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Clarity over 'pay for peanuts' debacle

Western Plains App

Laura Williams

25 August 2022, 3:20 AM

Clarity over 'pay for peanuts' debacleThe proposal has union bodies concerned that workers could be swapping their pay for fruit and vegetables to bring home. (Via Flickr)

A recent recommendation from the National Farmers Federation (NFF) has caused uproar across the country, prompting union bodies to call for urgent clarification. 


Ahead of the national Jobs and Skills Summit the National Farmers Federation has published 40 recommendations to increase workforce supply, one of which instantly caught the media’s attention, suggesting paying workers with ‘non-monetary benefits’ - which some took to mean in lieu of wages. 


The Australian Workers Union (AWU) National Secretary Daniel Walton said that the ‘alarming’ suggestion should be clarified immediately.





“The days of vulnerable workers being ‘paid’ with food instead of money should be long behind us. (NFF) must urgently acknowledge that these arrangements belong in the history books,” Mr Walton said. 


The recommendation from the NFF suggested ‘taking non-monetary benefits into account’, which was quickly interpreted as accommodation, fuel, and even as far as fruit and vegetables being used in place of actual pay. 


“Some jobs in remote locations require employers to provide accommodation and life essentials. At no point, however, should this necessary provision of essentials be considered some kind of ‘service’ for which workers are expected to forgo pay,” Mr Walton said. 


In an interview with Radio National in the same day, NFF President Fiona Simson said that there is no intention of people foregoing pay. 


“I’m not sure where that misconception has come from,” Ms Simson said.


“It’s not legal to negotiate below base rate,” she said. 


Instead, the recommendation suggested non-monetary benefits as an alternative to excessive wages for farmers who need to pay far beyond minimum wage to attract employees. 


“There’s just not enough workforce to go around, and so people are actually having to pay well above the award rate in cash,” Ms Simson told Radio National. 


“That’s just one of the forty recommendations…we want to talk about job development and skills,” she said. 


Another recommendation proposes a return to the ‘No-Disadvantage Test’ (NDT)when it comes to award agreements, which was the predecessor of the ‘Better Off Overall Test’ (BOOT). 


While the aim of the NDT is to ensure that employees aren’t disadvantaged by their award, the BOOT works to ensure that wage agreements ensure that employees are better off. 


Unsurprisingly, unions are in support of BOOT, which provides more protections against wage cuts. 


The Jobs and Skills Summit will be held at Parliament House in Canberra on 1-2 September.