Employers urge Scott Morrison to extend IR flexibility

Employers want Scott Morrison to extend emergency workplace measures to at least Christmas in a bid to save jobs

Innes Willox says that the short-term changes made to the Fair Work Act were playing a vital role in preserving jobs and the viability of businesses.

Business has urged Scott Morrison to extend industrial relations exemptions to employers who will no longer use JobKeeper until at least the end of the year, saying the additional workplace flexibility would be critical to saving companies and jobs.

The push by key industry groups came after the Prime Minister flagged on Thursdayextending the exemptions which allow employers to cut employee hours and change their duties.

Australian Industry Group chief executive Innes Willox said on Friday that the short-term changes made to the Fair Work Act were playing a vital role in preserving jobs and the viability of businesses.

“It is in no one’s interests for those measures to be discontinued at the end of September, as that would be a certain way to extinguish the jobs of a very large number of employees,” Mr Willox­ said. ”Clearly the COVID-19 crisis is continuing.

“If a business is currently elig­ible to access the measures in the Fair Work Act then they should continue to have access beyond the end of September, regardless of whether they lose access to JobKeeper payments.

“At the very least, the measures should be continued until the end of this year.“

Australian Chamber of Commerce and Industry workplace policy director Scott Barklamb said the industrial relations changes introduced to support JobKeeper in April should “remai­n in place for at least the rest of 2020”.

“With small businesses facing renewed uncertainty, reduced consumer confidence, Victoria returning to restrictions, and what may be the worst economic and jobs crisis in living memory, it is vitally important that temp­orary industrial relations flexibility be extended to help em­ployers and employees continue to work together, save businesses and save jobs,” he said.

“No employer wants to reduc­e hours or incomes, but keeping people in work is even more important. Capacity to partially­ stand down employees, to have employees work from home, and to unlock leave to maintain employee incomes has never been more important.

“We will need emergency measures for so long as the emergenc­y remains in place, and if we withdraw them prematurely all our good work together will be wasted.”

The ACTU is pushing for JobKeeper and JobSeeker to be extended­ by six months from September. Unions want the extended support applied across the workforce and not confined to specific industries or locations.

ACTU president Michele O’Neil said JobKeeper should remain available to employers who continued to suffer significant revenue reductions, with companies subject to quarterly examination of their revenue.

The increased flexibility of working arrangements has helped firms affected by the COVID-19 crisis take advantage of the JobKeeper wage subsidy program and keep staff on the books, even at zero hours.

Labour force statistics released this week showed a 4 per cent increase in hours worked between May and June, versus a 1.7 per cent lift in employment, as businesses, particularly those in hospitality-related industries, opened back up as restrictions were eased from late May.