Union Power Shift: Top Labor Leaders Step Down After Decade of Reforms

The nation's most visible workers union boss will step down from the top job. Sally McManus, the secretary of the Australian Council of Trade Unions (ACTU), will leave the role at the end of next month. McManus has been at the helm of the peak union body for nearly a decade, strongly advocating for worker pay rises, better leave and conditions. In a changing of the guard, she will be joined by the ACTU president Michele O'Neil who will step down from her leadership role later in the year.

Labor ministers have serenaded the two women on Tuesday morning after their impending departure was announced. "Sally and Michele have been tireless advocates for the nation's workers," Social Services Minister Tanya Plibersek said. "Almost 50 reforms that have rebalanced our industrial relations system. They leave with our great respect and an unparalleled legacy."

McManus championed worker rights, frequently pushed for pay rises above inflation, called for an extra week of leave, helped tackle the gender pay gap, boosted collective bargaining powers for workers and even advocated for a potential four day work week. She's also been at the helm while corruption and organised crime infiltrated the CFMEU in Victoria, but also stood up against the rogue union amid the fallout.

'The right time'

Speaking to ABC radio this morning, Michele O'Neil said it was "the right time" for the union movement to pass the torch to new leaders. "It's time for renewal," she said. "We've seen changes in workers rights that have made a big difference in workers' lives." She said the union movement still holds an important place in Australia, despite membership levels being around historic lows. However the ACTU says a recent uptick has been led by younger workers.

"Industries are different, jobs are different, the world's a different place from what it was 50, 60, 100 years ago," O'Neil said. "But what I know is that unions are the thing that make the difference for working people in this country, they make a difference for wages, for safety, for conditions, for rights."

Replacements for the duo – who have been the longest serving leadership team for the ACTU since the late 1960s – have not been decided upon, according to the union body. McManus is also the longest serving ACTU Secretary since Labor giant Bill Kelty who served in the role for 17 years, and last week delivered a scathing critique of Australia's economic management, lamenting dwindling productivity and declining real wages.