As the federal government sharpens its focus on productivity, the question is not whether growth matters, but who it is for, and at what cost to justice, dignity and social cohesion.

The Federal Government has indicated that productivity growth will be its primary economic focus for the remainder of its second term. Productivity matters. But if it is pursued without fairness at its heart, it will fail – not only economically, but socially and morally.

True productivity cannot be separated from justice. It must be grounded in human dignity, equal opportunity, and care for Creation on behalf of future generations. Without these foundations, productivity becomes hollow – producing growth for some while entrenching hardship for others.

Martin Luther once wrote, “I have so much to do that I shall spend the first three hours in prayer.” His words remind us that when our moral foundations are right, our work becomes clearer, more purposeful, and more effective.

Christian faith begins with the conviction that every person is created in the image of God and therefore possesses equal and immeasurable worth. The ministry of Jesus Christ is not only about personal spirituality; it is about how communities are shaped, how power is exercised, and how economies serve the common good.

At its heart, productivity is about co-operation. Inclusivity boosts co-operation by enabling as many people as possible to contribute to national prosperity and well-being. Co-operation flourishes when people are secure – housed, healthy, and able to contribute without fear or precarity. Fairness is not a barrier to productivity; it is its precondition.

This is why UnitingCare Australia, a key agency of the Uniting Church, rightly states in its 2026–27 Pre-Budget Submission that “productivity is not an end in itself, but a means to improving the wellbeing of all Australians, especially those most vulnerable.”

Too often, productivity is narrowly measured through Gross Domestic Product per hour worked – a blunt indicator that fails to reflect social wellbeing. GDP can rise even when living standards fall.

As economist Joseph Stiglitz has warned, “What we measure affects what we do; and if our measurements are flawed, decisions may be distorted.”

Australia now has better tools available, including the Australian National Development Index and Treasury’s Measuring What Matters framework, which recognise that wellbeing, sustainability, and social cohesion matter.

Any serious conversation about productivity and wellbeing must begin with the unfinished business of justice for First Peoples. Aboriginal and Torres Strait Islander peoples have sustained this land for over 65,000 years, yet continue to experience the poorest outcomes in health, housing, education and life expectancy. This is not the result of cultural failure, but of long-standing structural injustice. Productivity frameworks that ignore dispossession and chronic underinvestment risk repeating patterns of extraction rather than restoration.

These consequences are visible in preventable suffering, such as rheumatic heart disease, which continues to disproportionately affect First Nations communities.

Australia has seen substantial productivity growth before – most recently in the late 1990s and early 2000s – yet this coincided with a sharp escalation in land prices and worsening housing affordability. Today, housing sits at the centre of our productivity challenge, driving stress, inequality, and barriers to workforce participation.

The Productivity Commission’s recent Five Pillars reports include important recommendations, particularly in prevention and early intervention. Yet on housing, while construction costs and planning regulations are examined, the price of residential land – often the single largest cost – remains largely unexamined.

In 1973, Prime Minister Gough Whitlam spoke plainly: “The key to all our efforts for decent housing is an attack on the high price of land.” His words remain relevant.

Land values are created by community – by public infrastructure, services, and shared investment. When access to land and housing becomes distorted, people who live by their labour are denied a fair share in the life of the community.

From both Indigenous and biblical perspectives, land is not merely a commodity; it is a gift entrusted for the flourishing of all.

As policymakers consider shifting the tax burden away from labour, it is worth asking whether forms of land value taxation could support sustainable funding for essential services such as health, aged care, early childhood education and the NDIS.

In the lead-up to the May Federal Budget, Australians locked out of housing and struggling on inadequate wages are asking fair questions. Why does the quest for productivity growth feel so disconnected from everyday life?

Unless productivity is pursued alongside fairness, dignity, and love of neighbour, its promised benefits will remain out of reach. A society that values people over profit and justice over short-term gain will not only be more compassionate – it will be more productive in the deepest and most enduring sense.