The Australian Human Resources Institute, in conjunction with Deakin University, has released the findings of its Fair Work Act research project.

 

The research canvassed HR professionals and their approach to the Fair Work Act (2009), including how they believe the legislation has impacted on their workforce and its overall effectiveness.

 

Also reported are the Act’s influence, as perceived by survey respondents, on the organisations they work for and the workplace practices they deploy when formulating, negotiating and concluding employment contracts, as well as on their role as HR professionals.

 

The key findings are:

  • 63% of respondents report an increased level of record keeping under the Fair Work Act (58% reported that in 2010).
  • 47% of respondents believe that operating under the Fair Work Act will decrease their organisation’s willingness to employ people over the next three years
  • 51% believe industrial relations costs will increase further in a year’s time (37% believed that in 2010)
  • 65% report it taking more time to formulate employment contracts (down marginally from 68% in 2010)
  • 47% report spending more time bargaining over employment contracts (40% reported that in 2010).
  • 46% report the negotiation of employment contracts is more difficult (38% reported that in 2010), but 38% also believe negotiating employment contracts will become more difficult in 12 months’ time (25% believed that in 2010).
  • 29% report productivity has decreased (13% reported that in 2010).
  • 31% believe that allowing individual labour contracts, subject to a “better off overall’ test, would either somewhat or greatly improve productivity
  • 31% believe allowing a choice between union and non-union negotiated agreements would somewhat or greatly improve productivity.
  • 40% believe greater flexibility in use of contractors and labour hire firms would positively impact productivity
  • 47% report the importance of managing union relations has increased (39% reported that in 2010).
  • 41% report the number of union visits to work sites has increased (29% reported that in 2010).
  • 58% report labour costs have increased (45% reported that in 2010).
  • 33% report the number of parent leave days allowed per annum has increased (20% reported that in 2010).
  • 31% report the number of personal carer days allowed per annum has increased (20% reported that in 2010).
  • 47% report that overall remuneration has increased (30% reported that in 2010)
  • 42% report flexible employee working arrangements have increased while 18% report they decreased, with 38% reporting ‘no change’. This question was not asked in 2010.
  • 35% report that under the new unfair dismissal threshold it has been harder to make jobs redundant (26% reported that in 2010). 

The full report can be found here