Changes to NSW industrial relations law criticised

Major changes to industrial relations law in New South Wales would undermine working conditions for working people and families, Productivity and Labour Relations Minister Yvonne Henderson said today.

"New South Wales is embarking on the New Zealand path towards deregulating working conditions and dismantling the safety net that protects lower-paid workers," Mrs Henderson said.

"And a federal Liberal-National Party Government would follow this trend, doing away with awards in favour of contracts, eliminating trade unions from workplace negotiations and bypassing the role of industrial tribunals."

The NSW legislation comes into effect today.  Under the new laws, there are harsh penalties of $100,000 for unions which take industrial action.  Workers and employers who do not comply with industrial court rulings on industrial action are also penalised heavily.

Union action in support of another union is banned, so picket lines will have to be crossed by members of other unions.

Enterprise agreements between employers and employees are to be introduced, bypassing unions and industrial tribunals.

"The Western Australian Government is in favour of enterprise bargaining, within a framework of protection of existing award conditions and no trade-offs of conditions for more pay," Mrs Henderson said.

"Enterprise bargaining under the National and State Wage case guidelines announced in recent months involves full consultation between an employer and site unions, and agreements will have to be ratified by the State Industrial Relations Commission.

"This will involve the constructive evolution of enterprise bargaining, not an assault on earnings and conditions.

"I am very concerned that, despite the protestations of the Liberal Party in WA, they would take industrial relations down the same confrontationist road as NSW."

Mrs Henderson said NSW was set to go the same way as New Zealand, which was becoming a low-skill, low-wage economy as a result of its Employment Contracts Act.

"John Hewson, too, has made it clear that under a Federal Conservative Government, market forces would control the labour market," she said.

"Mr MacKinnon has supported this thrust, and it is becoming apparent that his party does not understand the implications.

"He does not understand that enterprise bargaining is already in place.  It is not something the Liberals would introduce.

"As in New Zealand, the conservatives in NSW are playing down the changes in their industrial regulation.  Workers under NSW State awards are losing many of the industrial freedoms that we take for granted.

"In New Zealand, wages have fallen, conditions have worsened, penalty rates, overtime, long-service leave, redundancy provisions and shift allowances have all been attacked.

"In contrast, the Australian and Western Australian Governments are working with unions and employer groups to encourage a highly skilled, better paid workforce which has opportunities for training."