Unions secure AI agreement with Microsoft Australia

The Australian Council of Trade Unions (ACTU) has signed a landmark framework agreement with Microsoft Australia to support workers amid the AI transformation.

The agreement builds on the memorandum of understanding (MOU) that was recently agreed on by the Australian Services Union, Professionals Australia, and the Shop Distributive and Allied Employees Association, established to set out expectations recognising the rights and protections of employees during the rollout of AI.

A rapidly changing economy

Under the framework agreement, ACTU and Microsoft Australia have agreed to provide union leaders and workers with practical insights on AI trends and applications through formal learning sessions and union-specific AI training; create channels for workers’ voices to share their experiences, insights, and concerns to support “safe, fair and productive workplaces”, and collaborate on public policy to ensure workers are “equipped to thrive in a rapidly changing economy”.

Microsoft Australia predicted that “with the right guardrails and engagement”, AI can contribute to a $115 billion economic opportunity by 2030, and said that this agreement builds on the federal government’s National AI Plan.

This news arises amid concerns about the impact of AI on jobs at numerous corporations such as Lufthansa, which said it would replace 4,000 staff with AI by 2030; Fiverr, which said it would cut 250 jobs to be an “AI-first company; and Recruit Holdings (which owns Indeed and Glassdoor), which said it would cut 1,300 roles, in the face of AI’s rise.

The framework agreement is an Australia-first and will outline a set of agreements that recognise the need for a collective voice for workers in the “design, development and deployment of artificial intelligence (AI) across Australian workplaces” and affirm the rights and protections of workplace union delegates to fulfil vital representative functions.

More resources for training and support

ACTU and Microsoft Australia have agreed to jointly develop and deploy resources to support access to training and new skills development for workers as they work with AI systems and products.

The framework agreement said: “At the heart of this is the rights of workers to organise through their unions.”

These resources will be made available by unions to allow workers to develop their skills and engage with the AI systems implemented in their workplace so that they can contribute to their design and implementation.

In its statement, Microsoft Australia said that in collaboration with the ACTU, it will run joint learning sessions, establish regular worker input mechanisms, and identify priority sectors for practical pilots.

Amplifying voices

In the agreement, Microsoft Australia and ACTU have pledged to include mechanisms that will help to elevate workers’ voices in decision making, formal knowledge sharing, during the development and deployment of new and existing AI products. They have also committed to respecting the rights of creative and media workers and the vital role that they play in Australian society, culture, and democracy.

ACTU assistant secretary Joseph Mitchell noted that workers have consistently raised concerns to their unions about AI being developed without their consultation.

Microsoft Australia and New Zealand area vice president Steven Miller said the agreement signals the tech company’s commitment to ensuring that workers’ voices are “at the heart of Australia’s AI transformation”, leaving no one out of this “national opportunity”.

Benefits of collaboration

Miller said Microsoft Australia recognises its responsibility to “lead by example” on the AI rollout and aims to be a “gold-standard” Australian employer.

Assistant Minister for Science, Technology and the Digital Economy, the Honourable Dr Andrew Charlton, said: “When businesses and unions work together, it is Australians who ultimately benefit the most … Our adoption of AI should embrace the timeless principle of the fair go; the ideal that no one should be held back or left behind on Australia’s journey.”

Tech Council of Australia chief executive Damian Kassabgi said: “Initiatives like these demonstrate how we can work together to help recognise the broader benefits of AI for Australia and ensure we make the most of the opportunities AI presents – on adoption as well as innovation.”

Mitchell said: “It’s time for other big tech and large employers to catch up and get on board with a similar collaborative approach to AI, with workers at the heart of planning and implementation, not simply left to grapple with ill-conceived and enforced changes.”