Dear members,
The Commonwealth Government continues to make wholesale changes to Australia’s IR system.
The Fair Work Legislation Amendment (Closing Loopholes) Bill 2023
You may remember we provided information on further reforms proposed by the Commonwealth Government under the Fair Work Legislation Amendment (Closing Loopholes) Bill 2023 (Closing Loopholes Bill). See email HERE.
I note we worked with APTIA on a submission on the proposed legislation, and that can be seen HERE.
We understand the Government has now split the Closing Loopholes Bill in two, following a deal reached with the Greens and the crossbench to pass certain measures. As part of the deal, the following key measures were approved by the Senate in a vote yesterday (being the last parliamentary sitting day of the year):
- closing the ‘labour hire’ loophole, by providing for same job, same pay for labour hire workers;
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providing delegates with a series of new rights, including access to paid time off for training purposes;
- criminalising intentional wage underpayments;
- closing the "loophole" in which large businesses claim the small business redundancy exemption to avoid redundancy payments;
- strengthening protections against discrimination, including by preventing adverse action against employees subject to family and domestic violence;
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amending the Work Health and Safety Act 2011 (Cth), including to introduce the offence of industrial manslaughter;
- supporting first responders with post-traumatic stress disorder (PTSD) under the Safety, Rehabilitation and Compensation Act 1998;
- expanding the functions of the Asbestos Safety and Eradication Agency to include silica.
It’s worth noting that Victoria already has laws against deliberate/dishonest underpayment of wages, and that the last 3 amendments will have no direct impact on employers in Victoria. That said, the balance of the measures previously proposed as part of the Closing Loopholes Bill will be contained in a separate piece of legislation, the Fair Work Legislation Amendment (Closing Loopholes No.2) Bill 2023 (Closing Loopholes Bill No 2), which will include amendments dealing with more complex and controversial measures, that will impact the industry, such as:
- casual employment;
- transitioning from multi-EAs;
- model terms for EAs;
- definition of employment;
- regulated workers (including minimum standards for gig economy and road transport industry workers);
- intractable bargaining workplace determinations;
- sham arrangements;
- right of entry for delegates, and more.
The Closing Loopholes Bill No 2 will be considered by the Senate Education and Employment Legislation Committee that is due to end its enquiries on 1 February 2024, and then no doubt further debated in Parliament in the new year.
We will continue working with APTIA on these proposals, and will endeavour to keep you informed about what it means for your business.
Status of IR changes
You may also remember the reforms that have been introduced by the Government to date have been made under the Fair Work Amendment (Paid Family and Domestic Violence Leave) Act 2022; the Anti-Discrimination and Human Rights Legislation Amendment (Respect at Work) Act 2022; and the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022. Information on the reforms can be found at the BAV website under https://www.busvic.asn.au/resources/albanese-government-ir-reforms More information can be found here: https://www.dewr.gov.au/workplace-relations
You may also remember the Respect at Work and Secure Jobs, Better Pay legislation have significantly altered the responsibility and liability of employers regarding respectful conduct in workplaces, including sexual harassment and sexual discrimination in the workplace. A document was prepared by BAV to assist members understanding their obligations and responding appropriately and was provided by email in September 2023 – the email and document can be found HERE:
It’s worth noting that in respect of the Secure Jobs, Better Pay legislation that the date for which pre-2010 enterprise (‘zombie’) agreements were to automatically cease, 7 December 2023, has passed, and that new rules apply to the use of fixed term contracts from 6 December 2023. To find out more on both reforms, see: https://www.fwc.gov.au/agreements-awards/enterprise-agreements/sunsetting-pre-2010-agreements-zombie-agreements and https://www.fairwork.gov.au/starting-employment/types-of-employees/fixed-term-contract-employees
Regards
Peter Kavanagh
Director Member Services
M: 0417 197 846