20 November 2024

First Reading

Bill introduced on motion by Mr Anoulack Chanthivong, read a first time and printed.

Second Reading Speech

Mr ANOULACK CHANTHIVONG (Macquarie Fields—Minister for Better Regulation and Fair Trading, Minister for Industry and Trade, Minister for Innovation, Science and Technology, Minister for Building, and Minister for Corrections) (14:31): I move:

That this bill be now read a second time.

The Government is pleased to introduce the Automatic Mutual Recognition Legislation Amendment Bill 2024. This will further expand the operation of the automatic mutual recognition [AMR] scheme in New South Wales that operates alongside the mutual recognition scheme to allow skilled and qualified workers to move between States. The bill will introduce important amendments to five Acts within the Better Regulation and Fair Trading portfolio to remove legislative barriers hindering the uptake of AMR by interstate workers, while ensuring consumer protection measures apply equally to New South Wales licence holders and interstate licence holders working in New South Wales. Through this bill the Minns Labor Government continues to demonstrate its commitment to supporting workers by reducing regulatory burdens across key industries, while maintaining comprehensive consumer protection for consumers across New South Wales. I now turn to the specific amendments in the bill.

Occupational activities under the Conveyancers Licensing Act 2003, Property and Stock Agents Act 2002, and Motor Dealers and Repairers Act 2013 are currently exempt from the AMR scheme due to legislative barriers preventing New South Wales regulators from enforcing mandatory compensation fund obligations on AMR participants. The AMR scheme supports workers and businesses across Australia by removing red tape, reducing costs and facilitating worker movement between States. It allows workers licensed interstate to work in New South Wales without needing to apply or pay for a second licence to work in New South Wales. The bill will allow interstate workers in the conveyancing, real estate and property, and automotive industries to work in New South Wales, allowing more eligible licensed workers to work in New South Wales under the scheme. By allowing licensed workers in these occupations to work in New South Wales under AMR, the bill will ensure they will not need to fill in application forms or pay a licence fee for a second occupational licence before being allowed to work in New South Wales.

One of the key impediments to including these occupations in AMR is the need to ensure that interstate licensees play by the same rules as New South Wales licence holders. This is an essential safeguard within AMR for ensuring that New South Wales consumers can access the same protections regardless of whether they use the services of a New South Wales or interstate licence holder. The compensation funds established for key licensed occupations are an important consumer protection measure available to New South Wales consumers who suffer a financial loss due to the actions of a licensee who does the wrong thing. These compensation funds provide consumers with a last resort means of recovery when other avenues, such as court or tribunal action, have not provided an appropriate resolution. Under AMR interstate licensees must also meet relevant mandatory compensation fund obligations while working in New South Wales. Under existing legislation, however, there are no means of calculating the appropriate amount of contribution and no options for the interstate participant to make that payment. That is why these occupations have not been included in the AMR scheme to date.

The bill amends the Conveyancers Licensing Act 2003, Property and Stock Agents Act 2002 and Motor Dealers and Repairers Act 2013 to allow NSW Fair Trading to calculate and collect compensation fund contributions for workers under AMR. By ensuring consumer protection measures apply equally to New South Wales licence holders and AMR participants, the bill will allow more occupational activities to safely join the AMR scheme in 2025. The bill introduces amendments to also make clear that licence holder obligations and regulatory powers will apply equally across New South Wales licence holders and AMR operators. These important changes are needed to clarify that for work that an interstate licensee undertakes in New South Wales under AMR they must comply with New South Wales laws and obligations that provide protection for the public and that New South Wales compliance and enforcement powers apply equally to AMR operators as they do to New South Wales licence holders. The bill also inserts a new provision into four Acts, being the Conveyancers Licensing Act 2003, Motor Dealers and Repairers Act 2013, Property and Stock Agents Act 2002 and Tow Truck Industry Act 1998, clarifying the extraterritorial application of New South Wales regulatory powers.

The amendment confirms that NSW Fair Trading compliance and enforcement powers have extraterritorial application so far as New South Wales powers permit. The power is already in place under the Fair Trading Act 1987, and this amendment ensures consistency and clarity across New South Wales Fair Trading legislation for occupations that have or will join the AMR scheme. The clauses seek to ensure legislative clarity on the application and powers relevant to the AMR scheme. They also demonstrate the Government's commitment to ensuring that appropriate consumer protection measures are in place for the people of New South Wales. It is intended that the new occupations will join the AMR scheme from 1 July 2025. This will allow time to amend the relevant supporting regulations and for the current AMR exemptions to expire. The bill proposes amendments that will enable more occupational activities to be captured by the automatic mutual recognition scheme. Through the bill, the Minns Labor Government will reduce regulatory burden and ensure consumers across New South Wales have the benefit of consumer protection measures. I commend the bill to the House.

Debate adjourned.