Rudd Government places North Coast jobs at risk

February 25, 2009

The jobs of thousands of North Coast workers in retail and hospitality are at risk as a result of the Rudd Government’s Award Modernisation process, Federal Member for Cowper Luke Hartsuyker said today.

The Rudd Government has told the Australian Industrial Relations Commission to reduce the amount of awards but has given the AIRC an impossible task by instructing them that no employee be worse off and there be no extra cost to business.

 

“The reality is that this “modernisation” process is going to costs jobs and increase the cost of doing business,” Mr Hartsuyker said.

 

“The Australian Retailers Association has forecast this will lead to an increase in labour costs of up to 22 per cent.  The increased cost of labour in the restaurant sector is anticipated to be even higher.

 

“The retail and hospitality sectors are a substantial employer on the North Coast. If wages increase by this much, businesses will either shut or business owners will have no other choice but to cut staffing levels.

 

“This is nothing more than a pay back to the Unions. The Rudd Government is introducing these changes as the world goes into recession and Australian jobs are being slashed. Small business is already suffering as a result of the global financial crisis. For the Rudd Government to slug them with all these extra charges is potentially disastrous.”

 

Mr Hartsuyker said it was absolutely hypocritical for the Rudd Government to announce this week a redundancy assistance package whilst at the same time introducing policies which will cost jobs.

 

“The government must do everything they can to protect jobs. Increasing wages by more than 20 per cent will do nothing other increase the unemployment rate.

 

“It’s another classic case of Labor in government. Look not what they say – but rather what they do,” Mr Hartsuyker said.

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