Multiple start dates in IR changes create confusion for business, says BCA
Thirteen different start dates for various measures contained in the government’s workplace relations bill will lead to complexity and confusion for businesses, warns the Business Council of Australia.
A multitude of different start dates for measures within the government’s Fair Work Legislation Amendment (Closing Loopholes) Bill will cause considerable complexity for businesses at a time when many are already struggling, the Business Council of Australia (BCA) has said.
The bill, which was introduced into Parliament earlier this month, makes extensive changes to the workplace relations framework including changes to labour hire and contractor arrangements as well as allowing the Fair Work Commission to set fair minimum standards for employee-like workers including those in the gig economy.
It also introduces a new criminal offence for wage theft, which applies to intentional conduct.
BCA said the legislation contained significant changes to Australia’s workplace relations system which may be complex and confusing for businesses to understand and comply with.
“We have identified 13 different start dates for different measures, some that go live as soon as the act receives royal assent, others that are set to take effect at various times over 2024, including changing the definition of casual work, through to New Year’s Day in 2025,” it said in a recent release.
“Most disturbingly, the anti-avoidance measures related to labour hire agreements came into effect on the day the Bill was tabled in parliament last week – before it had even been debated, let alone passed.”
While the government has indicated that businesses would have more than 12 months to get ready for the changes in the bill, BCA said the retrospectivity in the bill is already affecting businesses’ hiring decisions due to fears about breaking the law.
“These proposals introduce unnecessary complexity and confusion into our workplace relations system at precisely the wrong time, with businesses big and small, facing extremely challenging conditions,” the BCA said.
“We again urge the government to go back to the drawing board, to identify the problems it is trying to solve before it introduces new laws that will impact nearly every business and every employee in Australia.”
The BCA has welcomed the referral of the bill to the Senate Education and Employment Legislation Committee for inquiry, which is not due to report back until the beginning of February next year.
“Last year’s initial tranche of workplace changes were rushed through the parliament without proper consultation, so additional time is critical this time around.
“Now is the opportunity for the Federal Government to go back to the drawing board to identify the problems they are trying to solve and make them clear to the Australian community.
The proposals in the bill it said will be highly disruptive and have an impact across the whole economy.
“It will drive up prices for consumers, who are already facing huge cost of living pressures,” BCA said.
“In light of the recent national accounts data, which show Australian households and businesses are doing it tough, making unwarranted changes to our employment system which will add
costs and complexity, will further drive Australia in the wrong direction.”
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