The Greens support the recommendation in this report that the bill not be passed.
We thank all witnesses that appeared before the Committee and those that provided submissions for their comprehensive evidence in relation to the bill. We also thank Senator Roberts for his efforts to highlight and address this important issue.
We strongly support the premise of the bill; workers should be afforded equal pay for work of equal value.
We share stakeholder concern about the increased use of labour hire in Australia, the pay and conditions disparities between labour hire workers and direct hire employees, and the lack of protections for labour hire workers. We note the important evidence provided to the committee by stakeholders, indicating that labour hire workers experience lower pay, poorer working conditions and higher rates of injury when compared to direct hire employees.
We support a more comprehensive approach to the regulation of labour hire and insecure work more broadly. All workers in regular, ongoing jobs should be employed under permanent work arrangements, with casual and contract work restricted to limited circumstances. All workers must be afforded the same basic rights, including fair pay, secure work and holiday and sick leave.
Our labour law needs to be reformed to effectively enforce the regulation of labour hire and insecure work arrangements. This includes removing any incentives for employers to use labour hire contracts, including being able to pay labour hire employees lower wages than direct hire employees.
Reform is particularly needed in the care economy, as care work has been historically undervalued as a price of its 'feminisation'. Workers in the care economy must be equally paid regardless of their employment instrument. Work must be secure and ongoing, especially as continuity of care is a key characteristic of quality care.
Greens Senators agree with the recommendation to not proceed with the bill based on consensus among stakeholders, including the Australian Council of Trade Unions (ACTU), the Transport Workers' Union of Australia, the Australian Nursing and Midwifery Federation (ANMF), and the Australian Manufacturing Workers' Union, of a raft of significant issues with the bill.
Stakeholders indicated that a number of components of the regulation of labour hire as proposed in the bill need clarification. For example, the ACTU was concerned that the definitions of 'labour hire employee' and 'labour hire employer' may limit the scope of the bill to labour hire arrangements, leaving workers engaged through outsourcing arrangements 'entirely unprotected'. The ACTU and the ANMF expressed concern that labour hire companies will 'rapidly change the language in their contracts to move employees onto contracting arrangements' and circumvent the provisions of the bill. The ANMF indicated that 'this is particularly relevant to carers and nurses working aged care which have historically had lower wages than their public and private acute counterparts'. The ANMF also noted concerns around the increased use and promotion of digital platforms and independent contractors in the aged care sector.
Greens Senators note the Government has promised to introduce legislation to ensure labour hire employees are not paid less than direct hire employees. We look forward to working with the Government to ensure this legislation effectively regulates and enforces improved conditions and protections for labour hire employees. We will continue to advocate for an end to all forms of insecure work.
Senator Mehreen Faruqi Senator Barbara Pocock
Member Member
Greens Senator for New South Wales Greens Senator for South Australia