Working Conditions in Australia
Pay
The main piece of legislation governing wages in Australia is the 1983 Accord, an agreement reached by the Federal Government and the Australian Council of Trade Unions. Its aim is for the unions to cooperate with the Government's employment and anti-inflation policies; in return the Government seeks to help the unions maintain their members' living standards and eventually improve them if possible. It is an agreement that has worked well over the years and the current economic climate is maintaining this.
Award Rates
Australia is a highly unionised country and because of this most wage rates are set at a minimum level. Federal and state tribunals set rates of pay for various jobs and professions and employers are then obliged to meet these 'award' rates. Seven out of eight Australian workers have their pay agreed by awards, determinations or industrial agreements. However, these figures are only a minimum recommendation and many employers pay well over the award rate.
Awards do not only cover basic rates of pay, they also deal with overtime payments and penalty rates - these are higher rates paid for weekend work, shift work or hours which extend past your normal hours of employment.
Working Hours
The standard working week is approximately 37 hours but the average hours worked within the workforce vary from 32 hours to 52.5 hours. Hours worked above the standard working week will be paid at overtime rates of either time-and-a-half or double-time, depending on the award for that profession.
Some workers, particularly in the public sector, operate on a flexi-time system. This allows them to work a set number of hours in a four week period but within that framework it is largely up to them as to how they make up the hours. There is usually about four hours a day (core time) during which the employee must be at work but other than that they are free to come and go at times which best suit them. Additional days off can also be taken if enough flexi-time has been built up.
Trade Unions
Australia is one of the most highly unionised countries in the world and nearly half of the working population are members of unions. Trade unions have been active in Australia since the middle of the 19th century and they have fought forcefully over the years to improve working conditions and pay. There are approximately 160 unions in the country, a number which has been considerably reduced by amalgamations, and most of which are affiliated to the central organisation, the Australian Council of Trade Unions (ACTU), which has a total membership of around 2.5 million members.
Australia's industrial relations system remains robust but has been overhauled significantly in recent years. Since March 1994 the Industrial Relations Reform Act 1993 has been in force and this has placed greater emphasis on workplace bargaining and given increased flexibility to employers.
