Overtime penalty rates could hurt seasonal workers and businesses

Growcom warns against new proposals to make overtime penalty rates for casual workers mandatory, which will put a financial burden on Queensland growers and could undermine workforce projects like the Federal Government’s Seasonal Worker Programme.

Growers will be more likely to reduce individual casual workers’ hours and less likely to engage a reoccurring seasonal workforce if it threatens the profitability of their business. It is likely that once a casual worker’s hours extend into overtime their hours will end, which will mean employment will be less stable and more volatile.

This is not a positive outcome for seasonal workers who want to work as much as possible while they’re in Australia. Theoretically, overtime penalty rates look like a win for casual workers, but in a practical sense it means less work for those who want it and makes the Seasonal Worker Programme less attractive to employers.

There are thousands of young workers from Pacific Island countries and Timor-Leste at our doorstep, ready to answer our industry’s labor demands. Without the engagement of casual workers, horticulture has difficulty in meeting the peaks and troughs of its harvest seasons. With more support to iron out its clunky processes and reduce the amount of administration, the Seasonal Worker Programme can continue to provide a much-needed casual workforce.

Our industry is facing some serious instances of non-compliance and worker exploitation but the majority of growers are operating in adherence to existing agreements. There needs to be a benefit for doing the right thing, and that benefit should be market access.

That’s why Growcom is developing an industry-led approach to ensuring workers are treated fairly. The Fair Farms Initiative is working towards providing an auditable standard by which good growers can differentiate themselves from poor operators in the supply chain. It is a mechanism that will prepare growers for an audit that may come as customers focus on getting their products from ethical suppliers.

While issues of non-compliance are ongoing, Growcom is taking proactive steps to end worker exploitation and encourages further consultation with government and industry bodies to ensure mutually beneficial outcomes for growers and seasonal workers.

For more information;

E-mail: growcom@growcom.com.au

Website: https://www.growcom.com.au/