Judge takes parting shot at 'politicised' industrial relations
And both workers and employers must continue to care about employment conditions, because they determine the nation's living standards.
Formerly Justice Gray of the Federal Court in Melbourne, Peter Gray retired on May 17 after 29 years as a judge specialising in labour laws.
"[Industrial relations] has become very much to do with politicians ... do we go down the road where people get elected by saying 'I will give you a pay rise, I will make your working conditions better'?," Mr Gray said in a recent interview with BusinessDay.
"That seems to me to be an undesirable way to operate in industrial relations, but that is really what we have arrived at. It is problematic."
He said the system was better before the 1990s because the Conciliation and Arbitration Commission would set wages and conditions free of political influence.
It was now disappointing to see so many workers in casual employment or as independent contractors, he said.
"Everybody should care about employment conditions. Business owners should care about employment conditions because they are very important. These are the daily lives of people, how much money you take home determines how you live. The hours that you work determines how much of your family you see."
Mr Gray was one of three Federal Court judges appointed by former Labor Prime Minister Bob Hawke in early 1984 and was surprised to be hand-picked by former Attorney-General, Gareth Evans. At 38, he was then the youngest person to be appointed to the Federal Court since its establishment.
Before the appointment he was a barrister representing trade unions, often in disputes over union rules.
"I think that there was a feeling in the trade union movement that there were not enough judges on the court who understood industrial law and that they wanted some more," Mr Gray said.
Mr Evans, now Chancellor of the Australian University, said: "Peter Gray was appointed entirely on merit, a judgment entirely vindicated by his career since."
He would not comment on whether Mr Gray's appointment was to re-balance the bench in favour of unions.
Despite feeling he was appointed for his union background, Mr Gray has executed his role fairly, according to several sources.
The Director of the Centre for Employment and Labour Relations Law at Melbourne University's Law School, Associate Professor John Howe, said Mr Gray was one of a few people left at the Federal Court specialising in industrial relations law and "losing someone with his depth of knowledge and background has to have an impact when industrial and employment disputes are going before the Federal Court".
Mr Gray helped set up the centre's advisory board and continues to advise on research and teaching, because "he just loves labour law", Mr Howe added.
Stuart Wood SC, who often represents employers, said Mr Gray was a decent man who did not favour a particular side in disputes, despite his passion for labour law. "[Industrial relations] is always a difficult area - passions run high. But I don't think he did favour one side."
However, barrister Frank Parry SC, who has appeared before Justice Gray several times, said the judge "has handed down a number of significant decisions, particularly in the area of industrial law".
"He had strong views on how cases should be run and some counsel found him challenging to appear before. He also had strong views in the industrial and employment area, some of which, on occasions, were not shared by other judges or the High Court."
Born and raised in Melbourne, Mr Gray decided he wanted to become a lawyer at 15 - though "I knew nothing about the law" - because he enjoyed public speaking.
His interest in industrial law began in his final year at Melbourne University, upon becoming an associate for Commonwealth Industrial Court judge Richard Eggleston.
Mr Gray, the judge to have served at the Federal Court the longest, decided to retire two years before his tenure ended at 70 because he had begun to lose his enthusiasm.
"It's a difficult job to do when you are enthusiastic. It's far more difficult when you're not and you tend to become a bit toxic when you're not enthusiastic," he said
Mr Gray said the workload had increased significantly in recent years, with judges working longer hours. "I used to go regularly to a gym (but) I haven't been for a very long time. My fitness level's gone down terribly because you get to the end of the day and there's still plenty more to do, so you keep doing it."
Frequently Asked Questions about this Article…
Justice Peter Gray is a retired Federal Court judge who specialised in labour and industrial relations law. He served 29 years on the Federal Court, was appointed in early 1984, had a background representing trade unions as a barrister, and is widely regarded as one of the few judges with deep expertise in industrial relations — so his views and retirement matter to how employment disputes are handled.
Gray warned that industrial relations in Australia has become highly politicised, with politicians using promises about pay and working conditions to win elections. He described that trend as undesirable and problematic because it mixes political cycles with decisions that affect wages and workplace rules.
According to Justice Gray, the system was better before the 1990s when the Conciliation and Arbitration Commission set wages and conditions free of political influence. He contrasted that with the more politicised environment he sees now.
The article highlights that employment conditions determine living standards — how much money people take home and how many hours they work — which affects consumer behaviour and the wider economy. Investors and business owners should therefore pay attention because changes in wages, casualisation or working hours can influence demand, costs and long‑term business performance.
Mr Gray said he was disappointed to see many workers in casual employment or working as independent contractors, implying concerns about job security and protections that used to be more common under traditional employment arrangements.
The article notes that Justice Gray was one of only a few Federal Court judges specialising in industrial relations, so his retirement removes depth of knowledge from the bench. Experts said losing someone with his background will have an impact when industrial and employment disputes come before the court.
Colleagues described Gray as someone who executed his role fairly and did not favour a particular side, even though he had strong views and sometimes handed down significant, sometimes challenging, decisions. Some found him demanding in how cases were run, reflecting his passion for labour law.
Justice Gray chose to retire two years before the mandatory age because he felt his enthusiasm was waning and he didn’t want to become 'toxic' in the role. He also said judges’ workloads have increased significantly in recent years, leading to longer hours and less time for personal activities like exercise.
Call 1300 880 160
Start a chat
Schedule a call
