View from The Hill: how far will the opposition go on industrial relations reform? Probably not too far
- Written by: Weekend Times
In a major speech on Thursday, the Coalition’s industrial relations spokeswoman Jane Hume delivered a detailed, critical assessment of Australia’s workplace relations landscape.
She also made a couple of relatively
small announcements.
A Coalition government would restore a “cop on the beat” for the construction industry. This is a path well trodden.
The Howard government originally set up the Australian Building and Construction Commission, only to have it replaced by the Gillard government. Then the cycle restarted: the Turnbull government re-established it, and the Albanese government scrapped it. Advocates and critics continue to argue over its usefulness.
Hume also said a Coalition government would repeal the law that allows the government, in making contracts, procurements and grants, to give preference to businesses that have union-backed enterprise agreements. It used to be discriminatory to do so and therefore not lawful.
The big question, however, is whether a robust agenda on industrial relations will be part of the policy offering the opposition takes to the 2028 election. Hume’s speech did not provide an answer.
It’s fair to say the Coalition has that question in the “to be considered later” folder. Hume would see her speech as a “down payment”, but on what, exactly?
The Albanese government has delivered in spades to the union movement, everything from protections for workers in the gig economy to the right to disconnect, and much more. Many of its changes have been opposed by the Coalition. It would argue Labor’s measures have often put a drag on productivity which, as everyone repeats endlessly, must be improved for living standards to rise.
But opposing what the government does and saying you’ll reverse those measures if you are in government, or you’ll make other big changes in industrial relations, are very different things.
The Coalition had hoped business would undertake some of the heavy lifting in the public debate, reporting negative effects from the government’s reforms. But that hasn’t happened extensively.
Many in the Coalition’s base would love it to take on Labor over industrial relations. But many of those at the political coal face are afraid of the damage Labor could do in response.
John Howard’s radical WorkChoices may have been two decades ago but in Liberals’ minds it remains fresh, a salutary lesson on how dangerous the workplace relations battlefield can be.
Read more: WorkChoices helped end John Howard’s leadership. The policy’s ghost still haunts the Liberals
Hume spends a great deal of time in the the media. Yet in these appearances, she is rarely heard talking about industrial relations. It is easier and certainly safer to concentrate on other issues.
Hume has her own painful experience to make her wary. When before the 2025 election she announced a plan to force Canberra public servants back to working in the office, rather than from home, it caused the opposition a political crisis and the Coalition quickly dropped the idea.
On the spectrum of views among Liberals on how gung ho the opposition should be on industrial relations policy for the election, Hume is at the cautious end and shadow treasurer Tim Wilson at the more robust end.
But Wilson has been circumspect with his language, even when he was IR spokesman under Sussan Ley.
Asked this week whether there should be an overhaul of the IR system or just tinkering at the edges, Wilson told The Conversation’s politics podcast that industrial relations “is central to one of the problems of productivity.
"I think we need a much clearer focus on industrial relations from the perspective of small business and what makes it easier for small business to hire people, to develop them and to be part of the shared journey of success.”
He spoke of the need for a “conversation” involving IR reform.
“The economic conversation including industrial relations I think is the most important and central focus for Coalition government, so that we can see the changes we need to rebuild the Australian economy so that it’s innovative, it’s productive and of course it goes on and creates the best economic opportunities for every Australian.”
Among the Liberals that conversation is sotto voce when it comes to IR.
Hume’s address was to the HR Nicholls 40 year anniversary conference. The HR Nicholls Society, a right wing think tank, was set up by those, including Peter Costello (not then in parliament), who wanted to promote sweeping industrial relations reform. Its present adherents are likely to find the Coalition’s IR policy for 2028, whatever the detail, falls well short of their aspirations.
Michelle Grattan does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.
