Research // Wages & Entitlements
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Economics
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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
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.
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
August 2017
Economic Impacts of Reductions In Penalty Rates for Sunday & Holiday Work
Our Centre has conducted considerable research into the impacts of the Fair Work Commission’s decision to substantially reduce penalty rates for Sunday and holiday for workers under the terms of the Modern Awards covering four sectors of the economy: fast food, retail, hospitality, and pharmacy. Penalties for Sunday work will be reduced by up to half; penalties will also be reduced for working on public holidays.
June 2017
Labour Share of Australian GDP Hits All-Time Record Low
Amidst increasing concerns among economists and budget forecasters about the historic stagnation of Australian wages, the latest GDP statistics from the Australian Bureau of Statistics have confirmed that the proportion of national economic output that is paid to workers has reached an all-time low.
Penalty Rates, Minimum Wages, and Purchasing Power
The Fair Work Commission released two major decisions this week: its order regarding the timing for the implementation of reductions in penalty rates for Sunday and public holiday work in four major retail and hospitality awards, followed by its annual review of the general minimum wage. Both decisions will take effect on July 1. It
May 2017
Weekend Work and Penalty Pay in 108 Industries
As Australians debate the Fair Work Commission’ decision to reduce penalty rates for retail and hospitality workers, the Centre for Future Work has published new research on the prevalence of weekend work in other sectors of Australia’s economy – and the macroeconomic importance of extra income generated by weekend penalty pay. The analysis is based
March 2017
A “Transition” to Nowhere
Government and business leaders have proposed a range of possible “transition” mechanisms to ease the economic hardship, and defuse political anger, following the Fair Work Commission’s decision to cut penalty rates for work on Sundays and public holidays in the retail and hospitality industries. This briefing note critically reviews several of these proposals. Whether they
Women’s Wages and the Penalty Rate Cut
Today is International Women’s Day, a time to reflect on the continued inequality faced by women — including in the world of work. Traditional measures of the “gender pay gap” indicate that women earn around 17 percent less than men, in ordinary pay in equivalent full-time positions. But the situation is worse than that, because
November 2016
Beyond Belief: Construction Labour and the Cost of Housing in Australia
Remember when Prime Minister Turnbull and Immigration Minister Dutton blamed unionized construction workers for the high cost of housing in Australia? The idea that workers (not property speculators or bankers) are to blame for the property bubble is pretty far-fetched — in fact, it sparked a viral storm on social media, using the #blameunions hashtag.