The Australian Chamber of Commerce and Industry (ACCI) has expressed strong criticism of the House Standing Committee on Employment, Education and Training’s recent report on the digital transformation of workplaces, The Future of Work.
ACCI, of which CCIWA is a Member, argues that the report’s approach to Artificial Intelligence (AI) and other emerging technologies is overly simplistic and fails to understand the challenges businesses face.
According to ACCI Chief Executive Officer Andrew McKellar, the recommendations made by the Committee are “unbalanced and impractical”. He said the report disregards the realities businesses are confronting and could lead to burdensome regulations that harm efforts to boost productivity in the Australian economy.
The report, released on February 11, comprises 21 recommendations.
“The recommendations would create heavy-handed obligations on AI deployment in workplaces and undermine genuine efforts to raise productivity in Australia,” McKellar said.
“Australian businesses, already grappling with complex new industrial relations laws, do not need further burdensome workplace regulations.”
A major point of contention is the Committee’s proposal to classify all AI systems used for employment-related purposes as “high-risk.”
This one-size-fits-all approach disregards the nuanced risks that different AI systems pose, according to ACCI. The Department of Industry, Science and Resources (DISR), in its Safe and Responsible AI in Australia proposals paper, has suggested a more balanced approach, recommending that organisations assess the potential impacts and risks of AI before categorising them as high-risk.
Blanket classification of AI will ‘impede businesses’
ACCI argues that the blanket classification of AI as high-risk could stifle innovation and impede businesses from adopting AI-driven efficiencies.
He also criticised the Committee’s proposal to amend the Fair Work Act (FW Act), suggesting that the current framework already addressed the risks associated with automated decision-making in the workplace.
“Proposed amendments to the Fair Work Act are unnecessary and would introduce significant uncertainty, discourage AI use, and impose excessive new obligations on employers,” McKellar said.
ACCI also raised concerns about the expansion of the Fair Work Commission’s role, which could extend beyond its current responsibilities into areas such as privacy, leading to unnecessary disputes.
While ACCI acknowledged the positive recommendations in the report—particularly the focus on raising awareness of new technologies, upskilling, and embedding industry expertise in education and training—the organisation believes these efforts are overshadowed by the proposed restrictive AI regulations.
Committee Chair, Labor MP Lisa Chesters, said: “The use of artificial intelligence and automated decision making is significantly shaping workplaces across sectors, impacting employers, staff, regulators and the community.”
“While AI and ADM can create opportunities for workplaces such as increased productivity and efficiency, and job creation and augmentation, these benefits need to be shared between employers and workers,” Chesters said.
The full report of the inquiry can be found on the Committee’s inquiry webpage.
Want to learn more about AI in business? Join our workshop, presented by nbn co and Microsoft, and learn how you and your team can leverage AI-driven tools.
CCIWA’s Commercial Law team can assist with introductory data protection and data breach incident response toolkits, as well as reviewing agreements, policies and procedures to ensure compliance with the changing landscape or give you advice on the potential impact to your business. Contact [email protected] or call 08 9365 7746 for further information.
