Last Friday the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Bill 2022 — the most significant industrial relations change in nearly 20 years – passed through Federal Parliament, after being introduced a mere 5 weeks ago with no prior consultation.
This is a disappointing outcome. We, along with many other business representatives have expressed that this Bill was never fit for passage and should not have been rushed through. It will negatively impact business and economic growth in South Australia.
At a time when businesses are already significantly burdened with escalating energy prices, rising inflation and interest rates, they will now be forced into lengthy and complex negotiations and may face industrial action.
The new changes to industrial relations are significant and will change the rights of people running Australian businesses. It is vital that business owners and operators understand their new obligations.
Changes to pay secrecy laws, flexible work arrangements and multi-employer bargaining agreements that are contained in the new laws are of great concern for business. Australian businesses will lose their competitiveness and flexibility, and in turn, their appeal to potential investors. Rather than securing jobs, these changes will place jobs at risk.
Given the complexity of this legislation, there are many unknowns. What we do know is that there is nothing to show the new laws will lead to productivity improvements that are the key to delivering sustainable improvements in wages.
We have seen no evidence to show how this legislation will lead to increased wages in the short term as promised by the government and unions. We do know it will significantly increase costs for business, result in more time spent in arbitration and reduce productivity.
The South Australian Business Chamber is working to collate important information that business owners need to know about at business-sa.com/ir-changes
Membership with the South Australian Business Chamber has never been so important. Sign up today for unlimited access to the Business Advice Hotline which offers industrial relations advice. For more complicated matters, member rates are available for one-on-one consulting services.
Become a member at business-sa.com/join
