Victorian Labor Government to make Productivity Commission Submission

The Andrews Labor Government will stand up against the Federal Coalition Government’s attempts to revive WorkChoices, destroy penalty rates and cut the minimum wage.

The Abbott Government just can’t be trusted and the Liberals in Victoria are backing their Liberal mates in Canberra.

The Andrews Labor Government will make a submission to the Productivity Commission Inquiry into the Workplace Relations Framework, and it will defend the right of all Victorians to a fair day’s pay for a fair day’s work.

An estimated 277,000 Victorians are paid at or below the minimum wage.

Around:

  • 587,000 Victorians usually work on the weekend.
  • 328,000 usually work overtime.
  • 157,000 usually work night shifts (between 7pm and 7am).

Hardworking Victorians rely on penalty rates: retail workers at the local supermarket, tradies doing call outs on the weekend, and the machinery operators and drivers who keep our cities and towns moving day and night.

They rely on these penalty rates to put meals on tables, put petrol in the car and buy clothes for their children.

The Victorian Government’s analysis of the impacts of getting rid of penalty rates show the real cost of the Coalition’s planned cuts to penalty rates:

  • Retail workers could face an effective pay cut of $300 per week or 24.5 per cent.
  • Machinery operators and drivers could face an effective pay cut of $428 or 32.8 per cent.
  • Labourers could face an effective pay cut $366 or 32.8 per cent.
  • Tradies could face an effective pay cut of $392 or 32.8 per cent.

Removing penalty rates from Awards also has the potential to impact on conditions for workers on EBAs.

We have looked at the impacts of the Coalition’s penalty rate cuts for those who are out there each and every day serving our community:

  • Police officers could face a pay cut of $160 per week or 11.4 per cent.
  • Ambos could face a pay cut of $233 per week or 22.5 per cent.
  • Nurses could face a pay cut of $280 per week or 20.5 per cent.

The Andrews Labor Government will set an example for all Victorians by recognising, valuing and rewarding the work of Victorians who each and every day are out on the front line serving our community.

We value public sector workers and we will always bargain in good faith. We will reach agreements that are fair and reasonable to both the public sector workforce, and Victorian taxpayers.

Other information on this issue:

  • As at May 2014, there were an estimated 390,600 employees who were paid under an Award in Victoria. This represents 10 per cent of the working age population.
  • Machinery operators and drivers, labourers, technicians and trade workers, and sales workers more likely to receive penalty rates. In these occupations, the removal of penalty rates may result in an average pay cut of 31 per cent.
  • As at June 2014, an estimated 277,000 Victorians were paid at or below the minimum wage.