Union Report: Most Australians did not benefit from the mining boom

Published 27 November 2013, 13:38 AEST

A new report shows that Australians have failed to reap sufficient economic benefits from a mining boom that has not been met in a century.

Union Report: Most Australians did not benefit from the mining boom

A study commissioned by the Construction, Forestry, Mining and Energy Union found that in the last 20 years, mining profits have soared, but the share of workers’ wages has fallen. The report said that the mining industry's record profits also exceeded the increase in taxes and royalties.

Vickers, general secretary of the Mining Department of the Construction, Forestry, Mining and Energy Union, said that the economic benefits of resource prosperity have been highly concentrated. He said that in the past ten years, Australia as a country and the Australian people have not benefited from this unprecedented mining boom.

He said that it is alarming that the profits of these companies are so high because they have not paid the taxes they should pay as they said.

The union called for reforms, not the abolition of mining taxes. The union also hopes that the government will consider adopting a Norwegian-style sovereign wealth fund to invest the proceeds from the mining boom.

However, the findings of this study are in sharp contrast with the findings of a study recently commissioned by the Australian Mining Council. The report showed that the benefits of the mining boom have flowed into the community.