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Industry concern over Fair Work changes

31-08-2010
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Industry concern over Fair Work changes

 

The Fair Work (Transfer of Business) Bill 2012 recently introduced into Parliament would operate unfairly for employers and employees, the Australian Industry Group claims.

“The legislation would significantly reduce job opportunities for State public sector employees,” said AiGroup Chief Executive Innes Willox in a recent statement.

The proposed Government legislation would lead to inappropriate public sector terms and conditions being imposed upon private sector companies, Mr Willox said.

"Under the terms of the Bill, when a State Government Department or Agency outsources work, to the private sector, the company taking over the work would be generally required to apply the public sector terms and conditions if it employs any of the public sector employees, Mr Willox said. “This would clearly act as a major barrier to any of the public sector employees gaining employment in the private sector, and lead to many more redundancies than would otherwise be the case.”

Mr Willox said the Bill is likely to have a substantial impact upon many private sector employers in industries such as information technology, health, transport and social and community services.

"We are very disappointed that despite raising strong concerns about the transfer of business provisions in the Fair Work Act 2009 and seeking both substantive changes and some important technical changes, the Government has not addressed any of these concerns, Mr Willox said.

“The provisions of the Bill will cause even more problems for industry and result in bad laws being extended, rather than fixed.

"The Bill does not even incorporate the lone transfer of business amendment recommended by the Panel which conducted the recent Fair Work Act Review.”

The Panel recommended that the transfer of business laws be amended to make it clear that when employees, on their own initiative, seek to transfer to a related company the laws would not apply.

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