New program to support Australian workers and strengthen manufacturing
The AMWU and the AWU have also welcomed the $19 million government program which will also help Australian firms win public and private-sector contracts.
The announcement was made only a few days after the AMWU and Australian Workers’ Union launched a campaign called ‘a country that makes things’, under the banner of the Manufacturing Alliance.
National Secretary, Dave Oliver, along with AWU National Secretary Paul Howes, gave the thumbs up to the program.
The initiative, announced by Industry Minister Kim Carr, was described by Mr Oliver as a ‘positive step forward.’
"This is the most significant change in Australian industry policy since John Button was the industry minister in the Hawke government," said Mr Oliver.
"We support this announcement, because what this will do is support the future for 1.3 million workers in the manufacturing sector.
Mr Oliver said that the AMWU had spent years campaigning for these kinds of policies during the Howard Government, but the union’s calls were ignored.
He said that the union will continue to call for other mechanisms to secure and strengthen the manufacturing sector, but the program is huge step in the right direction.
"We've got to recognise that this is a massive step forward, this is a win for working families, and it's a good announcement for all."
There have been 77,000 jobs lost in the past 12 months in the Australian manufacturing sector.
"What the government has announced is what we have been asking for in respect of giving greater opportunity to local manufacturers, to get access to government work and work in the private sector. It’s about maximising opportunities for jobs in domestic work and international work as well," Mr Oliver said.
As part of the initiative, the federal public service will be required to submit "Australian industry participation plans" that give local businesses a "fair go" at winning commonwealth contracts, worth an estimated $24 billion a year.
Companies tendering for Government building contracts will have to demonstrate they gave ‘full, fair and reasonable opportunity’ to get Australian materials and services or they risk losing the contract.
Businesses will also be required to explain any decisions to use foreign suppliers.
Industry Minister Kim Carr said the measures provide greater opportunity for Australian workers. Although Prime Minister Kevin Rudd and Finance Minister Lindsay Tanner were critical of the buy-Australia campaign run by the AMWU and the AWU, Senator Carr said the government is supportive of Australian industry.
The ‘fair work’ principles will also be governed by the scheme.
Commonwealth agencies will be responsible for ensuring their subcontractors comply with a set of principles that uphold workers’ rights when they submit tenders.
Mr Oliver said that the new rules mean that government departments will not be driven to choose the lowest bidder.
“They will have to consider environmental and social factors when deciding on potential suppliers so this is a result which will lift standards as well as secure jobs.”