Wage indexation and industrial relations: A comparison of recent experience in Israel and Australia

Australia and Israel both have centralised machinery for the determination of national wage policy. In Australia, the Conciliation and Arbitration Commission holds an annual national wage hearing. In Israel, a national framework agreement for determining wage levels is bargained and signed by the parties every two years. In addition, both countries have periodical arrangements for adjusting wages as a result of movement in the cost of living. This article compares the indexation arrangements of the two countries and analyses their impact on industrial relations