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Broadband network bidders must make sure workers and consumers are not ripped off

21 November 2008, 9:35am
Cheap fast broadband AND fair business practices - that's all we  want! Cheap fast broadband AND fair business practices - that's all we want!

The Federal Government’s National Broadband Network (NBN) must help create long-term jobs in the local communications industry and bring down the price of broadband Internet access for Australian consumers, say unions in a major new report.
With the deadline looming next week for the lodging of tenders for the NBN – which will be underwritten by a $4.7 billion investment of taxpayers’ money – the ACTU and telecommunications unions will distribute the report to shareholders at tomorrow’s Telstra AGM (21 November 2008).

The report shows Australians are currently paying four times as much as people in the UK, 25% more than New Zealanders and the eighth highest average cost in the OECD for access to broadband.

The unions’ statement calls for the successful NBN bidder to commit to principles including fair business practices to its workforce, investment in new jobs and skills, and more affordable Internet access for consumers.

ACTU Secretary Jeff Lawrence said the NBN was a vital piece of national infrastructure that would drive productivity and economic growth for years to come.

The NBN must not be allowed to replicate the sub-standard service, over-charging and poor take-up that characterises Australia’s current broadband network after a decade of neglect by the former Howard Government.

He said the network must be operated by a company whose central focus is on driving innovation, amplifying take-up in both urban and regional areas, and delivering more affordable broadband services.

The regulatory framework for the project must ensure that the network operator does not use its market power to inflate prices, extract exorbitant rates of return and discourage competition in the industry.

Unions also strongly believe the successful bidder must promote quality jobs in local industry and have a co-operative relationship with its workforce within the framework of the Federal Government’s proposed industrial relations laws.

“This means recognising the right of employees to collectively bargain in good faith, have union representation, and providing quality jobs with decent pay and conditions,” Mr Lawrence said.

“It is almost inconceivable that the Government would risk giving a multi-billion contract to a company that does not have the appropriate industrial relations arrangements in place,” said Mr Lawrence.

Union members will begin voting tomorrow (Friday) in a secret ballot to authorise the first industrial action at Telstra in a decade.

Copies of the statement of principles, Fibre to the Future, are available from the ACTU on request.

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