Albanese needs to ‘Step up to the Plate’ and not avoid debate on Aged Care, Health and Welfare Reform

 

Dr Tristan Ewins

Labor Opposition Leader Anthony Albanese has come under fire from the Conservative Coalition Government for suggesting on the ABC’s ‘Insiders’ program that extra funding may be made available for Aged Care, Health, and perhaps welfare reform. This in a context where billions of subsidies have been provided to businesses due to Covid, and yet many businesses who managed to remain profitable regardless of Covid have simply kept these subsidies provided for them in the form of pure profit.  While the Federal Government ruthlessly pursues welfare recipients over any debts incurred (and even some that have turned out to be unreal), corporations enjoy public money without accountability.

The simple fact is that public spending commitments in social services and infrastructure are not necessarily ‘irresponsible’ or ‘wasteful’.  Often Government needs to invest in the health and happiness of the people to ensure the best outcomes.  What needs to be understood is that social spending is a form of ‘collective consumption’ where we gain a better deal in areas like health by purchasing crucial services more efficiently and collectively as taxpayers, rather than being isolated and fleeced as private consumers.  Medicare and the Pharmaceutical Benefits Scheme are important examples of collective consumption.

Albanese has spoken of the “habitual buck passing” of the Morrison Government on Aged Care.  Failure to attract new workers into the field with fair wages and conditions, and respect for workers ; and failure to ensure necessary staffing levels including the presence of Registered Nurses – remain sore points even after the Conservatives’ response to the Aged Care Royal Commission.  The training, wages and conditions of Personal Care workers who help many elderly remain in the community are also in need of further funding ; and packages must be available to all with the need upon demand ; and without cruel waiting queues.

The reality also is that Aged Care reform needs to go beyond the bare essentials to address broader quality of life issues ; so that in the future Aged Australians with have access to social engagement ; and where those in residential care will enjoy privacy, access to information technology, access to gardens and pleasant surrounds.  They must not just be locked in their rooms or sat down in front of TVs in common rooms all day.  Our vulnerable elderly need social engagement.  Everything from discussing their lives to enjoying games, listening to music, or discussing the issues of the day.  Dementia training is also essential to ensure the best quality of life to those affected ; and those around them.  Quality of food also needs to be monitored closely ; and without meeting staff quota targets, Aged Care workers will remain rushed in the business of helping to dress and shower residents daily ; or may not be able to respond in a timely manner to situations such as where sheets are soiled.  The consequences of under-resourcing have been trauma and suffering for vulnerable aged Australians. 

Yes this will cost billions on top of those limited initiatives already announced.  But most of us will grow elderly and frail one day ; and even if ourselves we do not experience this, surely we will have family who are affected by a neglected Aged Care sector.  Rather than backing down, Albanese needs to ‘step up to the plate’ and confidently put the case for progressive collective consumption of Aged Care ; and a much better deal for both ‘consumers’ and for workers in the broader Health sector.

There will also be a significant backlog in waiting lists for supposedly ‘elective’ hospital procedures thanks to the pressure Covid has placed the health system under.  This was already a crisis ; but has been significantly magnified with Covid.  Medicare needs to be extended into dental, optical and prosthetics ; but the broader health system needs to be expanded to ensure timely care, breadth of coverage and quality of care.

Australian of the Year, tennis star Dylan Alcott has also highlighted the high unemployment levels (over 50 per cent) for disabled Australians.  The focus here was mainly on those with physical disability ; but exclusion from the labour market also applies to those with psycho-social disabilities.  Exclusion is a vicious circle which needs to be broken.  Sometimes it goes on for years. Often it is permanent.  Government needs to intervene directly to provide opportunity for all ; and employment needs to be made more viable by lessening means tests for Pensioners in the workforce.  Also there need to be viable career paths, and not merely ‘dead end jobs’.

Importantly, Labor needs to pitch to ‘average’ workers as well.  Labor needs to pitch to the majority to enjoy electoral success ; and provision for equity groups alone will not win government.  Delivering wage gains and improving the bargaining position of average workers in the labour market is important here.  As is a restructuring of the broader tax system: delivering distributive justice outcomes not only for the most vulnerable, but also the majority of workers.  Further ; improvement of the Aged Pension could act as a ‘bridge’ which enhances the case for reform of other pensions. Labor needs to build a ‘bloc’ based on solidarity and mutual recognition rather than allowing the Coalition to ‘Divide and Rule’ – which so often has been the case.

So come on Albo, ‘step up to the plate’.  A ‘small target’ can take us so far ; but as the campaign progresses voters will want a clearer sense of what Labor is going to do.  Labor will need to have answers.  And it must not ‘back itself into a corner’ where it cannot deliver significantly to its constituents.  Early signs suggest some hope.

Labor Must Ask Serious Questions on Policy and Values

Above:  Albanese corrrectly indentifies the need for policy review and good policy ; But 'root and branch' rejection of Labor's 2019 Platform would be a mistake.  New policies and 'new angles' are necessary.  But let's not jettison our values and abandon our interests on the way.  Labor's problems were largely 'tactical' ; and this also needs recognition.

Dr Tristan Ewins

Labor has been saying relatively little on policy since its defeat at the hands of the Morrison Government.   Many are saying Labor’s ‘move to the Left’ was the problem.  In that process other problems are being neglected.  The Coalition tax scare campaign (including on a non-existent 'death tax'); Shorten’s wooden performance in the final days ;  failure to build a strong enough ‘central narrative’ ; confusion on Dividend Imputation franking credits – and the failure to means test any measures there instead of applying the same rules to everyone.  Also Clive Palmer's $60 million intervention - dwarfing the monetary resources of both parties - changed everything and channeled preferences to the Conservatives.  Shorten also failed to sell the progressive tax reform message ; and avoided the issue when given the opportunity to ‘take it up to Morrison’ in a Leader’s Debate.  (here I'm thinking of Shorten's refusal to engage on Morrison's example of a very-high-wage workers' tax rising by 2%(!) under Labor)  

Expanding social goods and services necessitates progressive tax ; asking more of high income earners ; and that definitely includes the top 10 per cent.  Maybe even the top 20 per cent. Those in lower brackets need to contribute too based on ability to pay, but would receive much more in return.  Those in the lowest brackets may even receive indexed tax cuts.  (Income Tax needs to be radically restructured overall ; and then the lower brackets indexed – to prevent the erosive effect of bracket creep)  Tax indexation can prevent 'a flat tax by  stealth' via such selective exploitation of bracket creep.

In the big picture, though, Shorten led a united team and developed some very  good policy during his years in the leadership.   His modestly reformist policies have widely been portrayed as a ‘lurch to the Left’ ; and that illustrates well the relative right-wards shift in Australian politics where anything in the way of meaningful reform faces that kind of accusation.

But the Coalition’s massively irresponsible policy of tax cuts ($160 billion over the first 10 years, and much more proportionately over the longer term as ‘phase three’ kicks in) for the well-off put the onus on Labor to mount a response.  

We know we have an ageing population.  For the Left at least, we know tougher means tests, a higher age of retirement, failure of benefits to keep up with a rising cost of living and respond to the need to extend pensions more broadly – should be unacceptable.  Undermining the tax base is the road to a US-Style and strongly class-divided economy and welfare state.   An ageing population will also mean more stress on the health system ; and the correct response is to support citizens on need rather than adhering to some arbitrary ‘tax ceiling’ which can only respond with harmful austerity.  Medicare Dental remains an essential policy for Labor to embrace and campaign on vigorously.

To his credit, Albanese has come out against attacks and stigma against the unemployed.  But we need more.  Raise Newstart by at least $75 a week.  Apply active industry policies aimed at creating job opportunities for ‘at risk’ and vulnerable groups.  Not only the young unemployed, but especially the older unemployed ; and the disabled – including the mentally ill.   Highly educated older job-seekers are being forced to drop their qualifications from their resumes to be ‘more attractive’ for cleaning jobs and the like.  Meanwhile, while many look down on the cleaning profession it does involve skills, and it is hard work.  There is cause to reform the Award in these and other fields – for example Aged Care and Child Care. But where the market will not bear this we need government subsidies. Importantly, many of these areas are highly feminised.

Denmark provides an example in a sense.  That is with their active industry policies which seek development of ‘sunrise industries’ that make use of the skill sets from ‘sunset industries’, mixed with retraining. The policies are expensive: but the gains from labour market participation more than make up for that. 

In that process we need to review the  NAIRU – or non-accelerating inflation rate of unemployment – which supports a ‘buffer of unemployment’ (commonly in the vicinity of 5 per cent) to contain the bargaining power of workers and avoid wage inflation.  Hence there are always many more people looking for work than there are jobs – and yet still the unemployed face stigma. Instead we need to look to fiscal policy to contain inflation ; and co-operation with trade unions (eg: accepting higher taxes on high wage workers) in return for expansion of social goods and services and defence of industrial rights.  This would be applied after the Swedish model rather than the Accord – which at the end of the day failed to deliver to workers sufficiently in return for wage restraint.  Full employment makes a massive difference to the Budget and the broader economy if it can be sustained.

In short, Labor needs to take action to raise the status of some of our most exploited professions – while reforming the tax base and making social wage, social insurance, collective consumption, and welfare state expansion possible.   

Let’s explain these one by one to get some sense of what is meant.

‘Social Wage’ refers to the recognition that not everyone receives wage justice. And sometimes it is more effective to receive the proceeds of wages collectively to maximise the collective (and individual) benefit.  Think public health and education.  Corporate Taxation also factors in here as the corporates benefit from a healthy and skilled workforce.

‘Social Insurance’ refers to public-funded insurance against contingencies like unemployment, ill-health or disability via the tax system – which covers everyone.  After all – it could happen to any one of us – or our loved ones.

‘Collective consumption’ refers to when ‘the people’ get a better deal by consuming collectively via tax rather than as isolated consumers.  Leaving individuals with more money to spend at their discretion in other areas at the end of the day.  

It is appreciated that people need a reasonable degree of discretion in terms of determining personal needs structures.  But ‘collective consumption’ delivers massively in the area of pharmaceuticals consumption (think the Pharmaceutical Benefits Scheme or ‘PBS’) ; and could deliver in other areas as well – eg: infrastructure and goods like water and energy – which are becoming more unaffordable following effective privatisation.  Also think public infrastructure like ports, roads, public transport. communications: which should flow from the public purse where the state’s superior rate of borrowing and not-for-profit stance can deliver a better deal.  (water, ports, communications, transport infrastructure - should be re-socialised - reducing overall cost-structures; Though in some areas (eg: energy) some kind of 'market' should still exist ; But in the context of a public monopoly provider ; much more affordable, but still an incentive to regulate usage)

The “Welfare State’” is often taken in a catch-all sense which covers all of this, but for now think of the tax-transfer system and the need to support vulnerable Australians.  Newstart is the area of the most dire need ; but a 15% increase in other pensions can also be justified ; as well as support for the National Disability Insurance Scheme and the implementation of a National Aged Care Insurance Scheme (in response to the Royal Commission) which provides high quality services both for at-home and residential care on demand, and without onerous user-pays policies which send ‘consumers’ broke.  That also includes high quality food, quotas , a registered nurse on-site always , training in the handling of dementia , at-home packages on demand , rehabilitation and exercise on-demand , regular GP visits , private rooms , and meaningful (often facilitated) every-day interaction and outings (where possible) instead of just seating people down in-front of TVs all day.  For those ‘at home’ action to combat loneliness is crucial.

More public housing – perhaps interspersed with private housing to avoid stigma – is necessary too in order to tackle homelessness and housing stress.  But large scale public housing projects should also be considered – also providing quality amenities: laundries, pools, common rooms, internet connectivity – which people can respect and appreciate.  Austria manages a high level of public housing well – with very positive results.  Indeed, over 60% of Vienna’s population live in public or social housing.  It is the legacy of the interwar revolutionary Social Democrats (at the time officially of  a Marxist – but not Bolshevist -  disposition)– who prevailed in Vienna in the 1917-1934 period ; and who took government with a more modest agenda in the post-war period.

Eugene Quinn argues the following ; outlining the difference in culture re: public housing in Vienna which could be promoted in Australia as well:

“People here are used to the communal spaces of the social housing estates and are very comfortable living next to someone from a different background,”  Quinn says. “And because people are not crushed by their rents like in other major cities, they have a bit more time to be creative, to study, to get involved in community work.”

Apart from these areas, Labor also needs to take a strong line against the Coalition's ‘Ensuring Integrity’ union-busting laws.  Some in the Left dislike John Setka.  But more is at stake here than one man.  We are talking about the strategic position of the entire movement.  Which the Coalition well knows.  And Labor must acknowledge that as well.

In short, inevitably there must be a policy review.  But let’s be careful about dumping good policy.  Sure, let’s hone our message and our central focus.  Though we need a tactical campaigning review also: perhaps more so than a ‘root and branch’ policy review overall. If we cannot at least reverse Morrison’s overall tax cuts in a progressive way – focusing on tax cuts for the well-off – then we concede defeat.  That would mean conceding an Australia which retreated from anything recognisably social-democratic , and headed towards the divisions and insecurity we see in the US for example.

Importantly we must embrace the message of progressive tax and its implications rather than running away from that debate.  Trying to be ‘everything to everyone’ and not increase the tax burden on virtually anyone – means we have no way of funding reform at the end of the day.  But an openly progressive agenda would give the vast majority an incentive to vote Labor.

It is nonetheless appreciated that ‘middle income’ is not the same as ‘middle ground’, and some disillusioned voters are embracing a ‘centrism’ which is largely right-wing in practice.  Labor’s response must be tactical: appealing not only to interests but also to values.  A liberal response on social values, and stronger action on climate change can also detract from any ‘small ‘l’ constituency’ for the Liberals ; and pressure the Liberals to reform their own outlook ; shifting ‘the relative political centre’.  Labor must contest values in the economy as well as the 'culture wars' ; and its relative neglect here has marked a defeat for Social Democracy and Democratic Socialism in this country.

One thing is certain. Nothing is gained from a ‘culture of policy defeat’.  Labor must find a way to effectively campaign for government without compromising its values and reason-for-being.  

Backing Liberals’ ‘Flat Tax’ Agenda a Bad Move for Labor

above: Morrison's Tax Cuts will lead to over $20 billion in austerity every year 

Dr Tristan Ewins

Figures in the ALP - even including Senior figures in the Left -  are rationalising the decision to back the hugely regressive Morrison income tax cuts in the final instance.  The rationale (given by senior Left figure, Kosmos Samaras)  is that workers do not begrudge the wealthy a tax cut, even though they do begrudge an increase in Newstart.  He concedes it reluctantly, calling it “confronting". For many adapting to the mindset of these people (including ‘working class Tories’) is more urgent than actually trying to win the argument. Or winning those people over on balance on other issues - despite their prejudices.

So now Labor has gone so far as to pass the controversial ‘Phase Three’: which  moves us towards a ‘flat tax’ with those in $45,000 to $200,000 all on the same rate. This is worse than Blairism ;  This is capitulating to Thatcherism. 

Phase Three alone will come at a cost of $95 billion in five years’.

And even before this 'Phase 2' alone will cost almost $4 billion a year.

Now the Median wage (ie: middle income) is only approximately $53,000 a year.  Though If you ONLY take FULL TIME wages that equates to $65,577 a year.

But this is NOWHERE NEAR $120,000, say – which is well within the top 10 per cent.

If people on undoubtedly high incomes do not pay their fair share of tax how will the social wage survive - let alone expand?  If the ALP does not stand for the social wage what does it stand for?  Without the social wage Labor utterly turns its back on the Whitlam legacy.  And at least Hawke gave us Medicare.

If we effectively back a flat tax we may as well not exist.

Labor lost the recent election for many reasons. Clive Palmer's money. A deceitful tax scare campaign on ‘retiree taxes’ and ‘death taxes’ that were nowhere on Labor’s radar. A failure to communicate complex policies. Media bias. A 'flat' performance by Shorten in the final days.

What this shows it that we need to be careful how we frame our next Campaign. Simpler but still progressive tax reform. Rescind phase three and increase progressive tax by somewhere between 1% to 1.5% of GDP. Include a progressively structured Medicare Levy increase. Make the connection between the tax reform and the social insurance/social wage reforms we want to make. Aged Care Insurance, Medicare Dental, Child Care. Keep on emphasising we're only talking 1% to 1.5% of GDP. Sell the ideas of social wage, collective consumption, social insurance.

Also: Attack the Liberals relentlessly. Push them hard on the need for cuts under their plan and where the cuts will come from. Use relatively simple negative and positive ideas and slogans - that will 'cut through'.

As for bracket creep ; after adjusting for fairness we need to index the lower brackets. And when the Libs say 'politics of envy' - don't just take it - fight back. $95 billion of cuts over five years is massive. It's not 'envy' ; it's about justice and it's about survival. Emphasise that lower and middle income earners are $53,000/year and under taking the median as a guide.  (or again: approx $65,000 if you’re only considering full time workers)

When we cut taxes for people on $100,000, $200,000 and higher - we are cutting health, education, aged care, and the social safety net. Make sure everyone understands this. And also people on lower thresholds are paying proportionately more of the tax burden. Which is the point. (ie: towards a 'Flat Tax')

These days even The Age is beating the Liberal drum relentlessly. But if we become a Party that no longer sets agendas ; but rather REACTS and capitulates to media spin campaigns - we may as well give in. You're basically saying 'Blair was Right'. And that the cause of a genuine Centre-Left is hopeless.  But even Blair *increased* tax modestly for his programs.  A flat tax is closer to Thatcher than Blair.

If deregistering unions becomes 'popular' do we give in to that too?

We can make tactical and strategic changes without full on capitulation.

I  made the argument thereafter that if workers support the Morrison tax changes it is because they don't understand what it will cost them in the long run. And the ALP wasn’t making that case very strongly either.

For Samaras this was being ‘patronising’ to workers ; and he retorted “yes, those poor uneducated workers.”  The implication is that he thinks workers backing the cuts know exactly what they’re supporting.

This was my response: 

So you're saying people understand Medicare, welfare, public health, schools, public infrastructure, universities, the ABC - are going to be slashed ; and they think a tax cut of maybe $10,000 a year or more for someone on $150,000/year is the better option?

People are immersed in popular culture. A Current Affair inciting hatred against the unemployed and unions. The Herald-Sun selling the narrative of the 'everyman ScoMo'. Yes, there are working class Tories out there. But even still: we have to actively contest the argument.  The Liberals will govern against most workers’ interests, and we need to communicate that.  And somehow begin the work of rebuilding an outlook of solidarity.

I’m no Leninist, but it’s interesting to consider what he had to say here. Before the meaning of 'social democracy' shifted Lenin pointed out the need to impart 'social democratic consciousness' ; but that this did not arise 'organically' from the class struggle, but had to come from the revolutionary party.

Today we have very little left in the way of a class struggle compared with the past. The Accord had something to do with it. So did deindustrialisation. So we don't have class consciousness among many, let alone 'social democratic consciousness'.

That said, an old style vanguard party is not the answer. We need a mass party.  But a mass party which – like a vanguard party – is capable of leading, mobilising and educating.  And is  complemented by sympathetic social movements which it builds strong ties with.

Social Media is a 'leveler' ; but the Conservatives dominate the old media. Over the long term the decline of traditional media will strengthen our hand. If we don't completely roll over into a Party of Liberalism in the interim.

Samaras suggested I was being 'patronising' ; but remember a lot of workers voted for Hitler too. Would it be 'patronising' to say they were wrong? A lot of working people are convinced by the tabloid propaganda. Again, if deregistering the CFMMEU becomes 'popular' do we back that? Or do we fight back ; actively strategizing with everything we've got?  

Yes people got it wrong. No, they didn't fully understand the implications of voting Tory. They don't know what over $20 billion in cuts a year will look like. Van Badham of The Guardian supposes that before too long that will escalate to a figure of $40 billion. (there's a likely recession, and the mindless drive for a surplus 'no matter what") It's partly our fault for not making enough of an issue of it. Our job is to expose that social cost. And when it comes to the next election oppose Phase 3. Which alone will cost over $200 billion across a decade after inflation.  (more if you accept Van Badham's assumptions)

So for those who think it's a good idea to back the tax cuts how about you explain where you think they should make the Budget cuts.

Jacquie Lambie has also totally sold out ; backing the shift towards a flat tax in return for  just over $150 million in relief for public housing debts.

Samaras again backed Lambie on the basis that public housing was a crucial issue in Tasmania , and the money would assist the homeless.  Their circumstances are desperate ; and no-one is saying nothing should be done.

But with the money forgone from the tax cuts (for just one year) we could provide Lambie with that money much more than 100 times over.   Whatever relief the vulnerable get from this, other vulnerable people will pay down the track more than 100 times over in the space of just one year by the time Phase 3 kicks in.  And after that the vulnerable get nothing.

Many people who think about and understand the consequences of this will end up voting Greens or other Left groups out of desperation unless Labor gets it together and commits unambiguously to rescind Phase 3 upon re-taking government.  (The legislation re: Phase Three is not due to take effect until 2024) It’s true in the end that Labor did not have the numbers to stop the legislation ; but ‘taking a stand’ was crucial for morale and for Labor’s credibility.  As well as contributing to a debate which may influence public opinion into the future.  

For those who agree to let the tax cuts to go through instead of addressing aged care, dental, childcare: how about saying EXACTLY where you want Morrison to make the cuts?  More than $20 billion a year is a LOT of money. It's not enough to say 'cut red tape'. Frontline services will be damaged critically.  

And before anyone attacks me: We are coming within a cat's whisker of a Flat Tax.  And that is the politics of Thatcherism.  'Politics' is about 'political capital' ; and progressives who are about social and distributive justice - not just identity politics - will see this as a betrayal. It could colour peoples' idea of Labor for years if not decades.

That’s what we should have thought of before we voted for this package ; even if some people have the intention of trying to revisit the issue come the next election.  No doubt ‘pragmatists’ will try and head any such move off in any case when the time comes.

https://www.news.com.au/finance/work/how-much-do-you-need-to-earn-to-be-rich-in-australia/news-story/cd7e6647199773c56ad5a9270c7aab87

https://www.sbs.com.au/news/coalition-labor-to-talk-tax-cuts-as-scott-morrison-returns-from-holiday

https://www.budget.gov.au/2019-20/content/tax.htm

https://www.news.com.au/finance/work/how-much-do-you-need-to-earn-to-be-rich-in-australia/news-story/cd7e6647199773c56ad5a9270c7aab87

https://www.smh.com.au/business/the-economy/you-need-how-much-to-be-uber-rich-our-top-earners-are-taking-home-more-20150511-ggyzom.html

https://www.theage.com.au/politics/federal/labor-to-vote-against-coalition-s-full-tax-package-20190624-p520ox.html?fbclid=IwAR2Kkf9LvM8IaCCZouoLd0w_MKMUccweNoxzFekSELP8e0ym2wJexI69RxQ

https://www.ato.gov.au/general/new-legislation/in-detail/direct-taxes/income-tax-for-individuals/personal-income-tax-plan/

https://www.smh.com.au/politics/federal/jacqui-lambie-names-the-157m-price-of-her-support-for-income-tax-package-20190703-p523tl.html

https://www.theguardian.com/commentisfree/2019/jul/05/labors-support-for-tax-cuts-is-an-unfathomable-betrayal-of-principle

Emotion and Ideology: Liberal Strategies and Labor Responses

Dr Tristan Ewins

The Conservatives won the recent election in Australia largely because ‘they pushed all the most effective emotional buttons’ ; and had the ‘Power Resources’ to do so most thoroughly. Labor had comprehensive, rational policies in the economic interests of a clear majority of Australians.  And yet still Labor lost. 

In order to trace some of the causes beyond this result we need to consider the place of emotion and moral judgement in political activity and choice.

What follows is a brief consideration of the science: after which there is a much more significant consideration of the political ramifications. 

In his work ‘Hayek versus Marx’ , Socialist intellectual, Eric Aarons ; who had a background including a Science Degree in University: noted that

“The cortex or thin covering layer of the frontal lobes of the brain is the focal point for our reasoning capacity.”   (Aarons p 107)    

He further considers the observation of the scientist, Damasio, that:

“secondary” emotions…have to go through the cortical reasoning centre to activate the body..”

Thus he concludes there is a:  “connection between emotion, reason and action…”

For Aarons, this is corroborated by Damasio’s work in the case study of “Elliot’:

Here an “orange-size tumor” was “removed from the right frontal lobe of his brain…” When tested [he] did well in moral judgment – and in providing solutions to social problems… But thereafter he remarked “And after all this, I still wouldn’t know what to do!”  

Damasio realised: “the connections between the emotional and the reasoning centres of Elliot’s brain had been severed by the operation to remove the tumour from his right frontal lobe…”

Thus, in light of this analysis, we are provided with a rationale as to why:

“moral sentiments spurred action more strongly than reason”… (Aarons, pp 107-108)

Reason and moral sentiments (partly emotional in origin), thus, ought be taken together: the entirety of the human psyche directed towards the tasks of justice, solidarity, kindness, progress and survival. 

Again ; Labor’s loss can be explained in part by the Conservatives’ superior Power Resources.  A sympathetic Conservative Press, a cowed ABC, the active support of a billionaire willing to pour tens of millions into a campaign to channel preferences to the Liberal-National Coalition.

Reforming Civics Educations has some potential to get people thinking rationally and making consistent values-based decisions. (which is why some Conservatives oppose curricula reform for  active and critical citizenship ; even where there is no Ideological prejudice)  But it will always be a mix of reason and emotion ; and emotion will be perhaps the most significant motivating factor.


Obviously Labor still has a very significant working class base ; but there are also 'working class Tories' - who while a minority,  do a lot of damage.  A 3.5% swing to Clive Palmer ; and a comparable vote for One Nation – were enough to swing the election on preferences. And unless we can somehow restore a sense of class consciousness, things will get worse.

The problem is that Conservative propaganda is carefully crafted around a series of ‘mythologies’ .  And it works. The stigmatization of class conflict ‘from below’ (while rationalising and naturalising class warfare ‘waged from above’). 'Aspirational' Ideology ; the stigmatisation of distributive justice as 'the politics of envy'. We have to tear these ideas apart in the public sphere or we will always be operating in a context of Liberal Ideology. That must involve a mixture of rational deconstruction ; and appeal to emotions of Hope, Love, Social Solidarity and Righteous Anger.   


Genuinely progressive policies can inspire Hope exactly because they appeal to instincts of social solidarity and compassion ; while addressing fears of homelessness or joblessness ; or being ‘cast adrift’ amidst medical costs (eg: dental) which can spiral out of control.  A rehabilitation of some ‘class struggle’ discourse could also emphasise that the class war is being actively waged against the working class and the vulnerable. But that a struggle for justice is not some ‘politics of envy’ , and does not deserve stigma.

But perhaps part of the problem is the dominance of emotion in politics - especially fear. As opposed to rational consideration of policies within a values framework.  German intellectual Jurgen Habermas strove for  a ‘Perfect Speech Situation’ of enlightened and rational exchange to deliver socialism.  But to a degree we have to come to terms with the place of emotion. Because it cannot be entirely changed. And emotional themes can add power and momentum to our own policies.  That’s not entirely bad.  The problem is that it also leaves us open to cynical manipulation.  

Conservatives in Australia have always rejected trade unions and class struggle waged by workers ; whether for ‘a fairer share of the pie’ in its modest form ; or socialism in its radical form.  Religion has also played a part. Divisions between Catholics and Protestants, and ‘loyalty to Empire’ fueled Philip Game’s dismissal of the New South Wales Lang Labor Government in the 1930s.  At the time several quasi-fascist militias had also been formed ‘for fear of Communism’ (and Catholics)  Lang had refused to repay ‘war debts’ to Britain incurred in the mobilisation of the First AIF (Australian Imperial Force) – which suffered over 60,000 casualties (deaths) during World War One. But Catholic hostility to Communism also led to the split of the Labor Party in the 1950s, and the formation of the Democratic Labour Party – which supported and reinforced Conservative Governments for decades.

Historically, the emotional/moral climate shifted significantly during the Hawke years.  Hawke’s themes of ‘reconciliation’ helped capture the imagination of a generation ; not least of all because it brought the corporate sector on board.  The corporates saw they could gain under a Hawke government via corporatist arrangements.  (though temporary because of the labour movement’s decline ; and the resulting disinterest of business once it had got what it wanted)  Partly this involved economic restructuring and reforms that were helpful for the Australian economy’s continued success.  But it also involved a ‘management’ of the labour movement’s decline as opposed to a stronger fight to prevent it.

The right to withdraw labour in many circumstances was abandoned while promoting rhetoric of ‘reconciliation’. Industrial action was reduced in the public imagination to “disruption” ; where ‘conflict’ was considered ‘bad’.  This confirmed popular aversion to “union power”.  Unless it was ‘responsible’. (ie: cowed and passive) For years the message was hammered home: industrial action was ‘disruptive’ ; and Labor’s relations with the unions could prevent industrial action.  Blue collar unions were stigmatised (in the media and by the Liberals) in a play to old class prejudices between ‘white collar’ and ‘blue collar’ workers ; with persistent delusions by some that they were ‘middle class’.  There is still much of this with popular perceptions of the CFMEU.

In part you could say it was a matter of ‘Power Resources’ ; with a compromise based on the balance of class forces. But Swedish unions never compromised as much as Australian unions under the Accords and after.  And the Accord never delivered anything remotely ‘Nordic’ in scale.

Since then the monopoly mass media has carefully ‘pushed our emotional buttons’ to shape the political climate of the country.  ‘Union power’ equaled ‘thuggery’ and ‘disruption and inconvenience to the public’. Apparently, so do mass protests. Amidst structural unemployment, the jobless were  vilified as ‘freeloaders’ and pressed into forced labour.  An ‘aspirational’ Ideology was developed to divide the working class ; and con middle income workers into supporting economically Liberal policies which were not in their interests.  “Aspirational” Ideology was contrasted with policies of ‘Envy” and 'Class War' ; which were morally dismissed as undermining social cohesion ; and ‘getting in the way’ of those willing to “have a go”. (the Liberals' most recent rhetoric in undermining what remains of the nation’s egalitarian traditions)  

The campaign to ‘stop the boats’ played overwhelmingly on Fear ; and ‘the Tampa election’ (2001) was won on the basis of moral condemnation and fears founded on false claims of refugees ‘throwing children overboard’. 

Importantly ; the rise of the New Left in the 1960s - and its later development into today’s social movements - was depicted in such a way as to split the working class.  Conservatives developed a discourse on so-called ‘Left Elites’ ; ‘the Latte set’ and ‘Chardonnay Socialists’ - who were ‘out of touch’ with ‘mainstream Australia’. Social conservatism was cultivated in much of the monopoly mass media , and was appealed to in order to divide ‘the Left intelligentsia’ from ‘the mainstream’. (ie: the majority of the working class)  The most ‘extreme’ examples of ‘Political Correctness’ were reported at regular intervals in order to maximise popular resentment. And ‘the PC class’ was depicted as being ‘arrogantly judgmental’ against the popular majority. (who just happened to be the working class)

The impression that Labor might repress ‘religious liberties’ may also be a ‘bridge’ too far. There is a conflict of rights here which can only be negotiated – it cannot be resolved. Long term, the Reaction cannot and will not ‘turn back the clock’ on sexual liberties.  But if Labor is not careful – and allows a polarisation to occur - a resurgent Christian Conservatism could be instrumental in delivering victory to the Conservatives.

Right-Libertarian small government philosophy (manifest at times in the Institute of Public Affairs and Centre for Independent Studies) has promoted the idea that capitalists and workers all have an inalienable right to whatever wages, profits or dividends they receive in the ‘marketplace’. Labor had been complicit in the small government and privatisation Ideologies for decades.  Finally under Shorten Labor embraced significant (though still modest) progressive tax reform. But now that a scare campaign has contributed to its defeat, it might be reluctant to venture there again. 

The idea that “tax is theft” undermines notions of social solidarity, collective consumption and social insurance.  Even though these deliver significant results for all workers. Implicit is a moral judgement: “tax is theft, and no-one has a right to take YOUR money”.  A ‘death tax’ (eg: an inheritance tax or death duties) is thought to be particularly offensive ; hence the (dishonest) Liberal scare campaign. It is no coincidence that inheritance taxes could mainly impact upon the bourgeoisie. And the fact that employers expropriate surplus value from workers apparently has no place in this discourse.

These efforts have not been entirely successful.  Again, Labor retains a significant base.  The New Social Movements which emerged from the New Left together involve a significant base of mobilisation and influence.  Though they are not a replacement for the strategic location and significance of the working class.

Arguably, humanity possesses instincts of social solidarity which have been essential to its survival. And most people care for family who might end up enduring horrors in under-resourced nursing homes ; or may linger for over a year waiting for home-care packages. 

Exploitation of workers – especially of those on the lowest wages – can also be argued as theft.  Citizens have every rational reason to fear that Conservatives aim to gradually undermine the nation’s ‘social safety net’ ; and atomise workers and lower wages while reducing their bargaining power. And to lose your job usually means relegation to destitution under NewStart ; and forced to exhaust your savings. For both young and mature workers job prospects can often be bleak.  Conservative hostility to Socialised Medicine (eg: Medicare) is also much more than a ‘Labor scare campaign’. A ‘flat tax’ may seem fair superficially ; but would take from low to middle income workers and redistribute to the rich.  Finally there has been a backlash against the open ended detainment of asylum seekers in concentration camps ; and indifference and narrow self-interest in face of the threat of Climate Change to the Planet.

By contrast there is the Hope that a Labor Government could fund a National Aged Care Insurance Scheme.  It could re-regulate the lower end of the labour market ; subsidise the wages of child care workers and aged care workers ; consolidate and increase Newstart while abolishing labour conscription ; consolidate the ‘social safety net’ – expanding Medicare into Dental ; expanding public housing ; funds to eliminate homelessness.  Labor could ‘fine tune’ the NDIS. (National Disability Insurance Scheme)  Further ; Labor could implement onshore processing of asylum seekers.  It could lead the way on climate change with direct investment in renewables.  And it could restructure the tax system: including the addition of new brackets, and the indexation of lower brackets to prevent the vicious cycle of bracket-creep and regressive tax cuts.  (leading gradually to flat taxation)

Again, though:  Labor faces an imbalance of Power Resources.  It must fight to end the influence of ‘Big Money’ in Politics.  And together we must resist moves to ban organisations like GetUp from actively campaigning during elections. We must mobilise our own resources to challenge the monopoly mass media.  And upon achieving government we must implement policies for true media diversity.  In the face of massive opposition we need to develop the strategy and tactics to fight the Conservatives against the odds and win. 

There is also the possibility that the Liberal victory is a ‘poison chalice’ in that escalating tensions and trade war will help lead to economic downturn. 

There are those who will argue that some of these policies ‘have been tried but failed’.  But if Labor renounces a distributive justice agenda it abandons its very reason for being.  Labor must respond with regroupment, rather than retreating into an insipid Blairite Centrism.  Labor must be the Party of progress ; though for that we also need some idea of what we want to progress towards.  I have suggested a short term agenda here ; but long term we must ask more fundamental questions about capitalism.  By making emotional and moral appeals ; with a mixture of messages at a variety of levels – from the complex to the simplified and the concise.  And also promoting clear moral judgement and policy evaluation. 

Labor needs to re-evaluate its strategy and tactics without abandoning substance.   That is the path to a possible future Labor victory.


Bibliography:

Aarons, Eric; Hayek versus Marx And Today’s Challenges; Routledge. New York, 2009

Left-Turn necessary for Labor at this year’s National Conference to end narrow ‘Policy Convergence’

by Dr Tristan Ewins ; ALP member of over 20 years

In 1998 radical American Leftist intellectual, Noam Chomsky made the telling observation that:

“The smart way to keep people passive and obedient is to strictly limit the spectrum of acceptable opinion, but allow very lively debate within that spectrum....” 

Another name for this phenomenon is ‘Convergence Politics’.

In Australia there is ‘Convergence’ on the economy, with debates focusing on relatively minor differences ; but where heated debate on the so-called ‘Culture Wars’ fills the vacuum.

Every day in the mass media we are subjected to the positions of ostensibly “Centre Right” and “Centre Left” political parties.  But in reality the ‘relative centre’ has shifted way-right on the economy since the 1970s.  And dissent against that orthodoxy is minimal. Where it occurs it is modest.

The Hawke-Keating years saw convergence on ‘economic neo-liberalism’  in Australia – and there has been no significant turning back since.  Kevin Rudd attempted a Mining Super Profits Tax but was quickly ‘disciplined’ by the mining industry, and removed in short order with a ‘palace coup’.  For a time Sam Dastyari focused attention on corporate tax evasion.  But while corporate tax evasion arguably costs the Australian people tens of billions annually, in reality Dastyari’s proposals were minimal. (in the hundreds of millions)  Julia Gillard delivered a National Disability Insurance Scheme, but it was argued that  ‘savings’ had to be made elsewhere to compensate; the  logic of which was thereafter embraced more enthusiastically by the Liberals.

Under Bill Shorten Labor has committed to reforming Superannuation Tax Concessions, making some cuts in the applicability of Negative Gearing, and reforming Capital Gains Tax Concessions. ‘The Guardian’ argued in 2016 that these measures would save $100 billion over ten years.  This is substantial in the relative scheme of things ; but less impressive when you consider inflation.  Perhaps after that is factored in we’re talking about around 0.5% of GDP in a $1.6 trillion economy.

Shorten received a lot of Kudos from the Australian liberal left (for instance Fairfax journalists) for these ‘bold’ policies. But the fact these measures are considered so remarkable only underscores the reality of ‘Convergence Politics’ in Australia on the economy.

Meanwhile vigorous debate rages in the context of ‘The Culture Wars’. The Equal Marriage debate has been won.  But at a cost whereby Australia’s economic and cultural Right-wing are attempting to claim substantial Christian strata as a ‘base’.  (But this should not be taken for granted; it should be fought ; socially-conservative should not necessarily mean economically-conservative  or economically-Liberal ; nor should ‘Christian’ necessarily mean ‘socially conservative’) 

And now debate turns to the date for ‘Australia Day’ and the content of the National Curriculum – or at least how it is applied in Victoria. 

These debates are truly important. They are more than ‘distractions’.

After the ‘Australia Day debate’ the next logical step is for a Treaty with indigenous peoples.  And Conservative attempts to promote a National Curriculum which mixes Ideological Liberalism with uncritical nationalism – are deeply concerning.  But Labor’s position on the National Curriculum is also arguably too-conservative.   Arguably the National Curriculum should promote  ‘active, informed and critical citizenship.’  Which means deep and inclusive pluralism when it comes to informing students of the interests, social movements and ideological perspectives that have comprised Australian society. Here I am thinking along the lines of ‘post-Marxist’, Chantal Mouffe’s ‘radical pluralism’ , or ‘Agonistic Democracy’ ; and how those principles might be reflected in curricula.

 Nonetheless these debates are more ‘tolerable’ for capitalists and the wealthy than debates which question neo-liberalism, labour market deregulation (but no right to strike),  and ‘small government’.  (Though perhaps the debate on Education is less ‘tolerable’, here, than the Equal Marriage debate.  There is the potential to detract from narrow emphasis on ‘labour market demands’ ; and to encourage critical thinking and active citizenship which may meaningfully strengthen our democracy).  

The debates are substantial ; are not ‘merely distractions’ ; but the way public debate is presented these debates do constantly and over-the-long-term deflect attention away from a substantial, more wide-ranging debate on the economy, and especially economic power and inequality.   

Debates are also framed in such a way as to divide Labor’s traditional constituencies ; with the decline of class as a central ‘reference point’, and erroneous assumptions of ‘essential working class conservatism’ and ‘aspirational’ mentality’. ‘Political correctness’ is also regularly beaten-up in order to weaken Labor’s base via attrition.  In response Labor needs policies and language which promote social solidarity.

But anything which truly questions ‘Convergence’ is summarily dismissed as ‘Hard Left’.   Outgoing Labor President Mark Butler has made welcome demands for internal democratisation . But his description of British Labour’s Jeremy Corbyn as ‘Hard Left’ is regrettable. Corbyn is trending towards something more ‘traditionally social-democratic’ ; and has plans for railroad and utility re-nationalisation  that would ‘set a precedent’ whereby decades of privatisation are not necessarily permanent.  The policies are progressive, but not radical ; and Butler’s dismissal of Corbyn shows that ‘Convergence thinking’ still has a strong grip even within the ALP Left.

What would a ‘break’ from Convergence Politics look like?  The author of this article has been working on an updated  (unofficial) “Model Platform” for Labor (currently in draft form) which is suggestive of a genuine reform footing for the ALP.  As a democratic socialist my long-term aim is the eventual surpassing of capitalism with a truly fair, rational and democratic economy. But even Marx understood that the transition from feudalism to capitalism took centuries. (though Marx did think socialist revolution a nearer prospect at the time)  And now there is the likely prospect ‘a clear and genuine break’ will not occur in our lifetimes.  Though the prospect of further crises and economic convulsions is nonetheless real.  Perhaps ‘barbarism’ is the more-likely prospect ; though we have to fight.

On the other hand, many on today’s Left still look to the Nordics for inspiration.  The Nordic model may not have ‘abolished’ capitalism ; but what some see as ‘the end goal’ is not everything. Billions of people will live in the context of historic compromises we fight for over the decades to come.  Their security, opportunities and happiness truly mean something with or without the over-arching capitalist context.  Yet sadly most in the Labor Party have not supported policies which meaningfully progress Australia towards something ‘Nordic-inspired’. 

The ‘ALP Model Platform’  (otherwise ‘For an Equal and Democratic Australia’) , suggests a short to medium term orientation, which breaks with ‘convergence thinking’, and has the meaningful aim of reaching the OECD average Tax to GDP ratio over as long as three terms of Labor Government.  That means raising progressive tax by $80 billion/year in today’s terms, or 5% of GDP.  (keep in mind the economy is worth over $1.6 Trillion)  It falls far short of the Nordics. (perhaps over $300 billion/year would be necessary) But it is suggestive of meaningful and substantial progress. (no more ‘one step forward, two steps back’ ; ‘the forward march of labour re-commences’)

What this means is substantial progressive restructure of Australia’s tax mix ; funding big improvements to the social wage, welfare, public provision of infrastructure.  It also means National Aged Care Insurance ; slashing hospital and public dental waiting lists ; industrial rights and liberties including a ‘re-regulation’ of the lower end of the labour market which delivers to the working poor ; strategies to improve life expectancy for indigenous Australians and the mentally ill ; progress towards free higher education ; support for mutuals and co-operative enterprise – with strategic public ‘co-investments’ which help these maintain the scale necessary to remain competitive ; an end to insufficient and ‘punitive’ welfare ; a big investment in public housing ; and much more.  These are central to the ‘ALP Model Platform’: a document intended to influence debate leading up to Labor’s National Conference this year in July 2018.

Those who want to support the Model Platform can ‘Like’ the ‘ALP Model Platform Supporters’ Page’ at Facebook and take part in debate there.

Labor has long been a ‘broad church’ with its own ‘internal pluralism’, and that is not likely to change.  But Labor should straddle the political ground across ‘traditional’ social democracy to democratic socialism ; and arguably there is also a place for what may be called ‘classical’ social democrats.  (radicals inspired by the original (largely Marxist) social democratic parties ; and those who followed in their wake)

Arguably a  strong radical-left can also contribute to the climate of culture and public opinion as well.  The Communist Party of Australia never had serious electoral success.  But it was a cultural and industrial power.  Ultimately it broke with Stalinism, also ; and in many ways that legacy is important and valid. 

In the US, Democratic Socialists of America (DSA) has been registering impressive gains in membership. They intervene within the Democratic Party ; but at the same time they are more broadly-based. They demonstrate how a Left movement can be a cultural, political and electoral force ; but not be restricted to a single electoral strategy.  DSA includes radical perspectives, but are not narrowly Leninst.  Perhaps a similar strategy could also ‘bear fruit’ in Australia ; with a strong challenge against ‘Convergence’ – which all progressives should agree has to end.

The ‘ALP Model Platform' Supporters’ Page can be found here: (PLS Join!)

https://www.facebook.com/unofficialmodelALPplatform/?hc_location=group

The current draft of the Model Platform can be found here:

http://leftfocus.blogspot.com.au/2018/01/for-equal-and-democratic-australia.html

Please join the supporters group ; and get like-minded friends to join if you support a strongly-progressive but realisable platform for the ALP.