Training must play a vital role in reorienting the economy after the pandemic, supporting workers training for new jobs including millions of young people entering a depressed labour market without concrete pathways to work. But what kind of jobs will we be doing in 2040? And how prepared is Australia's skills system (and universities specifically) to play this important role now?
Our Senior Economist Alison Pennington was interviewed by UTS The Social Contract podcast on how COVID-19 is reshaping relations between universities, government and industry.
Alison explains how the pandemic economic crisis presents significant challenges to Australia's fragmented, underfunded and unplanned skills system wounded from decades of failed marketisation policies, and why sustained public investments in skills and jobs pathways will be essential to solving our economic and social challenges.
You can listen to the episode HERE. She is joined by Megan Lilly, head of Workforce Development at the Australian Industry Group.
Our nation is confronting the most significant economic challenge in nearly a century. Australia's own experience of long-term, sustained public investment during post-war reconstruction shows direct tools of government planning and investment will be essential to our recovery today. Yet Scott Morrison continues to pretend his hands are tied: "if there's no business, there's no jobs, there's no income, there's nothing."
In this commentary originally published in the Newcastle Herald, Centre for Future Work Senior Economist Alison Pennington explains why Australia needs a public spending program proportionate to the nature, speed and depth of this crisis, and outlines some priorities for a public-led post-COVID-19 reconstruction plan.Read more
Chief Medical Officer Brendan Murphy recently issued a directive that going to work with the ‘sniffles’ is ‘off the agenda for every Australian in the foreseeable future.’ But with millions of workers without access to paid sick leave, government plans to lift restrictions on economic activity could risk dangerous and costly outbreaks.
In this commentary, which originally appeared in 10 Daily, Centre for Future Work Senior Economist Alison Pennington discusses the consequences of low paid sick leave coverage for worker safety and public health efforts during the pandemic, and reviews the merits of a universal paid sick leave scheme to address both COVID-19 and precarious work.Read more
Disruptions in global supplies of essential medical equipment have served as a wake-up call to Australians that it is always vital for a country to retain the capacity to domestically produce manufactured products that may be crucial to national security and well-being.
In this commentary, Centre for Future Work Economist Dan Nahum reviews the qualitative reasons why manufacturing retains a special strategic importance to the overall economy, and discusses the potential synergies between the development of sustainable energy resources and a revitalisation of manufacturing.Read more
The COVID-19 pandemic is producing an unprecedented shutdown of large parts of the national and global economies. Our Director Dr. Jim Stanford provided an overview of the coming recession, how it differs from previous downturns, and the best ways for government to respond to protect Australians as much as possible from the economic fall-out.Read more
109 Australian economists and policy experts have signed an open letter, initiated by the Centre for Future Work, supporting a government wage subsidy to prevent mass unemployment during the coming economic downturn resulting from the COVID-19 pandemic.
The letter and the full list of signatories is reprinted below. It has been forwarded to Prime Minister Morrison.Read more
The scale and scope of the economic downturn caused by COVID-19 will be unprecedented in our lifetimes. Mainstream economists have belatedly realised the pandemic will cause an economic downturn, but they are not yet appreciating the size of that downturn, nor the unconventional responses that will be required. Simply calling for government "stimulus" is sadly inadequate, given the complete shut-down of work and production that is occurring in many sectors of the economy. The task is no longer supporting markets with incremental "pump-priming." What's needed is a war-like effort, led by government, to mobilise every possible resource to protect Australians' health and livelihoods. Money is not an object - and this epic effort should not be held back by normal acquiescence to private-sector priorities and decisions.
That's the core message of new analysis by Centre for Future Work Director Dr. Jim Stanford, published today by the Australian journal New Matilda.Read more
There has been much discussion in recent months about the apparent slowdown in Australian productivity growth. Rather than dredging up the usual wish-list of the business community (more deregulation, more privatisation, and more deunionisation), it's time to look at the deeper, structural factors behind stagnant productivity. In this commentary, Dr. Anis Chowdhury, Associate of the Centre for Future Work, looks to the perverse role of our overdeveloped financial sector in slowing down productivity-enhancing investment and innovation.Read more
Centre for Future Work Director Jim Stanford gave a seminar presentation in Sydney on 21 November based on his research paper about the historical and empirical relationship between superannuation contributions and wage growth. Watch a summary version of his talk below. The full paper is posted at: The Relationship Between Superannuation Contributions and Wages in Australia.
Dr. Jim Stanford, Director of the Centre for Future Work, appeared before the National Youth Commission on 31 October in Sydney to discuss the challenges facing young workers in Australia's labour market.
The National Youth Commission into Youth Employment and Transitions has been holding an inquiry in communities across Australia to document the situation of young workers, who are experiencing much lower rates of employment and income than other workers.
Stanford's submission argued that young workers are like the "shock troops" of the precarious labour market: the ones sent in first to confront an especially dangerous situation. The rise of precarious work in all its forms - part-time work, casual jobs, labour hire, temporary positions, marginal self-employment, and digitally mediated 'gigs' - now dominates youth employment patterns. And that situation will not automatically disappear as young workers get older and gain experience. Rather, evidence suggests that without policy measures to stabilise and improve jobs, this will be a permanent shift that gradually affects most workers. Already, less than half of employed Australians are working in a 'traditional' full-time permanent wages jobs with normal entitlements (like paid holidays, sick leave, and superannuation). For young workers, that ratio is less than one in five.
Stanford argued for targeted measures to stimulate more youth hiring into stable positions, an ambitious effort to rebuild vocational education in Australia and strengthen pipelines to post-education jobs, and a broader commitment to full-employment macroeconomic policy.