Australian Industrial Relations Research Articles

Still central: Change and continuity in Australia's major industrial tribunal

AbstractAustralia's major public dispute resolution agency has changed substantially since the 1990s from a stand‐alone tribunal administering a collectivist system of compulsory conciliation and arbitration to an integrated agency resolving both individual and collective disputes as well as performing a broader regulatory role. It remains central to Australian industrial relations, reflecting its adaptability and the peculiarities of its political and industrial relations contexts.

Talking about non-union collective agreements: A union perspective

In a recent contribution in this journal, Mark Bray, Shae McCrystal and Leslee Spiess posed the question, ‘Why doesn't anyone talk about non-union collective agreements?’ Surveying business, government and union perspectives, the authors identified the need for greater attention and research to understand their effect on contemporary Australian industrial relations. This article serves as a response to this concern. Two case studies illustrate how non-union agreements work in practice under the Fair Work Act 2009. We outline further examples of how unions have been talking about non-union agreements through a legal and policy strategy rather than public advocacy. Assessing employer motivations for pursuing non-union agreements, as well as bargaining outcomes for workers, we conclude that there is an urgent need for reform.

Australian industrial relations in 2020: COVID-19, crisis and opportunity

This introduction to the Journal of Industrial Relations’ 2020 Annual Review of Industrial Relations provides an overview of the six Annual Review articles, an international review and two practitioner reviews. The COVID-19 pandemic presented a crisis for the labour market, intensifying serious existing issues such as stagnant wage growth, the gender pay gap and employer non-compliance with minimum wage laws. The pandemic also presented an opportunity for the Australian government to direct its economic stimulus measures in a targeted manner that addressed these existing problems concurrently with the immediate pandemic-related issues. However, 2020 will be marked by this missed opportunity.

The emergence of coercive federal Australian labour law, 1901–2020

Over the past two decades, industrial relations scholarship has observed a trend towards an increasingly punitive industrial environment along with the ‘re-regulation’ of labour law. Absent from much of this literature, however, has been an empirical and historical measurement or comparison of the scale and quality of this systemic change. By surveying coercive and penal federal industrial legislation over the period 1901–2020, this study shows empirically that over the last 40 years, there has been a steep increase in the amount of coercive federal labour legislation in Australia. It further measures and compares the volume of coercive labour legislation enacted specifically against ‘labour’ and ‘capital’ or both throughout the same period (1901–2020). Analysis reveals a correlation between a high volume of coercive labour legislation with low levels of trade union power and organisation. Argued here is that coercive labour legislation has been crucial to transitioning from a liberal conciliation and arbitration model of Australian industrial relations towards a neoliberal framework of employment legislation. In the former, regulation was more collective, informal and egalitarian (embodied by the sociological concept of ‘associative democracy’). Under a neoliberal framework, regulation is now more individualised, technical, punitive and rarely enforced, resulting in less equal material outcomes.

News and Notices

Celebrated academic and public servant emeritus professor the Hon. Joseph Isaac died on 17 September 2019 at the age of 97. He was one of the most influential contributors to both academic scholarship and public policy in Australian industrial relations for more than 60 years.

Australian industrial relations in 2019: The year wage theft went mainstream

This article introduces the Journal of Industrial Relations’ Annual Review of Industrial Relations in 2019. It provides an overview of the six Annual Review articles, an international review and a practitioner review. Wage theft and other forms of employer non-compliance with minimum wage laws evolved into a major issue in 2019, with household brands bringing it to media prominence and state and Commonwealth governments exploring criminal sanctions for employers. For these reasons, this article focuses on wage theft and other employer non-compliance, interrogating in particular the Commonwealth government’s response.

Why doesn’t anyone talk about non-union collective agreements?

Non-union collective agreements have become a common and widely accepted phenomenon in Australian industrial relations since the 1990s. This article asks why they are so rarely discussed in research, the media and public policy debates. On the way to exploring a range of factors that answer this question, we first summarise the relevant legislative provisions and reflect on their international exceptionalism. We review both data on the incidence and coverage of non-union collective agreements and the modest research on the practice of non-union collective agreement-making, almost all of which preceded the Fair Work Act. The penultimate main section analyses the few accounts of non-union collective agreements in the media and policy debates. The last main section presents our speculative and multi-causal answer to the why question.

Australian industrial relations in 2018: Inequality, policy stagnation and a brewing storm

This article introduces the Journal of Industrial Relations' Annual Review of Industrial Relations in 2018. Providing an overview of the other articles contained in the Annual Review issue, this article discusses industrial relations policy stagnation, and manoeuvring for change from both employer and employee representatives. With leadership uncertainty and change within the federal government, it has been a quiet year for industrial relations reform, although some key decisions from courts and tribunals are examined and some states’ return to private sector regulation noted. A number of questions are raised regarding potential for reform in 2019 and for how to conceptualise industrial relations change.

A turning point for labour market policy in Australia

Australian labour market and industrial relations policies are poised for fundamental change. A combination of political and macroeconomic factors has created a historic opportunity to turn away from the individualised, market-driven labour market policy that has prevailed since the 1980s, in favour of a more interventionist and egalitarian approach. Factors contributing to this moment include the breakdown of bipartisan consensus around key neoliberal precepts; growing public anger over inequality, insecure work and stagnant wages; and a weakening of macroeconomic conditions. Australia’s labour market is now marked by underutilisation of labour in various forms, a deterioration in job quality (especially the growth of insecure and precarious work) and unprecedented weakness in wages. The deterioration in job quality and distributional outcomes is the long-term legacy of the post-1980s shift away from Australia’s earlier tradition of equality-seeking institutional structures and regulatory practices. The current malaise in labour markets should be confronted with a comprehensive strategy to both increase the quantity of work available to Australian workers and improve its quality. The major components of such a strategy are identified, and their prospects considered, in light of the economic and political forces reshaping Australia’s labour market. JEL Codes: J28, J38, J53, J58, J83

Creating value and mitigating harm: Assessing institutional objectives in Australian industrial relations

AbstractThe degree to which legislation on labour relations and other societal institutions creates value and mitigates harm is explored in this article through a framework designed to guide both the authoring and the analysis of objects of such legislation. Creating value and mitigating harm are typically explicit in the objects of public policy and implicit in adjudication, administration and adherence under public policies. Although conceptually distinct, creating value and mitigating harm can be both complementary and detrimental to each other. This article reviews various combinations of legislative objects over more than a century of Australian labour and employment relations policy. The objects examined include the prevention of industrial disputes, the introduction of a social minimum wage, the expansion of enterprise bargaining, expansion or curtailment of tribunal powers by government and other developments. Questions of ‘for whom?’ value is created or harm is mitigated are key. As an inductive study, the article concludes with hypotheses to guide future research, including implications that reach beyond Australia and employment legislation.

Australian industrial relations in 2017

This article introduces the Journal of Industrial Relations Annual Review of Industrial Relations in 2017. It discusses the Fair Work Commission's decision to reduce Sunday and public holiday penalty rates for workers in the retail and hospitality industries, the growing problem of low wages, and the Turnbull government's policy changes relating to the employment of temporary migrant workers. It then provides an overview of the other articles contained in the Annual Review issue.

Two discursive frameworks concerning ideology in Australian industrial relations

AbstractThere are two discursive frameworks concerning ideology in Australian industrial relations. In many disciplines concerned with aspects of industrial relations, including political science, law and history, it is the traditional political ideologies of the industrial era which take centre stage: liberalism (classical, social and neoliberalism), socialism (Marxism, social democracy and labourism) and conservatism. By contrast, ideological issues in the discipline of employment relations are chiefly addressed in terms of Fox’s three analytical perspectives: unitarism, pluralism and radicalism. The disjunction between these parallel discourses goes largely unnoted in the literature of the relevant disciplines, which all tend to proceed using their own preferred approach without making reference to the other. This article critically explores the relationship between these two discourses and investigates the broader implications that the existence of the two different discursive traditions has for the analysis of industrial relations phenomena in Australia.

The living wage crisis in Australian industrial relations

ABSTRACTThe recent proliferation in Australia of systematic wage underpayment, or wage theft as it is known in the US, is stripping workers of the ‘living wage’, once a cornerstone of Australia’s industrial relations system. This paper considers the dimensions of this phenomenon and some of the policy recommendations for regulatory reform to reduce employer non-compliance with minimum wage standards. The paper concludes with proposals for other measures that may also help arrest what is becoming a living wage crisis and restore fair and reasonable wages to workers, regardless of employment arrangement or status.1

Scrutinising the argument for reducing penalty rates

The issue of weekend penalty rates has been an important area of contention in Australian industrial relations in recent times, with employers seeking reductions in penalty rates or their elimination altogether. In its recent review of Modern Awards, the Fair Work Commission decided to reduce Sunday penalty rates in a number of awards. The decision was in part informed by a recent review by the Productivity Commission, which had gone so far as to recommend that penalty rates on Sundays be made equivalent to Saturdays. In this article, we examine two of the main justifications for reductions in Sunday penalty rates. We begin by examining the question of whether Sundays are still ‘special’ in a sense likely to warrant penalty rates additional to those on a Saturday. We find that Sundays remain the least preferred day to work, are most valued by employees, and occupy a particular role in time shared with family. We also examine the key claim by the Productivity Commission – accepted by the Fair Work Commission – that a reduction in penalty rates would necessarily result in increased employment in the industries considered. We find that there is little direct empirical evidence for this, and that minimum wage studies have been largely unable to find a net employment effect. The relationship among wages, policy and unemployment is complex in a way that defies simple predictions. There is a need for more direct evidence of the effects of penalty rates on employment.

Australian industrial relations in 2016

This article introduces the Journal of Industrial Relations Annual Review of Industrial Relations in 2016. It first discusses key industrial relations developments over the past year in Australia, with a particular focus on the federal election and its aftermath. The article then examines the growing challenges relating to inequality in the Australian labour market and the declining effectiveness of industrial relations actors and institutions in addressing these challenges. It then considers the implications for Australian industrial relations of two seismic international political developments over the past year heralding the ascent of a protectionist policy paradigm: the UK’s ‘Brexit’ referendum and Donald Trump’s election as US President. Finally, the article provides an overview of the articles contained in the Annual Review issue.

Australian industrial relations in 2015

For Australian industrial relations, no major legislation was passed and few significant judgements were handed down in 2015, but several inquiries held over the course of the year and the consequences arising from political leadership changes might ultimately be seen as ‘critical junctures’ from which important developments subsequently unfolded. In particular, the Productivity Commission’s inquiry into the Workplace Relations Framework and the Royal Commission into Trade Union Governance and Corruption recommended several major changes that may eventually come to fruition. This article analyses the implications of these inquiries and emerging issues in the low-wage sector, and provides an overview of the articles in the 2016 Journal of Industrial Relations Annual Review issue.

Introduction: Australian industrial relations in 2014

The annual reviews edition of the Journal of Industrial Relations provides an important opportunity to analyse recent developments in Australian industrial relations and to identify indicators of likely trends in the immediate future. This introductory article commences with a brief commentary on contemporary Australian industrial relations, noting first, the diversity of outcomes and second, the ongoing conflict between workers/unions and employers which continues to ensure a critical role for the state. This is followed by brief summaries of the review articles included in this edition. Most of the articles are focused on developments in Australian industrial relations in terms of legislation, the labour market, tribunal decisions, the position of women, and activities of employer associations and unions. In addition, two internationally focused review articles are included, one of which considers the right to strike in China and the other canvasses the literature on Global Union Federations.

Sources of occupational stress in NSW and ACT dentists.

This study aimed to identify and understand the chronic sources of work stress in the NSW and ACT dentistry context. Further, the study examines whether Australian dentists are exposed to similar sources of work stress as dentists internationally. A purposive sample of registered members of the NSW Branch of the Australian Dental Association (ADA) were interviewed. Participants were selected because they represented the key characteristics of the broader ADA population. Interviews were recorded and fully transcribed. Themes were identified, developed, refined and clarified using established and rigorous methods of interview investigation and analysis. A total of 18 dentists participated in the study. Inductive content analysis was used to develop six main categories of chronic sources of stress. These groupings were time and scheduling pressures, professional concerns, patient/public perceptions of dentists, staffing problems, pressures associated with treating patients and business process stressors. Like their international counterparts, Australian dentists are subject to a variety of job-specific stressors. However, the most notable difference between Australian and international dentists relates to the business side of dentistry. It would appear that the Australian statutory, regulatory and industrial relations environment place unique and profound pressures on Australian dentists.

The G & K O'Connor Lockout (1999) and its Aftermath: A Case Study of a Union Avoidance Campaign in the Australian Meat Processing Industry

The G & K O’Connor lockout of the Australasian Meat Industry Employees’ Union (AMIEU) members in 1999 was an example of a change in employer strategy with the objective of removing the union from its Pakenham abattoir. Chris Briggs’ research on the recurrence of the lockout in Australia sees it as an example of a “big bang lockout” which occurs against the background of legislative changes, a downturn in the meat processing industry, and other factors. This article examines the G & K O’Connor lockout in detail. It identifies legislative change in the form of the introduction of Australian Workplace Agreements (AWAs) under theWorkplace Relations Act 1996in providing the company with the opportunity and legal framework to change its industrial relations strategy and weaken the AMIEU. This upsurge in employer militancy was also associated with use of the Federal Government’s apprentice and traineeship scheme, anti-union consultants, and tactics such as industrial spies and labour espionage. The lockout, which the stakeholders described as a “baseball bat lockout,” and subsequent actions by the employer introduced a “Pinkerton Incorporated” style of culture into Australian industrial relations in which the employer adopted an offensive position against the union using a range of union avoidance tactics.

IR Theory Built on the Founders’ Principles with Empirical Application to Australia

The authors identify 10 core principles of industrial relations (IR) theory and policy, based on the writings of British IR founders Beatrice Webb and Sidney Webb and U.S. IR founder John Commons. These principles are then represented diagrammatically in an expanded IR version of the Marshallian demand/supply (DS) model. The DS and IR models, representing on one side the merits of abstraction and parsimony and on the other realism and complexity, are applied to a case study: an analysis and explanation of the reasons behind the formation of the Australian IR system in the 1890s and its evolution to 2010. Although the DS model captures important forces behind the shift from a centralized and unionized employment system in the early period to a significantly decentralized and deunionized system in the latter period, the evidence indicates the extra structural and behavioral elements in the IR model are important for a full and accurate explanation.