Western Australia: The start of the new financial year is not a good one for a majority of Western Australian businesses, which as of today, are being forced to comply with another round of complicated and costly changes to the National industrial relations system.

The state’s peak business organisation, CCI, is concerned that many WA businesses will struggle with the new rates of pay under the changes, and many will be forced to cut staff.

It’s a double whammy for business. The recent decision to increase the minimum wage by $26 a week also comes into force today.

Businesses across the State are asking themselves the question – how can they afford this new financial impost?

CCI is hearing from many of its members that they fear they’ll be unable to pay the higher wages.

Business feels let down by the Government as it promised during the 2007 election that the new modern awards wouldn’t disadvantage them or cost them more money.

WA’s shops, cafes, restaurants, pharmacies and factories will be among the hardest hit.

The state’s wine industry will now have to pay a 125 per cent penalty rate to their staff who work Saturdays.

WA manufacturers will have to pay some apprentices an extra $95 a week.

Employers in the fast food industry will need to pay most of their workers more.

In retail, junior and adult wages will rise by 5 per cent. New uniform and laundry allowances of $6.25 per week will also apply.

For any business, that is a significant increase and will force many to pass on the higher costs to their customers.

Source: http://www.cciwa.com/1_July_2010.aspx#21262