E
DITORS
’ I
NTRODUCTION
100 Y
EARS OF
F
EDERAL
A
RBITRATION
MICHAELBARRY ANDPETERBROSNAN∗
Arbitration has remained an important feature of Australian industrial relations for more than a century. This year, 2004, marks the centenary of arbitration in the federal system.
Although it was originally designed to overcome the types of industrial con-flict that occurred during the 1890s, compulsory arbitration also developed into a mechanism to determine wages and conditions of employment for various cat-egories of male and female, and skilled and unskilled workers. Arbitration recog-nised and protected particular institutional actors, and legitimised or sanctioned certain types of behaviours. Arbitration influenced the development of particu-lar structures of employee and employer representation, and mediated the role of direct state intervention through the development of wage fixation principals applied through occupational and industry awards. Although weakened by the development of an emerging (perhaps now dominant) bargaining framework, the arbitration system and its industrial instruments either directly or indirectly con-tinues to set or shape the wages and conditions of a substantial proportion of Australian workers.
The papers in this collection contribute to our understanding of the develop-ment, current orientation and future direction of Australia’s federal arbitration system. The paper by Dabscheck examines how the arbitration system has influ-enced relations between the parties. Arbitration recognised and heavily regulated a particular model of employee representation, and arguably had an important influence in the development of employer coordination. Changes to Australia’s arbitration system have forced these parties to restructure themselves and develop new initiatives to represent their members.
Whitehouse’s paper explains the development and evolution of the relationship between arbitration and the family. In particular, Whitehouse examines how the family wage model that emerged under compulsory arbitration shaped, and con-tinues to shape, the development of policies around the introduction, payment and administration of parental leave.
Burgess’s paper examines the impact of the arbitration system on the econ-omy. After reviewing the evidence and comparing Australia’s economic perfor-mance with other countries, Burgess finds that the system did not adversely affect Australia’s economic performance. One of his most interesting findings was that the Court needed economic statistics, and that this need played a key role in the
∗Griffith University, Nathan, QLD 4111, Australia. Email: p.brosnan@griffith.edu.au
384 TH EJO U R N A L O FIN D U S T R I A LRE L A T I O N S December 2004
development of a national economy in Australia. He is drawn to the view that the Commission has played a positive role in a number of areas.
The paper by Barry and Wailes compares the development of the antipodean systems of compulsory arbitration. The paper explores the differences of interest that underlay the introduction and early development of the federal (Australian) and New Zealand models. The paper traces the importance of these differences through key transitions including the growth of collective bargaining and subse-quent abolition of arbitration in New Zealand, and the slow decline of arbitration in Australia. The paper contends that recent developments in Australian indus-trial relations point to a reconvergence after the systems had diverged markedly during the 1980s and early 1990s.
The final paper, by William Brown, takes an even broader view. It gives an overview of international trends in third-party intervention, paying particular attention to developments in Europe and especially in Britain. Brown argues that we need to rethink not just the national, but also theglobalrole of third-party intervention. Brown argues that there is a future for third-party intervention, while acknowledging the difficulties involved.
The first three papers in this edition stem from a symposium organised as part of the Association of Industrial Relations Academics of Australia and New Zealand (AIRAANZ) 2004 Conference held in February. Brown’s paper was presented at the Centenary Conference of the Industrial Relations Society of Australia, held in October. Papers have been subject to the Journal’s refereeing processes. We would like to thank the referees for their valuable comments and suggestions.
