on 29-04-2013 09:41 AM
This is a C&P. Work beckons
Abbott, not Gillard, is the true 'class warrior'
Is Prime Minister Julia Gillard engaging in ''class warfare'' in a desperate bid to save her political skin? A recent Galaxy poll found most middle-income earners think she is. So, that settles it, right? Well, not really.
As with most things in politics, the reality is more complicated.
''Class warfare'' used to refer to the conflict in society between the competing interests and desires of people of different socio-economic class. In recent times, however, it has become a knee-jerk response to any Gillard government policy that affects one group in society differently to another.
Tighten superannuation tax breaks to make the system more sustainable - class warfare. Fix Australia's broken and unfair model of school funding - class warfare. Move the mining taxation system from royalties to profits - class warfare. Tighten enforcement of 457 visa requirements so the scheme works as intended - class warfare
As Age columnist Tim Soutphommasane presciently observed in these pages, ''class warfare'' has become the catchcry of a new conservative political correctness.
The truth of this assessment is made clear by an analysis of the competing policy platforms of Labor and Tony Abbott's Coalition. What it shows is that both parties have policies that result in a redistribution of resources from one group in society to another.
This is not surprising. With only finite revenue, a decision to give to one individual or group means, by definition, that another will miss out.
What is surprising is the extent to which Coalition policies will result in a significant redistribution of wealth upwards rather than downwards. Consider the following Coalition policies:
■ Lower the tax-free threshold from $18,200 to $6000. This will drag more than one million low-income earners back into the tax system. It will also increase the taxes for 6 million Australians earning less than $80,000.
■ Abolish the low-income superannuation contribution. This will reimpose a 15 per cent tax on superannuation contributions for people earning less than $37,000.
■ Abolish the proposed 15 per cent tax on income from superannuation above $100,000 a year. The combined effect of these two superannuation changes is that 16,000 high-income earners with superannuation savings in excess of $2 million will get a tax cut while 3.6 million workers earning less than $37,000 will pay more than $4 billion extra in tax on their super over the next four years.
■ Abolish the means test on the private health insurance rebate. This will deliver a $2.4 billion tax cut over three years for individuals earning more than $84,001 a year, or couples earning more than $168,001. People on lower incomes will receive no benefit.
■ Introduce a paid parental leave scheme that replaces a mother's salary up to $150,000. To put it crudely, this means a low-income mum gets about $600 per week while a high-income mum gets close to $3000.
■ Abolish the means-tested Schoolkids Bonus that benefits 1.3 million families by providing up to $410 for each primary school child and up to $820 for each high school child.
These policies will result in low- and middle-income earners paying billions of dollars more in tax while those on higher incomes receive billions in tax cuts and new benefits. Rather than take from the rich and give to the poor, the Coalition policies are a case of take from the poor and give to the rich. And this remains the case even taking into account the flow-on effects of the abolition of the carbon price and the funding of the Coalition's paid maternity leave through a tax on big companies.
So who is waging the real class war? And why is it that Coalition MPs are the ones who most frequently level the accusation of ''class warfare''?
One answer lies in Australia's tendency to mimic political debates in the United States and Britain.
In the US, Republicans rallied against Democrat Barack Obama in the 2012 presidential race with the claim he was waging ''class warfare'' with his deficit-reduction plan. The plan included tax increases for high-income earners and the introduction of the Buffett Rule - named for billionaire investor Warren Buffett - to compel those making $1 million or more a year to pay the same overall rate as other taxpayers.
The President defended the plan by arguing: ''This is not class warfare - it's math … The money has to come from some place. If we're not willing to ask those who've done extraordinarily well to help … the math says everybody else has to do a whole lot more.''
That is the rub in Australia as well. With the government facing a very tough budget environment it is perfectly entitled to give consideration to things such as ''fairness'' or ''capacity to pay'' in making difficult decisions. It is because of these considerations we have a progressive income tax scale and a welfare system based on need not entitlement.
If the values behind these policies meet the modern definition of ''class warfare'' then it seems the voters are all for it. The Galaxy poll also revealed that voters supported cutting back on middle-class welfare if it was to pay for school funding reform or the national disability insurance scheme.
It is also the case that Obama's so-called ''class war'' worked. He won the election and it is looking more likely that he will get a deal on the US budget. Did the President have an eye on the politics in framing his budget plan? Of course. Do Australian politicians do the same thing? Absolutely.
All parties consider the impact of their policies on different groups in the community. Their objective is to stay true to their values while building a coalition of voters across society that will win them the next election.
It is simply wrong to claim only one side in Australian politics is engaging in ''class warfare'' when both major parties have policies that will shift resources between different income groups.
What we desperately need before the September 14 federal election is a debate that moves beyond the rhetoric and examines the real impact on people's lives of the parties' competing policy agendas.
Nicholas Reece is a public policy fellow at Melbourne University and a former senior adviser to Prime Minister Julia Gillard and premiers Steve Bracks and John Brumby.
on 29-04-2013 09:46 AM
You forgot to mention that Nicholas Reece (the author) is a public policy fellow at Melbourne University and a former senior adviser to Prime Minister Julia Gillard and premiers Steve Bracks and John Brumby.
on 29-04-2013 09:48 AM
You forgot to mention that Nicholas Reece (the author) is a public policy fellow at Melbourne University and a former senior adviser to Prime Minister Julia Gillard and premiers Steve Bracks and John Brumby.
Can't you read?
on 29-04-2013 09:49 AM
What does that say at the bottom of the opening post Nero?
At least he would know what he was talking about.
on 29-04-2013 09:53 AM
You forgot to mention that Nicholas Reece (the author) is a public policy fellow at Melbourne University and a former senior adviser to Prime Minister Julia Gillard and premiers Steve Bracks and John Brumby.
you forgot to notice the article is accurate. i know that kind of thing is incomprehensible and foreign to you, but you'd be used to that by now surely.
on 29-04-2013 10:26 AM
Can't you read?
I do apologise I failed to see that at the bottom of your post. I have now put my monocle on and yes its there....
So instead of saying you forgot which you didnt I will paste this
Nicholas Reece (the author) is a public policy fellow at Melbourne University and a former senior adviser to Prime Minister Julia Gillard and premiers Steve Bracks and John Brumby.
🙂
The above figures are sourced from the ABS 2013
on 29-04-2013 10:35 AM
Here's one for the luvvies. :^O
The refuge of the left, used for any argument that might disturb them.
on 29-04-2013 11:17 AM
you forgot to notice the article is accurate. i know that kind of thing is incomprehensible and foreign to you, but you'd be used to that by now surely.
It's OK Nero, unlike some you are big enough to admit an error, if the budget was still in surplus (to some degree) would it be necessary to take these drastic measures to cut back services and raise taxes etc ?
Can anyone predict that if the present government was re elected it would not follow all the points made in the OP to raise the billions required to fill the black hole it has created ?
The money was blown and now we all have to pay for the disastrous mismanagement of our money over the past labor years.
Which ever side wins we will all have to be ready to tighten our belts and many families will do without however you cannot blame the opposition for the mistakes of the present government, we can only hope the new government is able to bring us out of this mess up without to much pain.
on 29-04-2013 03:17 PM
Don't dismiss nation's blemishes
Historians across Australia buried their faces in their palms again this week when, without warning, retro talk of ''history wars'' was revived. It was like being drawn back into 2001, when John Howard was prime minister, George Bush was US president and Vanilla Ice was in jail.
On Monday, the jaunty opposition spokesman for education, Christopher Pyne criticised the new national school curriculum for putting Aboriginal and multicultural commemoration days in the same league as Anzac Day.
This seemed to come partly from a preference for the festive over the sombre.
Pyne said a Coalition government would review the curriculum because it should promote a more cheerful version of the past: ''The Coalition believes that, on balance, Australia's history is a cause for celebration,'' he said. ''We must not allow a confidence-sapping 'black armband' view of our history to take hold.
''That history, while inclusive of indigenous history, must highlight the pivotal role of the political and legal institutions from England, Ireland, Scotland and Wales.''
Top marks for positive thinking. But wait, Wales? Isn't Anzac more of a solemn commemoration than celebration? Isn't cherry picking history for celebratory purposes distorting? And why must we insist on calling any truthful record of our ignoble history when it comes to white Australia's treatment of Aboriginal history as ''black armband''?
It is our past, we must own it, we have apologised, and moving forward does not mean eradicating it. We can quibble over the details - the precise number of deaths of Aboriginals at the hands of settlers in Tasmania, for example - but the facts of the dispossession of land, stolen children and lack of basic rights are just that - facts.
The conflicts hyped as the ''history wars'' that raged during the Howard era were not about history, but politics. These ''wars'' were public and polemic mostly because they centered on race, racism and the reliability of the claims of violence in Aboriginal history. Common disputes about sourcing and evidence were inflated into ''battles'' where conservatives flung mud at ''leftist'' historians, accusing them of ideologically driven fraud, and historians alleged amateurism.
Commentators tried to shame historians; politicians tried to shame each other.
Ugly things were said.
In February 2008, Kevin Rudd apologised to Aboriginal people and argued we should ''leave behind the polarisation that began to infect every discussion of our nation's past''. Since then, the ugliness has largely faded.
But we are now seeing strong signs the Coalition may reignite culture wars if it wins in September. According to this rhetoric, the Coalition represents basics, the Queen, calm, Britannia, cheer, Anzac, the constitution, freedom and the Bible.
In the Sir Paul Hasluck Foundation lecture given on September 27 last year, for example, John Howard - still the spiritual leader of federal Liberals - vehemently condemned the new school curriculum, due to be adopted after the federal election, as failing to examine our British heritage as well as ''the historic influence of the Judaeo Christian ethic in shaping Australian society''.
Tony Abbott has made powerful speeches about the need to acknowledge the shameful treatment of Aboriginal people, with words some might even call ''black armband'': ''We need to atone for the omissions and for the hardness of heart of our forebears, to enable us all to embrace the future as a united people.''
But he channelled his former leader in his speech to the foundation this month when he argued: ''There is a new version of the great Australian silence - this time about the Western canon, the literature, the poetry, the music, the history and above all the faith without which our culture and our civilisation are unimaginable.''
It's hard to discern in which ways the canon might be under threat. Why pick this fight now? We don't need to tinker further with the curriculum: that has been happening for decades and a new one is about to be adopted.
Have we forgotten how often, and easily history can be distorted by those seeking to make history simply a celebration, or quest for freedom?
Take, for example, the myth of the heroism of Simpson and his donkey. This was debunked recently, but you did not hear ''leftist'' historians slamming ''right- wingers'' for fudging history to make a war hero.
John Simpson Kirkpatrick's courage in rescuing the wounded at Gallipoli with a donkey, while under heavy fire meant he was lionised for almost a century. But when further research was conducted when assessing whether he should posthumously receive a Victoria Cross, it was discovered his legend had been substantially embellished and he had done no more than other stretcher bearers.
The story, wrote Mark Baker in The Age, was ''largely a myth inflated and exaggerated by the sloppy work of journalists, amateur historians and jingoistic politicians''. Oh, that. Sloppiness, jingoism and untrained historians.
This did not get splashed across papers as the beginnings of a ''patriotic history war''. Defence official Graham Wilson said: ''Just about every word that has ever been written or spoken about Simpson, apart from the bare facts of his civilian life and his basic military service, is a lie.'' At face value, it really does not matter: Simpson was there, he saved the wounded, and he was a brave icon of a bloody, disastrous campaign. His was the tale we told our children - human beings are capable of extraordinary, selfless acts, even in the midst of great danger.
But the story told about him was false. The tribunal was ''unable to find any witness accounts of a specific act of valour … which could single out Simpson's bravery from other stretcher-bearers in the Field Ambulance''. Every war - and country - has its myths. Historians are far more likely to be cautious, and correct, when dissecting them, than politicians. This is their job, and why they spend decades poring over details in forgotten, dusty archives.
History isn't a party, it's an honest pursuit of an accurate telling of the past - the whole past, not just bits we like.
The narrative we tell of our country should be one of great endeavour, nation building, and survival through war, but we can't gloss over mistakes and horror: history is crawling with fools propagating foolish ideas and Australia is no exception. It is also crowded with visionaries, whom we must also remember.
People usually want to redraft history for obvious reasons. Winston Churchill boasted: ''History will be kind to me, for I intend to write it.'' The problem is, politicians aren't usually kind to history.
Julia Baird
http://www.smh.com.au/comment/dont-dismiss-nations-blemishes-20130426-2ijsd.html#ixzz2RpIxSOzf
on 29-04-2013 06:18 PM
with regard to the OP article, how did this one slip through Australia's right wing biased press? at least this article is honest and it states that the writer has a relationship with the Labor Party unlike all the general media which is written by those in the Lib camp.
the truth of most of what the libs will do won't come out until after the election when it may be too late.