Attachment A: Productivity Commission Inquiry into the Workplace Relations Framework - Summary of NFF recommendations Subject matter FW Act Problem Solution Category provision Introduction Objects of the Fair 3(c) Restricts the capacity of the workplace relations framework to Delete the object. barrier Work Act evolve over time. AWAs were an accepted element of federal workplace relations law long before 2006. With appropriate safeguards, they can be effective. Definitions 12, 311(6) The definition is imported from the Adopt a definition COMPLEXITY Corporations Act 2010, – ‘stand-alone’ where it has a particular function and purpose. The definition of that is fit for ‘associated entity’ ‘associated entity’ is not suitable for the purpose of the FW Act, and is more purpose in relation to the FW Act. complex than necessary. Definitions 19, 411 Employers can only take industrial action in response to Expand the type of industrial BALANCE – ‘lock out’ employee action, and when they do, their only option is to action employers can take to lock employees out completely. Employees have unlimited cover other restrictions on the range in terms of the industrial action they can take. This performance of work. means that employer response action is either not taken or Ensure that employer action does criticised as disproportionate. not include action taken that is agreed to by employees or in connection with performance management. Definition 23 Workforce numbers fluctuate in businesses that rely on casual Exclude casuals other than COMPLEXITY – ‘small business employment. A business might be a one day casuals (those who have employer’ ‘small business’ and not a the next. The current rules create been employed on a regular and ‘small business’ uncertainty about the rules that apply to businesses of this systematic basis over a period of kind. 12 months or more). Interaction rules long 27, 29; The current framework was designed in anticipation of a Permit enterprise agreements to BARRIER – service leave (LSL) 113A, 155 national LSL standard. No progress has been made on this prevail over State and Territory issue in more than five years. At the same time, business has LSL laws to the extent of lost the capacity to implement national long service leave inconsistency schemes through enterprise bargaining and casual loadings can no longer factor for long service leave. Many casual
Attachment A: Productivity Commission Inquiry into the Workplace Relations Framework - Summary of NFF recommendations Subject matter FW Act provision Problem Solution Category Introduction Objects of the Fair Work Act 3(c) Restricts the capacity of the workplace relations framework to evolve over time. AWAs were an accepted element of federal workplace relations law long before 2006. With appropriate safeguards, they can be effective. Delete the object. barrier Definitions – ‘associated entity’ 12, 311(6) The definition is imported from the Corporations Act 2010, where it has a particular function and purpose. The definition is not suitable for the purpose of the FW Act, and is more complex than necessary. Adopt a ‘stand-alone’ definition of ‘associated entity’ that is fit for purpose in relation to the FW Act. COMPLEXITY Definitions – ‘lock out’ 19, 411 Employers can only take industrial action in response to employee action, and when they do, their only option is to lock employees out completely. Employees have unlimited range in terms of the industrial action they can take. This means that employer response action is either not taken or criticised as disproportionate. Expand the type of industrial action employers can take to cover other restrictions on the performance of work. Ensure that employer action does not include action taken that is agreed to by employees or in connection with performance management. BALANCE Definition – ‘small business employer’ 23 Workforce numbers fluctuate in businesses that rely on casual employment. A business might be a ‘small business’ one day and not a ‘small business’ the next. The current rules create uncertainty about the rules that apply to businesses of this kind. Exclude casuals other than casuals (those who have been employed on a regular and systematic basis over a period of 12 months or more). COMPLEXITY Interaction rules – long service leave (LSL) 27, 29; 113A, 155 The current framework was designed in anticipation of a national LSL standard. No progress has been made on this issue in more than five years. At the same time, business has lost the capacity to implement national long service leave schemes through enterprise bargaining and casual loadings can no longer factor for long service leave. Many casual Permit enterprise agreements to prevail over State and Territory LSL laws to the extent of inconsistency BARRIER
sub0223-workplace-relations.docx