This was published 3 years ago
Mostly abandoned: Senate passes remnants of Morrison’s IR overhaul
By Nick Bonyhady
The Morrison government is weighing up whether to revive divisive measures to reform workplace laws, including criminal sanctions against wage theft, after it abandoned most of its original bill in the face of a Senate defeat.
In almost 10 months of negotiations, the government, led by now-absent Industrial Relations Minister Christian Porter, failed to win agreement between unions, business groups and crucially, the Senate crossbench, for its changes.
Acting Industrial Relations Minister Michaelia Cash only changed the rules for casual employment with the support of Centre Alliance senator Stirling Griff.Credit: Alex Ellinghausen
Instead, it was forced to pass only a new definition of casual employment, a broader right for casuals to convert to permanent jobs and a fix to “double-dipping” backpay claims in what acting Industrial Relations Minister Michaelia Cash said was still a “significant win”.
But the government ditched tougher penalties and an easier process to address wage underpayment claims, the one provision supported by all members of the crossbench, sparking fury as it looks toward a vote in the House of Representatives scheduled for Monday.
‘How can they do this? Shame on you all for trashing such an important amendment.’
Centre Alliance senator Stirling Griff
“How can they do this? Shame on you all for trashing such an important amendment,” Centre Alliance senator Stirling Griff said when he learned of the move.
Senate voting on the bill was rancorous and chaotic, with the government desperate to hang onto support from three crucial crossbenchers from One Nation and Centre Alliance, triggering a split within the South Australian minor party.
It also canned sections of the bill dealing with issues such as pay bargaining, industrial awards and pay deals on big construction projects that the government and businesses had promised would help address Australia’s sluggish wage growth and boost employment.
‘Humiliating defeat!’
Labor industrial relations spokesman Tony Burke rubbished the government’s claim the outcome was anything but a failure for it, calling it a “humiliating defeat”.
He and Australian Council of Trade Unions secretary Sally McManus were still furious about the remaining casual changes, which they said would increase insecure work.
Major employer groups including the Australian Industry Group and Business Council of Australia welcomed the casual changes but vented their disappointment at the crossbenchers who opposed the majority of the bill.
“It is important that the government does not abandon the rest of the Bill and further efforts
need to be made over the months ahead to secure support,” a statement from five employer organisations said.
Mr Morrison said the workplace changes “could play an important role” in the economic recovery but took a pragmatic approach to whether any of the package could be brought back to the Parliament.
“There are many in the Senate, and the Labor Party in particular, who don’t share my passion for creating jobs,” he said.
“So they are working against the government as we are seeking to create jobs.
“But I am a practical person, too. That means if this Senate is saying they don’t wish to support those measures, then we will have to consider that in terms of how we go forward.”
Treasurer Josh Frydenberg said longer pay deals on big infrastructure projects were an example of what the government might try to resurrect from the bill.
Centre Alliance rift
Senator Griff voted with the government alongside One Nation on the casuals changes after the government agreed to a new provision to let casual workers challenge refusals to convert them to permanent employment more easily.
Casuals will be offered the chance to convert to permanent jobs after six months of regular shifts and 12 months of employment, backed by appeals to a small claims court. However, small business casuals will have to request conversion and there are exemptions.
That stance opened a rift in his party, with Centre Alliance’s lone lower house member, Rebekha Sharkie, issuing a statement moments after the bill passed the Senate rebuking Senator Griff.
She said the party had an agreement to support both stronger laws against wage theft and the casual changes as a package, subject to amendments crafted by the Australian Council of Trade Unions and the Council of Small Business Organisations of Australia.
“Where this landed is totally unacceptable,” Ms Sharkie said. Senator Griff rejected that, saying the casuals changes stood on their own merits and blamed One Nation for, he said, pulling support on the wage theft laws.
A One Nation spokeswoman said the party remained committed to that section of the law, though voting records indicate Senators Hanson and Roberts did not vote for the section amid the chaos in the Senate.