The Australian government signed a free trade agreement with the USA in 2004. There has been much commentary on the agreementmost of which has focused on the effect of the agreement on the Pharmaceutical Benefits Scheme, agricultural and manufacturing products and Australia's culture through regulation of film and television content. Most analysts have missed the significance of labour rights in the agreement the inclusion of which adds a new dimension to the trade–labour linkage debate in Australia, a linkage long demanded by the unions and long rejected by the major political parties. We look at the implications of the inclusion of labour rights in the agreement in terms of future union strategies and within the context of the government's pursuit of a free trade agreement with China.
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