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The Queensland Industrial Relations Commission is due to hear on November 15 another application by the Queensland Council of Unions (QCU) to require small businesses to pay redundancy packages to employees on state awards. The Commission maintained the current redundancy exemption for small businesses in a test case late last year, but in a subsequent decision extended entitlements to some small business employees - prompting the union's fresh application. Ai Group Queensland director Andrew Craig describes the push for small businesses to pay redundancy as a "hoary old chestnut" which both industry and government successfully opposed the first time and would do so again this time round. "Many small businesses run on the smell of an oily rag and if they are suddenly hit by what can be very significant costs of unfair dismissal or redundancy they can be taken to the brink," he says. The state unions' drive for small business to pay redundancy - in order to boost employees' job security - comes as the federal government prepares legislation to maintain small businesses' exemption from redundancy payments in federal awards. In a statement last week the Howard government said it planned to introduce to Parliament next month bills to exempt small business from the unfair dismissal regime and maintain their exemption from redundancy payments. Considering the separate state and federal processes at play, and the complications that can mean for both businesses and their employees, Craig says the Ai Group would not be opposed to the introduction of a single national industrial relations system.
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Tuesday, February 07, 2012