The Australian Chamber of Commerce and Industry (ACCI), Council of Small Business Organisations Australia (COSBOA) and Australian Retailers Association (ARA) warned that increased workplace regulation will threaten the survival of Australian businesses and undermine opportunities for job growth and creation.
ACCI CEO Andrew McKellar said Australian business is at peak regulation and overwhelmed by red-tape and complexity.
“Employees want choice and flexibility and that needs to be at the heart of any workplace proposals. Business needs that agility to survive. Tying Australian businesses up in knots around workplace systems has the effect of strangling growth – and that means less jobs and lower wages.
“This is a clear example of trade unions denying choice and flexibility to employees about their own work and pay arrangements. It is out of touch with the realities of a global 24|7 economy and risks killing even more small businesses and damaging the Australian economy.
“There is more volatility coming for Australian businesses, through the trade wars and increased global competition. That is where our government’s focus urgently needs to be. Yet here we are again, ignoring the core issues, interfering in independent determinations, and keeping workforce regulation in the dark ages,” he said.
“From energy, fuel and rent, to wages, insurance and transport – the costs of doing business have risen obscenely. Whether we like it or not, that influences what Australians pay at the checkout. The cost-of-living-crisis, and the cost-of-doing-business crisis, are directly linked and we need policies that recognise and address that.”
ARA Chief Industry Affairs Officer Fleur Brown said employee choice is at the heart of the proposals put forward to the Fair Work Commission.
“Aside from the dangerous precedent of interfering with an independent legal process, opposing these changes means many employees lose the chance to gain on flexibility and wages. “
“Unfortunately, government and unions continue to misconstrue what’s actually been proposed. Penalty rates will not be removed under our proposal. What’s proposed is that retail managers can opt into an annualised salary which provides greater income and financial stability and would see them on average $5,841.65 better off annually.
“On the one hand the Federal Government has been saying it wants to provide a system where Australians have more flexible work options, but on the other hand it seems intent on stopping common sense efforts to achieve this. It’s also just another example of why it’s so hard to survive as a small business in Australia,” she said.
COSBOA CEO Luke Achterstraat said it’s time that politicians recognise small business supports five million Australian jobs, but right now, they are under intense pressure.
“Australians operate in a seven-day economy and employees need the flexibility to structure their work in a way that fits their lives. These changes give them more control while making sure small businesses can confidently meet their obligations and run a sustainable business,” he said.
“Reducing not adding complexity will help small business owners focus on running their businesses and supporting their employees.
“According to the Reserve Bank of Australia, more than three-quarters of recent insolvencies have been small businesses with under 20 employees.
“In the retail sector alone, employers must navigate 994 different pay rates across 96 pages just to ensure their employees are paid correctly. It’s unworkable.”
“Red tape and complexity is undermining the viability of Australian small businesses. It’s not sustainable. We need to make sure our workplace system supports economic growth and productivity, job security, and fair opportunities for employees and employers alike.
“We call on all candidates at this Federal election to stand up and support the five million Australian jobs that exist because of small business.”