Workers reporting wage increases as high as 42%
Workers from four different industries in Australia are reaping the benefits of the Same Job, Same Pay changes that took effect last November.
The Same Job, Same Pay legislation mandates that labour hire workers in Australia are paid on par with direct employees of the companies they work for.
Employment and Workplace Relations Minister Murray Watt said workers in mining, aviation, meat processing, and warehousing industries are seeing the impact of the newly implemented legislation.
"This has already put thousands of dollars back in the pockets of workers that they rightfully earned," Watt said in a statement.
In one case, the minister noted that 120 workers in New South Wales mines have seen their wages grow by up to $35,000 annually. Other examples include:
"Labor said we would get wages moving and that's exactly what we are doing," Watt said. "The changes we've made are common sense - if you're doing the same job, you should be getting the same pay."
Meanwhile, Watt said they are also seeing benefits of the Same Job, Same Pay in the workplace.
"We are seeing that closing the loophole in wages between labour hire and permanent employees is also starting to have the effect of improving culture in the industry, with reports of it having the added benefit of increasing permanent roles and stability across the economy overall," he said.
This comes despite previous opposition from businesses on the reform, warning that it may lead to lower wage growth and fewer jobs.
Among the benefits that employers can also expect is the reduction of angst between labour hire staff and direct employees, according to Cilla Robinson, Partner at King & Wood Mallesons.
"Sometimes these issues of parity can lead to disputes or morale problems within the workforce, so that should be minimised," she previously told HRD.
