Australia's manufacturing union is calling for radical changes to its taxation system, arguing it's rigged in favour of private wealth accumulation and speculation. The Australian Manufacturing Workers' Union (AMWU) has unveiled a comprehensive manifesto ahead of the Labor party's national conference in Adelaide this week, which proposes sweeping reforms including new wealth and inheritance taxes.
At the heart of the 32-page document is a proposed new marginal tax rate for individuals earning over A$500,000 annually. The current highest marginal tax rate stands at 47%, including a 2% Medicare levy, for incomes above A$190,000. In addition to this, the AMWU advocates for an annual wealth tax on assets, excluding the family home, and an inheritance tax on large bequests, aimed at preventing the concentration of wealth across generations.
The union's agenda also renews its call for reform of the petroleum resource rent tax, seeking higher taxes on gas exports. While Prime Minister Anthony Albanese has reportedly expressed reservations about a new gas tax due to international oil market uncertainties, the inclusion of this position in Labor's policy platform would increase pressure on the government.
The manifesto also outlines extensive social policy reforms, including making all levels of education from childcare to university free and nationalising the aged care system. The union advocates for substantial increases in welfare payments to eradicate poverty and for workers to have veto rights over the use of artificial intelligence in their workplaces, as well as a share of any additional revenue generated by AI.
While the AMWU's proposals are not costed and extend significantly beyond what the Albanese government is realistically expected to adopt, they will form a crucial backdrop to the Labor national conference. The conference will see MPs, trade unions, and rank-and-file members gather to debate and shape the party's future policy platform.
Notably, the AMWU has a history of advocating for progressive policies that eventually gain traction, such as winding back property investor tax concessions. The union's blueprint for action is set to spark intense debate within the Labor party and will be closely watched by international observers given Australia's significant role in regional trade and economic agreements.