Labor and unions have thrown down the gauntlet for an industrial relations showdown with the Morrison government over changes to enterprise bargaining.
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The coalition wants the Fair Work Commission to be given more scope to approve agreements that fail the better-off-overall test.
Proposed changes to the bargaining system were introduced to parliament on Wednesday as part of wider industrial relations reform.
The commission would take into account coronavirus impacts and support for the deal from all parties at the bargaining table.
ACTU secretary Sally McManus said bosses could ask workers to take a pay cut, arguing financial stress from the pandemic.
The commission would then have an agreement from employees and the employer with no clear threshold for demonstrating coronavirus impact.
"Once you open a door to having some employers go below what the minimums are, you put pressure on every other employer to do the same," Ms McManus said.
"It's a race to the bottom."
Existing workplace law has exceptional circumstances exemptions to fail the better-off-overall test.
But that would be extended to the new criteria for two years under the government's bill, which will be scrutinised by a Senate committee before coming to a vote next year.
Industrial Relations Minister Christian Porter is almost certain the commission would take businesses' turnover into account.
He argued workers under enterprise agreements were on average significantly better paid than award employees, making it preferable to increase enterprise bargaining.
"Everything in the bill that we put before the parliament this morning is designed to create jobs and put upward pressure on wages," Mr Porter said.
Opposition industrial relations spokesman Tony Burke said the legislation did not specify a negative impact from coronavirus.
"This pay cut is the government's Christmas present to workers who got us through the coronavirus pandemic," he said.
Labor leader Anthony Albanese signalled the opposition would vote against the bill.
"This is a nasty act from a nasty government that is returning to form when it comes to attacking workers' wages and conditions," he told reporters.
Australian Industry Group chief executive Innes Willox said it was important for the commission to have increased discretion to approve agreements failing the test.
Australian Mines and Metal Association chief Steve Knott said the changes to enterprise bargaining were modest.
"The fact is these proposed amendments do not take away any rights from working people, as is so often lazily claimed," he said.
The federal government held five industrial relations working groups with unions and employers looking at enterprise bargaining and four other areas included in the bill.
But the ACTU claims it has been blindsided by bargaining changes.
Ms McManus welcomed changes to wind up enterprise agreements made during the WorkChoices era.
"We just don't want another wave of zombies we have to kill," she said.
The bill also aims to slash the time the commission has to approve enterprise agreements to 21 days.
The better-off-overall test will be reformed to prevent hypothetical working arrangements from being considered.
Australian Associated Press
