Retailers Association urges members to lock in wage deals and beat new IR laws

The Australian Retailers Association has sparked controversy by writing to its members urging them to lock employees into wage agreements before the Rudd Government’s new industrial relations regime starts in July.

In an email leaked by furious officials at the Australian Council of Trade Unions, the ARA urged companies to act quickly to avoid higher award wages and stricter conditions around rostering, penalty rates and casual employees.

“Warning, Warning, Warning! Act now to avoid an increased wage bill,” the email is headed.

“Can your business afford a 14% increase in wage bills? Lock in five-year workplace agreements now to avoid costly compliance with new legislation.”

ACTU secretary Jeff Lawrence says the ARA has been caught “red handed” trying to avoid the Fair Work Bill, new National Employment Standards, and modern awards that will replace WorkChoices.

“The association is encouraging members to pursue a strategy to avoid compliance with the new IR laws and squeeze the last bitter drops out of the WorkChoices lemon.”

But ARA executive director Richard Evans has warned the ACTU to take a “cold shower” and says the association is simply doing its job by advising members to act early and minimise compliance costs.

“Retailers are lawful operators and are never encouraged to break the law. This is bullying rhetoric from the ACTU based upon scaremongering and misinformation for the sole purpose of recruitment – which they desperately need given their loss of membership and market relevance in recent years.”

Evans also says retailers have a constructive working relationship with the main retail union, the SDA (Shop, Distributive and Allied Employees Assocition).

Related stories:

• The new IR: Now for the details
• Labor’s new workplace regime