House debates

Thursday, 14 September 2023

Bills

Fair Work Legislation Amendment (Closing Loopholes) Bill 2023; Second Reading

12:07 pm

Photo of Tracey RobertsTracey Roberts (Pearce, Australian Labor Party) Share this | Hansard source

There is no doubt that casual employment forms a sizeable proportion of the Australian labour market and suits the needs of some employees and employers. However, there are known issues, and we need to address the critical issue of job security and all that entails. As stated previously, almost 19 per cent of workers in Pearce in August 2022 were working in insecure casual work, and although casual employees are generally entitled to receive a loading to compensate for a lack of paid leave entitlements, casual employees generally earn less on average than permanent employees. Importantly, they do not have the same ability to receive benefits such as superannuation. In a modern, progressive, fair society, job security, including paid leave and superannuation benefits, are the minimum we should expect. These are key factors when seeking a mortgage or a loan and for long-term wellbeing. If future generations are looking to live on their superannuation earnings then we need to enable them to accumulate this by providing appropriate employment opportunities.

Part 9 of schedule 1 to the bill would change the defence to misrepresenting employment as an independent contracting arrangement known as 'sham contracting' in subsection 357(2) of the Fair Work Act from a test of recklessness to one of reasonableness. The new test would provide that an employer would not contravene the prohibition on sham contracting in subsection 357(1) of the Fair Work Act if the employee reasonably believes that contract was a contract for services. Part 14 of schedule 1 addresses wage theft, a persistent issue that has plagued our workforce for too long. As the Minister for Employment and Workplace Relations has said:

If a worker steals from the till, it's a criminal offence … But in many parts of the country if an employer steals from a worker's pay packet, it's not.

This injustice must be brought to an end. I'm sure I do not have to remind colleagues that wage theft is a significant issue throughout Australia, with too many reports of underpayment and exploitation of workers, particularly in industries like hospitality, agriculture and retail. The bill introduces a new criminal offence for wage theft, which applies to intentional conduct.

The bill also introduces stricter penalties for employers who intentionally underpay their employees, ensuring that they are held accountable for their actions. Workers deserve to receive their fair wages for their hard work, and this legislation takes a significant step forward in achieving that. Schedule 2 proposes important changes to the Asbestos Safety and Eradication Agency Act 2013. Promoting industrial hygiene involves taking steps to protect the work environment by reducing workers' exposure to substances that impact upon human health, including where workplace exposure to respirable or crystalline silica results in people developing serious health conditions. The new part 1A and item 15 would provide the agency with functions related to silica safety and coordination and monitoring of jurisdictional efforts to eliminate silica related occupational diseases.

Importantly, amendments to the Safety, Rehabilitation and Compensation Act 1988 are intended to improve the physical and mental health outcomes for first responders covered by the Safety, Rehabilitation and Compensation Act, by simplifying their right to workers compensation if they are suffering from post-traumatic stress disorder. It is a timely reminder of the work undertaken by those working in our police force, firefighters, ambulance officers, and emergency services who do such an amazing job protecting and serving our community, often in dangerous circumstances.

Schedule 4 to the bill would strengthen the offences and penalties framework in the Work Health and Safety Act 2011. A new offence of industrial manslaughter would be introduced—and not before time. Jobs in both the construction and resource industries are hard and dangerous. Given this, there is an appropriate expectation that employers will provide their workers with a safe workplace, but we need to do more than that. There must be clear consequences for employers that cut corners and whose employees face the ultimate deadly outcome. Too many families have had to endure the heartache of their loved ones never coming home after an industrial accident. A stronger safety culture needs a regime that ensures that those responsible are prosecuted if things go wrong.

Furthermore, the bill introduces measures to ensure collective bargaining remains a viable option for workers seeking better wages and working conditions. It enhances protections for union representatives, safeguarding their ability to advocate for their members effectively. As the Minister for Employment and Workplace Relations said at the introduction of this bill:

If someone thinks it's reasonable that wage theft not be a crime, defend it.

…   …   …

If someone believes that low-paid workers in the gig economy should have absolutely no minimum standards, they should make that case.

If someone's position is that it's fine for certain companies to agree to minimum rates of pay in an enterprise agreement and then use a loophole to completely undercut them then they should defend the loophole and make that case.

These are the bizarre positions taken by those opposite. I stand here today proudly representing the hardworking families of Pearce, and I urge support for the bill. This is the legislation that will deliver the job security and wages growth for our families in need.

In conclusion, the Fair Work Legislation Amendment (Closing Loopholes) Bill 2023 represents a significant milestone in our pursuit of fair and just working environments for all Australians. It addresses crucial issues such as the gig economy, exploitation, wage theft, workplace harassment and collective bargaining rights. By closing these loopholes we are taking a vital step forward in ensuring that every worker in Australia is treated with the dignity, respect and fairness they deserve. I commend this bill to the House.

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