Chris Bowen (Prospect, Australian Labor Party, Minister for Financial Services, Superannuation and Corporate Law) Share this | Hansard source

I accept the honourable member’s characterisation of what he is trying to find out. I would say this: the measure applies prospectively, not retrospectively. There is no grandfathering rule to preclude application to employment contracts concluded before budget night. The advice to government is that grandfathering could create avoidance opportunities and potential for further inequity, and parties to long-term employment contracts could benefit significantly as opposed to those in short-term employment contracts. That is something perhaps fairly obvious to the House—that employment contracts can go over a very long period of time and a short period of time. Somebody who had, say, a very long period of contract would then have a substantial advantage over somebody who may have been on a short-term contract but with the option to roll over or the potential that the work continue. Therefore, as a matter of equity, the measure was designed as it has been designed. The honourable member will be perfectly entitled, through the procedures of the House, to make whatever suggestions or amendments that he sees fit, but that is the government’s position.

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