The AMWU is urging the Federal Government to take a more proactive role in innovation, after a gaping absence in this area by the previous Howard administration.

As part of its submission to the review of the National Innovation system, the union is calling for a range of strategies that create a more fruitful environment for innovation and to remove barriers for participation in innovation.

AMWU National President Julius Roe said that while there are many benefits of innovation, there are often significant lag time between the initial investment and any return on the investment.

“This lag is often a disincentive for business and that’s why government has a crucial role to play in the process.”

Mr Roe said that any barriers to training and retraining of workers involved in innovation must be removed.

“Workers need competency based classification structures, through which workers progress on merit. This provides incentives for skills development and upgrading.

“Workers need access to training that will provide continual skill upgrading and ensures that their skills remain relevant.”

Mr Roe also emphasised the need for specific policies and incentives to lift participation and completion of engineering and science courses.

“There has been a decline in recent years, precisely at a time when they need to increase. In light of this, it is imperative that VET institutions are properly supported so they can deliver.”

The role of the industrial relations system is an essential component of the innovation, the union argues.

“An industrial relations system that provides a proper safety net of wages and conditions for workers provides business with an incentive to be innovative.

“Cutting costs means more contract and casual labour and these are major impediments to training and innovation.”