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Workers stand to lose hundreds of dollars a year in wages if employer demands for reforming collective bargaining are met and more people are pushed onto non-union deals, the Centre for Future Work has warned.
In a paper by senior economist Alison Pennington, the Australia Institute’s workplace thinktank has warned collective bargaining is on life support in the private sector, with coverage down to 11% and only 46 new collective pay deals negotiated in 2018.
The paper released on Tuesday models the effect of key employer demands such as abolishing the better off overall test, removing checks that ensure workers genuinely agree to workplace pay deals, expanding the range of material banned from deals and introducing whole-of-life project agreements.
