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Workers Confused About Their IR Terms

Finding No. 4052 - July 14, 2006

Published in The Australian (July 13, 2006)

More than eight-in-ten (83%) employed Australians are satisfied with the way they are currently employed, with just 11% saying they are dissatisfied and 6% unable to say, a special Roy Morgan telephone survey finds. Among those who believe they are employed under an AWA, satisfaction is 8% lower at 75%.


The most common reasons for satisfaction amongst employees are “good terms and conditions”, “my boss treats me well” and “happy with pay rates”. Common themes amongst the dissatisfied included “low/reduced wages” and a “lack of opportunities to further career.”

Seventeen per cent of workers believe they are employed under an AWA (3% individual workplace agreement; 13% collective workplace agreement; 1% can’t say what kind of AWA). However, official estimates suggest that just 4% of the working population is employed under an AWA. This implies that a major proportion of the Australian workforce is confused about what type of workplace arrangement they’re under.

Thirty-five per cent of workers believe they are employed under an industry based contract (19% union based; 9% non-union based; 7% couldn’t say what type); 30% an individual contract; 6% were not employed under any arrangement; 2% other; while 10% can’t say what type of employment arrangement they were currently under.

A greater proportion of workers in Tasmania (26%: 8% individual; 16% collective; 2% can’t say) and Western Australia (22%: 4% individual; 16% collective; 2% can’t say) believe they are employed under an AWA.

Gary Morgan says:

“The main finding of this research among Australian employees is that most Australian employees are satisfied with their current employment arrangements, but there is a lack of knowledge and understanding about what their contractual arrangements are.

“Roy Morgan Research will continue to provide measures of Australian employees satisfaction with their employment arrangements and conditions as the different kinds of employment arrangements become better known, and the impact of the new IR legislation is experienced.”

Respondents gave reasons for why they were satisfied/dissatisfied with their current employment arrangement as part of special Roy Morgan Qualitative Research.

Good terms and conditions:
“My employers are open to negotiating conditions — we’ve done it for years before the IR reforms were introduced — they’re just nice people. I won’t vote for Liberal because I don’t think these new agreements will benefit people who do not have skills.”
“I’m in a position where I can work the hours I want to fit in with childcare as there is a lack of teachers — the education department is currently quite flexible.”
“I work in a small family business where I’m treated with respect for my ability and integrity. I think I am one of the fortunate ones.”

My boss treats me well:
“I have no hassles and no worries with my pay. My employer is flexible in terms of time and is supportive of my learning.”
“I work for nice people. I get good wages, flexible working times and can even work from home sometimes.”
“I’m particularly satisfied with my employer as they provide a good deal of freedom, choice and opportunities.”

Happy with pay rates:
“The award sets out clearly what we are, and are not, entitled to. The union provides a resource to ensure compliance with the award.”
“I work with good people; there are opportunities for advancement, combined with excellent wages and conditions.”
“Under the award I have been treated fairly, my wages are good and my bosses listen to my concerns.”

Low/Reduced wages combined with a lack of bargaining power:
“Sometimes the boss doesn’t pay us on time if she doesn’t have money — she is pretty dodgy.”
“AWA’s have been thrust upon us. They don’t give any leeway and they weigh heavily in the employer’s favour. The employer can force us to work at any site they want — we’re expected to sell our homes and move our families — and either you go or your service is no longer required. I find that is very detrimental to my family and social life.”
“I would like to be in a position where I had someone behind me — like union backing.”
“The Peter Beattie Government doesn’t fund police enough — lowest paid police officers in Australia.”

Lack of opportunities to further career:
“I’ve been working for more than three years for the same money — there’s no annual increase and if you ask for one they just say no.”
“I’ve been with the company for five years and been on the same pay — if a person starts tomorrow they will earn the same pay. No matter how many years you’ve been with an AWA, you will still get the same pay and that’s what angers me.”
“I’d like more hours, but they give them to the young ones. When you get older you only get a certain amount of hours and you never get overtime or anything like that.”

This special Roy Morgan telephone survey was conducted on the evenings of June 19/20, 23/24 & 27/28, 2006, with an Australia-wide cross-section of 1,047 full-time and part-time employees aged 14 and over.


1. What type of arrangement are you currently employed under?

Respondents who said they were either employed full-time or part-time were asked: "Are you employed under an…?”

Those who said they were employed under an AWA were then asked: “Is that an individual workplace agreement, where you negotiated your own terms and conditions, or a collective workplace agreement?”

Those who said they were employed under an Industry based award were then asked: “Is that a union based industry award, or not?”

Women were marginally more likely than men (18% cf 16%) to believe they are employed under an AWA. Analysis by age shows that young Australians — those aged 14-17 — are the most likely (24%) to be employed under an AWA. It is interesting to note that 37% of 14-17 years olds and 22% of 18-24 year olds can’t say what type of arrangement they are employed under.

 

Total All

People 14+

Analysis by Sex, Age & Work Type

 

July 2006

Men

Women

14-17#

18-24

25-34

35-49

50+

Full-Time

Part-Time

 

%

%

%

%

%

%

%

%

%

%

Individual AWA

3

4

2

6

3

4

3

2

3

3

Collective AWA

13

11

15

15

10

16

12

14

13

14

Couldn’t say Ind. or Coll.

1

1

1

3

1

1

-

2

1

1

TOTAL AWA

17

16

18

24

14

21

15

18

17

18

Union based

19

17

20

5

8

13

23

26

20

16

Non-union based

9

9

10

5

8

10

11

6

9

9

Couldn’t say union or non-union

7

7

7

14

7

8

8

5

7

8

TOTA Industry based award

35

33

37

24

23

31

42

37

36

33

Individual contract

30

35

25

11

35

35

28

29

33

24

Other

2

3

2

2

1

1

2

4

2

2

None

6

5

5

2

5

5

6

7

6

5

Can’t say

10

8

13

37

22

7

7

5

6

18

Total

100

100

100

100

100

100

100

100

100

100

# Sample sizes less than 50 should be treated with caution

A greater proportion of workers in Tasmania (26%: 8% individual; 16% collective; 2% can’t say) and Western Australia (22%: 4% individual; 16% collective; 2% can’t say) believe they are employed under an AWA.

 

Total All

People 14+

Analysis by Region and State

July 2006

NSW (incl. ACT)

Vic

Qld

SA

WA

Tas#

 

%

%

%

%

%

%

%

Individual AWA

3

4

4

1

4

4

8

Collective AWA

13

13

12

13

14

16

16

Couldn’t say Ind. or Coll.

1

-

-

1

1

2

2

TOTAL AWA

17

17

16

15

19

22

26

Union based

19

21

19

17

16

17

11

Non-union based

9

12

6

13

8

2

4

Couldn’t say union or non-union

7

5

8

9

9

7

13

TOTAL Industry based award

35

38

33

39

33

26

28

Individual contract

30

27

33

26

37

32

41

Other

2

3

2

2

2

2

-

None

6

5

6

6

6

6

2

Can’t say

10

10

10

12

3

12

3

Total

100

100

100

100

100

100

100

# Sample sizes less than 50 should be treated with caution

2. Satisfaction of current employment arrangements

All respondents, regardless of whether they worked full or part-time and what type of work arrangement they were under, were then asked: “Are you satisfied, or dissatisfied, with the way you are employed?”

Men and women were equally likely (both 83%) to be satisfied with the way they are currently employed. Analysis by age shows that younger Australians are the least satisfied with the way they are employed, although 19% of 14-17 years olds can’t say whether they are satisfied or dissatisfied.


 

Total All

People 14+

Analysis by Sex and Age & Work Type

 

July 2006

Men

Women

14-17#

18-24

25-34

35-49

50+

Full-Time

Part-Time

 

%

%

%

%

%

%

%

%

%

%

Satisfied

83

83

83

79

78

83

84

83

84

80

Dissatisfied

11

10

11

2

15

11

10

11

9

13

Can’t say

6

7

6

19

7

6

6

6

7

7

Total

100

100

100

100

100

100

100

100

100

100

# Sample sizes less than 50 should be treated with caution

Australians employed under an Individual AWA are the most dissatisfied (17%) of all AWA employees with the way they are employed. The satisfaction level of AWA employees is 8% below the 83% satisfaction of all full-time and part-time employees.


 

Total All

People 14+

 

Analysis by Employment Arrangement (AWA)

 

July 2006

Total AWA

Individual AWA

Collective AWA

Can’t say

whether Ind. or Collective#

 

%

%

%

%

%

Satisfied

83

75

71

77

77

Dissatisfied

11

12

17

11

-

Can’t say

6

13

12

12

23

Total

100

100

100

100

100

# Sample sizes less than 50 should be treated with caution

Australians employed under an individual contract are 6% more likely to be satisfied with their current working arrangements than those employed under an industry based award (87% cf 81%). Whether an industry award is union based or non-union based has no effect employment satisfaction (81% cf 80%).

 

Total All

People 14+

 

Analysis by Employment Arrangement (Industry Based Award & Individual Contract)

 

July 2006

Total Industry

based award

Union

based

Non-Union

based

Can’t say whether

union or non-union#

Individual

Contract

 

%

%

%

%

%

%

Satisfied

83

81

81

80

82

87

Dissatisfied

11

11

10

11

14

11

Can’t say

6

8

9

9

4

2

Total

100

100

100

100

100

100

# Sample sizes less than 50 should be treated with caution

This special Roy Morgan telephone survey was conducted on the evenings of June 19/20, 23/24 & 27/28, 2006, with an Australia-wide cross-section of 1,047 full-time or part-time employees aged 14 and over.

Morgan Poll Detailed Analysis
A detailed analysis of this special Roy Morgan survey can be purchased for $6,800 plus GST (which includes the data loaded in Roy Morgan’s Asteroid Software).

 

For further information:

Gary Morgan

Office +61 3 9224 5213

Mobile +61 411 129 094

Home +61 3 9419 3242

Michele Levine

Office +61 3 9224 5215

Mobile +61 411 129 093

Home +61 3 9817 3066

 

The Morgan Poll is conducted by the ONLY Australian and New Zealand member of
the Gallup International Association.

No Other public opinion poll taken in Australia has this qualification.


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