Porter's proposed IR changes signal a dangerous return to WorkChoices-era unilateral employer wage-setting power in enterprise agreements; 2 yrs to push non-union below-Award EAs & fix wages for long periods of time in other EAs. A LOT of damage can be done in 2yrs. THREAD 1/10
First, the sum is greater than its parts; parallel proposals to weaken the Better Off Overall Test, stop unions contesting bad EAs, & the relaxation of requirements governing EA approval process at FWC will expand no. of low-wage non-union EAs. How do we know this? 2/10
It's happened before! In WorkChoices EAs could undercut Awards. Unions were restricted from contesting approvals. The result was explosion in non-union EAs; rising 20%-60% of all private sctr EAs 04-09. See dramatic decline in 09? That's when FWAct & BOOT were introduced. 3/10 Image
The WorkChoices-era surge in non-union, low-wage EAs had lasting negative impacts on wage growth. "Zombie EAs" like Merivale's paid 3k staff up to 20% below Award wages on an expired 07 non-union EA. Thousands are likely still on these Howard-era below-Award EAs. 4/10
Employers implemented unilaterally-designed EAs to cut wages under WorkChoices & they'll do it again. 5/10
Porter & biz claim allowing EAs to undermine Awards will reboot bargaining. But more inferior, below-Award “deals” would make workers’ employment conditions, incl. wage outcomes, worse, not better. It defeats the whole point of collective bargaining: to improve on the floor! 6/10
Far from new COVID-era policy Porter's changes read like the biz lobbyists' Xmas list...of many years ago! We listed their enterprise bargaining proposals in Oct '19 & outline how FWAct can be reformed to build a more viable bargaining system. 7/10 futurework.org.au/employer_propo…
LNP have discarded deficit politics but not their agenda to deepen employer power this recession. Major structural problems in Aus private sctr (weak capital spending, productivity, innovation, resource-dependent role in global trade) will be made worse by changes. 8/10
By making it easier to pass below-Award EAs & expand casual work, Porter is allowing businesses to rely on continued suppression of labour costs to subsidise their own failures. 9/10
Reduced wages bills WILL NOT create jobs, lift productivity or spark the ambitious, sustained large public investments we need to rebuild from recession. For more on COVID-era reconstruction, @JimboStanford and I write > END ppesydney.net/content/upload…

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More from @ak_pennington

4 Aug
The government is waging war on the poor. Convincing Australians that millions of victims of this pandemic and economic shutdowns have brought insecurity upon themselves is their aim: "Lazy" "job-snobs" despite a Depression-level collapse in jobs and none to "seek". THREAD (1/8)
Their is an unholy alliance between private unemployment services and the welfare bureaucracy. Billions in public $ is handed to parasitic unemployment "industry" with their activities backed by full force of sanctions. Why is Morrison weaponising unemployment payments? (2/8)
Low income supports reinforce a low-wages IR agenda & protect insecure forms of work. This labour form turns a tidy profit to big companies. The harsh mutual obligations system puts the whole agenda in motion. Today govt reintroduces this system nationally (VIC intro delayed)(3/8
Read 8 tweets
21 Jul
JK/JS cuts rip $10b out of economy every month. Austerity is opposite of avoiding Depression! Alongside reintro of Rat-Wheel 4 Poors (mutual obs), cutting govt spending on pretext of economic reboot is totally reckless & undermines public health effort to save lives. THREAD(1/7 )
Morrison says 6mo JK extension needed to aid business planning. But truth is shorter 3mo-extended JS is directly tied into Aus business planning too. It will be leveraged by biz to protect & extend low-wage insecure work. How? (2/7)
Two channels: From Aug 4 JS recipients can be punished for not taking jobs offered by emplymnt services. Where are protections for ppl to refuse jobs w-out enough hrs, pay or sick leave in a pandemic? Our history is dogged w direct biz-govt forced labour programs like this (3/7)
Read 7 tweets
2 Jul
Stitch-up alert! PM’s claim reported in @Australian that current #JobSeeker rate is barrier to biz hiring is based on dodgy data. Govt were pre-empting yesterday's release of employer survey data from National Skills Commission. What does this data actually show? {THREAD} 1)
NSC surveyed 2324 employers 25 May-mid-June. Far from showing generalised unmet labour shortages only 555 emplyrs (25%) were recruiting additional staff (the rest were not). Of these firms 166 (30%) said they were experiencing "or expected to have" difficulty filing vacancies 2)
Only 73 firms experiencing hiring difficulty said they didnt have enough applicants. 73 self-defined shortages is hardly a measure of labour demand across the economy. In fact, more firms said applicants lacked the required technical skills or experience (47% or 78 firms). 3)
Read 9 tweets
6 Apr
As predicted the wage subsidy has become manufactured terrain by govt & biz to drive a sledgehammer through wages & labour protections. I have some serious concerns w FWAct changes Porter has attached to the subsidy. (1)
FWAct changes would grant employr’s power to cut wages of FT staff to subsidy rate of $1500 p/fn. Full span of control over hrs of wrk incl. power to ratchet up hrs of part-time wrkrs (to squeeze value out of subsidy) is up for grabs. Low hrs women w caring resp. will suffer (2)
In addition to unilateral power to change a workers’ hrs to “match” the subsidy, they are attacking the hourly wage rate. Biz lobbyists are pushing to freeze min wage incrs (or even cut them), & cut wage incrs in negotiated EAs. (3)
Read 9 tweets

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