{"id":310,"date":"2016-03-13T14:00:00","date_gmt":"2016-03-13T13:00:00","guid":{"rendered":"https:\/\/hub.findingsimple.com\/au\/martin-ferguson-steps-out-of-labors-shadow\/"},"modified":"2022-08-03T16:04:25","modified_gmt":"2022-08-03T05:04:25","slug":"martin-ferguson-steps-out-of-labors-shadow","status":"publish","type":"post","link":"https:\/\/insight.thomsonreuters.com.au\/legal\/posts\/martin-ferguson-steps-out-of-labors-shadow","title":{"rendered":"Doing it His Way: Martin Ferguson Steps out of Labor&#8217;s Shadow"},"content":{"rendered":"<p class=\"intro-paragraph\">When it comes to labour reform, Martin Ferguson believes in small,&nbsp;incremental steps.<\/p>\n<p class=\"intro-paragraph\">\u201cThere is no revolution or paradise around the corner,\u201d the former&nbsp;Labor Federal Government Minister and Australian Council of Trade&nbsp;Unions (ACTU) President says.<\/p>\n<p>\u201cIt is all about achieving pragmatic things,\u201d he told <em><a href=\"http:\/\/sites.thomsonreuters.com.au\/journals\/category\/workplace-review\/\" target=\"_blank\" rel=\"noopener noreferrer\">Workplace Review<\/a><\/em>&nbsp;reporter Steve Andrew, in a wide-ranging \u2013 and surprisingly candid \u2013&nbsp;interview on life after politics.<\/p>\n<p>Now firmly ensconced in director roles for media company Seven&nbsp;Group Holdings and international mining giant BG Group, Ferguson&nbsp;concedes his current focus \u2013 advocating for wages reform \u2013 is creating&nbsp;waves (and some enemies) in union and Australian Labor Party (ALP) circles.<\/p>\n<p>But he rejects accusations it amounts to a \u201cbetrayal\u201d of his Labor roots, saying unrealistic wages&nbsp;and conditions are hurting Australia\u2019s competitiveness.<\/p>\n<p>Not everyone agrees. Ferguson narrowly avoided expulsion from the ALP in July 2015, following&nbsp;a push by the Victorian Trades Hall and the Maritime Union of Australia (MUA) to have him kicked&nbsp;out for alleged disloyalty.<\/p>\n<p>It follows his controversial backing of, among other things, the Coalition\u2019s plans for privatisation&nbsp;of New South Wales\u2019 electricity poles and wires network, and reinstatement of the union-despised&nbsp;Australian Building and Construction Commission (ABCC). The Commission was originally set up by&nbsp;the Howard Coalition Government to, ostensibly, investigate union breaches of industrial laws on&nbsp;building sites.<\/p>\n<p>More recently, Ferguson (in his role as Chair of Tourism Accommodation Australia) has thrown&nbsp;fuel on the fire by calling for a re-think of previously \u201csacrosanct\u201d weekend penalty rates.<\/p>\n<p><span style=\"color: #ff9900\"><strong>Costs must come down<\/strong><\/span><\/p>\n<p>While fully aware of union animosity to his plans, Ferguson told <em>Workplace Review<\/em> labour reform is&nbsp;now urgent in an \u201ceconomy in transition\u201d.<\/p>\n<p>\u201cThe resources boom is over; there is a low dollar, and tourism and education are now&nbsp;exceptionally important,\u201d Ferguson told <em>Workplace Review<\/em>.<\/p>\n<p>\u201cTo be productive and competitive, we need to keep costs down \u2013 and that includes wages.\u201d&nbsp;Ferguson said he was not suggesting an end to penalty rates on weekends, but rather, a re-think.<\/p>\n<p>\u201cThe tourism industry, for example, is still living in a penalty rates regime akin to the 1950s,&nbsp;when Sunday was sacrosanct. It is a seven-days-a-week industry, we need to adjust rates to reflect&nbsp;that.\u201d<\/p>\n<p>Ferguson said \u201cmore flexibility\u201d was needed on permanent part-time penalty rates to create jobs&nbsp;and certainty.<\/p>\n<p>In the resources sector, wages are just one part of a much wider problem, he argues. \u201cAustralia is&nbsp;a high-cost producer \u2013 to compete, we need to deliver a combination of fair wages, improved work&nbsp;practices, and certainty on investment and project delivery.\u201d<\/p>\n<p><span style=\"color: #ff9900\"><strong>Curb on industrial action<\/strong><\/span><\/p>\n<p>While vocal on the need for industrial relations (IR) reform generally, Ferguson has been particularly&nbsp;critical of government policy covering his pet industry, liquefied natural gas (LNG).<\/p>\n<p>One controversial solution being pushed by Ferguson is tighter controls on industrial action.&nbsp;Speaking in September 2015 at a <em>Transforming the LNG Industry<\/em> seminar run by the Committee&nbsp;for Economic Development of Australia (CEDA), Ferguson called for cross-party support for a&nbsp;Productivity Commission recommendation that enterprise agreements cover the entire life of&nbsp;construction projects.<\/p>\n<p>It follows the recent threat of industrial action at the $US54 billion ($75bn) Gorgon LNG plant in&nbsp;Western Australia.<\/p>\n<p>Ferguson\u2019s support for cutting penalty rates and implementing industrial reforms that reduce the&nbsp;role of unions has been condemned by the MUA, with its National Secretary, Paddy Crumlin, labelling&nbsp;Ferguson a \u201cdisgrace\u201d in a motion at the ALP National Conference in July 2015.<\/p>\n<p>The motion also highlighted Ferguson\u2019s alleged breach of the Federal Government\u2019s Ministerial&nbsp;Code of Conduct rule that prevents former Ministers lobbying government within 18 months of&nbsp;leaving Parliament.1 &nbsp;It followed his appointment to an advisory board of the Australian Petroleum&nbsp;Production and Exploration Association (APPEA) within the 18 months. Ferguson argues he is not a&nbsp;lobbyist and should therefore be exempt from the rules.<\/p>\n<p>Maurice Blackburn lawyer, Giri Sivaraman, meanwhile, has described Ferguson\u2019s re-think of&nbsp;penalty rates as \u201cspinning away reality\u201d.<\/p>\n<p>\u201c[It is] effectively casual employment dressed up as part-time, without the loading that&nbsp;compensates for lack of leave and other benefits,\u201d he argues in a letter to <em>The Australian Financial<\/em><br \/>\n<em>Review<\/em> on October 29, 2015.<\/p>\n<p>For someone with a proud and long Labor pedigree, taking on traditional Labor values has come&nbsp;at a price. But Ferguson appears to be taking it in his stride.<\/p>\n<p>\u201cYou develop a thick skin in politics,\u201d he told <em>Workplace Review<\/em>. \u201cThose who know me know I&nbsp;remain true to my beliefs.\u201d<\/p>\n<p><span style=\"color: #ff9900\"><strong>Proud dynasty<\/strong><\/span><\/p>\n<p>Despite his apparent resilience, challenging traditional Labor values cannot be easy for Ferguson.<\/p>\n<p>Part of a famous Labor dynasty \u2013 Ferguson\u2019s father Jack was Deputy Premier of NSW, brother&nbsp;Laurie a Federal Member of Parliament, and other brother Andrew a prominent union official \u2013&nbsp;Ferguson knows too well the heavy expectations that come with being a Ferguson.<\/p>\n<p>His pride in his late father\u2019s legacy is obvious in his conversations with <em>Workplace Review<\/em>.<\/p>\n<p>Recalling the 1970s, Ferguson said it was not unusual to have Gough Whitlam knocking on the&nbsp;door of the family home one day \u2013 Neville Wran the next.<\/p>\n<p>\u201cOne of my boyhood memories was Dad sitting with Neville on our back verandah in Guildford&nbsp;[in Sydney\u2019s working-class west] doing the numbers for Neville\u2019s tilt at Leader of the Opposition in&nbsp;NSW,\u201d Ferguson told <em>Workplace Review<\/em>. \u201cIt was a narrow thing \u2013 after initially tying in the ballot, he&nbsp;got there by one vote.\u201d<\/p>\n<p>Heavily influenced by their Dad, all three Ferguson boys went on to make their own marks in the&nbsp;ALP \u2013 Martin and Laurie as federal MPs and Andrew as Secretary of the NSW Branch of the&nbsp;Construction Forestry Mining and Energy Union (Construction and General Division).<\/p>\n<p>Jack\u2019s daughters Deborah and Jennifer followed their mother Betty\u2019s path, becoming teachers.<\/p>\n<p><span style=\"color: #ff9900\"><strong>Working-class values<\/strong><\/span><\/p>\n<p>Ferguson said growing up in a working-class neighbourhood had a big impact on their lives.<\/p>\n<p>\u201cMost of our neighbours at Guildford in the early years were post-war migrants from countries&nbsp;such as Malta, Yugoslavia, and Italy, who worked in blue-collar jobs or on local farms. As the local&nbsp;MP, Dad used to door knock the electorate and we went with him.\u201d<\/p>\n<p>\u201cWe saw for ourselves the social disadvantages and problems that come with being a migrant on&nbsp;a low income. There was no pomp and ceremony in our upbringing \u2013 my parents made sure we had a&nbsp;good education, but we grew up in a house Dad built (Jack was a bricklayer before turning to politics)&nbsp;and were exposed to the same issues as our neighbours. It was a very-grounded upbringing. It&nbsp;ingrained in all of us a desire to help the disadvantaged.\u201d<\/p>\n<p>Desperate to give his kids the high school education he did not have, Jack, who left school at 13,&nbsp;sent the boys to St Patrick\u2019s at Strathfield and the girls to Our Lady of Mercy College at Parramatta.<\/p>\n<p>Post-high school, a teacher\u2019s scholarship beckoned for Martin. After taking on an industrial&nbsp;relations subject in second year, Ferguson changed his degree, ultimately emerging with an honours&nbsp;degree in economics from the University of Sydney. His \u201cmentor and friend\u201d \u2013 then Secretary of the&nbsp;Federated Miscellaneous Workers Union, Ray Gietzelt \u2013 suggested he join the \u201cmisos\u201d as a researcher&nbsp;\u2013 and in Ferguson\u2019s words, \u201cI never looked back\u201d.<\/p>\n<p><span style=\"color: #ff9900\"><strong>History of public service<\/strong><\/span><\/p>\n<p>Ferguson\u2019s subsequent long history of public service and work in economic and social policy is&nbsp;succinctly detailed in a profile on the CEDA website (among his many positions and honorary roles,&nbsp;Ferguson is a member of CEDA\u2019s Board of Governors).2<\/p>\n<p>From 1984 until 1990, Ferguson served as General Secretary of the Miscellaneous Workers&nbsp;Union, and from 1990 until 1996, as President of the ACTU. As a senior trade union official, from&nbsp;1984 until 1996, he sat on the ACTU National Executive, participating directly in shaping and&nbsp;implementing many of the economic reforms of the Hawke and Keating Governments.<\/p>\n<p>In March 1996, Ferguson was elected as a Member of the Federal Parliament for the seat of&nbsp;Batman, in Melbourne, which he held until retiring at the 2014 election. He was appointed a Member&nbsp;of the Order of Australia in June 1996.&nbsp;During the Howard Government, Ferguson served in a range of economic shadow portfolios,&nbsp;including: Employment and Training; Immigration and Multicultural Affairs; Regional Development,&nbsp;Infrastructure, Transport, Regional Services and Population; Urban and Regional Development,&nbsp;Transport and Infrastructure; Primary Industries, Resources, Forestry and Tourism; and, Transport,&nbsp;Roads and Tourism.<\/p>\n<p>Upon the Rudd Government assuming office in December 2007, Ferguson was appointed the&nbsp;Minister for Resources and Energy and the Minister for Tourism, and acted as Chair of the Standing&nbsp;Council on Resources and Energy and the Ministerial Council for Tourism. He held the Resources,&nbsp;Energy, and Tourism portfolios until March 2013, when he resigned from the ministry.<\/p>\n<p>Now an executive with Seven Group Holdings with responsibility for natural resources,&nbsp;Ferguson\u2019s other roles include: Chair of the advisory board to APPEA; a non-executive director of&nbsp;British Gas; Chair of the University College of London\u2019s Adelaide Advisory Board; and a pro bono member of the University of Western Australia\u2019s advisory board on resources and energy.<\/p>\n<p><span style=\"color: #ff9900\"><strong>Looking to the future<\/strong><\/span><\/p>\n<p>Looking back over his 40 years in unions and politics, Ferguson sees Labor\u2019s greatest achievements as&nbsp;superannuation, universal health care, the opening up of Australia to globalisation, and modernisation&nbsp;of the economy through developments such as the Accord.<\/p>\n<p>Ferguson says he \u201csleeps well at night\u201d in his current roles, despite critics within the ALP. \u201cI still&nbsp;talk to shadow ministers, they are friendly, but I don\u2019t pester them,\u201d he told <em>Workplace Review<\/em>.<\/p>\n<p>Looking to the future, Ferguson says it is vital for Australia to attract new investment. \u201cWe need&nbsp;to front up to the issues of productivity and competiveness.\u201d He sees Australia\u2019s strong links with&nbsp;China as an important part of that future.<\/p>\n<p>Outside work, Ferguson says he still finds time to follow his favourite rugby league team&nbsp;Parramatta \u201calbeit from a distance\u201d (Ferguson is based in Melbourne), the Rebels in rugby union, and&nbsp;Hawthorn in the AFL.<\/p>\n<p><strong>by Steven Andrew<\/strong><\/p>\n<p><em>Steven Andrew is a journalist and PR manager working in the government, finance, legal, and&nbsp;corporate governance sectors. Steven is also the managing principal at SRA Communications. For more information on Steven and SRA Communications, visit the <a href=\"https:\/\/www.facebook.com\/sracommunications\">SRA Communications Facebook page<\/a>.<\/em><\/p>\n<p>Sources<br \/>\n1 &lt;http:\/\/www.aph.gov.au\/About_Parliament\/Parliamentary_Departments\/Parliamentary_Library\/pubs\/BN\/2012-2013\/<br \/>\nConduct#_Toc325623492&gt;<br \/>\n2 Committee for Economic Development of Australia, The Hon Martin Ferguson AM&nbsp;&lt;http:\/\/www.ceda.com.au\/about\/governance\/board-of-governors\/the-hon-martin-ferguson&gt;.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>When it comes to labour reform, Martin Ferguson believes in small,&nbsp;incremental steps. \u201cThere is no revolution or paradise around the corner,\u201d the former&nbsp;Labor Federal Government Minister and Australian Council of&hellip;<\/p>\n","protected":false},"author":33,"featured_media":312,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[625],"tags":[276,380,414,519,567],"insight_job_role":[569,1315,597,628],"insight_practice_area":[590],"class_list":["entry","author-workplacereview","post-310","post","type-post","status-publish","format-standard","has-post-thumbnail","category-research-and-know-how","tag-industrial-relations","tag-martin-ferguson","tag-penalty-rates","tag-trade-unions","tag-workplace-review","insight_job_role-academic","insight_job_role-barrister","insight_job_role-hr-ir-professional","insight_job_role-solicitor","insight_practice_area-employment-law","hentry"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - 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