观察家强调一个事实，即20世纪80年代以来在澳大利亚工作场所关系到改革的主要方面之一是在制度层面和改变企业级（Cutcher-Gershenfeld制作，1994年，第323-35）之间的，密切的相互关系。在澳大利亚，长期以来，与工作有关的问题在政治和社会两个层面都是核心问题。澳大利亚的主要政党都从来没有失去过微观和宏观改革主张的机会。 “正式协议”的概念是由工党在1983 – 1996年期间掌权的。这个正式协议的目的也可以被定义为一种社会契约，是为了在企业和机构层面都实现变革。换句话说，就是政府和工会之间的社会契约。这个协议背后的核心思想是，工会同意缓和与工资有关的要求（为了控制和降低通货膨胀），而政府则投入资源推动各种社会和经济改革。
If observed carefully, one can understand that in the past two decades, starting form 1980s till late 90s have brought huge amount of changes related to workplace in Australia (Wood & Albanese, 1995, pp. 215-47). Although it is debatable, that how many of these changes have been actually successful, and how many of them have proved to be a disaster. These workplace related changes introduced terms such as ‘high performance’, ‘high commitment’ etc. in day to day functioning of a professional environment. Despite of such changes, employees in Australia feel that they are not part decision making process, or other important activities in the organisation.
Observers highlight the fact that one of the major aspect related to reforms at workplace in Australia since 1980s has been the, close interrelationship between changes at institutional level and enterprise level (Cutcher‐Gershenfeld, 1994, pp. 323-35). In Australia, since a long time, workplace related issues have been core to the debate at both political as well as social level. Both the major parties in Australia have never lost an opportunity to stake their claim for reforms related to micro as well as macro level. Concept of Formal Accord was introduced by The Labor Party, which held power during time period of 1983-1996. Purpose of this formal accord, which can also be defined as a type of social contract, was to achieve change at both enterprise as well as institutional level. This accord or in other words, social contract was sought between government and the trade unions. Core idea behind this accord was, that unions agreed to moderate demands related to wages (in order to control and reduce inflation), whereas government committed its resources to push various social as well as economic reforms.