Latest news with #Rishworth
Sky News AU
3 days ago
- Business
- Sky News AU
Employment Minister Amanda Rishworth insists enterprise bargaining will boost Australia's dismal productivity growth
Employment and Workplace Relations Minister Amanda Rishworth has emphasised the importance of enterprise bargaining and sexual harassment in the workplace as Australia stares down the barrel of having one of the worst levels of productivity growth in the developed world. Productivity in Australia - which directly impacts economic growth, wages, and overall living standards - has not risen since 2016, according to the Australian Bureau of Statistics. Ms Rishworth was pressed by Sky News Chief Political Editor Andrew Clennell on Sunday Agenda on the Albanese government's impact on productivity growth and whether she would admit that it was 'a lot poorer' now. 'Some of the changes we've put through in the last parliament has been about encouraging enterprise bargaining … getting workers and their unions, along with employers, to sit down and talk about what things can be achieved at an enterprise level. Now that is good for productivity,' she said. Ms Rishworth said the government had implemented provisions to prevent sexual harassment in the workplace, which she said was having a 'positive impact'. "Some of the laws that we passed, for example, the right to disconnect, there was a lot of concern about that, but we're now seeing from the HR Institute of Australia that that law that was passed is actually having a positive impact on productivity and employee engagement," she said. "The same HR Institute report said that, for example, the sexual harassment provisions that we've put in place to prevent sexual harassment in the workplace is also having a positive impact. 'Jobs are being created, we're seeing low unemployment, real wages increasing and the gender pay gap reducing—and of course less industrial action … but there is more to be done." Ms Rishworth said banning non-compete clauses was another target for the government to tackle the decline in productivity. 'Often, part-time workers have been... forced on these non-compete clauses, which says they can't work for someone else so they can make up full-time hours (which) are hampering productivity and worker participation,' she said. 'I think we can have productivity and ensure that workers don't go backwards in this country.' The Minister said she would not accept that workplace relations was the only factor in poor productivity but would not provide any other potential causes for the slump in economic output, despite the significant rise in immigration levels and capital shallowing. While immigration has rapidly increased from 190,000 in 2015-2016 to 536,000 in 2022-23, the average annual labour productivity growth has halved from 1.8 per cent to 0.9 per cent over the same period. In March, the RBA's Head of Economic Analysis Michael Plumb told Macro Business Australia's high immigration had impacted productivity through capital shallowing, which occurs when population grows while investment in infrastructure, training and transport fails to keep up. 'Overall investment has not kept pace with the strong employment growth,' Mr Plumb said. Independent economist Gerard Minack has also sounded the alarm and explained how net investment spending in Australia was running at levels previously only seen at the 'nadir of the 1990s recession'. 'The fast population growth of the past 20 years, combined with the decline in investment spending over the past decade, has led to a collapse in the growth of per capita capital stock,' he said. 'Low investment and fast population growth is crushing productivity growth leading to structurally weak income growth'. Ms Rishworth insisted enterprise bargaining would deliver stronger productivity, as well as better wages and conditions for employees as the Fair Work Commission is set to hand down its annual minimum wage decision. 'The Fair Work Commission does have a look at enterprise bargaining and whether that's individual enterprises or whether that is multi-employer bargaining,' she said. 'We want to see more bargaining in this country because that delivers productivity as well as better wages and conditions for employees.' Last month, Treasurer Jim Chalmers told Sky News that productivity is a 'challenge' that cannot be fixed in a single term. "I think that's just a realistic way of being upfront with people... it's not one of those areas where you can just flick a switch and all of a sudden the economy is as productive as we want it to be," he said on Tuesday. "The problem's been there for a couple of decades, the worst decade for productivity growth was the decade to 2020. The worst decade in the last half century or more." The Treasurer said the government had "a lot of work to do", which involved working closely with businesses, unions, and the broader community, to "do what we can this term to make our economy more productive over time."
Sky News AU
3 days ago
- Business
- Sky News AU
Employment and Workplace Relations Minister Amanda Rishworth does not rule out portable leave and remote work penalty rates
The Albanese government has left the door open to allowing workers to receive penalty rates while working from home, as well as the possibility of a federal portable leave scheme. Employment and Workplace Relations Minister Amanda Rishworth did not rule out either possibility but told Sky News Sunday Agenda she was focused on delivering on election promises. The Albanese government has promised to legislate penalty rates, forcing employers to pay overtime for work performed outside of normal conditions The Australian Industry Group has brought forward the case that, under the clerks' award, some workers could get penalty rates while working from home. 'Let's be really clear, our commitment we made in the election was protecting penalty rates in awards, that is the safety net,' Ms Rishworth said. 'We are working through and consulting on the details but the principle is pretty clear, and that is we are going to protect penalty rates in the awards system. 'Because that is a safety net and of course enterprise bargaining is available to others.' She added that the government's plan to legislate penalty rate protections would not interfere with enterprise-level negotiations. Ms Rishworth also left the door open to introducing a federal portable leave scheme—a policy advocated for by unions such as the Australian Workers' Union. Portable leave would allow employees to carry entitlements like annual or long service leave across different jobs and employers. When asked whether she could rule out implementing the scheme during Labor's second term, Ms Rishworth responded that she would 'consider' different ideas put forward. She reiterated that her top priority was fulfilling Labor's existing promises, including legislating to protect penalty rates and supporting a rise in the minimum wage. The Fair Work Commission will announce its minimum wage decision on Tuesday 3 June 2025. Unions have asked for a 4.5 per cent increase, while employers want 2.6 per cent, roughly the rate of inflation. There is an expectation the increase will be around 3 per cent. 'We have put forward a submission that has called for an economically responsible real wage increase,' Ms Rishworth said. 'We don't want to see our minimum and award wage workers go backwards.'
Sky News AU
3 days ago
- Business
- Sky News AU
Employment and Workplace Relations Minister Amanda Rishworth says veteran MPs ‘treated differently' under super tax but refuses to clarify deferral loophole
Employment and Workplace Relations Minister Amanda Rishworth has admitted that politicians on defined benefit pensions will be 'treated differently' under the government's controversial superannuation tax. Ms Rishworth, however, was unable to answer whether or not these politicians will be allowed to defer payments until retirement. It was recently revealed that unlike ordinary superannuants with balances above $3 million, some politicians will only begin paying the tax after they retire. Pressed repeatedly by Sky News Sunday Agenda about whether Prime Minister Anthony Albanese would pay the new super tax immediately or only after leaving office, Ms Rishworth declined to give a yes or no answer. 'They are treated differently. There is interest payable that is calculated in a defined benefit scheme,' Ms Rishworth said on Sunday. 'It is the same way that other tax changes and other changes have been applied to the defined benefit scheme. It's no different. 'They are different schemes, but ultimately, what the government does, and has done in the past, is look at how you can apply this, the equitable equivalent tax to the same to the scheme.' Ms Rishworth insisted the government's approach was 'entirely consistent and long standing' and that it applied across the board to defined benefit schemes. But her refusal to explicitly confirm whether senior politicians would be able to delay payment has fuelled criticism that the government has carved out a quiet exemption for its own ranks. Shadow finance minister James Paterson accused the government of deliberately dodging transparency and creating a 'double standard' that favours Mr Albanese. 'I'm not sure whatever that was, was an answer. It was an excruciating couple of minutes,' Senator Paterson told Sky News Sunday Agenda. 'Let me be helpful and answer the question: yes, it is deferred. You do not pay it during your working life. 'Every other taxpayer, if they exceed the threshold, has to pay it during their working life, but people like Anthony Albanese, on a defined benefit pension, only have to pay it after they retire.' Mr Paterson suggested the policy may have been designed to shield Mr Albanese and raised concerns about a conflict of interest. 'Jim Chalmers has written rules which are favourable to his boss. Did Jim Chalmers ever discuss this with Anthony Albanese?' he said. 'Was it ever discussed in cabinet?... Did the Prime Minister exempt himself from that discussion… because of the significant personal conflict of interest that he has?' The superannuation tax, due to come into effect on July 1, will double the tax on earnings for balances over $3 million from 15 per cent to 30 per cent. Defined benefit scheme members – including long-serving MPs who entered parliament before 2005 – will not be taxed on earnings until retirement. Instead, interest will accumulate on the amount owed, calculated at the long-term government bond rate of around 4.5 per cent. The superannuation tax, which the government claims will affect fewer than 0.5 per cent of superannuants initially, has been projected to raise $40 billion over a decade. However, critics warn that the unindexed $3 million threshold will subject increasing numbers of Australians to the tax over time. AMP Deputy Chief Economist Diana Mousina conducted modelling that showed the average 22-year-old will be hit by the tax by the time they retire. CPA Australia's Superannuation Lead, Richard Webb, called on policymakers to ensure the policy will be indexed to inflation. 'Bracket creep is already having a silent eroding effect on personal finances,' Mr Webb said in a statement. 'Allowing this further erosion of superannuation savings is contrary to the fundamental principles of our tax system.' The government maintains that all federal politicians with more than $3 million in super will be subject to the tax regardless of scheme type. A spokesperson for Treasurer Jim Chalmers previously stated, 'This is the case regardless of when they entered into parliament and whether (they) have a defined benefit interest or not.'
West Australian
26-05-2025
- Business
- West Australian
Minister defends super tax amid leniency concerns for politicians
Amanda Rishworth has defended Labor's proposal to roll back concessions on ultra-high super balances amid reporting federal parliamentarians may be able to defer payments. Only half a per cent of Australians — some 80,000 — have super balances north of $3m. Under the Albanese government's plan, super accounts above that would be slugged with an extra 15 per cent on earnings, pumping $2.7bn into Commonwealth coffers annually, according to Treasury estimates. But federal politicians enrolled in defined benefit pension schemes might not need to pay until after they retire, the Australian Financial Review has reported. Appearing on morning TV, the newly appointed Workplace Relations Minister was asked: 'Is it fair?' 'I have to be clear that both past and future federal politicians — if they have a super balance of over $3m — they'll be have to pay tax under this measure as well,' Ms Rishworth told Nine. 'But what we're talking about is a slightly less generous concession for people with balances over $3m.' Pressed further, she insisted that she would be 'subject to the same tax if my balance ever reaches over $3m'. 'Past federal and future federal MPs will be subject to this tax if their balance gets over three million (dollars),' Ms Rishworth said. 'Now, this is a reasonable measure and it's still going to be subject to a concessional rate, it's just not going to be as generous. 'And I would suggest that those 99.5 per cent of people that don't have a balance over $3 million, probably assume that you would have to pay a little bit more tax for it.' It was revealed earlier this month that a handful of judges and former state-level officials would be exempt from the tax. The exemptions would be restricted to 'those earnings in superannuation funds that the constitution prevents being taxed by the government will be excluded', according to a government summary document.
Yahoo
26-05-2025
- Business
- Yahoo
‘Is it fair?' Minister grilled on super tax
Amanda Rishworth has defended Labor's proposal to roll back concessions on ultra-high super balances amid reporting federal parliamentarians may be able to defer payments. Only half a per cent of Australians — some 80,000 — have super balances north of $3m. Under the Albanese government's plan, super accounts above that would be slugged with an extra 15 per cent on earnings, pumping $2.7bn into Commonwealth coffers annually, according to Treasury estimates. But federal politicians enrolled in defined benefit pension schemes might not need to pay until after they retire, the Australian Financial Review has reported. Appearing on morning TV, the newly appointed Workplace Relations Minister was asked: 'Is it fair?' 'I have to be clear that both past and future federal politicians — if they have a super balance of over $3m — they'll be have to pay tax under this measure as well,' Ms Rishworth told Nine. 'But what we're talking about is a slightly less generous concession for people with balances over $3m.' Pressed further, she insisted that she would be 'subject to the same tax if my balance ever reaches over $3m'. 'Past federal and future federal MPs will be subject to this tax if their balance gets over three million (dollars),' Ms Rishworth said. 'Now, this is a reasonable measure and it's still going to be subject to a concessional rate, it's just not going to be as generous. 'And I would suggest that those 99.5 per cent of people that don't have a balance over $3 million, probably assume that you would have to pay a little bit more tax for it.' It was revealed earlier this month that a handful of judges and former state-level officials would be exempt from the tax. The exemptions would be restricted to 'those earnings in superannuation funds that the constitution prevents being taxed by the government will be excluded', according to a government summary document.
