Unions have warned the federal government's proposed religious discrimination laws would make workplaces less safe for employees.
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As debate continues over the issue in federal parliament, the Australian Council of Trade Unions has hit out at the proposal, labelling it confusing and divisive.
While the union's president Michele O'Neil said workers should be protected from discrimination over their religious beliefs, the current bill would lead to more discrimination.
"The Morrison government's 'statement of belief' provisions contain extraordinary measures that will increase discrimination, foster division and disharmony in workplaces and must be scrapped," Ms O'Neil said.
"The bill removes the protections that exist for workers against this type of behaviour in federal, state and territory discrimination laws."
The statement of belief clause would give legal protection to people making controversial or offensive statements about their faith if they are not malicious or intending to harass or vilify.
The Labor caucus is on Wednesday considering whether to seek to strip the clause out of the bill.
While the government has secured support of nearly all coalition MPs, some moderate Liberals have criticised proposed amendments to the bill.
The amendments would protect gay students from being expelled from religious schools, but the same protections won't be applied for transgender students.
Tasmanian MP Bridget Archer has indicated she will cross the floor over the issue when the bill comes to a vote.
Ms O'Neil said the overriding of existing state and territory laws as proposed by the religious discrimination bill would wind back protections for LGBT teachers.
"Teachers are extremely concerned about the discrimination they will continue to face under this bill, but also the impacts on their students of it allowing ongoing discrimination against children on the grounds of their LGBTQI status," she said.
"The mental health and rights of working people are threatened by the religious discrimination bill."
The union president said the bill would enable humiliating and offensive comments to be made about women, LGBT people, those with a disability or those from a marginalised community.
The religious discrimination bill was a major commitment made by the government ahead of the last federal election.
Australian Associated Press
