Hundreds of automotive apprentice positions could be lost due to a massive and unjustified wages push by unions, says the South Australian Motor Trade Association.
The unions are seeking first year rate rises of $127.10 or a 43% increase per week and an extra $70.61 or 18% increase for second year apprentices.
“These increases are simply not affordable for our industry,” says MTA CEO John Chapman.
“We have lodged a detailed submission with the Fair Work Commission in response to the claims being run by the Australian Manufacturing Works Union and the ACTU.”
Chapman says the unions were on a path to destroy jobs for young people.
The MTA is the largest single employer of apprentices in South Australia with more than 500 future tradespeople being trained at its Royal Park Training and Employment Centre and with more than 250 host employers around South Australia.
Chapman says there were other aspects of the claim which threatened the future employment of apprentices including the union seeking payment for all travel and accommodation costs when apprentices were undertaking training. This claim could run to thousands of dollars over the term of an apprenticeship.
This would place a massive burden on employers which ultimately would lead to a loss of opportunity for apprentice positions,” Chapman says.
“Quite frankly it would not be viable for employers in country areas to train young people.”
“We would also have to consider whether we continue to employ young people in country areas as well as the overall viability of our employment and training organisation.”
Chapman warns that the union’s claims could effectively destroy apprentice training in South Australia and across the nation and this would affect training providers including the Government run TAFE.
“What the unions seem to have forgotten is that employers will look at narrowing the training base and using trades assistants to undertake repair work.
“You will not longer have people who have the wide breadth of knowledge because employers will not be able to afford to pay for training and ultimately the consumer will suffer.
The MTA will argue its case at a Fairwork Commission hearing due in April 2013.
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