Business groups join forces to fight Albanese government’s ‘same job, same pay’ reforms

Australia’s leading business groups have vowed not to stop fighting against major planned workplace reforms.

Australia’s leading business and industry groups have vowed they “won’t stop” until Anthony Albanese and his government waters down their workplace relations reforms.

A multimillion-dollar campaign – “A Better Way, for Better Pay” – launched on Monday, warning Australians of the danger of the union-backed Labor-proposed same job, same pay law, which the groups are calling a hit on aspirational workers.

In what is shaping up to be the most significant multi-industry counter-attack since the mining tax fight, the campaign will warn Australian workers that if they value being rewarded for their experience and hard work, “same job, same pay will take that away”.

In a joint statement signed by a number of groups, including the Australian Chamber of Commerce and Industry, APPEA, the Business Council of Australia, Council of Small Business Organisations Australia, the Minerals Council of Australia, and the National Farmers Federation, the business community leaders said they “today stand as one”.

The groups say the reforms would take away worker incentive and reduce productivity, and have vowed not to back down until their demands are met.

The groups have accused Labor of pandering to the unions instead of listening to the concerns of business.

“We won’t stop until the government listens,” Minerals Council chief executive Tania Constable said.

Australia’s largest employers, farmers and small-business owners have declared war on Anthony Albanese. Picture: Getty Images

Business industry leaders have teamed up to counter the government’s ‘same job, same pay’ reforms. Picture: NCA NewsWire/Simon Bullard

She said she was concerned by how “far-reaching” the same job, same pay reforms were, “and the government can’t explain it”.

She said the government “hasn’t been listening” to businesses’ concerns.

The groups said the “latest upheaval” to workplace relations would “lead to lower wage growth and fewer jobs – compounding the plight of workers and families who are already doing it tough”.

“The so-called ‘Same Job, Same Pay’ proposals does not mean equal pay for men and women. It does not speak of fairness and justice, as its name falsely represents,” the group said.

“It means by law, employers will have to pay workers with little knowledge or experience exactly the same as workers with decades of knowledge and experience.

“It means by law, you cannot earn better pay by working harder or longer, if your colleague does not share your ambition or work ethic.”

The group said businesses of all sizes and shapes needed the opportunity to “ramp up and ramp down” as conditions required and opportunities arise – or risk stunted growth and a “never-ending rollercoaster of hiring and firing”.

They’ve accused the policy of being “so ill defined” and argue it fails to pinpoint an exact problem because it is “too broad and badly defined”.

Treasurer Jim Chalmers doubled down on the government’s reforms on Monday, saying the legislation would ensure labour hire and other insecure working arrangements weren’t used to undercut other workers’ pay and conditions.

“This isn’t about stopping businesses rewarding experience. It’s about making sure that workers are eligible for the pay and conditions that the employers have agreed with their workforces,” he told ABC Radio.

“It’s about closing loopholes to make sure that labour hire or casual workers or gig workers are used in the way that they’re intended.”

Workplace Relations Minister Tony Burke will soon introduce the next stage of the government’s industrial relations reforms. Picture: NCA NewsWire / Martin Ollman

The same job, same pay reforms would ensure labour hire workers are paid at least the same as full-time employees. It would empower the Fair Work Commission to police disputes, and enshrine anti-avoidance measures.

Ms Constable said the government was yet to “actually show us examples of where it’s going wrong”.

“This is about fairness … This goes well beyond what was suggested originally just applying to a limited number of labour hire firms and labour hire cases. It extends out to just about every business,” she said.

Co-signee and ACCI chief executive Andrew McKellar said eliminating flexibility would “weaken the economy, punish workers, and drive up costs for consumers”.

Council of Small Business Organisations chair Matthew Addison said he was concerned the reforms would “disrupt” small business’ environment.

“Small businesses look to reward their workers fairly and equitably. What we’re really concerned (about) here is that the worker won’t be able to work harder and get rewarded for it,” he said.

“Under some of the language that is being used behind same job, same pay, everybody gets paid the same. No loyalty rewards, no experience rewards, no productivity rewards.”

Dr Chalmers said the government recognised that there was a role for labour hire, but the government didn’t want it used as an “ongoing way to undermine and undercut people’s pay and conditions that have been negotiated with employers”.

“That’s our motivation here. It’s not about trying to prevent businesses from recognising different levels of experience,” he said.

Originally published as Business groups join forces to fight Albanese government’s ‘same job, same pay’ reforms