"The Productivity Commission's latest interim report from its 5 Year Productivity Inquiry fires a very clear warning shot that an expansion of multi-party bargaining risks damaging our economy and workplaces. The last thing we need as Australia struggles to stave off a recession is out-of-control union-led strikes and industrial action," Innes Willox, Chief Executive of the national employer association Ai Group said today.

"The report reinforces alarm that recent union calls for multi-employer employer bargaining to be extended to sectors such as road transport will translate to increased industrial action and costs being heaped on already stressed supply chains.

"The Commission’s plea that changes need to be undertaken with caution and be subject to ­detailed, rigorous and transparent analysis mustn’t be ignored. The PC report is a brutal reality check for unions proposing radical reform in this area.

"Any proposal that would undermine enterprise bargaining, increase industrial action and disruption in already fragile supply chains would be fiercely opposed by business," Mr Willox said.

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