Coates Hire is trying to impose a 40 percent wage cut

Contributed by Ben Wilson

Another big employer has joined in the rush to impose massive pay cuts on its workforce. This time it’s Australia’s largest equipment hire business Coates Hire.

Coates is owned by media and diversified investment company Seven Group Holdings (41 percent) and the American based multinational equity investment firm the Carlyle Group (59 percent). This means that management strategic decision will not be made without the approval and backing of these companies

The company has applied to the Fair Work Commission to terminate the current agreement and if successful, had made it clear that it intended to reduce wages to the bare minimum for hundreds of production workers. The base rate will go down from $34.70 an hour to 20.61 an hour for manufacturing workers. It amounts to a 40 percent pay cut. The offer has come with a threat of terminating jobs, if it not accepted. A stable income is so important and definitely shouldn’t be compromised, but for those struggling with sudden wage cuts, it may be worth looking at online casino games like バカラ ルール to make some extra money, but it’s vital to weigh up the personal pros and cons of online gambling before going headfirst into it!

The Australian Manufacturing Workers Union (AMWU) has responded angrily to the wage cuts.

“It seems to be becoming a modus operandi for employers,” union assistant secretary Glenn Thompson said.

“Employers are using this calculated strategy to claw back in these uncertain times.”

Management has offered a minor wage increases for some of the workers, along with some concessions on domestic violence and parental leave. But there will be a two year wage freezer first and all is contingent on agreeing that all new workers would be employed on the new lower par rate.

The offer is considered unacceptable, because it will mean an eventual downhill slide for all, besides its being unfair to new workers.

Negotiations are continuing and a vote of union members is expected at the end of this week.

Coates’ action is part of the growing trend by employers to crack down on jobs wages and conditions that has continued since the landmark dispute at CUB in Victoria last year marked a significant setback for employers. In this in several subsequent cases, the employers eventually gave up the attempt. But there has since been a new spate of efforts to re-ignite the drive.

It is no secret that the Business Council, AiGroup and the Chamber of Commerce and Industry have been dissatisfied with the Turnbull government’s failure to change the Australian industrial relations scene to their satisfaction.

Although in name, this concerns imposing more barriers on employees taking industrial action, the distancing of union involvement, moving towards individual contracts and expanding opportunities to increase “greenfields” workplaces, where existing agreements do not apply, the overall purpose is to reduce wages and conditions.

Economic challenges and frustration are fueling a rising militancy among peak business organisations. They are not waiting for the government and their members are taking action. Exactly what the employer organisations are doing is being kept close to the chest.

Their intents can be gleamed from documentation relating to views on the need for productivity changes. They also have a consistent history of advising employers and backing them in industrial disputes. It is inconceivable that a wave of similar employer strategies will occur without their involvement either covertly or overtly.

 

 

 

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