One of the most pressing issues facing the Australian economy is the need to
raise productivity. There is a widespread belief that productivity improvements
can only be achieved through a fundamental reform in the area of industrial relations.
Changes are thought to be necessary both in the organisation and structure of work
and in the way in which employees are trained, remunerated and motivated. Moreover,
it is argued that these changes cannot be separated from the need to overhaul our
system of interest representation and dispute resolution. The activities of trade unions
and the operations of arbitration tribunals are often viewed as impediments to
management efforts to lift the competitive performance of their organisations. The
purpose of this article is to evaluate these arguments and examine the institutional
responses to the need to improve productivity in Australia.
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