ACTU demands changes to give workers more power

ACTU secretary Sally McManus says sweeping changes are needed to fix workplace relations system in a “national crisis”.

ACTU secretary Sally McManus addressing the National Press Club in Canberra. Picture: Kym Smith

ACTU secretary Sally McManus has called for sweeping changes to enterprise bargaining rules, greater scope for industry-wide pay ­negotiations and the overhaul of a “stacked” Fair Work Commission with new powers to pursue “wage theft”.

But the union movement’s ­ambitious agenda was attacked by the Coalition as left-wing lunacy and condemned by business groups as a job killer.

Federal Labor, which has previously committed to a series of workplace policy changes, declined to express explicit support for the proposals outlined by Ms McManus to the National Press Club yesterday.

But opposition employment spokesman Brendan O’Connor said the ALP believed low wage growth, the declining bargaining power of workers and insecure work needed to be redressed.

“Unlike the Turnbull government, if elected, Labor is committed to giving Australians a real wage increase and is committed to restoring fairness in workplaces,’’ he said.

Declaring the workplace system to be in “national crisis”, Ms McManus said significant changes were needed to the Fair Work Act because “our workplace laws from 10 years ago are now not strong enough to balance the power of big business”.

She said enterprise bargaining was so restrictive and excessively regulated that it was smothering wage growth.

“Workers should be free to bargain collectively and reach a negotiated agreement with employers without restrictions,’’ she said.

Ms McManus said workers should be able “to negotiate across a sector or industry should they choose to do so”, and restrictions on what can be contained in agreements should be removed.

“Right now workers have a very limited capacity to negotiate agreements to protect job security, to seek jobs for young people or for effective protections against outsourcing,’’ she said.

“CEOs are free to bargain for whatever they want, multinationals are free to bargain complex and enforceable rights for themselves in free-trade agreements, yet workers have no right to bargain for a whole range of issues that matter to them, like their own job security. This is unfair. We should have the same rights, we demand equal and fair rights.”

Ms McManus said the commission was being stacked by the ­Coalition with appointees with business backgrounds and was now known by workers as the “Unfair Work Commission”. She said the ombudsman had become “politicised” and was not stopping the abuse of vulnerable workers.

“There are no crippling fines being imposed on those employers exploiting visa workers or celebrity chefs stealing wages or developers in the construction industry who cut corners killing workers,’’ she said.

“When an employer breaks an agreement or an award right or acts unfairly, we need an umpire who can enforce the rules. The Fair Work Commission’s independence must be restored and it must be given the power to stop employers who rip off or treat their workers unfairly.

“Now, more than ever, we need an effective and fair independent umpire to hold the power of big business in check.’’

Australian Industry Group chief executive Innes Willox said the ACTU proposals would kill jobs and keep young people out of work.

Australian Chamber of Commerce and Industry acting chief executive Jenny Lambert said the ACTU was waging war on ­employers by engaging in old style fear mongering that risked dividing business operators and employees.