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  • Writer's pictureSenator the Hon. Michaelia Cash

Labor’s industrial relations bill: more damage to the economy

As the Federal Parliament resumes in Canberra for 2024, the Albanese Government continues its ideological industrial relations policies taking Australia back to the bad old days of union domination of our workplaces.


Last week their 3rd tranche of Industrial Relations changes passed the Parliament with the support of ACT Senator David Pocock and the Australian Greens. These workplace changes are part of the most radical shake-up of Australia’s industrial relations system in decades. They come on the back of the multi-employer bargain laws rammed through Parliament in late 2022, and the first part of the Loopholes Bill rushed through in December last year. We are only starting to see some of the beginnings of the consequences of multi-employer bargaining and those consequences will increase as the months and years roll on.


At a time of a cost-of-living crisis, high inflation, businesses struggling with staff shortages and rapidly increasing power costs, Labor and their union pay masters are making a bad situation worse. It is clear from Labor’s industrial relations agenda and the legislation they have and are putting through this place that they want to handover all workplaces to the unions, including small and family businesses. None of the measures are designed to improve productivity, jobs, growth and investment which are the ingredients of a successful economy. The Coalition opposed this Bill as we have the previous industrial relations changes. We know they are bad for the business community and bad for the economy.

Ultimately, they will be bad for the workers of this nation because they will mean fewer jobs.


These workplace changes are part of the most radical shake-up of Australia’s industrial relations system in decades. They were designed to prioritise giving power to union bosses which will weaken our economy and continue to make a bad situation worse for Australian small businesses and families.


  • This is what business have told us about the impact of Labor’s IR legislation:

  • It is estimated to see prices for food delivery or rideshare services increase by up to 35%.

  • It will increase the access or union officials to workplaces across the country.

  • It will significantly increase uncertainty in the road transport sector, by giving the Fair Work Commission significant new powers to set conditions for drivers; and

  • It will add complexity and restrictions to casual employment that will inevitably make it harder for people wanting casual work to get that work. Casuals will find it more difficult to choose regular hours of work.

The way forward on industrial relations

The Coalition is carefully consulting with a wide range of stakeholders as we formulate workplace relations policies prior to the next election. What we will be doing is looking for ways to back small business and help them negotiate the mine field that has been created by the Albanese Government. We want to make it easier for businesses to employ Australians and run successful businesses – not more difficult as Labor is doing with their ideological agenda. Most small businesses have limited resources and they need flexibility to be able to run their operations effectively.


Any industrial relations laws we pursue will look to provide simplified compliance, fairness, cost-effectiveness, support for growth and productivity and support for skills development. Small business owners keep telling me they want laws that are easy to understand, comply with, and adhere to without the need for costly legal counsel. That is not what they are getting from Labor. They want laws that are fair for themselves and their employees and that promote transparency and clear communication between parties to avoid misunderstandings and disputes.


Productivity and prosperity will be central to everything we do in workplace policies. The link with productivity and prosperity is the key – the more productive we are, the more Australians can be prosperous and sustainably compensated.


Australia needs a modern workplace relations system that delivers a safety net for workers, recognises the shared interests of managers and workers in an enterprise’s success, and gives all enterprises the agility they need to compete and succeed. Any changes must be designed to improve productivity, grow wages, and enhance competition.


These are the ingredients of a successful economy.


We have a liar in the lodge

Fellow Liberals, it will come as no surprise to you that we have a Liar in the Lodge.


Anthony Albanese looked Australians in the eye and knowingly and repeatedly lied to them. He promised Australians that they could trust him to keep his promise because, "My word is my bond". He has committed a breach of trust on a scale not seen since Julia Gillard’s infamous ‘No Carbon Tax’ promise. The Prime Minister and the Treasurer promised more than 100 times over since the election they would deliver this important stage 3 tax cuts cost of living relief to families. If the Prime Minister and Labor can perpetrate such a huge lie, how can anyone ever believe anything they say, ever again?


Labor's welching on its crystal-clear promise not to change the stage 3 tax cuts is just the start of the problem they are creating. As Peter Dutton says, Labor offers up cute form of words around negative gearing and dividends and the family home. Prime Minister Albanese consistently refuses to give a straight answer in Question Time on whether they have plans to tax the family home. This was on clear display again this week in Parliament when the Coalition challenged Anthony Albanese and Jim Chalmers to give straight, honest answers. Adding all this together, people can reasonably say they're worried that changes are coming. Negative gearing and capital gains tax on the family home - they are all on the cards. Why – because when Labor runs out of money, they come after yours. It's Labor engaging in wealth redistribution, it's an attack on aspiration, it's pitching one Australian against the other, and it has no place here.


The Coalition will always deliver lower, simpler, fairer taxes - Australians can trust us

The Coalition is committed to lower, simpler and fairer taxes, which is why we will not oppose the reduction in the 19c tax rate to 16c. The Prime Minister’s lies and broken promises means that delivering the stage 3 tax reforms as they have been legislated (1 July 2024 start date) is now impossible. However, the Coalition is committed to going to the next election with a tax reform package that is in keeping with the stage 3 tax reforms. We remain committed to fighting bracket creep and enshrining aspiration because strong leaders keep their promises, even when it is hard.


Our package will:

  • Deliver lower, simpler, and fairer taxes;

  • Fight bracket creep and enshrine aspiration in our tax system;

  • Reward hard work and support a strong economy where every Australian can get ahead;

  • Unite Australians rather than pit people against each other.

  • Our package will be delivered while providing for Australia's future security and guaranteeing the essential services that Australians rely on.

  • This package will be fully costed, and ready to implement when we are elected. And most importantly, will keep our promises.


And don’t forget - labor’s pretence to be concerned about living costs is just that - a pretence

These are the facts:

  • In Labor’s first 18 months, personal income tax has risen by a record 27%.

  • Headline inflation remains more than 1.6% above the midpoint of the RBA’s target band, with food, housing, insurance, health and education costs all growing faster than the headline inflation rate. Core inflation measures remain higher than the headline rate, and domestic (non-tradable) inflation is a remarkable 5.4%.

  • Over the past 18 months, real net disposable income per person fell by (-) 8.6%. For an average income earner, this is a decline in take home pay of just under $8,000, primarily been driven by rising mortgage payments, falling real wages and increasing taxes.

  • An earner on this annual wage would receive just $804 more under Labor’s policy - or $15.46 a week. This is less than 1% of their annual wage and returns just 10c for every dollar they have lost to cost of living pressures during Labor’s first 18 months in office.

  • It's hurting Aussie households, families and small businesses - hurting them badly. People with a mortgage are paying an interest bill $24,000 a year higher after a dozen interest rate hikes resulting from Labor's inflation failures. Labor’s broken promise on tax, a commitment made 100 times over, now entrenches bracket creep in our tax system and increases taxes by $28 billion on more than four million Australians.

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