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Workplace Minister wants to move more young workers onto AWAs

27 September 2007

Workplace Minister Joe Hockey's comments on Brisbane radio today are confirmation the Liberal Party intends to push more kids onto AWAs if the Howard Government wins the coming election.

Australian Council of Trade Unions (ACTU) President Sharan Burrow said:

"Minister Hockey's comments show his Government has turned its back on young workers.

"His comments are bizarre and totally out of touch with reality. A recent government-funded study found that some young workers in cafes, shops and bars had lost between 25 and up to 31 per cent of their take home pay under WorkChoices.

"It is absurd to suggest a young worker aged 16, 17 or 18 has an equal bargaining position with the manager of a multi-national fast food chain.

"The fact is that under WorkChoices, young workers have been the most vulnerable and have suffered big cuts to their pay and conditions.

"The Minister should explain to Brooke O'Mara, a twenty year old who worked for a diving tour company in Cairns, why it was legal under WorkChoices for her to be paid less than $3 an hour.

"Mr Hockey should also explain why Renee Pittman, a 17 year old café worker from Brisbane, lost $80 a week when she signed an AWA individual contract under WorkChoices.

"Yesterday the Howard Government launched a new review of pay rates for juniors and trainees.

"Unions are very worried this review is just a cover up for the Government's plan to cut the wages and conditions of more young workers if it wins the election," said Ms Burrow.

Mr Hockey's Bizarre Comments:

"The kids are negotiating mobile phone contracts worth literally thousands of dollars a year," Mr Hockey told ABC Radio.
"In some cases, they are borrowing money for cars, they are going and borrowing money for overseas trips - yet they can't negotiate a contract?"
... Mr Hockey said he would "love to be on AWA".
"But that is for other people," he said.
"...I'd happily trade off everything." (AAP News Wire, 27 September)

Junior wage review another sign Govt will go further on IR
A review of pay rates for young workers and trainees launched 26 September by the Howard Govt's pay setting body is a worrying sign that the Coalition will go further on IR and that young workers could suffer a further drop in their pay and conditions after the election says the ACTU.

The pay review for junior workers and trainees has been launched the same day the NSW Government has found workers aged under 18 were underpaid more than $45,000 by the Chilli's restaurant chain that used the WorkChoices IR laws to exploit its young staff.

It also comes as more than 20,000 workers and their families rallied in Melbourne to call for a change of Government to prevent the Liberal and National Parties going further on IR.

ACTU President Sharan Burrow said:

"The Federal election is an opportunity for working families to vote against the WorkChoices IR laws, to prevent the Liberals going further on IR, and to protect the rights and working conditions of their children.

"The launch of a new review of pay rates for juniors and trainees clearly shows the Howard Government will go further on IR if it is re-elected.

"Unions are worried this review is just a stalking horse for another push by the Government to further cut the wages and conditions and rights of young workers.

"There have already been repeated examples of young workers having their pay and conditions cut under WorkChoices. In just the last week we have seen reports of:

  • Young workers underpaid more than $12,000 by an actor starring in the Government's WorkChoices ads who also ran a painting business in Melbourne.
  • Young workers under 18 being ripped off more than $45,000 by Chilli's restaurant outlets.
  • An ongoing investigation into the exploitation of young trolley collectors in SA who have been underpaid more than $250,000.
  • Young staff in cafes and take-away outlets in the Victorian seaside town of Warrnambool found to have been underpaid and kept 'off the books'.

"Last weekend it was appalling that the Minister for Workplace Relations Joe Hockey failed to condemn a WorkChoices business ad that features convicted criminals. Instead of unreservedly condemning the WorkChoices advertisement Mr Hockey tried to defend it.

"And today we see Mr Hockey criticising a new report that under-age workers were systematically exploited by a restaurant chain when he should be making sure vulnerable workers are protected.

"Young workers have been abandoned by the Howard Government and left without the legal rights they need," said Ms Burrow.


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