Annual Wage Review 2013–14

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[2013] FWCFB 7720

FAIR WORK COMMISSION

STATEMENT

Fair Work Act 2009
s.285 - Annual wage reviews to be conducted

Annual Wage Review 2013–14
(C2014/1)


JUSTICE ROSS, PRESIDENT
SENIOR DEPUTY PRESIDENT WATSON
COMMISSIONER SPENCER
COMMISSIONER HAMPTON
MR COLE
MR HARCOURT
PROFESSOR RICHARDSON

MELBOURNE, 3 OCTOBER 2013

DRAFT RESEARCH PROGRAM

[1] In a Statement by the President on 17 July 2013, the Fair Work Commission invited submissions from parties in relation to the establishment of a research program. 1 Submissions closed on 22 August 2013.

[2] Two research proposals were filed and a public conference took place on 12 September 2013. At this conference, some parties (who had not filed research proposals) made further suggestions for the research program. Additional material addressing questions posed by the President to the Australian Council of Trade Unions (ACTU) and Australian Catholic Council for Employment Relations (ACCER) was also filed on 17 September 2013.

[3] The proposals and suggestions in relation to the research program have mainly referred to proposed changes in the Statistical Report. The current Statistical Report can be viewed at the Fair Work Commission website link:

[4] We consider that some additions to the Statistical Report should be adopted. In particular:

  • In relation to the ACCER proposal for modelling for single-income households without Newstart Allowance, the Statistical Report will be amended to also include modelling for couple households where the household member who is not working does not receive the Newstart Allowance;


  • in relation to the ACTU’s proposal for the extension of the estimates of relative living standards of low-paid workers over time, the Statistical Report will be amended to include estimates to 2004 (the earliest year for comparable analysis); and


  • In relation to the ACCER proposal that underlying data and calculations for the poverty lines in the Statistical Report be made available to interested parties, staff of the Fair Work Commission will make this data available to parties on request. Any requests should be forwarded to awr@fwc.gov.au.


[5] We make some comments below to address the research proposals that we have not decided to proceed with.

[6] ACCER has proposed that the Fair Work Commission establish a process under s.290 of the Fair Work Act 2009 (Cth) to investigate data held by government organisations relevant to the estimation of relative living standards and the needs of the low paid. However, it is not clear to the Expert Panel how ACCER intends the Fair Work Commission to undertake this investigation. We therefore suggest that this proposal be further discussed at the Minimum Wages Research Group consultation following the release of this research program. After this discussion, ACCER may wish to resubmit this proposal for the Panel’s consideration as part of the Annual Wage Review 2013–14 submissions process.

[7] ACCER has also proposed factoring in child care for the equivalence scales used to estimate poverty lines in the Statistical Report. While the Fair Work Commission has decided not to further investigate this due to resource constraints, parties should note that the Australian Workplace Relations…

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Details
Case
[2013] FWCFB 7720
Decision Date

CaseChat Overview and Summary

The Annual Wage Review 2013–14 involved the Fair Work Commission considering the establishment of a research program to inform its review. The Fair Work Commission, presided over by Justice Ross and including Senior Deputy President Watson, Commissioner Spencer, and Commissioner Hampton, was tasked with determining the scope and nature of the research program. The primary issue was deciding which research proposals and suggestions from parties such as the Australian Council of Trade Unions (ACTU) and the Australian Catholic Council for Employment Relations (ACCER) would be adopted for the Annual Wage Review 2013–14.

The Fair Work Commission deliberated on various proposals and suggestions, focusing on potential amendments to the Statistical Report and other research initiatives. The Commission decided to adopt some changes to the Statistical Report, such as including modelling for couple households where the non-working member does not receive the Newstart Allowance and extending the estimates of relative living standards of low-paid workers to 2004. Additionally, the Commission agreed to make underlying data and calculations for the poverty lines available to interested parties upon request. However, the Commission did not adopt other proposals, such as establishing a process to investigate data held by government organisations and including aged and disability pensioner households in the comparisons of household disposable income.

In conclusion, the Fair Work Commission issued a draft research program for review, including the proposed changes to the Statistical Report. Submissions or suggestions regarding the draft research program or Statistical Report were due by 17 October 2013. The Commission’s final decision on the research program and the Statistical Report for the Annual Wage Review 2013–14 was scheduled for November 2013.

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