6 February – Three hundred beachgoers are dragged out to sea when three freak waves strike Bondi Beach in Sydney in an event known as "Black Sunday". A team of eighty surf lifesavers manage to rescue all but five people.[1][2]
15 November – Waterside workers at Port Kembla, New South Wales refuse to load a consignment of scrap iron destined for Japan, arguing that it would be used for munitions. Attorney-GeneralRobert Menzies attempts to force the loading of the cargo, earning himself the nickname "Pig Iron Bob".
21 December – A direct radio-telephone link is established between Canberra and Washington D.C.
30 December – The Passing of the Aborigines by Daisy Bates is published.
Sport
5 to 12 February – The 1938 British Empire Games are held in Sydney. Australia leads the medal tally at the games, winning 25 gold medals, 19 silver and 22 bronze.
^"Family Notices". The West Australian. Vol. 54, no. 16, 219. Western Australia. 24 June 1938. p. 1. Retrieved 8 March 2017 – via National Library of Australia.