Fair Work Commission

Overview

Fair Work Commission staff may conduct or commission research as part of the annual wage review. The research program for the Annual Wage Review 2017–18 was finalised in a Statement on 21 August 2017 following an invitation to interested parties to submit proposals and comment on the draft research program.

This page will be updated throughout the review.

In undertaking the research program, a Minimum Wages Research Group is consulted comprising representatives nominated by:

• Australian Chamber of Commerce and Industry (ACCI)
• Australian Industry Group (Ai Group)
• Australian Council of Social Service (ACOSS)
• Australian Council of Trade Unions (ACTU)
• Australian Government
• state and territory governments.

Budget standards research

In response to the Statement issued by the Expert Panel for annual wage reviews on 20 September 2017, the Commission invited interested parties to attend a presentation by Professor Peter Saunders and Megan Bedford on their budget standards research published in August 2017. The presentation was held on 27 November 2017 and was recorded. A video recording, PowerPoint slides and a transcript of the presentation are now available. 

Research published for the 2017–18 Review

In addition to research projects, a Statistical report and Research reference list are also published for annual wage reviews. This material will be updated throughout the 2017–18 Review.

Overview of research (PDF)

Rob Bray (Australian National University)

This paper summarises the scope and findings of each research report listed below and also provides a discussion of the Research reference list and Statistical report.

Employee and employer characteristics and collective agreement coverage (PDF)

Stage 2: research following the publication of 'Explaining recent trends in collective bargaining'

David Peetz (Griffith University) and Serena Yu (University of Technology Sydney)

This research presents analysis of data from the Survey of Employee Earnings and Hours (EEH) confidentialised unit record file for 2016.

The characteristics of the underemployed and unemployed (PDF)

Part I: David Rozenbes and Samantha Farmakis-Gamboni (Fair Work Commission)

Part II: Mark Wooden and Inga Lass (Melbourne Institute of Applied Economic and Social Research)

As foreshadowed in the medium-term research program, this project tracks the changes over time in the extent of underemployment for those who are employed part-time, and its relation with unemployment. It compares and analyses the characteristics of persons who are underemployed with persons unemployed, including over time. The characteristics considered include gender, age, student status, location, industry and occupation. For underemployed workers, the characteristics for analysis would also include method of setting pay, hours worked and work schedules. The report also provides information on the duration of underemployment and mobility to alternative employment states.

Characteristics of workers earning the national minimum wage rate and of the low paid (PDF)

Kelvin Yuen, Grant Ellis and Lucy Nelms (Fair Work Commission)

This project provides a descriptive analysis that examines the labour market and personal characteristics of those earning around the national minimum wage using the Survey of Employee Earnings and Hours. The Household, Income and Labour Dynamics in Australia Survey is used to analyse the characteristics of the low paid.

Part I: Methods and limitations to undertaking analysis of the employment effects of minimum wage increases (PDF)

Jeff Borland, University of Melbourne

This discussion paper considers methods and limitations in undertaking research in this area and comprises two parts. The first part presents a review of methods applied internationally and discusses issues and limitations associated with undertaking this research in Australia. The first part of the paper concludes with a series of questions for discussion or next steps for improved future research in this area to be considered at a roundtable meeting scheduled for early 2018. 

Part II: Prospects for research on employment effects of minimum wages in Australia (PDF)

Jeff Borland, University of Melbourne

This report is the final stage of a three-part process exploring this topic. The report provides a discussion on outcomes of the research roundtable, hosted by the Commission in March 2018, which was attended by several leading Australian labour economists to discuss the prospects for research in Australia on the employment effects of minimum wages.

Discussion paper: The UK evaluation of the impacts of increases in their minimum wage (PDF)

Sue Richardson, Expert Panel member for annual wage reviews

This discussion paper reports on the methods applied in the United Kingdom (UK) to evaluate the impacts of increases in the UK minimum wage, to assist in facilitating broader discussion on whether any of the methods can be applied in Australia. This paper provides a description of the UK data sources and main econometric models used in this research. The paper concludes with a discussion of Australia’s data limitations and insights from UK academics into the possibility of future Australian research.

Previous research

Research material from past annual wage reviews is available.

Go to a complete list of previous research.