Are we in the beginnings of a cyclical upswing in industrial
action in Australia? And if so, what does it mean for those
involved in competitive tender processes?
Data from the ABS indicates that the last spike in industrial
disputes occurred in September 2012, with around 110,000 working
days lost. The sense that there may be another spike coming
correlates with the enterprise agreement life cycle, as enterprise
agreements typically expire after 3 or 4 years. Many businesses are
currently engaged in, or planning for, negotiations for the next
round of agreements.
In this climate, the potential impact of industrial action is
particularly troubling for those employers who engage in
competitive tender processes in order to win work. Organisations
who put work out to tender are increasingly adopting sophisticated
assessment criteria, which include many aspects of the
tenderer's business strategy – rather than just looking
at price. One of the criteria that often has a