All Trades exploits loophole to pay apprentices at $90 below the poverty line
Published: 20th of October 2015
My Sunshine Coast.
The ETU, CFMEU, AMWU and Plumbers Union are calling on the both state and federal government to close a loophole exploited by employers in Queensland to pay apprentices at a rate at least $90 below the poverty line.
ETU Organiser Scott Reichman says All Trades Queensland have been using a legal loophole to pay the state’s apprentices under the Queensland award rather than the federal award, stripping workers of up to $3 an hour in pay since the start of the year.
The largest employer of apprentices with 1300 throughout the state, All Trades Queensland are seeking to reach an agreement with workers which would lock apprentices into a rate of $9.45, rather than the current federal award rate of $12.36.
Mr Reichman said the company’s treatment of apprentices was disgraceful and exploitative.
“They’re full-time employees that are expected to pay for fuel, a car, food, insurance and rent for less than the dole or the minimum wage and $90 a week less than the poverty line,” Mr Reichman said
“The expectation is that they live at home and continue to be a burden on their parents despite the fact they can vote, they can drive and can drink in a pub as an adult, but get paid at a rate less than children.
“It is driving people out of the industry – if you go work at McDonald’s you make at least $17.29 an hour, but if you go and work at All Trades and you get $9.45 an hour.
“We’re calling on the state and federal governments to address this loophole as a matter of urgency to ensure our youngest and most vulnerable workers are paid a decent wage.”
Mr Reichman said the ETU believed All Trades was in breach of the Fair Work Act by paying apprentices under the state award as the rate did not meet the Better Off Overall Test.