Brotherhood of St Laurence, Liquor Hospitality and Miscellaneous Workers Union

The Federal Government’s new industrial relations regime, which took effect last week, has important implications for the low paid in the Australian labour market. The Federal Government has argued that its new regulations in favour of the individualization of the employment relationship, lower minimum standards and greater economic emphasis in the determination of minimum pay rates with less attention to fairness, will boost productivity and create employment. These arguments have found many critics and few supporters amongst economists and industrial relations experts (see for example Group of One Hundred and Fifty One Australian Industrial Relations Labour Market and Legal Academics November 2005). Under the new arrangements the Federal Government's Fair Pay Commission (FPC) will replace the Australian Industrial Relations Commission (AIRC) as the body that sets the minimum wage. The new laws require the FPC to have a stronger regard for economic factors whereas the AIRC’s goals were to ensure fair living standards as well as sound economic effects. Many practitioners have also expressed concern about the implications of the ne