Tuesday, September 01, 2020
Australian Super Problems
Superannuation must be built on reality, not stereotypesADAM CREIGHTONFollow @Adam_Creighton
Dangling the carrot of an optional near 10 per cent pay rise for workers or promising a universal age pension would be a significant proposal with plenty of merit.
12:00AM AUGUST 29, 2020
The biggest policy battleground over the next year will almost certainly be superannuation.
The government is sitting on the retirement income review, a recommendation of the Productivity Commission from 2018 that is bound to raise troubling questions for the super sector.
Aware of the political risks of tinkering with super, the government instructed the panel not to make specific recommendations, but the facts alone should make it obvious what needs to be done.
The review will probably show, just as the Henry tax review did a decade ago, that lifting the superannuation guarantee to 12 per cent, as is currently legislated, will cost far more in fees and forgone tax revenue than it could ever save in age pension outlays.
Fees are about $30bn a year, concessions are about $36bn, while age pension savings are, very generously, less than $10bn a year.
Proceeding with a policy that’s a net drain on public finances, especially when budget deficits and debt have ballooned, is questionable. The review will also make it clear mandatory super contributions are paid by workers, out of their gross incomes, rather than by employers. The genius of Paul Keating’s innovation, compulsory super, is that it appears to workers as if contributions are made by their employers.
But the economic incidence is very different from the legal incidence. Employers pay workers’ income tax, on their behalf, yet few believe an increase in income tax would be borne by the boss.
From the employer’s point of view, employees’ income tax and superannuation contributions are the same. The government says what proportion of workers’ pay goes in tax, super and disposable income.
In the short term an employer might choose to absorb an increase in the compulsory savings rate, but in the long run the government cannot dictate how much a business will spend on payroll. It must by definition mean lower take-home pay for workers.
Absent these two arguments, the super industry is likely to fall back on a paternalistic one: people don’t save enough without compulsion. While savings myopia might feel right, it’s empirically wrong. People are simply not spending their accumulated savings in retirement and instead are leaving significant bequests, research shows.
To be sure, uncertainty about how long we will live naturally induces precautionary saving, although this becomes less and less a justification the older we become (and the probability of dying increases).
A major study of 10,000 age pensioners in 2017 found that at death the median pensioner still had 90 per cent of their wealth compared to the start of their retirement. “On average, age pensioners preserve financial and residential wealth and leave substantial bequests,” the authors concluded.
We are hardwired, whether for cultural or biological reasons, to protect or grow our wealth. There’s nothing wrong with that, but it does undermine the claim that people aren’t saving enough. On the contrary they might be saving too much.
Grattan Institute analysis of the Survey of Income and Housing conducted by the ABS similarly found retirees typically maintained or increased their non-housing wealth through their retirement.
“Wealth appears to have dipped only because the global financial crisis reduced capital values, rather than because retirees drew down on their savings,” says Grattan.
“The bottom third by wealth of the cohort born in 1930-34 (aged 71-75 in 2005) increased their non-housing wealth from $68,000 in 2005 to $122,000 in 2015,” the authors pointed out.
The government has known this tendency for some time, too. As social security minister in 2015, Scott Morrison pointed to research by his own department that showed 43 per cent of pensioners increased their asset holdings during the last five years of life, and a quarter maintained them at the same level. “Less than a third of pensioners actually saw their assets decrease in their last five years,” he said.
What is the point of providing concessions if the savings are not being used to fund retirement but are simply passed on? It would be better to scrap the concessions, pay a bit more in age pension, and use the difference to radically cut income tax rates for everyone.
While the Coalition government is unlikely to propose anything like that, there’s an argument for being bold. The fact around three million Australians have just accessed their superannuation is a massive chink in the armour of compulsory super.
The government could make super voluntary, in effect offering a significant pay rise to any worker who wanted it. Remember, employers don’t care whether workers’ pay is sent to a super fund or the worker’s bank account.
The savings could be used to make significant cuts to income tax, or make the age pension universal, thereby scrapping the means testing that has so twisted the incentives of the over 65s. About 80 per cent of retirees already receive the full or part age pension. A universal pension would remove the significant disincentives to work that pensioners face, dramatically simplify retirement and end the game of retirees’ engineering, quite understandably, their affairs in order to receive a part-pension.
There are powerful political reasons for being bold, too.
Labor will be hoping the government does seek to delay or stop the increase in the super guarantee. That would give the party, rendered irrelevant by the coronavirus, something to fight for, even if it were for the vested interest of the super industry rather than working people. Indeed, a senior Liberal once told me the biggest supporters of compulsory super were older, wealthy Liberal voters, who believed the poor should be forced to save for their retirement so as not to be a burden. The median worker, let alone the poor, can never save enough to provide the equivalent of an age pension.
Regardless, facing a hysterical campaign from Labor and the doubts among its own base, it could lose the debate.
The government needs a positive plan rather than promising to stop something from occurring. Dangling the carrot of an optional near 10 per cent pay rise for workers or promising a universal age pension would be a significant proposal with plenty of merit.
The government’s successful early access scheme, which has seen around three million people withdraw almost $40bn, has delivered a body blow to compulsory super. Now is the time to reform it.
Tuesday, August 04, 2020
Covid-19
IF NEW ZEALAND’S THE ROLE MODEL THEN WE’RE IN STRIFE
ADAM CREIGHTON
There must be a better way to protect the vulnerable without smashing the economy
“Power is in tearing human minds to pieces and putting them together again in new shapes of your own choosing,” George Orwell wrote in Nineteen Eighty-Four.
If social media is any guide it is our intelligence, rather than our health, that has been dealt a heavier blow by the coronavirus pandemic and the vested interests that benefit from it. The debate about how to respond to the virus has been undermined by widespread ignorance and the plethora of fallacies that surely call for compulsory teaching of logic in schools.
Top consulting firm McKinsey revealed the extent of the ignorance on Tuesday in survey evidence that found young people in Australia were more than twice as worried about the coronavirus impact on their own health as those aged over 75, who are at far greater risk. Almost 40 per cent those aged 25 to 44 were “very or extremely” concerned about their health. Almost half of that group also said they had been “emotionally affected” by the pandemic, compared with 8 per cent of the over-75s.
In light of six months of data on the coronavirus, such beliefs make little sense. They raise serious questions about the quality of education and the insidious role some of the media have played in fuelling the biggest erosion of civil liberties in our history — without accompanying evidence or cost benefit analysis — and a recession whose long-terms impacts can only be guessed with trepidation.
There are almost eight billion people in the world and six months into the pandemic barely any young have died from the virus.
Based on Swiss data published in respected medical journal The Lancet last month, the infection fatality rate from COVID-19 for under those aged 20 to 50 is one in 10,870, or about the same as being hit by a car.
Young people should be far more worried about the collapse in education, their inability to travel and enjoy their lives, and their highly diminished job opportunities and incomes that the Treasury and Productivity Commission have recently laid out.
For those aged up to 44, the coronavirus is less of a threat than dying from a random accident each year, according to the US National Centre for Health Statistics.
“Population-wide estimates of the infection fatality rate (0.64 per cent) mask great heterogeneity by age and point towards the importance of age-targeted interventions to reduce exposures among those at highest risk of death,” the Lancet authors wrote.
Alas, age-targeted interventions weren’t top of mind in the Victorian government, whose decision to move into stage four lockdown is an incredibly high-stakes gamble. If no vaccine emerges — or no vaccine with side effects mild enough that people are willing to take it — what is the point of another six weeks of draconian restrictions with all the attendant social and economic costs that will last years?
New Zealand is held out as a role model, but it’s a small, remote country. Its biggest industry, tourism, has been ruined, and at some point its citizens may want to come and go.
The debate is as rancorous as it is littered with fallacies; beyond trusty ad hominem, the straw man, post hoc, appeals to pity and bandwagon fallacies are the most prominent. No one seriously advocates doing nothing; indeed, individuals naturally take their own precautions, without government having to do anything except provide information.
The question is whether a civilisation that put man on the moon a half-century ago could have come up with a more targeted way of protecting the elderly and vulnerable than causing a downturn so serious forecasting has become impossible.
Indeed, with six months’ more data, reacting in August similarly to how China, Spain and Italy reacted in March — as Victoria has
— surely ignores our improved knowledge and treatment since.
For instance, we now know that herd immunity tends to cut in at 20 per cent, not the 60 per cent feared, and certainly not 100 per cent — the favoured level of fearmongers who mindlessly multiply infection fatality rate by populations. Meanwhile, the belief A causes B simply because B comes after it in time has proved more contagious than the virus itself.
Observing a decline in deaths or case numbers after a government took a sledgehammer to its economy says nothing about the effectiveness. Pointing to New Zealand in rapture proves nothing.
In fact, there’s no reliable relationship between lockdowns and viral trajectories across countries.
“Full lockdowns and widespread COVID-19 testing were not associated with reductions in the number of critical cases or overall mortality,” the authors of another recent Lancet study looking at Europe and the US found.
Then there’s good old appeal to pity. Victorian Premier Daniel Andrews on Tuesday described the deaths of three people in their 90s and older on Tuesday as “tragedies”. He either doesn’t understand the word or has lost all sense of proportion. It should go without saying, but the chance of dying in one’s 90s is naturally elevated. In any case, what about 1.5 million deaths a year of children in Africa and Asia from vaccine-preventable diseases? They won’t be getting those vaccines in a depression.
That brings us to the bandwagon fallacy, thinking something is correct because everyone else seems to. Perhaps frustrated Sweden’s death toll petered out at 5700 rather than the 90,000 it was warned to expect, proponents of draconian responses say “serious long-term health effects” warrant extreme precaution. The virus has been endemic only since March; how can there be any strong evidence of long-term effects, which by definition mean years?
Economists have been guilty of their own bias, an obsession with gross domestic product - an obsolescent, abstract statistic with little connection to anyone’s life - to determine whether lockdowns have costs.
China has enjoyed strong GDP growth, but many Chinese are incarcerated or worse if they disagree with their government. There’s more to life than GDP.
One could try to work out the dollar value of freedom of movement, physical association, by asking how much people would pay for it. But that somehow defeats the point. Transfixed by the supposedly existential menace of the coronavirus and the “long-term” health costs, not enough are focusing on the long-term costs that aren’t captured by GDP.
If no vaccine emerges … what is the point of another six weeks of draconian restrictions?
Tuesday, July 07, 2020
TertiaryEducationFailures
US elite betrays the people in its casting of the evil empire
WORLD COMMENTARY
Tuesday, June 30, 2020
Climate A Change In Alarm
Sorry, but I cried wolf on climate change
I became an environmentalist at 16 when I threw a fundraiser for Rainforest Action Network. At 27 I helped save the last unprotected ancient redwoods in California. In my 30s I advocated renewables and successfully helped persuade the Obama administration to invest $US90bn into them. Over the past few years I helped save enough nuclear plants from being replaced by fossil fuels to prevent a sharp increase in emissions
The world’s most influential green journalist, Bill McKibben, called climate change the “greatest challenge humans have ever faced” and said it would “wipe out civilisations”. Mainstream journalists reported, repeatedly, that the Amazon was “the lungs of the world”, and that deforestation was like a nuclear bomb going off.
Once you realise just how badly misinformed we have been, often by people with plainly unsavoury motivations, it is hard not to feel duped. Will Apocalypse Never make any difference? There are certainly reasons to doubt it. The news media have been making apocalyptic pronouncements about climate change since the late 1980s, and do not seem disposed to stop. The ideology behind environmental alarmism — Malthusianism — has been repeatedly debunked for 200 years and yet is more powerful than ever.
The coronavirus pandemic is an actual crisis that puts the climate “crisis” into perspective. Even if you think we have overreacted, COVID-19 has killed nearly 500,000 people and shattered economies around the globe.
Monday, June 15, 2020
DeathsInCustodyFacts
No point in ignoring facts and history
1:55PM JUNE 14, 2020
On New Year’s Day, no major economist, no famous medical scientist and no political leader had predicted that this would be a tumultuous year.
At first the coronavirus was the world’s feared enemy. Soon it turned into an economic crisis, and now in many nations it is a looming threat to law and order or the sparks of a cultural revolution.
That the campaign against statues is occurring especially in England is a shock. On reflection it should not be puzzling because the British Isles have enjoyed such political continuity, having suffered no invasion since 1066 and no civil war since the 1640s. Therefore it has centuries of statuary and art still standing in public places.
While some Australians publicly applauded the events in Bristol this week, most probably watched with surprise and even apprehension. The statue of Edward Colston was attacked by a small crowd consisting of protesters and — judging by the media illustrations — spectators who seemed more intent on taking photos. The deputy governor of the British company that once held a monopoly for transporting slaves in British ships from West Africa to the West Indies, Colston could be denounced as partly responsible for the 19,000 slaves who died during those voyages. Yet Colston was also a benefactor of Bristol, helping to found schools in an age when education was a luxury.
Why should a mob and not an elective assembly reach this sudden decision that Colston’s statue be heaved into the harbour? A civic statue is a work of art. Don’t works of art merit some protection, or do we allow the statue-thugs to break into an art gallery and cut the nose off a portrait of a long-dead person? As for the city library, why not set fire to offending books?
You might excuse this censorship of the enemy’s culture during an all-out war, but this is not a war. Or perhaps it is already a culture war.
In the eyes of moderate radicals living in Britain, their nation’s most admired prime minister in the 19th century was William Ewart Gladstone, for whom we once barracked when studying history at school long ago. Yet he was the son of the wealthiest owner of slaves in the West Indies, and as a member of the House of Commons the young Gladstone indirectly helped his father’s income from slavery at the time when the slave trade was being abolished.
Now the statue-breakers in Australia, invisible for years, have emerged with their hammer or paint-splasher. James Cook is already a target. A discordant band of Western Australians have rediscovered governor James Stirling. South Australian rebels have turned on CC Kingston in a glaring display of ignorance. They are shattering the reputation of the politician who, perhaps more than any other, took the steps by which Australia became the world’s first nation to give to women both the right to vote and the right to stand for parliament. The long-dead Kingston is now vulnerable because he was one of the legislators who voted for the White Australia policy. Another offence — he should know better — is that his statue stands near an Aboriginal flagpole.
While this month’s Australian marchers were provoked by the dreadful death of George Floyd in Minneapolis, they were stirred equally by our history of Aboriginal deaths in custody. Many of the marchers tried to publicise these deaths not only to fellow Australians but to people around the world.
Australia has its faults and failings, past and present, but by today’s world standards it can hardly be singled out as racist. It has never tolerated slavery.
Even in the era of the White Australia policy, Australians’ attitude to exotic migrants was little different to the attitudes of most European nations.
In the past 30 years we have, measured by the size of our population, admitted more refugees than almost any other nation, and usually afforded them housing ahead of our own homeless Australian-born people.
It is easier for a new migrant to gain voting rights here than in any nation in Asia or the Middle East. But some Australian universities display a tendency to be servile rather than independent. Beijing, and Uluru at times, must not be offended. The anti-statue crusade found instant supporters here.
The essence of studying history is that, as best we can, we try to wear the shoes and put on the spectacles worn by people of the past. We try to see the obstacles and dilemmas they struggled against or evaded. We also hope that the future will try to understand why we made blunders, and learn from failures and achievements of our era.
The statue-topplers, however, have no time for debate. Those who have just banned the once-prized film Gone With the Wind have no time for discussion. In the US it is almost taboo to ask questions publicly about the campaign Black Lives Matter.
In Australia those critics who doubted whether crowded street marches should be permitted when the coronavirus was still at large were reminded that the fight against racism — an enemy loosely defined — was as crucial as the war against a deadly virus. Those painful minutes in Minneapolis were a timely reminder of painful decades in Australia.
This burning topic was already entangled with another. In 1987 the Hawke Labor government, in a courageous gesture, set up a royal commission to investigate Aboriginal deaths in prison and in police custody.
The belief then was widespread that there the Aborigines had suffered an exceptionally high death rate. It was agreed that this exhaustive inquiry would probably harm our international reputation, but might also find a way for reform and prevention.
Learned judges, and many witnesses from every state and territory, met in a variety of courtrooms.
More than three years later the official verdict surprised most mainstream citizens. In short, the typical indigenous prisoner had been no more likely than the typical non-indigenous prisoner to die in custody. They were just more likely to be arrested and to end up in prison.
The Australian Institute of Criminology assiduously began to count and monitor, year after year, the total of deaths in custody, but their observations and statistics are not familiar to most people who, in good faith, marched last weekend. Their findings were not familiar to the television reporters who courteously questioned the marchers.
I heard no mention, saw no slogan, that proclaimed the truth that non-indigenous prisoners were more at risk than indigenous prisoners of dying while in police custody or prison. Expressed another way: the death rate for each 1000 prisoners is lower for the indigenous than for the non-indigenous.
Prison deaths probably cause more concern among the Aboriginal public. Many of their relatives die in prisons far from home and close relatives. Many commit suicide.
Since the early 1990s one-third of all indigenous deaths in prison have been the result of suicide, usually by hanging. Moreover, half of those prisoners had previously attempted suicide.
Fortunately, strong attempts have been made by governments and prison officials to lower the suicide rate in recent years. The main cause of death of indigenous prisoners, especially after 2004, is natural causes: heart troubles predominate, but they might well be a result of earlier living conditions.
An unexpected trend is for the indigenous prison population now to increase at the faster rate; they now constitute 30 per cent of all prisoners.
The high Aboriginal incarceration rate has been the topic of numerous reports and was the message on many of the handwritten notices held aloft by protesters last weekend. It has given Australia a burst of unfavourable publicity, and China this week subtly exploited it.
To solve the prison problem will not be easy. Money alone has failed to solve it. In my eyes — I could be astray — the prison dilemma now seems far more urgent than the question of whether the Constitution should be altered as to embrace or favour the Aboriginal and Torres Strait Islanders.
The global surge of unrest in the past fortnight had another surprising effect. The British history of this land began as a kind of prison. How to reform that prison was a major debate in the middle of the 19th century. Unexpectedly the prison debate is back again.
Historian Geoffrey Blainey’s latest book is Captain Cook’s
Epic Voyage.
Sunday, June 14, 2020
Integrating indigenous
If separatism is such misery, do we try integration
We cannot ‘pin the repeated failures on anyone but ourselves’.
12:00AM JUNE 12, 2020
Henry Ergas
That indigenous Australians, who make up 3 per cent of this country’s population, account for 30 per cent of its prisoners is a national disgrace. That by the time they reach the age of 23, 75 per cent of young indigenous people in NSW will have been cautioned by police, referred to a youth justice conference or convicted of an offence in a criminal court — compared with just 17 per cent of their non-indigenous counterparts — makes the disgrace all the more searing.
And the fact that just in the past five years nearly a quarter of the indigenous male population has been arrested and more than 10 per cent jailed, while one indigenous child in five has, at some stage, lost a parent to prison, raises that disgrace into an outrage.
However, the worst of it is that the fault does not lie in the criminal justice system. After all, were these shocking outcomes due to racial bias, the path to a solution would be straightforward.
But indigenous Australians are not imprisoned at such appalling rates because our system of law enforcement treats them unduly harshly.
Rather, they are disproportionately represented in this country’s jails, and in the deaths that occur in those jails, because they are far more likely to commit violent offences. Nor is that seriously in dispute. On the contrary, as Don Weatherburn, perhaps Australia’s most eminent criminologist, concludes in a recent paper with Hamish Thorburn, “the overwhelming weight of evidence” confirms that “differences in rates of offending (and reoffending) account for most, if not all, of the difference in imprisonment rates” between indigenous and non-indigenous Australians.
And with indigenous women being nearly 40 times more likely to be hospitalised for intentionally inflicted violence than are Australian women generally, it is also beyond dispute that the harm those offenders inflict falls most grievously on indigenous Australians themselves.
Yet none of that lets non-indigenous Australians off the hook. It was not indigenous Australians who destroyed thousands of Aboriginal jobs in country areas by suddenly raising the wages of cattle station labour in 1965; it was the Commonwealth Conciliation and Arbitration Commission.
Nor was it indigenous Australians who decided, just as the commission’s judgment was having its devastating effects, to massively subsidise remote Aboriginal settlements, condemning generation after generation to inadequate housing, an education scarcely worth having and a future shorn of jobs and hope; it was the Whitlam and Fraser governments.
And it was not indigenous Australians who removed the prohibitions on the consumption of alcohol by, and the sale of alcohol to, Aboriginal people that had been in force throughout Australia since 1929.
It was state and territory governments that, in keeping with the 1960s zeitgeist of self-determination, repealed those controls and decriminalised public drunkenness, plunging fraying Aboriginal communities into a spiral of alcohol-fuelled violence and helping to ensure that indigenous offenders are nearly three times more likely than non-indigenous offenders to be intoxicated when they commit their crimes.
The result, as one Aboriginal community after the other succumbed to the epidemic of substance abuse, was that indigenous incarceration rates, which had been falling since World War I, began to soar.
Far from slowing that rise, the explosive growth in welfare outlays that followed the onset of the crisis perpetuated the pathologies by allowing dysfunctional communities to survive. And instead of frankly confronting the root causes, successive governments relied on grandiose statements of good intentions and on torrents of cash in an increasingly futile attempt to paper over the cracks.
Had the thousands of Australians who marched last week learned from that history and drawn its lessons, one could only have cheered them on.
Of that, however, there was no sign. Epitomised by the participants’ slavish imitation of the ritual gesture of kneeling — which has clear resonance in America because of the prominence of the kneeling slave in the imagery of the abolitionist movement, but which lacks those associations in Australia — the rallies were copycat protests at which self-proclaimed representatives of indigenous people could vent imported rhetoric in tones of punitive hysteria.
No doubt the slogan-mongering went down well with the crowd, many of whom had been chafing at the bit to return to protesting, regardless of the health risks that imposes on the community as a whole.
And it would have been mother’s milk to the young Australians who had been taught since childhood that Europe’s expansion was a plague on the skin of the earth, that its civilisation was a monstrous imposture and that its arrival on these shores 2½ centuries ago heralded the destruction of a Garden of Eden.
But demeaning the past does nothing to heal the present. Nor, for that matter, does setting ambitious targets that we do not know how to achieve, as the government seems intent on doing.
Rather, what is needed is honesty and clear-sightedness. And the starting point must be to confront some uncomfortable realities. It is, to begin with, clear that much-touted nostrums, such as diverting juvenile offenders from the court system, have been tried and largely found to fail, with most studies concluding that they do not decrease the risk of reconviction, the time to reconviction, the seriousness of further offending or the number of reconvictions.
And it is equally clear that while those approaches are not a viable solution, imprisonment does reduce the extent and incidence of serious offending, as well as shielding, at least for a time, the victims of violence from their tormentors.
That hardly implies we should simply accept the dreadful costs mass incarceration imposes on indigenous Australians and on the moral fabric of the nation.
What it does mean, however, is that we face an alternative. We can salve our conscience by retaining the unstated premise that has led to the current calamity: that indigenous Australians are essentially a separate race, who should be funded to live at enormous expense in places where there are no viable jobs, where supplying basic services is prohibitively costly and where alcohol and drugs are the only antidote to squalor, boredom and despair.
If that is our choice, today’s pathologies, and the mass incarceration that is their symptom, will persist for decades to come.
Or, while recognising the deep and enduring scars, we can reconsider the whole notion of racial separateness, reaffirm our commitment to the ideal of integration and begin the transition to a country whose principles, policies and ways of life are genuinely colourblind.
The one thing we cannot do is pin the repeated failures on anyone but ourselves. They are a tragedy of our own making. And more than ever, they are our responsibility to repair.
Woke PC World
WOKE MOBS RISE UP IN WAR ON THE WEST
The new cultural revolutionaries are on the march against the past
The West is in the grip of a cultural revolution. Modern-day Red Guards have declared war on the past. The Black Lives Matter protests that erupted in response to the police killing of George Floyd have morphed with staggering speed into a frenzied assault on history, liberty and reason.
.
Friday, June 12, 2020
No Slavery in Australia?
Slavery had no place in the founding vision
PAUL KELLY
Australian nationhood in 1901 was driven by powerful ideas in the public’s mind — that of an egalitarian, racist, democratic polity that had learnt from the mistakes of our two great exemplars, Britain and America.
Integral to this vision was a complete repudiation of slavery. This was a deliberate and calculated decision. It had overwhelming support from the Australian public at Federation. Australia’s founders were deeply aware of the catastrophic history of slavery in the US and were determined that Australia would not follow this disastrous path.
One of the key figures in Federation and the most influential of our early prime ministers, Alfred Deakin, enunciated the position of virtually the entire political class: “No slave is to be allowed to tread Australian soil at all. The mere suspicion of the taint of slavery is leading to the prohibition of the Pacific Island labourer.”
The Federation generation took ruthless steps to outlaw slavery in the cause of racial white egalitarianism, the essence of Australian nationalism. Their conviction was absolute: our nationalism would not tolerate slave or cheap coloured labour.
But this sentiment long predated Federation. It was critical to the vision of Governor Arthur Phillip in his conception of the colony of NSW. Phillip wrote: “The laws of this country will of course be introduced in NSW and there is one I would wish to take place from the moment His Majesty’s forces take possession of the country: that there can no slavery in a free land and consequently no slaves.”
This was the founding governor’s core vision of Australia. It was a path-breaking vision, far in advance of Britain and America. For Phillip, the settlement he was founding would be free; it would have convicts but no slaves. And this was written many years before slavery was abolished in Britain. Phillip’s vision revealed his intentions far transcended a mere convict colony.
It was also a sharp departure from the American narrative.
The American paradigm was a nation half built on slaves carried from Africa; the Australian paradigm became something different — a nation built on Aboriginal dispossession. Exploitation of Aboriginal people was ruthless and brutal.
Like many visions, Phillip’s was impaired in delivery. But when in history’s name has this not occurred? It is true there were many departures from Phillip’s vision. It is misleading, therefore, to think there was never any slavery or trace of slavery in Australia.
Indentured Aboriginals worked for farmers and squatters, some were forced to work in the west’s pearl industry, others in agricultural labour, yet others were victims of forced labour or prison gangs. The pictures are horrific. The moral vacuum at Federation was the plight of the indigenous peoples assumed to be a dying race and left with no role in the formal political, economic and constitutional structure.
In 1901 there were nearly 9000 Pacific Islanders working the Queensland cane fields, the legacy of about 50,000 who had been brought to the north or kidnapped in the last 40 years of the 19th century.
But Queensland sugar interests were subjugated post-Federation under the legislative power of the new Australian nation. Despite their heartfelt pleas to stay, the government was resolute. Many of the Islanders were Christians with established families and desperate to stay but more than 7000 of them were repatriated between 1904 and 1908.
These workers, many of whom were not paid, were sent home and the government and unions enforced a policy of exclusive white wage justice in the industry. Deakin, in effect, was delivering Phillip’s vision.
These facts suggest Scott Morrison was misleading in his remarks this week that “there was no slavery in Australia”. But Morrison was more right than wrong. His remarks were correct in reflecting Phillip’s vision at the founding of NSW. There is no disputing the point Morrison was making: the conception of the Australian nation had no place for slavery.
The entire impulse from the federated nation was to remove the remnants of slavery that had existed. Those critics of Morrison who ignore Phillip’s conception and the deliberate campaign from Federation to create a new nation devoid of slavery have violated and distorted the history far more than Morrison.
Both sides need to get the story right. Telling the truth to history is no one-way street, yet this is how it is presented and that project will assist nobody.
In truth, many of the critics fail to comprehend the forces that created the Australian nation. These were also embodied in the first laws passed by the new parliament, the Immigration Restriction Act, giving effect to the White Australia policy, followed by the Pacific Islands Labourers Act to remove the Islanders.
The idea, in the language of the day, was that Australia was to have no coloured labour, no paupers and no poor houses. This position was held most tenaciously by the Australian Labor Party. Deakin, as acting prime minister, said of the removal of the Islanders, known as Kanakas: “It has been universally admitted that the introduction of the Kanaka reflects no credit on Australia.”
The two remarkable features of the White Australia policy were its near universal support and its longevity. It prevailed until the late 1960s and early 1970s. It was supported by every prime minister until Harold Holt.
Judged by today’s standards the policy was deeply offensive but if you choose to act upon that offence you will need to pull down every statue to every politician for our first 66 years as a nation, from Deakin to Billy Hughes to John Curtin to Ben Chifley to Bob Menzies, as well as burn the paintings and torch the archives and Hansard for twothirds of the past century.
The founding fathers were also desperate to avoid the southern African as well as the American experience. The first prime minister, Edmund Barton, repudiated any notion of slave or cheap labour in the mines and plantations, saying, if that happened, “the whole civilised world will be the losers”.
You can deplore the racism at its heart but the companion to that racism was Australian equalitarianism, and that egalitarianism has evolved and survives today devoid of its racial dimension.
For too long that egalitarianism excluded indigenous peoples, an omission the nation still struggles to put right.
It is surely ironic — perhaps beyond belief — that Black Lives Matter activists in Australia this week are appropriating or linking to this country the American experience of slavery that ran for centuries, that was based upon the transportation of Africans to America, that became pivotal to the Southern economy, provoked a civil war and represents today a legacy far different from the challenges faced by indigenous Australians.
The most comfortable response to historical sins is to purge them from sight and memory. But such policies merely reflected the values of the time. Racial equality did not exist in the 19th and early 20th centuries when much of Africa, Asia and the Middle East was under colonial rule.
Trying to destroy the past is an excuse for not coming to grips with it — in its flaws and achievements. True history is complex, not simple. But conclusions are needed — and any notion of Australia as a nation built or dependent or organised on slavery distorts, not illuminates, our history.
The companion to (historical) racism was Australian equalitarianism, and that egalitarianism has evolved and survives today devoid of its racial dimension
Thursday, June 11, 2020
Western Liberalism
WESTERN LIBERALISM STANDS FIRM ON CHRISTIANITY’S ROCK
The horrible death of George Floyd at the hands of a brutal policeman in Minneapolis is producing very diverse reactions. One is a wholly good sense of human solidarity across racial lines. Such a response, that race is incidental to humanity, of no consequence in determining a person’s worth, has no power to diminish human dignity, is a wonderful response, and expresses traditional liberalism. This requires the law to have no consideration for race, which means justice for every human being regardless of race. Seeking that authorities live up to this is a necessary ambition.
Wednesday, April 01, 2020
SomeInterestingFacts
We are in the midst of the strangest event of our lives. Societies have shut down. Families and whole nations face financial ruin. Walking the streets is now a crime from Paris to Sydney to Mumbai. And all of this has occurred not despite the will of the people but because of it.