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David Pocock wants the government to split up its second tranche of industrial relations reforms.Credit:Alex Ellinghausen

“I want to see genuine loopholes closed and better protections for workers but I am also mindful of adding further complexity to business,especially small business,as well as ensuring there is time to look at any unintended consequences,” Pocock said.

“My strong preference is for the government to separate out the more straightforward and less contentious elements of this bill so the parliament can deal with them quickly.”

He said reforms that made it easier for emergency workers such as police and firefighters to access workers’ compensation for PTSD could be passed promptly as a standalone piece of legislation. “These reforms will be life-changing and they should pass at the earliest opportunity,preferably with bipartisan support,” he said.

The move prompted Workplace Relations Minister Tony Burke to accuse the Coalition of holding up pay rises for aviation and mining workers,as well as minimum standards for food delivery riders,as the Senate voted to extend the reporting date for the inquiry from late next month until February 1.

Workplace Relations Minister Tony Burke’s second major industrial relations overhaul has been delayed until next year.Credit:Alex Ellinghausen

“They have just voted to trap permanent casuals in insecure work for longer. They have just voted to delay the criminalisation of wage theft. They spent their entire time in government keeping wages low and holding workers back,and they’re still at it,” Burke said.

The bill aims to create base pay and conditions for gig economy workers and truck drivers,criminalise wage theft,give labour-hire workers the same pay rates as directly employed workers doing the same job,and make it easier for casuals to convert to permanent work.

Industry groups – who oppose the legislation because of its complexity and cost to businesses – welcomed the delay,with Australian Chamber of Commerce and Industry head Andrew McKellar describing it as a tremendous result.

“I think full credit to the opposition and those crossbench senators who have supported that amendment[to the timing of the Senate report]. I think it’s a significant setback for the government,and it provides a real opportunity I think for all stakeholders,for business groups to highlight the very adverse impacts that this legislation will have in terms of destroying the incentive to create more jobs,” McKellar said.

Business Council of Australia head Jennifer Westacott also welcomed the extension.

“Now is the opportunity for the federal government to go back to the drawing board to identify the problems they are trying to solve and make them clear to the Australian community,” she said.

The government used question time on Thursday to target specific organisations over their opposition to the reforms,including the National Farmers’ Federation,which Burke said represented an industry plagued by a history of wage theft.

Bills of great interest are often examined by parliamentary committees,which help inform members of the Senate on how they will vote. The delay of the Senate committee’s report means debate and voting on the government’s contentious bill will be significantly delayed.

Coalition industrial relations spokeswoman Michaelia Cash,who successfully moved the Senate motion earlier on Thursday,said the government had wanted to “ram” the bill through by the end of the year.

“There was absolutely no need to rush this process because as Mr Burke knows,most of the measures in the bill would not be enacted until the middle or even the end of next year,” she said.

The government is also facing criticism from the crossbench in the lower house over the bill. Independent MP Allegra Spender described the legislation as “an extraordinarily complex 278-page omnibus bill with far-reaching implications”.

“Is it really the right time to introduce sweeping changes when we face persistent inflation,a slowing economy,and a productivity crisis,but haven’t fully processed last year’s IR laws?” she said.

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