Small Businesses and Unfair Dismissal
March 13 2002 -
Robert McClelland - Shadow Minister for Workplace Relations
Media Statement - issued the following statement attacking Tony Abbott:
"Minister Abbott used Question Time today to creatively reinterpret
a damning independent study that undercuts the Government's claims
on the need for a small business unfair dismissal exemption.
"Far from supporting the Government's position, as Minister Abbott
has claimed, the study demonstrates the Government's complete
failure to educate small businesses.
"It is clear that many small business operators have unnecessary
fears about unfair dismissal laws. The Government appears
determined to exploit those fears instead of addressing
misconceptions about unfair dismissal.
"Twenty-seven percent (27%) of small business operators were worried
that "you can't dismiss a person even if they are stealing from
you". FACT: Businesses can dismiss a person who steals. Thirty
percent (30%) of small businesses thought that the employer always
lost unfair dismissal cases. FACT: The outcome of arbitrated cases
is roughly even.
"The study also plainly contradicts the Government's repeated claims
that unfair dismissal laws are the biggest barrier to employment
growth among small businesses. When asked to nominate "the main
impediments to hiring new staff", only five percent (5%) of small
businesses nominated unfair dismissals. In contrast, twenty-five
percent (25%) of small businesses nominated the lack of skilled or
experienced applicants.
"The survey undermines Government claims that a blanket small
business exemption will create jobs. Only three percent (3%) of
small businesses nominated "changes to unfair dismissal laws" as
something that would encourage them to employ more staff. Thirty
two percent (32%) of small businesses said that "more work" would
encourage them to employ more staff.
"The Government needs to do more to educate small businesses about
the real meaning of unfair dismissal laws - not just pursue an
exemption that will leave all small business employees without
protection against even the most capricious of dismissals."