Sorry Employee Entitlements Picture

Date: 11 December 2002

The Auditor-General's report into the Howard Government's employee entitlements scheme paints a sorry picture of incompetence and delay, according to Shadow Workplace Relations Minister Robert McClelland.

Three years after the scheme was first established, the Auditor-General has found that:

* rules and procedures remain incomplete;
* existing rules and procedures are not being consistently followed; and
* there is no systematic quality control.

After endless tinkering, the Howard Government still can't hide the inadequacy of its scheme, which was conceived as a political fix for John Howard's embarrassment at the collapse of National Textiles, chaired by his brother Stan.

Despite the Government's promise that 80% of employees' claims would be resolved within four months, the Auditor-General found barely half of employees receive their entitlements in that time, with one in five employees forced to wait more than six months.

In almost half the cases examined by the Auditor-General, the Government could not even verify that the money it had paid out had actually been received by employees.

The Auditor-General also found that the Howard Government ignored legal advice that the funding arrangements for its scheme are unlawful.

While corporate executives continue to receive massive payouts before companies fold, workers and their families are left waiting for their entitlements by the Howard Government's inadequate scheme.

A Crean Labor Government would put in place a comprehensive national insurance scheme to protect 100% of workers' entitlements, with businesses who make adequate alternative arrangements to protect entitlements and small businesses exempted.

Australian workers and their families deserve better than the Howard Government's incompetence and delay.

For further information

Contact:	Jonathan Kirkwood
Union:	Labor Council of NSW
Contact Mobile:	0425 231 690

LaborNET is proudly created, designed and programmed
by Social Change Online for the Labor Council of NSW
[Credits] [Site Matters]