The Australian government is set to discuss a bill this week that aims to crack down on deliberately low pay by employers. The author of the project is the Minister of Labor of the country, Tony Burke.
According to Reuters, citing a politician, employers under the new law could face up to 10 years in prison or a $5 million fine for underpaying their employees. According to Burke, the penalties will apply only to those who deliberately understate wages.
“Wage theft” means the non-payment of wages or the refusal to provide employees with benefits due to them by contract or law. Additionally, “wage theft” refers to situations in which companies force employees to work overtime without paying for it.
Burke is confident that the new law will make it easier for temporary employees to obtain permanent positions, as well as introduce minimum standards for companies when hiring temporary workers in the service sector. For example, couriers for food delivery.
Also in an interview with ABC, the minister stated that for business representatives the effect will be insignificant, although “there are some people who will have to pay more.” Burke added that businesses with fewer than 15 employees would be exempt from certain provisions of the law.
The Ministry of Labor’s project has already been criticized by employers. Business Council of Australia chief executive Jennifer Vestacott called Burke’s ideas “unfeasible”.
“It will increase the cost, it will complicate things, it will make it harder to find odd jobs, it will make it harder for people to get jobs,” Vestacott said.
Photo: ChameleonsEye / Shutterstock
Author:
Ahmed Sadulayev
Source: RB
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