Stevedoring Industry Levy (Rates of Levy) Regulations (Amendment) 1992 No.
84
EXPLANATORY STATEMENT
Statutory Rules 1992 No. 84
(Issued by the Authority of the Minister for Industrial Relations)
Stevedoring Industry Levy Act 1977
Stevedoring Industry Levy (Rates of Levy) Regulations (Amendment)
Subsection 12(1) of the Stevedoring Industry Levy Act 1977 (the SIL Act) provides that the Governor-General may make regulations prescribing rates of levy for the purposes of this Act.
Paragraph 4(1)(a) of the SIL Act provides for the imposition of a statutory general levy in respect of any employment of Division A waterside workers.
A Division A waterside worker is defined in subsection 3(1) of the Stevedoring Industry Levy Collection Act 1977 as a waterside worker who is employed on a weekly hiring.
Paragraph 5(a) of the SIL Act provides that the rate of statutory general levy in respect of the employment of Division A waterside workers is as prescribed.
Regulation 4 of the Stevedoring Industry (Rates of Levy) Regulations (the Regulations) prescribes the present rate of levy as being $1.40 per worker hour.
Section 4 of the Stevedoring Industry Finance Committee Act 1977 (the SIFC Act) establishes the Stevedoring Industry Finance Committee (the Committee).
Paragraph 6(b) of the SIFC Act provides that one of the Committee's functions is to make recommendations to the Minister for Industrial Relations (the Minister) as to any change in the rate of levy imposed by the SIL Act.
Subsection 12(2) of the SIL Act requires the Governor-General to take account of any recommendation made to the Minister by the Committee.
The Committee has recommended to the Minister that the rate of levy be reduced from $1.40 to nil in two steps; from $1.40 to $0.50, effective from 6 April 1992, and from $0.50 to nil, effective from 4 May 1992.
The proposed Regulations will reduce the rate of levy in line with this recommendation.
This reduction is in pursuance of the In Principle Agreement on waterfront reform, which envisages the phasing out of the levy in line with the move to enterprise employment.
Overview
The Stevedoring Industry Levy (Rates of Levy) Regulations (Amendment) 1992 No. 84, issued under the authority of the Minister for Industrial Relations, amends the existing Stevedoring Industry Levy (Rates of Levy) Regulations to reduce the rate of the statutory general levy imposed under the Stevedoring Industry Levy Act 1977. The objective of the amendment is to implement the recommendations of the Stevedoring Industry Finance Committee, which aligns with the broader In Principle Agreement on waterfront reform. This agreement aims to phase out the levy as part of a transition to enterprise employment, thereby addressing a specific gap in the stevedoring industry's regulatory framework. The proposed changes, which reduce the levy from $1.40 to $0.50 and subsequently to nil, reflect a policy decision to support the reform process by gradually eliminating the levy, facilitating a smoother transition to new employment practices within the industry.
Scope and Application
The Stevedoring Industry Levy (Rates of Levy) Regulations (Amendment) 1992 applies to the stevedoring industry within Australia, specifically targeting employers who engage Division A waterside workers, who are defined as those hired on a weekly basis. The Act, which is an amendment to the existing Stevedoring Industry Levy Act 1977, operates nationally and concerns itself with the statutory general levy imposed on the employment of these workers. The Amendment Regulations, made under the authority of the Minister for Industrial Relations, implement the Committee's recommendations to phase out the levy, reflecting the broader In Principle Agreement on waterfront reform and the transition towards enterprise employment. The Regulations stipulate a reduction in the rate of levy from $1.40 per worker hour to $0.50, effective from 6 April 1992, and eventually to nil, effective from 4 May 1992. This amendment aims to address and reflect the evolving employment practices within the stevedoring industry, thereby ensuring the legislation remains relevant and supportive of contemporary employment models.
Key Provisions
The key provisions of the Stevedoring Industry Levy (Rates of Levy) Regulations (Amendment) 1992 No. 84 revolve around the adjustment of the statutory levy rate imposed on Division A waterside workers under the Stevedoring Industry Levy Act 1977 (SIL Act). Specifically, Regulation 4 of the Stevedoring Industry (Rates of Levy) Regulations is amended to reduce the levy rate from $1.40 per worker hour to $0.50 per worker hour effective from 6 April 1992, and further to nil effective from 4 May 1992. This amendment aligns with a recommendation from the Stevedoring Industry Finance Committee (SIFC), established under the Stevedoring Industry Finance Committee Act 1977, to phase out the levy in accordance with the In Principle Agreement on waterfront reform.
Under these regulations, employers who engage Division A waterside workers, as defined in the Stevedoring Industry Levy Collection Act 1977, must adjust their levy payments according to the new rates. Employers are required to ensure compliance with the amended levy rates from the specified effective dates. This involves updating their payroll systems and records to reflect the changes in the levy rate, ensuring that all payments are made in accordance with the new rates specified in the regulations.
Failure to comply with the new levy rates as prescribed in the amended regulations may result in penalties or other consequences. While specific penalties are not detailed in the explanatory statement, it is generally understood that non-compliance with such regulations can lead to financial penalties or other enforcement actions by relevant authorities. Employers who fail to adhere to the new rates may also face scrutiny or investigation, potentially leading to further legal or administrative consequences.
Overall, the amendment to the Stevedoring Industry Levy (Rates of Levy) Regulations 1992 aims to facilitate the transition to a new employment model within the stevedoring industry, as outlined in the In Principle Agreement on waterfront reform. Employers must stay informed and compliant with the new rates to avoid potential penalties and ensure smooth operations within the industry.