An article regarding drastic shortages of farm labour in Australia this picking season.
And another article regarding wages theft from farm workers.
Could there possibily be a connection?
2 Likes
Is there a whole new topic here?
A fair days pay for a fair days work.
The message for consumers is will consumers agree to pay more as a consequence?
On the one hand the benefit to temporary workers from the nearby Pacific Islands nations is likely good for relationships. It has also been an opportunity for foreign students and visitors.
On the other it’s now an opportunity for Aussies looking for work. At least sufficient to meet domestic consumption. The major wholesalers, ‘Colesworth’, and others set the market price, which in turn reflects the value of the labour used.
The gap between farm gate pricing and retail is significant. It may serve a purpose if the big retailers were required to display in store the farm gate price paid for each major produce line, and how much of this was wages paid to hired on farm labour. I’ve a non working model of a flying pig as inspiration.
An alternate response from the farmers and agribusiness might be that they can’t get cheap labour to meet their contracted market agreements. Our governments do have the ability to set and enforce minimum pay and conditions for all types of labour and employment agreements.
Are we asking the wrong questions and looking in the wrong place?
2 Likes
The ACTU has collaborated with Hospo Voce to put together an App that has helped Hospitality workers deal with underpayments , workplace bullying and sexual harassment issues. It has helped workers recover money for work they had been short changed on.
The App uses some Artificial Intelligence to provide some of the help “Questions are answered by current hospitality workers and IBM Watson-powered artificial intelligence. It includes tools like PayChecker, Record My Hours, an online Harassment Diary and Fact Sheets with tips on how to enforce workplace rights.”
1 Like
Another disgusting case.
1 Like
The Federal Government is introducing legislation to counter wages theft.
1 Like
Depends how you read it, apparently. There are some who believe that the proposed changes are going to make “wage theft” legal. It wont be classified as theft.
Most ads in foriegn languages for jobs in Australia are for illegally low pay rates.
1 Like
Flight Centre taken to court for alleged underpayment of employees.
Perhaps it might reveal how Flight Centre founder, Graeme Turner, got his nickname “Skroo”.
Flight Centre may also need to update their slogan from “Best in the air” “And everywhere” to
“Best in the air”. “The wages aren’t fair”.
Wages theft? What wages theft?
A study that looked at about 3,000 job adverts for foreign workers:
" The Unions NSW report, titled Wage Theft: The Shadow Market , surveyed some 3000 job ads in Chinese, Korean, Vietnamese, Nepalese, Spanish and Portuguese.
The ads were for Australian-based jobs and found on community Facebook groups, foreign language websites and newspapers."
3 Likes
A watchdog. Precious.
3 Likes
Is it the ACCC, ASIC, APRA or AUSTRAC?
They all look the same.
2 Likes
The AWU is applying to the FWC for a minimum wage for farm workers.
1 Like
Another article regarding farm workers being exploited.
Always a challenge for consumers? It does not need to be so. From being closer to the action than most:
As a portion of the cost of the final retail product on the supermarket shelf, the low paid farm labour is for most crops a relatively small component.
As a portion of the farm gate cost it can be significant. For farmers competing for market the cost of labour is the one aspect they feel they have any ability to directly influence. It is the difference between meeting costs and making a fair return.
The likely outcomes of implementing a minimum wage agreement? Unknown, because there is no public transparency showing the costs of putting broccoli or grapes etc on the supermarket shelves. The costs after the farm gate are effectively fixed costs per kg. Curiously when product is in short supply and the market price doubles, so does the final retail price?
Is more needed to ensure consumers are not taken advantage of if the status quo is to change. Consumers are aware of the smoke and mirrors experienced with milk. Cynically many now just buy the cheapest regardless. How would the broader market shake down in response to major reforms to agricultural workers pay and conditions?
P.S.
Not to mention the losses of product through poor supply chain management, wastage and dubious product rejection criteria. These affect both the farm gate and retailers as lost income.
Another article regarding farm labour problems.
It would be easil;y solved if all parties respected the old adage.
“A fair day’s work for a fair day’s pay.”
The TWU is taking Qantas to task for wages theft.
Farmers are complaining that their crops are being wasted due to labour shortages.
Aussie farm workers are complaining regarding being exploitated.
And the wool industry comes up with a smart solution.
Pay a fair wage and get your produce harvested. Pay peanuts and you will have to plough your peanut crops back into the soil.
How hard is that to comprehend?
1 Like
Not very hard if you look at the facts!
Farm labour costs for vegetable production are only 20% approx of the farm production cost.
What does this mean?
- As a proportion of the supermarket shelf price only 5-10% of the price is farm labour costs.
- Paying farm labour 50% higher wages would increase typical super market shelf prices 7.5-15%.
- Doubling farm wages would increase the cost to the consumer 10-20%.
At the producers end. There are many larger businesses as well as independent smaller farmers. Labour is typically the largest single cost. (Note: Debt on borrowings varying greatly between farms, it can be greater.)
P.S.
The deep dive.
The industry is coy about costs. The Dept of Agriculture measures production and the value of crops. Look for the annual export tonnages of a crop and value, it’s easy enough to determine indicative prices loaded for export. Farm gate are less.
1 Like
The pay on offer is low, but no lower (apart from exploitation cases) than many other businesses that employ unskilled labour.
The business model seems to be in the farm seasonal sector to rely on a captive labour force. Backpackers who’s visa requirements allow them to work on farms, but nowhere else. They have no access to support money from the Australian Government if they find themselves out of money, unlike Australians out of work.
Same with Pacific islanders, who can come here specifically to do farm work, but are sent packing if they don’t.
At the moment with Job Seeker, the payments to those unemployed are increased with the supplement, and the job seeking rules are not being applied. And those on Job Keeper are in many cases being paid more than they would be if they actually worked on casual minimum wage.
Another article regarding shortages of farm labour.
And this extract, ’ “We’re hearing of plenty of horticulturalists paying in the order of 15 per cent over the industry award,” Mr Ferrier said.’
Wow. A massive 15%. How very generous. Do you actually want to get your crops harvested or do you simply want to bitch like the quarantined overseas tennis players.
