As recently as the early 1990s, 40% of Australian workers were union members. Today, that figure has plummeted to 13.1%, despite a slight uptick in 2024—the first in a decade. This stark decline has fueled arguments that unions are losing their relevance in the lives of Australians.
While some unions have faced criticism due to allegations of corruption and misconduct, others, like the Transport Workers Union (TWU), have achieved significant victories. Notable successes include a A$90 million fine against Qantas for illegally dismissing 1,800 workers and a landmark agreement with Uber and DoorDash to enhance pay and safety for food delivery workers.
New Approaches Amid Falling Membership
The decline in union membership began in the 1990s with the shift to “enterprise bargaining,” which fragmented the industrial strength of unions. Thousands of enterprise-level agreements replaced a few industry-wide instruments, spreading union resources thin and complicating efforts to achieve meaningful outcomes in workplaces with low membership.
In response, the TWU concentrated its efforts on large retailers whose pricing decisions significantly impacted wage rates across their supply chains. This strategic focus allowed the TWU to consolidate resources and regain influence. Additionally, the TWU formed partnerships with transport companies, aligning interests against the price pressures imposed by large retailers, which affected revenue, wages, and road safety.
Making a Public Safety Case
The TWU’s “safe rates” campaign, initiated in the 1990s and ongoing, aimed to highlight how unrealistic delivery deadlines and cost-cutting measures by retailers contributed to road accidents. By framing better conditions for transport workers as a public safety issue, the TWU shifted the debate from the workplace to the community.
Evidence played a crucial role in solidifying this message. Government inquiries into interstate trucking and academic reports over the past two decades have made it increasingly difficult to dismiss the union’s claims. This advocacy led to the establishment of the Road Safety Remuneration Tribunal in 2012, which, although abolished in 2016, demonstrated the TWU’s ability to change norms and assumptions about working conditions in road transport.
How a Costly Gamble Paid Off
Years of outsourcing at Qantas eroded the TWU’s aviation membership, and attempts to adapt the successful road transport safety message initially failed. However, the onset of COVID-19 presented an unexpected opportunity.
The TWU’s longstanding concerns about aviation working conditions gained traction when Qantas outsourced 1,800 jobs during the pandemic. The union took legal action against Qantas, incurring millions in legal fees, arguing the outsourcing was illegal. In a landmark decision last year, Qantas was ordered to pay $90 million for the illegal outsourcing of jobs—Australia’s largest penalty for industrial relations violations.
Federal Court Justice Michael Lee remarked, “It will send a message to Qantas and other well-resourced employers that not only […] will they face potentially significant penalties for the breach of the act, but those penalties will be provided to trade unions to resource those unions in their role as enforcers of the act.”
Buoyed by this victory, the TWU has advocated for the establishment of a Safe and Secure Skies Commission to enhance standards at airports and airlines for both workers and passengers.
Improving Conditions for Gig Workers
The TWU initially struggled to gain a foothold in the gig economy delivery sector. However, the situation began to change as more food delivery workers faced injuries or fatalities during the pandemic.
As home deliveries surged, Amazon’s reliance on independent contractors posed challenges for other delivery companies, significantly undercutting their revenue. Dubbed the “Amazon effect,” the TWU warned this business model threatened job quality and the sustainability of the delivery industry.
This reasoning brought platform companies, traditional delivery operators, and policymakers to the negotiating table. In 2023 and 2024, the Closing the Loopholes reforms established minimum standards for workers classified as “employee-like” and for transport contractors more broadly.
Looking Ahead
Last year, a TWU survey revealed many rideshare drivers waited hours for work, skipped meals to save money, and drank less to minimize toilet breaks. More than half drove while fatigued, with some sleeping in their cars due to low wages.
In response, the TWU submitted an application to the Fair Work Commission to create a safety net for rideshare drivers. If successful, it would be a world-first initiative.
While the TWU has lost many members over the past 30 years, it is gradually recovering. Membership increased from 55,570 at the end of 2022 to 58,885 at the end of 2024. Over time, the TWU rebuilt its influence by forging alliances and crafting messages that resonate broadly, helping to shift both public expectations and the law.
The TWU’s long-term strategy offers a blueprint for other Australian unions: begin where workers are most affected, craft a compelling narrative to articulate necessary changes, and build evidence and alliances to drive those changes forward.
