The Fair Work Act plays a vital role in ensuring fairness at work and preventing discrimination against employees. However, there are concerns that the complexity of the industrial relations (IR) framework is limiting the growth potential of small businesses in Australia.
The Council of Small Business Organisations Australia (COSBOA) has raised this issue and has released a blueprint that advocates for a workplace relations system which is pro-employment and acknowledges small businesses as a key contributor to productivity, employment, and living standards.
COSBOA CEO, Luke Achterstraat, has stated:
“Small businesses are the backbone of our economy, yet the workplace relations framework has become increasingly complex, confusing, and costly for them. It is time to draw a line in the sand.”
Key Aims of the New IR Blueprint
- Review and Reform of the Fair Work Act: A comprehensive review of the Fair Work Act, including Awards, should be conducted by the Productivity Commission.
- Expansion of the Definition of Small Business: The definition of a small business under the Fair Work Act should be broadened to include businesses with up to 50 full-time equivalent employees, excluding casual workers.
- Explicit Support for Small Business: The Fair Work Act should explicitly aim to reduce the complexity and regulatory burden on small businesses, which represent the largest private sector employers in Australia.
If you are experiencing difficulties with the current IR framework and compliance with the Fair Work Act, we encourage you to contact our team.
We will keep you informed of the latest IR legislation and employer requirements and provide advice on reducing administrative burdens.
