Tag: Economics

  • Call for Applications: Laurie Carmichael Distinguished Fellow

    We have launched a search for the first Carmichael Fellow. Please see the below call for applications for further information. Applications close at midnight (AEDT) on Monday, 18 January. Thank you for your interest in the Carmichael Centre!

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  • New Research Centre Established to Honour Union Leader Laurie Carmichael

    The newly formed Carmichael Centre will be established at the Australia Institute’s Centre for Future Work, in the name of legendary manufacturing unionist Laurie Carmichael, who passed away in 2018 at the age of 93.

    Laurie Carmichael played a pivotal role in Australia’s union movement over several decades. He campaigned to protect the right to strike, negotiated shorter working hours, developed innovative workers’ education and training programs, helped to negotiate the Prices and Incomes Accords in the 1980s, served on several federal government boards and commissions under the Hawke and Keating governments, and opposed Australia’s involvement in the Vietnam War. He served in numerous leadership capacities during his career, including with the Amalgamated Engineering Union, the Amalgamated Metal Workers Union, and the Australian Council of Trade Unions.

    The Carmichael Centre is being established with the support of Carmichael’s family, and with funding from two of the organisations which Carmichael led: the Australian Manufacturing Workers’ Union (AMWU, formed in 1995 through a merger that included successors to Carmichael’s former unions) and the Australian Council of Trade Unions (for which Carmichael served as Assistant Secretary from 1987 through 1993).

    Among other activities, the new Carmichael Centre will:

    • Host a Distinguished Research Fellow position, who will conduct and publish research on themes related to Carmichael’s legacy, including: industrial relations, social policy, manufacturing and industry policy, vocational education, international labour solidarity and peace, and the impact of unions on social well-being.
    • Organise an annual lecture by a prominent labour speaker on Carmichael’s legacy.
    • Develop and publish an annotated on-line bibliography of Carmichael’s writings and other contributions.

    The formation of the Carmichael Centre follows two years of discussions among unions and colleagues to plan an appropriate recognition of Carmichael’s influence and legacy. The Centre for Future Work is launching a public search for the first Distinguished Research Fellow, who will be appointed early in 2021.

    “The Carmichael Centre will carry on Laurie Carmichael’s mission, based on his conviction that strong, innovative unions can help build a better society for all,” said Andrew Dettmer, National President of the AMWU

    “Laurie Carmichael was a principled, innovative, progressive union leader who understood that workers need collective power to make economic, social and democratic progress. We are so glad his ideas will receive the continued attention and study they deserve, through the work of the Carmichael Centre,” said Sally McManus, National Secretary of the ACTU.

    Carmichael is survived by his son, Laurie Carmichael Jr. “The values Dad fought for all his life are more important than ever: fairness, equality, democracy, and peace. I am deeply proud that his legacy lives on, including through the work of the Carmichael Centre,” Carmichael Jr. said.

    “The Distinguished Research Fellow will make a very important contribution to progressive labour research in Australia. We are deeply honoured to host the Carmichael Centre, and to advance Laurie’s vision of a better, fairer world of work,” said Ben Oquist, Executive Director of the Australia Institute.

    The post New Research Centre Established to Honour Union Leader Laurie Carmichael appeared first on The Australia Institute's Centre for Future Work.

  • Profile: Combining Economics and Social Justice

    We are pleased to reprint (download below), with kind permission from In the Black, this profile, titled The People’s Economist. Many thanks to the journal and to Ms. Leggatt for the generous article!

    The post Profile: Combining Economics and Social Justice appeared first on The Australia Institute's Centre for Future Work.

  • A Women’s Agenda for COVID-Era Reconstruction

    Alison Pennington, Senior Economist with the Centre for Future Work assisted The Australian Council of Trade Unions (ACTU) preparing the timely report Leaving Women Behind: The Real Cost of the COVID Recovery. The report documents the gendered impacts of the crisis and the federal government’s COVID-era policies, and outlines a public investment strategy to undo the damage of the crisis, and ensure women play an equal role in an inclusive economic recovery.

    To mark the release of ACTU’s report, the Australian Trade Union Institute hosted a webinar with ACTU President Michele O’Neil, Centre for Future Work’s Alison Pennington, Karen Batt (CPSU VIC), Helen Gibbons (UWU) and Julia Fox (SDA). The session presented the main report findings and considered how they might support campaigns for a gender-inclusive recovery.

    The full 38-page ACTU report is available below together with Alison’s presentation slides presented for the ATUI webinar.

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  • Porter IR Bill a Wish List for Business

    This commentary is a longer version of an assessment of the new legislation prepared by Jim Stanford (originally published in The Conversation).

    We Were In This Together… For a Very Short Time

    By Jim Stanford

    “We are all in this together,” Prime Minister Morrison solemnly intoned to Parliament in April. And during those first frightening weeks of the pandemic, there was a brief moment when it seemed like Australia’s industrial relations protagonists actually believed it. For a short time, businesses, unions, and government put aside their usual differences and worked together to get through this existential threat. For example, they negotiated quick agreements to alter dozens of Modern Awards and enterprise agreements, adjusting rules and rosters to help keep Australians on the job.

    Then, building on that spirit of cooperation, the government kicked off a new process to seek consensus around further improvements to workplace laws. The government abandoned its pre-COVID effort to impose harsh new restrictions on unions. Instead, five tables were established with business, union, and government leaders, debating reforms to improve the fairness and efficiency of the IR system. Some observes even smelled a new era of Accord-making in the wind.

    Well, the Kumbaya moment didn’t last long. Within weeks the parties retreated to their corners and their standard speaking points. No meaningful consensus emerged on any issue from any table. Even tentative proposals – like an idea, supported by unions and the Business Council, to combine fast-track approval of union-negotiated enterprise agreements with greater flexibility in determining their suitability – were shot down in partisan gunfire by the more strident business lobbyists.

    Now, in the absence of consensus, the government has picked up its traditional hymn book and is once again singing the praises of ‘flexibility’ and deunionisation. IR Minister Christian Porter tabled a series of changes in Parliament Wednesday that will further skew the already lopsided balance of power between employers and workers.

    The government didn’t just take business’s side in the debates at those 5 discussion tables: it went even further. One of the biggest changes in the new legislation (suspending rules that prevent enterprise agreements from undercutting the minimum standards of Modern Awards) wasn’t even discussed at the IR tables. This confirms that the IR gloves are off once again.

    If passed in the Senate, Porter’s omnibus bill will reset several aspects of current labour relations:

    Suspending the BOOT: At present, the Fair Work Commission (FWC) must ensure enterprise agreements (EAs) do not undercut minimum standards guaranteed in the Modern Awards. The new legislation instructs the FWC to approve EAs even if they fail this ‘Better Off Overall Test’ (BOOT), so long as the deal is nominally supported by affected workers (more on this below) and deemed to be in the ‘public interest.’ It is important to remember that Australia (unique among industrial countries) allows employers to implement EAs unilaterally, without any involvement by a union. The BOOT is thus necessary to prevent EAs (especially non-union EAs) from undermining workers’ minimum rights. Porter’s suspension of the BOOT is planned for two years. But even if it is restored after that (which is uncertain), EAs negotiated during that window will remain in effect for years afterward. Even after they expire, under Australian law they remain in effect until replaced with new EAs, or terminated by the FWC – neither of which is likely in non-union settings.

    EA Approval Process: Anticipating that non-BOOT-compliant EAs will be actively opposed by unions, Porter’s legislation includes complementary measures aimed at speeding those deals through the FWC. Unions will be restricted from intervening around EAs they were not involved in negotiating – even non-union EAs where no union was involved. And the process must normally be completed within 21 days, thus limiting opportunities for affected workers to learn about and resist sub-Award provisions.

    Defining Casual Work: The growing use of casual labour was a hot topic at the IR reform tables. Porter’s legislation clarifies the definition of casual work in the most expansive way possible: a casual job is any position deemed casual by the employer, and accepted by the worker, for which there is no promise of regular continuing employment. In other words, any job can be casual, so long as workers are desperate enough to accept it. This will foster the further spread of casual labour. Most important, it removes a big potential liability faced by employers as a result of recent court decisions, under which they might have owed back-pay for holidays and sick leave to casual staff who worked regular shifts.

    Casualising Part-Timers: Further casualisation will be attained through new rules regarding rosters and hours for permanent part-time workers. Porter’s bill would extend flexibility provisions originally implemented earlier this year – during that brief moment of pandemic-induced cooperation. The rules allow employers to alter hours for regular part-timers without incurring overtime penalties or other costs (currently required under some Modern Awards). This will allow employers to effectively use part-time workers as yet another form of casual, just-in-time labour.

    Long-Term Project Agreements: Finally, Porter has granted one more big wish from the business list: allowing super-long enterprise agreements at major new projects. Agreements would last for up to eight years, and can be signed, sealed and delivered before any workers start on the job (thus denying them any input into the process). Under the revised BOOT provisions, they could also undercut the minimum standards of the Awards.

    These changes are being advertised as a boost for post-pandemic job-creation, but this claim is hollow. In fact, the changes in part-time and casual rules will actually discourage new hiring: since existing workers can be costlessly flexed in line with employer needs, there is no need to hire anyone else. Weaker BOOT protections will spur a wave of new EAs: most union-free, and aimed at reducing (not raising) compensation and standards. This makes a mockery of the goals of collective bargaining, and grants Australian employers further opportunity to suppress labour costs (already tracking at their slowest pace in postwar history).

    So what do we make of that short-lived spirit of togetherness which purportedly sparked this whole process? In retrospect, it seems to have been just an opportunity for Coalition leaders to pose as visionary statesmen during a time of crisis. Now, mere months later, the government is back to its old script – and the pandemic is just another excuse to scapegoat unions, drive down wages, and fatten business profits.

    The post Porter IR Bill a Wish List for Business appeared first on The Australia Institute's Centre for Future Work.

  • Unpaid Overtime Rife, Despite Shift to Work from Home

    The Centre for Future Work’s 12th annual Go Home on Time Day report shows that, despite total work-hours falling and much of the workforce shifting to ‘work from home’, Australians are currently putting in an average 5.25 hours of unpaid work every week – the equivalent of 7 weeks of full-time work per person, per year.

    The report calls for additional protections for people working from home, including limits on hours, overtime pay when relevant, allowances for extra home office expenses, and better OHS rules for home work.

    Key Findings:

    • Even though total work hours have fallen, and much work has shifted to home, demands for unpaid overtime remain strong
      • On average, workers reported working 5.25 hours of unpaid work per week—an increase from 4.6 in 2019
      • This equates to 273 hours per year, or over 7 weeks of full-time work
      • At the economy-wide level, this equates to $98.6 billion in lost income
    • 70% of people doing work from home, are doing at least some of it non-work hours
    • 21% of workers indicated that their employers’ expectations of their availability had increased during the COVID-19 crisis
    • 28% of workers said their family and/or caring responsibilities had increased as a result of COVID-19
      • Of those employees who had additional caring responsibilities, 27% of men had not received time allowances from their employer to do so. But almost half (45%) of women had not—evidence of an increasing double burden for women
      • 16% of respondents whose employers made time allowances for caring responsibilities reported having lost pay if they were permitted to accommodate caring responsibilities
      • Men were more likely to get flexibility from their employer and retain the same pay (57% of men with increased caring responsibilities), compared to women (39%)

    “This year our annual survey of working hours has highlighted an insidious trend: even when you are ‘home’, unpaid overtime is still rife,” said Dan Nahum, economist at the Centre for Future Work and author of the report.

    “For many, the reality of working from home is more like living at work.

    “One-third of workers indicated that, post-COVID, they expect to work from home more. But without adequate rules and protections, this risks a further incursion of work into people’s personal time, poorer health and safety standards, and greater polarisation between those jobs that can be conducted from home and those that cannot.

    “Employers have a duty of care to the worker, regardless of the location of employment, so it is incredibly concerning—for both employers and employees—that 14% of people working from home indicated their home workspace was not appropriate or not safe.

    “COVID-19 has clearly heightened the challenge facing workers of balancing their paid jobs, with their responsibilities at home. Our research shows that working from home is no panacea for this balancing act – in fact, in some ways it makes the problem harder.”

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  • The Pandemic is Our Clarion Call to Rebuild Good Jobs

    In this commentary, which originally appeared in The Age, Centre for Future Work Senior Economist Alison Pennington discusses what the pandemic reveals about Australia’s high levels of insecure work, new work-from-home risks, and how rebuilding more secure labour markets will be critical to creating more good jobs in our post-COVID recovery.

    The post The Pandemic is Our Clarion Call to Rebuild Good Jobs appeared first on The Australia Institute's Centre for Future Work.

  • Feature Interviews: Worker Voice in a Changing World of Work

    Video recordings of the interviews are available here:

    The videos were recorded for a 5-week on-line course Power, Politics and Influence at Work run by the University of Manchester. The Centre’s staff are featured alongside several leading scholars, trade union activists and international agencies such as the ILO/Oxfam.

    Academics and researchers Tony Dundon, Miguel Martinez Lucio, Emma Hughes and Roger Walden designed the course for labour and NGO activists and students interested in labour market equalities, work and employment. Registration is free.

    The post Feature Interviews: Worker Voice in a Changing World of Work appeared first on The Australia Institute's Centre for Future Work.

  • Budget’s Illusory Hope for Business-Led Recovery

    Key conclusions of our analysis include:

    • This budget says explicitly that Australia’s economic reconstruction after COVID-19 is to be trusted almost entirely to private business – helped along with generous tax cuts and business subsidies.
    • The need to strengthen public services (like health care, child care, and higher and vocational education) is largely ignored, as is the need to preserve and strengthen income security programs (with the phase-out of JobKeeper and cuts to JobSeeker going ahead).
    • Tax cuts, whether targeted at businesses or high-income households, will have little impact on actual spending and job-creation.
    • The government needs a more forceful, hands-on, and sustained reconstruction plan to ensure that the economy does not get ‘stuck’ in its current state of partial recovery. That needs much more public sector leadership, vision, and funding.
    • The government admits that wage growth is going to get weaker before it gets stronger – but is doing nothing about that critical problem (which will undermine consumer spending far more than tax cuts will stimulate it).

    Download our full review of the 2020-21 budget below.

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  • 480,000 Jobs Rely on QLD Public Service, Cuts Would Deepen the State’s Recession

    The report, by the Centre for Future Work, finds that for every 10 direct jobs in state-funded public services, another 4.5 jobs are supported in the QLD private sector. This means that these public services support a total of some 480,000 public and private sector jobs across Queensland. Cuts to public services and staffing would impact private sector jobs and incomes, deepening the recession.

    Key Findings:

    • Some 480,000 positions are supported, directly and indirectly, by the provision of state-funded public services in Queensland.
    • This includes 331,000 direct public sector jobs, as well as over 150,000 more positions in the private sector that depend on the economic stimulus provided by public sector work.
    • For every 10 direct jobs in the state-funded public service, another 4.5 jobs are supported in the private sector.
    • Regional and remote Queensland is the most reliant on state public sector workers – both for the services they provide, and as a source of high-quality employment for local residents. State public sector workers account for almost 12% of total employment in remote and very remote regions of QLD.
    • The report simulates two potential scenarios of fiscal austerity in Queensland. It finds that fiscal austerity (imposed via cuts to public service staffing and wages) would cause substantial harm to Queensland’s economy: including cumulative losses (over three years) of $9-$16 billion in state GSP, and the loss of 20-35,000 person-years of employment in the private sector.

    “In this unprecedented time, the maintenance of public services is surely a more urgent priority than cutting government spending in pursuit of some illusory fiscal target,” said Dan Nahum, Economist at the Centre for Future Work and author of the report.

    “By cutting employment and incomes for public sector workers (and the private sector industries which depend on public services for their own markets), misplaced austerity would undermine economic recovery and reduce GDP.

    “A more constructive and effective response to the COVID crisis is to expand the economic and social footprint of government, including state governments – not shrink it.

    “Attacking public sector employment and compensation, just at the time Queenslanders need more public services, not less, would be a major policy mistake.”

    The post 480,000 Jobs Rely on QLD Public Service, Cuts Would Deepen the State’s Recession appeared first on The Australia Institute's Centre for Future Work.