Employee Relations And Labour Market Legislation example essay topic

There has been significant media coverage of labour market related issues in the Australian media over recent months. Labour market issues addressed in the media can be broadly categorised within the following subject headings: benefits and salaries, labour market participation, labour market demographics, workplace restructuring and employee relations, and labour market legislation. Media coverage of benefits and salaries included articles examining parental leave provisions in the USA, UK and Australia, a paternity leave test case in Tasmania, a proposed increase in working hours at the NRMA, working conditions of parents, graduate starting salaries, composition of executive pay packages, inequality of women's earnings and seniority compared to men's, and a number of pieces exploring work / life balance attitudes, preferences and conditions. Labour market participation articles reviewed US and Australian unemployment rates, the lifting of age restrictions for board directors, workforce ageing issues, retirement age trends, equality and part time work, the predicted shortage of 500,000 skilled workers in Australia by 2020, job creation trends in the US, the issue of older workers taking part time jobs and the relatively small number of women in executive positions within Australia. Employment demographics coverage included a story exploring the decline in public sector employment, the launch of a new book examining part-time, casual and underemployed workers in Australia, the current ACTU flexibility case, female labour market participation rates, and the barriers facing women entrepreneurs in Australia.

Workplace restructuring and employee relations are topics which also received extensive media coverage. Recent media articles included a piece examining a Victorian company looking to relocate off shore to avoid union imposed work stoppages, reduced staff numbers and staff costs in the airline industry, AM WU & CFM EU union arranged strikes and associated violence, the affect of SARS on organisations and workplace bullying. Labour market law and employment practices also received attention in the press. Articles examined recruitment agency practices, work and stress, equality at work, paid maternity leave provisions, payroll tax changes to extend to executive benefits, and US / Australian trade agreement labour rights. HR practices are under review in many organisations due to the recognition that in order to obtain a competitive advantage, organisations need to focus on the needs and preferences of their staff to attract and retain the best employees. Female labour market participation and employment preferences in particular have received significant media coverage.

From my reading of labour market issues, it appears that key issues for women in the workforce include paid maternity leave and flexible work hours, practices and employment conditions. These issues are receiving media attention and at the same time, are the subject of primary research. Australia does not currently have legislated paid parental leave provisions for employees and the issue has received increasing press coverage over recent years. The legal entitlement as outlined in the Workplace Relations Act, 1996 is fifty two weeks unpaid leave (to be shared between the mother and father) subject to having worked with the employer for a twelve month period. Some employers, however, provide paid leave as an employee benefit, resulting in a large discrepancy across the country in relation to maternity leave provisions. Researchers at the University of Sydney found that whilst 21% of public sector employment agreements had paid maternity leave provisions, only 3.4% of all current enterprise agreements provided employees with this benefit.

The ABS June 2002 labour force survey shows that the entitlement for paid maternity leave increases according to the length of time employees have remained with an employer. A front page article in Human Resources magazine raises the issue of the lack of paid maternity leave provisions in the recent federal budget. The author states that the government, whilst not legislating for paid leave, is considering alternative strategies such as a flat payment of $5000 to all new mothers. This payment would to enable women to remain at home with their newborn children for a period of up to 14 weeks, albeit on a basic wage. HR magazine examines why paid maternity leave is unlikely to be on the agenda for our current liberal government.

The article quotes John Howard as saying "I am against making it compulsory. That would be an unfair imposition on many small employers". This lack of provision for paid parental leave in Australia is unfavourable compared to many other OECD country provisions. For example, Canada grants 52 weeks on half pay, NZ 12 weeks on full pay, Spain 16 weeks on full pay and the UK 18 weeks on 90% pay.

The Pregnancy and Birth magazine survey of March 2001 found that 66% of pregnant women in the UK would choose to stay at home with their new baby if money wasn't an issue. Of those surveyed, 35% were eligible for paid maternity leave. ABS labour force survey June 2002 states 45% of Australian working women have access to some type of paid parental leave, which appears to reflect employer provided benefits rather than provisions in formal workplace agreements. Some companies, however, provide more than just paid maternity leave in order to attract and retain staff.

An article in the Australian Financial Review discussed how an employee of Deloitte Touche Tohmatsu was promoted on her return from a period of 11 months maternity leave. Whilst this is unusual, it is evidence that some companies that value employees put in place retentions strategies to encourage women to return to work following periods of parental leave. The article also states that similar 'stay in touch' programs for employees on extended periods of leave are also available to employees of Lend Lease, Crown Casino, ANZ Bank and Citigroup. ABS data from a 2001 study found that 5% of all women with children under 15 years had resigned from a job during the period 1995-2000 due to the lack of maternity leave available.

This issues is closely tied to the availability of flexible work practices an the part time work. However, only 8% of part time work is permanent part time, meaning many part timers for-go sick leave, superannuation and other entitlements associated with permanent employment. The issue of part time work for parents has been taken up by the ACTU in their June 2003 test case on work and family conditions. The ACTU is proposing that women returning to the workforce after maternity leave have the right to part time work, child friendly hours and to buy extra recreation leave. This is a similar approach to that taken by the UK earlier this year where legislation was passed providing employees with the have right to request part time work after the birth of a child. I will watch the outcomes of the ACTU case with interest.