The Australian prime minister, Julia Gillard appointed new cabinet and junior ministers, after Chris Bowen’s resignation from the cabinet position last week.
Craig Emerson and Anthony Albanese have new responsibilities, in addition to their current roles, and Jason Clare was elevated to cabinet.
Gillard also appointed Gary Gray, who is now the minister for resources and energy, minister for tourism and minister for small businesses.
Although small businesses can rest easy for now, Grey supports Gillard’s controversial weekend penalty rates, overtime and public holiday work. The push comes as her public support has begun to slip ahead of September’s election as opinion polls roll in and predict that the Labor government is heading on a downward spiral.
When Gillard was in Canberra about a week ago at an ACTU work summit, she stated how a specific conditions should be inserted into the Fair Work Act; to ensure that workers are put first and
- covered by a modern award
- receive higher rates of pay for work performed outside of normal hours.
“We will make it clear in law that there needs to be additional remuneration for employees who work shift work, unsocial, irregular, unpredictable hours or on weekends and public holidays,” Gillard said about the change improving the living standards and working conditions of millions.
The decision means penalty rates would be safeguarded for workers in the service industry–the fast food industry, food and beverage, general retail, hair and beauty and general hospitality industries until the next review.
Penalty rates are a big issue for small business, especially penalty rates in the retail and hospitality industries. Both sectors complain stores and restaurants are closing on weekends because they cannot afford staff.
For small business owner Cameron Roche, he admits he would have to cut back on hours of operation to save money.
“ If we have to pay increase penalty rates on Saturdays and Sundays, we would have to think about shortening opening hours and cutting back on hours since we are open 7 days a week 5pm-11pm,” said Roche.
However, for part time workers removing penalty rates would effectively be a pay cut for many.
Kylie Robertson, who is an economics teacher at RMIT University believes people should be compensated for working on those days.
“Weekend penalties would be beneficial especially for many blue collar workers who are underpaid and that need to be better paid. Australia needs to adopt the social democratic idea and inject funding to make for a more level playing field,” she said.
The “old-fashioned” concept of weekend penalty rates is comes from the idea that Saturdays and Sundays are days of rest to spend with family and friends. So anyone working on those days should be compensated.
Dr. Eric Porter of Global, Urban and Social Studies points out that while many business claim they will hurt financially, they will still be in businesses.
“ I think the economy is there to serve people not for people to serve the economy and we need to recognize that people may have other elements of their life and if they cant be preserved they should be compensated.”
Watch this video below for Dr. Eric Porter’s reasoning why Julia Gillard is targeting blue collared workers and focusing on small businesses.
