Safeguards to curb militant unions in the new IR bill

Labor’s industrial relations bill is being introduced into Federal parliament this morning (Thursday). Sources briefed on its contents have told The Australian that while the bill will establish new rights to strike in support of multi-employer bargaining, a safety clause will prevent rogue bargaining agents who have repeatedly breached the Fair Work Act from participating in multi-employer bargaining.

The clause is widely assumed to be directed at the CFMEU’s construction division, given its track record of breaching federal workplace laws.

Unions will also be required to participate in conciliation with an employer before workers could take industrial action.

The Secure Jobs Better Pay bill proposes a simplified legal test to approve pay deals and expands the power of the Fair Work Commission to arbitrate in cases where there is a stalemate, according to employer and union sources.

Despite the safeguards to assuage business concerns, some business and industry groups remain deeply resistant to the reforms, predicting that it could lead to large-scale or even sector-wide strikes in the coming years.

The bill will be subject to a Senate inquiry and employers are attempting to get a parliamentary vote delayed until early next year.

Entrenching industry-wide pattern deals and opening the door for economy-wide strike action is the exact opposite of what we need to support a modern and flexible economy, says Master Builders Australia CEO Denita Wawn.

“This bill does nothing to secure jobs or provide better pay in the medium to long term and goes against the very fabric of traditional Labor industrial relations policies.

“Workplace laws need to encourage workplaces to drive productivity at the individual enterprise level, not take us back to a ‘one size fits all’ approach last seen in the 1970’s,” says Wawn.