Ideas@TheCentre
Drop the protectionist rhetoric and do more for your members
The outrage from the union movement at the Roy Hill enterprise migration agreement has been as contradictory as it has been predictable. The national secretary of the National Workers Union, Paul Howes, said the move was ‘a massive kick in the guts for ... manufacturing workers.’ The objections to foreign labour raised by unionists and politicians such as Bob Katter can be summarised simply - every job given to a foreign worker is one less job for an Australian worker, and bringing in foreign workers undermines Australian wages.
The Roy Hill Enterprise Migration Agreement (EMA) deals with the first argument directly as Australian workers are given explicit preference over foreign workers. So the ‘they took our jobs’ chest-beating is nonsense. Not to mention that the 8,500 workers needed at Roy Hill would be nearly three times as many workers who moved interstate to seek jobs in mining in the past three years. Not just manufacturing workers – all interstate workers.
The second argument is even easier to refute. Temporary work visas (457) require the visa-holder’s salary to be matched to market rates. The 1,700-odd migrant workers will be paid consistently with the 6,500 Australia workers; the scrutiny on this project will make sure of it.
If unions are serious about standing up for working families, they ought to be working with mining companies to improve prospects for redundant manufacturing workers to relocate to the mining sector. They should be scouting opportunities for their members to acquire the skills and experience desired by the mining sector. They should put their ideology to one side and engage with government and the mining sector to get the best outcomes for their members.
Unfortunately, senior unionists think they should be ‘attacking these guys,’ so the default position is strident opposition with whatever tools they have at their disposal. With trade union membership at historic lows (down to 18% of the workforce), surely it makes much more sense for unions to focus on proving their worth to members with additional services. This might even encourage more workers to join up.
There is a big opportunity for unions to make a difference here. The government’s National Resources Sector Employment taskforce has estimated that resources projects may require an additional 45,000 construction workers by 2013. The best way for Australian workers to benefit from this is collaboration between government, business and unions on microeconomic reforms in education and training, particularly targeted initiatives aimed at labour skills in shortage industries.
Simon Cowan is a Research Fellow and Alexander Philipatos is a Policy Analyst at The Centre for Independent Studies.

