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GeneralIndustrial RelationsPermanent staff replaced by contractorsNew IR laws to be debated in Parliament today will make it easier for big business to cut the pay and conditions of subcontractors or replace permanent staff with contractors on lower wages and conditions says the ACTU.
"The Howard Government's proposed new Independent Contractors' Law is a concern for contractors and employees alike. It continues to give big business the upper hand in pay and contract rate negotiations and fails to protect contractors who wish to bargain collectively. The proposed law will also fail to prevent employers from pushing more workers into sham contracting arrangements where employees miss out on award rates of pay, annual leave, superannuation, workers compensation and other basic entitlements. The law is fundamentally flawed because it does not define the difference between independent contractors and employees. This is a major problem that will mean employers can contract out their workforce and put the onus on individual workers to go through an expensive and lengthy court process to gain their proper employee entitlements. The law also fails to protect young people from exploitation and abuse as independent contractors. Recently it was reported that major catering companies were recruiting 14 year old young people to work as so-called independent contractors selling hot pies and ice creams at football games for a commission of only 10% of sales. You would have thought that this is the sort of exploitation and abuse of contracting laws the Government would want to stop. But this legislation does nothing to help vulnerable workers being pushed into sham contracting arrangements." "These new laws will simply make it harder for small contractors and employees to maintain decent pay and employment conditions," said Ms Burrow.
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© 2001 Community & Public Sector Union - State Public Services Federation (CPSU-SPSF) - National Office http://www.cpsu-spsf.asn.au/latest_news/general/20060817_subcontractors.html Site proudly designed and engineered by Social Change Online |
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