INDPENDENT INQUIRY EXPLODED HOWARD'S ECONOMIC MYTH - WORKING FAMILIES SUFFER, YET NO ECONOMIC GAIN

25 October 2007

An independent report by the South Australian Industrial Relations Commission confirms John Howard's Work Choices laws are hurting workers without delivering genuine economic benefits.

The report provides indisputable evidence that the Howard Government's efforts to strip workers' rights and limit their wages have been bad for the state.

The report says ".... the impact of work choices is adverse to a large number of employees, without bringing compensatory beneficial impacts in terms of increased productivity, flexibility, income, or employment."

SA Unions says evidence was provided by workers, unions and business with some 30 submissions and 50 witness statements combined with 233 pages of critical, impartial analysis by a Judge and the Full Bench of Commissioners drawn from both union and business backgrounds, resulting in the irrefutable conclusion that these laws are bad for working families and bad for the economy.

SA Unions Secretary, Janet Giles says:

"The federal government's claim that getting rid of Work Choices would lead to recession has been exploded by this report.  It clearly states that there is no reliable evidence that Work Choices has increased employment opportunities.  Critically, it states

"....there is nothing to suggest these economic indicators would be any different in the absence of the changes made 19 months ago."

"We're experiencing rising interest rates as a result of 11 years of federal government ineptitude, and John Howard's response is to try to frighten people with the spectre of a recession.  This report puts paid to that myth.  Work Choices hasn't delivered an economic boom, nor will its removal lead to an economic bust."

"What is clear is that there is worse to come for working families if the Liberals are re-elected and they go further with Work Choices."

"This report comes at a crucial time.  It is the first critical, independent analysis in the nation since the Work Choices laws were introduced and the fairness test applied.  The findings are a scathing indictment of the Howard Government and reinforce our argument that these laws are hurting workers and hurting the economy."

"This is hard proof which backs the anecdotal evidence that's been flooding in to us since the introduction of these harsh laws."

"Workers are at a disadvantage.  The removal of unfair dismissal laws means they can be sacked without notice or reason.  The report states "...that rights to a fair go all round in the context of a dismissal has been eliminated for approximately 350,000 of the 421,000 South Australian employees now subject to Work Choices."  Employers have the upper hand in negotiations, especially with the most vulnerable workers such as the young, migrants and women.  Many are too powerless or fearful to achieve decent pay, working conditions, and safety standards."

"We urge Australian voters to heed the findings of this Inquiry and think of Australia's future at the ballot box.  The only way to restore fairness is by getting rid of these extreme laws - and the only way to do that is to get rid of the Howard government."