Joe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | Hansard source

I move government amendment (3) on sheet RE403:

(3)    Page 142 (after line 8), after clause 145, insert:

145A Terms about consultation and representation

                 Without limiting paragraph 139(1)(j), a modern award must include a term that:

             (a)    requires an employer to whom the award applies to consult the employer’s employees to whom the award applies about major workplace changes that are likely to have a significant effect on the employees; and

             (b)    allows for the representation of those employees for the purposes of that consultation.

This amendment recognises the importance of consultation with employees in circumstances where an employer has decided to introduce major changes that are likely to have a significant effect on employees. It is longstanding industrial practice that awards provide for consultation in these circumstances. For example, in the important matter of redundancy, the 1984 redundancy test case recognised that consultation about major change is highly desirable and that representation in this process is appropriate. The arrangements worked well for over 20 years, until consultation clauses were rendered non-allowable by the Workplace Relations Act.

There are a couple of matters that it is important to note in this debate. Firstly, the provision allows Fair Work Australia to determine the most appropriate arrangements for consultation and representation. It is a matter for Fair Work Australia to make those decisions. Secondly, the proposed amendment requires awards to provide a process for consultation and requires representation as part of that process. It would not impinge on employers’ ability to manage their businesses and would not allow for arbitrated outcomes to be imposed on businesses. Those are two very important matters that we should recognise.