Australian Woollen Mills Limited v Commonwealth

Australian Woollen Mills Ltd. and other companies brought an action in the High Court of Australia against the Commonwealth and the Minister of State for Labour and National Service. The plaintiffs challenged the validity of the National Security (Female Minimum Rates) Regulations, arguing that they were beyond the powers conferred by the National Security Act 1939-1943 and, consequently, beyond the constitutional powers of the Commonwealth Parliament. The defendants demurred to the statement of claim.

The central legal issue before the High Court was whether the National Security (Female Minimum Rates) Regulations, which provided for the potential increase of minimum wage rates for females in declared "vital industries" by the Commonwealth Court of Conciliation and Arbitration, were a valid exercise of the Commonwealth's defence power under section 51(vi) of the Constitution. The plaintiffs contended that the Regulations constituted general social legislation unrelated to national security, while the defendants argued they were a legitimate measure for the organisation and distribution of manpower during wartime.

A majority of the High Court, comprising Latham C.J., Rich, McTiernan, and Williams JJ., held that the Regulations were within the defence power. Latham C.J. and McTiernan J. reasoned that the Regulations constituted a measure for the organisation and distribution of manpower and the control of industry, which were essential for defence. Rich and Williams JJ. found that the control of employment in industry during wartime fell within the scope of the defence power. Starke J. dissented.

The demurrer was allowed, and judgment was entered for the defendants.