Treasury IR report shows ‘unions were right ’ about  WorkChoices - ACTU

News

Treasury IR report shows ‘unions were right ’ about WorkChoices - ACTU

The ACTU has seized on a Treasury report which says that wages for lower paid workers are likely to be suppressed by the new WorkChoices laws to claim that its criticisms of the legislation were right all along.

WantToReadMore

Get unlimited access to all of our content.

The ACTU has seized on a Treasury report which says that wages for lower paid workers are likely to be suppressed by the new WorkChoices laws to claim that its criticisms of the legislation were right all along.

The ACTU says the report, obtained under freedom of information laws, show that ‘the Federal Government’s own Treasury Department believes that John Howard’s industrial relations changes will mean that “increases in minimum wages are likely to be lower” and that this will “slow award wage growth and flow on” to other workers’.

‘These documents prove that the Howard Government has known all along that its industrial relations changes would lead to lower wage rises, cuts in the take home pay of workers and more pressure on working families,’ ACTU Secretary Greg Combet said.

‘The Treasury has also confirmed that there is no economic case or justification for the Government’s new IR laws.’

Contents of Treasury report

The ACTU says the Treasury report found:

  • That productivity is likely to be ‘suppressed’ by the Government’s plans to push down award wages;
  • That there is no evidence that the Government’s efforts to push more workers onto individual contracts will improve productivity because there is ‘no clear difference in productivity gains between collective and individual agreements’ and
  • That Government claims that jobs growth will be boosted by IR changes are misleading because any employment gains would be ‘not huge in the context of recent history’.

‘There is no economic case for these IR laws,’ Combet said. ‘They are simply about Liberal Party ideology.

‘Treasury has confirmed that John Howard’s IR laws will lead to lower wages for Australian working families. They have also proven that the Government’s claims that its IR laws will improve productivity and boost jobs growth are lies.’

Related

Comments and views on Federal Government's IR agenda

 

Post details