Andrew Murray (WA, Australian Democrats) Share this | Hansard source

by leave—I move Australian Democrats amendments (1) and (3) on sheet 5266:

(1)    Schedule 1, page 4 (after line 4), before item 1, insert:

1A  Paragraph 22(1)(a)

After “conduct”, insert “annual”.

(3)    Schedule 1, page 4 (after line 4), before item 1, insert:

1C  Paragraph 24(1)(a)

Before “the”, insert “subject to paragraph 22(1)(a),”.

Amendment (3) is simply consequential. Amendment (1) requires annual wage reviews by the Australian Fair Pay Commission. It is probably implicit in the functioning of the commission. I seek to make it explicit. It is one of those things that either you agree with or you do not. It is plain on the face of it.

Question negatived.

I move Australian Democrats amendment (2) on sheet 5266:

(2)    Schedule 1, page 4 (after line 4), before item 1, insert:

1B  Section 23

Repeal the section, substitute:

23  AFPC’s wage-setting parameters

        (1)    The objective of the AFPC in performing its wage-setting function is to ensure that a safety net of fair minimum wages and conditions of employment is established and maintained while promoting economic prosperity of the people of Australia, having regard to the following:

             (a)    the need to provide fair minimum standards for employees in the context of living standards generally prevailing in the Australian community;

             (b)    the capacity of the unemployed and low paid to obtain and remain in employment;

             (c)    economic factors, including levels of productivity and inflation, desirability of attaining a high level of employment, employment and competitiveness across the economy;

             (d)    relevant taxation and government transfer payments;

             (e)    the needs of the low paid.

        (2)    In performing its functions under this Part, the AFPC must have regard to the following:

             (a)    the need for any alterations to wage relativities between awards to be based on skill, responsibility and the conditions under which work is performed;

             (b)    the need to support training arrangements through appropriate trainee wage provisions;

             (c)    the need, using a case-by-case approach, to protect the competitive position of young people in the labour market, to promote youth employment, youth skills and community standards and to assist in reducing youth unemployment, through appropriate wage provisions including, where appropriate, junior wage provisions, taking into account:

                   (i)    the extent of labour market disadvantage faced by young workers; and

                  (ii)    the work value of young workers at different ages; and

                 (iii)    the promotion of skills development and training of young workers to reduce their labour market disadvantages; and

                 (iv)    the desirability of minimising discrimination on the basis of age in wage rates only to the extent necessary to further these objectives; and

                  (v)    the structural efficiency principle; and

                 (vi)    that 18 years of age is considered an adult;

             (d)    the need to provide a supported wage system for people with disabilities;

             (e)    the need to apply the principle of equal pay for work of equal value;

              (f)    the need to prevent and eliminate discrimination because of, or for reasons including, race, colour, sex, sexual preference, age, physical or mental disability, marital status, family responsibilities, pregnancy, religion, political opinion, national extraction or social origin.

        (3)    For the purposes of paragraph (2)(f), trainee wage arrangements are not to be treated as constituting discrimination by reason of age if:

             (a)    they apply (whether directly or otherwise) the wage criteria set out in the award providing for the national training wage or wage criteria of that kind; or

             (b)    they contain different rates of pay for adult and non-adult employees participating in an apprenticeship, cadetship or other similar work-based training arrangement.

This amendment seeks to substitute a longer and more expansive determination of wage-setting parameters for the Australian Fair Pay Commission and it incorporates either the actual wording or the intention of the existing section 23, which you will find on page 29 of the printed version, as at the end of 2006. The intention of this amendment is to sweep up the many issues which we believe the Fair Pay Commissioner should attend to. Effectively, we are seeking to incorporate specific social goals as well as economic goals in the wage-setting parameters; we are seeking to make it explicit that persons aged 18 and above are adults; and we are seeking to ensure that the First World standards which we think Australia should have with respect to minimum wages and conditions are identified. Of course, as in the government’s original parameters, we have said that the AFPC must have regard to these matters. They must, of course, arrive at their own balance and consideration.

Our amendment says that the objective must include promoting economic prosperity and must provide fair minimum standards in the context of living standards generally prevailing in the Australian community. We believe that the state of the employment market is important—the capacity of the unemployed and low paid to obtain and remain in employment. We think that economic factors are important—productivity, inflation and the desirability of attaining a high level of employment and competitiveness. We think that the AFPC should have regard to relevant taxation and government transfer payments—and that is a matter of some controversy—and that they should have regard to the needs of the low paid.

We say that the AFPC must have regard to the award relationships and training needs—the need for the competitive position of young people and youth employment. We want particular attention paid to any labour market disadvantages for young workers. We of course advocate the desirability of minimising discrimination on the basis of age and wage rates. We refer to the structural efficiency principle. We argue for a supported wage system for people with disabilities. We enshrine the need to apply the principle of equal pay for work of equal value. We spell out the need to prevent and eliminate discrimination and itemise those characteristics, and we allow for exemptions or special determinations with respect to discriminating wage arrangements where people are trainees. That is a brief summary of the content. It is an expanded version, but the Democrats feel particularly strongly that the whole basis of a civilised, First World standard in this economy and this society starts with the minimum wage. That is why we have been promoting an expansion of the existing wage-setting parameters.

Question negatived.

by leave—I move Democrats amendments (4) and (5) on the sheet 5266 together:

(4)    Schedule 1, page 4 (after line 4), before item 1, insert:

1D  Paragraph 103(1)(b)

After “economy” (second occurring), insert “and society”.

(5)    Schedule 1, page 4 (after line 4), before item 1, insert:

1E  Paragraph 103(2)(b)

After “economy” (second occurring), insert “and society”.

We are explicitly saying that, with respect to any consideration of the public interest, the economy must be accompanied by a view being taken of society. So both of those amendments say ‘after economy insert “and society”’. We are not of the belief that a man or a nation is purely an economic being. We do believe we are primarily social beings and economics is a means to an end. We think that, in this perspective of minimum conditions and the safety net, a regard to how society is and the aspirations of society should be explicit.