Mark Arbib (NSW, Australian Labor Party, Minister Assisting the Prime Minister for Government Service Delivery) Share this | Hansard source

The government is not supporting this amendment. This amendment would entrench state based differences in awards for five years. All such differences would cease to operate after five years. This ‘big bang’ approach is a recipe for chaos. It would deprive employers and employees of a sensible and smooth transition to the new system and would prolong current inconsistencies in terms and conditions. By contrast, the government has created an orderly process. This process is already underway and the commission is well advanced in consulting with stakeholders in developing the provisions.

The AIRC is able to determine award-specific transitional arrangements after consideration of submissions from interested parties. In doing so, it is open to the commission to use the full five-year period to phase in these arrangements where appropriate. Importantly, this recognises that the representatives of employers and employees are best placed to develop transitional arrangements that take account of any particular characteristics of their industry or occupation, including the staging of any phase-in arrangements and the period over which phasing in occurs.

This amendment would pull the rug out from under the AIRC and send the parties back to the drawing board, and for no real purpose. The commission is already acutely aware of the need to consider a smooth and orderly transition. It is acutely aware of the need to ensure a gradual adjustment to any cost increase. Passing this amendment would not make any difference to this but would create massive inconvenience for all concerned. For these reasons, again, the government opposes the amendment.