers in the Department of Health and Ageing.47 The NSW Department of Justice has set a target of 6% A&TSI employment,48 and the Commonwealth Department of Social Services achieved it’s 4% target through direct promotion of vacancies to A&TSI communities.49 Certain projects may suit certain groups or communities better and so it is important that the implementation of quotas comes with consultation of communities and unions in order to make this approach appropriate and successful.
Recommendation 6: Create Specific Training Opportunities.
To build the capacity of disadvantaged workers, training opportunities must be built into public works programs, including apprenticeships, traineeships, paid internships, and graduate programs. Research indicates that Victorians with low education are 1.7 times more likely to be long-term unemployed.50 Public works programs present a good opportunity to enhance the skills of working Victorians. This strategy would also align well with the program of free TAFE that is currently being implemented across Victoria’s training institutes. Traineeships should be created to target particular groups of vulnerable workers. For example, the WA State Government requires that all government building, construction and maintenance contractors and sub-contractors have 11.5% of their workforce consist of apprenticeships and trainees.51 VTHC recommends a similar approach be adopted for requiring trainee positions for disadvantaged workers.
Recommendation 7: Create Mentoring Programs Amongst Communities.
To further build the capacity of vulnerable groups, VTHC recommends the establishment of mentor programs. These kinds of programs have been found to have benefits for both the mentors and
47 Graeme Innes, “Equality in the Justice System for People with Disabilities”, presented to Disability Justice Plan Symposium, accessed
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mentees. Studies have found that long-term mentoring programs based on mutual respect, genuine and common interests and non-judgemental approaches have many benefits.52 A case study of a program run in Portugal called Models of Mentoring for Inclusion and Employment (MOMIE) paired a mentor and mentee with similar experience and background.53 It was found to increase their confidence, and social and employability skills, and retain their employment long term. A Swedish pilot based on the same approach for integrating refugees was found to provide the same results.54 This could be applied in Victoria in a number of ways. For example, a teacher with a disability could mentor an education student with a disability on placement. And a construction worker who is a migrant could mentor another migrant new to the industry.
6. Exploitation of Disadvantaged Workers is Endemic
As mentioned above, sustainable work must include a commitment to stamping out all forms of exploitation. Once they find employment, disadvantaged workers and workers at the bottom end of the labour market are often most exposed to exploitation, including wage theft and gendered violence. The issue of exploitation of vulnerable workers could not be more paramount in Victorian workplaces. Wage theft, particularly for young and migrant workers, has almost become the norm. As has gendered violence and the deliberate casualisation of all forms of employment. 6.1 Wage Theft
It seems that every day, another hospitality business is uncovered for wage theft. Wage theft refers to the denial or underpayment of wages and entitlements that are rightfully owed to a worker under any legal instrument, including the Fair Work Act, Modern Awards or Enterprise Bargaining Agreements. The issue of wage theft is particularly relevant to casual workers and workers in insecure work, as 1 in 5 young workers are paid less than the minimum wage, and less than half who work nights, weekends and public holidays receive penalty rates. It is also relevant to the industries that predominantly employ young workers, as 22.9% of retail industry and 15.7% of the accommodation and food services industry workers are between the ages of 15-24.55
An audit by the Fair Work Ombudsman found 46% of restaurants, cafes and catering businesses,56 47% of takeaway food businesses,57 and 20% of accommodation, taverns and bar businesses had committed some form of wage theft.58 Further, 84% of fast food stores were found to be responsible for some form of underpayment, 39% were paying incorrect base pay rates, and 44% did not pay penalty rates.59
52 Ware, V., “Mentoring programs for Indigenous youth at risk,” Australian Institute of Health and Welfare, 2013 accessed
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These industries also have the highest rates of casualisation and insecure work, demonstrating the relationship between wage theft, job insecurity, and exploitation of workers from the disadvantaged communities who tend to occupy these positions. A survey of temporary migrants also found the extent to which wage theft applied to migrant workers, as 1 in 4 international students, and 1 in 3 backpackers were paid less than $12 an hour.60 The study also found that in industries that are largely dominated by migrant workers, such as fruit and vegetable picking and farm work, almost 15% of workers earned $5 an hour or less, and 31% earned $10 an hour or less. A Fair Work Ombudsman audit of Victoria Street in Richmond is symbolic of the problem of wage theft in Melbourne. The audit found that 72% of businesses in this investigation had breached workplace laws, affecting 616 workers. The workers collectively had $471,904 stolen from them. Yet, only 7 compliance notices and 71 fines were issued.61 Workplace laws around wage theft are inadequate. Even when caught, there is little recourse and the incentive for employers to commit wage theft and pocket the extra earnings is high.
Recommendation 8: Make wage theft a crime.
VTHC welcomes the commitment of the Andrews Government to make wage theft a crime in Victoria. This will have a significant impact on ensuring vulnerable workers are less likely to be exploited. Importantly, VTHC recommends that wage theft laws be implemented with criminal prosecution for punishment and as deterrent. Currently, employers know they can get away with wage theft, so an enforcement unit as part of the plan to make wage theft a crime is just as important as the laws themselves. The enforcement unit should be well-resourced, specialised with investigative and prosecution powers. It should work with unions to send a message to employers that wage theft is a crime and will not be tolerated.
Recommendation 9: Sustainable work must extend to gig economy workers.
Importantly, any definition of sustainable work free from wage theft must also consider the rise in gig economy work. This is an industry rife with worker exploitation, including rampant wage theft and OHS contraventions. Employers are able to get away with exploitation of gig economy workers because they treat them as ‘independent contractors’, although all the markers of an employment relationship are there. A Young Workers Centre and Transport Workers Union survey found 3 in 4 riders had been subjected to wage theft, with some being paid $6.67 an hour. Similarly, 3 in 4 riders work 20 hours or more a week, and 1 in 4 work more than 40 hours per week.62 There have been cases of workers having to pay for their own their own insurance while riding, or having no access to Workers’ Compensation after being injured on the road. Gig economy workers have told organisers at the Young Workers Centre that they enter this type of work because there is at least some guarantee of work. They know that if they enter a low skilled industry like hospitality, they will experience wage theft or some form of exploitation, and so they
60 Berg, L. & Farbenblum, B, Wage Theft in Australia: Finding of the National Temporary Migrant Worker Survey, November 2017 61 Fair Work Ombudsman, Media Release “FWO’s Food Precincts campaign returns $471,904 in wages owed to hospitality workers”, July 2018, accessed
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attempt to create as much control as they can for flexibility, in what is essentially a Hobson’s choice of mistreatment. Criminalising wage theft will go so way to protecting gig economy workers. Further, any definition of work, and the creation of sustainable work must consider workers in the gig economy, and how they can be covered by a legal relationship of employment. 6.2 Gendered Violence
Research conducted by VTHC demonstrates women workers are subjected to gendered violence, which is pervasive in our workplaces.63
Gendered violence is any behaviour, action, system or structure that causes physical, sexual, psychological or economic harm to a worker because of their sex, gender, sexual orientation or because they do not adhere to dominant gender stereotypes or socially prescribed gender roles. Any worker can experience gendered violence at work, however, the groups of workers who experience higher rates of gendered violence and who are at an increased risk, are women, workers who identify as LGBTQIA+, refugee and migrant workers, workers with disabilities, Aboriginal and Torres Strait Islander workers and undocumented workers.
Gendered violence exists in all industries and is endemic in Victorian workplaces, with 64% of Victorian working women reporting having experienced gendered violence at work.64 In addition to the high rates of gendered violence, 19% of Victorian working women reported resigning from a workplace because they did not feel safe.65
The experience of Victorian working women is consistent with those of women internationally. The international Trade Union Congress (ITUC) reports that worldwide 35% of women experience direct violence in the workplace and between 40–50% experience unwanted sexual advances, physical contact or other forms of sexual harassment.66 Further information about Victorian working women’s experiences of gendered violence at work can be found in the VTHC 2016 ‘Stop Gendered Violence Report.67
Recommendation 10: A Work Health and Safety (WHS) approach, including risk minimisation and obligations, must be taken to stop gendered violence.
Gendered violence is a serious hazard and poses a significant risk to the health and safety of Victorian workers, causing physical and psychological injuries. It is a workplace hazard over which employers have a level of control. They are therefore duty holders and must by law take action to prevent injury by assessing and controlling the hazard and risk. WorkSafe, in collaboration with the Women’s and Equality Unit run out of VTHC, has committed to implementing a WHS approach to gendered violence. VTHC applauds this work, noting the real difference it will make to the lives of Victorian women workers, and encourages it to be rolled out across the Victorian workforce
63 Stop Gendered Violence at Work Report: Women’s Rights at Work Report (2016) Victorian Trades Hall Council 64 Ibid 65 Ibid 66 ITUC: Statement on the occasion of the United Nations International Day for the Elimination of Violence against Women, 24 November 2015, accessed
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7. Supporting Job Seekers
Recommendation 11: Lobby the Federal Government to Increase Payments.
Numerous reports highlight how impossible it is to live on Newstart payments.68 Unemployed workers tell us it is simply not possible to find housing close to the city, provide food and pay for all other costs that go into daily life, in addition to facilitating job searches on the current rates, that have not increased in real terms for over twenty-five years.69 VTHC condemns the punitive approach successive Liberal Governments have taken towards unemployed workers. Their shameful rhetoric positions unemployed workers as ‘lazy’, and seeks to push them to the brink of poverty, as if this will somehow get them into one of the jobs that 43 other jobseekers are applying for. It must be emphasised again that underemployed workers are also jobseekers, and may be accessing or seeking to access Newstart. The punitive approach also means it is incredibly difficult for workers to qualify for unemployment benefits, and keep them while they endure the fluctuations and insecurity of underemployment. VTHC recommends that the Victorian Government do what it can to lobby the Federal Government to increase all forms of payments, but especially Newstart and Youth Allowance, and treat unemployed workers with the dignity they deserve. Changes must consider underemployment as well as unemployment, and social security should be geared towards placing jobseekers in long term, secure employment rather than churning through multiple casual engagements. Lastly, changes to unemployment benefits must put an end to the racist CDP.
8. Unionised Workplaces Provide Sustainable Work
Workers fight together in union for secure work, good wages, and safe conditions. Workers who are members of unions are less likely to be employed casually, yet unions are under attack from the Liberals. A study of 31 industrialised countries published in September 2013 found that union density was the most important external factor in workplace safety and health. The report concluded that “eroding unionism may not be good for worker health or the economy either.”70 When laws are imposed that make it more difficult for workers to stand together in union, there are dire consequences. Under Howard’s Australian Building and Construction Commission (ABCC), workplace fatalities in construction peaked at 48 deaths in 2006 and 51 deaths in 2007. In direct contrast just 30 deaths were reported in 2012 following the abolition of the ABCC.71
Recommendation 12: Lobby the Morrison Government to stop his attacks on Workers in Union.
68 See: St Vincent De Paul Society, “Briefing: Raising the Rate of Newstart”, May 2019, accessed < https://www.vinnies.org.au/page/Publications/National/Factsheets_and_policy_briefings/Briefing_Raising_the_Rate_of_Newstart/>, Australian Council of Social Services (ACOSS), Media Release, “Raise the Rate: Increase Newstart and Related Payments”, March 2018, accessed
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The Andrews Government has done good work to bolster the rights of workers in union to collectively protect themselves. VTHC seeks support from the Andrews Government to lobby the Morrison and his Liberal Government to reverse attacks on workers in union. The Victorian Government must do whatever it can within its power to encourage all forms of sustainable jobs and union membership. Any worker that is employed directly or indirectly through Government tenders must not be underemployed.
Recommendation 13: The Victorian Government use its position as a model employer to consult with unions to implement casual conversion clauses in all Government EBAs.
As such, the Victorian Government should work with unions to introduce casual conversion clauses into all its enterprise agreements, to ensure no worker is employed casually for more than six months that does not need to be. Further, this approach should play a key part in the Victorian Fair Jobs Code for all government contractors and suppliers.
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9. Conclusion
VTHC congratulates the Andrews Government on their work creating jobs and its commitment to ensuring fairness for the most disadvantaged in our workplaces. The firm decline in the Victorian unemployment rate, at a time when the Australian economy is unsteady and inequality is rising is worthy of applause. Importantly, the Government must now take measures to ensure all groups can access sustainable forms of work. Job seeking for disadvantaged workers in Victoria is a varied experience. Aboriginal and Torres Strait Islander, migrant and disabled workers are more likely to be unemployed than the average Victorian. Underemployment is also a huge issue, and particularly affects these groups, as well as young and women workers. The Government must take specific measures to intervene. This challenge presents a good opportunity to revitalise regional centres, and address a growing climate emergency, while creating quality jobs through funding public works and projects. Quotas in these public works is the first step for overcoming barriers for disadvantaged workers. Training and mentoring programs will build the capacity that vulnerable groups may be lacking in order to be successful and self-sustaining. At the same time, the Government must do what it can to stem the tide of underemployment and exploitation. Casual conversion clauses, ethical procurement, wage theft laws and gendered violence as a work health and safety issue will have a real impact on the quality of jobs in Victoria.
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10. List of Recommendations
Recommendation 1: Create a ‘sustainable’ work definition that encompasses the right to secure, well paid, safe work, free from wage theft and gendered violence. Recommendation 2: Continue the ‘Big Build’ in regional areas as a driver of new job creation. Recommendation 3: Use action to combat climate change to drive economic development and job creation in Victoria. Recommendation 4: Regulate the Sustainability Industry to Ensure Jobs are ‘Sustainable’. Recommendation 5: Set Quotas in Government contracts for Employment of Vulnerable Groups. Recommendation 6: Create Specific Training Opportunities. Recommendation 7: Create Mentoring Programs Amongst Communities. Recommendation 8: Make wage theft a crime. Recommendation 9: Sustainable work must extend to gig economy workers. Recommendation 10: A Work Health and Safety (WHS) approach, including risk minimisation and obligations, must be taken to stop gendered violence. Recommendation 11: Lobby the Federal Government to Increase Payments. Recommendation 12: Lobby the Morrison Government to stop his attacks on Workers in Union. Recommendation 13: The Victorian Government use its position as a model employer to consult with unions to implement casual conversion clauses in all Government EBAs.
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