Australian workers will be able to escalate their employment issues and underpayment claims to a new specialist federal court, under a Labor pledge that delivers on a long-term demand of the union movement while inviting another battle with business.
The party also agreed to back compulsory superannuation for teenagers in its platform, regardless of how many hours they work, in a move that will encourage the parliamentary party to change its policy on contributions for young Australians.
Both were signs of the pro-worker focus that heralded the opening of Labor’s 50th national conference – the forum where tank-and-file party members, MPs and unions come together to decide on the next three years of party policy – as the party emphasised it would focus on hip-pocket issues to combat populist politics.
But Labor’s announcement of a new industrial relations court drew new battle-lines with business groups, just two months after its contentious budget put many businesses offside. Employers warned against complicating a workplace system already laden with red tape.
Prime Minister Anthony Albanese said consultations would soon begin on a new Fair Work Court – reinstating a special workers’ court for the first time in almost 30 years – as he gave a speech at the conference’s opening session.
Former prime minister John Howard abolished the specialist industrial relations court in 1997 and moved its jurisdiction to the Federal Court as part of an industrial relations overhaul that sought to curb union influence.
Australian Council of Trade Unions president Sally McManus said the unions had been calling for a national employment court since the last one was abolished. It would become easier, faster and cheaper for workers to recover unpaid wages, she said.
“Too many employers can drag out court cases and grind workers into the dust while making them wait to get a fair hearing,” she said. “Justice delayed is justice denied. If your boss owes you money, you should not have to wait one or even two years to get it back.”
The Albanese government said some workers and small businesses were spending more than two years fighting for resolutions that should be simple.
“The new federal Fair Work Court will provide a specialist forum for resolving workplace relations disputes that works seamlessly with the Fair Work Commission,” a statement said.
“Specialist judges with workplace relations expertise would sit on the court, with the aim of supporting faster, simpler and more accessible dispute resolution.”
However, Australian Industry Group chief executive Innes Willox said the federal industrial court would merely put “a Band-aid on a fundamentally broken … system” and would most likely be stacked with appointees from union backgrounds.
“Given unions have pushed for this development, there will be unsurprising scepticism about the prospect of it operating in an entirely balanced manner,” Willox said.
Australian Chamber of Commerce and Industry chief executive Andrew McKellar warned it would become a “lawyer’s picnic” at business’ expense.
“A specialist industrial court also opens the door for the adoption of legal doctrines to be made by an isolated jurisdiction detached from broader principles of commercial, administrative, constitutional and statutory law,” he said.
Business Council chief executive Bran Black said a new court was no substitute for fixing the complexity of workplace laws under Labor.
“Instead of adding another layer of red tape, we need to make the system simpler to understand for both employees and employers,” he said.
“For a small business, a case that costs more than its worth is not only unfair, it can be the difference between staying open or closing its doors.”
In another looming change for employers, superannuation could soon become compulsory for teenagers, if the party moves quickly to act on the policy embedded in its new platform.
“All workers, including those under 18 and regardless of how they are engaged, can accumulate superannuation on every dollar earned,” the platform says. Teen workers are now only entitled to superannuation if they work more than 30 hours a week.
The Greens last month tried to introduce laws to that effect in parliament – a move that Labor voted against.
The government made another pitch to young Australians earlier on Thursday, with a promise to expand $340 weekly payments to a large group of health and medical students while they undertook practical work placements to earn a qualification.
Albanese told the conference that the government was dealing with rising angst across the globe by helping people with the cost of living. “I understand that, for many Australians right now, looking to the future runs second to the immediate pressures they are under,” he said.
“The last decade has inflicted one global shock after another, and people have been given every reason to feel like the economy is simply not working for them. That goes deeper than sentiment, it’s a reality people are up against.That is why our focus remains squarely on helping with the cost of living, on the practical measures that matter to people and make a positive difference to their lives.”
With Mike Foley, Brittany Busch
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Natassia Chrysanthosis Federal Political Correspondent. She has previously reported on immigration, health, social issues and the NDIS from Parliament House in Canberra.Connect viaXoremail.
