Commenting on a new aspect of the Government's IR legislation that has come to light, ACTU President Sharan Burrow said today:

"Contrary to the Prime Minister's claim that the new IR legislation would contain protection for vulnerable workers, the ACTU has now found there are important areas where many workers will be worse off by the proposed new laws.

A major problem is that the Government's guarantee that minimum wages will not fall below the current $12.75 will not apply to more than 1 million workers who are aged under 21, disabled or trainees.

These people will be subject to what the Government terms a 'special minimum wage' and the Prime Minister has already said that he intends to make youth and trainee wages 'more competitive'.

These changes could lead to lower minimum wages in the future for young workers, trainees or those who are disabled.

Vulnerable workers will also lose out under the Government's push to have more and more Australian workers put onto individual contracts (AWAs).

Under the legislation the requirement for employers to ensure workers are aware of their rights and to provide access to a 'bargaining agent' when negotiating a job contract is a sham.

The so-called procedural protections can be signed away, including the right to be informed that you have a right to a bargaining agent. And, even if they aren't signed away, there is no way to force an employer to comply.

Under the Government's proposals, the AWA takes affect immediately and the only recourse a person unhappy with the contract has is to lodge an expensive claim before the Federal Court.

This means that young people, disabled people, and those with poor language or literacy skills can be forced to sign an AWA individual contract that cuts their take home pay and reduces their entitlements.

There is no longer any access for people to make such claims before the Office of Employment Advocate or a Tribunal.

The detail of the proposed new laws makes a mockery of the PM's claim to protect vulnerable workers and to protect the wages of young people, disabled workers and trainees."

More information:

John Howard calls for $3 an hour youth minimum wage July 1992, ABC Radio
>> download transcript below