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Julia Gillard has backed down on a deal she made to support a case for equal pay rates being brought before Fair Work Australia. The Australian Services Union is arguing that workers in female-dominated industries like social and community services are underpaid, compared to similar workers in male-dominated industries. Last year Julia Gillard signed a deal with the Union to support the important test case, but now the federal government is crying poor. They say they don’t have the money to help non government organizations in the social and community services sector meet the new wage demands that might arise out of the test case. The Wire spoke to Gabrielle Meagher, professor of social policy at the University of Sydney, about the sudden decline in the government’s enthusiasm for the case.

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