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15 November 2007
A re-elected Coalition government would allow both parents to take parental leave concurrently or consecutively, extend the leave to grandparents, and allow 8 weeks annual leave on half pay by agreement between an employee and employer.
The Coalition’s policy titled “Employment and Workplace Relations - Targeting Full Employment” (the “policy”) released on 8 November 2007 also:
establishes an Office of Deputy Director for Youth Employment responsible for protecting young people entering the workforce;
commits the coalition to continuing the award simplification and rationalisation process and increasing Comcare benefits; and
seeks to further regulate the activities of registered organisations, particularly in the building and construction industry.
The initiatives extending leave in the policy are aimed at enhancing the work/family balance for employees and include:
allowing both parents to take up to 12 months of parental leave concurrently or consecutively;
introducing one week of grandparents leave for all grandparents and up to 12 months of extended leave for grandparents employed in businesses with more than 100 employees;
allowing employees to reach agreement with their employer to take 8 weeks of annual leave at half pay.
Under the parental leave proposal, both parents may take up to 52 weeks of unpaid parental leave concurrently or, it appears, consecutively. At present, apart from the first week after the birth of the child, only one parent may take parental leave at any one time. It is unclear whether the Coalition’s policy extends the period established under the current legislation over which parental leave may be taken, that is, beyond the child’s first birthday.
For the first time grandparents will be entitled to unpaid leave to assist in the care of new grandchildren. Up to one week of unpaid leave immediately after the birth of the child will be available to all grandparents. Grandparents who are employed by employers with more than 100 employees will be entitled to take up to a further 51 weeks of unpaid leave. The right to take that leave is not affected by the parental leave taken by the child’s parents. It appears that grandparent’s leave will not be confined to the first year of the child’s life.
The Coalition cites the example of parents wishing to spend more time with their children during school holidays as employees who may wish to take double their annual leave at half pay. Under the policy, an employee may only take leave at half pay with the agreement of their employer. This policy may not introduce any new flexibility. At present a contract of employment could allow for an employee to take an additional amount of annual leave by foregoing an equivalent amount of pay.
The policy establishes an Office of Deputy Director of Youth Employment within the Workplace Authority. The Director will be responsible for:
advising young workers of their employment rights and options in agreement making;
leading youth teams in each State and Territory to ensure that young workers understand the workplace relations system and its protections;
setting up a dedicated youth workplace info line, youth website and text service; and
informing businesses about young workers’ rights under the workplace relations system.
The Office of the Deputy Director will deal with claims for assistance in enforcing workplace laws and conducting prosecutions of breaches of those laws that affect young workers.
The policy states that the award simplification and rationalisation process provided for under the Workplace Relations Act will ensure that all workers in industries traditionally covered by federal or state awards will have an award safety net when the process is complete. The award simplification and rationalisation process is expected to commence in early 2008 and will need to be completed by the time notional agreements preserving state awards (NAPSAs) applying to constitutional corporations expire on 26 March 2009.
Under the policy, lump sum death benefits will be increased from $219,000 to $400,000 and weekly payments to dependent children will be increased from $72 to $110 per week for employees of employers covered by the Comcare Workers Compensation Scheme.
Specific industry funds such as training funds administered by registered organisations will be required to be fully financially accountable under the policy. The policy aims to make the funds subject to the same level of scrutiny as publicly listed companies.
The policy also provides that an official of a union who has had his or her right of entry authority revoked will be prevented from holding office in the union. Officials wishing to enter building sites will be required to inform the Office of the Australian Building and Construction Commissioner in addition to the current requirement that they notify the occupier of the site and the relevant employer.
Unions often encourage employers to enter into ‘side deals’ to reach agreement on matters that are prevented from being included in a workplace agreement by the Workplace Relations Act. The policy states that any duress or undue pressure to enter into a side deal as a precondition to making a workplace agreement will be unlawful. Further any content prohibited by the Act which is included in a side deal will not be enforceable.
If you have any queries, please do not hesitate to contact any of our workplace law partners, or your usual Australian Business Lawyers contact.
Tim Capelin
Managing Partner
Ph: 02 9458 7497
email: tim.capelin@ablawyers.com.au
Tony Vernier
Partner
Ph: 02 9458 7311
email: tony.vernier@ablawyers.com.au
John Stanton
Partner
Ph: 02 9458 7555
email: john.stanton@ablawyers.com.au
