Indo-Pacific Economic Framework for Prosperity Agreement relating to Supply Chain Resilience

Policies, Publications & Submissions - June 12, 2024

Submission by the Australian Council of Trade Unions to the Joint Standing Committee on Treaties

The ACTU supports fair trade as a vehicle for economic growth, job creation, tackling inequality and raising living standards. The most important objective of trade policy should be to deliver benefits to workers, the community and the economy by increasing opportunities for local businesses, creating quality local jobs, and protecting public services. The benefits of trade must be shared among our community, and promote equitable development abroad: economic development must go hand-in-hand with decent work.

We are calling for a reformed trade policy that puts the Australian community at the centre – workers and our communities must be genuinely consulted on trade agreements, and our Parliament must have democratic oversight. The United States is perhaps the best international example of a consultative approach to trade agreements, that prioritises workers’ rights in its negotiating agenda. The Biden Administration has explicitly adopted a ‘worker centric trade policy’ as a key priority.

Under this ‘worker centric’ policy, workers have a seat at the table to advise on the development of new trade policies that promote equitable economic growth by including strong, enforceable labour standards in trade agreements that protect workers’ rights. The Biden Administration is also committed to using trade to engage its partners to secure commitments to combat forced labour and increase transparency and accountability in global supply chains. The US has a legislated approach to guide its consultation and negotiating parameters for trade agreements. The US Congress passed the Bipartisan Congressional Trade Priorities and Accountability Act (‘the Trade Priorities Act’) in 2015 which established new and expanded consultation requirements and negotiating objectives, including the requirement for labour clauses, and robust consultation before, during and after negotiations. The Biden Administration’s approach provides an example of how Australia could adopt legislation that embeds a consultative approach to trade that centres the voice and the interests of working people, and ensures that workers’ rights are non-negotiables in trade deals.

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