The deal aims to hard‑wire worker voice, skills and safety into Australia’s AI rollout
Microsoft Australia has joined forces with the Australian Council of Trade Unions (ACTU) in an Australian‑first framework agreement designed to ensure workers’ voices and skills sit at the centre of the nation’s AI transition.
The new accord sets out a suite of commitments to bring unions into the conversation on how artificial intelligence is designed, implemented and governed in workplaces, while backing large‑scale training so employees can adapt as technology changes the nature of work.
Steven Miller, area vice president for Microsoft Australia and New Zealand, said the agreement is about making sure AI delivers tangible benefits for employees as well as employers.
“Australians deserve AI that helps people thrive. This agreement signals our commitment to ensure workers’ voices are at the heart of Australia’s AI transformation and no one is left out of the national opportunity this technology presents. We’re proud to come together with the ACTU to set a new standard for responsible AI diffusion across Australian workplaces,” he said.
Microsoft points to estimates that AI could add up to $115 billion to Australia’s economy by 2030, but stresses that robust safeguards, worker participation and a major uplift in digital capability will be essential to realising that prize.
Three pillars of the framework
Under the new framework, Microsoft and the ACTU will initially concentrate on three main areas:
1. Sharing knowledge and building capability
Union leaders and workers will be offered practical guidance on AI trends and on-the-ground use cases, through structured learning sessions delivered by Microsoft specialists and dedicated curriculum materials.
Microsoft will also partner with the ACTU Institute, the peak body’s training arm, to craft AI education programs tailored for union leaders and staff, equipping them to better advocate for and support members through Australia’s digital and AI transformation.
2. Embedding worker input in AI design
The agreement commits the parties to establishing formal channels for workers to raise their experiences, concerns and ideas about AI tools. Those insights are intended to inform how systems are designed, tested and rolled out, with the aim of creating workplaces that are “safe, fair and productive” rather than sidelining or undermining staff.
3. Shaping policy and growing skills
Microsoft and the ACTU will also collaborate on public policy issues related to AI and the broader digital economy, while identifying new opportunities to scale up upskilling and reskilling efforts. The focus is on helping workers transition into evolving roles and seize opportunities in emerging tech‑enabled jobs.
Backed by government and industry
Assistant Minister for Science, Technology and the Digital Economy Andrew Charlton welcomed the move, saying it reflects the Albanese Government’s emphasis on making technology serve people, not the other way around.
“The Government welcomes this positive step between the ACTU and Microsoft. When businesses and unions work together it is Australians who ultimately benefit the most. Labor will always back efforts to ensure new technology works for people, and not the other way around,” said Charlton.
“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.”
The framework builds on a memorandum of understanding signed recently between Microsoft Australia and three unions – the Australian Services Union, Professionals Australia and the Shop, Distributive and Allied Employees Association – which establishes principles around the rights and protections of Microsoft employees in Australia.
“We recognise our responsibility to lead by example when it comes to AI diffusion, and our aim is to be a gold-standard Australian employer,” Miller said.
Tech Council of Australia CEO Damian Kassabgi said the agreement underlines the importance of cooperation between the technology sector and organised labour as AI adoption accelerates.
“This sends an important signal about cooperation between the tech sector and unions on AI transformation. 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,” Kassabgi said.
Part of a global worker‑centred AI push
The deal is the latest step in Microsoft’s global effort to bring workers and unions into discussions about AI deployment. Internationally, that has included a partnership with the AFL‑CIO in the United States, which has helped shape major AI skilling programs for American workers.
Closer to home, Microsoft says it has already exceeded by 30% its commitment to train one million people in Australia and New Zealand in AI skills by the end of 2025, through initiatives targeting employees, business leaders and community groups.
The company’s responsible AI efforts are overseen globally by its Office of Responsible AI. In Australia, the framework with the ACTU includes an undertaking that the parties will consult in good faith if disputes emerge and notes that the agreement represents a shared statement of intent, aimed at keeping dialogue open as technologies and workplaces continue to evolve.
Over the next 12 months, Microsoft and the ACTU plan to launch joint education sessions, put in place regular mechanisms for worker feedback, and pinpoint priority sectors for pilot projects. Those pilots are expected to showcase how AI can lift productivity while also improving job quality, workplace safety and inclusion.
