Penalty rates hit farmers

CASUAL agricultural workers in the Far North will be denied the chance to earn extra money with the introduction of new penalty rates this month.

The Fair Work Commission’s new regulations mean for the first time seasonal staff are entitled to overtime pay and night loading.

The changes came in Saturday but the Mareeba owner of Howe Farming Enterprises’ Dennis Howe said politicians were “living in dream land”.

“We just won’t be able to afford to pay them. We will only work them 38 hours, and unfortunately it will take away the opportunity to earn more money,” he said. “It’s a pain in the neck but you can’t go paying them $33 an hour or whatever that comes to.”

Mr Howe said this winter there were plenty of people seeking labouring jobs so he would simply employ more workers for shorter periods.

Regional advisory firm Crowe Horwath partner Tony Hickey said the changes to the horticultural award would mean businesses had to be extra careful when planning their casual employment.

“Ignoring these changes will potentially disadvantage both business owners and their employees,” Mr Hickey said. “Preparing for these changes should be a top priority for any horticultural business that uses significant casual labour.”

But Mr Hickey said there were new tax incentives available for businesses.

“If you are implementing new production processes, purchasing new machinery or developing new product lines, the Federal Government’s R & D tax incentives are available to provide support and allow you to continue investing in new technologies,” he said.