Australian Industry Group lashes Rudd Government’s Fair Work bill

Peak employer group the Australian Industry Group has stepped up the attack on the Rudd Government’s Fair Work bill, claiming Labor does not have an election mandate for many of the changes.

AIG chief executive Heather Ridout appeared before a Senate committee hearing into the Fair Work bill yesterday to outline the organisation’s seven main concerns with the bill, which include increases to union rights to enter workplaces, compulsory arbitration for low-paid workers, and new rules around enterprise agreements at greenfield sites.

“In all seven of the above areas, the details we are most concerned about were not released prior to the federal election,” Ridout told the committee.

“Therefore, any argument that there is a mandate for these changes is not sustainable.”

AIG says it has identified more than 60 provisions in the bill where the role and power of unions has been increased, and claims there are virtually no areas where the rights of employers have been improved.

Ridout says such sweeping changes are dangerous at a time when the Australian economy faces a prolonged downturn.

“Most other developed nations are in recession, and it would be foolish to believe that the global financial crisis and economic slowdown will not have a major impact upon Australian businesses, even though that impact has not yet been fully felt.

“This is not a time for taking risks. This is a time for giving businesses as much certainty as possible, in a highly risky and uncertain economic environment.”

The AIG’s strident opposition to the Fair Work bill is something of a blow to the Government, given the organisation – and particularly Ridout – has been closely involved in the consultation process in developing the laws.

The Senate committee hearings conclude in Canberra today.

Related stories:

• Inside the new Fair Work bill
• The swinging pendulum of workplace relations