Answer questions 500WORDS (IN 15 HOURS)

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Week 11 – The Future of Work and Industrial Relations

21702 – Industrial Relations

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Context: the perfect storm

We have witnessed a radical transformation of Australia’s labour market

Participation of women in the labour market

Growth in precarious work

Erosion of traditional employment relationship

Concentration of corporate power

Declining union membership

New technologies

Global challenges affecting work locally

What does this mean for the future of work and employment?

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(1) Technological transformation: Automation and AI

Most likely to be automated

Spectrum of automation

Less likely to be automated

Lowest paid jobs

Highest paid jobs

Jobs requiring:

Manual dexterity

Human interaction

Emotional empathy

Judgement

More likely to be automated

Middle-income earners

Jobs involving:

Routine

Repeated tasks

Frey and Osborne (2013) estimate 47% of jobs in the US are at high risk of automation

But, we are more likely to see partial automation, rather than full automation

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Case example: Employment impact of AI in Finance

Automation could reduce the banking workforce by 40,000 over the next decade. However there is expected to be a boost in employment of certain skills.

E.g.

In 2018:

Fired 6000 head office employees

Hired 2000 employees

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Oppenheim (2020) ‘How robots are increasing the gender pay gap’, The Independent, 16 July

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(2) Technological transformation: Reshaping the traditional employment relationship – Gig economy

Uber – ‘No shifts. No boss. No limits’

Airtasker – ‘Choose the tasks you would like to complete for the people that you’re happy to work with. You’re in control of your own schedule and creating your flexible work-life balance.’

Deliveroo – promises drivers ‘flexible shifts and competitive pay’ and the freedom to ‘work to your own schedule’

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Gupta’s relationship with Uber Eats lacks “the usual and essential hallmarks of an employment relationship, namely a requirement to perform work at particular times or in particular circumstances, exclusivity when work is being performed, and presentation to the public as serving in the business,” the FWC said.

‘A model of use and abuse’

The Transport Workers’ Union, which supported Gupta in her complaint, is planning to appeal the decision. “Uber operates a model of use and abuse when it comes to its workers. It rips them off, refuses to pay them minimum rates [and] sick leave, and sacks them without warning or the chance to appeal,” said Michael Kaine, the union’s national secretary.

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(3) Technological transformation: Reshaping the traditional employment relationship – Fissuring of work

Outsourcing and subcontracting

A fissured workplace model:

Allows employers to shift risk onto workers

Incentivises misclassification of employees as independent contractors

Implications for wages and protections at work

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(4) Global phenomena impacting work locally – COVID19

Key groups more susceptible to negative labour market outcomes due to COVID-19 e.g. women, younger workers, older workers, migrant workers, casual workers, gig workers, workers with pre-existing health conditions, workers in key industries (e.g. retail, hospitality)

New implications for how we work – flexibility = higher productivity(?); mentoring; surveillance; work/life balance

The State’s industrial relations response

‘pandemic leave’ (unpaid)

Taking annual leave at ‘half pay’

Restrictions on full-time hours

Delayed introduction of wage increases in some awards

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Gavin (2020) ‘Pandemic highlights inequalities women suffer’, SMH, 4 September

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(5) Global phenomena impacting work locally – Climate change

The current climate crisis is affecting workplace health and safety, working time and productivity

Climate change exacerbates precariousness of work, particularly in industries already vulnerable e.g. building and construction

Trade unions have issued directives for workers to stopwork if they feel ill or affected by climatic conditions

See Reading List – Newman and Humphrys (2019) ‘Construction workers in a climate precarious world’, Critical Sociology

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New institutions of solidarity?

Link to report - https://www.herbertsmithfreehills.com/latest-thinking/the-new-world-of-work-report-warns-of-an-unprecedented-rise-in-workplace-activism-v2

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New institutions of solidarity?

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Avins, K., Larcom, M. and Weissbourd, J. (2018). New forms of worker voice in the 21st century, Working Paper. Harvard Kennedy School of Government and MIT Sloan School of Management.

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Summary

The world of work is experiencing fundamental change (brought on by changing technology, forms of work, global phenomena), bringing direct implications for industrial relations

Technological change and innovation aren’t new – but the pace and speed is new

How we design and use technology needs decision-making and input by multiple stakeholders

Critical consideration needed around the impact of new technologies – training, skill development, government investment, effects on equality, effects on job quality

Enhancing the safety net for workers is crucial:

Extending social protections for everyone

Extending employment rights in exposed industries

Redressing power imbalance through emergence of new collective institutions and worker activism. Workers are exercising ‘voice’ through new platforms

Gender is a defining characteristic of contemporary work, yet it is often absent from mainstream discussions regarding the future of work

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McKinsey (2020) Lives and livelihoods: Assessing the near-term impact of COVID-19 on US workers- https://www.mckinsey.com/industries/public-sector/our-insights/lives-and-livelihoods-assessing-the-near-term-impact-of-covid-19-on-us-workers

McKinsey (2018) AI, automation, and the future of work: Ten things to solve for, https://www.mckinsey.com/featured-insights/future-of-work/ai-automation-and-the-future-of-work-ten-things-to-solve-for

Herbert Smith Freehills (2019) The New World of Work: Report Warns of An Unprecedented Rise in Workplace Activism - https://www.herbertsmithfreehills.com/latest-thinking/the-new-world-of-work-report-warns-of-an-unprecedented-rise-in-workplace-activism-v2

UNPD (2016) Climate Change and Labour: Impacts of Heat in the Workplace - https://www.ilo.org/wcmsp5/groups/public/---ed_emp/---gjp/documents/publication/wcms_476194.pdf

Hajowicz (2016) Tomorrow’s digitally enabled workforce: Megatrends and scenarios for jobs and employment in Australia in the coming twenty years, CSIRO, Brisbane.

Baird, M and Hamilton, M (2020) ‘Working from home is nothing new to mothers’, Sydney Morning Herald, accessed at https://www.smh.com.au/business/workplace/working-from-home-is-nothing-new-to-mothers-20200429-p54o7g.html

Frey, C.B., Osborne, M.A., 2017. The future of employment: how susceptible are jobs to computerisation? Technol. Forecast. Soc. Change 114, 254–280. https://doi.org/10.1016/J.TECHFORE.2016.08.019.

ACAS (2017) Mind Over Machines: New technology and employment relations, https://archive.acas.org.uk/media/4865/Mind-Over-Machines-New-technology-and-employment-relations/pdf/Minds-over-Machines-New-Technology-and-Employment-Relations.pdf

Kniffin et al. (2020) ‘COVID-19 and the Workplace: Implications, Issues, and Insights for Future Research and Action’, American Psychologist, http://dx.doi.org/10.1037/amp0000716

Avins, K., Larcom, M. and Weissbourd, J. (2018). New forms of worker voice in the 21st century, Working Paper. Harvard Kennedy School of Government and MIT Sloan School of Management.

Workplace Gender Equality Agency (2020) The future of work and gender: Insight paper, May 2020.

Reference List

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