It is nationally characterised by liberal economic policies, and competes with the Labor Left faction, which leans toward democratic socialism.

[12] Labor Right is composed of autonomous groups in each state and territory of Australia.

The groups within the Labor Right come together as a broad alliance at the national level.

[14] Factional power usually finds expression in the percentage vote of aligned delegates at party conferences.

State-based factions (national sub-factions) which make up Labor Right include: The faction is most famous for its support of Third Way policies such as the economic rationalist policies of the Bob Hawke and Paul Keating governments, including floating the Australian dollar in December 1983, reductions in trade tariffs, taxation reforms such as the introduction of dividend imputation to eliminate double-taxation of dividends and the lowering of the top marginal income tax rate from 60% in 1983 to 47% in 1996, changing from centralised wage-fixing to enterprise bargaining, the privatisation of Qantas and Commonwealth Bank, making the Reserve Bank of Australia independent, and deregulating the banking system.