Unions threaten Labor over FTA treachery

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Labor has attracted scorn from union leaders after the party’s caucus voted to support the federal government’s proposed free-trade agreements (FTAs) with Indonesia, Hong Kong and Peru. Construction, Forestry, Maritime, Mining & Energy Union national secretary Michael O’Connor says the decision will cause ongoing tensions between sections of the union movement and Labor. From The Australian:

“This argument is not over by the decision,’’ Mr O’Connor told The Australian. “This is going to be an ongoing issue of conflict ­between sections of the trade union movement and the parliamentary party going forward.

“This issue is an iconic issue for many unions, and I think it’s going to be a very problematic relationship going forward as a consequence of this. How that manifests itself I am not too sure but certainly this is not a good start to this political cycle by them making this decision. The parliamentary party will have to wear the fallout”…

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.