No need to change China trade deal to address job fears, say Australian unions

The union movement has conceded its concerns that the China free trade agreement will lead to an influx of foreign workers could be fixed by the yet-to-be-released “enabling legislation” without renegotiating the deal.

The union movement has launched an aggressive “stop the free trade agreement” campaign, along with television ads alleging that Tony Abbott has “stuffed up” and that Australian workers “wouldn’t get a look in”.

In response the Abbott government has accused the union movement and the Labor party – if it were to block the deal – of “economic sabotage” and “racism.”

And the Minerals Council of Australia, the National Farmers’ Federation and the Australian Chamber of Commerce and Industry will this week launch a major advertising campaign calling for parliament to pass the enabling legislation without delay so businesses can quickly gain the benefit of tariff cuts. It will include television, radio, print and online ads.

Speaking on ABC Insiders program on Sunday, the secretary of the ACTU, Dave Oliver, said the agreement was a “dud deal” but added “we are not anti-trade ... if we can address these labour market mobility issues then sure the deal should go through, but we have to be convinced.”

Asked in what form the concerns could be addressed, Oliver said: “I think there’s a number of ways, there is the body of the agreement itself, you’ve got the side deals that have been done, I understand there is enabling legislation, but my message to Labor and the Greens is we should not be passing this deal until these issues are addressed.”

Behind the fierce fight over the deal – which is also playing into the politically-important Canning byelection in Western Australia – the responsible minister and shadow minister have also been opening the way for talks.

The trade minister, Andrew Robb, said last week: “I’ve been prepared to talk with the opposition at any stage, but we’ve got Bill Shorten trying to have it both ways; he’s been out white-anting this agreement for all it’s worth. He’s been suggesting economic sabotage, he’s been tugging the forelock of a bunch of union thugs from the CFMEU – the most discredited union in Australia – and now he’s saying he wants to talk. Well of course I’ll talk; we’re quite happy to talk.”

Robb said he would not negotiate any change to the text of the deal, but left open changes to the enabling legislation or other acts.

“The deal is done; it’s signed. If we open up this treaty now, the whole thing gets opened up, the whole thing – thousands of different items. Chances are this will disappear, the Chinese will say it’s been enough time, 10 years – six of those under Labor where it went nowhere – and they’ll say we’ve got bigger fish to fry and they’ll leave and we won’t have a deal, we’ll never have a deal,” he said.

Labor’s trade spokeswoman, senator Penny Wong, has also said the party is “open to discussions with the government about finding a way through”.

Publicly both sides of politics are using their views on the agreement to paint themselves as “pro-jobs” in Canning.

“I’d like to think people in Canning will see this as another significant effort by the government to strengthen growth, create more jobs and create opportunities for people to get ahead,” the finance minister, senator Mathias Cormann, told Sky on Sunday.

He said Labor’s campaign was “based on a lie and Bill Shorten as a national leader should show that he’s got the strength of character to stand up for the national interest”.

Campaigning in Canning over the weekend, Shorten said the fate of the deal would depend on the government’s willingness to negotiate.

“For me it’s not about what Liberals say or indeed what individuals in the union movement say,” he said. “It’s about Australian jobs.

“Now I cannot deceive myself and say that I am totally satisfied with all the terms and the way this agreement would be enacted. I just can’t.

He added: “But we’ll work through these issues. The doomsday threats of Mr Robb don’t help anything. Again, the big question is, is there anyone in the Abbott government who’s capable of negotiating or do they always have to have it 100% their way. That’s a question. I don’t know what the answer will be.”

The China free trade agreement is being considered by two parliamentary committees – the joint standing committee on treaties and the Senate and the Senate references committee on foreign affairs and trade. The enabling legislation is expected in October.