Economic Update: Employment

Australia’s national unemployment rate has remained steady at 4.9 per cent for the third month in a row. However, unemployment in Victoria has reached a six month high of 5.1 per cent, a rise of 15,000 people in a month. Job cuts by some of Victoria’s largest employers – Heinz, Foster’s, Ford and Telstra have all added to the increse

According to The Age,  the Australian dollar dropped on the jobs news, sinking about a full US cent to $US1.056 in recent trading, as investors bet the Reserve Bank was less likely to raise interest rates soon. Financial markets estimate the chance of an RBA rate rise in July is just 1 per cent, with only a 40 per cent chance the cash rate will be raised to 5 per cent by one year’s time.

These jobs figures add to a slew of recent figures pointing to a soft economy. Data out this week showed construction had contracted for 12 consecutive months while massive floods across large parts of the country this year contributed to the first quarterly shrinkage of the economy since 1991. House prices are also flat or falling in most cities, adding to households’ reluctance to spend.

Read more: http://www.theage.com.au/business/fulltime-jobs-sink-again-20110609-1ftxb.html#ixzz1P0yRD32W

Woolworths to offer paid maternity leave

 

 

 

The ongoing push for universal paid maternity leave has received another boost with one of Australia’s largest employers of women offering paid leave for the first time.

The decision by Woolworths, which has 85,000 female staff nationally, has been described as “very significant” by the retail union and welcomed by others who saw it as a step towards a universal government-mandated scheme.

There could be further moves afoot after another large employer, Coles, also said it would “be carefully watching developments as they unfold”. However, it said there was no current plan for a paid maternity leave scheme.

Read the full article from The Age on 6 June, 2008.

Myer to offer paid paternity leave

 

Myer’s announcement today to give permanent workers paid parental leave is a clever employment relations move in the battle to attract and retain staff. This move will put Myer in a better position to attract more skilled employees and retaining those employees if they choose to have children. Such a scheme makes good sense particularly in a time of a skills shortage and labour shortage.

Myer will offer will offer employees 6 weeks paid leave, with the option to stretch it to 12 weeks on half pay.

The following are the views of various stakeholders in this issue:

• Greg Travers, Myer spokesperson said, “While there is a cost involved in such an initiative, we see the benefits both in recognising our workforce and the importance of raising a family, while building the Myer brand as a preferred employer in the retail industry.”
• Federal Status of Women Minister Tanya Plibersek said, “I really think this will make Myer an employer of choice for many people who are considering a career in retail.”
• Workplace Relations Minister Julia Gillard said it was terrific to see such a move by a major company, which employs more than 10,000 permanent workers, 81 per cent of whom are female.
• ACTU president Sharan Burrow said “Paid maternity leave should be standard across all workplaces, big and small, and the ACTU would like to see other workplaces following Myer’s example and a national employment standard that guarantees this important right for Australian workers,” she said.

Read the full report on this issue from National Nine News and consider the following qestions:

1. What is paid paternity leave and when will Myer employees qualify for this leave?
2. What does it mean to be an ’employer of choice’ and why will this move make Myer an employer of choice?
3. Outline, in full, each of the arguments outlined in the article in support of paid paternity leave from the following stakeholders: government, union, employer.

At the same time, Aldi Supermarkets have also announced a paid maternity leave scheme, giving female employees 14 weeks off at half pay.

Read more about the Myer and Aldi leave schemes in The Age, 28 March, 2008.