The Federal Labor government has been threatening to cut money due to be given to various States, if they refuse to enact uniform legislation which they want them to enact, about industrial laws. This standover style of politics was made popular during the Howard Liberal Government years and was arguably the main threat used when the so called Howard "uniform" gun laws were brought out.

The Australian federal system has an inherent weakness built into it, which is becoming more obvious. The States cannot control their income flows because the Federal government holds most of the money. States must wait for their share of GST and income taxes and Federal governments on both sides of politics are willing to use that need to intimidate the States into doing what it wants. The end result of this can only be either States as puppets of the Federal government, or constitutional reform to increase the power of the States to gain access to the funds to which they should be entitled.