Industrial relations concerned inflated

Opposition treasury spokesperson Malcolm Turnbull has called for a government guarantee that industrial relations reforms will not affect inflation. The Coalition claim that the proposed reforms, primarily the rollback of WorkChoices, will cause a wage spiral if individual agreements are removed.

Minister for Industrial Relations and Deputy Prime Minister Julia Gillard has rejected the claims, saying the changes will help low-paid employees whose rights were diminished under WorkChoices.
 
"I don't hear anyone in the business community say their concern about inflation is whether or not a 17-year-old worker gets treated decently in their first low-wage low-skilled job," she said.
 
The Reserve Bank warned that inflation will stay high for some time.