INDUSTRIAL RELATIONS SOCIETY OF VICTORIA
SIR RICHARD KIRBY LECTURE
MELBOURNE, 20 NOVEMBER 1996
SIR RICHARD KIRBY, MEDIATION AND INDUSTRIAL RELATIONS
TODAY
The Hon Justice Michael Kirby AC CMG*
SIR RICHARD KIRBY AND HIS LEGACY
We meet at a remarkably exciting time for
industrial relations in Victoria. Federal dreams, so long
harboured and shared, have been rejected, rejected and
rejected again. But now they are, it seems, to be brought
to pass, by joint agreement of the Federal and Victorian
Governments. The Victorian Parliament is to be invited
to refer its powers over industrial matters to the Commonwealth.
Truly, this is a time of change in Victoria of great significance
to this Society, its members and every employer and employee
on this State. The prospect that the change will spread
to other States, including New South Wales, is seriously
canvassed and cannot be dismissed. Looking upon the promised
change, with a wry smile, is the fine Australian, Sir
Richard Kirby, in whose name this lecture series is given.
It is a special pleasure for me to be invited
to give the lecture. When I was first appointed to the
old Conciliation and Arbitration Commission (which Sir
Richard Kirby virtually founded), many people thought
I must have been his son. Many people since have made
this mistake. It was as if we were setting about the establishment
of one of those legal dynasties for which Australia is
famous. Like the Streets (three generations of them in
New South Wales). Or the Winnekes, here in Victoria. But
it was not so. Dick Kirby used to tell me, early in my
days in the Arbitration Commission and in the Law Reform
Commission, that he did not mind his acquaintances referring
to me as his son. He drew the line when I was portrayed
as his grandson. No chance of that now.
In my youth, growing up in post-War Australia,
it was common to hear references to Dick Kirby on the
ABC radio news. It is difficult for Australians of this
generation - even those living in the special world
of industrial relations - to realise the enormous
national importance accorded to industrial relations in
post-War Australia and specifically to the industrial
relations tribunal which Sir Richard Kirby headed. During
his long tenure, that tribunal grew enormously in stature.
Without that growth, the events of recent days would have
been impossible. It grew because of its independence,
skills in mediation in a volatile industrial setting and
the grace and ability of its first President, Sir Richard
Kirby. In those days, great national strikes were more
common than they are today, doubtless a reflection of
a long period of comparative economic prosperity and an
even longer Australian tradition of industrial militancy.
The nation really looked to the Federal and State industrial
tribunals to solve the large battles of enormous importance
to the economy. The willingness of Australia to do so
was an enormous tribute to Sir Richard Kirby.
He is still with us. He seems completely
indestructible. More importantly, he is still concerned
about issues of industrial justice in Australia, as I
shall show. It is inevitable that young members of this
Society will not have known him. They will not have known
the institution over which he presided. They will not
have known the Australia in which that institution was
so dominant. Indeed, they may not realise what an important
person is the hero of this lecture series.
Let me therefore, just for a time, recall
to mind some of the milestones in Sir Richard Kirby's
most interesting and varied career. It is easy to do so
because it is gracefully outlined in the second lecture
in this series delivered by Barry Jones in 1990.
Sir Richard is a child of the Australian
federation. He was born on 22 September 1904 in that fin
de siècle town, Charters Towers, in Queensland.
At the time of his birth, the federation was but three
years old. The High Court of Australia was one year in
existence. The Conciliation and Arbitration Act
of the Commonwealth, built on the constitutional power
in s 51(xxxv) of the Constitution, was almost exactly
contemporaneous with his birth.
The young Dick Kirby moved to Sydney and
was educated at the oldest school in Australia, the King's
School. At Sydney University he was lectured by H V Evatt,
later a High Court Justice and Labor Leader. He practised
as a solicitor and went to the Bar in 1933. As Barry Jones
tells it, he was "reasonably active" in the
Australian Labor Party, being selected as a candidate
for a Federal Seat in 1940. However, he dropped out of
politics and was spared for more enduring national service.
During the War, Dick Kirby served in the
armed forces and then returned to the Bar. He had been
briefed to appear for William Dobell in the notable proceedings
arising out of the challenge to the award of the Archibald
Prize for Dobell's portrait of Joshua Smith. Had he won
that case, his future as a silk and large money earner
would have been assured. But, shortly before the trial,
he accepted appointment to the New South Wales District
Court. Soon thereafter, in 1947, he was appointed an Acting
Judge of the Supreme Court of New South Wales. A very
young Gough Whitlam became his Associate. Rescued from
a life in the divorce jurisdiction of that Court, he was
appointed a member of the Australian War Crimes Commission.
This took him to Ceylon. His skills were soon recognised
by his appointment as Australia's representative on the
Security Council's Good Offices Committee on the Indonesian
question. He played an important role in the settlement
between the nationalist forces and the Netherlands. His
name is still honoured in Indonesia, as I discovered when
I returned there and some of his fame rubbed off onto
me.
In 1947 Dick Kirby was appointed by Chifley
to the old Arbitration Court. He was the youngest federal
judge then appointed. He was to grow uncomfortable with
the attempts to change the old Court's focus "from
protecting the weak to manipulating the economy".
He was there in 1956 when, in the Boilermaker's Case,
the High Court of Australia ruled that the Arbitration
Court was a constitutionally invalid attempt to breach
the doctrine of the separation of powers. In response
to that decision, the Act was changed. A new Industrial
Court was established to exercise judicial functions.
The head of that Court was likely to have been Sir Raymond
Kelly, the former Chief Judge of the Arbitration Court.
However, he died and the position fell to Mr (later Sir)
John Spicer, the Federal Attorney-General. Mr Justice
Richard Kirby was appointed first President of the Commission.
He was to hold the position for 17 years until 1973 when
he was succeeded by another fine Australian as President,
Sir John Moore. Kirby and Moore were in the minority in
1961 when the Commission over-ruled an earlier decision
and abolished wage indexation. It was a bitter blow to
Kirby and to the ACTU advocate, the up and coming Bob
Hawke.
In her book on Sir Richard Kirby's life,
Blanche d'Alpuget recounts that Kirby had "an almost
superstitious dread of non-drinking men". This is
a secret quality of my own that I have always tried to
keep from him. He was described as "eating and drinking,
in the company of attractive women and of articulate and
robust men". The excitement of sporting competitions
remained his pastime. When he retired from judicial office
(and it must be remembered he held a life appointment
in the old Arbitration Court), he became active as Chairman
of the Advertising Standards Council, as a member of the
Council of the University of Wollongong and as President
of the H V Evatt Foundation. In the first lecture in this
series, Bob Hawke, whose respect for our hero, enmeshed
with affection, shines forth, describes Kirby's quality
in terms that give us all an example and an inspiration:
"The influence of Kirby as President
... of the Conciliation and Arbitration Commission was
profound. Indeed, in a sense, it was beyond measure -
not only in influencing, by argument and example, the
attitudes and approaches of his colleagues at the time,
but also in developing an approach which others would
follow and build on in the future. Kirby had many notable
qualities and strengths: his readiness to listen to new
arguments, and the integrity and the courage to change
positions previously taken publicly; his willingness to
foster reform ... his humanity and his sense of social
justice; his determination to maintain the Commission's
authority and independence against outside influence or
pressure; his great sense of humour; and finally -
but certainly not least - his great skills as a negotiator
and mediator which, as you all know, were evident throughout
his career".
Bob Hawke singled out a number of the Commission's
decisions as being of critical importance. The 1959 Basic
Wage case, where Kirby moved away from his own previously
enunciated position. The 1961 opinion which built on the
judgment of 1959. The 1966 Cattle Station Industry Case
where the Commission declared "there must be one
industrial law, similarly applied, to all Australians,
Aboriginal or not". In that decision, the Commission
ruled in favour of equal pay for Aboriginal stockmen.
Finally, the decision in April 1967 when the Margins Bench
struck a blow for equal opportunity in Australia. It declared:
"It seems to us to be industrially
unjust that women performing the same work as men would
be paid a lower margin".
That decision led, directly, to the equal
pay case later in the same year.
George Polites, in delivering this lecture
in 1991, described the way that, during Kirby's presidency,
"the Commission had its ups and downs. It was liked,
loved, hated and spurned as has been the Court before
it, and as is the IRC today". The lecturer called
for a return to the cooperative approach to industrial
relations "which is encouraged by persuasion and
example rather than by threat and coercion". This
was the approach which Dick Kirby always encouraged and
facilitated.
In 1994 this lecture was given by my colleague,
Justice Mary Gaudron. Like me, appointed in the 1970s
to the Arbitration Commission, Justice Gaudron well knew
the power of Sir Richard Kirby's legacy to industrial
relations in Australia. She records the (surely apocryphal)
story told in our hero's biography of the visit of two
old school friends in London, to view the workings of
the Privy Council. Imagine their surprise on hearing the
case called on "The Queen against Richard Clarence
Kirby". The tale has it that one friend turned to
another and said "Good God, Dick's done it this time!
It must be either murder or rape to have landed him here".
But he had gone by the time Mary Gaudron was appearing
before the Arbitration Commission. I too had no chance
to plead before him. Yet in those early days of our work
before, and membership of, the federal tribunal, the name
of Sir Richard Kirby was legion. It was greatly honoured.
It seemed impossible to conceive that the system which
he had built would go otherwise than from strength to
strength.
FOUNDATIONS
Justice Gaudron is the seventh and I am
the eighth Justice of the High Court of Australia to have
held commission in the national conciliation and arbitration
tribunal. O'Connor, Higgins, Isaacs, Powers, Rich and
Starke preceded us. It is an indication of the close connection
which has existed, over virtually the entire history of
the Australian federation, between the highest court of
the land and the institution charged with implementing
our unique national experiment in industrial relations.
As the centenary of the Constitution approaches,
it is inevitable that we should be looking back to those
years shortly before, and shortly after, Sir Richard Kirby
was born when this remarkable national experiment began.
It is specially relevant in the context of the current
plan to refer State powers to the Commonwealth and the
reconsideration of industrial law that will follow.
It was in the 1891 Convention that Kingston,
from South Australia, moved for the insertion in the draft
Constitution of a new clause giving the Federal Parliament
legislative power with respect to the establishment of
Conciliation and Arbitration Courts with jurisdiction
throughout the Commonwealth for the settlement of industrial
disputes. Sir Samuel Griffith, from Queensland, suggested
that this power would be better placed under the judiciary
power. Accordingly, Kingston withdrew his proposal and
later moved to include in the federal judicature "courts
of conciliation and arbitration for the settlement of
industrial disputes". A short debate ensued. Kingston,
who was a remarkably progressive and intelligent lawyer,
said that he did not wish to enlarge generally the legislative
power of the Commonwealth. But he pointed out that, even
in colonial Australia, there had been industrial disputes
which were too extensive to be dealt with by local legislatures
or tribunals and which had become a matter of national
concern. Remember that these debates were taking place
in the 1890s.
According to Sir Robert Garran, the debates
revealed several things:
"First, that there was a general opinion
that industrial matters were best left to the States;
secondly an admission by a few members that there were
disputes of national concern; and thirdly the recognition
that both employers and employees were already organised
on a federal basis."
Griffith expressed concern that the assignment
of this subject matter to the Federal Parliament would
affect property and civil rights which ought not to be
interfered with by the new federal polity. But Deakin
and others in the national and federal movement were impressed
by Kingston's argument about nationwide disputes. So long
as concurrent State legislative power was reserved, they
saw no difficulty with a federal body having national
responsibilities.
Nobody, in those far-away and different
days, suggested that a general federal power should be
given to the federal Parliament to deal directly with
industrial questions. That would have been entirely out
of harmony with the conception of the federal Parliament's
powers held in those days. The only palatable proposal
was Kingston's that, for national disputes only, there
should be a means to endeavour to deal with them first
by conciliation and, if that failed, by a court which
could arbitrate upon disputes which transcended State
powers. Kingston's argument was deliberate. He hoped to
keep industrial conditions out of the political sphere.
But in the end, his amendment was defeated by a large
majority. The only leading federalists who voted for it
were Kingston and Deakin. Griffith maintained his objection
as to property and civil rights implications. The rest
of the majority against the federal proposal appeared
to be influenced by the principle that no sufficient case
had been demonstrated for giving any part of the industrial
power to the federal Parliament. A hundred years ago this
was definitely regarded as, basically, a State matter.
The issue did not die there. At the 1897-8
Convention, H B Higgins, later a Justice of the High
Court and second President of the Arbitration Court, obtained
a small majority for the power as it now stands in the
Constitution. From the first, the power was highly controversial.
Doubtless this was because of the large economic ramifications
which rested upon it. According to Garran, the Conciliation
and Arbitration Bill wrecked two Ministries before it
was passed in 1904, the year of Sir Richard Kirby's birth.
The Deakin Ministry resigned after the Opposition, in
combination with the Labour Party, passed amendments to
include in the Bill employment in State railways or other
State industries. Then the Watson government was brought
down by a clause providing for preference to unionists.
Only then did the Bill get into a safe harbour in the
Senate and was passed.
In 1906, in harmony with the view then
obtaining about the implications of federalism in the
Constitution, the High Court, in the Railway Servants
Case held that the application of the federal Act
to State railway employees was an invalid attempt by a
federal law to interfere with State prerogatives. We have
recently seen how this old debate continues right up to
the present time. Within the last few weeks, a decision
by the High Court upheld the wide constitutional powers
available to the federal Parliament, beyond s 51(xxxv)
to make broad based laws governing industrial relations.
Before the multi-pronged federal legislative
approach was adopted, and before the Engineer's Case
the federal Governments of the first decades of the century
felt bound to appeal to the people at referendum to enlarge
the federal power over industrial relations. Three attempts
were made by the Fisher government in 1911 and 1913. A
fourth attempt was made by the Hughes government in 1919
to give wide industrial powers to the federal Parliament.
Each of these was carried in the federal Parliament but
defeated at referendum. These failures, and still others
later, proved once again the intense conservatism of the
Australian people when asked to change their Constitution.
How ironic, in the light of these ardent battles of earlier
days are the events of recent weeks in this State.
Following the Engineer's Case in
1920, the disputes about the relevant powers of the federal
and State arbitral bodies became the constant subject
of discussion in the successive Premier's Conferences.
In 1921 there was the first agreement that the States
would refer the industrial power to the Commonwealth to
the intent that Basic Wage and standard hours could be
dealt with nationwide. However, as Garran puts it, in
1921 the State Premiers "went home and forgot about
it". Similarly, in 1923, the federal government agreed
to try to amend the Constitution by excluding State instrumentalities
from the federal power. But again nothing was done. The
Royal Commission on the Constitution in 1927-29 recommended
omitting the industrial power from the Constitution. The
recommendations went the way of most constitutional reforms.
In 1929 Prime Minister Bruce announced the intention of
his government to vacate the whole field of industrial
relations to the States, except for the shipping and waterside
industry. His Government had long been concerned with
aspects of dual control. Having failed to get full federal
powers it resorted to the alternative of handing virtually
the whole issue over to the States. This proposal brought
about the defeat of the Government in Parliament. Later
efforts were made to enlarge or alter the federal power
by referendum. But none of them succeeded. Until they
discovered the multi-pronged approach to sustaining federal
legislation on industrial relations, the governments of
Australia, after the 1940s, came to the view that this
minefield of law was perilous and problematical. Only
very bold spirits continued to dream of a single national
regime.
This was the world of federal industrial
arbitration into which the young Mr Justice Kirby entered
in 1947. Until the recent announcement by Minister Reith
and Premier Kennett, it was left largely to the High Court
of Australia, rather than the people at referendum, to
alter the understanding of the foundations of the legislative
power of the Commonwealth with respect to industrial relations.
COURT AND COMMISSION
I think it is fair to say that, over the
course of the century, the High Court has, by almost imperceptible
steps, taken in a multitude of decisions, gradually enlarged
the power of the federal Parliament to enact laws with
respect to conciliation and arbitration of industrial
disputes. Its recognition that other heads of federal
power, notably the corporations power, could be used to
sustain laws on industrial relations, clearly circumvented
many of the problems that had bedevilled governments,
and industrial relations in Australia, during the first
half of the century.
Very occasionally difficulties arose in
relationships between the High Court and the arbitral
tribunal. Thus, in Alexander's Case the High Court
invalidated the appointment of federal judges to the Arbitration
Court for a period of seven years. It held that, by the
Constitution, all such judges must enjoy life tenure,
which was then the standard for the federal judiciary.
In 1948, a curious event occurred which
I have recorded elsewhere and of which Sir Richard Kirby
may have recollections. Mr Justice Williams, in the High
Court, made an order under s 21AA of the Conciliation
and Arbitration Act 1904 (Cth). In purported reliance
on that Act, proceedings in the form of an appeal were
taken to the Full Bench of the Arbitration Court: titled
"On appeal from the High Court of Australia".
No motion was ever filed by any party to bring the matter
before the High Court. However, the Principal Registrar
of the High Court drew the purported "appeal"
to the attention of a Full High Court sitting in Melbourne
on 24 February 1948. Of its own motion, the High Court
issued an order nisi for prohibition directed to
the judges of the Full Court of the Arbitration Court,
and to the parties, prohibiting further proceedings and
returning the matter before the High Court. Latham CJ
stated:
"The proceeding raises the important
question as to whether an appeal may be given from the
High Court to another court in Australia. The circumstances
are unusual. In these unusual circumstances, which raise
a question of profound importance, the Court adopts the
unusual procedure of making an order nisi on reading
the report of the Principal Registrar, for a writ of prohibition".
On the same day, the Chief Judge of the
Arbitration Court (Mr Justice Drake-Brockman) announced
that he had been notified of the order nisi. After
some discussion as to whether the purported "appeal"
from the High Court should be struck out, it was, with
the consent of the respondents, withdrawn by the appellant.
There have been no more "appeals" from the High
Court to other courts or tribunals in Australia. The last
line of "appeal" from the High Court to the
Privy Council has been terminated by statute, save for
the residual and anomalous facility of appeal which remains
in s 74 of the Constitution but which the High Court
has said will never be again exercised.
There remained other tensions in the relationship.
It was said, for example, that Justice Dixon became upset
when the Chief Judge of the Arbitration Court (Kelly CJ)
was knighted at a time when some of the Justices of the
High Court were not so honoured. The reason for Kelly's
knighthood was that he was a close personal friend of
Prime Minister Menzies. It is also said that Justice Dixon
objected to the inscription "CJ" on Kelly's
wig tin. According to Sir John Moore, Dixon's eyes fell
upon Kelly's tin at the legal convention in Sydney in
1951. Whether this is so or not, the great Dixon, taking
his oath of office as Chief Justice of Australia in April
of 1952, adverted to the importance of maintaining the
status of the federal judiciary:
"There is in Australia a large number
of jurisdictions and a confusion in the public mind as
to their function ... The public does not maintain the
distinction between the administration of justice according
to law and the very important function of industrial tribunals".
This comment of Dixon's did not go unnoticed.
Predictions were made that the Arbitration Court's days
might be numbered. The hint planted by Dixon was duly
taken up when the Boilermaker's Society was fined
for contempt. It objected to the payment of its fine.
The validity of the order was challenged. The High Court,
led by Dixon, upheld the challenge. It effectively destroyed
the old Arbitration Court. In accordance with federal
convention, that court remained on the statute books until
the last of its judges had either died or retired. But
it had no further effective jurisdiction. Sir Richard
Kirby is the only living remnant of that page of Australia's
history, stretching back to O'Connor and Higgins.
THE PRESENT DAY
It is at this point that a speaker in this
lecture series will normally turn to a controversial issue
of importance in the present day. The events of this month
give ample scope. Bob Hawke spoke of his government's
commitment to consensus, to the Prices and Incomes Accord,
to labour market reforms, award restructuring, workplace
reform and the Industrial Relations Act of 1988.
Barry Jones spoke of the impact of technology on production
and workforce trends. He described the decline in traditional
work areas, the changes in labour participation rates
and working hours; the dynamism of the labour market today
and the need for Australia, in its global and regional
setting, to "work smarter". George Polites spoke
of the support for deregulation in the 1990s, the need
for flexibility in labour market strategies as revealed
by the OECD studies and the need to enhance enterprise
bargaining supported by legislative reform sustained by
a non-partisan approach by government and opposition.
We are in the midst of extremely important
developments in industrial relations in Australia. One
of them was marked out by the recent decision of the High
Court on the constitutional foundations of federal law
in this area. That decision was described by the Minister
for Industrial Relations, Mr Reith as a "useful
boost at a critical time". The reference was to the
fact that a number of the provisions in the present government's
proposed legislation invoke the corporations power upon
which the former government's legislation had been upheld.
Already, in the High Court, I have sat
as a single Judge in a matter in which the constitutionality
of legislation in this field is to be challenged. You
will therefore understand a certain reluctance on my part
to explore constitutional questions with you. Fascinating
though they are, they bear greater risks than historical
reflections. Out of my ruminations upon them might spring
a necessity to disqualify myself from participating in
future litigation. I would not wish to impose that extra
burden on my colleagues or to deprive you all of my opinion
on such matters.
The new federal industrial relations Bill
introduced into the House of Representatives on 23 May
1996. As a result of negotiations between the government
and the Australian Democrats in the Senate, the Workplace
Relations and Other Legislation Amendment Bill 1996 (Cth)
(which will substantially amend the Industrial Relations
Act 1988 and rename it the Workplace Relations
Act 1996) would introduce important changes to our
law. The negotiated settlement between the political parties
has been described as "a new era [dawning] for industrial
relations". It has been called a "good and effective
compromise from which both negotiators have emerged smiling,
and with good reason". The government has retained
the essential principle of its industrial relations policy -
productivity-driven workplace agreements in which wages
are more directly linked to productivity and to the ability
of particular businesses to pay. The Australian Democrats
have won concessions which safeguard the rights of workers
to choose whether or not they wish to be represented by
a union and the basic role of unions to maintain a presence
in workplaces in which they have members.
For my purposes, the most important change
to the Bill, as introduced, is the strengthening of the
role of the Industrial Relations Commission as the ultimate
guardian of industrial justice. The role of employment
advocates has also been strengthened. Industrial awards
are to remain, as long as they are needed. The amendments,
which have safeguarded the status of the Commission, have
been generally welcomed in the media. The original legislation
significantly reduced the role of the Commission. It limited
its jurisdiction to a number of designated subject areas.
It required the Commission to ensure that awards were
"suited to the efficient performance of work according
to the needs of particular workplaces or enterprises".
It also required the Commission to ensure that awards
were "confined in scope to providing a safety net
of fair minimum wages and conditions of employment".
However, the new stream of non-union bargaining was to
be available without any requirement to have agreements
vetted by the Commission for compliance with minimum legal
entitlements.
It remains to be seen how the amendments
and the new legislation, if enacted and upheld, will operate.
But I hope that I have demonstrated that the history of
industrial relations in this country, over the past century,
has shown that the national industrial tribunal has been
remarkably resilient. It has gone through many changes
in the constitution of its members. It has undergone significant
change from a highly judicialised body to one which is
more informal, flexible and suitable to an economy undergoing
rapid structural change. Its members, in all but three
cases, no longer have the judicial title. I have always
considered that a serious blow was done to the Commission
when it was reconstituted from the old Arbitration Commission.
The fundamental convention, previously observed in federal
courts and tribunals, was breached when Justice Staples
was not reappointed to the IRC. The convention of appointing,
successively, persons with backgrounds in unions, employer
organisations and government was also breached. The convention
(and law) which linked the salaries of Presidential Members
to the judges of the Federal Court was severed. Now the
powers of the Commission have been reduced.
Yet the Commission goes on. It is virtually
contemplated by the terms of s 51(xxxv) of our Constitution.
It is deeply etched in the Australian industrial relations
psyche. A human institution, it has undoubtedly made mistakes.
But it has done many good and fine things over the years
to protect the weak and the vulnerable. At a time of structural
change, relatively high unemployment, serious and continuing
youth unemployment (and the danger of more to come) it
seems unlikely to me that the Commission will now wither
on the legislative vine. As in all institutions, much
depends upon the personnel who make up the Commission.
It depends on their intelligence, sensitivity to new circumstances
and manifest independence and integrity. These were the
qualities which Sir Richard Kirby brought to bear to the
Arbitration Commission in his day. I do not doubt that
the present office-holders realise the importance of the
same qualities in the Australian Industrial Relations
Commission today. My own experience in the Law Reform
Commission taught me that formal legislative power is
often less important to a public office-holder than demonstrated
utility, neutrality and independence.
In 1990 I was invited by the International
Labour Organisation (ILO) to take part in the Fact-Finding
and Conciliation Commission on Freedom of Association.
I was appointed to a panel on South Africa. I went to
that country with two other judges (Sir William Douglas
of Barbados and Justice Rajsoomer
Lallah, now Chief Justice of Mauritius). Our task was
to review the industrial relations law in South Africa
on the eve of great constitutional changes. South Africa
had walked out of the ILO in the 1960s. It was now seeking
guidance on its future industrial relations law.
When the mission arrived
in South Africa we found the industrial relations system
wholly undeveloped and ramshackled. In particular, there
was absolutely no capacity to offer rapid response to
industrial disputes which tended to drag on: causing great
suffering and economic loss, particularly to the black
community. Cases meandered slowly through the courts.
The situation was intolerable for employer and employee
organisations alike. Drawing on my experience in the Arbitration
Commission, our mission put together our proposals. These
included a system for rapid response to disputes with
a procedure for conciliation and arbitration. The South
African Industrial Relations Act, now passed by
the South African Parliament, draws extensively on the
ILO mission report. It would be an irony if, at the very
moment that an efficient and responsive industrial relations
body was being created in South Africa, modelled on the
Australian experience, we denuded our national body of
its relevance, prestige and capacity to act speedily and
to safeguard the basic rights of the industrially weak
and the vulnerable. I am hopeful that the federal legislation,
in its reformed content, will strike the median course -
reforming and modernising; but keeping the best of a peculiarly
Australian institution harmonious with our society and
its history.
THE CONTINUING EXAMPLE
OF SIR RICHARD KIRBY
There remains a serious problem of long-term
unemployment in Australia, particularly amongst the young.
This is a matter which will be the concern of the Australian
Industrial Relations Commission and the Parliament. Everyone
hopes that the new industrial relations legislation and
initiatives will help improve the availability of employment
and assist in the structural changes that are necessary
if Australia is to compete in the dynamic geographical
and economic region in which we find ourselves. It will
not be a contribution to the long-term well-being of our
country if high levels of productivity in Australian enterprises
are won at the cost of accepting serious and continuing,
high levels of unemployment. In that climate will fester
despair, disillusionment with our society, resort to drugs
and crime and a gradual demolition of the egalitarianism
which has been a special feature of the Australian nation.
Egalitarianism to which the industrial relations system
and its institutions, federal and state, have contributed
for a century, during the long lifetime of Sir Richard
Kirby.
Sir Richard Kirby has not remained silent
about this problem. In recent days he has raised his voice
at the University of Wollongong where there is another
lecture named in his honour, now in its eighteenth year.
In the previous years he took no part in the formal business
of that lecture. But this year he broke with tradition.
He addressed the audience. He expressed his deep concern
about the "dreadful problem" of prolonged, systemic
unemployment:
"Past periods of recession and unemployment
have been cleaned up relatively quickly and unemployment
was the exception rather than the rule. We have had unemployment
for a decade or more and we must do something imaginative
or we will have another decade. What a tragedy that would
be. I asked to speak these few words because I have a
gut feeling that whilst we have worked long and hard to
solve the problem ... a more positive ambition is needed
rather than just working to cure it or heal it".
Sir Richard Kirby urged universities to
encourage research on this topic. He offered a substantial
prize for the best essay on full employment and the means
of obtaining it. He is still concerned. He is still motivated
by the light on the hill of industrial relations. Gone
from the hill are the commanding heights of government
enterprise. The command economy and its variants were
tried. They were seen to fail. But the basic motivation
of most people in industrial relations remains the same
today as it was in Sir Richard's day. It is to ensure
an efficient economy and a cooperative agreeable workplace
within which investors will make the profits which reward
inventiveness and service. And workers will have the satisfaction
of work well done, just rewards for their labours, protection
from avoidable harm and a safety-net against industrial
unfairness.
After the new legislation is passed through
the Parliaments, subject to any constitutional challenges,
it will begin a new phase in the history of industrial
relations in Australia. Yet a reflection on the long life
of Sir Richard Kirby teaches us about the enduring things.
We must keep them in mind in this time of change. Remembering
that history, we should maintain our faith in the capacity
of our fellow citizens, through good industrial relations,
to work together to solve new challenges. Most of the
solutions will come from agreements reached between the
bargaining parties in the enterprises most closely involved.
But sometimes a neutral intermediary will be necessary.
In South Africa, I saw the acute problems of a society
without a trusted mediator and without a fireman able
to attend quickly to the disputes that can so easily flare
up in the highly charged atmosphere of industrial conflict.
In Australia, we must surely adapt to new times of global
capital markets, regional competition, technological and
structural change and changing ideas on the role of the
state, the corporation and the individual. But we should
not turn our back entirely on our history or the genius
of our peculiar Australian approach to industrial relations.
That is why I have sought to describe and explain that
history in this lecture. It has lessons and it has ironies.
It may not have been perfect. It can doubtless still be
improved. But it was built on the firm foundation of our
concept of a nation of equals and a just society in which
an industrial accommodation can be struck in the name
of fairness and justice to all.
These are the values which Sir Richard
Kirby has upheld through his long life. They still have
lessons for us in Australia. In the coming century we
will surely need more like him.