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Union campaign emotive but misleading

By Alex Philipatos - posted Friday, 21 June 2013


Either way it is misleading to assert (or imply) that Australian workers are being overworked in insecure jobs.

Australia's unemployment rate could be lower than the current 5.5%, but compared to other wealthy nations, particularly North America and Europe, Australia's labour market is in much better shape. A higher unemployment rate indicates fewer employment opportunities and less job security for those lucky enough to be employed. By this metric, jobs in Australia are a lot more secure than those overseas.

So what is the ACTU complaining about? Where is the need for a campaign on insecure work when the lot of the average worker is improving?

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Unfortunately, not all areas of economy are experiencing the prosperity of the mining sector. Some areas of the economy are struggling with increased competition and the pressures of an appreciated Aussie dollar. The malaise of auto-manufacturing is one well-publicised example. Importantly, this example was one where union members bore the brunt of job losses.

So while the average Australian worker is in a better position than they were a decade ago, many union members find themselves in sectors under structural adjustment as firms reduce costs to stay competitive. Jobs may be more insecure for union members, but that is not representative of the average worker.

While we can all empathise with the poor school girl in the union advertisement, the ACTU's campaign on insecure work defies reality. Australians are better off today in terms of income, job security and work/life balance than a decade ago.

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About the Author

Alex Philipatos is policy analyst at the Centre for Independent Studies.

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