Explain how wages are currently determined in Australia; roles of employer associations, trade unions and industrial tribunal in Australia's labour markets.

Wages in Australia be currently determined by the fundamental interaction of involve and lend of apprehend in the poke markets. The mesh set up is the counterpoise of pull up stakes and supply of labour. At the point, the essence of labour supplied is equal to the join of labour hireed. If the au indeed(prenominal)tic profit rate is above this point, and then there is excess supply of labour, thus causing unemployment. The unemployed people would then be uncoerced to work at a lower wage, because put downward pressure on the wage rate which eventually move down to the glumset wage rate. If the real wage rate is below the equilibrium wage rate, then there is excess exact then supply. In evidence to continue production, firms will be willing to falseer high wages to attract labour. This will thus lead to higher(prenominal) wages which eventually move to the market equilibrium. There are legion(predicate) factors affecting the demand and supply of labour in th e Australian labour market. As the demand for labour is a derived demand. This national that labour is demanded by the firm when there is demand for the firms goods or services. Thus, the demand for the firms products is the most grave factor affecting the demand for labour. Generally, when the economy is booming, the firm will experience increasing demand for its products. This will directly lead to higher demand for labour.

However, during an scotch downturn, more labour will be laid off as the demand for the firms products decreases. Secondly, the productivity of labour is another master(prenominal) factor. The productivity of labour is defined as the output per build block of la bour per unit of time. Thanks to the governm! ent policies aiming to growth labour productivity, during recent years the productivity of Australian labour has raised significantly. This means that the firm... If you want to get a in full essay, identify it on our website: OrderEssay.net

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