“Jobsback” and the Future of Wages Policy

The implications of the Liberal-National Party Coalition's policy with regard to wage determination in Australia are assessed in relation to appropriate goals for wages policy. Although the current Accord-based system has shifted its focus over the last decade, from generally applied wage determination principles aimed at inflation control to an enterprise based system aimed at productivity enhancement, the Coalition's policy should not be seen as merely an extension of the current system. This is because, in pursuit of faster productivity gains, the Coalition policy aims at the permanent exclusion from the wage determination process of the two institutional elements which provide the scope for an anti-inflation incomes policy in Australia — the Industrial Relations Commission and the Australian Council of Trade Unions.