Need for far reaching IR reform highlighted by Productivity Commission’s Draft IR Report

The Productivity Commission Draft Report on the industrial relations framework downplays a number of concerns expressed by employers about the capacity of the industrial relations system to deliver improved productivity, competitiveness and business investment.

“While welcoming the Commission’s recognition of the need for further reform in areas such as greenfields agreements for the building industry, Master Builders will push for more far reaching reforms particularly in regard to pattern bargaining, which is seriously detracts from productivity in the building and construction industry,” Wilhelm Harnisch CEO of Master Builders Australia said.

“The community’s interests must be served by workplace relations system. It is the community who suffers from industrial practices such as pattern bargaining that drive up the cost of schools, hospitals, childcare centres and other community infrastructure,” he said.

“The Productivity Commission’s report on public infrastructure found that pattern bargaining in the building and construction industry increases costs and reduces productivity,” Wilhelm Harnisch said.

“Pattern bargaining gives the CFMEU unwarranted leverage and seriously puts at risk the viability of builders if the union’s pattern deal is not signed. The CFMEU’s bully-boy tactics have been revealed in the Royal Commission and must be stopped,” he said.

“Evidence that pattern bargaining is at the centre of alleged cartel conduct has been heard by the Royal Commission,” Wilhelm Harnisch said.

“Pattern bargaining is a barrier to the industrial relations system promoting greater competitiveness, productivity and business investment,” Wilhelm Harnsich said.