Article by Gerard Cockburn & Dan Jervis-Bardy courtesy of the West Australian.
Rio Tinto’s iron ore boss Simon Trott has slammed Labor’s controversial industrial relations laws shake-up, arguing last-minute amendments have still left a raft of questions unanswered.
The mining giant has joined Roy Hill and the Minerals Council of Australia in warning service contractors are still at risk of being captured, despite a deal to carve them out.
“We have serious concerns about the Bill as it’s currently drafted,” Mr Trott said. “The amendments in no way exempt or simplify the use of service contractors, which the mining industry in this State relies upon.”
The chief executive of the major division of the mining giant confirmed the company’s frustration with the Closing Loopholes Bill, which on Wednesday cleared its first legislative hurdle by passing the Lower House, with dozens of last-minute changes.
Those last-minute changes not only angered Rio Tinto, but a number of business and industry groups, which claim to have been blindsided by the amendments.
Mr Trott said the current draft of the reforms placed a “handbrake” on the economy, claiming the Government has made no indication on how it would boost productivity and a number of concerns it raised during a Senate inquiry “remain unaddressed”. “There is no link to productivity in the Bill,” he said.
“All we can see is an increase in complexity and costs. These factors will increase uncertainty and ultimately act as a handbrake on the national economy.”
The Bill proposes sweeping changes to the industrial relations system that includes a new definition of casual employment, “same job, same pay” rules for labour-hire workers, minimum conditions for gig workers and the criminalisation of wage theft.
Labor in the House of Representatives was able to pass the Bill with more than 90 amendments made. A Senate vote isn’t expected until after an inquiry into the Bill hands down its final report, due on February 1.
Minerals Council of Australia boss Tania Constable said the amendments had made a “terrible” Bill worse and service contractors were still at risk of being captured under the new labour hire regime.