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Economics
- Banking & Finance
- Employment & Unemployment
- Future of Work
- Gender at Work
- Gig Economy
- Industry & Sector Policies
- Inequality
- Infrastructure & Construction
- Insecure & Precarious Work
- Labour Standards & Workers' Rights
- Macroeconomics
- Population & Migration
- Public Sector, Procurement & Privatisation
- Retirement
- Science & Technology
- Social Security & Welfare
- Tax, Spending & the Budget
- Unions & Collective Bargaining
- Wages & Entitlements
- Young Workers
- Climate & Energy
- Democracy & Accountability
- Environment
- International & Security Affairs
- Law, Society & Culture
June 2019
Union Organising and Labour Market Rules: Two Sides of the Same Coin
International evidence is clear that there is a strong, positive correlation between a country’s protection of labour freedoms, and the organising success and economic influence of unions. Improvements in basic labour rights and freedoms tend to be associated with increases in union membership (as a share of total employment). And stronger union membership, in turn, is associated with broader collective bargaining coverage, less poverty among working people, and less inequality.
May 2019
Estimating Wage Trends From Personal Income Tax Data
New analysis of income tax data confirms a dramatic slowdown in Australian wages in recent years – and the slowdown is worse than previous statistics indicated.
The Importance of Minimum Wages to Recent Australian Wage Trends
Tomorrow the Australian Bureau of Statistics will release its quarterly Wage Price Index: the most commonly-reported measure of wage growth in Australia’s labour market. Given the importance of public debates about wages and wage policy in the current federal election campaign, this release is timely and politically important.
This briefing note reviews some methodological issues related to the WPI. It also considers recent data confirming the visible impact on the WPI of last year’s strong increase in the national minimum wage.
April 2019
April Holiday Cluster Highlights Income Losses From Reduced Penalty Rates
Many Australians are eagerly anticipating a unique concentration of public holidays in coming days. There is a ten-day period (stretching from Good Friday through Sunday, 28 April) during which many employees only have to work three days. Many Australians are now arranging to take those three days off: creating an extended 10-day holiday for the “price” of just three days leave.
Wages, Taxes and the Budget: How to Genuinely Improve Living Standards
This week’s pre-election Commonwealth budget will feature reductions in personal income taxes, as the Coalition government tries to overcome a disadvantage in the polls in the coming federal election. Public debate in recent weeks has been focused on the economic and social hardship caused by the unprecedented slowdown since 2013 in Australian wage growth. It is likely that the government will portray its personal tax cuts as a form of “compensation” for slower wage growth.
March 2019
Australia’s Economy Heads Into Election on a Weak Note
The ABS has released what is likely the last quarterly GDP report before a Commonwealth election expected in May. Coalition leaders were hoping a strong report would underline their standard talking points about being the best “economic managers.” But they were badly disappointed.
February 2019
Turning ‘Gigs’ Into Decent Jobs
What’s a ‘gig’ job, anyway? There’s lots of media hype about how people won’t have jobs in the future (they’re so old-fashioned). Instead they’ll work a never-ending series of gigs. Will they love the supposed ‘freedom’ and ‘flexibility’? Or will they yearn for the good old days when a job provided regular hours … and a regular paycheque?
January 2019
What’s a Million, Anyway?
In the lead-up to the 2013 federal election, then-Opposition Leader Tony Abbott made a high-profile pledge that a Coalition government, if elected, would create 1 million new jobs over the next five years. Abbott was elected (although later ousted by his own party), and total employment in Australia did indeed grow by over 1 million positions between 2013 and 2018. Current Prime Minister Scott Morrison hopes that this success can resuscitate his party’s flagging fortunes: he has pledged, if elected, to create even more jobs (1.25 million) over the next five years.
December 2018
Private Sector Wage Growth Still in Doldrums
New data on private-sector business conditions confirm that wage increases paid in the private sector of Australia’s economy continue to plumb record lows. The ABS’s quarterly Business Indicators report, released yesterday, indicates total wages and salaries paid out by private businesses grew 4.3 percent in the September quarter, compared to year-earlier levels. This only slightly
November 2018
Under the Employer’s Eye: Electronic Monitoring & Surveillance in Australian Workplaces
Each year the Centre for Future Work at the Australia Institute conducts a public survey of Australian working hours, as part of our annual “Go Home on Time Day” (GHOTD) initiative. Findings from the survey regarding hours worked, preferences for more or less hours, and the incidence of unpaid overtime are reported in a companion study.
A Secret Weapon in the Fight Against Financial Misconduct
The Royal Commission into the financial services industry has heard tens of thousands of incidents of financial misconduct. The problem is clearly not just a “few bad apples”; the problem is clearly rooted in the core structure and practice of this industry.
October 2018
The Future of Transportation Work: Special Series, WA Transport
A special 6-part series of short articles from WA Transport Magazine: Researchers have identified the transportation industry as one of the sectors likely to be most affected by the coming implementation of new technologies: such as self-driving vehicles, artificial intelligence, and automated logistics systems. How will transportation workers fare as these technologies are rolled out, and
August 2018
Four Views on Basic Income, Job Guarantees, and the Future of Work
The unprecedented insecurity of work in Australia’s economy – with the labour market buffeted by technology, globalisation, and new digital business models – has sparked big thinking about policies for addressing this insecurity and enhancing the incomes and well-being of working people. Two ideas which have generated much discussion and debate are proposals for a
Exploring the Decline in the Labour Share of GDP
The share of total economic output in Australia that is paid to workers (in the form of wages, salaries, and superannuation contributions) has been declining for decades. Workers produce more real output with each hour of labour (thanks to ongoing efficiency improvements and productivity growth), but growth in real wages has been much slower –
June 2018
Penalty Rates and Employment: One Year Later
On 1 July 2018, workers in several retail and hospitality industries will experience a second reduction in the penalty rates they receive for working on Sundays and public holidays. The reductions were ordered by the Fair Work Commission, and follow an initial reduction imposed on 1 July 2017. Employer representatives argued that by reducing labour
Advanced Skills for Advanced Manufacturing
Australia’s manufacturing industry is at a crossroads. After years of decline, the sector has finally found a more stable economic footing, and many indicators point to an expansion in domestic manufacturing in the coming years. Manufacturing added almost 50,000 new jobs in the last year – making it one of the most important sources of
May 2018
The Dimensions of Insecure Work: A Factbook
This factbook reviews eleven different dimensions of job security in Australia, and documents a clear and multi-faceted deterioration in the overall stability of work in the period from 2012 (the peak of the resources investment boom) to the present.
Raising the Bar: How Government Can Use its Economic Leverage to Lift Labour Standards Throughout the Economy
For at least five years now, Australia’s labour market has demonstrated signs of a structural shift that has undermined traditional patterns of wage determination, and eroded the quality and security of work. The economic and social consequences of this sea change in the world of work are severe and far-reaching: flat real wages (the worst
Wages, Taxes, and the Budget
The Coalition government’s 2018 budget features a plan to cut personal income taxes for many Australians over the next several years. The government claims it wants to reward lower- and middle-income wage-earners with tax savings. However, the biggest personal tax reductions would not be experienced until 2022 and beyond (after at least two more federal elections). And the biggest savings go to those with incomes over $200,000 per year (the richest 3 percent of tax-filers).
April 2018
Rebuilding the NSW Workers Compensation System
Workers compensation benefits in New South Wales were dramatically reduced in 2012 by a newly-elected state government, citing an alleged financial crisis in the system. Benefit payments (adjusted for inflation) declined 25 percent in just five years – and some cuts are still being imposed on injured workers and their families (including some losing benefits
A Portable Training Entitlement System for the Disability Support Services Sector
A new proposal for a portable training system for disability support workers under the NDIS would help to ensure the program achieves its goal of delivering high-quality, individualised services to people with disabilities. The proposal is developed in a new report from the Centre for Future Work. Under the plan, disability support workers would receive
Inquiry into the BCA Commitment to the Senate
The present submission questions the Business Council of Australia’s (BCA) Commitment to increasing investment, employment and wages in the event that the outstanding tax cuts are legislated. We looked specifically at the 10 corporate CEOs who made the commitment on behalf of their companies and found some half of those paid no tax. One wonders what their commitment could possibly mean.
March 2018
Subsidising Billionaires: Simulating the Net Incomes of UberX Drivers in Australia
Uber’s rapid growth in point-to-point transportation services has become the most potent symbol of the growth of the so-called “gig economy”: where people perform work on an irregular, on-demand basis, paid by the task, and without the stability or security of traditional paid employment. The expansion of this model has raised concerns regarding the erosion of labour standards and entitlements (including minimum wages, paid leave, and superannuation). This report simulates the net hourly incomes received by UberX drivers in six Australian cities, and finds that they almost certainly earn much less than would be required under relevant minimum wage standards.
February 2018
The future of transportation work: Technology, work organization, and the quality of jobs
Workers in all parts of the economy are confronting twin threats from accelerating changes in technology and automation, and the ongoing shift toward more precarious and irregular forms of work — including “gigs” on digital platforms. The transportation sector is widely acknowledged to be one of the most susceptible to both of these trends. The
The Future of Work Is What We Make It
In October the Senate of Australia launched an important new inquiry into the Future of Work and the Future of Workers. The terms of reference for the inquiry include: “The future earnings, job security, employment status and working patterns of Australians; The different impact of that change on Australians, particularly on regional Australians, depending on
January 2018
Historical Data on the Decline in Australian Industrial Disputes
The Fair Work Commission’s ruling to pre-emptively block industrial action (including restrictions on overtime and a one-day work stoppage) by Sydney-area train workers has brought renewed attention to the legal and administrative barriers which limit collective action by Australian workers. The Sydney trains experience is a high-profile example of a much larger trend. Across the
December 2017
NSW Workers’ Compensation System has Ample Resources to Maintain Benefits
The workers’ compensation system in NSW has been dramatically scaled back and restructured since the current state government came to office in 2011. Real benefit payouts have been cut by 30 percent, with the resulting “savings” passed on to employers in lower premiums (down 40 percent over the past decade). Yet injured workers continue to
September 2017
False Economies: The Unintended Consequences of NSW Public Sector Wage Restraint
Budget-cutting political leaders regularly target the jobs and incomes of public sector workers as the first and most politically convenient target of their austerity measures. But their crusade to balance the books by downsizing headcounts, intensifying work, and freezing the pay of the workers who deliver essential public services can backfire. In this new report,
Wage Suppression a Time Bomb in Superannuation System
The record-slow pace of wage growth in Australia’s economy is not just making it difficult for families to balance their budgets, it also threatens severe long-run damage to Australia’s superannuation retirement system. That’s the finding of new research from the Centre for Future Work at the Australia Institute.
June GDP Numbers Confirm Lopsided Economy
This week the ABS released new GDP data, covering the June quarter, which confirm the continuing structural shift away labour toward capital in the distribution of income. We have prepared a short briefing note, contrasting the strong growth in corporate profits over the past year with the stagnation of labour incomes. Workers simply do not