Wage row mars Australian leather trade initiative
Steps taken by the Australian government to protect the Textile, Clothing, Footwear and Leather (TCFL) industry in the State of Victoria has come under fire from unions because of its alleged exploitation of outworkers.
Michele O`Neil, Textile, Clothing and Footwear Union secretary in Victoria confronted Manufacturing Industry Minister, Rob Hulls, outside the policy launch in Melbourne. She charged that the government had broken its promise to ensure that all government tenders - involving millions of dollars in uniforms and footwear - went to companies that paid fair wages and offered good working conditions.
Ms O’Neil said it was "unacceptable" that people were being paid as little as $3 an hour for fulfilling government-tendered contracts. She also said it was hypocritical for the government to describe the initiative in terms of improving the image of the industry when such low wages were being paid. Mr Hulls responded that because the government’s efforts to ensure that purchase tenders went to firms that did not exploit workers was continuous, further improvements could be expected.
The Australian government has recently turned its attention to exposing Victoria's $5 billion TCFL sector to expanding world markets. Victorian manufacturers had to become innovative, to create more value-added products and increase the "global orientation of the industry", Mr Hulls told company bosses at the launch. He also said the Victorian government would lobby the federal government on behalf of the state's 33,000 TCFL workers in the lead up to the review of the industry sector. The Productivity Commission, which will report to the federal government, will review Victoria’s TCFL policy later this year.
