IR laws 'helping work-life balance'http://www.ozpolitic.com/forum/YaBB.pl?num=1187830244
Labor's plan to end Work Choices slammedhttp://news.smh.com.au/labors-plan-to-end-work-choices-slammed/20080507-2bq9.html
Federal Labor's industrial relations changes are likely to trigger job losses and higher inflation, a Treasury analysis of the plan to scrap Work Choices states.
Treasury's assessment of the plan is contained in an executive minute dated April 18 of last year, before the federal election.
The critique concludes the effects will ultimately create "wage-price spirals" and drive up interest rates, while limiting unfair dismissal laws will cut jobs and increase red tape for small business.
The minute, obtained by The Australian, came one day after Kevin Rudd, as then opposition leader, flagged in a speech to the National Press Club the industrial relations changes he would make as head of a Labor government.
The department, under Treasury secretary Ken Henry, concluded that Labor's plan to abolish Australian Workplace Agreements and the return of guaranteed penalty rates would cut jobs and put "upward pressure on prices".
The changes would also create more "flow-on" wage claims from sectors such as mining to less productive sectors and allow unions to "bid wages up above their market level".
"This reduced flexibility, together with forcing business to pay higher rates of pay during certain hours of business, is likely to lead to lower levels of employment," the minute states.