The Federal Government is urgently seeking to make an amendment to the Fair Work Act in a bid to protect the entitlements of thousands of redundant public servants.

 

Federal Minister for Employment and Workplace Relations, Bill Shorten, said the amendment will be introduced in the next sitting of Federal Parliament and will change the transfer of business provisions in the Act to protect entitlements of former state public service employees.

 

“I am deeply concerned about recent announcements by state governments to cut tens of thousands of public service jobs. The Commonwealth will do what it can to protect the terms and conditions of these workers. There is potential for state governments who outsource arrangements or asset sales to put at risk the pay and conditions of these employees,” Mr Shorten said.

 

The Fair Work Act’s transfer of business provisions protect employee entitlements where a business changes hands and the new employer employs the old employer’s workers to do the same job.

 

 

The Fair Work Act’s transfer of business provisions protect employee entitlements where a business changes hands and the new employer employs the old employer’s workers to do the same job.

 

These provisions currently only operate where both the old and new employers are covered by the national workplace relations system.

 

The amendments would ensure that where there is a transfer of business from a state public sector employer to a new employer in the national workplace relations system, the former public sector employees will see their existing terms and conditions and accrued entitlements protected, and have their prior service recognised.