Labor Faces Mounting Pressure Over AI Regulation as Coalition Demands Clarity on Copyright and Tech Laws

The Australian government faces pressure to clarify AI regulation amid mixed signals and Coalition criticism. Key issues include protecting copyright and balancing AI innovation with fair compensation for creators.

Categorized in: AI News Government
Published on: Aug 08, 2025
Labor Faces Mounting Pressure Over AI Regulation as Coalition Demands Clarity on Copyright and Tech Laws

Labor Faces Pressure Over AI Regulation Amid Coalition Criticism

The Australian federal government is under increasing pressure to clarify its approach to regulating artificial intelligence (AI), as the Coalition criticizes Labor ministers for sending mixed signals about the need for new laws.

Concerns have grown over big tech companies seeking access to Australian content—such as journalism and books—to train AI models. Prime Minister Anthony Albanese has emphasized the importance of protecting copyright, while Shadow Productivity Minister Andrew Bragg warns against heavy regulations that could stifle AI’s productivity potential.

Balancing Copyright Protection and AI Innovation

Bragg cautions that over-regulating AI risks making Australia less competitive. He points out that AI might be one of the few opportunities left to boost productivity. Meanwhile, the Productivity Commission suggested giving big tech companies exemptions to copyright laws for “text and data mining” or expanding fair dealing provisions. This sparked strong opposition from arts, creative, and media sectors, worried about uncompensated use of Australian work by wealthy tech firms.

Federal ministers, including Treasurer Jim Chalmers, have stated they do not plan to alter copyright law and support rights holders. Albanese reinforced this stance, calling AI a “complex” issue and signaling the government’s intention to balance copyright protection with productivity gains, which will be a key topic at the upcoming economic reform roundtable.

Government’s Shifting Approach Creates Uncertainty

The government’s position on AI regulation has shifted, adding to industry uncertainty. Former Industry and Science Minister Ed Husic proposed a standalone AI act. Productivity Minister Andrew Leigh favors a “light-touch” approach. The current Industry and Science Minister, Tim Ayres, is considering regulation and legislation while also involving trade unions in sector development.

Chalmers supports a “sensible middle path” between strict and minimal regulation. Bragg criticizes the government for lacking a clear plan, stating, “We don’t need new laws.” He urges regulators to enforce existing laws before considering additional legislation.

Calls for Clear Government Direction and Fair Compensation

Shadow Attorney General and Arts spokesperson Julian Leeser stresses that creators deserve fair payment. He insists the government must clarify its AI policy to protect Australian artists, emphasizing that commercial use of creative work requires compensation, whether physical or virtual.

Labor Senator Tony Sheldon, who led a recent parliamentary inquiry into AI, supports strict enforcement of copyright laws to ensure big tech companies license and pay for Australian creative content. He reaffirmed the government’s commitment not to compromise copyright laws and pointed out that global tech giants must adhere to licensing standards like other users.

  • Key points for government officials:
  • The need for a balanced regulatory framework that protects copyright while encouraging AI-driven productivity.
  • The importance of clear, consistent policy direction from government to avoid uncertainty in the AI sector.
  • The critical role of enforcing existing copyright laws before introducing new regulations.
  • The requirement for fair compensation to Australian creators when their works are used to train AI models.

For those in government roles looking to better understand AI and its implications, exploring targeted AI courses can offer practical insights and skills. Platforms like Complete AI Training provide up-to-date resources tailored to public sector needs.


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