Modernising Workplace Relations in Australia Working for Our Future Modernising Workplace Relations in Australia

Research project investigating the future of the Australian workplace Objective – to engage businesses in a dialogue about workplace relations, linking what they are talking about to what the research shows. Funded by the federal Department of Employment. Australian Chamber of Commerce and Industry (ACCI) sponsored via “Biz Better Together”. SEAANZ as research partner with: Monash University – Dr Tui McKeown & Dr Miria Lazaris UWA – Professors Tim Mazzarol & Geoff Soutar UNE – Professors John Rice & Alison Sheridan Curtin UT – Professor Mile Terziovski & Dr Byron Hanson Gudrun Gilles – Project Manager Other research partners. The project

Research Model

SEAANZ Project Methodology

Research Questions Theme 1 Theme 1: Workplace Regulation How does the Australian workplace relations (WR) system influence productivity and growth of business within the Australian economy? How do existing WR laws and regulations affect the ability of businesses to directly engage with employees in the workplace? How does the regulation of employment through the WR system influence the level of employment and investment growth within the Australian small and medium enterprise (SME) sector? How does WR regulation affect flexible forms of work, including the way people are engaged (e.g. nano-enterprises)? Research Questions Theme 1

Workplace regulation is important to business growth and innovation. Much of the existing research focuses on compliance costs and removal of “Red Tape”. A more detailed understanding of SME workplaces is vital to understanding how they adapt to regulatory environments. Australia’s IR / WR system is a complex mix of federal and state laws and regulations. There is a gap in the research literature as to the impact that the WR system has on SMEs, particularly micro and “nano” firms. WR impact on SMEs now understood in relation to time spent on compliance. However, SMEs generally have informal HRM systems and 60% of firms are micro or “nano” enterprises. “Nano” enterprises are non-employing and there is little information on how they view IR / WR regulations. Key Findings Theme 1

Research Questions Theme 3 Theme 3: Work Health & Safety What is the relationship between work health and safety (WHS), the changing nature of work, and the regulation of the workplace? How do WHS laws and regulations impact the workplace within SMEs (e.g. employer-employee/employee-employee relationships/productivity)? What frameworks and innovative methods might enhance management of WHS within SMEs? Research Questions Theme 3

Australia has strong WHS regulations and laws at both federal and state level. Employers generally recognize the penalties for non-compliance. They also usually recognize the potential costs of injury or death within their workplaces. A key issue is how to turn compulsory compliance into a “way of business life”. Relatively little research into how SMEs approach WHS. Also need to focus on the impact of technology on WHS in SMEs. Key Findings Theme 3

Research Questions Theme 5 Theme 5: Empowering Entrepreneurs How do WR laws and regulations influence the behaviour of start- up and early stage firms in relation to their decision to employ? How do WR laws and regulations influence the behaviour of SMEs and family owned firms in their management of employees? How does innovation and “best practice” benchmarking in Human Resource Management (HRM) influence the performance of SMEs? What WR regulatory frameworks might influence productivity within SMEs? Research Questions Theme 5

There is a paucity of clear evidence over how WR laws and regulation impact start-up and early-stage firms and their growth. Evidence of a strong relationship between the adoption of best practice HRM processes and performance in SMEs. However, most SMEs don’t have formal HRM systems or processes. Most likely areas of WR laws and regulation impact on SMEs is in relation to wages and conditions, hiring and termination. More research is needed over how SMEs respond to WR laws and regulations over their lifecycle. Also needed is a better understanding of WR laws and regulation on high growth “Gazelle” firms and family owned firms. Specifically the nexus between WR laws and regulation and management behavior. Attention is also needed in areas such as immigration, labour mobility, taxation, education & training and occupational licensing . Key Findings Theme 5

Research Questions Theme 6 Theme 6: Enhancing Workplace Diversity What is meant by flexibility and diversity of employment in Australia today? What is the Australian evidence that diversity leads to more productive enterprises? How can flexible work arrangements (FWA) be strategically developed to meet the needs of all parties? What are the requirements for flexible work from different types of employees and businesses? What are the barriers and opportunities to satisfy these requirements? Research Questions Theme 6

Flexibility and Diversity are separate but related concepts. Diversity management remains a potential area for future research but little work has been done there despite a promising start in the 1980s and 1990s. Workplace Flexibility (Flexible Working Arrangements) is an area that has received much more attention. FWAs are a mechanism for managing diversity in the workplace. Current literature is not sufficient to address the research questions. More attention needs to be given to employer and employee perceptions and the barriers and opportunities to managing workplace diversity. Key Findings Theme 6

Research Questions Theme 7 Theme 7: Future Workplaces What will the Australian workplaces of the future look like? What factors may play a role in shaping this future? Research Questions Theme 7

Key Findings Theme 7 Predicting the future is fraught with risk. Various future scenarios have been offered within the literature, some are positive while other predict a dystopian vision with high unemployment, low wages and insecure jobs. Technology remains a key driver with flexibility in time and location. Industry may segment into a few large global corporates, smaller more socially focused or not-for-profit firms and SMEs. Government policy will most likely play a key role in shaping the future workplace. Key Findings Theme 7

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