Anthony Albanese vows no retreat on IR overhaul

The PM will hit back at the nation’s biggest employers and industry groups amid a revolt against the government’s IR shake-up.

Prime Minister Anthony Albanese. Picture: NCA NewsWire / Gary Ramage

Anthony Albanese will hit back at the nation’s biggest employers and industry groups amid a fierce private-sector revolt against the government’s industrial relations shake-up, declaring those who ­resist higher wages reforms are “wrong every time”.

Ahead of a parliamentary showdown with the Coalition over changes to multi-employer bargaining, the Prime Minister on Monday will reject criticism from those who believe that IR reforms will “see the sky fall in”.

Speaking at the International Trade Union Confederation World Congress in Melbourne, Mr Albanese will stare down critics of his workplace relations agenda and pledge to forge ahead with changes that have been unanimously attacked by ­employers.

“We know there are always those who say that any improvement in workers’ pay, any ­improvement in the status quo, will see the sky fall in. They say it every time, they are wrong every time. And we will push ahead like we do, every time,’’ the Prime Minister will say.

The Australian Chamber of Commerce and Industry, along with state and territory chambers, on Monday will launch an advertising blitz warning that the proposed IR changes will put “jobs and businesses in jeopardy”.

After major employers including Woolworths, Qantas and Rio Tinto last week warned of ­increased strike action, lower ­productivity and negative investment impacts, the ACCI campaign says changes to multi-employer bargaining will drag businesses “against their will into a complex system they cannot ­afford”.

Mr Albanese, who faces a legislative bottleneck with only two parliamentary weeks remaining before the Christmas break, on the weekend flagged the government was prepared to add extra sitting days to pass its suite of legislation, including the Secure Jobs, Better Pay bill.

In addition to the IR bill, MPs and senators will vote on the India and British free-trade agreements and consider electric vehicle ­reforms, strengthening workforce incentives for older Australians and measures supporting defence home ownership. The government will also prioritise legislation enabling key election promises including cheaper childcare, a disaster-ready fund and ­establishing a National Anti-Corruption Commission.

Senior government ministers and business leaders will this week ramp up lobbying of key crossbench senator David ­Pocock, whose vote Labor needs alongside those of the Greens to push the IR bill through the upper house. Senator Pocock, who previously urged the government to split the bill and is reserving his position until the Senate inquiry into the legislation reports on Tuesday, is holding rolling meetings with key stakeholders about amendments.

In Monday’s address, Mr Albanese will push back against “those who want to stand in the way of progress” and promote the government’s actions to revitalise bargaining and get wages moving, provide new protections against sexual harassment, close the gender pay gap and improve job security.

“Now, of course, there are those who oppose these changes. Those who have an ingrained ideological objection to workers being paid fairly for their contribution. Who somehow believe that the only way to grow the economy is to limit opportunity and diminish security,” Mr Albanese will say.

“We know fairness has to be fought for, we know progress has to be earned. Most of all we know it’s worth it – we know the difference that it makes to people’s lives is worth it.”

But in an open letter to senators, business leaders say the IR bill will undermine workplace flexibility and productivity via “one-size-fits-all wages outcomes” and lock in higher costs that drive inflation and put upward pressure on interest rates.

“Businesses now face radical plans to impose an industrial relations system that undermines their future viability. Some employers will cut back on ambitions to grow. Others will be forced to close their doors,” the letter says.

“The time allotted to consider this complex bill is absurdly short. (The bill) will make it harder for businesses to keep Australians in jobs – and make it harder to create more.

“We all share the ambition of wage growth, but lifting productivity is the way to do this – not by taking control away from businesses and their employees.

“We call on the Senate to split the bill to allow further time for careful examination of business’ concerns. Failing this, we urge the Senate to oppose the bill.”

ACCI chief executive Andrew McKellar said “at a time of great uncertainty, this bill puts small and medium businesses across the nation at risk”.

“This is complex legislation, which will affect every Australian. The livelihoods of small and family businesses across the country are too important to get this wrong,” Mr McKellar said.

Opposition Leader Peter Dutton accused the government of “trying to impose an economy-wide 1970s-style industrial relations system at exactly the wrong time”. “When you’ve got union leaders like John Setka from the CFMEU out applauding this legislation, you should start to worry,” Mr Dutton told Sky News.

Mr Albanese said Labor’s plan to lift wages needed “an industrial relations system that is fit for purpose, that’s in the interests of both workers but also employers”.

“That’s the balance we’re trying to meet. We’ve sat down constructively with employers over many weeks now, and we’ve sat down with unions as well. I know that there’s some disagreement from employers, there’s some disagreement from some unions. That to me says we’re getting the balance right,” Mr Albanese told Sky News.

In his speech to trade unionists, Mr Albanese will commit to tackling emerging challenges confronting the “rights and dignity and security of working people”. “Every centimetre of progress, every degree of every improvement, has been earned and fought for, through generations of solidarity and sacrifice,” he will say.

“And while we will always remember those historic victories, the best and most fitting way to honour the contribution of those who have gone before us, is to continue their work. Not just ­defending ground already gained – but carrying the task of progress forward.”