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Some Observations on Wage-Setting Practices in The Australian Labour Market System

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  • Bruce J. Chapman

    (Australian National University.)

Abstract

The Theme of this paper is that an inherent conflict exists both for those who want to radically refor M the Australian institutional wage-setting system and for those who want to maintain the status quo. There is evidence from theory, supported in the main by empirical evidence, consistent with the view that wage regulation has inhibited the attainment of on-the-job training, with concomitant implications for the development of technological change and economic growth. On the other hand, a centralised wage settlement system facilitates the adoption of a concensual incomes policy, such as the Accord, which has apparently helped deliver favourable wage and industrial disputation outcomes. The challenge is to find processes that promote movements towards establishment-based wage bargaining without threatening the benefits of economy-wide income settlement.

Suggested Citation

  • Bruce J. Chapman, 1988. "Some Observations on Wage-Setting Practices in The Australian Labour Market System," Australian Journal of Management, Australian School of Business, vol. 13(2), pages 161-175, December.
    • Handle: RePEc:sae:ausman:v:13:y:1988:i:2:p:161-175
    DOI: 10.1177/031289628801300203
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    References listed on IDEAS

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    1. Philip E.T. Lewis & Michael G. Kirby, 1987. "The Impact of Incomes Policy on Aggregate Wage Determination in Australia," The Economic Record, The Economic Society of Australia, vol. 63(2), pages 156-161, June.
    2. Chapman, B.J., 1986. "Wage Policy Perspectives on the Accord," Economic Analysis and Policy, Elsevier, vol. 16(1), pages 1-17.
    3. Viscusi, W Kip, 1980. "Sex Differences in Worker Quitting," The Review of Economics and Statistics, MIT Press, vol. 62(3), pages 388-398, August.
    4. Lewis, Philip E T & Kirby, Michael G, 1987. "The Impact of Incomes Policy on Aggregate Wage Determination in Australia," The Economic Record, The Economic Society of Australia, vol. 63(181), pages 156-161, June.
    5. Chapman, Bruce J & Tan, Hong W, 1980. "Specific Training and Inter-Industry Wage Differentials in U.S. Manufacturing," The Review of Economics and Statistics, MIT Press, vol. 62(3), pages 371-378, August.
    6. Perry, L J, 1979. "Inter-War Wage Movements and Trade Union Militancy in Australia," Australian Economic Papers, Wiley Blackwell, vol. 18(33), pages 229-242, December.
    7. Phipps, A J, 1977. "Strike Activity and Inflation in Australia," The Economic Record, The Economic Society of Australia, vol. 53(142&143), pages 297-319, June-Sept.
    8. Ashenfelter, Orley & Johnson, George E, 1969. "Bargaining Theory, Trade Unions, and Industrial Strike Activity," American Economic Review, American Economic Association, vol. 59(1), pages 35-49, March.
    9. Bentley, Philip & Hughes, Barry, 1970. "Cyclical Influences on Strike Activity: The Australian Record 1952-68," Australian Economic Papers, Wiley Blackwell, vol. 9(15), pages 149-170, December.
    10. Michael Bruno & Jeffrey D. Sachs, 1985. "Economics of Worldwide Stagflation," NBER Books, National Bureau of Economic Research, Inc, number brun85-1, March.
    11. A. J. Phipps, 1977. "Strike Activity and Inflation in Australia," The Economic Record, The Economic Society of Australia, vol. 53(3), pages 297-319, September.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Leslie Fallick, 1990. "The Accord: An Assessment," The Economic and Labour Relations Review, , vol. 1(1), pages 93-106, June.
    2. Chapman BJ. & Gruen F., 1990. "Analysis of the Australian consensual incomes policy: the prices and incomes accord," ILO Working Papers 992754563402676, International Labour Organization.
    3. repec:ilo:ilowps:275456 is not listed on IDEAS

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