ACTU: imposing union control over AI?

The following oped was featured on The Spectator Australia online on June 4, 2024

The ACTU apparently perceives AI as a ‘very big threat’ to workers, yet simultaneously aims to leverage it for higher pay and shorter hours for employees.

They want a charter of rights for workers to manage the use of AI, robotics, and automation in general. Additionally, they demand the right to reject AI for certain applications, including medical decision-making, in the ‘public interest’.

They also argue the Fair Work Commission should have a ‘clear and unequivocal power to arbitrate disputes about the impact of AI on work’.

Unions (and the ALP) love nothing more than creating a large government agency to dispense wisdom and solutions. True to form, a National Artificial Intelligence Agency is proposed, along with a new division in the Department of Employment and Workplace Relations.

To put this reactive approach into context:

First, the unions represent only 8 per cent of the private sector workforce and 12 per cent of the total Australian workforce. Many industries adopting AI have negligible union presence.

One day it may dawn on the ACTU that most workers are capable of devising sensible solutions with their employers about the introduction of change, without the need for guidance from a union official or the Fair Work Commission.

Second, AI and robotics are not a 2024 invention – they have been used in numerous workplaces for some time. Businesses and employees regularly demonstrate that AI and robotics can be positively integrated. Businesses remain competitive, employees are retrained to use new technology, and old positions are replaced with new, often more engaging roles.

Third, the AI train will not pause while the ACTU and the government develop an Australian regulatory regime. A regulatory scheme based around third-party intervention, arbitration and centrally-mandated wage and hours trade-offs would be disastrous.

This approach would likely deter overseas investment and force Australian firms to either lose their competitive edge or outsource work to other countries. Productivity, growth, and innovation in Australia would languish as investment and new applications bypassed us.

The ACTU model of seeking to control technological innovation through third-party intervention has never worked and it definitely will not in this case.

Businesses should be encouraged to explore opportunities offered by AI and robotics to improve service quality and productivity. Employees should be respected and consulted, as they often propose creative solutions for introducing change.

Adopting this approach will benefit both businesses and employees, ensuring Australia remains an attractive place for investment and business.

John Lloyd PSM, Senior Research Fellow, H.R. Nicholls Society