ZabZu said:
True. But as part of the Industrial Relations reforms the government replaced the independent body that sets the minimum wage. They replaced it with people who are close to big-business. It wont surprise me if we see the minimum wage drop.
See this is where you are completely missing the point.
The whole reason behind these IR reforms, is as an effective solution to a problem which came to attention over 25 years ago. The explosion in real wages in the late 70's and 80's caused a recession. The recession was completely unnecessary. If our labour maket had the flexibility as present in work choices, the recession would have either been totally avoidable, or at least could have had its devastation reduced.
The various responses from labor such as the accord, and working nation reforms didn't really tackle the heart of the problem.
The Fair Pay commission as set up in workchoices is the permanant solution to the problem of un sustainable real wage growth. This is why it is unfair to compare australia to america. America has a minimum wage which comes from a neo classical way of economic thinking (their system has long term benefits, howevor short term costs).
Australia's fair pay comission is an independant body which can adjust wages in the interests of employees and the economy. So on one hand it is going to make sure that employees get paid a decent wage, but then it isn't going to do this at the expense of massive unemployment, or the risk of a recession.
Its designed to remove the rigidities in the labour market in order to prevent even bigger problems. They arent trying to rob the poor and give to the rich like all these naysayers keep suggesting.