much ado about nothing
Section 3: How are wages determined in Australia. Describe the roles of employer associations, trade unions and industrial tribunals in Australia's labour market. Wage determination in the labour market, has been partly based on the standard of what constitutes a fair or living wage, and the notion of comparitibility between occupations according to the notion of fair relativity The improvement of the Workplace Relation Act in 1996, ensured significant changes were made to the industrial relations system. (1) These changes included; deregulating and decentralising workplace relations by reducing the power given to the Australian Industrial Relations Commission, connecting wage outcomes to productivity movements at an enterprise level of negotiation and encouraging enterprise bargaining, a system where negotiations between employers and employees agreed upon pay and working conditions at the level of the individual firm. (1) This changed the focus from the compressed wage structure, where an increase in wages for one group of workers would quickly be translated through the wage structure, to a flexible wage structure linking wages changes to the performance of industries and individual firms. Which resulted in increasing the pa
Employer organisations now assist in the process of negotiating wage agreements, provide advice and lobby the government for changes to the labour market. This can create involuntary unemployment. In addition to ordinary and overtime payments known as wage outcomes, employees have the opportunity to receive supplementary benefits such as sick leave, holiday leave, superannuation and other fringe benefits, known as non-wage outcomes. (1) To fulfill the required quantity supplied, increasing wages to attracts employees. This is an on going struggle; the opposing disputes are resolved through industrial tribunals, which operate independently of the government, on both a commonwealth and state level. To fulfill the required quantity supplied, increasing wages to attracts employees. Occurred through the elimination of compulsory alliance to trade unions by employees. These non-wage outcomes were introduced based on the principle that the productivity system would thrive and operate more efficiently as resources were being utilised to their maximum potential. However, this is mainly not the case when applying it to the labour market. In the reverse situation where the wage rate drops below to W2 the quantity of labour exceeds the quantity supplied. This resulted in an increase in wage rates and the employment of labour, as industry protection leads to higher demand for locally produced goods and services, shifting the demand curve out and rising the equilibrium wage rate. The Howard government's intervention in attempting to influence wage and employment outcomes is to make Australia more internationally competitive through global trade. For those workers unable to negotiate an enterprise agreement, the Howard government also implemented the industrial award system or Award Safety Net, which specified the fair and enforceable minimum wages and conditions of employment. Wage and employment outcomes are also dependent upon additional factors apart from the supply and demand of labour.
Common topics in this essay:
Employer Organizations,
Relations Act,
Revenue Output,
Relations Commission,
Australia Describe,
Employment Advocate,
Industrial Courts,
Relation Act,
Safety Net,
Government Accord,
wage rate,
trade unions,
quantity labour,
wage determination,
labour market,
wage outcomes,
quantity supplied,
equilibrium wage,
wage employment outcomes,
employment outcomes,
wage employment,
quantity labour exceeds,
below w2 quantity,
w2 quantity labour,
drops below w2,
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Acceptance Essays
