Page 1120 - Week 04 - Thursday, 21 May 2020
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work, there is also evidence showing that, ultimately, it results in lower productivity because of the impacts it has on people’s wellbeing.
One of the flowthrough benefits of licensing labour hire organisations will, hopefully, be that people who are effectively operating as permanent employees will be employed as such. By reducing the amount of insecure work, the Greens believe this will have benefits for the whole of society.
I will touch briefly on some other issues and some of the mechanics of the new scheme. Firstly, I agree with the issue raised by various parties that a national licensing scheme would be preferable. But in the absence of action from the federal government, I think it is appropriate that the ACT move to its own scheme, as several other jurisdictions have done now. I do not hold out hope for any action at a federal level any time soon.
The scheme will apply penalties for operating without a licence, and these are of a similar level to the penalties that apply in Victoria and Queensland. I understand that there will be a transition period of six months to assist companies into the scheme rather than issuing penalties straightaway.
The bill allows for penalties for organisations or individuals who utilise labour hire organisations that are unlicensed, thereby placing an obligation on the labour hire companies and those seeking to use their services. I think that is appropriate. The scheme allows for the exemption of certain operators or classes of operators from the scheme.
I recognise that employer groups are concerned about the regulatory burden and possible duplication. However, in looking at the legislation, you can see that care has been taken to try and avoid this. The ACT already requires businesses tendering for certain government-funded work to meet certain workplace standards under the secure local jobs code. I understand that the way the ACT scheme will work is that if a company has gained a secure local job certificate, it will already have demonstrated that it can meet the labour hire licensing obligations. In this way, there will not be extra red tape by having to satisfy two schemes. The ACT scheme will also recognise compliance gained from schemes in other jurisdictions so that a company will not have to apply again here in the territory.
The scheme allows for certain occupations to be excluded from the scheme. I note that the minister has already said that she will exempt group training organisations by a declaration. Group training organisations already have a range of obligations they must meet under other legislation. Over time, others may also be exempt, and they can apply for an exemption.
The scheme will be managed by a labour hire commissioner, who will also be the current commissioner for health and workplace safety. The minister will be advised by a ministerial advisory body consisting of both employee and employer representatives.
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