uncompetitive australia

Discussion in 'Four Corners' started by B-dos, Nov 8, 2017.

  1. B-dos

    B-dos Referee

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    Unilever, the parent company of streets icecream is locked in a dispute with the union representing its workers over the current EBA

    the australian icecream factory is the most expensive in the world for unilever to run. it is far cheaper for the company to make the icecreams in europe and ship them here

    http://www.huffingtonpost.com.au/20...ay-and-ice-cream-fans-are-furious_a_23187395/

    thanks to a highly rigid IR system the unions are now complaining that companies hamstrung by strict rules, actually play within them:

    .Unilever says the claims of 50% pay cuts are rubbish and outlines how absolutely ridiculous some of the strict conditions of the EBA actually are:

    https://www.unilever.com.au/news/pr...ctively-to-secure-Streets-factory-future.html

    it is just disgraceful that businesses in australia are so uncompetitive. and if Unilever make the smart decision and just leave australia, im sure they will be criticised by many people

    if large and profitable businesses like streets and unilever with high profile brands can find it so hard to do business here, imagine how hard it is for smaller businesses who face the same restrictions.
     
  2. Mong

    Mong Immortal

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    Yet, they manage and many manage to make profits as well..
     
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  3. Surely

    Surely Moderator Staff Member

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    By outsourcing

    You know all those jobs that disappear offshore.

    Its not a money thing it's restrictive practices like who can work where, the old demarcation line.
     
  4. Mong

    Mong Immortal

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    Only those that offshore make profits?
     
  5. butchmcdick

    butchmcdick Guest

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    I've asked you this for years Dos

    What nation do you think has IR laws right ?
     
  6. B-dos

    B-dos Referee

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    ive given you the same answer for years butch

    for years ive asked you specific questions in relation to these threads and you generally run away.. same again?
     
  7. Pete Cash

    Pete Cash Immortal

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    What answer do you give ?

    I want to know what country has IR laws right too
     
  8. B-dos

    B-dos Referee

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    ive said many times on not an expert in other countries IR laws
     
  9. The Charlatan

    The Charlatan First Grade

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    What do you think needs to happen with our IR laws then Dossy?
     
  10. B-dos

    B-dos Referee

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    we need to provide far more flexibility so that companies can adapt and compete

    big companies with global competitors need to complete internationally

    small local businesses need flexibility in workplace laws to drive activity and investment

    do you think rules like those cited by unilever above, and the fact they cant use their resources effectively, is a good outcome for business in australia?
     
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  11. Danish

    Danish Referee

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    If someone can tell me what is wrong with Unilever wishing to pay their staff the award rate for their industry I’m all ears
     
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  12. The Charlatan

    The Charlatan First Grade

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    Nothing is wrong with that.

    Dos seems to think there are problems, I want to hear his solutions. Not some overarching statement about flexibility for employers.

    As for the conditions in the EBA, the last one in particular boggles the mind.

    The workers will find out the hard way when the production gets moved offshore.

    I saw something similar with a major supplier in my industry recently. The workers went on strike for months before resolution was achieved, the business has suffered in a major way and still has not recovered it's original production numbers. As a result to the higher labour cost and lost sales due to virtually no production during that period, they have just announced that they will be moving production off shore and these chaps will find themselves without jobs in several months time. The workers cut their noses off to spite their face.
     
  13. B-dos

    B-dos Referee

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    i dont think there is any problem with unilever scrapping the EBA

    the unions clearly think theres a problem as they want people to boycott buying streets icecreams

    i would like to see a return to workchoices, or as close as we can get to it as possible

    indeed

    would you also say australia is cutting its nose off to spite its face?
     
  14. Surely

    Surely Moderator Staff Member

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    Smart union,boycott company product, reduce sales, require less staff.
     
  15. The Charlatan

    The Charlatan First Grade

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    I haven't read the whole EBA so I cannot comment. I do think two of those three conditions you listed in your OP are unreasonable as they create unnecessary labour costs.

    That's the issue in the modern world and the IT age, it is easy to sow seeds of doubt and call for boycotts and then the party accused has to go to great expense to refute or explain claims. Negative news travels quicker than positive.

    I am not saying anything so broad in regard to Australia as a whole as I judge each situation on it's merits.
     
  16. The Charlatan

    The Charlatan First Grade

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    Pretty much. Cue the whinge article when they lay off 25% of the workforce to downsize or 100% when they move offshore.
     
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  17. Danish

    Danish Referee

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    Well the so-called "50% pay cut" is actually just Unilever wanting to return the workers to the award rate.

    Arguments about all the other terms of the EBA, aussie IR laws vs OS, etc are meaningless if we can all agree that Unilever are perfectly fair to offer their employees award rates
     
  18. B-dos

    B-dos Referee

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    seems to me the examples are exactly alike

    if you use the phrase for the example you gave, why isnt a country that inhibits the ability of local companies to compete international, and that makes it harder for local businesses to do business and employ people, thus negatively impacting the economy, also cutting of its nose etc etc?
     
  19. The Charlatan

    The Charlatan First Grade

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    I made no comment in regard to the pay cut?
     
  20. The Charlatan

    The Charlatan First Grade

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    Two examples hardly constitutes a universal trend.
     

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