After section 17B
insert:
17BA. Employees and prospective employees not to
be unreasonably compelled to spend or pay amount
(1) An employer must
not directly or indirectly require an employee to spend, or pay to the
employer or another person, an amount of the employee’s money or the
whole or any part of an amount payable to the employee in relation to the
performance of work, if —
(a) the
requirement is unreasonable in the circumstances; and
(b) in
the case of a payment — the payment is directly or indirectly for
the benefit of the employer or a party related to the employer.
(2) An employer (the
prospective employer ) must not directly or indirectly require another person
(the prospective employee ) to spend, or pay to the prospective employer or
any other person, an amount of the prospective employee’s money
if —
(a) the
requirement is in connection with employment or potential employment of the
prospective employee by the prospective employer; and
(b) the
requirement is unreasonable in the circumstances; and
(c) in
the case of a payment — the payment is directly or indirectly for
the benefit of the prospective employer or a party related to the prospective
employer.
(3) The regulations
may prescribe circumstances in which a requirement referred to in
subsection (1) or (2) is or is not reasonable.
(4) A contravention of
subsection (1) or (2) is not an offence but that subsection is a civil
penalty provision for the purposes of the IR Act section 83E.
(5) In proceedings
under the IR Act section 83E for a contravention of subsection (1),
an industrial magistrate’s court may, as an alternative, determine that
a contravention of an entitlement provision has occurred for the purposes of
the IR Act section 83.
(6) If the industrial
magistrate’s court determines that an employer has contravened
subsection (1) or (2) in respect of an employee or prospective employee,
the industrial magistrate’s court may order the employer to pay to the
employee or prospective employee compensation for any loss or injury suffered
as a result of the contravention.
(7) The industrial
magistrate’s court may make an order under subsection (6) in
addition to imposing a penalty under section 83E.
(8) A term of an
award, employer-employee agreement or contract of employment has no effect to
the extent that the term —
(a)
permits, or has the effect of permitting, an employer to make a requirement
that would contravene subsection (1); or
(b)
directly or indirectly requires an employee to spend or pay an amount, if the
requirement would contravene subsection (1) if it had been made by an
employer.
(9) In proceedings
under the IR Act section 83 to enforce an entitlement provision, any
amount that the employee has been required to spend or pay contrary to
subsection (1), or in accordance with a term to which subsection (8)
applies, is taken to be a deduction, from an amount payable to the employee,
made by the employer otherwise than in accordance with section 17D.