COMMONWEALTH OF PARLIAMENTARY DEBATES

SENATE Official Hansard

WEDNESDAY, 11 NOVEMBER 1998

THIRTY-NINTH PARLIAMENT FIRST SESSION—FIRST PERIOD

BY AUTHORITY OF THE SENATE CANBERRA CONTENTS

WEDNESDAY, 11 NOVEMBER

Order of Business— Consideration of Business ...... 57 Parliamentary Secretaries ...... 57 Days and Hours of Meeting ...... 57 Order of Business— Procedure Committee ...... 57 Committees— Departments and Agencies: Allocation ...... 57 Data-matching Program (Assistance and Tax) Amendment Bill 1998 (No. 2)— First Reading ...... 58 Second Reading ...... 58 Migration Legislation Amendment (Strengthening of Provisions Relating to Character and Conduct) Bill 1998 (No. 2)— First Reading ...... 59 Second Reading ...... 59 Education Services For Overseas Students (Registration of Providers and Financial Regulation) Amendment Bill 1998 (No. 2)— First Reading ...... 61 Second Reading ...... 61 Consideration of Legislation ...... 62 Old Parliament House: Signage ...... 63 Governor-General’s Speech— Address-in-Reply ...... 63 Remembrance Day ...... 78 Governor-General’s Speech— Address-in-Reply ...... 78 Matters of Public Interest— Alice Springs Desert Park ...... 95 Masters Games ...... 95 Tasmania: Federal Representation ...... 98 Federal Election ...... 101 Ault, Mr Mark ...... 101 Superannuation: Industry Funds ...... 101 Armistice Day ...... 104 Education: Teaching of History ...... 104 Ministerial Arrangements ...... 106 Questions Without Notice— Departmental Secretaries ...... 106 Economy: Government Mandate ...... 107 Ministerial Code of Conduct ...... 108 Taxation Reform: Benefits ...... 108 Victoria: Gas Emergency Relief Package ...... 109 Taxation Package: Mandate ...... 110 Ibrahim, Mr Anwar ...... 111 Hurricane Mitch: Aid ...... 112 Taxation Reform: Consultation ...... 112 Taxation Reform: Employment ...... 113 Goods and Services Tax: Advertising Campaign—Advance to the Minister for Finance and Administration ...... 114 Greenhouse Gases ...... 115 Policy Costings ...... 116 Taxation Reform: Families ...... 116 Taxation Reform: Advertising ...... 117 Regional Australia: Services ...... 118 Rendell, Mr Stuart ...... 119 Legislative Council Remonstrance 120 Answers to Questions Without Notice— Ministerial Code of Conduct ...... 120 CONTENTS—continued

Personal Explanations ...... 127 Petitions— East Timor ...... 127 Landmines ...... 127 Uranium: World Heritage Areas ...... 127 Logging and Woodchipping ...... 127 World Heritage ...... 128 Higher Education Contribution Scheme ...... 128 Sexuality Discrimination ...... 128 Superannuation: Social Security Means Test ...... 128 Logging and Woodchipping ...... 128 Timed Local Calls ...... 129 Multilateral Agreement on Investment ...... 129 Pharmaceutical Benefits Scheme ...... 129 Genetically Engineered Food ...... 129 Soccer World Cup ...... 130 Afghan Community ...... 130 Introduction Agencies ...... 130 Pork Industry: Imports ...... 130 Migration Regulations: Cohabitation Requirement ...... 131 Home and Community Care Program ...... 131 Australia Post: Deregulation ...... 131 Australia Post: Alexander Heights, ...... 131 Notices— Business Income Tax Review ...... 132 Introduction of Legislation ...... 132 Restoration of Legislation to Notice Paper ...... 132 Consideration of Legislation ...... 132 Reference of Bills to Committees ...... 133 Consideration of Legislation ...... 133 Telstra: Sell-down ...... 137 Nuclear Weapons ...... 137 Contingent Notices of Motion ...... 138 Sexuality Discrimination ...... 138 Kew Cottages, Victoria ...... 138 Order of Business— Jabiluka Uranium Mine ...... 139 Taxation Package: References to Committees ...... 139 Goods and Services Tax: Reference to Committee ...... 139 Finance and Public Administration References Committee ...... 139 Taxation Package: References to Committees ...... 139 Goods and Services Tax: Production of Documents ...... 139 Employment, Education and Training References Committee ...... 139 Matters of Urgency— Centrelink: Job Losses and Level of Service ...... 139 Data-matching Program (Assistance and Tax) Amendment Bill 1998 (No. 2)— Second Reading ...... 153 In Committee ...... 161 Third Reading ...... 161 Governor-General’s Speech— Address-in-Reply ...... 162 Documents— Human Rights and Equal Opportunity Commission ...... 172 Australian Meat and Live-stock Corporation ...... 174 Australian Fisheries Management Authority ...... 175 National Competition Council ...... 176 Consideration ...... 177 Adjournment— Taxation Reform: Mandate ...... 177 Federal Election ...... 177 CONTENTS—continued

Federal Election ...... 179 Pork Industry: Imports ...... 179 Wool Industry ...... 179 Liquefied Petroleum Gas: Prices ...... 181 Diesel ...... 181 Pork Industry: Competitiveness ...... 182 Documents— Tabling ...... 183 Tabling ...... 184 Questions On Notice— Science Research: Funding—(Question No. 1093) ...... 185 Australian Federal Police: Truce Monitoring Group Duties—(Question No. 1217) ...... 187 Australian Federal Police: Truce Monitoring Group Staff Selection Process—(Question No. 1218) ...... 187 Australian Federal Police: Truce Monitoring Group Terms and Conditions—(Question No. 1219) ...... 188 Australian Federal Police: Truce Monitoring Group Terms and Conditions—(Question No. 1220) ...... 188 Australian Federal Police: Truce Monitoring Group Funding—(Question No. 1221) ...... 188 Work for the Dole Scheme: Hot Line—(Question No. 1230) ...... 188 Chinese Students: Visas—(Question No. 1241) ...... 189 Department of Communications, Information Technology and the Arts: Conference Expenditure—(Question No. 1254) ...... 189 Department of Health and Family Services: Conference Expenditure—(Question No. 1260) ...... 192 Department of Employment, Education, Training and Youth Affairs: Conference Expenditure—(Question No. 1262) ...... 193 Drought Exceptional Circumstances Assistance—(Question No. 1274) 197 Action Plan for Australian Agriculture—(Question No. 1280) ...... 199 Bougainville: Landmines and Booby Traps—(Question No. 1315) . . . 201 Medicare: Alternative Medicine—(Question No. 1318) ...... 201 Civil Aviation Authority: Supplementary Answer to Question No. 1122 202 SENATE 57

Wednesday, 11 November 1998 COMMITTEES Departments and Agencies: Allocation The PRESIDENT (Senator the Hon. Motion (by Senator Kemp, at the request Margaret Reid) took the chair at 9.30 a.m., of Senator Alston)—as amended by leave— and read prayers. agreed to: (1) That standing order 25(1) be amended as ORDER OF BUSINESS follows: Consideration of Business Omit: ‘Employment, Education and Training’ Motion (by Senator Kemp, at the request Substitute: ‘Employment, Workplace Rela- of Senator Alston) agreed to: tions, Small Business and Education’ That standing order 3(4) be suspended to enable Omit: ‘Environment, Recreation, Communica- the Senate to consider business other than that of tions and the Arts’ a formal character before the address-in-reply to the Substitute: ‘Environment, Communications, Governor-General’s opening speech has been Information Technology and the Arts’. adopted. (2) That continuing order no. 1, relating to the allocation of departments and agencies to PARLIAMENTARY SECRETARIES standing committees be amended to read as Motion (by Senator Kemp, at the request follows: of Senator Alston) agreed to: Departments and agencies are allocated to the That: legislative and general purpose standing committees as follows: (1) Any senator appointed a parliamentary secre- tary under the Parliamentary Secretaries Act Community Affairs 1980 may exercise the powers and perform the Family and Community Services functions conferred upon ministers by the Health and Aged Care procedures of the Senate, but may not be asked or answer questions which may be put Economics to ministers under standing order 72(1) or Treasury represent a minister before a legislation com- Industry, Science and Resources mittee considering estimates. Employment, Workplace Relations, Small (2) This order is of continuing effect. Business and Education Employment, Workplace Relations and DAYS AND HOURS OF MEETING Small Business Motion (by Senator Kemp, at the request Education, Training and Youth Affairs of Senator Alston) agreed to: Environment, Communications, Information That the days of meeting of the Senate for the Technology and the Arts remainder of 1998 be as follows: Environment and Heritage Thursday, 12 November Communications, Information Technology Monday, 23 November to Thursday, 26 and the Arts November Finance and Public Administration Monday, 30 November to Thursday, 3 Decem- Parliament ber. Prime Minister and Cabinet ORDER OF BUSINESS Finance and Administration Foreign Affairs, Defence and Trade Procedure Committee Foreign Affairs and Trade Motion (by Senator Kemp, at the request Defence (including Veterans’ Affairs) of Senator Alston) agreed to: Legal and Constitutional That consideration of the first report of 1996 of Attorney-General the Procedure Committee concerning the applica- Immigration and Multicultural Affairs tion and interpretation of the third paragraph of section 53 of the Constitution be an order of the Rural and Regional Affairs and Transport day under government business for the next day of Transport and Regional Services sitting. Agriculture, Fisheries and Forestry. 58 SENATE Wednesday, 11 November 1998

DATA-MATCHING PROGRAM involved in the Data-matching Program, there is a (ASSISTANCE AND TAX) requirement that those Agencies report annually to the Privacy Commissioner. The act also requires AMENDMENT BILL 1998 (No. 2) that these reports are laid before the Parliament. First Reading There is also a triennial report to the Parliament covering the three previous financial years. The Bill received from the House of Representa- first triennial report is due in the second half of this tives. year. Motion (by Senator Kemp) agreed to: Madam President, in 1996 the Australian National That this bill may proceed without formalities Audit Office (ANAO) conducted a follow-up of its and be now read a first time. 1993 Audit of Data-matching within the Depart- ment of Social Security. This review was in Bill read a first time. keeping with this Government’s 1996 election commitment to review the Data-matching Program. Second Reading Madam President it can be noted that the ANAO’s Senator KEMP (Victoria—Assistant Audit opinion given in its 1996 report was as Treasurer) (9.34 a.m.)—I table the explana- follows: tory memorandum and move: Overall the Department has made substantial That this bill be now read a second time. achievements through implementing legislative I seek leave to have the second reading changes, improved reporting procedures, savings speech incorporated in Hansard. collection, better targeting and project evaluation processes. These changes have resulted in both Leave granted. substantial increases in savings generated by the The speech read as follows— Program and in efficiency improvements. Madam President, the Data-matching Program is an When the Data-matching Program (Assistance and important aspect of the continued efforts of this Tax) Act 1990 was first enacted it incorporated a Government to ensure the integrity of Australia’s sunset clause to take effect in January 1993. That social welfare system. sunset clause has, however, been extended by the Parliament on three separate occasions. The latest Over the past seven years, the Data-matching occasion was in 1995 when the sunset clause was Program has been conducted under the Privacy extended until 23 January 1999. In part the sunset Commissioner’s scrutiny with careful regard for clause was kept in place because of concerns in the individual privacy and is an important control on Parliament that the Data-matching Program would personal financial assistance schemes, helping to not achieve the expected savings and in part as an keep them free of abuse and fraud. It has been attempt to allow the Parliament to maintain scrutiny proven over the past two years that it can achieve of the Program. substantial savings in public expenditure. The Data-matching Program is also valuable in Madam President, the Data-matching Program has encouraging voluntary compliance with the rules in now proven that very substantial savings can be place to ensure payments are targeted to those in achieved, and the Parliament has been regularly need. It reminds the community that it is not a case informed of the operation of the Program in of if fraud will be detected, but when. It has now addition to its deliberation of bills previously become an important feature of the review mecha- introduced to deal with the sunset clause. The nisms that are helping to build the integrity of the Program has become an important feature of the system and the confidence of the public that the overall social welfare system and one that needs to system is, in fact, secure from fraud. be given a permanent place in the continuing efforts to maintain and improve that system. In the There are on-going review and reporting arrange- event that the sunset clause is allowed to come into ments in place to allow the Parliament to maintain effect, the loss of savings that could be achieved its scrutiny of the Program. The present Govern- would be in the order of $560 million over the four ment, when in Opposition, argued successfully for years from 1998-99. Accordingly, this bill seeks to continuation of this scrutiny. The Privacy Commis- remove the sunset clause. sioner continues to play an important role in ensuring that the Government agencies participating Madam President, I commend the bill to the Senate. in the Data-matching Program abide by the strict conditions already set down in the legislation to Ordered that further consideration of the protect the privacy of individuals. In addition to the second reading speech of this bill be ad- Privacy Commissioner being able to seek informa- journed till 14 days after today, in accordance tion and scrutinise the activities of the Agencies with standing order 111. Wednesday, 11 November 1998 SENATE 59

MIGRATION LEGISLATION with law enforcement bodies overseas. For these AMENDMENT (STRENGTHENING OF steps to be effective, however, they must be complemented by legislative provisions to ensure PROVISIONS RELATING TO that non-citizens with criminal backgrounds or CHARACTER AND CONDUCT) BILL criminal associations can be refused a visa. The 1998 (No. 2) provisions must also enable the Government to remove those non-citizens who are detained follow- First Reading ing convictions for crimes committed in Australia. Motion (by Senator Kemp) agreed to: Experience over recent years has shown that the That the following bill be introduced: a bill for existing legislative provisions are inadequate for an act to amend the Migration Act 1958, and for this task. This is despite the fact that they were other purposes. amended as recently as 1992 with the express purpose of improving the Government’s ability to Motion (by Senator Kemp) agreed to: deal with visa applicants and visa holders with a That this bill may proceed without formalities substantial criminal background. In broad terms, the and be now read a first time. bill seeks to enhance the Government’s ability to deal with non-citizens who are not of good charac- Bill read a first time. ter in three ways: Second Reading . First, decision-making in routine cases will be Senator KEMP (Victoria—Assistant improved by: Treasurer) (9.35 a.m.)—I table the explana- - requiring applicants to show that they are of tory memorandum and move: good character; - deeming that certain levels of criminal senten- That this bill be now read a second time. ces will lead to an automatic finding that the I seek leave to have the second reading non-citizen concerned is not of good character; speech incorporated in Hansard. and Leave granted. - allowing the Minister for Immigration and Multicultural Affairs to give binding directions The speech read as follows— to decision-makers. The purpose of this bill is to ensure that the . Secondly, in exceptional or emergency circum- Government can effectively discharge its fundamen- stances, the Minister, acting personally, will be tal responsibility to prevent the entry and stay in given powers to act decisively on matters of visa Australia of non-citizens who have a criminal refusal, cancellation and the removal of non- background or have criminal associations. citizens. This bill is largely the same as one which was . Thirdly, information provided by Australian and before the Senate in the last Parliament. international law enforcement agencies will be The Government has, however, made two changes afforded more effective protection so that such from that bill. The first of these extends the time agencies can be confident about passing informa- limit for lodging review applications with the tion to immigration decision-makers. Administrative Appeals Tribunal, and the second I will now describe the major provisions of the bill doubles the time in which that Tribunal will have in more detail. to review such applications. The character test In considering this bill, we must remember that the vast majority of non-citizens who come to Australia The amendments proposed in this bill introduce the are in fact law-abiding people. concept of a character test. Under this test, the onus will be on visa applicants and visa holders to In a world of rapidly increasing people movements, satisfy decision-makers that they can pass the test. our immigration arrangements must be designed to This will redress a significant deficiency in the streamline the entry and stay of all genuine visitors, legislation arising from the changes made in 1992. students, business people and permanent residents. Since that time, decision-makers have been required However, a small proportion of non-citizens to establish that a person is not of good character seeking to enter Australia do have substantial before they could refuse a visa to an applicant or criminal backgrounds or criminal associations. cancel a visa. This has meant that, whenever there Others commit crimes while they are in Australia. has been doubt about the criminal background or Steps to improve the Department of Immigration criminal associations of a non-citizen, the doubt has and Multicultural Affairs’ ability to detect visa been resolved in the non-citizen’s favour. I under- applicants with substantial criminal backgrounds or stand that this was not the intention of the 1992 associations are being taken including consultation amendments. 60 SENATE Wednesday, 11 November 1998

This bill then takes us back to the situation that Merits review existed before 1992 by placing the onus of proof on The opportunity to appeal character decisions to the the visa applicant to demonstrate that he or she is Administrative Appeals Tribunal (AAT) will be of good character. This means that where there are retained. However, there is a critical need to reform real doubts about the criminal background or these arrangements in two main respects: first, in criminal associations of a visa applicant or visa terms of speeding up merits review processes; and, holder, the objective of protecting the Australian secondly, in terms of ensuring that merits review community will take precedence in immigration decisions reflect community standards and expecta- decision-making. tions. Deeming provisions Merits review streamlining and time limits This bill also seeks to establish clear benchmarks for criminal behaviour that would automatically Where a non-citizen who is already in Australia is lead to a non-citizen failing the character test. Non- refused a further visa or has their visa cancelled on citizens who have been convicted to a single character grounds, it is essential that merits review sentence of detention of 12 months or more, or cannot be used to prolong stay in Australia at where the length of several sentences aggregates to taxpayers’ expense. The average time currently two years or more, will fail the character test. This taken for such cases at merits review is 227 days will truncate the character assessment process and from the initial notification to a final decision. cover most non-citizens of character concern who Many cases take even longer. come to notice. This will provide more certainty as During this time, the non-citizens involved, many to who is able to pass the character test. of whom have committed serious crimes, either will Binding directions on exercise of the discretion be in detention at great cost to the taxpayer or will be at liberty in the community. Quite frankly, this Once it is established that a visa applicant or visa must stop. This bill introduces more streamlined holder does not pass the character test, decision- procedures for dealing with such cases. It also makers will have to decide whether to refuse the introduces a strict 84 day time limit for the conduct application or to cancel the visa. Exercise of this of merits review cases involving character where discretion will need to take into account a wide the non-citizen is in Australia. range of factors including: the non-citizen’s links to Australia; the nature of crimes committed; and We will ensure that all relevant documentation any international law obligations. necessary for the AAT to determine the matter will be provided quickly, at the outset of the process. This bill will enable the Minister for Immigration The amendments will establish a new process and Multicultural Affairs to give precise written where the Department will be required to provide directions on what weight is to be given to each of two copies of the relevant documentation to the these factors. These directions must be binding on applicant at the time of the decision. Then, at the all decision makers, including merits review time the appeal is made, the applicant only has to tribunals, to ensure a consistency of approach. The lodge one copy of the documentation with the written directions will be tabled in Parliament. AAT. The need for strict time limits is consistent Protection of criminal intelligence with other review processes in the immigration area Criminal intelligence and related information is where delay can prejudice both the applicant and critical to assessing the criminal background or the community. associations of non-citizen visa applicants and visa The provision will result in a more streamlined holders. At present, it is difficult for the Depart- process, with the applicant, the Department and the ment to use such information in making character AAT using less time and resources to obtain the decisions because its disclosure might be threat- necessary documentation. Currently much effort is ened. Australian and international law enforcement devoted to, and delay arises in, pursuing papers and agencies are reluctant to provide sensitive informa- documentation from non-citizens and the Depart- tion unless they are sure that both the information ment. and its sources can be protected. Greater protection for such material would complement broader The strict time limit will prevent non-citizens from national and international strategies to counter further attempts to delay the resolution of their transnational crime and the activities of those case. associated with it. Minister’s power to intervene or set aside This bill increases the level of protection for such Administrative Appeals Tribunal decisions information. I cannot overstate the importance of Over the past 12 months or so, the AAT has made this protection to the job of preventing the entry of a number of character decisions that are clearly at foreign criminals to Australia. This was highlighted odds with community standards and expectations. in the Minister’s recent discussions with officials The AAT has found a number of non-citizens, who of international law enforcement agencies. have been convicted of very serious crimes, to be Wednesday, 11 November 1998 SENATE 61 of good character, and has ruled that they should journed till 14 days after today, in accordance be granted a visa. This has alarmed the community with standing order 111. and I might say the community, when they are aware of these decisions, hold the Government and EDUCATION SERVICES FOR not the AAT responsible. OVERSEAS STUDENTS It is essential that the Minister, acting personally, (REGISTRATION OF PROVIDERS have the power to intervene or set aside such AND FINANCIAL REGULATION) decisions in the national interest. The Minister should, however, continue to be required to table AMENDMENT BILL 1998 (No. 2) the making of any such decisions in the Parliament. First Reading Emergency cases Motion (by Senator Kemp) agreed to: From time to time, there will be emergency cases involving non-citizens who may be a significant That the following bill be introduced: a bill for threat to the community. These people may be an act to extend the operation of the Education threatening violence or some other act of destruc- Services for Overseas Students (Registration of tion or have a prior history of serious crime. In Providers and Financial Regulation) Act 1991, and these emergency circumstances, the Minister, again for related purposes. acting personally, should have the power to act Motion (by Senator Kemp) agreed to: without notice and have them taken into detention. That this bill may proceed without formalities Once the visa is cancelled, the non-citizen will and be now read a first time. have a right to make a submission to the Minister as to why the cancellation should be revoked. Bill read a first time. Natural justice will apply in such cases. However, if they cannot satisfy the Minister that they pass the Second Reading character test, they should be removed immediately. Senator KEMP (Victoria—Assistant Parliament should be notified of the making of such Treasurer) (9.36 a.m.)—I table the explana- decisions but the decisions should not be subject to tory memorandum and move: merits review because of their national significance. The Minister is very accountable for his actions—to That this bill be now read a second time. the Parliament, his colleagues, and to the people of I seek leave to have the second reading Australia. speech incorporated in Hansard. The provision is similar in nature to other provi- sions already present in the Migration Act— Leave granted. Subdivision F of the Migration Act (section 128) The speech read as follows— provides for cancellation offshore without notice and the right of the non-citizen to make a subse- The Education Services for Overseas Students quent submission as to why the cancellation or (Registration of Providers and Financial Regulation) refusal should be revoked. This Subdivision was Bill 1998 proposes to amend section 20 of the inserted in 1992 by the previous Government. principal act, the Education Services for Overseas Students (Registration of Providers and Financial Conclusion Regulation) Act 1991 (ESOS Act). Section 20 of In summary, this bill sends a clear and unequivocal the ESOS Act is a sunset clause which will deacti- message on behalf of the Australian community. vate the act on 1 January 1999. The Australian community expects that non-citizens The government requests an amendment to the coming to Australia should be of good character. sunset clause by extending the date the sunset To discharge this expectation, the Government must clause takes effect from 1 January 1999 to 1 have the ability to act quickly and decisively, January 2002. This amendment recognises that the wherever necessary, to remove non-citizens who ESOS Act: are not of good character. . has universal and strong support of stakeholders During debate in the House of Representatives in the industry; and before the election, the Opposition indicated that they supported the objective that the Government . has achieved its objectives of ensuring the provides for in this bill. This bill now incorporates quality of providers and courses and a stable some amendments reflecting discussions between domestic environment for the industry. the Minister and the then Opposition spokesman. A stable domestic environment is particularly I commend the bill to the Chamber. important to maintain confidence in Australia’s international education industry during the current Ordered that further consideration of the volatile period in many of Australia’s major source second reading speech of this bill be ad- markets. 62 SENATE Wednesday, 11 November 1998

The ESOS Act was introduced to provide both The cooperative regulatory model, with the financial protection and quality assurance for Commonwealth’s ESOS Act as the key national international students who choose to study in element, has successfully maintained a stable Australia. In 1993 the ESOS Act was amended to domestic environment for the education and enhance the quality and integrity of our educational training services export industry over the past five products and to strengthen the protection the act years. This is evidenced by Australia’s highly offers to international students’ prepaid funds. successful engagement in education exports and the Assurances are provided by registering providers of continued strong support which stakeholders have international education and training, based on State for the ESOS Act. or Territory approval and accreditation, and by Stakeholders’ support for the ESOS Act recognises imposing financial conditions on private education that the growth of Australia’s international educa- providers. tion industry depends on the confidence that The principal act was introduced in 1991 to meet students overseas have in the quality of the courses three main objectives, namely: they undertake and the protection of the moneys . to ensure that international students in Australia they invest in receiving an Australian education. are treated with equity and fairness; The international education and training industry is . to provide a positive basis for promoting an important and valuable one for Australia. It is Australia’s international reputation as a provider a major part of Australia’s growth in the export of of reliable high quality education and training; services, bringing many intangible benefits, includ- and ing the development of contacts for future trade, and ideas and international perspectives. The . to ensure that tax payers’ funds are not required confidence of students is fundamental to the to recompense international students who may credibility and viability of the industry which have been let down by individual education and accounts for over $3 billion in export earnings training providers. annually. This industry deserves the support of the These objectives remain relevant today. This is the existing Commonwealth, State/Territory and universal view of industry representatives expressed industry cooperative framework and this bill to independent consultants in national consultations enables the framework to continue until 1 January in 1996 and in further consultations with stakehold- 2002 during a volatile and uncertain period for ers in April and May 1998. export services industries. In 1996 the ESOS Act was amended to extend the A three year extension to the ESOS Act’s sunset sunset clause from 1 January 1997 to 1 January clause will allow a stable domestic environment to 1999. This followed a review of the ESOS Act by be maintained during a time of economic volatility an independent consultant which indicated universal in major source markets. The extension will also support for the continuation of the current coopera- allow time for the Commonwealth, State and tive approach to industry regulation. The reviewers Territory governments and industry to focus on found strong support for the Commonwealth possible future regulatory models with a view to maintaining a regulatory role in relation to the progress a greater degree of self regulation. education exports industry. The relevant arguments I commend the bill to the Senate. relate to international trade, immigration and foreign affairs matters which could not readily be Ordered that further consideration of the coordinated by the States or Territories or by second reading speech of this bill be ad- industry bodies. journed till 14 days after today, in accordance International trade in education and training ser- with standing order 111. vices will earn an estimated $3.4 billion for Aus- tralia in export revenue in 1998. Stakeholders argue CONSIDERATION OF LEGISLATION that the existing regulation of the industry adds Motion (by Senator Kemp, at the request value in the market place and they have indicated of Senator Alston) agreed to: strong support for retaining the ESOS Act as part of a cooperative Commonwealth, State/Territory That the provision of standing order 111(6) and industry approach to regulation. In particular, which prevents the continuation or resumption of they want to maintain the Commonwealth Register second reading debate on a bill within 14 days of of Institutions and Courses for Overseas Students its first introduction in either House not apply to (the register). the following bills: There are costs to the Commonwealth in maintain- Data-matching Program (Assistance and Tax) ing the regulatory framework, including the regis- Amendment Bill 1998 (No. 2) ter. The costs are shared by the Commonwealth and Migration Legislation Amendment (Strengthening industry through the collection of annual and initial of Provisions relating to Character and Conduct) registration charges, introduced in 1997. Bill 1998 (No. 2) Wednesday, 11 November 1998 SENATE 63

Education Services for Overseas Students (Regis- sections of the act. If the players—that is, the tration of Providers and Financial Regulation) taxpayers of Australia—do not understand the Amendment Bill 1998 (No. 2). rules, they can be forgiven if they do not play OLD PARLIAMENT HOUSE: the game properly. SIGNAGE No-one at this stage can predict in what Motion (by Senator Kemp, at the request legislative form the government’s proposals of Senator Alston) agreed to: will emerge from this parliament. The only That, in accordance with the section 5 of the certainty is that the amendments to those Parliament Act 1974, the Senate approves the proposals, if there are any, will have their proposal by the National Capital Authority to erect origins in the Senate and be the subject of identification signs in front of Old Parliament strongly contested debate. There is an argu- House. ment that can be advanced that, if the govern- GOVERNOR-GENERAL’S SPEECH ment does not achieve its tax reform objec- tives in legislative form in this parliament, Address-in-Reply then it can move progressively in later parlia- Senator MacGIBBON (Queensland) (9.37 ments to achieve its goals; that since there is a.m.)—I move: no such thing as a perfect tax system, because society is constantly changing, there is no That the following Address-in-Reply be agreed to: final end point to reform in taxation legisla- tion. To His Excellency the Governor-General As an experienced legislator, I have a MAY IT PLEASE YOUR EXCELLENCY— marked preference for incremental and logical We, the Senate of the Commonwealth of Austral- change to society rather than radical and ia in Parliament assembled, desire to express our loyalty to our Most Gracious Sovereign and to precipitate change. But the nature of the thank Your Excellency for the speech which you change proposed by the government to our have been pleased to address to Parliament. taxation laws is such that partial implementa- It may well be that, in formally moving this tion of those proposals will achieve nothing motion for the address-in-reply, I will be the and may well be contrary to the community’s last senator to do so with the address-in-reply interests. in its present format. Those honourable The government will conduct a referendum senators who take part in the debate on the through 1999 into whether Australia becomes motion may also be partaking in a process a republic or not as a consequence of the which may change or even be abandoned in Constitutional Convention held earlier this the next parliament. The Governor-General’s year. Like the tax reform legislation, the speech outlined, as is customary, the legisla- wording of the legislation setting up the tive program to be pursued in this parlia- referendum will occasion intense debate in ment—the 39th—by the newly elected this chamber. The difference will be that no government. party lines will be enforced—at least on the The first and principal objective of the government side—for this debate. It is quite government will be to legislate for taxation conceivable that no one position will attain reform. There is overwhelming agreement in majority support in this chamber. The referen- the community that our present system of dum will, however, proceed because the taxation has many disadvantages. It is unfair Australian constitution provides that a referen- and therefore inequitable in some of its dum proposal needs the support of one cham- aspects; conceptually, it is a product of many ber only to be put to the people, if after three generations past and therefore reflects the months the other chamber fails to agree. needs of a past society; it places heavy Apart from legislative matters, two major imposts on export industries, imposts which issues will demand a high priority in the 39th competitor nations do not bear. Above all, its Parliament. The state of the economies of the complexity is such that only specialised nations of the world will be an ever present professionals understand the act and then only concern through the life of this parliament. Of 64 SENATE Wednesday, 11 November 1998 particular concern to Australia is the state of very well. Our system of parliamentary the Asian economies both with respect to democracy has been tested and not found international trade and the impact depressed wanting. It has been tested in peace, in economies have on political stability. Our two economic and constitutional crises; it has been nearest neighbours, Papua New Guinea and tested in war; it has been tested originally by Indonesia, are nations which are enduring a homogenous society and, more recently, by very grievous economic circumstances, which a multicultural society. It has not failed us. is a matter of great importance to Australia. As someone with a very deep interest in The other great area of interest through this parliamentary procedures and great respect for parliament will be the preparations for the the institution of the parliament, I believe we Olympic Games and the celebration of the have the best system of any democratic foundation of the Commonwealth of Australia process in the world. Most of the faults we in 2001. Both these events, the games and the have in our parliamentary process arise from centenary celebrations, provide enormous human failings not from the organisational opportunities for Australia’s growth and structure. To me as a legislator, the virtue of development as a society and as a nation. our present system which transcends all others While reconciliation with our indigenous is the existence of a neutral umpire in the members of our Australian community stands form of a governor-general. As a senator, I distinct as an issue in its own right, and it is have had the privilege of serving under four a matter that the government says will be governors-general—Sir Zelman Cowan, Sir addressed in this parliament, it also has a Ninian Stephen, Bill Hayden and Sir William central role in relation to Australia as a Deane—all eminently distinguished Austral- cohesive society. As this society grows and ians, all deeply and unambiguously Australian changes, there is a fundamental requirement in character. not to form a grey, characterless uniform To me it is a pedantic point of no moment society but a vibrant society of diverse inter- that they are the Queen’s representatives. ests, but having agreement on common social They were and are the de facto head of state goals and values. The games and the centena- of Australia and they are Australian to their ry celebrations are very important to us as a bootstraps. Whatever my personal views on a nation in this context because they provide republic, I cannot share the view that I am opportunities for us to reaffirm the beliefs that somehow diminished and the nation is dimin- we share as a community. ished because we have a Governor-General Let me in the final passage of this address- rather than a president. Nor, on the same in-reply return to my comment at the begin- theme, though I have lived out of Australia ning about the future. Clearly, if we have a for a considerable part of my adult life and republic, there will be no pledge of loyalty to travel internationally frequently, have I ever a monarch. If there is a republic, I am sure experienced any lack of respect for Australia though that some form of support for the by citizens of any other country because we administrative system of Australia will replace have a Governor-General. the current address-in-reply. While such But I want to return to the concept of the exercises are not devoid of elements of neutral umpire. Government is difficult. It is symbolism, they do serve to remind us that an unrelenting duty, irrespective of what we are here as custodians for the time being political persuasion the government of the day of the principles under which democratic is. The longer a government is in power, the government takes place. heavier the load becomes. There is a constant Whether or not Australia becomes a repub- and great temptation on a ministry and on a lic is a matter for the Australian community prime minister to take an expedient route to to decide, and I will not use this opportunity ease the load, particularly in emergencies. The to enter the debate which is properly a matter fact that these steps have not been taken by for another time. The one point that should be an Australian government is due in no small made is that the present system has worked part to the presence of a Governor-General Wednesday, 11 November 1998 SENATE 65 divorced from the mainstream political pro- community issues of interest other than those cess. covered by bills before the parliament. For While claiming that our system of govern- example, we invest a great deal of time and ment and a democratic parliament is a superi- resource in our committee system. The com- or one, I do not discount the desirability of mittee system is one of the great assets of the change in detail of some of our procedures. parliament. I have often said that I would Since the Australian constitution was framed have left the parliament many years ago but by practising politicians who were all mem- for the committee system. I find that com- bers of political parties of the day, it has mittees serve both as an intellectual outlet and always seemed strange to me that debate in in an educative role. They also have an the chamber has always been vested with the important role in educating and informing the pretence of an air of objectivity. Sadly, it is public and to some degree in influencing not true to say that a senator can make a government policy. cogent and well-reasoned speech and con- In an age where the parliament is increas- vince his or her political opponents of the ingly seen as divorced from the community, logic of their case and enlist their support. the committee system through public inquiries Then, as now, political outcomes in relation serves as a very valuable bridge for the to legislation are determined outside the populace at large to have direct contact with chamber, not on its floor. That is not to say their elected representatives. They can make that there should be no debate permitted in written submissions to inquiries. They can be second reading speeches or in the committee called as witnesses to appear face to face with stage. Of course there must, so that various their legislators and put their views without senators can explain their position. But surely any intermediaries. we can find a procedure when there is no As I said a few moments ago, we put a opposition to a piece of legislation so that it great deal of effort and a great deal of money can pass through the chamber without sena- into our committee system, yet we never have tors speaking to the bill and thereby taking up time to have a meaningful or effective discus- the time of the chamber. Such a move would sion of the reports of the committees when cumulatively save quite a deal of chamber they are presented in the Senate. The oppor- time in a year, time which could be more tunities should be provided for the Senate to profitably used for other purposes. discuss at length committee reports when it so My basic point is that the parliament should chooses. At the same time, other issues of represent the interests of the community. community interest not subject to current Legislative procedures take up most of the legislation should be discussed within this time of this chamber, but parliaments should chamber and in a non-partisan way. That have wider horizons than passing bills com- takes time and the inevitable consequence of pelling citizens to do this or that. General that is an extension of our sitting weeks. I see business on a Thursday afternoon provides a nothing wrong with that because I see my useful window and an opportunity for those primary role as a senator as being involved in not in the government to debate an issue not the workings of the Senate. of the government’s choosing. General busi- While on the subject of committees, we ness does, however, suffer from a degree of ought to review objectively where we are at. inflexibility. The chamber has little opportuni- In my judgment we are not performing opti- ty to discuss issues of community interest or mally. We have far too many committees in concern. True, another opportunity exists the Senate. We have to recognise that we under matters of public importance and cannot have committees for everything. There urgency motions, but they invariably involve are only 76 of us in this chamber and, more an adversarial and partisan approach and importantly, the major parties only muster seldom are creative. around 30 senators plus or minus three or The Senate does need time, and should four, and from those there have to be deleted make time, to discuss and acquaint itself with office bearers, ministers and other personnel. 66 SENATE Wednesday, 11 November 1998

Our human resources are very finite. We ment by an enhanced committee system cannot continue with our present number of would improve this review function. There is committees. no constitutional requirement that there must Another matter which I would like to see be ministers in the Senate. addressed is the bipartisan atmosphere in the I am not suggesting for a moment that if committees. The regular or standing commit- ministers disappeared the Senate would tees of the Senate should try to avoid refer- become apolitical and party politics would ences that are controversial in a partisan disappear. The party system would remain political way. That is not always possible but and be as strong as at present. But the ab- with good chairmanship it can be attained in sence of a ministry could arguably lead to a most cases. Committees should operate less adversarial relationship in the chamber objectively and in the national interest. The and a more productive legislature. competition of ideas and, therefore, dissenting The Governor-General yesterday outlined a views are the very lifeblood of politics and program for the 39th Parliament that is imagi- are inseparable from it. Partisan political native, creative and, above all, courageous issues should be the subject of select or ad and which will address not only the problems hoc committees, not the topic of inquiries of which beset us at present but will position us standing committees. as a nation to face the challenges of the next The has a very proud and century. One of the top priorities of the last creative role in the development of its com- parliament was the need to address and rectify mittee system, as instanced by the formation the dire economic circumstances that the then of the Regulations and Ordinances Committee new government faced. That has now been in 1932. The Senate estimates committees corrected and this parliament can now turn its have made a significant contribution in mind to building a stronger Australia—strong making the executive government accountable not only in an economic sense but in a social to the parliament. However, it has now be- sense. We can and must devote the required come increasingly difficult to accommodate attention to the broader social issues within the time for estimates committees in one our community through the 39th Parliament. major and one minor hearing each year. Is it Senator O’CHEE (Queensland) (9.54 not time to consider a continuous role for the a.m.)—I second the motion. In so doing, it is estimates committees where, in a controlled appropriate to note that already the battle manner, they monitor the expenditure of lines have been drawn for the start of this departments through the year as and when parliament—between the opposition and the they see fit? There is no reason why this crossbenches and the government—and the cannot be done. battle lines are over taxation reform. This is In relation to committees, one final aspect an interesting development because there were merits consideration and that is the presence many in the government party room who in of ministers in the Senate. This is not an the life of the previous parliament urged that original idea but a very hoary old chestnut, taxation reform should be brought on immedi- but it has not been discussed for many years. ately as a direct consequence of the decision It is now pertinent to reconsider this issue, of the High Court to strike down various state now that the Senate has apparently perma- indirect taxes. nently changed as a consequence of the There was at that time, and there remains, amendments to the Electoral Act in 1983. a need to have taxation reform and to repair Those amendments resulted in a situation the indirect tax mechanism. But it was decid- where no party can gain a majority in the ed in the government party room at the time Senate. Like it or not, the consequence of this that it would be inappropriate to do so with- change is that the review function of the out first going to an election to put the issue Senate has greatly increased. The argument to before the people. The reason for that was be considered is whether the abolition of that it was felt that if the government were to ministers from the Senate and their replace- put forward taxation reform before an elec- Wednesday, 11 November 1998 SENATE 67 tion—to bring it before the parliament before to look into the restoration of a 150 per cent an election—the Senate and the crossbenches tax concession for research and development of the Senate would argue that the govern- and the suggestion that we should have a ment had no right to so legislate. And that capital gains tax rate of other than 30 per was the decision. cent. Then they want the Employment, Educa- That is not a great revelation; it is I think tion and Training Committee to look at the probably a matter of record. But having had scope and effectiveness of proposed zero the election, the government having been rating arrangements for education in maintain- returned and the people having had a chance ing its quality and affordability. This is a to decide whether to return a government traverse of every irrelevancy that the Demo- which they knew would make taxation reform crats could come up with in the time that it and the introduction of a broadly based goods has taken to move from the election to now. and services tax a central part of its economic This is an insult to the decision of the policy, we now find the opposition and the people of Australia who chose to have a crossbenches of the Senate compelling them- government which they knew would imple- selves to frustrate, delay and block at all cost. ment taxation reform. But of course for the There we see the Opposition Whip smiling at Democrats, who went into the election saying the prospect of delay and obfuscation, but it that they would probably support taxation is a delay and obfuscation not just of the reform, this is all an irrelevancy—the view of government but of the business of this na- the people is an irrelevancy. And the great tion. This nation decided at the last election irony is this: the Democrats have hitherto to elect a government which would implement always campaigned on the basis that they taxation reform. would keep various people honest—one Senator MacGibbon—We don’t want assumed the government. Here is a govern- uncertainty. ment that wants to be honest to its election Senator O’CHEE—We don’t want uncer- promises. We went to the people saying, ‘We tainty, as Senator MacGibbon quite correctly want to have taxation reform.’ We advocated says. This was not a second, third or fourth taxation reform, we argued for taxation order priority issue. This was the central issue reform, we won on a platform of taxation of the last election. The Labor Party cannot reform, and we want to be honest to our say that they did not campaign against tax- promises. And yet here is a crossbench and an ation reform. They did campaign against opposition—the Democrats and Labor—who taxation reform, and they lost. They cannot want somehow to make us walk away from say that the government did not campaign for political honesty. And this government is not taxation reform—we did, and we won. And for walking away from political honesty. This the Democrats cannot say that they were not government is not for abandoning the solemn warned that we would seek to legislate in this pledge it made to the voters of Australia at fashion, nor can anybody else who sits on the the last election. crossbenches. Yet I was surprised to hear The reason why we made that solemn yesterday the proposals from the Leader of pledge was we knew that, without taxation the Democrats for reference of matters relat- reform, the ability of this country to grow, to ing to taxation reform to up to eight different expand, the ability of Australia’s population Senate committees. to enjoy higher wealth and greater prosperity, This can be nothing but a facade—a sham would be limited—limited not by a lack of attempt by the Democrats to reopen an issue resources, limited not so much by a lack of which has already been decided at a general national will, but limited by a ramshackle and election. When you look at the proposals—the outdated taxation system. As my friend and sorts of the things that the Democrats want colleague Senator MacGibbon said, it takes a these various committees to examine—it is very specialised mind to now understand the quite laughable. We see the suggestion that vagaries and intricacies of our taxation sys- the Economics Committee should be required tem. That is this nation’s shame. It is this 68 SENATE Wednesday, 11 November 1998 nation’s shame that our taxation system, the reasons which is quoted by every economist legislation of this parliament, is in fact a who reviews Australia’s economy for why it brake on the opportunity of ordinary Austral- has not gone down the road of Thailand, ians to enjoy a better standard of living. Korea or Indonesia, is that this government It follows from that that those people on the has got the budget to balance. The only way other side of the chamber, those people who in which we can maintain a balanced budget inhabit the nether regions of the crossbenches, and at the same time give the income tax cuts in opposing taxation reform conversely must that ordinary Australians so desperately need support the existing taxation system. Senator is if we have indirect taxation reform. But, of Collins shakes her head. They support a course, in opposing indirect taxation reform, continuation of the existing illogical taxation the opposition and the crossbenchers also system. They support, for example, a 12 per oppose the opportunity for cuts to the income cent sales tax on various items of food—for taxes for ordinary Australians. The opposition, example, soft drinks or fruit juices—yet they therefore, oppose the attempts of this govern- oppose a 10 per cent goods and services tax ment to give incentive, real incentive, to on food. How illogical it is to say you oppose Australians who need it. a 10 per cent goods and services tax on food In opposing the taxation reform package but you support a 12 per cent sales tax on which we have brought before this chamber, certain items of food like fruit juice and the opposition and the crossbenchers also biscuits. oppose our attempts to give real and meaning- This is the logical limit of the ability of the ful benefits to families, our attempts to give opposition and the crossbenchers to think this real and meaningful tax breaks to families, issue through. They have failed to think this because none of this is possible without issue through. Every day they come into the reform of the indirect taxation system. But all Senate and they seek to delay the legislative this has been lost on the opposition. All this program of the government, every day they has been lost on the Democrats. Why? Be- do so, by consequence they also vote, yet cause, instead of coming to this parliament again, for a continuation of this absurd tax- with a constructive purpose, they have come ation system. Every day they come in here here to indulge in the politics of negativity, and seek to frustrate the government’s legisla- and that is tragic. tive agenda for taxation reform, they continue It is tragic that, in the last parliament of this to vote for higher personal income taxes century, the opposition and Democrats should because the only way in which the personal be seized by the politics of negativity, seized income tax cuts can be delivered is by deliv- by the fascinating attraction of saying no. ering a broadly based goods and services tax Why should saying no be so appealing to which will help ensure that the government Senator Mackay and her colleagues on the can stay in surplus. other side of the chamber? These issues may not be of great conse- Senator Mackay—You’re a joke! quence to members of the Labor Party be- cause, after all, through most of their years in Senator O’CHEE—It is so appealing, government, the Labor Party never bothered Senator Mackay, because you do not have to have a government surplus. They were anything positive to contribute. They had happy to run this country into debt. From the nothing positive to contribute in the election safety and comfort of the opposition benches, campaign. Did they have a positive policy? they maintain the pretence, of course, that They could not find a positive policy in the budget surpluses are not important, but ask election campaign. the people of Indonesia, ask the people of Senator Abetz—And they threw them out Korea, ask the people of Thailand, if budget afterwards. surpluses are important or unimportant. Senator O’CHEE—And they threw them One of the reasons why this country’s out afterwards. That is why they want to economy is in such good shape, one of the come in here and say no. But what we are Wednesday, 11 November 1998 SENATE 69 saying is yes to opportunity. What we are a country is almost destroyed by conflict and saying is yes to a new future. What we are then forced to bring itself back together saying is yes to giving people the opportunity people create great social compacts. In the to keep more of the money they earn. United States, the Constitution, the Bill of Every day the opposition oppose taxation Rights and the Declaration of Independence reform, by consequence they ensure that it are all great unifying social documents. It makes it more difficult for people to keep the strikes me that Australia has missed the fruits of their labour, and is that not ironic for opportunity to turn certain events in its past a party that claims to represent the labourers. into great unifying events for the future. They ensure that many ordinary Australians What we should do in this parliament, and bear a top marginal rate of 48½c in the dollar. what the government intends to do during the That is a consequence of the Labor Party’s life of this parliament, is bring about recon- policies. That is a consequence of the policy ciliation. If you have reconciliation, then of negativity. That is a consequence of their obviously there has to be an end point in the delay and obfuscation. That is why they are process. Unless you set an end point in the sitting on the opposition benches. process, then reconciliation is never achieved. This government intends to ensure that the My belief is that what Australia needs is a promises it made to the people at the last unifying social document which achieves election are delivered. The opposition forget reconciliation. I am not proposing a treaty, that this was a platform which was critical to nor am I proposing some sort of legislated Australia and critical to our election. The Bill of Rights like the Americans have. A Bill people of Australia chose, in a majority of of Rights of that fashion imposed into this electorates, to deliver a government. constitution in the Westminster system would The opposition may not like it, but if they be an abhorrent legislative intrusion into the respect the will of the voters in those elector- everyday life of the public. ates they have to understand that the govern- A legislative Bill of Rights which gives ment has a right, a duty and an obligation to constitutional rights for people to sue other legislate, and that is what we will do. We will people or sue governments and so on would legislate to ensure that we deliver to the be a precursor of a fractious and litigious people of Australia real opportunity and real society rather than a cohesive one. But we tax cuts and ensure that the government’s have the opportunity in the life of this parlia- good economic record is maintained. Of ment to draw up a document, be it a charter course good economic credentials have never of common citizenship or some such similar been a strong point of the Labor Party, and term, which sets out to identify the things that is why these issues go right over the tops which unite us as a nation and the aspirations of their heads. to which we can all move together. That at Maybe if they do not want to consider the ending of the first century of our history economic reform, they should consider some as a nation would be a worthwhile objective of the other elements of the agenda set out in for each and every member of the Senate and the Governor-General’s speech yesterday. One the House of Representatives. of the elements of the agenda I wish to It is my fervent hope that, in the two years concentrate on briefly is that of reconciliation. remaining before the end of this century, This government has signified its intention to certainly before the life of this parliament, we push on with real reconciliation. There are could conclude a common charter of Austral- varying views as to how this should be done, ian citizenship—a common charter that sets but, in my belief, one of the great flaws of out what it is to be Australian and sets out Australia—and I say this in a constructive what objectives we hope for future genera- fashion—is that it has few unifying, cohesive tions of Australians. I do not mean in the social documents. In part that is because our American context of some sort of means of history has never been one which has been suing other people and going to court and racked by conflict. It always seems that when dividing ourselves further, but rather the sort 70 SENATE Wednesday, 11 November 1998 of document that young Australians a century opposition of a regressive GST. I will get to from now will learn in school, the sort of those points later. document which a century from now young Australians will be proud to know and recite, Firstly, I think it is useful to reflect on the the sort of document which will carry us into Governor-General’s address by looking at the a new century with the same spirit of opti- framework that was presented by the govern- mism and opportunity with which we began ment for its first term of office and by assess- this one. ing whether the rhetoric was matched by reality. In April 1996 the government spoke A lot of things have happened in a century, of its desire to improve productivity and to many of them very great. Very shortly we deliver higher growth and living standards to will remember some of the more terrible the Australian people—a laudable objective. aspects of this century. But I defy anybody to But what the government delivered was a say that Australia is not a great country. I crushing blow to the Australian economy, defy anybody to say that this is not still a which resulted in a one per cent reduction in land of opportunity. In dealing with the issues the growth of an economy that the Prime with which this parliament will have to Minister had described as ‘better than good in grapple—for example, the issue of constitu- parts’. tional change—(and, like Senator MacGibbon, I wholeheartedly hope that we will maintain The government hacked $27 billion from our existing, effective and functional system) government services in the 1996 budget and this parliament and this nation must be opti- $14 billion in the 1997 budget. Some exam- mistic. I believe that, in responding to the ples of the targeted service cuts are: $500 Governor-General’s speech, each of us should million was removed from aged care funding look to how we can improve Australia—not and $800 million was removed from public how we can be negative but how we can be hospitals. Those and other punitive cuts positive. I believe the parliament, in going affected services that battling families relied about the business of reconciliation, should upon in their day-to-day lives—services such look to create a great social charter of all as child care, schools, bulkbilling, dental Australians which will survive not just this services, Austudy and the purchase of medi- parliament and not just this century but cines. centuries to come. The Public Service was clearly not a con- Senator JACINTA COLLINS (Victoria) cern of this government, and the rhetoric (10.14 a.m.)—Yesterday we heard the continued in the Governor-General’s address government’s articulation of its framework for yesterday. It has been estimated that the the next term of office. I would like to thank Howard government’s cuts to the public Senator MacGibbon and Senator O’Chee for sector have seen a reduction of close to their contributions in speaking to the motion 90,000 Commonwealth employees over its that the address-in-reply be agreed to. I would first term of office. This figure does not take also like to thank the Governor-General for into account the impact of the latest round of his speech and note that the one pleasant Centrelink job cuts. element was the lack of the coalition’s usual As a consequence of this assault by the senseless attacks on the Senate, although I government on living standards and working note that Senator O’Chee has not restrained standards, many Australians now do not feel himself in that respect. The Senate is, of secure, relaxed or comfortable in their jobs. course, the house of review. Australians have seen that this government Before I refer to the issue of the GST, let has been not only a tremendous job killer but me say one thing about Senator O’Chee: he also an ineffective job creator. The Howard was the last person who I thought would government has effectively halved the rate of deliver a lesson on logic to me. There is growth in jobs in its term in office. Six nothing inconsistent with the Labor Party’s hundred and fifty thousand jobs were created position of support for tax reform and its in Labor’s last 30 months of government Wednesday, 11 November 1998 SENATE 71 compared with 300,000 for the same period work based training opportunities for young under the Howard government. people, which would be strengthened. But Senator Kemp—How about in the last 60 what did the government do? It slashed months? You missed the recession, Jacinta. funding for employment programs. It gutted the CES. It presided over the Job Network Senator JACINTA COLLINS—In the scheme, which is clearly failing, and it created 1996 address, the Governor-General spoke of a body, Centrelink, as the referral agent to the the government’s desire to promote genuine Job Network, which is about to be butchered cooperation between employers and employ- and privatised. ees. Senator Kemp knows a lot about cooper- ation! The government embarked on a pro- Over the past days we have read of the gram to take industrial relations back to the government’s commitment to unemployment, 1890s. The government promoted award but it will axe 5,300 Centrelink staff in a stripping, paring back wages and working move that will cripple its capacity to deliver conditions and putting individuals on secret services for the unemployed, the elderly and contracts, and then it actively and sordidly low income earners. There is something colluded with employers who wished to push Orwellian about a government which cuts jobs for industrial relations confrontation, not to a service that is so overloaded already that cooperation. many clients’ calls are not answered and then claims that it will deliver more services with This was a government which sought to fewer staff. Senator O’Chee, perhaps that is remove protections for those who in many a lesson in logic. cases struggle to defend themselves. It re- moved the concept of an independent um- Whilst the government congratulated itself pire—something that I note Senator on its brave initiatives, hundreds of thousands MacGibbon was referring to earlier. In the of job seekers the CES formerly helped were industrial relations field, the government no longer eligible for assistance. Also, in most removed this concept which had effectively states and territories many job seekers have to functioned in Australia for nearly a century. pay to get a job. I know of no greater disin- The symbol we now have of industrial rela- centive to job growth than that. As well as tions in this country is a large man in a that, many small business operators are being balaclava holding a vicious dog on a leash. slugged hefty fees for services that the CES Let us not forget that. formerly provided for free. Again, where is the logic, because that is not an incentive to Again, in the 1996 address, the Governor- employment either? Whilst the government General spoke of the government’s desire to fiddled, 50,000 additional Australians joined overcome our current account deficit—again the ranks of the long-term unemployed and emphasising that Labor acknowledges the 194,000 Australians simply gave up looking importance of the economy. Our foreign debt for work. has increased by over $30 billion whilst the community waits for the government to The Governor-General’s speech yesterday implement a decent industry policy. In fact made mention of the government’s desire to our manufacturing industry has effectively sat pursue a better system of delivering job in recession whilst the Howard government services for all Australians, and it praised the sat on its commissioned industry reports. I Job Network as an important and successful was disappointed to note that industry policy initiative. If there is one credibility test of this was barely mentioned in the Governor- address and of this framework, it has to be General’s speech yesterday. It rated only two that claim. It is simply laughable. full lines. Senator Mackay—Absolutely. On the last occasion, the Governor-General Senator JACINTA COLLINS—It is spoke of the government’s employment absolutely laughable. On top of that, it actual- programs, which would be more effectively ly makes a mockery of the unemployed, who linked with the mainstream training system. are being abused within this current system. He also spoke of apprenticeships and other I could refer to the health issue, but I will be 72 SENATE Wednesday, 11 November 1998 limited in time, so I will move on to the The Prime Minister’s vacillation on this particular mention that was made in the 1996 issue has registered deeply within the com- address to the government’s desire to facilitate munity—so much so that the editorial in a cohesive society. We have talked about yesterday’s issue of the Australian com- industrial relations and what has happened mented: there. Let me also address the promise that Standards of conduct especially by ministers were the government made to govern in the nation- amongst the greatest disappointments of the first al interest and not for vested interests. term of the Howard Government. Over the term of this government we Let me conclude my comments on the observed, with increasing concern, the rise of Governor-General’s address back in 1996. One Nation and the Prime Minister’s seeming Upon reflection of the government’s lofty inability or unwillingness to confront the words, we now know that the Australian Hanson phenomenon. The effect of the Prime people were cruelly deceived by a prime Minister’s apathy was profound. Many Aus- minister and a government whose actions tralians from a multicultural background were during its last term in government were the seriously affected by the change in attitudes antithesis of its articulated aims. The problem of tolerance and respect for difference which was that they were worse than the aims had previously characterised the Australian articulated, and God help us if that is the case community. But it was not only these indi- now. We also know that we had core and viduals who were affected; it was the com- non-core promises. Will that trend continue? munity as a whole; it was the business com- That would be my question to Senator munity; it was our international standing. O’Chee. Anyone who visited Asia during that period We can theorise why the government knows that the reputation of Australia— concentrated on a GST—that is, the tax that whether it be a republic or otherwise— we would never, ever have—in the election. suffered seriously through the Prime If the GST had not dominated the election Minister’s lack of action in this area. campaign, perhaps the Australian public may In the industrial relations area the have been able to focus on the debacle of the government’s active discrimination against government’s nursing homes policy, or on its employees and their interests looks set to destruction in the area of education policy, or continue under the current framework. Mean- on the absence of a cohesive industry policy, while, the coalition boast that their tax pack- or on the sacked ministers and the collective age has $10 billion worth of tax breaks for amnesia surrounding the much vaunted business. A tax cut for Australian business ministerial code of conduct. will mean a tax hike for Australian families, The Australian people know that this and that is what the GST about is about. government cannot be trusted on the GST. Finally in the 1996 address, the government That is why nearly 52 per cent of people mourned the increasing numbers in the com- voted against them in the lower house and, munity who had lost respect for the parlia- more importantly, 60 per cent in the Senate. ment and its members, and it undertook to The government have no capacity to claim a improve the standing of the national parlia- mandate on the GST. Headlines in the Aus- ment. We all know that that has not occurred. tralian such as ‘Why Upper House annihila- As we know, Mr Howard’s document A tion means a mandate no more’ are indicative Guide on Key Elements of Ministerial Respon- of the spuriousness of that claim. sibility was tabled in April 1996, but it has This government has been revealed for what been consistently ignored, forgotten or it is. People will not be fooled by the empty watered down. The Howard government has rhetoric of its grand frameworks and new lost eight frontbenchers in less than three grand adventures. Mr Howard promised a years and would have lost another five under grand adventure in the tax reform process. He reasonable interpretations and consistent promised a system of tax reform by reintro- application of these guidelines. ducing a tax that had been rejected by the Wednesday, 11 November 1998 SENATE 73 people twice before. He released details of delivered—regardless of how those opposite this complex package just two weeks before vote. the election campaign. He refused to allow Mr Howard’s more recent comments about parliamentary scrutiny of the GST prior to the business philanthropy to charities bear all the election. He applied the snake oil of $17 hallmarks of a return to the 19th century and million of taxpayer funded propaganda, and the Ebenezer Scrooge approach to the com- he now wants to force the package through munity. Mr Howard seems to be moving back the Senate before 30 June next year. He to the notions or concepts of ‘the needy’, established a committee that has only 17 days ‘charity’ and ‘the deserving poor’—God help to make crucial decisions as to how vital us. services, medicines and charities will be taxed. He steadfastly refused to release the Mr Howard should concentrate on making Treasury analysis of the real impact of the high wealth individuals and large businesses GST on household expenditure and particular- pay their fair share of tax, not contributions ly on the poor. to charity. Contributions to charity in them- selves are good. But we need to ensure that This parliament has now finally been given high wealth individuals and large businesses the opportunity to scrutinise the government’s are making their contribution to the public tax plans, some 18 months after the an- purse rather than to charity; that is the role of nouncement of the great tax adventure. Just government. The GST is not going to make after the election Mr Howard indicated that he these people pay their fair share in tax—and wished to be different this time around. I a scrutiny of the proposals will prove that. think that being different now probably just The public is also rightfully cynical about means being a bit more obvious. I would like Mr Howard’s $6.6 billion annual tax cut to to quote from a recent article in the Bulletin the richest 20 per cent of Australians in his by Laurie Oakes in which he says where he proposed GST package—and that will not thinks the government is currently coming bear public scrutiny. The questions that can from. He says: be asked under an inquiry are: what would the In fact, Howard thinks that, in some respects at money do in terms of public hospitals, least, he was too soft in his first two-and-a-half schools, child care and nursing homes; what years. could the money do in those areas? Tell that one to the waterfront workers, to the It is now becoming apparent to the com- Centrelink staff and representatives and to the munity that the government is actively discri- members of our indigenous community. minating against those on low incomes. Mr Oakes continues: Reith, one of the pretenders to Mr Howard’s Hence the abandonment of any real pretence at crown, has blithely drawn the comparison consultation over GST exemptions in the areas of between the number of people living in health, education, religious activities and charitable poverty or under the poverty line in Australia services—even though such consultation was and those living under similar circumstances promised before the election. in the United States. But the Prime Minister That must not have been a core promise, rightly notes that he would not like to be an Senator O’Chee. Oakes continues: ordinary worker in the United States who becomes ill. Do we want to repeat this trend? Hence also the backflip over accepting the vote of Mr Howard and Mr Reith should both note Independent Senator Mal Colston—regarded before the election as tainted. the recently produced ACOSS report which talks about the growing number of poor or Perhaps that was another non-core promise. people in poverty in Australia because of this The point the government needs to under- government’s agenda. stand is that we do not need it to break its I could talk further about the GST, particu- promise; we need the Senate to have a full, larly about its implications for employment— comprehensive inquiry into the GST. Then, if which are vast—and its implications for the force of logic applies, the GST will not be Commonwealth-state financial arrangements. 74 SENATE Wednesday, 11 November 1998

But I am short on time, so I will conclude by When Mr Howard announced his front stating that Labor’s position has always been bench, he said that his front bench team clear with respect to the GST. We oppose it, represented—and I quote him—‘a significant period. It is regressive. But we support an renewal of the government as we take on the inquiry into the GST because we believe that challenges of a new term and a new century’. a genuine inquiry will ensure that all senators But lacked the ticker to make are fully informed of the full implications of the necessary changes to reinvigorate his supporting any form of GST. (Time expired) ministry and to choose a front bench that was Senator FAULKNER (New South Wales— truly up to the challenges of a new term and Leader of the Opposition in the Senate) a new century. He has either kept or promot- (10.34 a.m.)—On election night the Prime ed his failures of the previous government. Of Minister said this—and I quote him: course, his so-called new front bench is set to be just as incompetent and muddling as the I say to all of my fellow Australians that the government that you have elected tonight will lead one we saw during the life of the first How- this country into the 21st century. The government ard government. you have elected tonight will be a government for One of the biggest backward steps, in my all Australians. The government you have elected view, was the appointment of that dinosaur, tonight will dedicate itself to the welfare of all the Australian people. Mr Wilson Tuckey, to the ministry. I was pleased to see that Mitchell Grattan com- This government never has governed and mented upon this in the Australian Financial never will govern for all Australians. In the Review. This is what she said: last two and a half years John Howard has And Wilson Tuckey. The PM’s camp will tell that done more to erode the welfare of the Aus- you Tuckey, that old Peacock man who intrigued tralian people than anyone thought imagi- against Howard, is Minister for Forestry and nable. For example, the government’s most Conservation because he is a good political per- recent decision to slash 5,000 jobs from former in WA. I prefer to think it’s because of John Centrelink comes just weeks after Mr Howard’s sense of humour. Howard’s statement about dedicating himself We all do. Perhaps that same sense of humour to the welfare of all the Australian people. was behind the reappointment of Senator We probably will be stuck with this govern- Herron as Minister for Aboriginal and Torres ment into the next century, but I can say this: Strait Islander Affairs. The only defence of John Howard definitely will not lead us there. Senator Herron’s appointment we have seen Commencing the 39th parliament, we return in the public arena, besides, of course, by the to a government presiding over an unemploy- Prime Minister himself, who always seems to ment rate stuck above eight per cent. John come to Senator Herron’s defence, has come Howard cannot and will not say whether that from the Prime Minister’s own biographer, rate will come down. Mr Howard’s govern- David Barnett, who called upon the Prime ment is back, but public hospitals are still Minister, in a recent article he wrote for the underfunded—and we now have no prospect Australian Financial Review, to leave Senator of that situation improving. The government Herron where he was. Even Mr Barnett’s best might have ditched Warwick Smith, but older defence of Senator Herron was pretty weak. Australians are still stuck with upfront fees of It was a pretty weak endorsement. All he over $4,000 to get into a nursing home and could say was ‘Herron’s task has not been extra daily fees on top of that. Spending on easy, but he’s trying.’ education will continue to slide for our I am not sure how much easier Senator schools, our TAFE colleges and our univer- Herron’s task can get. Every major challenge sities. As Kim Beazley said during the elec- in Senator Herron’s portfolio is given to tion campaign, the very best Australians can someone else to manage. We had stolen hope for from this government is that it will children given to Mr Howard. We had native be the same for the next three years as it has title given to Senator Minchin. We now have been for the last two and a half—and what an reconciliation with Mr Ruddock. Senator indictment! Herron brings nothing but incompetence and Wednesday, 11 November 1998 SENATE 75 paternalism to this important portfolio. With- on ordinary Australians. Of course now that out responsibility for the fundamental issues the election is behind him, he is apparently of Aboriginal and Torres Strait Islander affairs prepared to release a limited amount of that and without a department, what has Senator material. At the same time, he launched a Herron done? He has set about basically $17.8 million advertising campaign to pro- dismantling the Aboriginal and Torres Strait mote his election policy, which was not an Islander Commission. At least Senator Parer operating program of government, sponsored fell on his sword. Senator Herron really by the Commonwealth government and paid should have had the guts and the honour to for by Commonwealth taxpayers. do the same. As the Prime Minister said at the 1 Novem- In my view, even taking into account some ber state convention of the Queensland Lib- of these characters, such as Mr Tuckey and erals, this effectively gave him a seven-week Senator Herron, there is no greater disappoint- election campaign. The biggest chunk of ment on John Howard’s renewed front bench advertising dollars that was spent by the than the prematurely resurrected Minister for Liberal Party in what Mr Howard described the Arts and the Centenary of Federation, Mr as his seven-week election campaign was paid Peter McGauran. Mr McGauran’s reappoint- for by the Commonwealth taxpayer, not the ment to the ministry has destroyed any hope Liberal Party. It was paid for by ordinary that there may eventually be some sub- Australians. The Liberals have been skiting stance—just a skerrick—to Mr Howard’s about it since the election. All through the professed commitments to higher ministerial election campaign, John Howard and Peter and parliamentary standards and to higher Costello maintained that there would be a ministerial accountability. We all know about proper examination of the parameters of the Mr McGauran’s history. But Peter McGauran GST or, in their words, ‘the finetuning’. is not the only dark cloud over Mr Howard’s With the election now over, not only do second term of government, and he is certain- they want to deny the Senate the right to ly not the biggest dark cloud. There is a much investigate the GST but they have given their bigger storm looming with the goods and own committee, the Vos committee, a com- services tax, as we know. pletely unrealistic and ludicrous set of terms It is fair to say that John Howard’s cam- of reference and reporting timetable. It is a paign for his GST has been underhanded and 17-day reporting time frame, which of course deceptive right from the beginning. Do not has been widely condemned by business and forget that Mr Howard was first elected in by community and interest groups. Even the 1996 on a platform that included the promise committee chairman, Mr Vos, admitted that that he would never ever introduce a GST. It two weeks was inadequate and that he would did not take him long to dump that commit- have liked to have had, in his words, ‘a ment. In fact, I do not think anyone be- couple of months’. lieves—I certainly do not—that the GST was Mr Howard and Mr Costello have got the ever off John Howard’s agenda. But his nerve to argue that the Labor opposition have announcement of the details of his GST plan no right to push for an inquiry if we intend to was preceded by a hefty endorsement from oppose the GST regardless, conveniently the Business Council of Australia, which forgetting their own arguments in opposition. kindly ran a promotion campaign for him to Let me remind the Senate of Mr Costello’s pave the way for his GST launch. We look proposal in November 1994 for Labor’s forward to seeing the details of the contribu- employee share ownership legislation. This is tion to that campaign in returns to the Aus- what he said: tralian Electoral Commission. We are going to vote against the Government’s proposal to extend fringe benefits tax to employee But he finally launched the details of his ownership schemes. We will defeat it in the Senate GST plan weeks before the election. He and we will initiate a Senate inquiry to have a look refused to release the critical Treasury figures at the whole matter and make sure bona fide that would demonstrate the impact of the GST legitimate employee ownership schemes are not 76 SENATE Wednesday, 11 November 1998 rubbed out in the way that Mr Keating wants to do And the Liberal senators elected in 1996 are with his fringe benefits tax. all ‘never, ever’ senators—those who should So, instead of coming clean, signing on to an enforce the 1995 John Howard pledge and adequate Senate inquiry into the implications promise that a GST should never, ever be of a GST, to reassure Australians that what he implemented in Australia. In fact, the 18 proposes is what he claims it to be—a pain- Liberal senators who were elected on Mr less conversion to a consumption tax—Mr Howard’s ‘never, ever’ promise—that famous Howard and his accomplice in this, Mr Tweed Heads declaration of May 1995— Costello, have fought tooth and nail to avoid include Senator Hill, Senator Herron, Senator scrutiny. They have fought tooth and nail Kemp, who is over there, Senator Alston, against an effective and meaningful parlia- Senator Newman, and of course the scrupu- mentary inquiry, parliamentary scrutiny and lously honest Senator Watson who was public scrutiny, as they always do, because muzzled by the leadership of the Liberal Party we know and they know that a GST is a job just last Monday. But, according to Mr destroying tax that will hurt ordinary Austral- Costello’s logic, every Liberal and National ians. Party senator, every Labor senator, and every Democrat and Green senator who was elected John Howard and Peter Costello want to in 1996 was elected on a platform which was have their GST rammed through the parlia- specifically opposed to a GST. ment with minimum scrutiny before the new Senate takes its place in July next year. John The truth is—and that dopey article from Howard of course claims to have an electoral Mr Costello is really going to highlight this— mandate to push ahead with his GST legisla- that until July next year, only two senators in tion unhindered. But remember the fact that this whole chamber out of 76 senators can 51 per cent of Australians voted in the House claim a personal mandate to support the of Representatives for parties with an anti- government’s current GST proposal—Senator GST platform and 60 per cent of Australians Reid, the President of the Senate and ACT voted for a Senate that would oppose a GST. senator; and Senator Tambling from the What about Mr Costello? The Treasurer is Northern Territory. They are the only two in today’s Daily Telegraph putting forward a who can claim a personal mandate to support ludicrous proposition that Labor senators who the current GST proposal. But I think that Mr were elected in 1993 should vote for the GST Costello’s outburst was more likely an attempt because that was Paul Keating’s promise at to really get in there—just like he always the time. I am a bit surprised, frankly, that the likes to do—and humiliate Mr Howard as Daily Telegraph would publish this sort of much as he can, to remind people of Mr tripe. This really is an illogical and ill-con- Howard’s commitment of May 1995—the sidered position of Mr Costello’s. Whether his Tweed Heads declaration; the ‘never, ever’ analysis is just a particularly shallow one or declaration. It is just another subterranean in fact is just a direct challenge to Mr attack by Mr Costello on Mr Howard. Howard’s leadership, time will tell—that is You read in the media about Mr Costello. not clear to us—but what the article does One of Mr Costello’s close friends was reveal is how bankrupt the government’s GST recently quoted in the media as saying about mandate argument actually is. Mr Costello—it sort of rang true to me—that If you take Mr Costello’s position, his ‘Every cell in Mr Costello’s body is carnivo- argument, his analysis of mandate to its rous.’ This is just another example. Mr logical extreme, then the Liberal senators Costello knows that by putting forward that elected in 1993 and still waiting for their new ludicrous proposition, that false analysis, that terms in mid-1999—17 of them—should vote spurious nonsense in the Daily Telegraph for a GST exempting food. That is Mr people will point out Mr Howard’s duplicity Costello’s argument. After all, that was Dr and what this really means in terms of person- Hewson’s final version of Fightback that he al mandates and party mandates of senators in took to the people in 1993. this chamber. Wednesday, 11 November 1998 SENATE 77

I suppose Mr Howard is getting used to ceremony. The opening of the parliament is humiliation. Take, for example, his most the culmination of the election campaign. recent humiliating backflip, his grovelling for Regardless of our differences of views in that the tainted vote of someone who was elected campaign, we have all worked very hard and as a Labor senator and whose vote should be we set aside the differences to come into this unambiguously anti-GST. In April last year, place for the opening. Mr Howard was forced to finally cut Senator The speech prepared by the government did Colston loose. It is worth remembering what not match the splendour of the occasion. he said: Where was the vision for the next century? Now what we have done has been measured, Where was the commitment to better job responsible, correct. What I am announcing this opportunities for all Australians? Where was morning is a very, very clear message to the people the grand plan for improved living standards? of Australia: that until this matter is cleared up, we are not going to accept Senator Colston’s vote. Where was the outline for upgraded com- munity services? Where was the newly invig- John Howard said he would not accept the orated, different John Howard? Where was tainted vote of Senator Colston until the the fresh style of government to capture the charges that Senator Colston was facing were imagination of the nation? Sadly for Australia resolved. Those charges have not been re- there were none of these ideas woven into the solved. Nothing has changed since April last Governor-General’s speech prepared by this year except John Howard’s desperate need for new government. It was merely a catalogue of Senator Colston’s vote in this chamber in cliches, a repetitious listing of tired old order to deliver a policy that most Australians policies which have failed in the past and will would prefer Mr Howard and the government fail in the future. to shelve. A number of editorials indicated that yester- It was an unprincipled and opportunistic day was the day for the Prime Minister to move, a move which he deliberately con- outline his vision. In fact, an editorial in the cealed from Australians both before and Age on 10 November, entitled ‘A fresh start during the last election campaign. The elector- for John Howard’, claimed: ate was not put in the loop by Mr Howard on The Government must map out a broader vision for this matter. Not only has the Prime Minister Australia in this parliamentary session. said he will accept Senator Colston’s vote but Was it a fresh start? Was there a broader we know that he has actively solicited it. vision? No, it was not a broader vision. The The Prime Minister said previously it was 40-minute speech was dominated by econom- a matter of standards. John Howard’s stand- ic and tax issues. Of course those issues are ards speak for themselves. He has revived the vital to the future of this nation. But where disgraced Peter McGauran and he has em- were the ideas? Where was the creativity? Mr braced the tainted vote of Senator Colston. I Howard’s strategy is to encourage private think this next parliament will be more of the enterprise and individual effort to limit the shabby, shameful, sleazy operation from John role of government and to further remove Howard. That is what augurs in the 39th regulation and obstacles to growth and indus- Parliament and Labor will continue to expose try development. his deceit. I could not help noticing during the Gover- Senator REYNOLDS (Queensland) (10.54 nor-General’s speech that many on the other a.m.)—In speaking in the address-in-reply side, like those of us on this side, looked debate I want to remind honourable senators disappointed. I suppose you looked more that the opening of a parliament is a very disappointed than we did because we did not splendid occasion. Everybody—the families, have high expectations of a newly invigorated the foreign affairs officials, the diplomats and Prime Minister. We were expecting more of the media—comes to this place for the open- the same, but I think some of you did not ing of the new parliament. There is a great expect more of the same. You believed your deal of pomp and there is a great deal of leader when he said after his narrow victory 78 SENATE Wednesday, 11 November 1998 that things would be different, that it would speak on health, particularly women’s repro- be a more compassionate government. Quite ductive rights and their health services. I want clearly from the expressions on your faces to speak on the environment, and I want to you were disappointed. Having very few speak on reconciliation. expectations, we also could not believe that there was such a lack of vision in what was Many of us would have assumed that the outlined in the Governor-General’s speech. massive cutbacks in public sector jobs over the last 2½ years would have seen the end of I want to take this opportunity to remind the government’s slash and burn approach to the chamber and the community that the the public sector. But, no, just this week, on coalition government holds 23 seats with a top of the 90,000 Public Service jobs that margin of less than three per cent—10 of have already disappeared, 5,000 more jobs at them are held by less than one per cent. The Centrelink are to go. This is going to mean government has 35 seats that would be lost more hardship for those seeking information with a uniform swing of less than five per and entitlements through Centrelink and more cent. If another 2,793 people had voted hardship for those who are being retrenched. differently—that is not many people for us on this side to change in the coming years— Today’s announcement of 5,000 jobs lost at Senator Boswell—Winners are grinners and Centrelink will mean less service, fewer jobs losers can please themselves. and more hardship. The government has said that between July 1997 and 2002 at least Senator REYNOLDS—The winners may 5,000 jobs will be cut. That is about 20 per be grinners, but you were not grinners yester- cent of Centrelink’s total staff. Twenty-one day; you were looking disappointed in your hundred jobs have already been cut this year, leader’s so-called vision for the future. with the total for the financial year expected Debate interrupted. to be 2,700. The government’s estimates for the next three to four years is for 2,300 REMEMBRANCE DAY further jobs to be cut. The DEPUTY PRESIDENT—It being 11 a.m., I invite honourable senators to observe Notwithstanding the commitment given in a minute’s silence in memory of those who the Governor-General’s speech yesterday, I have fallen in defence of their country. ask: how many regional offices will be affect- ed? How will people who have been trying to Honourable senators having stood in get through the telephone services get silence— through? At the height of the youth allowance The DEPUTY PRESIDENT—I thank debacle, of the million calls attempted on a honourable senators. single day, only 90,000 got through; 900,000 GOVERNOR-GENERAL’S SPEECH got an engaged signal. What is going to happen with this further reduction in staff? Address-in-Reply Looking at Queensland, I note that in 1998-99 Debate resumed. there will be a reduction of 40 jobs from North Queensland and 80 jobs from Brisbane. Senator REYNOLDS (Queensland) (11.01 The total reduction required in the next two a.m.)—Madam Deputy President, I want to years will be 105 jobs from North Queensland speak about issues that were, in one way or and 180 jobs from Brisbane. That is in addi- another, highlighted or mentioned in the tion to the previous numbers that I quoted. Governor-General’s speech yesterday. I want to speak about job opportunities, particularly I can only agree with the Canberra Times job opportunities in the public sector. I want editorial of today entitled ‘Centrelink plan is to focus on the massive cutbacks in public hard to justify’. The editorial states: sector jobs in this country over the last 2½ The news that up to 5000 jobs (800 of them in the years. I want to speak on the goods and ACT) will be cut from the Commonwealth service services tax. I want to speak on Telstra and delivery agency Centrelink over the next three its community service provision. I want to years should concern every one of the six million Wednesday, 11 November 1998 SENATE 79

Australians who are in receipt of some kind of Minister for Communications, Information government assistance. Technology and the Arts nor this govern- I would add ‘entitlement’. It continues: ment—no-one in this place—can guarantee How ironic that the announcement of the planned community service provision by Telstra. cuts should come in the same week as the Telstra has gone ahead to cut back the num- Commonwealth Ombudsman tabled his annual ber of service centres which provide 000 report, in which he listed Centrelink as far and services. The 000 service is the most import- away the most complained-about government ant service that Telstra provides. agency in the country. The second issue I would like to raise is that Instead of having a service centre based in of the concern that we on this side of the all capital cities, we will have just two—one chamber have about the impact of the goods in and one in Melbourne—and, and services tax as proposed in the Governor- surprise, surprise, a backup service in Hobart, General’s speech and which was the focus of which I am sure Tasmanians will welcome. the recent election campaign. The St Vincent But I am not convinced that the people of de Paul Society agrees with the concerns that north Queensland, the people of Darwin, the have been addressed by so many on this side people of Broome, the people of Western of the house. A press release by Mr John Australia and the people of Alice Springs will Moore—not the government’s John Moore be particularly impressed with the fact that, but the National President of the St Vincent for whatever reasons, Telstra has decided to de Paul Society—states: give a backup service to Hobart but is not prepared to give backup services in northern "Where is the compassion and concern for the welfare of low income earners in this country?" . . . and other more remote areas of Australia. "Not only has the promised six month consultation I asked a Telstra employee why this was period on the impact of a GST been replaced by a the case and I was told, ‘Hobart is more 17 day examination of existing papers but the committee has a limited agenda". vulnerable; Tasmania is more vulnerable.’ ‘Vulnerable from what?’ I asked. ‘Vulnerable The Society of St Vincent de Paul does not oppose a GST or a value added tax system because that geographically because it is an island.’ Hobart decision is properly one for elected politicians. "But is closer to Melbourne than north Queensland it is simply unjust and un-Australian if a new and Hobart is closer to Melbourne than regime is introduced which leads to a deterioration Western Australia, yet the backup service is in the well being of the 30% of Australians who being provided in Hobart and not in other are on low incomes". centres. I seek leave to table the letter that was written to all parliamentarians by St Vincent de Paul I have a special concern because of the which details their concerns for the people approaching cyclone season in north Queens- they provide assistance to: 35 per cent of land. I have asked a number of questions of whom are single parent families; 20 per cent Telstra about the cost of the existing service of whom are families with children; 40 per and the cost of the new service. What are the cent of whom are unemployed, including savings? How many people will be employed migrants, refugees, people with disabilities, in the new service and how many in the old? young and old; and five per cent of whom are What will be the staffing cutbacks? Will age pensioners. I understand from a discus- Telstra guarantee appropriate numbers of staff sion with the whips that this has been ap- to ensure there is no occasion when there are proved. services that are not adequately staffed? Has Telstra calculated the numbers of staff re- Leave granted. quired for an average time and during a Senator REYNOLDS—The third area of national disaster—again, with my special concern I want to raise in this speech today focus on what will happen to 000 services at is the community service provision that has the time of a cyclone—and how was this been guaranteed by Senator Alston in relation differential calculated? What special provi- to the further sale of Telstra. Just last week sions will be made to accommodate 000 calls we had a classic example of how neither the from north Queensland during the cyclone 80 SENATE Wednesday, 11 November 1998 season? Why does Hobart need a backup tic Goods Administration. These drugs do not facility? Will Telstra be conducting education have the ministerial fast-tracking process awareness campaigns throughout regional because they are only reproductive drugs for Australia? How will Telstra staff be able to women—that must be the government’s view. recognise the extent of geographic locations The next issue that I wanted to raise is my throughout Australia? concern about how this government is treating I am sure that Telstra staff are extremely the environment. Yesterday we heard that the competent and that they have a certain government gives a high priority to the amount of training but to recognise in an environment. Why is it then that on Monday emergency situation the immediate location of top marine scientists called on world heritage any centre anywhere in Australia is a very tall authorities to send a field mission to the Great order indeed. I would like to have some Barrier Reef to help avert the ‘slow death’ of answers on those questions from Telstra. a priceless ecosystem? Their confidential The fourth area that I wanted to speak on letter to the World Heritage Bureau in Paris today is health because the government does is highly critical of the Commonwealth and refer to health services in the Governor- Queensland governments and the Great General’s speech but it does not refer to Barrier Reef Marine Park Authority and is health services in relation to women’s particu- asking for urgent action. lar needs. In the election campaign we had an Finally, I want to speak very briefly on excellent example of how this government is reconciliation. I would like to put on the not prepared to identify the special needs of public record that David Buckingham, Exec- women. We had the approval, proudly an- utive Director of the Business Council of nounced, of the drug Viagra. I am not going Australia, has a much more appropriate and to argue about whether or not Viagra should progressive view to reconciliation than does have been approved. It seemed a perfectly this government. In a recent speech he gave natural thing that that particular drug would on 25 October at a meeting of community be approved for men. leaders, he said it was vital to understand Let me detail the reproductive drugs that what reconciliation was about, that it was not are still awaiting approval through the Thera- just a matter of granting Aborigines full peutic Goods Administration of the Depart- citizenship rights such as adequate health ment of Health and Aged Care. There has not services. That is taken for granted because as been speedy passage of these reproductive citizens they are entitled to those services. health drugs for which Australian women Ultimately, he said that reconciliation was have particular need. They include new fourth about indigenous rights, issues of indigenous generation contraceptive pills; the vaginal ring law and custom, that reconciliation involved laced with progesterone which acts like a a willingness to seek understanding of what diaphragm; the Norplant implant, which is obligations might be associated with such law effective for three to five years; injectable and customs and might eventually lead to contraceptives, other than Depo-Provera; new, having to consider the possibilities of sover- safer IUDs; the contraceptive sponge and eignty and, in the final analysis, indigenous female condoms; the purpose packed emer- self-government. He said that for some the gency kits of the morning-after pill; and real issue will be whether there is scope for RU486. As we know from previous debates a nation within a nation. in this chamber, we had to have special As I have said on a number of other occa- legislation and special approval by the sions, I urge this government to send Senator minister for RU486. There is a double stan- Herron and a team of representatives of dard in relation to how this government is indigenous Australians to Canada where considering reproductive sexual health for sovereignty, indigenous rights, indigenous law men and women. Viagra has been approved and custom and the question of nationhood of for men—and that is fine—but all these drugs the first peoples are taken for granted; they are still waiting for approval by the Therapeu- are incorporated into Canadian law and Wednesday, 11 November 1998 SENATE 81 practice. That is the basis of what true recon- 100 years from now thank us for doing this? ciliation should be about into the new century. If we cannot answer that question in the Senator BROWN (Tasmania) (11.16 affirmative, if we cannot say yes to it, or if a.m.)—I begin by adding a word of special we do not know the answer, then we should thanks—the words are too short of the not be proceeding. That is commonsense mark—and ongoing remembrance, not only to which every Australian, I am sure, would those Australians who in their tens of thou- agree with. Yet it is a rejected point of view sands have given their lives for this country as far as the rapid process of politics in but also to the many more who have had their general is concerned, not just in this country lives damaged, ruined and saddened by the but around the world. The imperative is much ravages of the horrendous wars of this centu- more the short term, the immediate, the ry. It is remarkable enough that out of that we instant need, and particularly the view that the have in this lucky country of ours one of the next elections can be no more than three or freest, and still the most egalitarian and four years away and that is what must mark beautiful places to live anywhere on the face the way we behave. But it is a short-sighted of the planet. and ultimately self-defeating way to behave. We must elevate our view of what we do to In February of this year I was on the Thalys include the disenfranchised future generations high speed train rocketing through the low- who are the big losers from the modern lands of Belgium and France between Brus- materialist way the world is being driven. sels and Paris. The trip now takes 1½ hours, at an average 300 kilometres an hour. I could In responding to the Prime Minister’s not but help think of how rapidly horrendous words, as delivered in the Governor-General’s events can disappear into history. My mind speech yesterday, I will read from the current was riveted by the horrendous circumstances edition of the New Internationalist, from a of so many hundreds of thousands of Austral- keynote article by David Ransom, which sums ians, and the equally wonderful and beautiful up the point of view that we Greens take in people from both sides of the great wars in applying ourselves not only to the problems that vicinity undergoing horrendous circum- but also to the opportunities of this great stances in which no human being should ever country of ours. Mr Ransom, having talked be put in the struggle for power and suprema- about the destruction of the Amazon rainforest cy over others which has so degraded human and the apparent helplessness of the indigen- history and which will continue to do so until ous people of the Amazon as the big corpora- we come to a recognition that we are one tions move in to make a quick profit, amongst species, that we are one humanity. other things through building dams to provide electricity for aluminium factories to produce As we move towards a population of six coke cans for people who will never get to billion next year, at the end of this century, the Amazon and so who do not know the which at its start saw one and a half billion damage that that process creates in the lives people on the face of the planet, it is even of those people in their forests, goes on to more compelling for us to come together as say: one humanity, united in service in our need to protect this planet as a place for all life Without any doubt, the two overarching political issues of our time are human inequality and and, in particular, our need to take into environmental destruction, the consequences of account all coming generations of people in which may be starkly visible in places like the everything we do. Amazon, but apply almost everywhere. But while passionate advocates of equality or ecology have One way we Greens differ from all other sometimes ventured beyond their territory, the political parties is in putting forward that bridge between radical Red and Green politics has imperative in all we do. In every question we lacked the strength to carry much political weight consider, in every answer we seek, in every and bring about lasting change. policy we devise, in every approach we take It is, nonetheless, increasingly clear that inequali- to policy, in this place or elsewhere, this ty and destruction are directly linked. Indeed, it question should first be asked: will people would be very much harder to demonstrate that 82 SENATE Wednesday, 11 November 1998 they are not linked, given that they are both a fair community. The government, of course, happening at the same time. They are also interact- has come up with claims that it is going to ing in complex ways that accelerate their growth compensate people through tax breaks of the alarmingly. This is because global consumer capitalism, unless it is restrained, grows faster and sort much publicised in the election campaign. faster. Anything not devoted exclusively to the But, remarkably, this government even then service of its immediate interests it seeks to loaded that compensation package so that the destroy. The destruction is compounded because it rich get richer and the poor get poorer. Let us must either grow or blow: it cannot contain itself. make no mistake: this GST package is going It is self-destructive, too, shot through with contra- to accelerate the already growing gap between dictions which make it blow precisely because it grows, like some force-fed hothouse vegetable. the haves and the have-nots in Australia. The package is designed to do that. One such contradiction is that it feeds by inflat- ing profits, deflating wages and thus increasing I have this to say to our Democrat friends: inequality. you have now said that you will open the Mr Acting Deputy President, there are two possibility of rejecting the GST package in issues which to me seem to be the top issues toto if it is found not to be fair, if it is found for us to be addressing in this country. One is to disbenefit those people in the Australian the growing gap between rich and poor— community who need help, if it is socially inequality—in a country where, as I men- unjust. No inquiry into the GST, no matter tioned earlier, so many people lost their lives how complex or simple, will find otherwise. fighting for the ethos of a fair go. The other This GST package is underscored by its is environmental destruction, which has not unfairness. It is socially unjust, and it cannot only enormous aesthetic losses for we human be fixed so that it becomes socially just, so beings but also huge economic and job that it advantages the poor as against the ramifications for this and consequent genera- interests of the rich. That cannot be done. tions. At the end of this process, the Democrats I cannot let the opportunity go by to talk are going to have a very big decision to for a moment about the GST, which is part of make. They went to the election saying, ‘We the package that this government is bringing will shepherd the GST provided food, books before this Senate shortly. There will be a lot and a few other items are exempted.’ But, at said and done about the manoeuvrings and the the end of this process, it is going to be found numbers and who will set up the inquiry and that, even if that is done, the GST is socially what the parameters will be, but ultimately unjust. I believe that the Democrats are then the matter of interest is what the outcome will going to be left with a decision as to whether be for this country and for the people living or not they stand by their words and reject in it and their environment. Let me point to this package. I believe they will be left with a couple of those things. The Greens, seeing no alternative. We are not going to have a the GST coming, did our homework 12 government that is going to accept a package months before the last election. Our consult- that makes it just. The philosophy of the ant, Dr Louise Crossley, consulted widely government is oriented towards the rich and with people who are experts in the field those who already have the best go in this because they have lived under GST regimes society. They are not going to change that in other countries. We know what the impact package to alter that philosophy. So it will of the GST has been there and, without come down to a very hard question for the exception, it has been one which widens the Democrats to tackle. I believe there will be a gap between the rich and the poor. very stark responsibility on their shoulders to You cannot shape a GST in a way which is change their election policy because that going to close that gap, which is going to policy in itself is socially unjust. benefit those who are disbenefited. You can I predict that at the end of this long inquiry add artificial contrivances which make it period there will be negotiations between appear that you are going to try to offset the Senator Harradine and the government to damage that the GST does to the concept of ameliorate somewhat the government’s pack- Wednesday, 11 November 1998 SENATE 83 age but nevertheless to put it through before west of Hobart. In this valley is a small stand 1 July, and no amount of inquiries is going to of trees which are the tallest hardwoods on change that political reality. Community the face of the planet. One of them reaches to groups will be given an opportunity to ex- 95 metres above the valley floor, second only press their concern about the disadvantage in size, stature and height to the giant red- they are going to have and about the millions woods of California. Across the way we stood of dollars which are going to be raked out of on a ridge watching a cable logger destroying charities and non-government organisations in such forests, dragging them off to a convoy this country by the government through the of trucks to take them to the woodchip mills GST package at a time when the government of Tasmania—the job shedding woodchip is giving less than ever before for charitable mills of Tasmania—on their way to the purposes and to welfare in this country. The rubbish dumps of Japan through its paper GST is going to take money off them and making process which, by the way, is under- make their job harder and that much more cutting recycling in that country, creating impossible. This is an anguishing outcome, I enormous environmental problems and job would think, for those organisations and, not losses for the Japanese. least, those millions of volunteers who put so How can we look future generations in the much time into working for social justice in eye as a nation? How can this government be this country. They will suddenly find that, as praised for its responsibility when its leader a rule of thumb, one-tenth of their efforts will refuses to go and see the very thing he is be diverted into the government coffers, not destroying, when its leader refuses, because for the charitable purposes to which they are he is frightened of the reality of the destruc- devoted. tion of world heritage value forests in Tas- The other item, of course, is the environ- mania, to go to see what his death warrant is ment. During the election campaign, I, with causing? other Tasmanian citizens, slowed the progress In 1991, as part of the Green-ALP accord of the Prime Minister’s car as he was heading in Tasmania, we stood firm and the govern- to a fundraising breakfast on the Hobart ment lost office because it wanted to breach wharves. I got some criticism for that. A its commitment to restrict woodchipping to a number of letters came in, and I have re- little under three million tonnes per annum. sponded where I can. But what happened on Currently the rate of woodchipping in Tas- the streets of Hobart was quite different. mania is 4.6 million tonnes per annum. The Young people came up all over the place and convoys of trucks taking the destroyed forests said, ‘Good on you for making a stand,’ and the lost wildlife inherent in that through because they are aware of the enormous Hobart, Launceston and Burnie are at record damage being wreaked on the wild forests and levels when fewer of these wild forests exist the wildlife of Tasmania by Mr Howard’s than ever before. policies. This national tragedy may have been taken In August 1996, I had a cup of tea with the off the agenda because both of the major Prime Minister and invited him to come and parties agree that it should be allowed to see the Tasmanian forests because I knew it happen under their authority, but we Greens would be a major issue of contention for us will continue to oppose it in every peaceable Tasmanians and, indeed, all Australians in the way we can while ever we draw breath, just years ahead. He never came. He turned down as we endorse the sentiments of Senator consequent invitations, but last year he flew Reynolds, who spoke just before me, and the to Forestry Tasmania’s premises at Perth and call of scientists to come and look at the signed a regional forest agreement, which is barrier reef and the degradation of this world the death warrant for some of the most mag- attribute appealing to world authorities be- nificent forests on the face of the planet. cause of the lack of action of the Australian Last Friday, with other members of my government. Further north-west again in staff, I visited the Styx River valley north- Kakadu, we have just had a visit from world 84 SENATE Wednesday, 11 November 1998 authorities to see whether Kakadu should not This approach to running Australia contri- be put on the world endangered list. butes significantly to the disillusionment that Within a short decade, instead of Australia young people have. It contributes in such a leading the world in adding places to the way that I do not believe this government will World Heritage List because of their sheer be able to show themselves over this next magnificence, we have three of those world term to be any more suited to the role of heritage listed attributes in the aim of interna- running this country than they have shown tional authorities because of the threat and themselves over the last 2½ years. The last damage through government action or inac- 2½ years have seen a record of broken prom- tivity. What a terrible way to be ending this ises, of commitments made and then forgotten century. and, in many cases, the expression of a certain view or an agenda that was just let We are an optimistic lot despite that. We lapse when other priorities emerged. Indeed, Greens stand for closing the gap between rich none was more blatant than the issue of the and poor. We stand for defending the environ- GST. ment. As I said to those wonderful disabled people protesting outside Parliament House It was politically expedient for the coalition yesterday because of their concern about the to dispel with the GST following an earlier GST, if we do not have social justice, we will election defeat, and they saw the same expe- not ultimately end up saving the environment diency arise again when they desperately either. Our commitment to both of these needed an election issue to deflect the atten- things remains strong and you will see it tion of the community away from what was repeated in the coming three years of this a very poor performance during the time of Senate. (Time expired) the last government. The ‘never, ever’ tax, the Senator LUNDY (Australian Capital GST, re-emerged not just to take a place in Territory) (11.36 a.m.)—I rise today also to the campaign platform of the coalition but to make my contribution to the address-in-reply become the central feature, the central focus. debate, the speech having been delivered by I would like to spend a few minutes specu- the Governor-General in this place yesterday. lating on what would have occurred had the I would like to raise a number of issues and GST not been the central focus for the coali- to move through the points raised in the tion in this election campaign. The communi- speech presented on behalf of the government ty would have been forced to focus on the by the Governor-General. deconstruction of the social welfare safety net Indeed it is a time in Australia where what in this country. The community would have we need most are ideas and a vision for the been forced to focus on the massive cuts to future. Over the past 2½ years, however, we higher education and the changes to the have seen a government that is prepared to funding in public education that have left our put the future aside and prefers to look at the public school system at risk in the future of short term—the myopic vision of where not providing the quality service and quality Australia is both economically and socially. education that our young people need. The For young people particularly, this repre- community would have been focused on sents a very sad period in our political his- issues like the changes to the youth allow- tory. It represents a period where more than ance, to Centrelink and all those other chan- ever young people carry with them a feeling ges and elements that were put in place over of disillusionment in the political institutions the last 2½ years that represented a specific and a feeling of disappointment that, in fact, downgrading of service to the citizens of our leader does not carry with him an eye to Australia. the future and hope for employment, prosperi- Had the GST not been there, we would ty and, indeed, a decent life but is preoccu- have been forced to focus on what has hap- pied with some of the drier aspects of manag- pened with the delivery of telecommunica- ing certainly the fiscal affairs in the economy tions services in this country with the of this country and puts people last. privatisation of Telstra and how that has Wednesday, 11 November 1998 SENATE 85 directly related to a lowering and diminution community. The result of this is that many in of services particularly to regional Australia. the community are left isolated. It is a pro- At a time when industry most needed active gram of privatisation. It is a program of support from government to grow and for jobs contracting out and outsourcing government to come for the future, we would have been services, never mind the quality outcomes. forced to focus on this government’s cuts to The consistent justification for this is cost research and development support. We would savings which they thereby somehow argue have been forced to focus on its cuts to the deliver some sort of cost saving to the taxpay- various mechanisms within industry policy er. I do not know anybody in Australia, designed to support, foster and grow our local outside of the coalition, who does not believe businesses. All of these issues present a very that there is a specific role of government in pitiful picture of what this government has delivering those social services. achieved over the last 2½ years. I could go We have shown, and it has been shown on. What we had instead was a sharply over time, that the government sector, the focused debate around the GST. I have to say public servants of this country, is very often that the evidence is there that this is not a fair best placed to deliver tangible, practical and tax and yet we find ourselves with a govern- meaningful support to the community. Ex- ment that is insisting upon pursuing this. tracting government from the community, as I am concerned that the inequities of the this coalition government has attempted to do, GST will be something that Australia forever does two things. First, it pays no mind to the has to bear with in terms of our economic quality of the service. Whilst contract law is future. We know, because international forever imperfect, establishing the appropriate evidence shows us, that this tax does not service level of agreements with outsourced provide the solutions the government claims services is always going to be an imperfect it does. We know that the GST provides a far process. We have seen a number of Common- greater benefit to those on the higher income wealth Ombudsman reports articulate this end of things than those earning less. Surely point precisely. When there is a transfer of the role of government is one of redistributing service from public to private, the liabilities, wealth amongst those in a community who the responsibilities—where the buck stops— need help—the disadvantaged. I often wonder become very unclear and can only be resolved why representatives of the coalition support in the courts. Is this an efficient way of the mainstream and not the interest groups. delivering services? I think not. When they stand up and talk about the inter- The second impact that extraction of est groups, the loud voices in the community, government from the community has is one why don’t they understand why people gather of severely disenfranchising individuals. together and advocate certain causes? Why? Imagine this: the worse the service becomes, Because inequities exist. Because disadvan- for whatever reason—the inability of the tage exists in the community, and that re- government to maintain a quality level of quires a political response. service—the worse it reflects directly on the Representing and supporting those who are government from the individual’s perspective. at a disadvantage in the community is a role Take the Austudy debacle, for example. of government. It is a legitimate role of Thousands upon thousands of queries came government to ensure that all in our com- through my electorate office and the offices munity share the same level of hope and of my colleagues in the lower house here in opportunity as everybody else. But it is this Canberra alone about the administrative role of government that puts the coalition in problems that that was causing. That was not such stark relief compared to previous govern- as a result of outsourcing, but it was a direct ments. They do not believe there is a specific result of a policy decision of this government. role of government in society. Every single The upshot is that the lower the quality of policy decision has demonstrated their will- service delivered by government the more ingness to extract government from the frustrated citizens and individuals become 86 SENATE Wednesday, 11 November 1998 with the ability of the government to deliver format before or after the election from this that service. It reflects badly on the govern- government that puts in place a plan to create ment of the day, the coalition, but it also jobs for the future. reflects badly on government. So the self- There are some very specific examples serving rhetoric of extracting government out where this government has actively under- of people’s lives becomes exactly that—self- mined the prospect of creating new jobs and serving. A vicious spiral emerges where the new industries. There is none more glaring worse that that government service becomes than one of the industries of the future. The the more people feel that government is information technology and telecommunica- unable to provide the quality of service that tions sector does more than just provide jobs. they require, and maybe there has to be This sector is an enabling sector. Whilst John another solution. Howard may not acknowledge and accept the That is one of the main challenges and role that these new technologies play in our main features, I think, of the insidious nature lives now and will continue to play to a of this government’s policies with respect to greater extent in the future, there is a burning the Public Service and the role it has in our need to address not only industry develop- society in delivering support, in delivering a ment in this area but also how we skill our tangible outcome in a whole range of policy nation’s young people and, indeed, those areas—social security, social welfare, educa- already in the work force or looking for work tion and industry development. There are in a way that they will be able to participate many other challenges that we are confronted actively in not just the information society but with at this time. the knowledge society. At the beginning of my speech I spoke Telstra, as our major carrier—formerly a about what the future holds. We are fast monopoly holder of telecommunications—has approaching the new millennium. Never a critical role to play with respect to this before in the minds of Australians has there sector. Therefore, Telstra’s privatisation sits been such a desperate need, a desperate firmly in the heart of what could have been craving, for leadership. I believe this is in an exciting and comprehensive plan to bring response to having 2½ years of very poor Australia into the 21st century, not just leadership in this country. People are now dragging ourselves over the line but being in looking towards the new millennium perhaps a position of great strength. Connectivity—the with not as much hope as they otherwise ability to get as many people, as many busi- could have. When a government is in place nesses, as many community groups, as many that insists upon focusing on short-term government agencies connected on-line and outcomes, be it in the education area, social able to communicate—promotes growth, policy or industry development, it is very promotes new ideas and innovation, and we difficult for citizens to have faith in promises lead the world, as we do in many areas and what the future holds. already, with these new technologies. Employment is one of the most critical Regional Australia has a particular voice— areas and certainly one of the major platforms unfortunately, a particularly ignored voice—in that Labor put on the table during the election this specific area of policy. We have an campaign. Where are the jobs going to come unemployment crisis in the region. In my from? Jobs are the key to so many other travels prior to and during the election cam- outcomes in terms of health, social security, paign, I found that no area was seen as education and housing. To have a job means providing more hope for the future than economic independence for families, for information technology and telecommunica- people. So an analysis of the last 2½ years of tions. That is not because there is going to be employment policies, industry development a chip plant in every country town but be- policies and education policies shows that, cause, for those businesses and for those despite the endless rhetoric about jobs, there individuals, to be connected is the key to their has been no tangible expression in a policy ability to communicate, to gather information, Wednesday, 11 November 1998 SENATE 87 to share, to participate in the society of the In the time that is available to me today I future. do not want to spend much time addressing Yet what we have seen under this govern- that issue, other than to say that we have seen ment is the partial privatisation of Telstra, that presented over the past 12 to 18 months which has resulted in the delivery of sub- by this government, and again yesterday in standard services to the bush. Since the the Governor-General’s address, as a panacea election we have seen the political response that will cure all our ills. It is not. It is noth- to this outcry from people living in the bush ing more than another way in which you can who seek better services. We have seen collect revenue from the Australian public. It promises of programs to deliver greater will be introduced in such a way—as is connectivity, of internet access, of higher usually the case—that those at the bottom end bandwidth. We have even seen Telstra buy of the income heap will finish up paying a into the fray, with promises of new networks, greater share of the taxation burden. higher bandwidth, greater services. There are a number of other issues which Surely this is an area where, more than I think are probably more important for this anywhere else, vision is required. Australia parliament to address in terms of what will distinguishes itself in so many areas but none shape the nature of this nation into the new more so than in the area of innovation in new millennium. They are issues that are being technologies. If there were a vision, would we written about and discussed in the community have seen the cuts to research and develop- but that are not necessarily receiving the ment? Would we have seen the extraction of attention that they deserve by this parliament government from taking an active role in or by the government of the day. industry development? Would we have seen In my view, the first of those issues is the the bizarre case of so many very important question of population policy. We have seen and meaningful reports about industry growth over the past two- to three- year period a very and where the future lies being so consistently weak position adopted in relation to immigra- ignored? They have been picked up in an ad tion policy, a position that has essentially hoc manner through a plethora of policies; we been driven by responding to the racist are seeing special little programs all over the activities of One Nation, rather than a policy place, but no vision. agenda being driven by what are seen to be If this government did have a vision, many the needs of our community into the future. of these issues would not have been con- I think it is spurious in the least to suggest fronted in the last election campaign; they that, somehow or other, by cutting back on would have been resolved. I am gravely immigration we will generate more jobs for concerned, not just for my own home town— those Australians who currently live here. for Canberra and the public servants who lost There is no empirical evidence or data to their jobs and continue to lose their jobs suggest that that is true or that it has been under this government that has actively true in the past or, indeed, that it will be true broken commitment after commitment—but in the future. The issue of population is for all Australians who are looking to their critical in terms of determining the rate at leader for some vision and who, sadly, contin- which this nation will grow and the capacity ually find it to be completely lacking. of this nation to grow in such a way that we Senator GEORGE CAMPBELL (New can sustain job growth and wealth growth South Wales) (11.56 a.m.)—In his address to within the community. this chamber yesterday, the Governor-General These issues were discussed at a recent outlined a number of key issues which will enVision conference in Melbourne where a form the legislative agenda of the government couple of key players in Australian industry over the next two- to three-year period. The had something to say. Tony Berg, the Chief central issue of that agenda is taxation reform Executive of Boral, made the comment that and, more directly, the introduction of a more people create more investment, more goods and services tax. jobs and, as a consequence, more wealth. I 88 SENATE Wednesday, 11 November 1998 agree with that statement. There is not too and two things struck me about each of the much that I agree on with Tony Berg, but I regions or rural communities we visited—and do agree with that. He also went on to say we visited regions and rural communities in that the housing and construction sector every state of the nation. One of those two would remain stagnant for the next 15 years things was that there were people working in unless immigration levels were increased. those communities who had creative ideas We all know—anyone who has come out of about what should be done to stimulate industry knows—that the housing sector is a growth in their community; people who had key generator of growth within the economy. developed through community forums specific If your housing sector is growing, your projects that, with proper resourcing, could be manufacturing sector is employed, and a implemented which would lead to growth in range of other activities are generated out of employment opportunities in those regions, it. If Tony Berg is predicting that there will those communities, and, in addition, would be stagnation in the housing sector over the assist in keeping young people in the regions next 15-year period, then at the end of the where they were born and grew up, allowing day that will translate into higher levels of them to make a contribution to the future unemployment. He goes on to argue the case development of that region. They had a lot of for increasing the intake of skilled and entre- ideas, but it was also apparent that they were preneurial migrants as well as look at—along disconnected—disconnected from the national with John White, the Chief Executive of economy, the national economic framework of our nation. They did not know how to Visy Board—setting growth targets for our access the finance markets. They did not population into the future. In fact, John White know where to take their projects to seek argues that in 50 years time we could support financing. They did not know who were the up to 50 million people in this country. leading providers of finance for projects But, in terms of population policy, popula- within our community. They were disconnect- tion growth in itself is not the only issue; the ed—disconnected in a number of ways. other issue that is critical is population distri- bution. In this country we are witnessing a The other thing that was significant about continual drift towards the coastline. We now those communities was that they were really see, for example, that Sydney has a popula- dying on their feet—and the people in those tion of four million people; 21 per cent of the communities recognised it. A significant total Australian population now live in the lesson out of those visits we paid to those Sydney region, and this figure is predicted to communities around the nation was that the increase to six million within 20 years. market will not resolve their problems. They A number of significant statistics in relation cannot rely on market forces to provide jobs to our population I think are particularly in Whyalla, in Nowra, in Rockhampton, in important. For example, something like 12 Burnie or in Ballarat. They could only seek million of our 18 million inhabitants now live and would only achieve solutions to their on the coastline between Brisbane and Mel- problems through direct government interven- bourne. We are crowding out that part of our tion. landmass while at the same time we are doing It is encouraging to note that the current nothing about generating and encouraging government has allocated responsibility to a growth in our regional and rural communities. number of ministers for regional development; In fact, the opposite is the case. We have whether or not the current government will be neither a vision nor a strategy for growing as enthusiastic about committing resources to regional and rural Australia, for encouraging regional development that will make the development in those regional and rural difference to whether those communities are communities. able to turn around the problems they con- I spent a fair bit of this year travelling front is another matter. We will watch with around the country with the Senate education interest to see the type of policy formulation committee looking at regional unemployment, that comes out of the current government in Wednesday, 11 November 1998 SENATE 89 addressing some of the problems of those ly. It recognised that the key to solving the regional communities. problems of unemployment in our community But, if those communities are to have a lies in our developing and promoting Austral- positive role in the development of the nation, ian industries by growing those industries. it is critical that they be linked into the It also recognised that a key to the growth national economic framework. That means of those industries is investment in research that we have to generate policies related to and development. Yet we have seen through developing our industrial base. It has been this government in the last financial year argued at various forums right across this R&D expenditure cut by something like 50 nation for the past decade or so that there has per cent. They have made it so difficult for been a glaring need to expand the base of the companies to access resources that companies Australian economy—to reduce our depend- are just not even bothering to make the ence upon primary production and commodity applications. As a consequence, there is a based activities—into manufacturing and very significant decline in the amount of service related activities; to expand that sector R&D activity occurring right across industries of the economy by implementing a positive in this country at present. It is an area that agenda for growth in our industry policy. That needs addressing urgently. I will be interested means looking at developing new industries— to see the type of policy formulations that the the type of industries that Senator Lundy has new Minister for Industry, Science and Re- just referred to in the information technology sources, Senator Minchin, brings before this area. chamber. We have great potential to grow a signifi- Another key issue that was addressed in cant industrial base out of the convergence of that report which is critical to the develop- our communications and media and entertain- ment of our industries is capital gains tax. ment industries. That convergence is under There is the question of using the capital way in a significant way today even as we gains tax regime to encourage patient capital debate these issues in this parliament. But we investment in our industry. It is about actually also need to look at our traditional industry. rewarding those investors who are prepared to There is no easy transfer from the industries leave their money in our industries and of the past to the industries of the future. It is enterprises around the nation in the longer a matter of progression across one to the term. Patient capital investment is investment other. Significant activity can be achieved out in real jobs. of our traditional industries in terms of their What we are witnessing in this country at ability to export if the right incentives are present are investment decisions driven by given to them to do a number of things, short-term profit taking. We are witnessing particularly in the research and development traditional manufacturing companies in this of new products. But you cannot be optimistic country being forced to make decisions about that this government will address those closing enterprises and getting rid of assets. policies in a positive way. They are decisions not based on whether I recently participated in the Senate Eco- those assets are sustainable in the longer term nomics References Committee. It released a or create jobs or a reasonable rate of return on report entitled Promoting Australian Industry the investment. They are decisions driven by in July this year. It made a series of recom- the demand of institutional investors for a mendations not dissimilar to the type of fixed rate of return over the shortest time. It recommendations that came out of the Golds- is an investment strategy that is working worthy report and the Mortimer report. We contrary to the interests of this nation and its have not seen a lot of activity by this govern- inhabitants. It is an issue that needs to be ment in implementing the types of recommen- addressed with some urgency. dations that come out of those reports. But Another issue that I believe needs to be that committee, which was a joint committee, addressed if we are to grow as a nation into adopted a set of recommendations unanimous- a dynamic community over the next decade 90 SENATE Wednesday, 11 November 1998 or so is telecommunications. It is a question There is a range of other areas which I of how Telstra operates into the future. It is think also would have been worthy of address not about privatisation. The privatisation of by this government in the Governor-General’s Telstra will be an absolute disaster in terms speech yesterday but received very scant of our ability to influence the direction of attention. Senator Brown, in his comments, communications over the longer term. But referred to the linking of social justice with there is an argument that ought to be had in saving the environment. (Time expired) this place about the nature and the way in which Telstra is currently structured and Senator SHERRY (Tasmania) (12.16 whether that structure—the way in which that p.m.)—The address-in-reply debate is tradi- business is run—allows it to operate in the tionally a time in which senators can range best interests of the community it is supposed fairly considerably in the topics they cover. to be servicing. There are two areas I want to focus on today. In the address yesterday from the Governor- A range of arguments have been put for- General there was considerable comment ward about the different ways that Telstra can about the need for, in the government’s be restructured. There are arguments that it words, tax reform—that is, a goods and ought to be set up into separate business units services tax: the tax that we were never ever covering the various service areas that it pro- to have, according to the declaration of the vides. I have heard arguments from experts in Prime Minister. the field that we would be better served by separating the services provided by Telstra What also concerned me was the lack of from the delivery of the communications in- vision in the retirement incomes area, and I frastructure. will come to some issues relating to that shortly. Labor made it very clear in the lead- I have heard arguments—they have some up to the last election and the election in merit—that we ought to consider breaking up 1993 that it would not support a goods and Telstra into a number of separate identities services tax, and it has no intention of chan- servicing specific regions within Australia. It ging that position given the election result. would be set up in such a way that it would There are a number of fundamental arguments be much more responsive to the needs of the that Labor holds and believes in very strongly community it represents. There are a number as to why it will not be supporting a goods of examples around the world where small and services tax, and I just want to run telcos have been very successful in generating through those issues very quickly. industry development activities associated with the information technology area despite The goods and services tax does not create the fact that they are providing services to, in jobs. It is a tax on all goods and services, and one instance, only 500,000 subscribers. a GST is, by its nature, a tax on jobs. If a GST did create jobs, European countries with So big does not necessarily mean effective a GST—and most have it—would have lower in the communications industry, but we unemployment than the United States. Inter- certainly ought to apply some creative think- estingly, the United States is one of the few ing to the way in which our communications advanced economies in the world that does companies are structured and whether or not not have a goods and services tax, and the they can be restructured to provide more unemployment rates of European countries are effective communications services to regional frequently double that of the United States. and rural Australia and, through that process, The only new jobs likely to be significantly link regional and rural Australia into the created by a goods and services tax are the national economic network. Unless we do extra staff that will be needed to administer that, no matter what else we do at the ground it in the tax office. In fact, a GST will cost level—at ground zero, so to speak—it will be jobs in many sectors of the Australian econ- irrelevant if they are not part of that national omy, particularly in the service sector. The network. service sector—the hospitality industry, for Wednesday, 11 November 1998 SENATE 91 example—has been Australia’s greatest job Japan is that they increased the GST to five creator in the last 20 years. per cent in April last year. I would not sweep- Most importantly, I think a GST is funda- ingly argue that the current economic prob- mentally unfair to low- and middle-income lems of Japan have been caused by the intro- earners. Everyone pays the same tax on goods duction of a GST or the increase in the GST and services regardless of ability to pay. from three per cent to five per cent. Some People on low or middle incomes or social might argue that, but I would not. But it security pay proportionally more tax. After certainly has not helped the Japanese econ- all, an extra $10 at the checkout counter omy one bit to have introduced a GST and means a lot more to a bus driver’s family than then to have increased it. It certainly harmed it does to a lawyer’s. Any shift from the it in some respects. taxation of income to the taxation of con- The issue of compensation is widely dis- sumption is felt most by low- and middle- cussed, but compensation does not work. income earners. What is interesting is that big There is no way to adequately compensate business is all in favour of a GST, because low- and middle-income earners and those on the shift in the burden of tax moves away fixed incomes, and what is more important is from large business to the consumer more that there is no way to guarantee that compen- generally—particularly low- and middle- sation package stays in place. Future govern- income earners and small business. It is no ment can take away elements of the compen- wonder that the Business Council of Austral- sation package. In fact, that is what has ia—which is dominated in its membership by happened in most countries that have intro- the banks, major retailers and Australia’s duced a goods and services tax. It is inevi- biggest companies—wants a GST. tably weighted further and further in favour I would have to say that, from the point of of higher income earners. The compensation view of hypocrisy, it is the banks’ position package is stripped back, the GST is in- which ranks as the most amazing position of creased and the biggest beneficiaries of the all. The banks were in there at the Business cuts to income tax are higher income earners. Council arguing furiously for a GST—‘but Another great myth about a GST is that it not on us’ they said. They said, ‘Not only do boosts national savings. The argument is: you we not want a GST to apply to banks, we tax consumption, therefore the price of goods want the states’ financial institutions taxes goes up, people are forced to save money, abolished as well.’ So the position of the they spend less on consumption because it banks is the most hypocritical of all. costs more to live and that is a boost to The GST almost always rises. In 21 out of national savings. There is no better authority 23 OECD countries which have a GST, the than Ted Evans, the head of the Australian rate has risen since the introduction of that Treasury, who said, ‘Every economic text that tax. The rate rises are inevitable. In New you read or that I know of will tell you in Zealand the GST was introduced at a rate of principle that shifting the tax burden towards 10 per cent; it is now 12.5 per cent. In Britain further reliance on indirect taxes will signifi- it has risen from 10 per cent to 17.5 per cent. cantly aid national savings.’ But he then said, In Denmark it has risen from 10 per cent to ‘You won’t find that argument convincingly 25 per cent. Interestingly, Japan started off demonstrated in studies of international tax with a GST of three per cent and of course reform experience.’ there was the usual pledge—like Prime Minister Howard’s—that it would never, ever What is interesting about countries that go up. have introduced a GST—and this is true of Europe, the United States, which does not Senator Quirke—Is this the same bloke have a GST, and Japan—is that their savings who said it was never going to come in? rates are going down. At the same time as the Senator SHERRY—That is right. It was GST is ratcheted up and up, the savings rates never, ever going to come in, and it is never, have been going down. That issue of national ever going to go up. What is interesting about savings is fundamental to the performance of 92 SENATE Wednesday, 11 November 1998 the Australian economy, but I will not go into So that is a very brief overview of why that issue today. Labor has continued to oppose a GST. Des- A GST does not get rid of the cash or the pite the election result, we will be maintaining black economy. Tax avoiders find new ways our opposition to a GST. There is nothing around the black economy. There was an contradictory in arguing and maintaining that interesting study of Canada, which introduced position. There is nothing contradictory in the a GST in 1992, I think it was. It is estimated approach we put forward that there should be that the cash economy doubled in the seven a thorough Senate committee investigation years since the GST was brought in. It is into a whole range of aspects of a GST. There relatively easy to develop strategies to avoid is nothing contradictory in that position the GST net. Of course a GST will create whatsoever. We will be endeavouring to inflation. Costs will go up. There will be an obtain much of the information that the increase in inflation depending on the size of current Treasurer, Mr Costello, and the the GST. government refused to release before the election campaign. One of the arguments I find fascinating is that, when we get rid of all these other 10 One interesting aspect of yesterday’s speech taxes, including the wholesale sales tax, and was the words and themes that emerged. We replace them with a 10 per cent GST, all of continually heard words such as ‘choice’, the businesses that currently pay these taxes ‘incentive’ and ‘saving’. We hear this rhetoric will drop their prices. Maybe I am just a time and time again from the government. touch cynical, but I would be surprised if What is disappointing if we reflect on some there are not at least some businesses that try of the government’s legislation over the past to maintain their profit margin by trying to 2½ years and reflect on some of the legisla- maintain at least some element of the current tion we can anticipate in the next presumably wholesale sales tax and not pass on the three years is the very lacklustre performance reductions in the wholesale sales tax to the in the area of retirement incomes, not just in consumer. There is no legal power in this respect of superannuation but in respect of country to force them to do that. So we may retirement incomes generally, of which super- end up with an inflationary rate that is greater annuation is a major part. than is anticipated as a result of a GST Why is this issue so critical to the future of because there will be many businesses that Australia? The current proportion of the will not reduce prices as a result of the Australian population who are 65 and over is abolition of these taxes, particularly the about 12.2 per cent. That will increase to 19 wholesale sales tax. per cent by the year 2026. In looking around This final point relates to a GST and small the chamber, I think it is within the reach of business. There are 1.3 million small business most of us to be living at that time. By the operators in Australia and they are all turned year 2046—I expect that is not within the into tax collectors. People can have arguments reach of most us in the chamber—23 per cent about the wholesale sales tax, but it is a very of Australians will be over the age of 65. efficient tax to collect because the number of Sorry, Mr Acting Deputy President tax collectors is quite small. For small busi- McKiernan, you are more optimistic than I if nesses this means an increase in compliance you think you will make it to 2046. costs and small business operators will need What is very fundamental about this shift in to devote hundreds of hours to the necessary the ageing population is the cost to govern- paperwork. I do not think they will be par- ment. The current cost of aged pensions and ticularly thrilled when the army of new tax allowances is $14.1 billion, which will in- inspectors—the VAT man as he is known in crease in the year 2001-02 to $16.5 billion. It the UK, the GST man or woman in Austral- is an increase of 23 per cent over a five-year ia—fronts up and wants to check all their period. That is not because the current paperwork to make sure they are paying their government has been any more generous to tax. pensioners—far from it—it is because of the Wednesday, 11 November 1998 SENATE 93 ageing population, the increasing number of have been great difficulties collecting the people who are retiring. Many are retiring, money and great inefficiencies in the collec- unfortunately, before 65 for a whole range of tion or undercollection of the money. It was other economic and social reasons. Every year a poorly targeted tax. There are a whole range the cost of pensions on the budget goes up by of reasons. This new so-called superannuation between half a billion dollars and one billion surcharge was the largest new revenue meas- dollars. ure of the current government during its last Let us look at residential care subsidies. term. It was clearly a tax. The government They totalled $694 million in 1997-98 and called it a surcharge because it could not call will increase to $845 million in the year it a tax, even though it was a tax. It did not 2001-02; an increase of 22 per cent. Home want to be seen to be breaking its promise. If and community care and aged care cost $456 the outcome of this super tax and all the million in 1997-98 and will rise to $706 difficulties that have occurred in its collection million in the year 2001-02; an increase of 54 are anything to go by, woe betide the Austral- per cent. Again, this is not because this ian community the problems that will result government is any more generous—in fact, from the implementation of a goods and far from it. It is continually trying to cut back services tax. expenditure on the aged as a total in our What was also interesting about the community. It is because of the ageing popu- government’s tax package—the central ele- lation. This is going to lead to very, very ment of which was the GST—was that last serious economic and social consequences. year in May or June the government put up One of the most perverse arguments I find an omnibus tax bill which included a number this government advancing in favour of a of very important provisions, one being a GST is that we need a GST to broaden the provision for a savings rebate. The savings tax base in order to pay for the increasing rebate was that of the reworked, rebadged cost of social security. Yet the record of this superannuation co-contributions that the Labor government in its 2½ years in office has been government had committed itself to. The to cut assistance in the area of social security. Treasurer, Mr Costello, and the Assistant We all remember the debacle over aged care Treasurer, Senator Kemp, were triumphantly homes. One of the disappointing things to me proclaiming the savings rebate as a great is that, unfortunately, a body like ACOSS has incentive for savings. We need to have incen- been at least partially convinced by this line tives to encourage saving and we need to that you need a GST to broaden the tax base have choice—we heard this rhetoric in the and to secure social security expenditure, speech yesterday. We were told that this particularly assistance to the aged. But this savings rebate, which we passed in May or government has no intention of increasing June last year, was urgent and that it would expenditure on the aged in our community. It encourage saving. The Assistant Treasurer is the most rapidly growing cost of govern- urged people to go out and save. What hap- ment, and it is a cost that needs to be met. pened? Three months later it was scrapped. It We cannot say to Australians who are turning took three months to scrap what was hailed 65 in ever increasing numbers, ‘You can’t by the Treasurer, the Assistant Treasurer and have an age pension and associated allowan- the Prime Minister as one of the Australia’s ces. You can’t have residential care, and you greatest saving initiatives. This government can’t have home and community care.’ This has a very poor record and has taken a mixed cost needs to be met. approach to encouraging savings in this country. If we look briefly at the area of retirement incomes, we had the introduction of a new There were a number of other initiatives, tax—it was called a surcharge by this govern- some of which have been announced and ment—on superannuation for higher income some of which have not been enacted yet but earners. I am not going to go into all of the which I am sure we will see come before the difficulties that this new tax has caused. There Senate over the next three years. There was 94 SENATE Wednesday, 11 November 1998 a proposal by this government—it is not one of this country who is a very decent, honest I agreed with, frankly—to allow people to and sincere man. draw down on their superannuation for a housing deposit. It must have been a non-core I have listened to many governors give promise, because the Treasurer has quietly speeches about what his or her government dropped that proposal. We do have the propo- was going to do. They are usually just lists of sal for choice of superannuation—so-called legislative atrocities of one form or another choice. It is effectively deregulation of the that are about to be committed against my superannuation market. There are some constituents. Yesterday’s speech was a little horrendous implications for Australians in more subtle than that—although not much that. I suspect that will come before us in the more. The government has clearly put down next few months. We have the removal of the broad parameters of what it is intending superannuation as an industrial matter. Again, to do. No doubt it will not be very much there are some very serious implications for longer before we get the fine details here in that. What concerns me is that this the Senate. government’s approach is to undermine saving, to decrease saving, and to undermine I want to have a look at the word the confidence in the retirement income ‘mandate’. I have generally been a mandate system that we had in this country—a system man. I think governments are elected to which is so necessary to ensure that, when govern. I well remember what happened on people reach the age of 65, they are receiving this day some 23 years ago to a government a decent level of income and a decent level of that was elected to govern in this country. I community support. was in my office at the time. Somebody came running down and told me that, despite that Senator QUIRKE () (12.36 mandate, the Whitlam government had been p.m.)—I would firstly like to make the remark turfed out, tossed out, by the activities of the that I thought His Excellency’s speech yester- then Governor-General and the then Leader of day was an interesting speech. I want to the Opposition, Malcolm Fraser, whom I have congratulate His Excellency: he is one of our less respect for than the gentleman I men- finest governor-generals and I think he has tioned a moment ago. However, I later came done a great job. The remarks that I am going to regard Malcolm Fraser as not being too bad to make about his speech are not directed at a prime minister because there were a few all at Sir William whom I have the utmost of things he did which I thought were much respect for but at the government that wrote better than what we are currently being it for him. blessed with. Sir William has occupied an interesting At the end of the day, I think the activities place in Australian history. He is carrying out of the then Governor-General and those his role with great distinction and integrity. people who gave him advice did serious He has an empathy for the Australian com- damage to the political fabric of this country munity that has been well and truly picked up and, some 23 years later, are still worthy of by the community out there who have a very being reflected upon by people in this place high regard for him personally and for the and in the broader community. The Whitlam office he represents. He represents a very government had a mandate—there was no important office in our democracy. argument about that. They faced the people in 1974 and they were elected to govern. The I, like many other people, will no doubt term of their commission was some three vote for a republic when the referendum is years. It was cut short—dramatically by about held next year. I will be voting for a 18 months—by the Senate at that time. It minimalist option in that future republic. The decided, despite all of the conventions— sort of role that I want to see a future presi- conventions which had been rigorously kept dent of Australia play is very similar to the to in Westminster systems around the globe— role played by the current Governor-General to starve the Australian government of supply. Wednesday, 11 November 1998 SENATE 95

Much has been written of this particular box, we want to make sure that you are clear period. There are a couple of salient points about the implications of what you are voting that I want to bring out in my address here for.’ Before my colleagues on this side think today. The first one is the concept that a I am making out a case for the enemy on this, government has a commission. That commis- I hasten to add that I will come back to that sion, that mandate to govern, which should point in just a moment. not be interfered with by the Senate, was, I On 3 October this year the government believe, seriously undermined in 1975. I was clearly had a large number of people go and enraged in 1975, as were a number of other vote under no illusion whatsoever that they people, because that very important principle would be voting for what was supposedly not only was called into question but also, in called tax reform—what we all know is really many respects, was slaughtered on that par- a cover for the goods and services tax, the ticular day. GST. There is no doubt that a large number We all know what happened. The election of people went in there and voted for this was held some five weeks later; the Labor particular tax. But, sadly, a much larger Party did not win that election. That became number went into the polling box and did not the other point of 1975, that the end justifies vote for the GST at all. They were under no the means. I remember seeing some of the illusion either. As I understand it, 52 per cent characters involved in that 1975 assassination of people went in and voted against this of the Whitlam government cheering—and, if government’s GST. I remember rightly, I think the now Prime Back in 1989 in South Australia, we had a Minister was one of those who had a glass of government that was elected with 48 per cent champagne in his hand and was cheering of the vote. We never heard the end of it when he heard that the Whitlam government from the Liberal Party: we had no authority had been sacked and dismissed. to govern, no right to govern and should not I now find myself in a position where the sit in the Treasury benches; and the mugs in same people are lecturing us here on man- my show agreed with them. But what hap- dates. It is a bit rich to have people like the pened then was that the Liberal Party said, Prime Minister suddenly say that he has a ‘You have no mandate for anything.’ The mandate and Whitlam never had a mandate. same people who said that then are now For that matter, when we had a whole pile of saying, ‘No, we’ve got a mandate. We only other reforms that we wanted to get through got 48 per cent of the vote. We just managed here in the 13 years under Labor, we did not to trick a few key electorates and we did a have a mandate for them either for whatever pretty good job of that.’ When you have $50 reason. The people back in 1974 and 1975 million worth of taxpayers’ funds and a few who brought down the Whitlam government smart alecs that know how to run manipula- did not believe in mandates then but, sudden- tive campaigns in a number of marginal seats, ly, when the role is reversed they believe in it is not hard at all to exercise those sorts of them now. things. That is no mandate whatsoever, and I will elaborate further on that. I seek leave to Let us have a look at this concept of a continue my remarks later. mandate. What does it really involve? One of the most important things about a mandate is Leave granted; debate adjourned. if you offer a plan to the public of Australia MATTERS OF PUBLIC INTEREST and give them a chance to vote on that particular proposal—if you are up-front about Alice Springs Desert Park it and say, ‘This is what we are proposing. We are not going to do it at midnight and Masters Games enact it at 9 o’clock the next morning. We Senator TAMBLING (Northern Terri- want you to vote on it; we want you to tory— to the Minister deliberate on it; we want you to make your for Health and Aged Care) (12.45 p.m.)—I mind up on it. When you go into the polling would like to take this opportunity to describe 96 SENATE Wednesday, 11 November 1998 yet another Northern Territory Country-Lib- include species such as the Greater Bilby, the eral Party government initiative that has been Mala and the Central Rock-rat, which are a resounding success story. On Sunday 22 several of the more endangered species March the Alice Springs Desert Park celebrat- involved in successful captive breeding ed its first year of operation. The 1,300 programs. These animals represent part of the hectare Alice Springs Desert Park is a world- park’s role as a vital research centre, actively class tourist attraction that also plays a vital involved in the conservation of rare and role in research into and conservation of Aust- threatened desert species. ralia’s desert flora and fauna. During its first The Alice Springs Desert Park is an excel- year, almost 86,000 visitors enjoyed the lent tourist facility and plays an important park’s attractions, and this number is sure to educational, research and conservation role grow significantly in a very short time. One that makes it a model for and sets a very high of those 86,000 visitors was a man who is benchmark for similar facilities worldwide to synonymous with nature and conservation aspire to. It is particularly remarkable that the throughout the world, Sir David Atten- park has achieved all that it has in the short borough. His description of the park as time that it has been operating. The park ‘unsurpassable’ in the visitors’ book and celebrated its first birthday in March this year subsequent comment in the local newspaper and only last month won a major national the Centralian Advocate that ‘there is no tourism award. But before I move on to this museum or wildlife park in the world that can most recent tourism award, let me list some match it’ is high praise indeed and well of the other awards that this marvellous deserved. Sir David’s comments are a ringing attraction has received, such as the Territory endorsement of the efforts that the Northern and National categories for a Case Earth Territory government and the Parks and Award. The master plan of the park received Wildlife Commission of the Northern Terri- awards before the park was even open, win- tory have put into ensuring that the park is a ning an occasional special award from the unique and very significant facility. Royal Australian Institute’s National Awards The $20 million park is located just out of for Planning Excellence in 1995 and 1996. Alice Springs and is nestled at the base of the The master plan also received a Judges spectacular MacDonell Ranges. This location, Special Acknowledgment Award from the amidst such beautiful scenery, adds to the Australian Institute of Landscape Architects experience of the park and reflects the careful Queensland group in 1997. and long-term planning that has gone into all The park has received national recognition aspects of the park. Ken Johnson, Regional from the Australian Institute of Landscape Director South of the Parks and Wildlife Architects, winning a National Project Award Commission, had a vision for the park. He of Merit. At the recent Tourism Council of foresaw that ‘the park will be the premier Australia 1998 Australian Tourism Awards, facility in the nation for displaying and the Alice Springs Desert Park won the Na- interpreting plants and animals and landscapes tional Award for Tourism Development of the vast arid zone as well as their tradition- Projects. This prestigious award is well al use by Aboriginal people’. To see that deserved and was only one of several that vision achieved so spectacularly must be very Northern Territory tourist operators received. satisfying and gratifying, and I congratulate I congratulate them on this excellent result, him and his staff on this achievement. which is a good indication of the strength and The 40 staff of the Alice Springs Desert competitive nature of the tourist industry in Park look after over 350 plant species and the territory. more than 120 animal species in three major Northern Territory Adventure Tours won in Australian desert habitats—the desert rivers, the category of Tour and Transport Oper- sand country and woodlands. Of the animal ations—Major, and two operations located at species represented, 22 are mammals, 11 of what is arguably the most recognisable tourist which are threatened or endangered. They attraction in Australia, Uluru, or Ayers Rock, Wednesday, 11 November 1998 SENATE 97 also received recognition. In the category of The Honda Masters Games are known as Tourism Restaurants, the Sounds of Silence ‘the friendly games’ and it is very refreshing restaurant had its uniqueness and popularity to see the event live up to its title. The games acknowledged and Ayers Rock Resort Man- are played in the true spirit of sport with all agement Pty Ltd won the highly competitive participants competing fiercely and to the Meetings Industry category. highest possible level, but not to the detriment In the year 2000 Uluru will be the focus of of fair play and sportsmanship. Each year, world attention when it is the starting point records are broken in the 30 sports that make for the Olympic flames journey around Aus- up the games but it is the emphasis on partici- tralia, with territory athlete Nova Peris- pating, having a go and attempting to beat a Kneebone having the honour of carrying the personal best that I admire most. torch first. Nova will no doubt visit the Sails The games attract competitors from all over in the Sunset restaurant, dining under the stars Australia and an increasing contingent from in the desert overlooking the rock. She may overseas. Ages vary greatly, but it is not also visit the Alice Springs Desert Park, uncommon to see sprightly 80-year-old which will also undoubtedly be a focus of competitors showing their stuff. A recent star world attention in 2000, when the spotlight is of the games was 75-year-old Stan Stankovic, on Central Australia and the beginning of the who won 15 gold medals in the 75 to 79 age torch relay. group and broke the previous track and field The park has great plans for the future, with record of 13 gold medals. three new core habitat displays: Mulga, Range This most recent Honda Masters Games had and Gorge, costing $7 million and already the added attraction of a couple of other well advanced. The Gorge habitat display Australian legends of the sporting arena. Ian should be especially interesting and spectacu- Chappell, the former great Australian Test lar, replicating the environment and habitat cricket captain, proved he is as fiercely areas such as Stanley Chasm, with its water, competitive as ever by competing in the rock wallabies and sheer walls. A free picnic baseball with the extremely successful area will also be a feature of the park. The Interport baseball team. Evonne Goolagong- new exhibits and picnic area will enhance Cawley, the tennis legend, also visited Alice what is already a world class facility and Springs for the games, attended a wide variety provide yet another world-class attraction in of events and was reported as being moved by Alice Springs to add to the many attractions the famous masters’ spirit and willingness to and natural wonders that already draw so have a go. Another great who has previously many interstate and international visitors to attended the games is Dawn Fraser. Central Australia. I would also like to make mention of The games bring many benefits to the town something else that is unique to Alice apart from the opportunity to mix with le- Springs. This is not an actual attraction but an gends such as Stan Stankovic, Ian Chappell, event—the Honda Masters Games, which is Evonne Goolagong-Cawley and Dawn Fraser. held in Alice every two years. Over 4,500 It is estimated that the Alice Springs economy people participated in the most recent games, receives an injection of $8 million from the from 17 to 24 October. As in past years, the influx of competitors and others related to the event was a spectacular success, enjoyed by games. This is a huge boost for the town. all involved. But the games also provide many other The inaugural masters games were held in benefits that may not be measured in dollars Alice Springs in 1986 and were the first and cents. The visitors to the games invari- multi-sport event for mature aged athletes in ably leave with many happy memories and Australia. The games have gone from strength pass on their experiences to friends and to strength since that first event, and their relatives in other states and countries. This phenomenal growth is evidence of the con- word of mouth advertising is the best possible tinuing popularity and support for the event. form of endorsement and results in the games’ 98 SENATE Wednesday, 11 November 1998 growing popularity and in them becoming a entitled ‘Senators, Liberals: Wake up!’ The fixture on many masters calendars. author was Mr Rod Scott of that newspaper. The local residents of Alice Springs love He gave the impression that he was disap- the event and support it strongly. The best pointed with the election result that saw a example of this support is the fact that almost Liberal cabinet minister and the Liberal 1,000 residents act as volunteers and assist parliamentary secretary lose their seats in with all facets of the games’ operations. It is Tasmania. I think everyone now knows that an incredible show of community spirit with Labor holds all five House of Representatives approximately one in 25 locals being involved seats in the state of Tasmania. in the games as a volunteer. If the Sydney In the article, Mr Scott was particularly Olympics manage to generate such enthusiasm harsh on the worth of Tasmania’s 12 senators, and drive, then they will be without doubt the suggesting that they did not contribute much most successful Olympics ever. to the state. He described this chamber as a The masters games are organised by the chamber of privilege and he implied that Northern Territory Department of Sport and senators were basically a waste of time. He Recreation. I applaud the hard work and said that they were ‘highly paid’ and ‘remote dedication that are shown by all those in- from the electorate’. I must say: as I under- volved, particularly that of the games General stand it, all Labor senators in Tasmania have Manager, Shane O’Leary. An event of this shopfront offices and receive a great deal of kind is a huge logistical exercise and organi- contact from the public, as is the case with sation for the next masters games must begin many of the other senators in Tasmania. the day the event finishes. There is no rest for I must say that Mr Scott’s comments do the workers involved. Tasmanian voters a disservice. Firstly, you The eighth Honda Masters Games will be should be aware that a significant number of held in Alice Springs from 21 to 28 October voters in Tasmania did not simply vote above in the year 2000. I urge all Territorians and the line—that is, the nominated party distribu- those eligible in the rest of Australia to attend tion of preferences ticket—but chose to vote this event as it will be the experience of a for individual Senate candidates whom they lifetime that everyone will absolutely love. It wanted to represent them; that is, they voted provides the chance for some high-level below the line. Over 67,000 voters, or 22 per masters competition, a chance to sample the cent of total votes cast, chose to vote in this Territory hospitality and the ideal opportunity way in Tasmania. That is in sharp contrast to to take in the wonders of Central Australia most of the other states. In New South Wales, such as Uluru and the Alice Springs Desert only four per cent of voters voted below the Wildlife Park. line; in Queensland, four per cent; in Victoria, three per cent; South Australia, seven per It is important on this day, the 11th day of cent; Western Australia, six per cent; North- the 11th month, to make mention of the 80th ern Territory, 14 per cent; and in the ACT, 22 anniversary since the World War I armistice per cent. was signed and the guns fell silent in that terrible war. The bravery, suffering and In fact, the national average for below-the- dedication of all Australian troops who fought line voting at the 1998 federal election in the is well remembered, and should be remem- Senate was five per cent. So Tasmanian bered for generations to come. The armistice voters made, one would argue, an even more has been marked by ceremonies throughout deliberate choice in their selection of the the Northern Territory. members of this chamber who would take their place from 1 July 1999. In that sense I Tasmania: Federal Representation think Mr Scott does a disservice to Tasmanian Senator O’BRIEN (Tasmania) (12.58 voters who did make a very deliberate choice p.m)—I want to talk about an article which and who, I think, well understand the role of was published in the Launceston Examiner this place in relation to representing the shortly after the recently held federal election interests of Tasmania. Wednesday, 11 November 1998 SENATE 99

I would have to say this also: the Senate is firstly, at the state election on 29 August. In not a chamber of privilege, as Mr Scott would that election the then government, the Liberal have us believe. It is the watchdog of the government, the government of Mr Rundle, Australian federal system; it is a house of was soundly defeated. If you look at the review. It is a source of considered second federal election result in Tasmania, this opinion on a variety of contentious legislation. government was defeated in the state of The fact of the matter is that normally the Tasmania; that is, it lost its only two House Senate considers every piece of legislation of Representatives seats and it performed clause by clause. This is the forum—in which poorly in the Senate. an extensive and efficient committee system Both of the major parties took special operates—through which members of the Tasmanian policies into the federal election. Australian public can have direct input into Labor included, amongst other things, a the form of legislation, the detail of specific proposal to write off, with no strings attached, government programs and matters of public $150 million in Commonwealth debt which policy. Importantly for Tasmania and for the was held against the state. The coalition had other smaller states, it is the Senate that previously said that that would occur if the scrutinises in great detail every Common- Tasmanian people would support a proposal wealth budget. So I really think that it is more to privatise the Hydro-Electric Commission. than, as Mr Scott describes it, ‘a chamber of That was rejected at the state election. privilege’. He also says this in relation to Tasmania and the Senate: Another important issue that Labor took to Tasmania is in deep political trouble and the the people was the institution of a single Government Senators are the ones who are going untimed local call zone for the state of Tas- to have to get us out of it. mania, which would be one of the more important initiatives for both domestic and Tasmania is represented in this parliament by business users to have been put to the people 17 politicians—five members and 12 senators. of Tasmania for some time. Labor also gave Of those, there are five senators who are a commitment, if elected, to secure the Tas- members of the Liberal Party, and there are manian Freight Equalisation Scheme and the no senators or members from the National Wheat Freight Subsidy Scheme in legislation. Party. I found it curious that Liberal senators op- So I would suggest that it is not simply the posed these proposals on what appeared to me five government senators upon whom Tas- to be spurious grounds, stating that somehow mania relies in relation to its future and that would cause some constitutional problem. representation in this place. The future pros- The inquiries that I undertook revealed that perity of the state depends upon the hard no such problem really did exist. The work and the effective representation by all government’s package was put to the people senators and all members, not only federal on the basis of the goods and services tax parliamentarians but also members of the state being introduced and at least another 16 per parliament and representatives at a local cent of Telstra being privatised and, subject government level. Representation must start to an inquiry, the balance of Telstra. So, in at a local community level. Obviously, in essence, the government’s position was to terms of the established parties, it finds its introduce a GST and to privatise Telstra. way through the party system and it needs to In terms of the two-party preferred vote at carry through to the floor of this parliament— a federal level, in Tasmania the outcome was the House of Representatives and the Sen- that Labor received somewhere between 55 ate—as well as the state parliament. and 56 per cent of the two-party preferred In the end, the voters must consider the vote. In Bass, the voters threw out a cabinet merits of the respective policies presented to minister and elected Michelle O’Byrne, with them by the parties and vote accordingly as a swing of just over 4½ per cent. In Lyons, they feel at election time. That happened in Dick Adams was returned with a swing of Tasmania twice in the last few months— over nine per cent. In Braddon, Sid 100 SENATE Wednesday, 11 November 1998

Sidebottom was elected with a swing of a government’s tax plan. He was quoted in the little over 10 per cent—and that was to Launceston Examiner as saying: replace a member of the Liberal Party who was a parliamentary secretary. Harry Quick On the GST, it may be necessary to have the was returned with an increased majority, as concessions lifting the compensation for those most affected by it, because a large percentage of low was Duncan Kerr. income earners’ costs go on the cost of living. Labor attracted 41.6 per cent of the formal primary vote, compared with the Liberal On Telstra he was quoted as saying: Party’s 33.8 per cent. On a two-party pre- Telstra is regarded as an icon, and the bush is ferred basis, Labor achieved somewhere concerned about the ability of Telstra in private between 55 and 54 per cent of the vote in hands to deliver its service obligations. Tasmania. Going back to Mr Scott’s article, he would He said there was sufficient support in the also have all 12 senators from Tasmania band Liberal Party to change the policy from full together to vote as a block. He argues that on privatisation to the sale of only 49 per cent. the basis that this is a states house. It is a He said on the ABC AM program on Monday: states house because it guarantees that we A wide spectrum of people, low income earners, have equal representation with other states have expressed concerns about their ability to cope and, importantly, without the Senate, the and I have taken note of that. smaller states would clearly be swamped by the larger states. For example, the House of He said the government must be seen to have Representatives has 50 members representing a heart and a social conscience and make New South Wales and five from Tasmania. some adjustments. He had heard the view of But with increasing integration of economic Tasmanian voters about how badly the GST power, communications systems and transport would affect them. In my view, he was networks, the work of the Senate is now far responding to that view. more national than state oriented. However, by lunchtime on that day he was Further, given the election results, Mr forced to contradict his earlier remarks. He Scott’s block voting proposal would require released a statement—which I suggest might senators to vote have been released for him—stating that he against the plans to introduce a goods and had changed his mind. His revised position services tax and to vote against the further stated that the compensation offered by the sale of Telstra. They would also be required Howard government to offset the impact of to pressure Senator Alston to implement the the GST was ‘adequate’—note that, Labor plan to have Tasmania operate as a ‘adequate’; not ‘fair’. single untimed local call zone. Tasmania would be a much better place if Senator’s Watson’s AM position was the government senators supported Labor’s correct one. The GST is not fair—in fact, it platform which was put to the people of is not adequate—for low and middle income Tasmania at the last election, but we all know families in Australia. It is certainly not fair that they will not do that. If one wants to for families living in Tasmania. And in the know why, one only has to look at the treat- interests of Tasmanian families, Labor’s five ment Senator Watson received earlier in the representatives in the other place and five week. senators here plan to oppose it all the way. Senator Watson is an astute politician with Despite Mr Scott’s apparent disappointment considerable expertise in tax matters. He with the results in the last federal election in continues to make an important contribution Tasmania, I can assure Tasmanian voters that to debate on matters of tax and superannua- their overwhelming endorsement of the tion in this place. Last Sunday he expressed has not been a view that there were problems with the misplaced. Wednesday, 11 November 1998 SENATE 101

Federal Election in the gallery by applauding when the Telstra bill was surprisingly voted down at the end of Ault, Mr Mark that sittings. Senator BARTLETT (Queensland) (1.11 He had participated in the conference down p.m.)—One year ago today I rose in this place here and was heading back to Brisbane to to give my first speech and now one year take up the position of president of the later I am rising to give my first speech in the Queensland Young Democrats when he was new parliament. It is good to hear a Labor tragically killed in a car accident on the senator in particular highlighting the value highway. Twenty-four years of age is a very and importance of the upper house and the young age at which to die with so many aims crucial role it does play in ensuring that the and hopes yet to fulfil. As with the death of parliament can act as some balance against any young person, losing Mark means losing the executive and the government. I hope the great potential he had to further enrich our Senator O’Brien can convince a few more of lives and make the world a better place. his colleagues at state level as well as federal level of the importance of upper houses in However, Mark’s 24 years of life highlight playing that important role. to all of us that we do not need to be around for a very long time to make a very positive I start by offering my congratulations to impact, because he certainly managed to do everyone involved in the recent election, it. This is emphasised by the fact that he was particularly my own party and its leadership around the Democrats and a part of our party team, Senator Meg Lees and Senator Natasha for only a relatively short time, yet he had Stott Despoja, for their efforts. The result was such a positive impact on all of us who had that we succeeded in obtaining the highest dealings with him. ever number of Democrat senators in this place, whom we will all gladly welcome on As well as his involvement in the Young 1 July next year. Australian Democrats and the position that he was about to take up as the president of that Congratulations are also due to all success- body in Queensland, he was also a candidate ful candidates from all parties, as well as the for us in the June state election and was Independent member in the other place, and employed on my staff in a relief capacity a those who have subsequently gained promo- number of times. He has left a legacy to be tion to the ministry or shadow spokesperson proud of and one which I and many others roles. Commiserations go to those who were who knew him, both from inside and outside unsuccessful, especially those who suffered the party, will strive to remember. We will try the extra blow of losing their seats. to give extra value and purpose to his life by The main purpose of my speech today is to taking on board the example he has set. pay a brief tribute to a member of the Demo- In closing I would like to pay tribute— crats who was tragically killed in July this given the date is the 11th day of the 11th year. It is the first opportunity I have had month—to all those people who served this since that time to pay a tribute to him in this country in combat, particularly overseas, and place because this is the first time we have those who made the ultimate sacrifice by met since that time. giving their lives or those who suffered I speak of the death of one of the more injury, trauma and hardship as a result. I promising members of the Democrats in recognise the value of the role they played Queensland, a person called Mark Ault who and hope that all of us here continue to do was only 24 years of age. He was actually in what we can to ensure a fairer deal particular- Canberra at the conclusion of the sittings of ly for the veterans in our community. the last parliament in early July. He was down here with many other young Democrats Superannuation: Industry Funds from around Australia attending a conference Senator SHERRY (Tasmania) (1.16 and seminar. He was among a number of p.m.)—I wish to comment today on an article young people who were creating a disturbance which was drawn to my attention last week. 102 SENATE Wednesday, 11 November 1998

The article appeared in the Bulletin and is the ately misleading in this article. He cannot get opinion column written by . For the facts straight. He refers to ‘union’ super- those who are not aware, Andrew Robb annuation funds; there is no such thing as a regularly writes for the Bulletin.Itisan union superannuation fund, despite the persis- opinion column. He is obviously entitled to tent tag put on what are called industry express a view and Mr Robb was the former superannuation funds by Mr Robb and some director of the Liberal Party. others from the Liberal Party. The basic theme of the article, which Industry superannuation funds are set up appeared in the Bulletin on 6 October 1998, under trustee law in this country and they are was a commentary on what he regarded as the required by law to have what is known as significant amount of the money that the joint trustees—an equal number of trustees Labor Party was spending at that time on the from employee representatives and an equal election campaign and the allegation he number of trustees from employer represen- makes about where that money was coming tatives. Sometimes the employee trustees are from. union officials; sometimes the employer Mr Robb claims that the amount of money representatives are nominees of employer being spent by the Labor Party could well hit organisations. Quite often they are elected by $11 million above-the-line expenditure. He the employee and employer members of the states: funds. We do not have union superannuation funds; we have industry superannuation funds Add in $3 million for research and administration where there are an equal number of trustees costs and the Labor Party is running an unprece- dented $25 million campaign, outspending the from employers and employees. Liberal Party two-to-one. The other important aspect of superannua- I am sure that is not correct. I do not know tion that is relevant is that there has to be a the actual figures, but I am sure it is not majority vote. If the trustees of a superannua- correct. He asks the question, ‘Where is the tion fund decide to spend money, because of money coming from?’ He goes on to say: the equal number of trustees from employees and employers, there has to be a majority to It will be interesting to see the level of union contribution this time around. Union superannuation authorise any expenditure. Mr Robb is either funds, which cornered a big part of the fledging totally ignorant or deliberately misleading in super market under the previous Labor government, his claim about these superannuation funds. are still smarting from Coalition legislation which If, in fact, any money is given from an indus- guaranteed a fund-of-choice option, under which try superannuation fund to the Labor Party, it employees are offered a choice of three or four would require at least one employer trustee to funds. This competition has severely curtailed the union super funds’ business prospects. vote with the employee trustees to authorise such expenditure. If this Coalition legislation was rolled back by a Beazley Labor government, the union funds would Of course, Mr Robb’s ignorance is further stand to have monopoly control over hundreds of exemplified by his comment that I referred to millions more dollars of members’ funds, with the earlier where he said: union receiving, by law, a very healthy manage- ment fee. Union superannuation funds . . . are still smarting from Coalition legislation which guaranteed a fund- Mr Robb was alleging that the Labor Party’s of-choice option... campaign to a significant extent was under- I will not go into the arguments for and written by what he refers to as ‘union’ super- against so-called fund-of-choice, which is annuation funds. effectively deregulation with a number of Unfortunately, like a great number of horrific consequences. But the fact is that the members of the Liberal Party, Mr Robb has legislation he is referring to has not passed very little knowledge of superannuation and into law yet. Mr Robb is claiming that these particularly the way in which superannuation so-called ‘union’ funds were upset at this law operates in this country. Mr Robb is legislation and it has not passed into law. He either ill-informed, totally ignorant or deliber- goes on to say: Wednesday, 11 November 1998 SENATE 103

If this Coalition legislation was rolled back by a its tax reform program. We had a debate Beazley Labor government... about that in the Senate yesterday. That was It is not even law yet, so he obviously did not the most blatant misuse of an advertising know what he was talking about. campaign that Australia has ever seen, with Mr Robb goes on to say that the union funds coming from the taxpayer. That would funds would stand to have monopoly control have been a more appropriate issue for Mr over hundreds of millions more dollars of Robb to deal with in his column. Of course, members’ funds, with the union receiving, by I suppose he has got such a tinge of bias: he law, a very healthy management fee. That is was the national director of the Liberal Party. just totally untrue. We cannot use the word Mr Robb may have an excuse about his ‘lie’ in this chamber. Under superannuation claims in respect of superannuation. I can law in this country, the joint trustees—the only assume that Mr Robb was somewhat employer and union—are required by law to confused, taken aback, bemused and worried. tender out the contracts for the management He probably had just received his superannua- and investment of the funds. To my know- tion tax assessment or superannuation sur- ledge there are very few complaints, if any, charge. I think that is probably Mr Robb’s about this process—its probity, its correctness. only excuse for such an appalling lack of You do not have monies passing from knowledge of superannuation. Certainly those members’ superannuation accounts back to who have received the superannuation tax the union, yet here he is alleging that that is assessment notices have been struck by this the system that exists in this country. new 15 per cent superannuation tax. So the three central issues that I have dealt The new 15 per cent superannuation tax— with in my contribution today were untrue much has been said about it in the last few claims by Mr Robb. As I said when I began, years and much more will be said about it he is entitled to editorialise—it is an opinion over the next few years—that Mr Costello column—but he should at least get his facts introduced was in direct contravention of the correct. He is like a significant number of guarantee not to increase existing taxes that members and senators of this government who Mr Costello or Mr Howard gave to the Aus- simply do not know a great deal about super- tralian people in 1996. What did they do? annuation. What little they do know is based They introduced an increase in the superan- on some sort of ideological objection to nuation tax. As I have said, much has been superannuation and Australians having decent said about this superannuation tax and much retirement incomes. more will be said about it over the coming This article is grossly misleading. I will be months and years. I think that can be Mr interested to have a look at the election Robb’s only excuse for why he has such a expenditure returns for respective political befuddled, ignorant attitude towards superan- parties. I would be surprised if any money nuation and the way it operates in this coun- came from industry superannuation funds to try. He must have been shocked and horrified the Labor Party. There may be some, but I by that superannuation tax assessment notice would be surprised if there was any. Certainly he would have received. It has somewhat I would be very confident that it would not thrown him off the track. add up to anywhere near $25 million or even In conclusion, Mr Robb’s three central one per cent of that. arguments do not have basis in fact. They are The irony of this article is that Mr Robb grossly incorrect, untrue and misleading. I alleges—with no facts to support his claim— noticed that in his last paragraph he said he that monies were going from superannuation spent a few days on business in London. I funds to the Labor Party to finance the elec- understand that Mr Robb does some consul- tion campaign. In fact, the Liberal Party had tancy work. I have to urge the financial sector just received $15.7 million, I think—and it is of this country to never consider Mr Robb as going to go higher—of taxpayers’ money to a consultant to your industry. Given his fund the advertising campaign associated with abysmal lack of knowledge of the operation 104 SENATE Wednesday, 11 November 1998 of superannuation in this country, you could from primary school through to senior high never have any confidence that Mr Robb, as school was a casualty of that particular con- a consultant, would have any idea what he is cept of bureaucratic organisation. talking about in representing financial institu- I never took that threat all that seriously tions in regard to superannuation issues in this because I never thought anyone would seri- country. ously do that. But, sadly, I stand here today It was very disappointing to see this article and say that that in fact is now the norm. from Mr Robb. He really does owe an apol- That unfortunately is what has happened in ogy to the industry superannuation funds almost every state. As a consequence, al- which were very unfairly besmirched in this though events such as the one today that we way. It will be interesting to see the financial are recognising—the importance of Armistice returns for contributions to political parties Day—are now much more in the community’s and how much, if any, was contributed by eye and much more in the eye of the leaders industry superannuation funds to the Labor in our community, sadly the most important Party’s election campaign. building block of that is now missing—in our Industry superannuation funds in this schools. country are cost effective and have given a I want to speak about this matter because it very good return to their members. To my seems to me that a country such as Australia, knowledge there is little, if any, difficulty that has only a handful of very significant with those funds, and I think they serve the dates in its past, needs to come to grips with interests of Australian’s future retirement these issues in its education system. These incomes very well indeed. events are at least as important as many of the other things that we put in our curriculum. Armistice Day They are important for the future citizens of Education: Teaching of History this country. They are events that need to be Senator QUIRKE (South Australia) (1.30 recorded. They are events that need to be p.m.)—Today is 11 November—Armistice retold to the students in our schools. They are Day—and some 2½ hours ago in here we events that, unless we take up the challenge, recognised that fact, as indeed we should. I will disappear into obscurity. think it is appropriate to make a few remarks This will be particularly so when the last of with respect to this very important occasion. the diggers from the 1914-18 war are gone. I note with a great deal of interest that From media reports today, I note that there Premier Carr and other leaders in Australia are something of the order of 66 veterans left. have all welcomed the fact that today we are During the course of the estimates hearings starting to recognise the past and the part last year I asked the Department of Veterans’ played by our armed forces, particularly in the Affairs what the number in Australia was at 1914-18 war. I find that somewhat of a that point. That was in November—around contradiction, however, because state educa- this time—last year. The answer was 133. So tion authorities around Australia have just 1997-98 has been a particularly unkind year about wiped out the teaching of history as a to the veterans of the 1914-18 war. I also note discipline. Indeed, most of the state high the passing earlier this year of the last of the schools and a large number of private high veterans who landed at Gallipoli on 25 April. schools now teach hybrid subjects. I can Sadly, what will happen over the next few clearly explain the reasons for that. They were years is that our direct connection with these put to me by my deputy in a high school events will disappear. some 25 years ago. He told me it was easier The purpose of my address here today is to get hold of X number of teachers and X not to say that there ought to be more history number of classes and tell them to teach taught in schools, that it ought to be conse- whatever they want. So the idea that history quential history or that we need to look at our as a discipline in particular would be taught school curriculums—I think that is very with some cognitive levels at every stage important and significant—but to honour Wednesday, 11 November 1998 SENATE 105

Armistice Day itself. On 11 November, the carried the scars literally all the way to their armistice came very much as a surprise not graves. only in Australia but also in all the belligerent Now, as a community, we look back on countries. The events of the preceding five or some of the events that have taken place. In six weeks indicated that the war would end the media during this week we have had soon. Indeed, the war in many theatres—the comments about VC recipients who were war in Mesopotamia, the war in the Middle charged. One person was charged with deser- East, the war against Austria—ended before tion after a particularly horrible period of 11 November. battle when he apparently snapped. He was The significance of 11 November cannot, in sentenced to a period of imprisonment. I think my view, be overstated. Not all of the guns it is appropriate for us to say, as a communi- fell silent on the Western Front at 11 a.m. on ty, that we need to remember today the 11 November. In the American sector the suffering of these men and women who fighting continued for well over two hours. In fought in the 1914-18 war and, indeed, in fact, the last man killed was Phillip Adams, other wars. a corporal in the American Army. He was We need to make a clear statement that we, killed some two hours and 11 minutes after as a country, owe them a great deal. We the armistice. There was news of other casual- recognise what they went through. We also ties coming in as the church bells in England recognise what their families went through and in other countries were ringing to an- when these people came home. I think that nounce the armistice. What came to an end on quite often is forgotten. These men and, in 11 November was something that for a gen- many instances, women, came home to what eration, and indeed probably for several was a normal life in societies in Australia, generations, would be remembered as the Britain, the United States and the other Great War. countries that were involved in these conflicts. When they came home their family life was It would also be remembered as the foulest resumed. Some of them resumed duties as war that Australian soldiers had ever gone fathers and some as mothers; some of them into. In fact, of the 330,000 Australian sol- went on to have more children. They carried diers who went to this war—out of a popula- with them the scars of events they could tion of only 4½ million at that time—some never talk about. I think it is good that our 58,000 would never come back. Of those who community—and in particular my generation, did come back, about 120,000 suffered inju- which has not had to suffer this level of ries, to varying degrees. All of the soldiers terrible conflict—is now recognising this. who went overseas during that particular It is beyond the scope of my address here period carried other scars that we today today to go to the various events in the 1914- recognise. 18 war that Australian soldiers participated in. We are, as a community, much more But I think it is sufficient to say that, apart sympathetic now to things such as battle from Gallipoli, which is the focal point of our fatigue. We are much more sympathetic to the 25 April celebrations every year, the Austral- horrors that these people—men and women— ian Army participated in all of the major went through. One group that is quite often onslaughts on the Western Front, and it forgotten in this whole exercise is the many played a pivotal role in the Middle East in the women who served, particularly in the 1914- Palestine campaign. 18 war. They served in different capacities— Certainly, the five Australian divisions that usually in medical capacities, but they served were present in Western Europe were used as nonetheless. These people saw sights that the shock troops, and starting in the middle of none of us in our lifetime will ever see. These July 1916 that was the role that they would people worked under the most horrific of play all the way up to Armistice Day. The conditions—throughout the whole of the battle of Passchendaele, the battles on the 1914-18 conflict in particular—and they Somme and the great offensives of the Ger- 106 SENATE Wednesday, 11 November 1998 man Army in 1918 all saw the Australian the Government. Can the minister confirm soldiers, with their determined will, hold the reports that the head of the Prime Minister’s enemy or advance against tremendous odds. department, Mr Max Moore-Wilton, recently It saw the Australian soldiers whittled down berated portfolio secretaries for their failure in numbers and those five divisions run down to market the government’s achievements and considerably. policies? Can the minister confirm that Mr By the end of the war, the Australian Army Moore-Wilton told a meeting of portfolio had suffered, per head of population, enor- secretaries that the Prime Minister was only mous casualties—casualties much greater than happy with three of their number? Do Mr any of the other combatants in the Common- Moore-Wilton’s comments accurately reflect wealth forces. They did not suffer more the Prime Minister’s view, or are they an casualties than the British, but they did suffer exaggeration or, worse, an outright distortion? more per head of population. One of the Will the Prime Minister rule out a repeat of reasons for the level of casualties is that the the purging of departmental secretaries that soldiers themselves fought so well that they occurred following the 1996 federal election? were used time and time again as shock Senator ALSTON—It is clear that nothing troops. has changed. After one of the biggest drub- I think, after 80 years now, it is important bings in electoral history—which I would for us to look back with a fresh vision on have thought would have told you that you these days. I think it is important to raise needed to concentrate on policies—all you are some of the questions that have been raised doing is relying on a bit of scuttlebutt you this week. I commend the various media have read in the newspaper. Mr Max Moore- outlets that have given so much of their time Wilton has not spoken to me. No-one else has today in the various newspapers around this conveyed to me any private thoughts that country to recognise the enormous contribu- might have— tions that these men and women made, and to Senator Crowley—Nobody talks to you! point out to the community the importance of Senator ALSTON—They are not supposed 11 November. to tell me what goes on about any briefings Sitting suspended from 1.42 p.m. to 2.00 that might or might not occur between the p.m. head of the Prime Minister and Cabinet and MINISTERIAL ARRANGEMENTS other departmental secretaries. But whether or not they choose to tell me, they did not on Senator ALSTON (Victoria—Minister for this occasion and I have no reason to think Communications, Information Technology and anything of the sort was discussed. In fact, the the Arts)—by leave—I inform the Senate that selling of policies was the responsibility of Senator Robert Hill, Minister for Environment ministers and backbenchers; they did a mag- and Heritage, will be absent from the Senate nificent job in that regard. chamber for question time today and tomor- row, 11 and 12 November. Senator Hill is in Senator O’Brien—Like the tax package. Buenos Aires attending the fourth meeting of Senator ALSTON—The score is on the the Conference of the Parties to the Frame- board. As Mr McMullan said on election work on Climate Change. In his absence, I night, there are no second prizes. In a two- will take questions relating to the portfolios horse race, if you come second you come of the Prime Minister, Foreign Affairs and last—and you know that. This is a unique Trade, and Forestry and Conservation; Senator opportunity for you to lift your game, but you Minchin will take questions relating to the refuse to do so. portfolio of Environment and Heritage. Senator FAULKNER—Madam President, QUESTIONS WITHOUT NOTICE I ask a supplementary question. As the minister has indicated that the selling of the Departmental Secretaries government’s so-called achievements is the Senator FAULKNER—My question is responsibility of ministers and backbenchers, directed to Senator Alston, Acting Leader of can I ask whether Mr Moore-Wilton was Wednesday, 11 November 1998 SENATE 107 speaking on behalf of the government in management that may or may not be worthy stipulating failure to adequately market the of consideration by the government? government’s achievements as the criterion Senator ALSTON—I thank Senator for assessing the government’s senior manag- Boswell for a very important question, be- ers? Isn’t this measure grossly unfair for those cause this goes to the heart of the difference senior executives who were responsible for between the parties. One party, the coalition, trying to salvage the government’s botched was out there selling policies that were in health insurance and nursing home policies Australia’s best interests; the Labor Party was and those who had to take the rap for the Job out there selling a scare campaign, which Network disaster? Shouldn’t ministers be failed monumentally. As Senator Boswell taking the blame for their own incompetence? very rightly points out, not only did the Senator ALSTON—The logic of that is approach that we took to economic manage- breathtaking. I have just told Senator Faulkner ment stand us in very good stead; it has and the Senate that, indeed, I am not in a shielded us from the Asian crisis. Every position to confirm anything that Mr Max country in the region, outside of Australia and Moore-Wilton might have said or not said— China, is in recession. As a result of our and Senator Faulkner then asks me whether commitment to sensible economic manage- what he said was authorised. It really beggars ment, we continue to enjoy strong economic belief. growth, low inflation, record low interest rates Senator Faulkner—I asked you whether and strong employment growth. Indeed, ministers should be taking the blame for their preliminary figures released today by the own incompetence. Australian Bureau of Statistics show that the Senator ALSTON—If we are talking about economy grew by a revised 4.4 per cent in policy, might I say that I was well served by 1997-98, up from the four per cent rate my department; I think others were as well. previously reported. So, in the face of global What this really ought to be about is focusing economic uncertainty, this is truly a remark- on who had policies and who did not. I think able result. Laurie Oakes got it pretty right today when he This results from the fact that we had the said that Labor’s choice to play it safe means economic fundamentals right, as was attested that Kim Beazley should get a kick in the to by Treasury in its latest Economic roundup, behind and someone ought to tell him that his where it said: tactics did not work. The current approach to macro-economic policy The fact is that, during that campaign and the impact of micro-economic reform have period when policies had to be sold, we were strengthened the stabilisation mechanisms in the out there selling them—but your leader was Australian economy, making it more resilient to busy gorging on humble pie when he did not disturbances. have a recipe for the future. His fundamental The Reserve Bank says pretty much the same problem is too much tucker, not enough thing: ticker. (Time expired) The Australian economy has weathered the first Economy: Government Mandate year and a half of a very difficult international environment exceptionally well. Senator BOSWELL—I ask a question of the Acting Leader of the Government, Senator The lesson ought to be clear to all those Alston. Senator Alston, as a result of the doomsayers who are out there trying to sell coalition’s sound economic policies, Australia down the Australian economy. Poor old has successfully withstood the severe econom- Gareth Evans said that all the evidence is that ic downturn in the Asian region. How does the Australian economy is on a precipice, the government intend to fulfil the clear hanging on by its fingertips. Of course he fell mandate it has been given by the Australian over the cliff, and so did Labor’s economic people to continue its record of sensible strategy. economic management? Are you aware also Senator Boswell points out that we did have of any alternative approaches to economic a clear mandate given to us by the Australian 108 SENATE Wednesday, 11 November 1998 people. We will continue our record of sen- Senator ALSTON—I am not aware of any sible economic management. I know of no rewriting. To the extent that there are changes other alternatives that are worthy of consider- made and they are required to be made ation by the government. I say yet again, as public, of course we will make them public. Laurie Oakes says, that Labor’s failure of We will take the parliament into our full leadership was Beazley’s failure. The Labor confidence at the appropriate time. As I said, leader simply grabbed tax credits as a gim- if and when there are any changes we will let mick to stack up against the coalition’s tax you know. reform package. We had the guts to tackle tax reform. We had the guts to make the changes. Taxation Reform: Benefits Your blokes simply had too much tucker and not enough ticker. Senator SYNON—My question, which is directed to the Assistant Treasurer, relates to Ministerial Code of Conduct tax reform. Will the minister explain how the implementation of tax reform on 1 January Senator FAULKNER—My question is 2000 will provide substantial benefits for the directed to the Acting Leader of the Govern- Australian people and the Australian econ- ment in the Senate. I refer to the Prime omy? Minister’s announcement in September that the ministerial code of conduct, which he Senator KEMP—I thank Senator Synon for introduced with such righteous fanfare follow- that important question. The government went ing the 1996 election, has now been scrapped. to the election with a proposal for a bold tax Has a new code of conduct been prepared reform program that is in the interests of the now that the election is over, as promised by Australian economy and the Australian com- the Prime Minister? What changes have been munity. It is really the biggest tax plan that made? When is the code to be made public? has been put forward in this country certainly Given that the Prime Minister promised to lift since the 1950s. It changes the whole struc- parliamentary standards, is it the intention of ture of personal taxation, indirect taxation, the government to actually enforce any business taxation and tax administration in proposed new code of conduct? this country. Senator ALSTON—It is totally incorrect The polls showed that the Australian people to say that the code of conduct has been agreed that tax reform was necessary, that it scrapped. There is a code of conduct that was good for the nation and that it was good ministers are expected to abide by. If there for them individually. The Australian people are any changes, we will let you know. In the embraced tax reform and gave the government meantime, if you are serious about raising the a mandate to deliver a new tax system for the standards and if you truly do aspire to one new century. This was achieved despite day be office holders, perhaps you might look Labor’s very dishonest campaign against the at releasing a similar code of conduct for tax reform plan. shadow ministers. I am sure that hell will freeze over before you do. Our plan will create much stronger incen- tives to work by cutting marginal tax rates Senator FAULKNER—Madam President, and by reducing taper rates at which social I ask a supplementary question. I thank the security and family benefits are withdrawn. Prime Minister for letting us know of any The GST will allow the abolition of the changes. Does the minister believe that the wholesale sales tax system, which we do not parliament and the public are entitled to know support but which the Labor Party apparently of any changes, if there are any, to the does, and a range of other state taxes and ministerial code of conduct? Is it not true that charges. It will allow fuel costs for business the Prime Minister has had to rewrite his code to be significantly reduced. It will recognise of conduct not on the basis of principle but the costs of raising a family and provide on the basis of compliance with the venal and substantial encouragement for people to take self-interested approach of his own ministers? out private health cover. It will provide a sure Wednesday, 11 November 1998 SENATE 109 footing for state governments, which deliver announced the day before the 1998 federal critical infrastructure to our community. election? The Australian community voted in favour Senator ALSTON—I do not remember the of tax reform to be delivered by 1 July 2000. Labor Party having any objection to that To give effect to these wishes of the Austral- policy proposal; indeed I took it that you ian people, it is necessary for legislation to be were very supportive of it. I am not aware of passed by this parliament by 1 July next year. whether or not there were any consultations I believe that the Labor Party is acting in that might have occurred. I am aware of those contempt of the Australian people. Mr matters that are brought to my attention. This Beazley said this: was not brought to my attention. I have no idea whether there was felt to be a require- We will manoeuvre tactically in whatever way we ment to do it, but the bottom line is that this can to try to procure the defeat of this legislation. was an announcement that was critically We will also— needed, that was very much appreciated and Honourable senators—Hear, hear! about which you said absolutely nothing. Senator KEMP—‘Hear, hear,’ they say. You no doubt squirmed because it is the After all, we went to an election. The central very sort of thing that you probably thought issue of the election, which the Labor party you should have announced. I remember Mr would agree, was tax reform. We happened to Beazley making some announcement—I don’t win the election, and it happened to lose the know, what was he going to do? Declare a election. We therefore believe that we have a national day of emergency or something? I do very clear mandate from the Australian not think he consulted us about that. I do not people. Mr Beazley and the Labor Party think for a moment that he would have been refuse to recognise that mandate. What we are inhibited in anything that he might have done seeing is an attempt by the Labor Party to to address that crisis. We made decisions that defeat in this chamber tax reform which it were not only in the national interest but were could not defeat in the election. As I said, tax very much designed to address the emergency reform was the central issue. Tax reform was requirements of that state, and we did it in a debated extensively. The Australian people way that I think addressed all of those needs. now want tax reform. It is our view that the Senator CARR—Madam President, I ask Senate should now get behind the government a supplementary question. Minister, you seem and ensure that this tax reform bill is passed. remarkably uninformed about these matters, but I ask you: has the minister’s attention Victoria: Gas Emergency Relief Package been drawn to the comments made by the Senator CARR—My question without Treasurer, Mr Costello, in relation to the gas notice is directed to the Acting Leader of the measures when he said: Government in the Senate, Senator Alston. . . . in caretaker mode you can actually do things Can the minister confirm that former Minister by agreement with the Opposition and I can’t imagine there would be any disagreement in Somlyay consulted with the opposition during relation to this. the federal election campaign on service delivery arrangements for the Cocos Islands Given that the Treasurer clearly understood in accordance with the caretaker convention? the caretaker conventions—and clearly the Can the minister also confirm that Minister Treasurer also indicated that they did apply in Downer consulted with the opposition on the regard to the gas measures—why was this proposed visit of a senior Chinese official and particular proposal not discussed with the that Minister Minchin consulted with the opposition before its announcement? opposition on an amendment to a determina- Senator ALSTON—I will make some tion under the MOPS Act? Why then did the inquiries and see if there is anything more government not consult with the opposition that can be added to the answer I have al- on the substance of the government’s $100 ready given. The fact is that this was emer- million gas crisis relief package for Victoria, gency relief which had to be announced as 110 SENATE Wednesday, 11 November 1998 soon as possible. I have no idea whether Mr Senator Lees interjecting— Costello was being quoted in relation to the Senator KEMP—It is quite important, if gas crisis. you pick out a paragraph which is highly Senator Carr—You had time to go to your selective. Mr Vos also said that large numbers advertising agency. of people will be happier after the report Senator ALSTON—It is your question. because there are some issues which he is You did not bother to link it to that. You looking at. simply said that Mr Costello made some It is not surprising that people are writing remarks about the caretaker mode. He may to the government. I am surprised that they well have made some remarks about the think they can achieve much by writing to caretaker mode, but I do not know what they you, Senator, but it is not surprising that they related to and I will make some inquiries. are writing and bringing particular issues to the government’s attention. Of course the Taxation Package: Mandate government looks carefully at those matters Senator LEES—My question is to Senator which are raised and they will be taken into Kemp, the Minister representing the Treasur- account in the drafting of the legislation. er. My question is about the false impression, fostered by your government, that every On the substance of your question, Senator Australian fully understood your tax package Lees, we put out a major policy of 200 pages. when they voted on 3 October. Can I point out to you that no government has ever been elected on such an extensive Government senators interjecting— and detailed tax policy, and this has been The PRESIDENT—Senators on my right extensively debated during the election. In will cease interjecting. Senator Kemp needs fact I would have to say that it was the to hear the question that he is being required central issue in the election. Everywhere to answer. everyone went the issue was tax reform. The Senator LEES—In fact the Treasurer said Labor Party wanted to make the election on of the election a few days afterwards: tax reform, and we were happy to make the election on tax reform. That was the issue, You had a system where a government came clean and we won. with the Australian people and put out a new tax system, in detail. In such an extensive tax reform program, of How does this false impression sit with the course people will be asking particular ques- hundreds and hundreds of letters that we—and tions. Of course they want particular issues I am sure most senators—are now receiving clarified and there are some issues which they from individuals, industry associations and are putting to government, and the govern- not-for-profit organisations expressing concern ment is reading their representations carefully. with the details in the tax package? How does Senator LEES—Madam President, I ask a this shonky argument sit with comments from supplementary question. Minister, could I Mr David Vos, who said: suggest that you may like to look through Most of the consternation that exists within most some of the mail, because people are writing of the sectors is because not all of the policy has to us enclosing letters they have written to the been revealed by the government. government that remain unanswered weeks Minister, what is your response? and weeks after they have written them. I ask, Minister: how do you respond to the Austral- Senator KEMP—In relation to the com- ian Catholic Social Welfare Commission, who ment by Mr Vos, I do not think you actually say: quoted the first comment he made. Perhaps in the supplementary, when you stand up—I The Commission was given assurances by Senator assume you are reading from the AAP—you Newman following the release of the Coalition’s tax reform package that there would be wide might actually quote the first number of consultation with the churches and the community sentences that Mr Vos said. I think that will sector before the implementation of the GST place an entirely different spin. legislation. Clearly, the mandate the Treasurer has Wednesday, 11 November 1998 SENATE 111 given to the Tax Consultative Committee means with the way in which the issue has been that now there will be limited, if any, public handled internally. The extent to which the examination of the impact of the proposed tax Prime Minister wishes to pursue that matter reform on low income people and families. at APEC will be a matter for judgment. Senator KEMP—Senator Lees again raised the issue of people writing. People write all We understand that other countries, particu- the time about the current tax system. We larly the United States, have made public constantly receive letters on the current tax statements about what they will or will not system and most of those are letters which canvass in the bilateral discussions, but as far complain. That is the first point. Secondly, as Australia is concerned we will look at what this tax package has been out for a long time. is in Australia’s best interests. We are very All groups are fully aware of the issues which conscious of the need to advocate the full and are raised in the tax package. A lot of those proper protection of human rights in the groups have made their views known to region and we clearly have concerns about the government and, where they have, those treatment of Anwar Ibrahim to date. views have been passed on to the Vos com- Senator COOK—Madam President, I ask mittee for consideration. a supplementary question. This is in a bilater- I am not precisely sure whether you quoted al meeting, not in the formal economic com- my colleague correctly, but there has been ponent of the meeting, Minister. Since you extensive consultation. The issues those have described the process, would you mind groups have raised have been taken into telling us what is in the best interests of account. I think that was one of the points Mr Australia? Why won’t the government place Vos made on the radio this morning. this issue at the top of the agenda? All I want is an answer to that question: why won’t it The PRESIDENT—I remind senators both place it at the top of the agenda? asking questions and answering them of the provisions of standing order 186. Senator ALSTON—The fact that bilateral discussions occur does not mean that they Ibrahim, Mr Anwar have to be on subjects other than those Senator COOK—My question is to the discussed in the plenary sessions. Clearly, the Minister representing the Prime Minister. economic relationship between Australia and Given that Mr Howard has indicated he will Malaysia is the pre-eminent issue for con- not be declining a one-on-one meeting with sideration. The Prime Minister has already ex- Dr Mahathir at the APEC forum, will the pressed his concerns about the direction of the Prime Minister place the treatment of Anwar political situation in Malaysia. We have also Ibrahim at the top of his agenda for this expressed our hope and expectation that meeting? If he won’t, why not? Anwar will be accorded all rights to which he Senator ALSTON—There are a number of is entitled under Malaysian law. aspects of any bilateral relationship that Senator Jacinta Collins—Hopeful, are obviously need to be canvassed. I know it you? might suit your purposes to suggest that this is the pre-eminent issue, but APEC is essen- Senator ALSTON—I know you would like tially an Asia-Pacific economic commission. to personally go there and do what you can to solve the problem. We recall that Senator Senator Cook—We invented it; don’t tell Cook was never able to make more than us about it. about two meetings in a day. I can imagine Senator ALSTON—Indeed, and you what Senator Cook did in relation to bilateral should know that the ‘E’ stands for economic. discussions. This is the bloke who said that All I am pointing out is that it is principally his final program had to be prepared for him concerned with economic issues. It does two weeks before departure, no more than provide an opportunity for discussions on a four calls should be arranged for any one day range of other issues. The Prime Minister has and time should always be allowed for a already made it clear that he is not impressed briefing and a cup of tea. (Time expired) 112 SENATE Wednesday, 11 November 1998

Hurricane Mitch: Aid Taxation Reform: Consultation Senator HARRADINE—My question is Senator QUIRKE—My question is direct- directed to the Minister representing the ed to the Acting Leader of the Government in Minister for Foreign Affairs. I refer to the the Senate, Senator Alston. Can the minister thousands of deaths and injuries caused by confirm the Prime Minister’s commitment on Hurricane Mitch in the poorest countries of page 32 of the tax reform package that ‘the Central America. What humanitarian aid has government will consult widely after the been given or promised by the Australian election on the GST’? Did he also promise government and by the rest of the world? In that ‘interested parties will be fully involved view of the economic devastation and con- in the consultation and implementation phase tinuing crippling debt in these particular because consultation is needed to ensure the countries, is Australia supporting the propo- design and draft legislation deliver the sals for a debt write-off? government’s policy objectives’? Did the Prime Minister also reassure voters prior to Senator ALSTON—We certainly are very the election that the government has ‘two conscious of the devastation to which Senator years to do it or 18 months to do it’? Why Harradine refers and it is obviously a tragedy then has he truncated the consultation process of immense proportions. The Australian to 17 days, a time frame that even the chair government already announced on 7 Novem- of his own committee, Mr David Vos, has ber an assistance package by way of emergen- described as inadequate? cy relief of $1 million. Funds will be provid- Senator ALSTON—The monumental ed through aid organisations already active in hypocrisy of the Labor Party knows no the region. There will be $500,000 to Austral- bounds. They have not the slightest interest in ian NGOs to supplement their own resources further consultation because their minds are in providing immediate relief to victims, absolutely made up. Despite the fact that, if $250,000 to the United Nations Office for the anything, the election should have taught you Coordination of Humanitarian Affairs to that you needed sensible alternative policies, support their efforts to improve urgently you went for the quick fix. You went for the needed road and air transport capacity and policy free approach. $250,000 to the International Federation of If there was one issue above all else that the Red Cross to assist with basic health care. was canvassed exhaustively during the cam- We will be announcing this week the fur- paign, it was tax reform, and the GST in ther details of NGO programs that will be particular. You did not miss an opportunity on supported. This is a generous contribution a daily basis to get out there and perform from the Australian government. It is made on stunts. You had the Leader of the Opposition the basis of our capacity and our concern in humiliating himself on a daily basis to try to the region. We are at the same time providing desperately draw attention to the GST and all significant humanitarian aid to places such as its negative implications. It is not as if we are Papua New Guinea, China and Bangladesh starting from scratch. It is not as if we have following floods in those countries. We are suddenly pulled something out of our back obviously playing a key role in addressing the pocket after the election, as you did when you financial and economic concerns in Indonesia. ripped up l-a-w, law; as you did when we found out about the Kirribilli deal; as you did I am not aware of the extent to which on a whole range of issues. This was some- the Australian government might be involved thing that was transparently crawled over by in any discussions about debt write-offs, but I every interest group in the country on a very will ascertain an answer to that question detailed basis. So you have to look at consul- and at the same time I will find out what tation in a relative framework. contributions are being made by other count- The consultation process that has been ries to what is clearly a disaster of devastating announced will provide every opportunity— proportions. and, undoubtedly, if there is a committee Wednesday, 11 November 1998 SENATE 113 established of this Senate to further examine native proposals for reform of Australia’s the process—for every interest group to put business tax system? forward all sorts of submissions. The legisla- Senator MINCHIN—I thank Senator tion does not take effect, as we know, for a Ferguson for his question, which I want to long time yet, and there will clearly be every begin answering with a quote. Someone said: opportunity for people to make their positions felt. But the consultation process that the The easy road in politics lies in the preservation of sacred cows. In Labor’s case this now means Prime Minister announced before the election turning a blind eye to the failings of the old is one that we do think is important. That is economy and the old welfare state. why we have announced the arrangements that we have. I think any member of the coalition would be proud to have expressed a sentiment about There will be a special Premiers Conference Labor with such eloquence. But this was not on 13 November. The taxation consultative a coalition member; it was actually the Labor committee has been established to undertake member for Werriwa, Mark Latham. He has a targeted consultation process. The Ralph become I think the modern equivalent of that review of business taxation has been estab- very brave young man who yelled out, ‘The lished to consult on the business tax reforms. Emperor’s got no clothes.’ As the Beazley The taxation task force will be supported by Labor Party passes by, there’s Mark Latham a group of working committees, and there will yelling out, ‘You’ve got no policy clothes.’ be a small business consultative committee. Thank God for Mark Latham! There are a whole range of avenues by which We have a situation where the current tax people can make suggestions. We assume that system has become one of Labor’s great the great bulk of those will be acting in good sacred cows. It was not always the case, of faith and will be wanting to sensibly explore course. When Emperor Keating was in charge the implications. This is completely unlike the of the Treasury, he did agree and understand Labor Party, which has not the slightest bit of that the tax system was a sacred cow that had interest in doing anything other than ensuring to be blown away. I seem to recall that the that our tax reform package, which was current leader, Mr Beazley, agreed with him. supported at the last election, never sees the But now they are in opposition, and now they light of day. retreat to defending the old economy and the Senator QUIRKE—Madam President, I old welfare state. When Labor went to the ask a supplementary question. Minister, are election, their idea of tax reform that they put we to take from this farcical backdown on to the Australian people was, ‘Let’s have a consultation by the Prime Minister that the retrospective tax on capital gains.’ Terrific! commitment to tax food, children’s clothing, ‘Let’s put a new tax on four-wheel drives.’ textbooks and over-the-counter medicine was What a brilliant policy! Who was the political a core promise but the commitment to consult genius who dreamed that up? I understand the widely was non-core and made only for New South Wales Right has a hunting party grubby political advantage? out to find them. I wish you luck, because we were staggered when you came out with that Senator ALSTON—I do not think I have policy. anything to add, Madam President. We have a Labor Party that is defending— Taxation Reform: Employment and a coalition party that is going to over- turn—a tax system that resulted in the recent Senator FERGUSON—My question is completion of a court case in the Federal directed to the Minister for Industry, Science Court that took 2½ years to work out whether and Resources, Senator Minchin. Minister, frozen yoghurt for the purposes of the tax how will the government’s plan to build an system should be classified as yoghurt, which internationally competitive tax system in is tax free, or ice-cream, which has a tax on Australia assist business to create more jobs? it. They took 2½ years to work out what to do Secondly, is the minister aware of any alter- with frozen yoghurt. In the end I think they 114 SENATE Wednesday, 11 November 1998 said, ‘Well, if the frozen yoghurt tastes like and Administration. Is the minister aware that ice-cream, it should be taxed as ice-cream. the Advance to the Minister for Finance and But, if it doesn’t, then it is tax free and it will Administration is only for urgent purposes be counted as yoghurt.’ That is what the and is only to be available after the last day Labor Party is defending. That is what we for inclusion in the appropriation bills? How want to get rid of. can the $10 million of expenditure on the The people on 3 October rejected your GST ad campaign, decided on by the govern- position on tax. They threw it out—80 to ment a full month before the budget papers 67—and they voted for our tax reform plan. were closed, be in any way unforeseen when Our tax reform plan is all about reducing the the government foresaw the need on 7 April tax burden on business and the compliant 1998? And how can this expenditure be seen costs on business. What is that all about? It in any way as urgent, when the first, relative- is about allowing business to get on with the ly small draw-down was not requested until business of employing Australians. There is 14 May, after budget night, and the first only one real answer to lowering unemploy- substantial draw-down was not requested until ment, and that is getting an internationally 10 July 1998? competitive business sector in Australia. That Senator ELLISON—There has been a is how you create sustainable jobs. The way complete review of this situation. As we all you do that is by reducing the tax burden on know the Auditor-General, through his office, business, and that is what our plan does. has found that there has been no illegal or Labor ran around during the election cam- unethical behaviour by the government or by paign saying, ‘We have a target of five per public servants in relation to this whole cent unemployment.’ Where was the sub- exercise. As a result of that inquiry, the stance? They did not have one policy that ANAO suggested three areas for review: would have resulted in a reduction in unem- government information and advertising ployment. We do. We have a tax plan which arrangements; legislative provisions and will take the burden off business and enable guidelines governing the use of the Advance business to create jobs. Our plan will take $10 to the Minister for Finance and Administra- billion off the cost of doing business in this tion for contentious or sensitive matters; and country, and that must lead to the capacity to guidelines which specifically address the create more jobs. It will also take $4½ billion licensing of copyright to Commonwealth off the cost of Australian exports. developed material for party political purposes You run around saying that you are all for during an election period. helping business, helping manufacturing and The government has looked at that and helping exports. But, when it comes to the considers that these reviews are not necessary crunch, you are going to come in here and because firstly, on the current evidence, the vote against a tax plan that will take $10 government information and advertising billion off the cost of doing business in this arrangements proved adequate to the task; country. We are not saying it is a panacea. secondly, the ANAO found that the frame- But it has to mean that business will have a work and administration of the AMFA was capacity to create more jobs, particularly in appropriate; and, finally, the copyright guide- the context of our plans for further economic lines mentioned are under continual review reform and further liberalisation of industrial and it is not considered that specific amend- relations. We are on about helping business ments are necessary. So there has been a create jobs; you want to stop them creating complete review of this matter by the ANAO, jobs. (Time expired) and the government has been totally cleared. Goods and Services Tax: Advertising Senator LUNDY—Madam President, I ask Campaign—Advance to the Minister for a supplementary question. Minister, I thank Finance and Administration you for that answer. Isn’t this government’s Senator LUNDY—My question is to the blatant misuse of the AMFA highlighted by Minister representing the Minister for Finance the fact that the decision on 7 April was not Wednesday, 11 November 1998 SENATE 115 just that $10 million of taxpayers’ money recognised our responsibility to translate would be spent on political advertising but international efforts to reduce greenhouse gas that it would be channelled via the Advance emissions into domestic policy. In November to the Minister for Finance and Administra- 1997, the government announced a four-year tion? How can the government justify decid- $180 million program to help meet Australia’s ing to spend some money at an undefined obligations. Our focus over the next year will time in the future using a mechanism specifi- be on building upon the environmental gains cally designed for urgent and unforeseen made at Kyoto. purposes, such as natural disasters? The key issues confronting Australia over Senator ELLISON—Madam President, I this period, including at the fourth conference covered that point in my previous answer. of the parties, which is being held in Buenos The AMFA was one of the aspects looked at Aires where we are more than capably being by the ANAO, and the government was represented by Senator Hill, include the cleared on that point. following: operational details of flexibility Greenhouse Gases measures such as international emissions trading; joint implementation of the clean Senator ALLISON—My question is to the development mechanism; commitments by Minister for Industry, Science and Resources. key developing countries to reduce their I refer to the current climate change negotia- emissions—without the involvement of tions in Buenos Aires. Is it the case that your countries like China and India efforts by government, having disgraced Australia at developed countries will be ineffective—and Kyoto by negotiating to actually increase methodologies underpinning the assigned greenhouse gas emissions by eight per cent by national emissions target. the year 2000, has broken even this promise and we are already at nine per cent this year? Senator ALLISON—Madam President, I Is it correct that your government is doing ask a supplementary question. I doubt we are nothing to stop the states heavily investing in convinced by your argument that the govern- more fossil fuel energy production? Is Aus- ment is committed to meeting the challenge tralia now supporting special consideration for as given by the earlier example of the shale the heavily polluting magnesium plant in oil mine in Queensland. As the new resources Iceland just so that we can get exemptions for minister, do you understand that thousands of more pollution from the likes of the shale oil the world’s best scientists have concluded that mine on the coast of Queensland? Finally, is climate change is real and causes deforesta- it correct that your government’s aim at tion, sea level rises, extreme weather events, Buenos Aires is to look for as many escape huge increases in insurance claims and diseas- clauses and loopholes as possible? es like cholera, dengue fever, yellow fever and encephalitis? Are you aware that malaria Senator MINCHIN—I will answer this is expected to spread to 60 per cent of the question by saying that, as you note, we are world’s population? Is it the case that your required to limit the growth in our greenhouse government only talks with Australia’s heavi- gas emissions to eight per cent above 1990 est polluters when it comes to forming our levels by 2008-12, and that will be a very position? Do you personally believe that this significant reduction compared with the is a responsible way to conduct negotiations expected growth in emissions if we left in the face of such dire consequences? everything as it is. It means that Australia will be well and truly pulling its weight at an Senator MINCHIN—It sounds like the end international level. It is the case that achiev- of the world is nigh, by that recitation. We do ing an eight per cent target—getting it down take the greenhouse challenge seriously. That to just eight per cent above 1990 levels—is a is why we put so much effort into these big challenge for Australia, and one that will international meetings. That is why Senator require a commitment and action by all levels Hill has devoted so much time and energy, as of government and the community. We are has the government, to developing its policy committed to meeting that target. We have on this. It is a policy which is tough. It is 116 SENATE Wednesday, 11 November 1998 going to be tough on Australian business. We to flagrantly misrepresent opposition policy want to try to make sure that it does not cost commitments a sealed appendix to the docu- Australians their jobs. We have a profound ment, or simply an afterthought? commitment to ensuring that Australians are Senator ELLISON—It is worth while able to remain in gainful employment. But noting that only two days before the election this is a big challenge for Australia and for Labor submitted most of its policies for the world, and Australia will play its part. costing, whereas the coalition submitted all of Opposition Policy Costings its election commitments for costing in a Senator MACKAY—My question is timely fashion. Therein lies the story. There directed to the minister representing the was no political interference in this process. Minister for Finance and Administration. Can Taxation Reform: Families the minister confirm that when costing the opposition’s policy commitments before the Senator SANDY MACDONALD—My election the Department of Finance on no question is directed to the Minister for Family fewer than 70 occasions indicated that the and Community Services. Minister, how will assumptions were based on suggestions from Australian families benefit from the the minister’s office? Can he confirm that, coalition’s tax reform package? despite the department’s official stating that Senator NEWMAN—I thank Senator Mac- there was ‘insufficient detail to cost’, the donald for the question. If there is one clear government proceeded to erroneously include divide in social policy in this country it is the $2.7 billion in additional funding for HECS? silence, effectively, from the ALP on good Isn’t it also a fact that the restoration of policy for Australia’s families and the big funding for some Working Nation programs focus on good social policy for Australia’s also included in the costings was the result of families from the government, including the ministerial interference? In the light of this, tax reform policy—but not only the tax does the minister still insist that the costing reform policy. It is important that Australians assumptions were entirely the work of the are reminded, in the light of the misinforma- department? tion that has been put about by the opposition, Senator ELLISON—The costings of ALP and particularly by Jenny Macklin, as I recall, policies that were released by the Treasurer that families will benefit from tax reform in and Minister for Finance and Administration a number of ways, including a reduction in on 9 September this year were prepared marginal tax rates and an increase in the tax- independently by the Department of Finance free threshold from $5,400 to $6,000. Every and Administration. Allegations made by the family under $50,000 will have a top margin- opposition that there was some political al tax rate of no more than 30 per cent—a interference in the preparation of these huge improvement on existing rates. Eighty- costings are simply wrong. The DOFA exec- one per cent of the taxpayers of Australia will utive minute dated 31 August this year in the have a top marginal tax of no more than 30 foreword of the costings stated: per cent. That is a huge improvement on The costings of the proposals have been undertaken existing rates. in a similar way to any new policy proposal. All The existing $1 billion family tax initiative costings assumptions have been made by DOFA which the government introduced after the and in some cases have been made in conjunction with the affected portfolio. 1996 election is going to be expanded upon— and remember, there will be $13 billion worth This was an independent costing. There was of tax cuts and $2.4 billion worth of increases no political interference. in family payments, all that money largely Senator MACKAY—Madam President, I focused on people with families. The family ask a supplementary question. Given that the tax initiative will be doubled, with an increase department itself has made these claims, what in the tax-free threshold for families with remains of the government’s much vaunted children under the age of five up to $13,000. ‘charter of budget honesty’? Was the freedom In fact, they will not be paying tax until their Wednesday, 11 November 1998 SENATE 117 income exceeds $13,000. That is at a cost of Commission, will the Liberal Party be accu- more than $2 billion in the year 2000-2001. rate and truthful by disclosing the million It means that families will receive an increase dollar donations provided by the so-called in assistance of at least $140 a year, a 70 per Business Coalition for Tax Reform and by the cent increase, for each dependent child. Single Australian taxpayer? Will the Liberal Party income families, including sole parents, with disclose the value of the business coalition’s a youngest child aged under five will receive tax advertisements on behalf of the Liberal an additional $350 a year, also a 70 per cent Party’s election agenda—said to be between increase. A family with a youngest child aged $4 million and $5 million—only a month between five and 16 will receive an additional before the election was called? Will the $61 a year. Liberal Party disclose the full value of the There will be a substantial easing of the Australian taxpayers generous and compulsory income test for family assistance, and an donation to the Liberal Party’s cause through increase in the amount of assistance directed blanket advertisements in the days leading up at families with children through an increase to the Prime Minister’s calling of the elec- in the level of income at which assistance tion? Can the minister confirm the final cost begins to be income tested from the current of over $15.8 million? $24,350 a year for one child to $28,200 a The PRESIDENT—Order! Most of that year. There will be a reduction in the income question related to matters that are not within test taper from 50 per cent to 30 per cent for the responsibility of the minister. If there is families, and the transition for women to go anything that Senator Alston wishes to say, I from home to work will be considerably eased will give him the opportunity to do so, but because of that relaxation of the taper. Any- most of it was not appropriate. body who understands these matters—ACOSS Senator ALSTON—All I can do is agree particularly so—recognises that that change to with you that these are matters for the Liberal the family payments system and the taper rate Party. But can I simply say that the choice of will make that transition very much easier. the business coalition to run advertisements In addition, there will be a 30 per cent promoting need for changes to the taxation rebate from private health insurance contribu- system was not something that was done on tions, once again very important for behalf of the Liberal Party. Australia’s families. Just the very establish- I should just remind you of a couple of ment of a department of state for family and statistics. Over 13 years in office, Labor spent community services, with the bringing to- a total of $675 million on communications; gether of programs across several portfolios, there were more than 350 advertising cam- demonstrates this government’s serious efforts paigns between 1989 and 1995; $9 million to develop good policy for Australia’s fami- was spent on Working Nation, $7 million on lies. When you think back to the debacle of the superannuation guarantee and $10 million Senator Crowley and her International Year on the superannuation community education of the Family, which did not get going until campaign. Let us be clear about this: the halfway through the year, you realise that campaign that was run by the government was there is a big contrast between the focus of an information campaign along the lines of this government and the entire forgetfulness the very sorts of things that Labor turned into of the previous government. We are about an art form. strengthening Australia’s families, not just picking up the pieces at the bottom of the Senator HOGG—Madam President, I ask cliff. a supplementary question. Minister, as I understand it, the advertisements that were Taxation Reform: Advertising placed were authorised on behalf of the Senator HOGG—My question is to the government. If this is the case, does this not Acting Leader of the Government in the lend itself to the fact that it was a government Senate, Senator Alston. Minister, in its next funded advertising campaign for the Liberal political donations disclosure to the Electoral Party? 118 SENATE Wednesday, 11 November 1998

Senator ALSTON—If Senator Hogg’s evident in the days of the 13 years of Labor. proposition is that anything that was author- Services really went backward. This was ised by the government in terms of an adver- exacerbated in my own state of Queensland tising campaign is therefore something for when the Goss Labor government came to which the political party ought to pick up the power and again cut down services in rural tab, then I invite you to write out a cheque and regional Australia. I think the same has for $675 million for the communications happened in New South Wales under Mr expenditure that you spent—the $315.5 Carr’s government. Services to rural and million you spent on advertising—between regional New South Wales have plummeted. 1991 and 1996. Opposition senators interjecting— If we are really going to talk about advertis- The PRESIDENT—Order! There are far ing, I think what we want to know is: how too many interjections and too much noise in could you have made such a monumental the chamber. mistake in dumping John Singleton? What a disaster. If ever there was something that we Senator IAN MACDONALD—During cheered on every night, it was your advertis- Labor’s last six years in office, the number of ing campaign. We are very grateful to postal outlets fell by 277. But no action was Saatchi. We are very grateful to the geniuses taken by Labor to reverse this. Indeed, despite like Senator Faulkner who obviously made being in government for 13 years, Labor took that decision out of New South Wales. It no action to make Medicare claims more worked tremendously well from our point of accessible to people in regional and rural view. Thank you very much. Australia. So there is a real problem in rural and regional Australia caused by the Labor Regional Australia: Services governments around the states. Senator EGGLESTON—I have a question We have some proposals, some policies, to for the Minister for Regional Services, Terri- address this real problem. I guess that the tories and Local Government, Senator Mac- proposals we took to the election are the donald, who I congratulate on his appoint- reason why we did so well in rural and ment. My question is: will the minister inform regional Australia. I again congratulate Mr the Senate of what is being done to improve Barry Haase, who for the first time, I think, services in regional Australia? Will the ever has won the huge regional seat of Kal- minister comment on recent decisions by the goorlie for the Liberal Party. Along with Mr banks? Will people living in the bush con- Barry Wakelin, Bob Katter, Bruce Scott and tinue to see real improvements in the delivery Warren Entsch, we now hold all of the seats of services, particularly in banking? in rural and inland Australia. Senator IAN MACDONALD—It is a Senator Faulkner—Madam President, I delight for me to have my first question asked raise a point of order. I think the new and of me by someone like Senator Eggleston, inexperienced minister may well have misled someone who genuinely represents rural and the Senate just a moment ago in his answer, regional Australia. My colleagues opposite and he might consider withdrawing his state- would not understand what rural and regional ment. Australia is all about. They obviously have no The PRESIDENT—That is a matter to interest in the bush. Someone like Senator raise at another time. Eggleston, who comes from regional Western Senator IAN MACDONALD—So what Australia, well represents that area, along with are we going to do about the policies we took my other Western Australian Senate col- to the election? We are going to set up some leagues. rural transaction centres, a program of $70 It is true that there have been real problems million to be funded out of the sale of a in country Australia in the last decades or so. further 16 per cent of Telstra. Those rural These problems—the lack of services, the run transaction centres will provide rural and down of services—of course became very regional people, for perhaps the first time, Wednesday, 11 November 1998 SENATE 119 with fax and phone services; postal services; Senator IAN MACDONALD—Thank you, personal banking and limited business bank- Madam President, and I again thank Senator ing, including automatic tellers; and Medicare Eggleston, because the things he mentioned easy claim—things that we accept as normal are facilities and services that have been in the metropolitan and provincial city areas, denied to rural and regional people because of but which were denied to those in the bush. the policies of a Labor government. As Senator Eggleston has mentioned, we will So, Senator Eggleston, that is one of the also be extending access to untimed local major planks of our platform, one of the calls—that is a $150 million program. We things that we will be doing in this term of will be providing Internet access for people in government. Those regional transaction rural and regional Australia, something that centres will be available to communities was denied them by Labor but which we will under 3,000 people and there will be about provide through a $36 million project over 500 of them, we hope, over the period. I use three years. We will also be extending mobile the example of the Boulia Shire Council, phone coverage. which has actually got into this sort of thing already. We can learn from them and we will As Senator Eggleston mentioned, SBS will work with local government and many organi- be going to many places that cannot presently sations in regional Australia. get it. In fact, because of our policies and what Senator Alston is doing in his field, Senator Ferguson—They wouldn’t know ordinary television services will go to places where that was. where there have been holes, black spots, in previous times. So there is a range of issues Senator IAN MACDONALD—No-one which will be implemented. (Time expired) over there would know where Boulia is and, what is more, they wouldn’t care. In Boulia Senator Alston—Madam President, I ask there was a problem because of what Labor that further questions be placed on the Notice did, but they actually got together with a Paper. credit union and put this banking facility in the local authority offices. That is just one of RENDELL, MR STUART the examples of the policies that we have proposed and will implement. (Time expired) The PRESIDENT—This is the first oppor- tunity I have had to speak to the Senate of Senator EGGLESTON—Madam President, Stuart Rendell’s wonderful achievement in I would like to ask a supplementary question winning gold for Australia at the Common- of the minister. Could the minister comment wealth Games in Kuala Lumpur. Stuart, who further on improvements in other services is a member of the staff of the Economics such as the provision of media, particularly Legislation Committee, won his medal in the SBS, telecommunications, distance education hammer throw with a throw of 74.88 metres. and so on in regional areas which have occurred under the Howard government? I was particularly pleased not only because he is a member of staff in the Senate but also Senator Faulkner—Madam President, on because he is a Canberra born athlete who a point of order: I listened with interest to a grew up with his athletics in the ACT. He ruling you gave earlier in question time. I displayed athletic talent from an early age, wonder if part of that supposed supplementary progressing through Little Athletics to win the question asked by Senator Eggleston was out hammer and be placed second in discus at the of order, particularly the part relating to ‘and Australian Junior Championships. In his spare so on’. time he played Australian Rules for Ainslie. The PRESIDENT—‘And so on’ does not Stuart is now taking part in a season of actually add much to it, but Senator Macdon- domestic competition culminating in the ald may wish to comment upon the earlier Australian Championships in March 1999. His part of the question. next international competition is the World 120 SENATE Wednesday, 11 November 1998

Championships in Seville, Spain in August ANSWERS TO QUESTIONS WITHOUT 1999, and his ultimate goal is to represent NOTICE Australia in the 2000 Sydney Olympics. Ministerial Code of Conduct Honourable senators would be pleased to Senator FAULKNER (New South Wales— note that the Department of the Senate, a Leader of the Opposition in the Senate) (3.07 participating employer in the Olympic Job p.m.)—I move: Opportunity Program, is supporting Stuart in his quest. Under this program, employers That the Senate take note of the answer given by assist elite athletes by allowing them to fit the Acting Leader of the Government in the Senate (Senator Alston) to a question without notice asked working hours around their demanding train- by Senator Faulkner today, relating to ministerial ing and competition schedules. I am sure all responsibility. honourable senators would wish to join me in congratulating Stuart on his achievement and If John Howard was serious about his in wishing him well in competitions and his ministerial standards and parliamentary and quest for the Sydney Olympics. ministerial accountability, what he would have done today before the parliament commenced NORTHERN TERRITORY its usual business was to have tabled a revised LEGISLATIVE COUNCIL code of ministerial conduct, something he announced he would do in the election cam- REMONSTRANCE paign. He also would have delivered biparti- The PRESIDENT—I inform the Senate san support to a review of the rules surround- that, on 18 August 1998, I attended the ing the use of government advertising, and Northern Territory Legislative Assembly in that is something that the Auditor-General has Darwin to present to the Speaker of the called for. He also would have rejected the Assembly, the Hon. Loraine Braham MLA, tainted vote of Senator Colston. Why? Be- the original of the remonstrance presented by cause Mr Howard and his government despe- the Northern Territory Legislative Council to rately need to reassert some standards in the the President of the Senate in 1962. This conduct of this soiled and sorry government presentation was made to mark the 50th he leads. anniversary of the establishment of the North- Think of the breach of standards, Madam ern Territory Legislative Council. Deputy President. In 1995 Mr Howard as then opposition leader promised to review the rules The Speaker of the Assembly, Mrs Braham, surrounding government advertising as soon had suggested that this document be returned as he got into government. Of course political to the Territory to mark the occasion. The amnesia set in for Mr Howard. He and Sena- remonstrance was not formally tabled in the tor Minchin proceeded to bend the rules so Senate and, therefore, technically was not a massively with their $17 million advertising document of the Senate. It seemed to me that rort just before the last election that the it was a document, though, that should still be Auditor-General is now calling for new rules retained and owned by the Senate and I in this area. That was an unprecedented abuse thought it appropriate to return it to the by Mr Howard and his government and an Territory on permanent loan. unprecedented misuse of public money to I was pleased to participate in this occasion, promote an election policy, not an operating and it now stands in their hall alongside the program of government, in that way. other remonstrances presented to this parlia- In 1996 Mr Howard tabled a code of ment in recent times. I expressed to the conduct allegedly to keep his ministers hon- Speaker and members of the Legislative est. From that time onwards it was flagrantly Assembly my congratulations to the people of disregarded to the point that Senator Parer had the Territory and my best wishes for their to be retrospectively scalped in the beginning future progress and development. I table a of this parliament. The rules, according to Mr copy of the remonstrance. Howard, became guidelines, not a death Wednesday, 11 November 1998 SENATE 121 sentence. It was a code that was never en- or two aspects. We have seen the highest forced. So much for his standards. standards ever applied by a Prime Minister to Another breach of standards was the deci- ministerial conduct and the conduct in this sion that Mr Howard made in 1997 to reject parliament in this country’s history—the the vote of Senator Colston. That was not highest standards ever applied. You only have because of the fraud investigation, according to look at those and compare what went on to Mr Howard, but because ‘he had to assert before. In terms of the Labor Party, we only standards’—standards of government, stand- have to go to a report on 10 November this ards of parliament. But when he saw the GST year. It says: looking endangered because of the proper ‘The state government had broken the law by decision he was forced to take back in 1997, spending more than $3 billion of taxpayers’ funds he ditched that decision, he ditched that without permission,’ New South Wales Auditor- approach, in the interests of political expedi- General Tony Harris said today. In an unprecedent- ency. There was no mention of it before or ed move, Mr Harris appeared before the bar of the during the election campaign we have just Upper House to detail his concerns about budget had. That in itself was a most underhand and funds being reallocated without parliamentary approval. ‘It is actually a crime, as I understand the deceitful way for Mr Howard to deal with this matter,’... issue. In the recent election campaign, the Howard Yet we have Senator Faulkner, the Leader of government showed the same disregard for the Opposition in the Senate, coming in here principle and convention, this time with today laying charges when, in fact, in con- regard to caretaker conventions. It was okay trast, what did the Auditor-General do here in to observe them, as we know from question dealing with these particular issues? In rela- time today, in relation to somewhat more tion to the Auditor-General’s report, the trivial issues, but as soon as the government opposition claimed that the government had decided to milk the Victorian gas crisis for breached the guidelines. The report makes it political advantage the caretaker conventions clear that the opposition’s claims are absolute- were thrown out the window—another very ly false. The government notes that the serious breach of standards by this govern- guidelines were in place under the former ment and this Prime Minister. That is the Labor government, which had ample oppor- pattern of John Howard. He is forever espous- tunity to change them if they considered them ing standards to all who will listen, always inadequate. Why didn’t you change them if espousing principle and the high moral you now come in here bleating that they are ground but yielding to political expediency inadequate and not doing the job? whenever he can, whenever the pressure mounts—rort the system, throw the rule book You have to look very closely at your- out the window, breach the conventions selves, your own particular performances and standards. how you have conducted yourselves. The Department of Finance and Administration But what does he do it for? His own cheap considers that the current arrangements are political gain. This government is a moral adequate and appropriate. The government vacuum and it is because of Mr Howard and will carefully consider the ANAO report and his approach to parliamentary and ministerial respond if necessary. How different to the standards. The centre of that moral and Labor Party’s position and approach in New political vacuum is the Prime Minister him- South Wales. If we talk about expenditure in self, Mr Howard. He stands condemned for terms of promoting good policy—and I do not his continued breach of parliamentary and believe that a lot of the policy of the previous ministerial standards. (Time expired) government was good policy; in fact, it failed, Senator CRANE (Western Australia) (3.12 it collapsed—we find that the Keating govern- p.m.)—I rise, too, to speak on this issue. If ment spent $315.5 million on advertising and ever I have heard a case of the pot calling the market research over a five-year period from kettle black, that was it. I want to look at one 1991 to 1996. 122 SENATE Wednesday, 11 November 1998

Contrast that figure with the small amount You can run through the list, which is of money that this government spent on absolutely endless, of the way Labor behaved informing the Australian public about the and the way it spent money. They were importance of tax reform—tax reform that Labor’s guidelines. We did not change them. will deliver enormous benefits to the Austral- As I said at the beginning of my contribution, ian economy, tax reform that will give us an if ever I have heard a case of the pot calling internationally competitive tax system, tax the kettle black that is just what we have reform that will take the shackles off export heard. I think it is time that you have a look industries in this country. at yourself and that you speak to your New South Wales colleagues and tell them to get Senator Cook—Liberal Party policy. their house in order. (Time expired) Senator CRANE—I note the interjection Senator COOK (Western Australia— from Senator Cook, a West Australian. Two Deputy Leader of the Opposition in the billion dollars of the $4.5 billion savings to Senate) (3.17 p.m.)—Australia is proudly one export industries will be in our state. You of the democracies in the world that has should take note of the savings that will occur adopted the Westminster system. One of the there, whether it be through the reductions in pillars of the Westminster system is the excises on fuel or the removal of the whole- caretaker provisions—that is, when a govern- sale sales tax and all the inherent costs in- ment calls an election the government of the volved. country is put in caretaker mode. From then Senator Cook—Understand economics. on, the government makes no more decisions Senator CRANE—I understand economics to govern the country, and the Public Service far better than you do, Senator Cook. At least manages the show until the people decide I have been able to run a successful business. who the incoming government will be. If issues arise during a caretaker period that The DEPUTY PRESIDENT—Order! require government decision making, then the Senator Crane, would you please address the government consults with the alternative chair? government and makes a joint decision about Senator CRANE—Through you, Madam what will be done. That is a fundamental Chair. pillar of the Westminster system in order to ensure that things are done fairly and proper- The DEPUTY PRESIDENT—To me, not ly. It is a tradition of our democracy. It is through me. guaranteed by the Public Service, which is Senator CRANE—I think Senator Cook is neutral and oversees the operations of the the last person who ought to talk about Westminster system. understanding economics. Look at the deficit, During the last election period, the caretaker the black hole, Labor left—$10.3 billion. provisions were given real purpose. The Senator Cook was a key player in that. He is foreign minister consulted with the opposition the last person who should talk about eco- about a visitor from the People’s Republic of nomics. China, who wanted a state visit to Australia. Let us go on to talk a little more about Minister Somlyay conferred with the opposi- what Labor did in response to the criticisms tion about a Cocos Islands matter that re- that Senator Faulkner tried, but failed quired government decision. A government miserably, to aim at the government today. decision was required on the MOPS Act. Labor spent $6.2 million between 1985 and Minister Minchin conferred with the opposi- 1987 on its tax reform advertising campaign, tion and a position was reached on that. which did very little, if anything, to improve There was practice during the last election our international competitiveness in a taxation by several ministers to show that they recog- sense. The ALP conducted continuous market nise the importance of the caretaker provi- research with its then official pollster, ANOP. sions and observe them. But who did not It engaged public relations consultants. observe them? Which pre-eminent Liberal Wednesday, 11 November 1998 SENATE 123 flouted the Westminster provisions? None Wilton. He says that only three heads of other than the Prime Minister. So-called department are good enough to retain because Honest John Howard flouted the Westminster other heads of departments do not sell govern- provisions. ment policies. The DEPUTY PRESIDENT—Senator Under the Westminster system, public Cook, would you please refer to the Prime servants are not salesmen for government Minister by his correct title? policies. Now the head of the Prime Senator COOK—Mr John Howard is often Minister’s department says that a criteria to be referred to popularly as Honest John Howard. a head of a government department is that you have to be able to sell government The DEPUTY PRESIDENT—No, Senator policies. That is for ministers. That is for Cook. politicians. That is not for public servants. Senator COOK—If that is not appropriate This is an effort to politicise the Public speak in this chamber, then I withdraw the Service of Australia and to give public ser- word ‘Honest’ and call him plain John How- vants the added job of selling government ard. He broke explicitly the Westminster policies, whether they agree with them or not, traditions of the caretaker provisions during under pain of dismissal if they do not. the election period. It cannot be said that he Another tradition that is fundamental to the did not know what he was doing. He is an role of the Public Service—an independent experienced parliamentarian. He is a lawyer. Public Service, a fearless Public Service being He is familiar with the constitution. He knows swept away by a government determined to what the arrangements are. What did he do? politicise the processes of this country to suit He took specific government action in the its narrow economic gain—(Time expired) case of the Victorian gas crisis on the eve of Senator FERGUSON (South Australia) the election in order to buy votes. (3.22 p.m.)—We see Senator Cook come into Why do the caretaker provisions exist? To the chamber and talk about a caretaker role of prevent governments using the exchequer to government. buy votes during an election campaign. That Senator Cook—And I am right. is what Mr Howard did. All he needed to do was pick up the telephone, confer with the Senator FERGUSON—I can assure Sena- Leader of the Opposition and the deal would tor Cook that the only type of government have been done. Why didn’t he want to do that he is ever likely to be involved with that? Because it would have meant that both again is in his role as part of a caretaker he and the Leader of the Opposition would government before we win the next election. have announced relief to Victorians in the gas I am quite sure that Senator Cook will never crisis. He wanted to best the opposition, make be in the position of being in government a shallow political point, and nothing would again. stand between him and trying to win a few Senator Ian Campbell—This man is from extra votes—certainly not the traditions of Brian Burke’s Labor Party. democracy in the Westminster system, cer- Senator FERGUSON—Brian Burke’s tainly not the traditions of democracy in this Labor Party. We first see Senator Faulkner country. come in here— This underscores a profound point. When it Honourable senators interjecting— comes to traditions and conventions that make our democracy effective, the Liberals will The DEPUTY PRESIDENT—Order! break them every time. If they see narrow Senator Cook and Senator Campbell, please political electoral advantage, they will set let Senator Ferguson have the floor. aside the tradition that makes our democracies Senator FERGUSON—We see Senator work and go for the votes every time. Look Faulkner come in here and shed crocodile at the performance of the head of the Prime tears, having finally realised that he will be Minister’s own department, Mr Max Moore- spending another three years sitting in exactly 124 SENATE Wednesday, 11 November 1998 the same chair that he has been sitting in for Senator Ian Campbell—I thought it was the past 2½ years. The chances are that that Khemlani coming back in. will not be the last stretch of time that he Senator FERGUSON—I think the less said spends in that chair, unless his party decides about Mr Khemlani, the better. Senator that he is not up to it and replaces him with Faulkner comes in here and talks about somebody who is. We saw Senator Faulkner’s standards but let me say that, having seen attempts during the election campaign to raise what has happened in New South Wales, the the issue of propriety as to what the govern- only standards that Senator Faulkner knows ment was doing in relation to spending by are double standards. government and government departments. Senator Faulkner—What a lie! How long The Auditor-General gave this government did you practise that for? a clean bill of health on every count. The Senator Ferguson—About two minutes, Auditor-General has found that you had no Senator Faulkner. I wrote it down a couple of basis at all for raising any of the issues that minutes ago. There it is. Senator Faulkner you raised during the election campaign or talks about the standards that should be since in relation to spending by this govern- attributed to this government, when in fact the ment and spending by this department. He Auditor-General says that the government has gives this government a clean bill of health. done its job with propriety. Yet the Auditor- That is quite unlike the situation with your General says that what has been done by the Labor colleagues in New South Wales. I note New South Wales government—Senator that, apart from you, Madam Deputy Presi- Faulkner’s colleagues in the state that he dent, there are no New South Wales senators comes from—is actually a crime. in the chamber. That is presumably because the last thing they want to hear in this cham- The opposition are coming in here and ber is a debate about Auditor-General’s venting their spleen because they tried very reports. hard during the election campaign—both in their public statements and in their advertis- As my colleague Senator Crane said only a ing—to misrepresent what this government few minutes ago, the Auditor-General has was presenting to the Australian people. And found that the state government in New South in fact the Australian people have found them Wales has actually broken the law—not just out. They have returned this government. done something that is without propriety—by They want sound economic managers to run spending more than $3 billion of taxpayers’ this country. They want sound economic funds without permission. Yet we see opposi- management. An overwhelming majority of tion senators come into this chamber and people in the community know that there is suggest that this government has done some- a crying need for taxation reform, and that is thing that is improper; yet in this case the what this government has promised it will Auditor-General says that that is simply not deliver to the Australian electorate.(Time so. Look to your Labor colleagues in New expired) South Wales. I can only reiterate what the Senator CARR (Victoria) (3.27 p.m.)—The Auditor-General said: the New South Wales questions that are before us today relate to the government has actually committed a crime, performance of this government throughout as he understands the matter, for spending the election period, which stems from a moneys that have not been appropriated by pattern of behaviour that was developed over the parliament. the past 2½ years. Throughout this country We see Senator Faulkner coming into this there is increasing public debate about the chamber shedding crocodile tears. As I said, role of political ethics in the operation of he will probably do so from that same posi- governments, the role of political morality in tion for a long time to come, because that is the way in which governments function and where he is likely to stay—I see Senator the uses by incumbent governments of re- Faulkner now entering the chamber—unless sources to promote their narrow interests, his colleagues see fit to replace him. particularly for short-term political advantage. Wednesday, 11 November 1998 SENATE 125

I am afraid that the performance of this intent and aimed at supporting the government in recent times has once again government’s claims in that election campaign demonstrated to those that see there is reason itself. for disillusion in the Australian political We saw the announcement of the blatant process that there is good cause for deep bribes to Tasmania: $150 million in support concern. of the Tasmanian branch of the Liberal Party In April 1996 the Prime Minister announced in its election campaign. We saw the commit- that he was going to pledge his government ment of $48 million—a total of $48 million— to new sets of standards. He said that there in public advertising in a whole range of was going to be a higher level of political departments, from employment to the environ- morality, integrity and accountability. He said ment, across the government. We saw a that this was the purpose of his so-called key massive breach of privacy as a result of the elements of ministerial responsibility. government’s use of agencies such as Over the period of the last government, Centrelink to send out what was clearly however, it became blindingly clear to all of government propaganda in support of its tax us that those high standards, those great measures and in seeking to use the pensioners claims to moral superiority, meant very little of this country in such a way as to garner at all. We saw the removal of three chiefs of political support for this government. staff from his own office, largely I think as a We saw clear breaches of the conventions measure of their failure to administer effec- of the caretaker period that has been in tively the operations of those guidelines. We operation in this country since the Second saw the removal of some seven frontbenchers. World War—and, with the exception of 1975, We saw a reinterpretation of those guidelines those conventions have been very largely to the point where the Prime Minister said uncontroversial. These are measures that, of that a conflict of interest was that which could course, under Menzies would have been seen be defined by observation, by actually seeing as established political practice—and we have that a minister was performing his public seen them go without comment. Although duties in favour of a particular private inter- they had no legal standing, they had been est. That was understood to mean that the accepted by all sides. But under this govern- Prime Minister had discovered a new theory ment, questions on these measures have been of government entitled the ‘hand in the till raised in such a way as to bring them into theory’ of government. political dispute. What we have seen after this election is that We do not see the same sorts of standards the Prime Minister once again has sought to as were exercised by Menzies being exercised reinvent himself. He has sought to present by this government. Just as we have seen this himself as a person of greater moral integrity, government turn its back on the great ideo- a man of great compassion; a man who, once logical traditions of Deakin and of liberalism again, would provide this country with a in this country, we see now the moral stand- higher level of ethical standards. ards of Menzies being abandoned by this What we have noticed, however, is that all Prime Minister. I can understand, therefore, of those claims were made against a backdrop that while there would be many Australians of an election campaign which highlighted the who do feel that this government has abused very opposite in this government’s behaviour. its political authority, has brought into ques- We saw the calling of that election in an tion its political integrity, has used Public attempt to prevent proper parliamentary Servants for narrow political purposes—(Time scrutiny of one of the most major changes to expired) the taxation system that a government has Senator EGGLESTON (Western Australia) ever proposed. We saw the calling of that (3.32 p.m.)—Sitting here listening to the election after the government had committed opposition speakers this afternoon, I am $17 million of public funding to an advertis- struck by the total hypocrisy of the opposition ing campaign which was clearly partisan in its in the Senate, and particularly of its leader, 126 SENATE Wednesday, 11 November 1998

Senator Faulkner, talking about standards of lutely no luck in finding anything at all there. political conduct. Senator Faulkner would be But the ALP mercilessly attacked Senator the most hypocritical person possible to ever Parer and his family, even though, as I have make such claims—which I will precede to said, there was no substance at all found in demonstrate in what I will say. any allegations of impropriety about Senator The DEPUTY PRESIDENT—Order! Parer and his family. But was there an apol- Senator Eggleston, would you like to with- ogy? No, there was not. If that is not a matter draw calling another member an unparliamen- which concerns standards, I wonder what is. tary name? Lastly, we have the question of the Baillieu Senator EGGLESTON—I withdraw it, if family of Melbourne. Senator Faulkner will it is unparliamentary— remember this, I am sure. When the Natural Heritage Trust Fund issue was raised, Senator The DEPUTY PRESIDENT—It is. Faulkner spent a lot of time viciously attack- Senator EGGLESTON—but people ing the Baillieu family of Melbourne—and listening to this broadcast can make their own one of its members in particular. But, when judgment. Let us first of all deal with the it was pointed out to Senator Faulkner that issue of Senator Colston. Senator Colston, the individual concerned had been deceased like all Australians, is entitled to be regarded for 20 or 30 years and could not possibly as innocent until proven guilty. have held an interest in the company that he Senator Faulkner—Well, why did Howard was going on about, there was never an do it? apology—never an apology to the Baillieu family of Melbourne, in spite of one of the The PRESIDENT—Order! Senator most disgusting episodes, I am sure, that this Faulkner, interjections are unruly and outside Senate has ever witnessed of an attack on an of your chair they are illegal. individual. So how Senator Faulkner can Senator EGGLESTON—That is a basic possibly talk about standards, I do not know. principle of natural law—and I assure you, He certainly is not an example that I would Senator Faulkner, you will have your answer want to quote or follow, having mentioned on this question of the use of Colston’s vote these three cases. in a minute. What Senator Faulkner raised I would like to turn to the comments of earlier, and has now raised again, is the Senators Cook and Carr who talked about the question of the government using Senator use of government advertising by the Howard Colston’s vote. government in relation to the taxation package I would like to just cast the minds of before the election was called. I think the use senators back to the last day of the last sitting of government advertising to explain govern- when the sale of Telstra was under discussion. ment policy is quite legitimate; and it would Many members of the ALP on the opposite seem that the Keating government thought so side—especially Senator Quirke, as I recall— too, because the Keating government spent spent the afternoon in vicious and vindictive $315.5 million on advertising and market attacks on Senator Colston. But then, when it research over a five-year period, from 1991 to came to the vote and Senator Colston voted 1996—and that was government money. with them, they did not reject his vote; they Altogether over their 13-year period the quite happily accepted it and saw the legisla- Hawke and Keating governments spent more tion defeated. than $675 million of government money on Then we go to the Parer affair, so-called, so-called political advertising for the govern- which has been referred to by Senator ment, if that is what explaining government Faulkner this afternoon. For week upon week policy is. I will give some details of it. There the ALP, under Senator Faulkner’s leadership, was $9 million spent to promote Working muckraked and sought to find something Nation. The campaign ran until the 1996 wrong with what Senator Parer had done with election was called. There was $7 million his family financial affairs. They had abso- spent between 1992 and 1993 on the superan- Wednesday, 11 November 1998 SENATE 127 nuation guarantee campaign. There was $10 1. actively support all United Nations resolutions million spent in 1995 on the superannuation and initiatives on East Timor; community education campaign. If that does 2. actively support the right to self-determination not demonstrate hypocrisy, what does? (Time of the people of East Timor; expired) 3. work for the immediate release of all Timorese political prisoners; The DEPUTY PRESIDENT—Order! The time for the debate has expired. 4. repeal the Timor Gap Treaty; and 5. stop all military cooperation and commercial Question resolved in the affirmative. military activity with Indonesia. PERSONAL EXPLANATIONS by Senator Bourne (from 343 citizens). Senator QUIRKE (South Australia) (3.38 Landmines p.m.)—Madam Deputy President, I claim to To the Honourable the President and Members of have been misrepresented. the Senate in Parliament assembled. The DEPUTY PRESIDENT—Proceed. The petition of the undersigned shows that we citizens of Australia support a world-wide ban on Senator QUIRKE—During his address to the production, stockpiling and use of all forms of the Senate here this afternoon, I was accused anti-personnel land mines. by Senator Eggleston of abusing Senator Your petitioners request that the Senate support Colston on the last sitting day of the last our call for a world-wide ban on the production, parliament. I want to make it crystal clear, stockpiling and use of all forms of anti-personnel even though it might put me down in the eyes land mines, give high priority to support for efforts of my colleagues on this side, that I did not to clear land mines in affected countries and use its abuse Senator Colston or mention his name or influence to encourage other countries to financially support the clearance of land mines in poor count- anything to do with him not only on that last ries. day but on any other day I have been in here since September last year. I ask Senator by the President (from 162 citizens). Eggleston to apologise for that. I also ask him Uranium: World Heritage Areas to do his homework properly in the future. I To the Honourable the President and Members of apologise to my colleagues on this side here the Senate in the Parliament assembled. for taking time on this issue, but the record The petition of the undersigned strongly opposes needs to be set absolutely straight. Plenty of any attempts by the Australian Government to mine other people may have done it, but I am not uranium at the Jabiluka and Koongara sites in the yet one of them. World Heritage Listed Area of the Kakadu National Senator EGGLESTON (Western Australia) Park or any other proposed or current operating site. (3.39 p.m.)—If what Senator Quirke says is true, I withdraw and apologise. But I do note Your petitioners ask that the Senate oppose any intentions by the Australian Government to support that he said plenty of other people may have the nuclear industry via any mining, enrichment done it. What I heard on that day was vicious, and sale of uranium. vindictive criticism of Senator Colston. by Senator Bartlett (from 1,112 citizens) PETITIONS and The Clerk—Petitions have been lodged for by Senator Lees (from 510 citizens). presentation as follows: Logging and Woodchipping East Timor To the Honourable President and Members of the Senate in Parliament assembled. The petition of the To the Honourable the President and Members of undersigned shows: the Senate in the Parliament assembled. Australia’s old growth forest and wilderness The Petition of the undersigned draws to the areas are being diminished as a result of continued attention of the Senate Indonesia’s continued denial logging. The Federal Government has granted new of human rights to the people of East Timor. woodchip export licenses despite its agreement for Your Petitioners ask the Senate to call on the a moratorium on logging in high conservation Australian Government to: areas. 128 SENATE Wednesday, 11 November 1998

Your petitioners ask that the Senate should: discrimination is unacceptable in a democratic apply conditions retrospectively to woodchip society. licenses in order to meet Commonwealth obliga- Your petitioners request that the Senate should: tions, and pass the Australian Democrats Bill to make it exclude from licenses, woodchip derived from unlawful to discriminate or vilify on the basis of old growth forests and wilderness areas. sexuality or transgender identity so that such discrimination or vilification be open to redress at by Senator Lees (from 39 citizens) and a national level. by Senator Woodley (from 63 citizens). by Senator Bartlett (from 937 citizens). World Heritage Superannuation: Social Security Means To the Honourable the President and Members of Test the Senate in Parliament assembled. To the Honourable the President and Members of We the undersigned humbly request that the the Senate in the Parliament assembled. Senate honours the obligations of the Common- The petition of the undersigned recognises the wealth of Australia to protect its territory that has importance to Australia’s retirement income policy received World Heritage status according to the of a stable and secure superannuation system in World Heritage Convention of which Australia is which people are encouraged, not penalised, for a signatory. taking steps to provide for their retirement and asks Significant areas of marine and mangrove that: ecosystems of Australia’s World Heritage Great 1. Coalition Senators honour their 1996 election Barrier Reef Marine Park are directly threatened promise, namely that ‘The Coalition is fully with destruction by the adjacent construction of committed to engendering stability, security, Australia’s largest tourist resort and marina com- simplicity and flexibility into the superannuation plex at Oyster Point near Cardwell North Queens- system’. land (opposite Hinchinbrook Island). 2. The Liberal/National Government acknow- We implore the Senate to use its powers immedi- ledge that the inclusion of superannuation assets ately to permanently halt the construction of the and roll-over funds in the social security means test marina and access channel in the World Heritage is inequitable, erodes public confidence in the "Buffer Zone" as recommended by the Valentine superannuation system and penalises those who Report made to his Department in October 1994. have attempted to provide for their own retirement. by Senator Lees (from 73 citizens). 3. The Government repeal legislation including superannuation assets and roll-over funds in the Higher Education Contribution Scheme social security means test. To the Honourable the President and Members of by Senator Woodley (from 17 citizens). the Senate assembled in Parliament. Logging and Woodchipping The petition of certain citizens draws the atten- tion of the Senate to the damaging impact of the To the Honourable the President and Members of Government’s changes to post-secondary education. the Senate in Parliament assembled. Upfront undergraduate fees; increased HECS fees This petition from the undersigned shows that: and charges; cuts to student places; cuts to Austudy there is an increasing and urgent demand from the and Abstudy and decreased Commonwealth funding people to protect all remaining high conservation for universities are denying students fair access to value forests which support flora and fauna unique university education. Your petitioners therefore ask to Australia. We have a responsibility to future and the Senate to return post-secondary education to a present generations to act now on the following system which is fair and accessible for all Austral- achievable solutions. ians. Your petitioners therefore request that the Senate by Senator Carr (from 447 citizens). legislate to: (1) immediately stop all logging and wood- Sexuality Discrimination chipping activities in high conservation To the Honourable the President and Members of value native forests; the Senate in the Parliament assembled. (2) ensure intergenerational equity by planning The Petition of the undersigned shows: That for the rights of future generations, and Australian citizens oppose social, legal and eco- protecting in perpetuity all biologically nomic discrimination against people on the basis of diverse old-growth forests, rainforests and their sexuality or transgender identity and that such habitats of endangered species; Wednesday, 11 November 1998 SENATE 129

(3) facilitate rapid transition of the timber 3. Not sign the MAI unless substantial amend- industry from harvesting high conservation ment is made, including the observance of value native forests, to establishing mixed- international agreements including environ- species farm forestry on existing cleared and ment, labour, health and safety and human degraded lands; rights standards (4) maximise use of readily-available plantation 4. Extend the deadline for signing the MAI to timber for industry needs, using progressive enable full and proper public consultations minimal-waste processing methods, and to be held where possible, reuse and recycle wood and paper products; by Senator Bourne (from 974 citizens) and (5) support incentives for nationwide compost- by Senator Lees (from 45 citizens). ing and soil remineralisation; (6) encourage environmental education tourism, Pharmaceutical Benefits Scheme with respect for natural ecosystems and To the Honourable the President and Members of Aboriginal cultural heritage; and the Senate assembled in Parliament; (7) utilise expertise and resources from the This petition of certain citizens of Australia military sector to help implement these tree draws to the attention of the Senate, decisions by planting solutions. the Howard Government affecting the price and by Senator Woodley (from 42 citizens). availability of medicines. Timed Local Calls The decision to remove (delist) a number of drugs from the Pharmaceutical Benefits Scheme To the Honourable the President and Members of and also the decision to pressure people to switch the Senate in Parliament assembled: to cheaper, older and less effective drugs, will The petition of certain citizens of Australia draws disadvantage the less well off in our community to the attention of the Senate the regressive deci- who will not be able to afford the best most sion by the Howard Government to allow small suitable drugs, the drugs their doctors have pre- businesses to be charged for timed local calls on scribed for them. data services such as electronic mail, facsimile, the Your petitioners therefore pray that the Senate internet and other on-line services. This measure, recognises that these changes are unfair. We call on if implemented, will have an adverse effect on the the Government to reverse these decisions immedi- profitability, development and growth of small ately. businesses across Australia. by Senator West (from 51 citizens). Your petitioners therefore pray that the Senate recognise that timed local calls on data services is an untenable proposition for small business. We Genetically Engineered Food call on the Howard Government to live up to its To the Honourable the President and Members of election promise to guarantee untimed local calls the Senate in the Parliament assembled. for small business in both voice and data services. The petition of the undersigned strongly opposes by Senator Murphy (from 146 citizens). any attempts by the Australian Government to allow genetically altered plant foods into supermar- Multilateral Agreement on Investment ket and food system here. To the Honourable the President and Members of Your petitioners ask that the Senate oppose any the Senate in the Parliament assembled. intentions by the Australian Government to support The Petition of the undersigned draws to the this importation. attention of the Senate, the deleterious effects of My right to know what I am eating is being the Multilateral Agreement on Investment. denied. Your petitioners ask the Senate to call on the Australian Government to: I don’t want to be forced to participate in an uncontrolled experiment on the effects of genetic 1. Make available the draft text of the Agree- engineering on human health and the eco-system. ment Please introduce mandatory long-term testing of 2. Make a public statement about its intentions genetically-engineered foods before more genetical- with regard to the signing of the MAI, ly altered foods are sold in food stores in which I detailing the beneficiaries of the Agreement, shop. and accountability measures for all corpora- tions by Senator Bartlett (from 301 citizens). 130 SENATE Wednesday, 11 November 1998

Soccer World Cup is a necessity of life, and we in the Afghan Com- To the Honourable the President and Members of munity are opposed to divorce, and are supportive the Senate in Parliament assembled. of Australia’s efforts to discourage marriages of convenience. The petition of the undersigned citizens respect- fully shows that we, the citizens of regional We in the Afghan community of Western Australia, call on the Senate to do everything Australia therefore implore you to take the above possible to ensure that all Australian citizens have matter into consideration. And your petitioners and an equitable opportunity to be able to view the in duty bound will ever pray. 1998 FIFA World Cup from France which is to be by Senator McKiernan (from 53 citizens). broadcast via the Special Broadcasting Service (SBS) Network. Introduction Agencies Regional Australians proudly belong to a multi- To the Honourable President and Members of the cultural nation and enjoy a widespread interest in Senate in Parliament assembled. international sport. We call on the Australian The petition undersigned shows Senate to end the current discrimination that (1) Unless registered as an introduction agency, ensures that only metropolitan centres have access no business should be able to provide to the direct telecasting of one of the great sporting services, which are designed to introduce events of the world. people to one another. And your petitioners as in duty bound will ever (2) The police should investigate an introduc- pray. tion agency (or any other business operating by Senator McKiernan (from 94 citizens). for profit to introduce people to each other) harbouring criminal activity as soon as it is Afghan Community known. If proven in a court of law they To the Honourable the President and Members of should automatically lose their registration the Senate assembled. and any license given to the owners for a The petition of the undersigned members of the period as deemed by legislation and handed Western Australian Afghan community requests the down by a court of law. Senate to urge the Government to assist in keeping The petitioners ask and seek the Federal govern- our culture and religion alive. In our culture, ment that it parents are responsible for the arrangement of their (1) Draw up legislation and introduce this children’s marriages. This arrangement, considered legislation for all introduction services and an engagement until such time as formal marriage agencies. occurs, involves families living in Australia, (2) Investigate all people or co-corporations Pakistan or Afghanistan. who apply for licenses to do with introduc- We ask the Senate to note that the immigration tion services. law affects us deeply. (3) Inspect all agencies regularly for compliance For example: with legislation. (1) A prospective marriage visa can take up to (4) Ensure that all advertisements placed by 5 years to be approved, and it is not until individuals is entirely personal and individ- approval is granted that a prospective ual advertisers show proof of identity for spouse can come to Australia to be married. adverts, which adhere to looking for a (2) A prospective spouse is not eligible to partner and which must not in any way receive social security benefits until two promote an introduction agency. years after arrival in Australia. by Senator Tierney (from 141 citizens). (3) Further, if a person travels to Afghanistan or Pakistan in order to marry, Afghani Pork Industry: Imports culture requires one parent to accompany To the Honourable the President and Members of them. The purchase of an airline ticket is an the Senate assembled in Parliament: added expense on top of the visa application This petition of certain citizens of Australia charge of $1060, plus the requirement of an draws to the attention of the Senate their concern Assurance of Support of $5500. at the Government’s failure to adequately address We in the Afghan community wish the Govern- the crisis facing the Australian Pork Industry. ment of Australia to help us by easing the burden The increase of pork imports from Canada and changing the immigration law. without adequate consultation with Australian pig In Afghan culture, our first wish for our youth farmers and associated industries is causing them and adolescents is marriage. Planning for a family undeniable strain. Furthermore the Government has Wednesday, 11 November 1998 SENATE 131 failed to provide pork producers with an adequate and Handicapped in our community, many of restructuring and funding support package, without whom are foregoing their Care Services simply which the local industry is stranded. The Govern- because they cannot afford the fee. ment further compounds the problem by failing to replace the ‘truth in labelling’ campaign that it Your petitioners request that the Senate initiate an scrapped in 1996, thereby removing the ability of inquiry into this inequitable Fees For Service local consumers to choose to buy Australian. Policy. Your petitioners therefore pray that the Senate by Senator Sherry (from 540 citizens). recognise that these changes are unfair. We call on the Government to take immediate action by Australia Post: Deregulation suspending Canadian imports at their current level To the Honourable the President and members of and to cap imports at the mean average 1992-1996 the Senate in Parliament assembled. levels (4,400T) to allow the industry to adjust and pending in depth consultations with Australian pork The Petition of the undersigned shows that we producers. are opposed to the National Competition Council by Senator West (from 986 citizens). Report proposals to deregulate Australia’s postal service as they will drastically reduce the revenue Migration Regulations: Cohabitation of Australia Post resulting in adverse impacts for Requirement most Australians including increased postal charges, reduced frequency of services, a reduction in To the Honourable the President and Members of counter and other services currently provided and the Senate assembled in the Parliament: a loss of thousands of jobs. This petition of the undersigned residents of the Your petitioners request that the Senate reject the A.C.T. and surrounding N.S.W. being citizens of NCC Report proposals and support the retention of Australia draws to the attention of the Senate the Australia Post’s current reserved service and the human rights infringements to Australian citizens uniform postage rate, the existing cross-subsidy caused by Migration Regulation 115A(2)(d), the 12- funding arrangement for the uniform standard letter month cohabitation requirement for certain classes service and require a government assurance that no of spouse migration. post office (corporate or licensed) will close due to This regulation removes the right of Australian these proposals. citizens to ‘marry and found a family’ as stated in Further we call on the Senate to support the Article 16 of the United Nations Universal Declara- expansion of the existing community service tion of Human Rights, Article 23 of the United obligation of Australia Post to encompass a Nations Covenant on Civil and Political Rights, and minimum level of service with respect to financial Schedule 2 of the Human Rights and Equal Oppor- and bill paying services, delivery frequency, a tunity Commission Act of Australia 1986. parcels services and access to counter services, Your petitioners therefore request that the Senate: whether through corporate or licensed post offices. immediately disallow or otherwise repeal by Senator MacGibbon (from 225 citizens). Migration Regulation 115A(2)(d), or immediately amend Migration Regulation Australia Post: Alexander Heights, 115A(2)(d) to allow couples applying for migration Western Australia under a de-facto basis, that subsequently legally marry, to be exempted from this regulation. To the Honourable the President and members of the Senate in parliament assembled. call upon the Australian Government, as a matter of urgency, to reverse any decision made by the The petition of the undersigned citizens of Alexan- Department of Immigration and Multicultural der Heights, Western Australia, respectfully request Affairs under Migration Regulation 115A(2)(d) that that the Senate as a matter of urgency, ask the adversely affects Australian citizens. government to immediately take steps to ensure by Senator Lundy (from 28 citizens). that a postal agency be established at the Alexander Heights Newsagency in Alexander Heights in Home and Community Care Program Western Australia. To the Honourable the President and members of And your petitioners as in duty bound will ever the Senate in parliament assembled: pray. The Petition of the undersigned show that we are by Senator McKiernan (from 1,137 citi- concerned that the Home and Community Care zens). Program—Fees Policy, initiated by the Govern- ment, discriminates against the Frail Aged, Elderly Petitions received. 132 SENATE Wednesday, 11 November 1998

NOTICES of the bills be resumed at the stage reached in the last session of the Parliament: Business Income Tax Review Air Navigation Amendment (Extension of Senator MARGETTS (Western Austral- Curfew and Limitation of Aircraft Move- ia)—I give notice that, on the next day of ments) Bill 1995 [1996] sitting, I shall move: Captioning for the Deaf and Hearing Im- That there be laid on the table by the Minister paired Bill 1998 representing the Treasurer (Senator Kemp), no later D’Entrecasteaux National Park Protection than the last sitting day in May 1999, an interim Bill 1996 report by the Business Income Tax Review which Defence Cooperation Control Amendment is due to present a final report to the Treasurer by Bill 1997 30 June 1999. Genetic Privacy and Non-discrimination Bill Introduction of Legislation 1998 Senator TAMBLING (Northern Terri- Koongarra Project Area Repeal Bill 1996 tory—Parliamentary Secretary to the Minister Native Forest Protection Bill 1996 for Health and Aged Care)—I give notice Parliamentary Approval of Treaties Bill that, on the next day of sitting, I shall move: 1995 [1996] That the following bill be introduced: A Bill for Patents Amendment Bill 1996 an Act relating to the protection of the environment Plebiscite for an Australian Republic Bill and the conservation of biodiversity, and for related 1997 purposes. Environment Protection and Biodiversity Conservation Bill 1998 (No. 2). Prohibition of Exportation of Uranium (Customs Act Amendment) Bill 1996 Introduction of Legislation Restitution of Property to King Island Dairy Senator TAMBLING (Northern Terri- Products Pty Ltd Bill 1996 tory—Parliamentary Secretary to the Minister Sexuality Discrimination Bill 1995 [1996] for Health and Aged Care)—I give notice Taxation Laws Amendment (Part-Time that, on the next day of sitting, I shall move: Students) Bill 1997 That the following bill be introduced: A Bill for Telecommunications Amendment (Prohibi- an Act to amend the Migration Act 1958, and for tion of B-Party Charging of Internet Service other purposes. Migration Legislation Amend- Providers) Bill 1997 ment Bill (No. 1) 1998. Uranium Mining in or near Australian Introduction of Legislation World Heritage Properties (Prohibition) Bill 1998 Senator TAMBLING (Northern Terri- tory—Parliamentary Secretary to the Minister World Heritage Properties Conservation Amendment (Protection of Wet Tropics of for Health and Aged Care)—I give notice Tully) Bill 1996. that, on the next day of sitting, I shall move: That the following bill be introduced: A Bill for Consideration of Legislation an Act about space activities, and for related Senator BROWN (Tasmania)—I give purposes. notice that, on the next day of sitting, I shall Space Activities Bill 1998. move: Restoration of Legislation to Notice Paper (contingent on the Senate agreeing to the first reading of any bill whose purpose is to implement the Government’s proposals for taxation reform, Senator BOURNE (New South Wales)—I including, but not limited to any of the following give notice that, on the next day of sitting, I bills: shall move: GST Assessment Bill 1998 (1) That so much of standing orders be sus- GST Imposition (Excise) Bill 1998 pended as would prevent this resolution having effect. GST Imposition (Customs) Bill 1998 (2) That the following bills be restored to the GST Imposition (General) Bill 1998 Notice Paper and that consideration of each GST Transition Bill 1998 Wednesday, 11 November 1998 SENATE 133

Tax Administration Amendment (GST) Bill That so much of the standing orders be suspend- 1998 ed as would prevent Senator Brown moving a Australian Business Number Bill 1998 motion to provide that further consideration of the Australian Business Number (Consequential bills be postponed till the first day of sitting after Amendments) Bill 1998 1 July 1999. Trade Practices/Prices Surveillance Amend- Reference of Bills to Committees ment Bill 1998 Fringe Benefits Reporting Bill 1998 Senator TAMBLING (Northern Terri- tory—Parliamentary Secretary to the Minister Medicare Levy Surcharge (Fringe Benefits) Bill 1998 for Health and Aged Care)—I give notice Income Tax Rates (Family Assistance and that, on the next day of sitting, I shall move: Personal Income Tax Cuts) Bill 1998 That— Taxation Laws Amendment (Tax Reform) Bill (1) The provisions of the following bills, intro- (No. 1) 1998 duced in the previous Parliament, be re- Taxation Laws Amendment (Tax Reform) Bill ferred to committees as set out, and that (No. 2) 1998) each committee report by the date indicated:

Bill Legislation committee Reporting date Broadcasting Services Amendment Environment, Com- 1 December 1998 Bill 1998 munications, Information Technology and the Arts Film Licensed Investment Company Environment, Com- 24 November 1998 1998, and munications, Information Taxation Laws Amendment (Film Technology and the Arts Licensed Investment Company) Bill 1998 Social Security and Veterans’ Af- Community Affairs 24 November 1998 fairs Legislation Amendment (Pay- ment Processing) Bill 1998 Human Rights Legislation Amend- Legal and Constitutional 1 December 1998 ment Bill (No. 2) 1998 Environment Protection and Environment, Com- second sitting day in 1999 Biodiversity Conservation Bill 1998 munications, Information Technology and the Arts

(2) Each committee have power to consider and Australian Radiation Protection and Nuclear use the records of the relevant committee Safety (Consequential Amendments) Bill 1998 appointed in the previous Parliament. Child Support Legislation Amendment Bill 1998 Consideration of Legislation Higher Education Funding Amendment Bill (No. Senator TAMBLING (Northern Terri- 1) 1998 tory—Parliamentary Secretary to the Minister States Grants (General Purposes) Amendment for Health and Aged Care)—I give notice Bill 1998 that, on the next day of sitting, I shall move: States Grants (Primary and Secondary School Education Assistance) Amendment Bill 1998. That the provision of standing order 111(6) which prevents the continuation or resumption of Senator TAMBLING—I also table state- second reading debate on a bill within 14 days of ments of reasons justifying the need for these its first introduction in either House not apply to bills to be considered within the 14-day the following bills: period. I seek leave to have the statements Australian Radiation Protection and Nuclear incorporated in Hansard. Safety Bill 1998 Australian Radiation Protection and Nuclear Leave granted. Safety (Licence Charges) Bill 1998 The statements read as follows— 134 SENATE Wednesday, 11 November 1998

CHILD SUPPORT LEGISLATION AMEND- the cost of second families by changing the MENT BILL family payment income test for payers with Purpose of the Bill subsequent families; The purpose of the Bill is to bring about reform of . change the effect of care arrangements or assess- the Child Support Scheme through a series of ments by extending the major substantial care amendments to the Child Support (Assessment) Act provisions in assessments where parents agree, 1989 and the Child Support (Registration and basing assessments on both factual and lawful Collection) Act 1988. The major provisions in the care of the child, treating a step child as a Bill will be to: relevant dependent child if a court has ordered a duty to maintain, extending child support to the . include a wider range of income when assessing end of the school year for a child who turns 18; how much child support should be paid and also and using, wherever possible, more up to date income information in assessments; . allow the Registrar to reject an income estimate which he considers inaccurate and extend the . allow parents to move from the Child Support latest date an income estimate can be lodged Agency collection to private collection by from 30 June to 31 July. agreement at any time and also require parents to undertake private collection where there is a Reasons for the urgency requiring introduction consistent payment record, but providing a safety and passage of the Bill net if the private payment arrangements subse- The Bill will give effect to major reforms which quently fail; the Government announced on 30 September 1997 . allow carers in receipt of social security pay- to improve the Child Support Scheme’s flexibility, ments to end a child support assessment where to provide greater equity and to ensure more there is a threat of family violence; regular financial support for children. . change the assessment process to improve client Delays in introduction of the proposed amendments perceptions of flexibility and equity, by modify- may mean the loss of some of the benefits to be ing the exempted income and disregarded income gained from the reforms. All but three of the figures used in the child support formula, allow- amendments were initially to have a commence- ing liable parents to apply for a child support ment day of 1 July 1998. The remaining amend- assessment, providing for internal review of ments were to commence from 1 January 1999 or decisions by the Registrar, allowing parents to 1 July 1999. The Child Support Agency will begin verbally notify changes which affect assessments issuing assessments for the 1999-2000 child support and enhancing the procedures in relation to year from March-April 1999. Many of the reforms applications for departure from administrative impact significantly on the assessments that will assessment; issue. It is essential, therefore, that the Bill receives . protect client’s right to privacy, by limiting early passage to ensure that, if Parliament amends information about dependent children in assess- any of its provisions, the Child Support Agency is ment notices; able to give adequate notice to all affected clients of possible changes to amounts payable prior to the . enhance collection arrangements by allowing commencement date of the legislation. more flexibility in payments, offsetting debts between parents, and allowing deductions to be Result if the proposed Bills are not dealt with in made from a payer’s social security pension or the Autumn Sittings: benefit; Delay in introduction of the Bill is likely to attract . provide greater certainty in payments of child criticism of the Government. Delays in issuing support by giving effect to a change in circum- assessments to clients cause anxiety and uncertainty stances only from the date notified, allowing for clients and will mean that different legislative payments to be held temporarily in trust if court requirements apply to different parts of the child action is pending over acceptance of application, support year. This will mean considerable confu- and providing that the start date of liability for sion to clients every time there is a change in their child support is the date of application; circumstances causing a variation to their assess- ment. . make arrangements for direct payments in lieu of child support more flexible, allowing payers more choice in the form in which child support is paid by them while protecting payees and STATES GRANTS (PRIMARY AND SECON- meeting the basic needs for children; DARY SCHOOL EDUCATION ASSISTANCE) . ensure all parents contribute to the financial AMENDMENT BILL support of their children by introducing a The purpose of the proposed bill is to seek changes minimum annual payment of $260 and recognise to the State Grants (Primary and Secondary Educa- Wednesday, 11 November 1998 SENATE 135 tion Assistance) Act 1996 (the Act) to provide or not making a successful transition from school funding for the introduction of Full Service Schools to work. Delay in passage of the amendment could and the extension of funding for the National Asian have an adverse impact on eligible young people. Languages and Studies in Australian Schools It is highly desirable that the NALSAS strategy (NALSAS) strategy, both of which were announced continue with minimal disruption. The delay in the in the Budget. passing of the Bill has meant that additional It is also necessary to include funding amounts for funding included for 1998 in the original Bill will the Capital Grants Programme for 2001 to 2003. instead be allocated to 1999 in the current Bill. Capital funding is approved up to 2 years ahead of Hence 1998 funding has decreased by 40 per cent the current programme year. The Act contains a rather than being maintained at 1997 levels. footnote stating that the amounts for the years after Currently legislated funding ceases at the end of 2000 will be inserted by later amending Acts as 1998. these figures become available. The figures for the Capital Grants Programme for 2001 to 2003 are now available. Insertion of these figures into the Act is essential to finalise schools’ planning of HIGHER EDUCATION FUNDING AMEND- capital projects in 2001. MENT BILL (NO. 1) There are also a number of non-controversial Purpose of the proposed bill amendments to the Act which have been consoli- The proposed bill will amend the Higher Education dated in this Bill. The first is an amendment which Funding Act 1988 (HEFA) to: will allow the Minister to vary funding allocations . legislate the funding levels in respect of sections provided to State and Territory government and 17, 20(3), 22A(5), 23C(2), 24(3) and 27A(6) or non-government education authorities under the the HEFA for the 1998, 1999 and 2000 funding Commonwealth’s Literacy and Country Areas years; programmes so that 1996 Census data can be taken into account when allocating 1999 funding on a . vary the aggregate funding levels for the 1999 needs basis. Education authorities are expecting this and 2000 funding years to take account of price change to occur. movements and to facilitate the transfer of funds from the 1997 to the 1998 financial year; A further amendment will allow for the updating of all funding amounts shown in the Act from 1997 . reduce funding limits for 1998, 1999 and 2000 initial prices to 1998 final prices. Unless this is to allow the use of those funds for international done, funding amounts for Full Service Schools, marketing and promotion of Australian education NALSAS, and the Capital Grants Programme for and training services by Australian Education 2001 will be on a different cost basis. It will also International; incorporate the effect of 1997 and 1998 supplemen- . allow for the provision of funding for the Uni- tation and will mean that all funding amounts in the versity of Notre Dame Australia while ensuring Act have been calculated on a consistent basis and that full fee paying students may still enrol and are comparable. are not liable for HECS; Finally, there is a technical amendment to section . allow for the provision of additional funding for 72(1)(a) of the Act to add the words "or in connec- the James Cook University of North Queensland; tion with" in regard to special education funding of . facilitate the transfer of funding from the 1998 non-government centres to allow the full range of and 2000 funding years to the 1999 funding year special education services to be provided under the to meet the needs of the Rationalisation and legislation. These words were inadvertently omitted Restructuring Programme in the drafting of the Act. Reasons for urgency If the Bill is not dealt with in the Spring sitting the implementation of Full Service Schools will be Currently there are no legislated funding levels for seriously delayed, expenditure on the NALSAS 1999 in respect of sections 17, 20(3), 22A(5), 24(3) strategy will be disrupted and the Capital Grants and 27A(6) of HEFA. The Bill provides this base Programme will be unable to commit funding to funding and needs to be enacted before the start of approved projects with building stages in 2001. the academic year to allow payments to be made to institutions at the usual times. The Full Service Schools initiative will provide Effect if the Bill is not dealt with in the Sittings additional support to schools to develop innovative programmes and services which address the specific Australian higher education institutions will not needs of young people returning to school follow- receive 1999 funding on time. ing changes to the Youth Allowance and of current students who are at risk of not completing Year 12 136 SENATE Wednesday, 11 November 1998

AUSTRALIAN RADIATION PROTECTION AND The Consequential Amendments Bill: NUCLEAR SAFETY BILL . repeals the provisions of the Australian Nuclear AUSTRALIAN RADIATION PROTECTION AND Science and Technology Organisation Act 1987 NUCLEAR SAFETY (LICENCE CHARGES) which create the Nuclear Safety Bureau. The BILL Bureau will become part of the Australian AUSTRALIAN RADIATION PROTECTION AND Radiation Protection and Nuclear Safety Agency NUCLEAR SAFETY (CONSEQUENTIAL (ARPANSA) which is referenced in the AMENDMENTS) BILL ARPANS Bill; Purpose of the proposed Bills: . transfers the assets and liabilities of the Nuclear Safety Bureau to ARPANSA; The Australian Radiation Protection and Nuclear Safety Bill (the ARPANS Bill) introduces, for the . repeals the Environment Protection (Nuclear first time, regulatory controls in respect of all Codes) Act 1998. That Act provides for the Commonwealth radiation and nuclear activities by development and endorsement of Codes of prohibiting Commonwealth entities from dealing Practice which will be undertaken under the with radioactive materials or apparatus, or any auspices of ARPANSA; aspect of a nuclear or other prescribed facility, . provides that Commonwealth entities have a unless licensed to do so. transition period of 6 months after the ARPANS The ARPANS Bill establishes a system of licensing legislation commences to apply for a licence to and exemptions and provides for enforcement of authorise specified activities under the legisla- the legislation through the appointment of inspec- tion. tors with enforcement powers. A statutory officer, The reasons for the urgency requiring introduc- the Chief Executive Officer (CEO) of the Austral- tion and passage in the same sittings: ian Radiation Protection and Nuclear Safety Agency (ARPANSA) is responsible for overseeing This legislation was seen as time critical when the the regulation of Commonwealth entities including Government introduced it in May this year. The the assessment and granting of licences, monitoring Government intended that the legislation take effect compliance and enforcement of the legislation. from 1 July 1998 to enable appropriate regulation of significant radiation and nuclear activity. The The CEO is also responsible for: Bills were passed by the House of Representatives. . promoting national uniformity of radiation There continues to be an urgent need for this protection and nuclear safety across all juris- legislation to be passed as soon as possible for the dictions; following reasons: . providing advice on radiation protection and . Preliminary work on the new Lucas Heights nuclear safety issues; and nuclear reactor is proceeding in the absence of . undertaking research and services in relation to comprehensive regulatory control. This may radiation protection and nuclear safety generate significant community concern (ministers will have to take decisions about The ARPANS Bill also provides for the establish- aspects of the reactor in the absence of the new ment of the Radiation Health and Safety Advisory regulatory framework) and the tendering process Council (RHSAC) to provide expert advice to the to build the reactor will not reflect the health and CEO on a range of issues including emerging safety requirements of the new regime. radiation protection and nuclear safety issues, matters of concern to the community, and the . The International Atomic Energy Agency (IAEA) adoption of codes of practice and standards. The has made recommendations about the regulatory Council will be appointed by the Minister for processes for a new reactor and stressed the Health and Family Services and will comprise importance of ARPANSA providing comprehen- State-Territory radiation control officers, a com- sive oversight and having the capacity and munity representative and other experts in radiation sanctions to enforce its decisions. and nuclear safety and related fields. . The Government decision concerning the siting The ARPANS Bill is accompanied by the Austral- of Australia’s low level radioactive waste reposi- ian Radiation Protection and Nuclear Safety tory is scheduled to be made by end 1998, by (Licence Charges) Bill (the Licence Charges Bill) which time the community and the construction and the Australian Radiation Protection and Nuclear contractors must be assured of independent Safety (Consequential Amendments) Bill (Conse- regulatory oversight. quential Amendments Bill). . Australia is due to sign the Joint Convention on The Licence Charges Bill provides for the levying the Safety of Spent Fuel Management and on the of an annual charge on the holders of a source or Safety of Radioactive Waste Management in facility licence, as described in the ARPANS Bill. November 1998, by which time we need a Wednesday, 11 November 1998 SENATE 137

regulatory process in place which would deliver (v) employment, and on our commitments under this convention. (iv) local manufacturing; The effect if the Bills are not dealt with in one (b) notes the refusal of the Minister for Com- sitting: munications, Information Technology and . Signing the Joint Convention on the Safety of the Arts (Senator Alston) to back down Spent Fuel Management and on the Safety of from a commitment to the full sale of Radioactive Waste Management will be delayed. Telstra despite strident opposition from his . If passage and implementation of the Bills are own backbench; and effectively delayed until mid 1999: (c) condemns the Minister for seriously under- decisions about proceeding with the replace- mining the reputation and standing of ment reactor and the waste repository will have Telstra with his public comment on 8 to be taken in the absence of a legislatively September 1998 that Telstra’s ‘best years established safety framework. may lie behind it’. (Circulated with the authority of the Minister for Nuclear Weapons Health and Family Services) Senator MARGETTS (Western Austral- ia)—I give notice that, on the next day of sitting, I shall move: STATEMENT OF REASONS FOR INTRODUC- TION AND PASSAGE IN THE 1998 SPRING That the Senate— SITTINGS (a) notes: STATES GRANTS (GENERAL PURPOSES) (i) that a resolution numbered L48 and titled AMENDMENT BILL ‘Towards a nuclear-weapon-free world: The States Grants (General Purposes) Amendment the need for a new agenda’, will be voted Bill will give effect to arrangements for the pay- on in the United Nations General Assem- ment of general revenue assistance in 1998-99, in bly in the week beginning 8 November accordance with the Commonwealth’s Offer at the 1998, 1998 Premiers’ Conference, and revenue replace- (ii) that the resolution recalls the unanimous ment payments to the States and Territories in conclusion of the International Court of 1998-99. Justice in its 1996 advisory opinion that Commonwealth payments of general revenue there exists an obligation to pursue in assistance and revenue replacement payments are good faith and bring to a conclusion expected to total around $23.5 billion in 1998-99. negotiations leading to nuclear disarma- States and Territories are dependent on these ment in all its aspects under strict and payments to fund essential services so early passage effective international control, of the Bill will provide greater funding certainty for (iii) that the resolution calls on the nuclear the States and Territories. If passage is delayed and weapons states to demonstrate an unequ- the Bill is not in operation before December 1998, ivocal commitment to the speedy and around $450 million per week would not be paid total elimination of their respective nu- to the States and Territories. clear weapons and without delay to pur- (Circulated by authority of the Treasurer) sue in good faith and bring to a conclu- sion negotiations leading to the elimina- Telstra: Sell-down tion of these weapons, thereby fulfilling their obligations under Article VI of the Senator MARK BISHOP (Western Aus- Treaty on the Non-Proliferation of Nu- tralia)—I give notice that, on the next day of clear Weapons (NPT), sitting, I shall move: (iv) that the resolution also calls on the three That the Senate— states that are nuclear weapons capable and that have not yet acceded to the NPT (a) opposes any further sell-down of Telstra to clearly and urgently reverse the pursuit because of the grave risks such a sell-down of all nuclear weapons development or would have on: deployment and to refrain from any (i) access to advanced communications actions which could undermine regional services, and international peace and security and (ii) service availability, quality and price, the efforts of the international community towards nuclear disarmament and the (iii) public finances, prevention of nuclear weapons prolifer- (iv) foreign ownership, ation, 138 SENATE Wednesday, 11 November 1998

(v) that the resolution contains a large num- (ii) the bashing of two gay men in Western ber of other measures designed to bring Australia on 4 November 1998 during the about the goal of nuclear disarmament, course of a robbery and the fact that anti- including a call for the Russian Feder- gay sentiments were used by the assailant ation and the United States of America to to inflict pain and humiliation, bring START-II into force without further (iii) that hostility, violence and vilification is delay and immediately proceed thereafter a continuing experience in the lives of with negotiations on START-III with a many gay, lesbian, bisexual and view to its early conclusion, transgender Australians, and (vi) that the resolution incorporates a call for (iv) that Tasmania, Western Australia and the an international conference on nuclear Commonwealth remain the only jurisdic- disarmament and nuclear non-prolifer- tions which do not prohibit discrimination ation, which would effectively comple- on the grounds of sexuality; and ment efforts being undertaken in other settings and which could facilitate the (b) condemns discrimination, vilification and consolidation of a new agenda for a violence against all persons. nuclear-weapon-free world, Kew Cottages, Victoria (vii) that the resolution is sponsored by Benin, Botswana, Brazil, Cameroon, Senator ALLISON (Victoria)—I give Chile, Colombia, Costa Rica, Ecuador, notice that, on the next day of sitting, I shall Egypt, El Salvador, Guatemala, Ireland, move: Lesotho, Liberia, Malaysia, Mali, That the Senate— Mexico, New Zealand, Nigeria, Peru, Samoa, Slovenia, Solomon Islands, (a) notes: South Africa, Swaziland, Sweden, (i) the report in the Age, of 11 November Thailand, Togo, Uruguay and Vene- 1998, on the latest revelations in the zuala, ongoing saga of abuse and neglect of (viii) that the resolution is broadly consistent people with disabilities in our institutions with the recommendations of the Can- and particularly the annual report of the berra Commission on the Elimination Community Visitors Program, which of Nuclear Weapons, and found that conditions at Kew Cottages, Victoria, were appalling and ‘represent a (ix) with concern that there are indica- step back into the dark days of tions that Australia may not vote in institutionalisation’, favour of resolution L48; and (ii) that staff were poorly trained and that the (b) urges the Australian Government to support low staff to resident ratios exacerbated this resolution at the United Nations General the neglect of residents, which included Assembly. the failure to detect a breast tumour in an intellectually disabled woman who subse- Contingent Notices of Motion quently died, and Senator HARRADINE (Tasmania)—I give (iii) the accounts in the Age on the same day contingent notice of motion which has been that a Victorian Auditor-General’s report circulated in the chamber, the terms of which showed that the State Government has spent $14 million in wage rises and I now hand to the Clerk. bonuses for the state’s top public servants Sexuality Discrimination in the 1997-98 financial year and that the Victorian State Government has increased Senator BARTLETT (Queensland)—I give its cash and investment holdings by $2.9 notice that, two sitting days after today, I billion to $16.2 billion; shall move: (b) urges the Commonwealth Government to call the Victorian State Government to That the Senate— account for its failure to address the grossly (a) notes: inadequate and substandard conditions (i) the murder in the United States of Ameri- endured by the residents of Kew Cottages in ca of Mr Matthew Shepherd, a 21-year- spite of its obvious capacity to do so; and old gay man, who was tortured and mur- (c) calls on the Commonwealth Government to dered because of his sexuality on 14 insist that the Victorian State Government October 1998, moves immediately to provide appropriate Wednesday, 11 November 1998 SENATE 139

places to care for the 160 Kew Cottages by the Minister representing the Treasurer, Senator residents currently on alternative accommo- Kemp, be postponed till the next day of sitting. dation waiting lists. Employment, Education and Training ORDER OF BUSINESS References Committee Jabiluka Uranium Mine Motion (by Senator O’Brien) agreed to: Motion (by Senator O’Brien, at the request That business of the Senate notice of motion No. 5 standing in the name of Senator O’Brien for of Senator Bolkus) agreed to: today, relating to the reference of matters to the That general business notice of motion No. 1 Employment, Education and Training References standing in the name of Senator Bolkus for today, Committee, be postponed till 23 November 1998. proposing an order for the production of documents by the Leader of the Government in the Senate MATTERS OF URGENCY (Senator Hill), be postponed till the next day of sitting. Centrelink: Job Losses and Level of Service Taxation Package: References to The DEPUTY PRESIDENT—I inform the Committees Senate that the President has received the Motion (by Senator Bourne, at the request following letter, dated 11 November 1998, of Senator Lees) agreed to: from Senator Chris Evans: That business of the Senate notice of motion No. Dear Madam President, 2 standing in the name of Senator Lees for today, Pursuant to standing order 75, I give notice that relating to the reference of matters to seven Senate today I propose to move: committees, be postponed till the next day of sitting. ‘That, in the opinion of the Senate, the following is a matter of urgency: Goods and Services Tax: Reference to The Government’s decision to slash 5,000 jobs Committee from Centrelink and the impact of this decision on Centrelink’s levels of service to families, pension- Finance and Public Administration ers and the unemployed.’ References Committee Yours sincerely, Motion (by Senator Faulkner) agreed to: CHRIS EVANS That business of the Senate notices of motion (Senator for the State of Western Australia) No. 1 (relating to reference of matters to the Economics References Committee) and No. 4 (the Is the proposal supported? reference of matters to the Finance and Public More than the number of senators required Administration References Committee) standing in by the Standing Orders having risen in their the name of Senator Faulkner for today, be post- poned until the next day of sitting. places— The DEPUTY PRESIDENT—I understand Taxation Package: References to that informal arrangements have been made Committees to allocate specific times for each of the Motion (by Senator Tambling, at the speakers in today’s debate. With the concur- request of Senator Kemp) agreed to: rence of the Senate, I shall ask the clerks to That business of the Senate notice of motion No. set the clock accordingly. 3 standing in the name of Senator Kemp for today, Senator CHRIS EVANS (Western Austral- relating to the reference of matters to certain ia) (3.54 p.m.)—I move: committees, be postponed till the next day of sitting. ‘That, in the opinion of the Senate, the following is a matter of urgency: Goods and Services Tax: Production of The Government’s decision to slash 5,000 jobs Documents from Centrelink and the impact of this decision Motion (by Senator Faulkner) agreed to: on Centrelink’s levels of service to families, pensioners and the unemployed.’ That general business notice of motion No. 2 standing in the name of Senator Faulkner for today, It is important that today the Senate debates proposing an order for the production of documents the issue of the government’s moves to slash 140 SENATE Wednesday, 11 November 1998

5,000 jobs from Centrelink for a number of new servicing requirements or the new cus- reasons. This decision impacts on a number tomer service delivery model. That is a of levels. First of all there is the sheer loss of parallel development. This is about the 1997- 5,000 jobs from the public sector and what 98 budget cuts flowing through. that means for those persons who are leaving Centrelink had agreed with the Department and those remaining and, more importantly of Finance and Administration that: and more the centre of our focus today, what it means for the service provided by . . . in addition to the 1 percent efficiency dividend applied to all Government agencies, it will improve Centrelink to the over six million clients of efficiency by 10 per cent by 1999-2,000. Centrelink Centrelink in Australia. We feel that this will undertake a range of initiatives to enable these decision ought to be reversed by the govern- efficiencies to be realised. ment because it will downgrade further the It is great Public Service speak. ‘Efficiency’ services provided by Centrelink, the essential means job cuts. It means Centrelink gets 10 services that are required by Australian per cent less to fund its services. It means citizens. $149 million less per year to fund services. There is nothing more indicative of the What does Centrelink do? Centrelink government’s approach than that the first provides services to people who receive social major announcement since they came back security payments in Australia. It is a people into power is that another 5,000 jobs are to be organisation. So if you cut its budget by $149 lost—5,000 more jobs lost as a direct result million a year, if you cut its budget by 10 per of government policy. This is a decision that cent, what is its only alternative? What is the means fewer services to those in need in our only thing it can do to meet that reduced community—fewer services for people with funding? Cut staff numbers. Sixty-seven per disabilities, fewer services for the aged, fewer cent of Centrelink’s budget is taken up by services for the unemployed and fewer ser- staff costs. So if you cut its budget by 10 per vices for families with young children. John cent, if you reduce its revenue by $149 Howard said that this would be a new govern- million a year, what is Centrelink to do? It is ment, but quite clearly it is the same old not a question of looking at options. It has government with the same old policies. only one option and that is to cut staff. At the core of the Centrelink announcement This announcement is about the realisation is the government cutting funding for essen- of government budget cuts flowing through to tial services. This is just another budget cut. Centrelink; it has nothing to do with the new During the announcement the other day, the customer service delivery model. It is the government tried to dress it up as part of government saying they will not pay as much Centrelink’s revamping of its servicing oper- for the delivery of social security services in ation. It is absolutely nothing of the sort. this country. The Minister for Community There are parallel developments going on in Services was in here earlier holding forth Centrelink about the way they do business about the new Department of Family and and I am happy to debate those on another Community Services and what a wonderful day. The government has attempted to use initiative it is. The first announcement of an Centrelink’s announcement of its plans in that initiative within her new portfolio was to regard to hide the fact that the budget cuts reduce the services provided to the clients of introduced in 1997-98 are flowing through to that portfolio. Centrelink provides the services Centrelink now. to the clients of that portfolio—the unem- Centrelink has been forced to make deci- ployed, the pensioners, the aged and all the sions about its operation based on the govern- other groups that rely on Centrelink for its ment taking 10 per cent off its revenue. services and the payment of their benefits. Centrelink has had 10 per cent slashed off its The government slashed the staff because they revenue. The announced cutting of about have reduced Centrelink’s funding. 5,000 jobs in Centrelink is a direct result of As I say, this is the heart of the politics of those budget cuts. It has nothing to do with the matter. It is a very serious matter for this Wednesday, 11 November 1998 SENATE 141 parliament and it is one the parliament must Senator CHRIS EVANS—I dialled the take to the government. We must try to apply right numbers, Senator, and I got through on pressure to the government to reverse this two of them. If you ask the minister, I am decision. This is not a decision made by the sure she will tell you that there are enormous independent board that runs Centrelink; it is problems in getting through to Centrelink. If a decision made by the government to provide you did any constituency work, Senator, you less funding. There is no other alternative for would know of complaints from constituents Centrelink but to cut staff and, as we have about the failure to get through. seen from the announcement, over the next As I say, there were 1,200,000 unanswered couple of years they will cut in total 5,000 calls. At one stage 97 per cent of the calls staff from this government agency. made by people to Centrelink numbers got the The government would have us believe that busy signal. You cannot even get through to all these job cuts are going to come from get in the queue or hear the musak or the head office and that they will be backroom messages about how they will have someone bureaucrats who go. It is a nonsense. listening to your call, vetting the customer Centrelink is a service delivery agency. They delivery—not to mention then asking you to are the people who answer the phones or wait an average of five minutes before you answer your queries when you call at a get put through to someone who will actually Centrelink office. At least 10 per cent of the speak to you. You are dealing with a machine staff reductions will come from the coalface. until then. They will come from the service delivery There are enormous problems already. I am officers. There is no way that these massive not trying to attack Centrelink staff, but what staff cuts cannot affect the service delivery at is clear is that they are underresourced and the coalface, and that is revealed by the overstretched. The problems encountered in government’s own figures. June-July this year caused chaos. We have I would have thought the government’s seen that in the Ombudsman’s report. There most likely response would be to say, were over 10,000 complaints investigated last ‘Centrelink can afford these efficiency cuts. year by the Ombudsman in Centrelink alone. It runs an overblown bureaucracy.’ That That is just the tip of the iceberg. These are would also be nonsense. There is no defence the complaints that actually get to the Om- in that. We have seen in the last year the budsman. How many people take their com- chaos and massive problems that have occur- plaints to the Ombudsman? What percentage red in Centrelink as it has tried to deal with of those who are concerned or upset about the the jobs that the government has given it. In treatment received or the failure to get June 1998 there were 1,200,000 unanswered through actually go to the Ombudsman? calls. You cannot get through to Centrelink in Clearly, the numbers that go through are the the busy periods if you want to, let alone get tip of the iceberg. A lot of them see their service from Centrelink to deal with your local members of parliament. A lot of them particular inquiries. It is massively just go away defeated. A lot of them basically overstretched currently. As an exercise, I tried give up on being able to get satisfactory to call Centrelink this morning. I spent an service. hour and a quarter trying to get through on What we are faced with today is cuts which the family payments line. I was unable to get will directly hurt people most in need in our through between 11 and 12.15 this morning community: the old aged pensioners and the on the family payments line. I did get through disability pensioners. We have seen what has on the Newstart line, and I did get through on happened to job seekers with the new Job the pensions line. It took me four goes on the Network scheme. What an absolute success Newstart line, and it took me three goes on the Job Network scheme has been! Together the pension line. with parents with child-care inquiries, young Senator Abetz—Did you dial the wrong people with inquiries about youth allowance numbers? and students inquiring about Austudy, there 142 SENATE Wednesday, 11 November 1998 are six million Australians seeking services this is going to mean more recorded from Centrelink every year. They are entitled, messages, more time spent hanging on the in my view, to courteous personal assistance, phone and more attempts to get through to be able to talk to somebody about access- unsuccessfully, but the government ought to ing their entitlements. If they are lucky be about providing better service for the enough to get through on the phone now, they clients of Centrelink. It should not be about might get some assistance. There are going to gutting Centrelink and making the service be 5,000 fewer people to answer the phones even more unsatisfactory than it currently is. at the end of the government’s cutbacks— There will be 5,000 fewer people servicing 5,000 fewer people to service the six million the pensioners, the unemployed and the people who are making contact. families of this country as a result of govern- I will be interested to see what the minister ment budget decisions. Make no mistake: this has to say about the regional impacts of these is all about a government budget decision to decisions. The government ran in the last cut the money they will pay through what election expressing concern about the impact used to be the Department of Social Security on regional Australia of the loss of banks and to Centrelink. It is a cut in government funds other services from regional areas. You resulting in job losses and loss of service. cannot tell me that 5,000 jobs are going to go I know the Prime Minister in his ACOSS from Centrelink and there are not going to be speech the other day said that business ought any jobs lost in regional Australia. Not only to rediscover the spirit of 19th century philan- will there be jobs lost; the standard of service thropy. I am not sure whether he intends that will invariably drop. Centrelink has been we rediscover some of the other 19th century forced to survive on less money. I do not factors that were at play, one of which was know whether the government is going to ask the absence of a decent social security service the banks to be the local Centrelink offices, run by government. I thought we had long but they have already closed in most regional gone past the day of having a debate in this towns. It is a major problem for regional country about the need to provide a properly Australia. It is a major problem in terms of serviced social security system in this country. employment, and it is a major problem in The government’s cutbacks in this area will terms of the services provided to Australians. put Centrelink under great strain and will It is interesting that there was no mention reduce the sorts of services that they provide. of these cuts prior to the election, but another I do not know whether it is intended that 5,000 jobs are to be cut. I do not know what Centrelink ought to be having a sort of poppy the government’s view of the future is, but day and be out there shaking the cans to raise Centrelink is supposed to be providing a money to finance their services because the community service. It is meant to be a people government is clearly unwilling to provide based organisation. People like to be able to them. It is a government’s decision to cut speak to a person when they want to be taken their budget by $149 million each year be- through complex financial matters relating to cause they will not provide the services. their entitlements. I do not know whether we It is important that the Senate does con- will have to change the name of Centrelink to demn the government’s funding cuts to ‘Computerlink’, because all the government Centrelink. It is important that we put on the talks about is the Internet, computers, et record our support for humane and adequately cetera and nothing about personal service. funded income support for the needy. We There are going to be 5,000 fewer persons must assist in building pressure on the there to provide service. government to meet its obligations to its Machines are cheaper, and maybe IT can citizens. Nice words are not enough. This is help in terms of making the organisation more a direct policy initiative of the government. I efficient, but it does not replace the personal encourage you to deny that $140-odd million service needs that the clients of Centrelink has not been removed from Centrelink’s deserve and have a right to expect. I know budget. Your own budget papers prove the Wednesday, 11 November 1998 SENATE 143 point that this is about budget measure cuts to made when two such large organisations are Centrelink—less funding and less service. The put together, then it is an example of why the pensioners, the unemployed and the families Australian people do not believe that they of Australia will get less assistance and less have a good track record on economic man- service as a direct result of this government agement. decision. It was always understood, it was clearly Senator NEWMAN (Tasmania—Minister stated and it was not hidden in budget papers for Family and Community Services and that that was what would be required. There Minister Assisting the Prime Minister for the are some parts of the Labor Party that do Status of Women) (4.09 p.m.)—I thank believe in efficiency dividends. I am interest- Senator Chris Evans for his contribution. ed that my new Labor Premier in Tasmania Unfortunately, it is a continuation of the gross is planning to take an efficiency dividend exaggeration about the announcement made from the operating costs of the state by Centrelink management a few days ago on government’s agencies each year. the future of a very important Australian Senator Abetz—How much? organisation. Let me make it very clear from the beginning that there is no question of Senator NEWMAN—It is $12 million. Centrelink being privatised, which is one of That is a lot out of our very small budget of the stories that has been put about by the $1.9 billion in Tasmania. The reality is that Labor Party. No offices are going to be we have had a lot of exaggeration. I think a closed. Call centre staff are remaining on duty lot of the debate that has ever appeared in the and are improving their productivity. public arena from the ALP has been grossly There has been a mass of complaints from unkind to the staff who work for Centrelink. the ALP in the press but the reality is that Some 24,000 staff work for Centrelink. since 1 April this year the Leader of the Senator Chris Evans—It is 19,000 now. Opposition has made three representations to Senator Jacinta Collins interjecting— me and the minister who shadows me has made absolutely none. Over that period—from Senator NEWMAN—It is interesting that 1 April—Mr Duncan Kerr takes the prize we hear this, because the ALP seems to have amongst my Tasmanian colleagues. He con- trouble with figures as well. The reality is that tacted me eight times, but Mr Dick Adams, there are not 5,000 jobs yet to go. Mr Harry Quick, Senator Murphy, Senator Senator Jacinta Collins—How many are Denman and Senator Mackay have all made there? no representation whatsoever about their Senator NEWMAN—There are only 600 concerns. jobs yet to go in this financial year, 2,000 Opposition senators interjecting— jobs to go in the next financial year and 300 Senator NEWMAN—We hear about your in the third financial year. The board and the complaints. Senator O’Brien did make three management of Centrelink believe that they representations on issues to do with will be achieved—as the previous changes to Centrelink. If this is a serious issue for the the staffing levels have been achieved— opposition, they seem to have suddenly through natural attrition and voluntary redun- discovered it. dancies. The gross misrepresentation of the issues Let me also deal with something else that facing the organisation need to be addressed the ALP has been putting about—that is, that quickly. Centrelink is a statutory organisation there is some kind of focus on women. The that was announced and set up by the govern- managing director of Centrelink, Ms Vardon, ment in 1996-97. At that time the need for an has made it clear that there is a high propor- efficiency dividend was spelt out because we tion of women employed in Centrelink; in had two very large departments of state being fact, it is 63 per cent. They are not being amalgamated—DEETYA and DSS. If the targeted, but many of them are in two-income Labor Party believe there are no savings to be families. 144 SENATE Wednesday, 11 November 1998

Senator Jacinta Collins—So what! lished over the next few years around Austral- ia—very, very important. Senator NEWMAN—Some two-income families choose to have babies. Often it is Senator Jacinta Collins—What about the convenient to take a redundancy and go home office queues? and have the baby and start your career up Senator NEWMAN—There are very few again in two or three years time. Other older queues. women find it convenient, if they are married Senator Jacinta Collins—Rubbish! to a man who is about to retire, to take a redundancy payment to pay off the family Senator NEWMAN—It is a pity that you home before they go into retirement. Perhaps didn’t have a look at the press conference of the ALP do not know much about the way Ms Vardon, who was asked that very ques- people live. That is pretty clear in their lack tion. In fact, we took queues and ropes out of of support. most of the offices. More than 50 per cent of the offices really do not have queues now— All the rearrangements of service delivery in Centrelink are focused on improved service Senator Jacinta Collins—More than 50 per delivery. That is because some offices are cent? So 50 per cent do. grossly inefficient compared with the best in Senator NEWMAN—Ms Vardon has told the system. There is a great deal of room in the press that more than 50 per cent do not the system for improved productivity. Some have queues; it is a question of how work is offices are showing the way in a marvellous done in those offices. I told you that some are way. not as efficient or productive as others. One of the things that Centrelink manage- We are moving services further out into the ment has discovered, which I would not have bush in that we are going into partnerships thought would come as a surprise to those with Australia Post private agents. We are opposite, is that very large offices are less already piloting projects in Tasmania, where- productive than the smaller ones. Centrelink by we share facilities and provide services in is planning not to close any offices but to country areas and rural towns, sharing with increase the number of offices by 50. That is local government and state government. In because there will be more smaller offices Georgetown in Tasmania we share a site with being able to reach out further into regional both levels of government, so there are three and rural Australia. There are 400 offices all together. These are very important ways of already. The number will be increased by getting services to people who did not have about 50. adequate services in past years. We are establishing a rural telecentre network to be In addition, we are increasing the ways that dedicated to rural people and the special customers can do business with Centrelink. issues that they face. We are establishing That is a direct result of the consultation ways that, when the call centre network is process that has taken place in the last year overcrowded—currently it can now all be with 8,000 customers in value creation work- linked together and does overflow—when shops. I have attended one of those work- there is a particularly heavy load, the calls shops. They are very valuable to the organisa- will be able to overflow to the customer tion to learn what the customers are thinking, service centres. what they want to be done better and what I have said that there will be no office they want to be done differently. closures. I have said that it will be by natural As a result of those 8,000 customers volun- attrition and voluntary redundancies. It is tarily taking part in these exercises they know important to recognise that the changes that that more and more people want to do busi- are to be made are minimally, in proportion- ness with them at arm’s length through ate terms, going to be at the service end of telephone calls, through the Internet, through the organisation. The savings are to be very fax, and through electronic service delivery. much more marked in the middle to senior So 5,000 information kiosks will be estab- levels of management. I cannot imagine that Wednesday, 11 November 1998 SENATE 145 anybody would quibble with that because, if tional 5,000 jobs lost from its own oper- we are talking about a service delivery agen- ations— cy, it is the overheads that make it a costly Senator Abetz—Didn’t you listen to the organisation. As Ms Vardon made very clear minister? in her press conference the other day, they want to stay in business. They are a statutory Senator STOTT DESPOJA—Before authority. They have to bid for their business. Senator Abetz gets on his high horse, I ask They have to be cost effective. They do not the minister how she can possibly claim that want the private sector taking business away job losses of 5,000—a figure that is not from them when they tender for new projects. contested—is an exaggeration. So they have to be very efficient at doing the Senator Knowles—It is not an exagger- job. They have a board of management, which ation; it is just wrong. is a mixed board of the private and the public sector, who are enthusiastically endorsing the Senator STOTT DESPOJA—Madam changes that management has recommended Acting Deputy President, I suggest that those to them. on the other side of the chamber will have an opportunity to show us how 5,000 jobs are I cannot understand why the ALP would not going to be lost. It is a figure accepted by want us to spend more money unnecessarily unions and many others in this community. when we already have a budget in this port- folio of something approaching $60 billion, The Democrats have long exposed the approximately half the national budget. That government’s failed management in a number is a lot of money to look after people and of reforms, be it Job Network or its manage- provide a safety net and services for those in ment of the resources of Centrelink, the one- need in one way or another. Surely you do stop shop service delivery agency. The rea- not waste money by being unproductive or sons that we have done this are strong and not putting in measures that allow you to look unwavering, if you like—our commitment to after your customers in a more efficient and ensuring that the interests and the needs of caring way. One of the most important things the most vulnerable in our society, some of that Centrelink will be providing is a single which have been outlined, are serviced and officer point of contact for a group of custom- protected. In our view—and we believe it is ers so they do not have to keep repeating shared by a majority of Australians—it is the their story; so they do not have to keep responsibility of this government to ensure proving who they are. That is really practical that the young, the sick, the unemployed, in terms of what the customers want. (Time those with disabilities, those from migrant expired) backgrounds, aged people and those from non-English speaking backgrounds are provid- Senator STOTT DESPOJA (South Aus- ed with appropriate support. tralia—Deputy Leader of the Australian Senator Abetz—Who else is left in the Democrats) (4.18 p.m.)—I rise on behalf of community? the Australian Democrats to support the urgency motion that is before us. We certainly Senator STOTT DESPOJA—A decision condemn the job cuts to Centrelink and we has been made by the government to cut have grave concerns about the impact of the staffing levels at Centrelink, an agency which cuts to this service on a range of groups, serves seven million Australians. So when some of which have been identified in the Senator Abetz asks who else is left in the motion—families, pensioners, the unem- community—yes, eight million people is a lot ployed, young people, aged people, people of people who expect their needs and con- with disabilities; the list goes on. I find it cerns to be serviced. This has serious implica- extremely ironic that the agency that has been tions for the kind of society we live in. We charged with looking after, servicing the will have a questionable society by the end of needs of and caring for unemployed people in this government’s term of office if we do not our community is now going to see an addi- pay attention to the needs of these people. It 146 SENATE Wednesday, 11 November 1998 is a stark example of the prioritisation of the eight million Australians who rely on economic efficiency over service. Centrelink to service their needs. The business plan of Centrelink identifies This plan also, as one of its two financial three stages of development for Centrelink. challenges, says: The first of these relates to the current year of To stay in business we need to reduce our over- Centrelink’s existence, stating that in the first heads and costs. stage ‘we created a new identity with a strong Consider the implications of that phrase. What emphasis on customer service’. In the past are the chances that Centrelink could go out year Centrelink has experienced a number of of business? Does this mean that, if problems, some of which Senator Evans Centrelink does not fulfil its efficiency divi- referred to. They have affected the level of dends, it will be forced to close down? This service delivery, resulting in the highest has never been canvassed by the government, number of complaints to the Commonwealth and certainly it raises serious questions about Ombudsman of all government agencies. letting the government’s economic rationalist These problems have been directly attributed agenda dictate the delivery of vital services to inadequate staffing, inadequate resources and the implementation of policy. and poor management, not to mention being The funding of Centrelink is not guaran- compounded by the introduction of Job teed. Centrelink relies on its client depart- Network, the common youth allowance, Work ments for its funding. It does not receive for the Dole and other programs. Specifically funding directly from the government. This Job Network, I suppose, is the faultiest pro- relationship is currently under a three-year gram of them all. The introduction of these agreement, but the enabling legislation only programs has made it impossible for provides for a contract term of 12 months. Centrelink to achieve its service objectives on While it would seem unlikely that the govern- current staff levels. ment would allow competitive tendering for The second stage of Centrelink’s existence, the delivery of Centrelink’s current func- as detailed in the plan—and I note that it has tions—due to the amount spent on the estab- an economic objective in this plan—is a lishment of the agency—this government has period of consolidation from now until the never allowed good judgment to stand in the year 2001. Contrary to what might be expect- way of a cost-cutting measure. The govern- ed and what certainly would be desirable, this ment must make clear—and I hope that period of consolidation does not envisage an Senator Jocelyn Newman’s comments today assessment of the problems of inadequate are categorical—that it will not privatise staffing and resourcing and poor management Centrelink. The delivery of welfare services and a means of addressing them. Instead, it to millions of Australians must remain in relates to a period of increasing efficiency government control. through service rationalisation and cost The second financial challenge described in cutting, in a direction which would only the document says: further compromise standards and efficiency to deliver an ongoing efficiency dividend to in terms of serving the needs of those in our Government, based on promulgating best practice, community who are less well off. The aim of improving our efficiency and reducing our adminis- the agency for the coming years is not pri- trative overheads. marily to improve service delivery and better You can bet that ‘best practice’ does not refer service its clients, but it is expressed as: to service levels but to the amount which can be cut from operational costs and staffing. In the second stage of its development, Centrelink The business plan envisages that service must keep its promise of becoming a more efficient and competitive organisation. obligations will be met by two radical chan- ges to the delivery of services. These com- One might ask: who has the promise been prise, of course—as Senator Evans has out- made to? Who is it competing with? Presum- lined—a move to electronic delivery of ably it is not a promise that has been made to services with the establishment of public Wednesday, 11 November 1998 SENATE 147

Internet kiosks accessible perhaps in the same want to get the message across that there are way as ATMs. This is not acceptable. The no office closures and there are no forced minister can talk about smaller versus larger redundancies. The model was developed offices, but there is no point in having larger following extensive customer feedback, offices that have no staff. involving over 8,000 customers directly, and The organisation is currently underresour- Centrelink is moving towards case manage- ced. The staff are already expected to deal ment to give customers more personal service with a number of programs that have only and quicker decisions. Surely the minor been introduced this year—with minimal parties in this place can get their heads support, training and assistance from this around the fact that there is going to be a government. (Time expired) better service provided to the customers of Centrelink, and surely that is the criteria. It is Senator KNOWLES (Western Australia) not a case of having huge office just to (4.25 p.m.)—It is just amazing to come in provide a service. here and listen to this exaggeration of what is actually taking place being put to the Senate Isn’t it better to have more offices and more as though it is actually real. I cannot get over facilities available so that they can go face to the number of times that all of these programs face with the customer and so that they can have been structured in such a way that the actually understand their problems? One of opposition has taken things to committees and the biggest problems I think anyone has in simply misrepresented the situation. dealing with bureaucracies around the world Centrelink’s elimination of costly duplication is that you can never find the same person is something that I cannot believe that the twice. The problem is that under the Labor opposition cannot agree with. There are no government you would be given a different forced redundancies. That is at the bottom of person every day of the week. all of this. There are not 5,000 jobs that are Senator Jacinta Collins interjecting— going, and that is the problem. Had Senator Senator KNOWLES—Senator Collins Stott Despoja bothered to listen to the shrieks out—she has a voice like a fingernail minister, she would have heard the minister on a blackboard. You have a situation where give the actual figures of the jobs that are the Labor Party cannot understand what is going. But she comes in here and says that it going on in trying to provide a better service is an exaggeration. It is not an exaggeration, to people. An extra 50 offices will actually be because there are not 5,000 positions going. opened. What is wrong with that? An extra 50 The fundamental position is that there has to offices will be opened to complement the be— existing Centrelink offices in over 400 centres Honourable senators interjecting— Australia wide. The ACTING DEPUTY PRESIDENT This whole process has in fact been set up (Senator Reynolds)—Order! Senator with a 1800 customer feedback line, drawing Knowles, please continue without interrup- up a customer charter and providing comment tions. cards for customers to complete. But I think Senator KNOWLES—The problem is that that one of the interesting and most signifi- Senator Stott Despoja said that there is an cant things is that Centrelink has also been exaggeration. Senator Stott Despoja is the one trialling the personalised service initiatives, who is exaggerating. The situation simply is and these have taken the form of a one main at this stage that there are 600 still to decide contact model where customers are able to to go. Once again, there are not compulsory deal with the same Centrelink customer redundancies. There are 600 to go this year. service officer for all their business. Surely There are 2,000 to go in 1999-2000, and there that is an advantage. Why are the minor are 300 to go in 2000-01. That is the second parties in the parliament deciding that that is time that the Senate has been provided with not advantageous to the customer concerned? those figures. They are the figures that the It has been very favourably received by minister provided half an hour ago, and I just both the customers and the staff alike. Surely 148 SENATE Wednesday, 11 November 1998 that is what matters, not what someone wants Senator KNOWLES—They assisted to manufacture and just comes in here and 97,000 customers in one day, and the average completely and utterly distorts. A new service wait for service was three minutes. Once delivery model has been developed based on again, we have the minor parties over here a life events approach so that people can exaggerating about the system to try to create understand the problems that that person has. a barrier. I think this is a very good start for An example of that might include looking for Centrelink in only its first year of operation, a job, needing help after someone has died or and one would hope that it would be able to other personal matters that can relate only to have some bipartisan approach to doing better that particular person such as their planning things for the customers. for retirement. Senator MARGETTS (Western Australia) I cannot understand why the minor parties (4.34 p.m.)—Let us talk about not what the believe that that one-to-one approach—getting government thinks might occur but what is to know the person, understanding their happening. In Western Australia 180 staff particular problems—is such a bad thing. I have already gone from Centrelink in this cannot understand why they believe that financial year between July and October. opening a further 50 offices is also a bad Voluntary redundancies for the 180 cost thing. Surely that would be something that around $3.5 million, plus whatever it will cost would be applauded but, no, that too, like for their superannuation. Amongst those were everything else the government puts up, is some of the most experienced staff, some rejected by minor parties. with 20 or 25 years experience. That is often Knowing a customer’s needs clearly cuts the way it goes with these kinds of redundan- out a lot of the red tape. The red tape has cy programs. Amongst authorised review been all enveloping in terms of these people officers, at least six officers with over 100 who are in a disadvantageous position, and years of service between them left, and that here the Labor Party and the Democrats want is about half of the authorised review officers. to continue with that red tape that they can Ron MacLeod, the Commonwealth Om- clearly cut out. For instance, currently cus- budsman, reported 10,582 complaints about tomers have to prove their identity each and Centrelink last financial year, and that is four every time they present to a different custom- times the rate for the Child Support Agency. er service officer. Surely dealing on a one-to- Staff are not going by natural attrition, though one basis and removing that need for proof of conditions are now so bad that many commit- identity is advantageous. Surely one would ted people will take redundancy. say that taking advantage of the emerging The computer system, as we have heard on technologies is advantageous but, no, not the a number of occasions, is a disgrace. The opposition. move to a common platform earlier this year This whole process is designed to improve caused enormous difficulties for staff, and the what is happening out there in the real world, introduction of new systems will place addi- and the Ombudsman’s report reveals that the tional strain on reduced numbers of staff. number of complaints about Centrelink Note that the staff numbers are being reduced programs fell by 11 per cent over the last year before the introduction of new technologies, and complaints about student assistance fell so the promises about the extra accessibility by 12 per cent. This is a good start for do not coincide when the staff are going. Centrelink, in only its first year. The government promised a ‘much better Senator Crossin—People give up. standard of service delivery to community and to individuals’. Instead, we are getting long Senator KNOWLES—Someone has delays, especially on the phone—anecdotal chirped up over there that people give up. evidence of waiting times of 40 minutes not Only this Monday Centrelink call centre staff being unusual and other callers not being able assisted 97,000 customers. to get onto a line at all. It may be that some Senator O’Chee—How many? people waiting on the line hang up because Wednesday, 11 November 1998 SENATE 149 all they get is another mechanical voice when and the experience of the unemployed can there is really nobody to explain what the only highlight that. specific needs of that person are. It is not a matter of being a customer or client. That is Not only is the government adding to its nonsense. It is a matter of being an insect on current problems with this initiative with the end of somebody’s pin, and the govern- respect to the unemployed, it is indicating that ment just makes it harder and harder for those it has learnt absolutely nothing from the Job insects on the end of the pin. Network debacle. There have already been The CPSU refers to the ACOSS report of 4,000 jobs removed from the CES and that 4 November which highlights a disturbing rise has left Centrelink understaffed. That is why in the demand for welfare services due to around 50 per cent of the offices have long high unemployment. We have to remember queues. The other problem is that, in this that this is the government which is actually proposal, the highlight is the lack of any taking legal action on employment service testbedding of the proposed service delivery providers for speaking about what the prob- model. Again, it is the same problem that lems are. So there is a lot of pressure that occurred with the Job Network—exactly the these issues do not come out by workers and same problem. by those providers. The report also highlights If we look at what occurred in relation to funding cuts to welfare agencies and changes the Job Network, we will see that the basic in government policies. This will be exacer- facilities available at Centrelink in no way bated by further cuts to Centrelink. (Time adequately replace the full services previously expired) provided by the CES. Centrelink was not Senator JACINTA COLLINS (Victoria) given the resources to make up for the drastic (4.37 p.m.)—Well, excuse our scepticism, but cuts in the CES. Furthermore, funding has not we have been through the Job Network been spent where it should be. Many of the process. We know the difference between the most experienced and successful employment grand plan that is originally presented and the service providers will not be able to continue. reality face to face on the shop floor. Instead, money has been given to individuals Senator Newman interjecting— and organisations, some of whom have no facilities or are in financial turmoil or have Senator JACINTA COLLINS—Senator breached proper practices in tendering appli- Newman, the problem you have to grapple cation processes—all due to a lack of with is that you are actually in government testbedding. It seems like the government is and you are a minister. Your performance in going to make the same mistakes here. But today’s debate was appalling. You say you $7.6 million saved has been spent on an have had no complaints because shadow advertising campaign telling us that the future ministers or other members of the opposition starts in May and pretending how good it will have not spoken to you. Are you in the real be. Further money is also being spent on world? Please! It is incredible. changing the colour scheme of the remaining Let us get to the crux of what this issue offices. Tell that to the redundant employees. really is about. What the government has done is increase a one per cent efficiency We talk about technology and making the dividend by an additional six per cent. This most of new technology for better service is about budget cuts. That is what this is delivery. If that is what this were about, we about. This is not about better service meas- could applaud it, but of course it is not. ures, which the opposition would support. If Computers, phones, the Internet and one-to- this were about better service measures and one non-direct contact may generate better increasing and improving technology to service delivery if that was its purpose, but provide better services, those initiatives would the purpose here is cuts. We found with the be supported. But this is about gutting an referral process in the Job Network that agency. This is about reducing services to technology, because it was not properly those six million to seven million Australians, testbedded, was the problem. It was not the 150 SENATE Wednesday, 11 November 1998 solution, as suggested, to reducing the staff. husband has a pension. It is outrageous, but It was not a solution at all. it highlights the picket fence mentality that I refer to an article in the Canberra Times the Prime Minister has about the role of which highlighted many points. This is women. today’s editorial. I want to refer to the conclu- Senator Newman—What rubbish! sion, because we are being accused of exag- Senator JACINTA COLLINS—The gerating. I should correct the record. Senator minister might say that that is rubbish, but, Natasha Stott Despoja actually said that we unfortunately, when she has a very senior were being accused of exaggerating. She did bureaucrat who makes statements like that in not claim that exaggeration was occurring. Let the media there is no denying it and there is me refer to the conclusion in the editorial, no moving away from it. which states: From the outside it looks awfully like guesswork, If the minister says that she will deal supplemented with a lot of faith. personally with any case of any woman This might as well be advice from a psychic. within Centrelink who believes that she is Perhaps you should just rely on tarot reading, being pressured because she is pregnant or because that is the background of these because she has an older husband and she measures. might like to retire by taking the redundancy, that would be a wonderful statement to hear Senator Ferris—It did not help with your from the minister, but she has not said that. future. She has not given that commitment, and I Senator JACINTA COLLINS—I would challenge her to do so. It is absolutely ridicu- not know, Senator. What the government lous for Sue Vardon to be highlighting em- should be doing here is fixing the Job Net- ployment practices with respect to women work before making further changes in these making a good avenue for dealing with areas. But, no, what the government is doing, redundancies. as noted elsewhere in the media as well, is Senator Newman—No, she did not say simply pushing an ideological agenda. There that. is no rationality here. You are about cutting government. There is nothing here at all about Senator JACINTA COLLINS—Let me better service delivery. But the amusing read exactly what she said. She said: component in all of this is that Ms Vardon Many of the people who are leaving us are women seems to have made a complete ideological who are actually from families where there are two backflip. I am absolutely astounded at the incomes and they are quite happy to do that. comments she has made in media briefings Why are they happy to do that? Are they about how redundancies can be achieved. being asked to do that, Minister? This quote It is interesting that Senator Knowles made is in the present tense. Is the government the comment that there would be no forced asking women to leave? redundancies. I look forward to the minister Senator Newman—I rise on a point of stating quite clearly that there will be no order. This is just becoming a slur on a public forced redundancies in this debacle. I look servant, a senior official, who has in fact been forward to the first discrimination case that a quoted out of a newspaper. I saw her press woman makes when she claims that she is conference. You are misrepresenting what she being pressured into taking up a redundancy said. There is no discrimination whatsoever package to help this government meet its between men and women in Centrelink, and targets. The public statement made by Ms it is unfair to the organisation to say it. Vardon in this episode about women being a good avenue through which to make your Senator Sherry—There is no point of order redundancies is absolutely outrageous. The and you know it. Sit down! ideological backflip that this woman has made Senator Newman—You be quiet. You be is incredible. We might as well argue that the quiet, cock-sparrow. Go back to Opossum minister should stand down because her Bay. Wednesday, 11 November 1998 SENATE 151

The ACTING DEPUTY PRESIDENT campaign, and it truly does plunge the depths (Senator Reynolds)—Order! Minister, there of dishonesty. I am sorry that Senator Collins is no point of order. The behaviour in the is leaving the chamber because I would like chamber is unacceptable. to draw to her attention a couple of quite Senator JACINTA COLLINS—Not only extraordinary statements that she made in her was there no point of order but also the issue contribution this afternoon. She first talked the minister referred to in the point of order about the government making mistakes. I ask was not accurate either. I was not referring to you: how could Senator Collins talk about a statement from a newspaper, and if she had government mistakes when she belonged to a given me sufficient space I would have government that made so many mistakes that indicated where the statement came from. The all of the taxpayers of this country are still statement came from an SBS program. I do paying the price for them, still repairing the not know whether the minister herself actually economic damage which was caused by those saw the program. She can look at the SBS mistakes. She talked about cutting services. comments that were made by Ms Vardon and We are about making service delivery bet- make some future contribution on the issue. ter—something that she actually denied all From my position, those comments are an together in her contribution. She overlooked outrage, and we were stunned when we saw the facts for the sake of frightening someone them at the time. Obviously, we immediately else in the community. made sure that we had the full transcript of Centrelink is the biggest government agen- the statement. cy. It has 24,000 staff, and it very clearly was Let me get back to the issue of the Job not working to the capacity that it could have Network, which the government should now been. Who said so? Who told the government be focusing on addressing, rather than making that Centrelink could be improved? It was not further cuts, reducing services and extending a consultant; it was the clients of Centrelink more queues in another service agency. We themselves. They were asked for their views need to change the Job Network so that and they generously gave them. We are now people in rural and remote regions of high implementing the results of the feedback that unemployment do get the extra attention and they so generously gave, and thank goodness the services that they so desperately need. for that. Guarantees were made that that would occur All of us who have spoken to our constitu- with the Job Network, but that is obviously ents over a period of years—back in 1994 and not happening. (Time expired) 1995 I took calls from constituents who were Senator FERRIS (South Australia) (4.47 simply a number in the social security log- p.m.)—Labor just could not wait to get back jam—have heard stories about the hours they into this place to take the egg-beater to spent being a number in a government office, another issue and whip up the facts and whip sitting there day after day, and about the up the fiction to see who else in the com- confusing array of programs they tried to munity they could frighten. It is an extraordi- unravel. We are trying to offer a service that nary situation. During the election campaign will enable people to work with the same there was one issue after another—we saw it person all the time. They do not have to go in the paper every day once we got past the in there and say, ‘This is me. Let me tell you pages where the opposition leader was kissing my life history so, once again, you can tell fish or eating humble pie in gross amounts. me what I need to know.’ What we are about There they were beating up something new to is making that service more efficient. We are frighten somebody, some group in the com- taking a new approach to delivering govern- munity. This week their target is the six ment services—an approach which works million clients of Centrelink. more from the customer’s perspective, rather The contributions of opposition members than from the bureaucrat’s perspective. this afternoon have just demonstrated very These latest changes have been announced clearly to me that this is the latest scare as part of an ongoing process which will 152 SENATE Wednesday, 11 November 1998 reform the system and improve the overall delivering social security services was marked quality of service. Centrelink is overcoming by failure. some of the bureaucratic red tape, which the Those of us who can recall our constituency clients themselves were able to identify. work in 1993 can tell you about the failure of Clients will not have to face the confusion of the families integration project. It was a dealing with multiple staff and multiple disaster for eight long months. It produced programs—they will see the same face. The huge numbers of incorrect and duplicate minister was able to implement some of these payments. In 1995, new arrangements for innovations as a result of a visit to New parenting allowances also led to a number of Zealand where this system is working very payment mistakes, particularly to low income well. It has also been successfully trialled in families. It was a disgrace having to try to some of our most busy Centrelink offices. unravel that in dealing with those very stressed out and quite desperate constituents. What are we going to deliver? We are These problems were far worse than anything going to deliver services that the clients that we have encountered with the teething themselves have said they want. We know problems of Centrelink, which we have these reforms will work because the extensive worked very hard to try to fix up. These facts customer feedback has told us so. Clients will, are always overlooked when these sorts of I am sure, appreciate the elimination of scare campaigns are run by the Labor Par- duplication and the simplification of quite ty.(Time expired) frustrating and cumbersome administrative procedures that previously operated as a result Question put: of the old, pre 1996 bureaucratic red tape that That the motion (Senator Chris Evans’s)be operated in those offices. When we talk about agreed to. the number of bureaucrats in the old Depart- The Senate divided. [4.49 p.m.] ment of Social Security system, let us not forget that they did not actually deliver a (The President—Senator the Hon. Margaret better service. Those of us who have dealt Reid) with our constituents over the years would be Ayes ...... 34 able to tell you that. Noes ...... 32 —— Unlike the previous government, we do not Majority ...... 2 consider that it is appropriate or fair or good —— AYES enough to provide a mediocre service to Allison, L. Bartlett, A. J. J. government agency customers. We are not Bishop, T. M. Bolkus, N. complacent. We recognise that Centrelink is Bourne, V. Brown, B. a dynamic agency, and as improvements come Campbell, G. Carr, K. forward we will implement them. We are not Collins, J. M. A. Colston, M. A. locked in the Dark Ages, as the previous Conroy, S. Cooney, B. administration was, in dealing with this very Crossin, P. M. Crowley, R. A. Evans, C. V. Faulkner, J. P. difficult service delivery agency. Forshaw, M. G. Gibbs, B. Harradine, B. Hogg, J. Labor’s absolutely disgraceful scare cam- Hutchins, S. Lees, M. H. paign over the last week is particularly oppor- Mackay, S. Margetts, D. tunistic when you look at their record in McKiernan, J. P. Murphy, S. M. government of service delivery for job seekers Murray, A. O’Brien, K. W. K. * and social security recipients. The former Quirke, J. A. Ray, R. F. Reynolds, M. Sherry, N. CES cumbersome administrative processes let Stott Despoja, N. West, S. M. down young people and job seekers who were NOES at their most vulnerable. The previous admin- Abetz, E. Alston, R. K. R. istration failed to do anything about it; they Boswell, R. L. D. Brownhill, D. G. C. sat there and twiddled their thumbs and they Campbell, I. G. Chapman, H. G. P. employed more bureaucrats. Their record in Coonan, H. Crane, W. Wednesday, 11 November 1998 SENATE 153

NOES of inconsistent payments being made to a Eggleston, A. Ellison, C. person by two or more agencies and the Ferguson, A. B. Ferris, J. detection of possible tax evasion. The act Gibson, B. F. Heffernan, W. Herron, J. Kemp, R. defined the method of data matching and Knowles, S. C. Lightfoot, P. R. placed a limit on the number of data matching Macdonald, I. Macdonald, S. cycles. It gave force to data matching guide- MacGibbon, D. J. McGauran, J. J. J. lines that had been issued by the Privacy Newman, J. M. O’Chee, W. G. * Commissioner. The act permitted the use of Parer, W. R. Patterson, K. C. L. tax file numbers to assist with the verification Payne, M. A. Reid, M. E. Synon, K. M. Tierney, J. with the tax office of income information Troeth, J. Watson, J. O. W. provided by social security recipients. It also increased data matching between a number of PAIRS Cook, P. F. S. Tambling, G. E. J. government departments including Social Denman, K. J. Calvert, P. H. Security; Veteran Affairs; Health, Housing Lundy, K. Minchin, N. H. and Community Services; Employment, Schacht, C. C. Hill, R. M. Education and Training; and the tax office. Woodley, J. Vanstone, A. E. * denotes teller The date in the original sunset clause in the act was January 1993. The act was then Question so resolved in the affirmative. amended in 1992 to extend the period of that Motion (by Senator Chris Evans) agreed sunset clause. It was further extended subse- to: quently twice more. This bill before us today That the resolution agreed be communicated by completely removes the sunset clause. There message to the House of Representatives for its is, I think, a recognition now that the data concurrence. matching program is a very effective part of maintaining the integrity of the social security DATA-MATCHING PROGRAM system. (ASSISTANCE AND TAX) AMENDMENT BILL 1998 (No. 2) I wish to make no further remarks today, other than to say that obviously social securi- Second Reading ty is about a lot more than just fraud preven- Debate resumed. tion. Also, there are a range of other issues in this area that we think the government ought Senator CHRIS EVANS (Western Austral- to be tackling very seriously, but those issues ia) (5.03 p.m.)—I rise to speak on behalf of are for another day. I commend the bill to the the opposition on the Data-matching Program Senate. (Assistance and Tax) Amendment Bill 1998 and indicate that we intend to support it. I Senator STOTT DESPOJA (South Aus- must say that my staff thought it quite strange tralia—Deputy Leader of the Australian that the first social security bill that we dealt Democrats) (5.06 p.m.)—The Data-matching with had something to do with technology Program (Assistance and Tax) Amendment and, given my lack of expertise in the area, Bill 1998 amends the Data-matching Program they do not expect much of me in terms of (Assistance and Tax) Act 1990 by repealing performance. section 21. This section provides a sunset clause for the operation of the act. The effect Senator Newman—I do. of the repeal will be to remove the sunset Senator CHRIS EVANS—Thank you, clause applying to parts 1 and 2 of the act; so Minister. You obviously have more confi- these provisions will continue to apply after dence in me than my staff have. But I do 22 January next year. wish to put a few remarks on record on behalf The government in its second reading of the opposition. speech talks about keeping personal financial First of all, I would make the point that the assistance schemes free from abuse and fraud data matching program was a Labor initiative. and points to the substantial savings that have The act created a mechanism for the detection occurred over the last two years. The govern- 154 SENATE Wednesday, 11 November 1998 ment also claims that data matching encourag- On that occasion, former senator Janine es voluntary compliance. The government also Haines said in the second reading debate: claims that this measure will continue to bring It is important that we make it quite clear from the savings—and I believe those savings have beginning that this is not a debate, nor should it be been estimated at $560 million over the next turned into a debate, about whether people are four years. opposed to or are supporters of tax and social security fraud. The debate on the legislation before However, the history of this measure is us today and the alternative proposals ought to be significant and accounts for the Democrats’ about how best we combat the tax and social security fraud that is costing this country billions opposition to this bill on a number of occa- of dollars annually and how we do it without sions. There have been several debates on this excessive imposts on the rest of the community. bill by current Democrat colleagues. Senator John Woodley and Senator Meg Lees have I suggest that this is relevant to these debates been involved in this debate in the past. about privacy and compliance and data Former leader Senator Janine Haines was very matching devices today. I continue to use keen in the past to participate in debates former Senator Haines’s words: about privacy and the implications of legisla- It seems to me, however, that from time to time tion of this type. there are some double standards in that some of the most frequent calls for attacks on social security The issue has its origins in the Australia cheats seem to come from those people who have turned tax minimisation into an art form and that card debate and the expanding use of tax file more people in the community seem to be con- numbers as a de facto personal identity cerned about the $30m or whatever it is we lose scheme. The Labor government, as Senator each year to social security defrauders than they are Chris Evans has acknowledged, announced about the $3 billion that we lose annually to tax the introduction of this scheme. It was also defrauders. But I guess that that is a matter of their responsible for the introduction of legislation perspective and a question of double standards. relating to the Australia card in September They are quite appropriate words today. 1985. This was ostensibly to ‘combat tax The Labor government’s reintroduction of evasion and reduce health and welfare fraud’. the Australia Card Bill in a number of forms The Australia card concept was referred to was pretty unsuccessful. It eventually with- a joint parliamentary committee, which drew the proposal due to a lack of support. reported in May 1986. A five-three majority However, along the way, the Legal and of the committee, which included Democrat Constitutional Committee, considering Aus- senator Janine Haines, favoured an upgraded tralia Card Bill (No. 3), focused on tax file tax file number system in preference to the numbers. The significant issue in that report government’s Australia card proposal. The was that between 1985 and 1987, when the proposed high integrity tax file number was Australia card was claimed to be the only to be used in a wide range of financial trans- measure for reducing tax evasion and fraud actions and in the reporting of information to worth $1 billion annually, the Labor govern- the Australian Taxation Office. Senator ment was able to recover $800 million annu- Haines said at the time: ally through other means, such as amending taxation legislation. About that report former Social security fraud and overpayment and tax Senator Haines said: fraud, as all the evidence before the Committee Let me say categorically that neither I nor any of indicated, come mainly from the understatement of my colleagues in the Australian Democrats support incomes—for example, from not declaring income tax cheats or social security defrauders. However, in the cash economy and from the non-declaration I do question the Government’s sincerity about of interest. Aside from that, the only major compo- recouping revenue when it has inserted in various nent was outright criminal defrauding... pieces of tax law measures that allow some com- panies in this country to legally pay less than one Despite the committee’s rejection of the cent in the dollar in tax year after year after year. Australia Card Bill, it was introduced into the When the Government comes to terms with that, I Senate in November 1986 and defeated in will accept that it is far more sincere in its attitude December that year. to raising revenue than it has demonstrated to date. Wednesday, 11 November 1998 SENATE 155

I suggest that those words are still relevant tax file number system would not be extended today regardless of which government we are to other government departments and agen- talking about. cies. I quote as an example the Treasurer, After the failure of the Australia card, the who on 3 June 1988 said: Labor government introduced tax file number We have no intention now or in the future of legislation, Taxation Laws Amendment (Tax extending the basis of the tax file number to do File Numbers) Bill 1988. The Privacy Bill anything like some of the Australia card tasks. 1988 was introduced at the same time to And: ensure that any fears about intrusion or No other government or non-government and breaches of privacy were taken into account. agency will have access to the Tax Office file This legislation arguably enabled the use of number registration system. tax file numbers as a de facto identity card for As a backflip, the Data-matching Program a number of dealings with the government, (Assistance and Tax) Bill 1990 was intro- including employment and Medicare et cetera. duced on 6 December 1990 to give effect to At that time, the Australian Democrats wide-ranging data-matching measures, using expressed their concerns. We moved a num- the tax file number, between the departments ber of amendments. We attempted to increase of social security, veterans’ affairs, communi- the strength of the Privacy Bill, including, of ty services and health and employment, course, extending it to the private sector. That education and training and the Australian is another debate that is relevant today. The Taxation Office. The Labor government Democrats have argued long and hard in this claimed that this measure was necessary to place, certainly in the last parliament and counter the potential abuse of the assistance before, for the extension of the Privacy Act to and taxation systems. It was to cover the the private sector. Indeed, the government potential abuse of income support and assist- promised during the election campaign in ance payments. The bill lapsed, and a similar 1996 that it would extend the Privacy Act to bill was introduced taking into account com- the private sector. But we have seen a rever- mittee findings. sal in that promise by no less than the Prime The Democrats at that stage were concerned Minister himself. There has been an absolute that data-matching legislation should not be contradiction in the move to extend the extended to do anything like the intention Privacy Act to the private sector, despite the behind the Australia Card. The 1990 bill was fact that many in our community would like an extension of the use of tax file numbers, to see that happen. and had far-reaching effects when combined Senator Coulter, my predecessor, then with a range of subsequent bills. The scheme expressed a concern that I believe is particu- now extends to most tax, employment, educa- larly valid today: tion and training, health, immigration and ethnic affairs payments. This is a direct Once one has a number with a very high integrity, repudiation of the Labor government’s prom- which is linked to an individual and which links that individual with a number of financial transac- ise to restrict the use of tax file numbers to tions, the provision of that number leaves that tax related matters only. individual open, through the great capacity which In 1990, the Democrats opposed that bill is now available in computers . . . to the possibility that that information could be abused and misused. because there was not an examination— It could be to the detriment of individuals if that certainly not an adequate examination—of the high integrity number should fall into the hands of far-reaching effects of data-matching, and of those who have no business to have it. The Demo- course there were inadequate privacy crats are proposing that that number should be protections. The principal reason for this view known only to the individual and to the Australian was that individual autonomy outweighs Taxation Office... government control in this instance, as the tax Sensitive to the electorate’s attitude to the file number system becomes a de facto multi- Australia card when introducing this legisla- purpose identification system. It is effectively tion, the government gave assurances that the the Australia Card by another name. 156 SENATE Wednesday, 11 November 1998

The 1990 bill was only passed because of The Democrats still oppose this bill. However, the sunset clause—something that the govern- we recognise the urgency with which this ment seeks to get rid of. Senator Alston—who matter must be dealt because of the sunset was in opposition at the time—set out the clause. We will support a sunset clause for a reasons for this amendment. He said: period of another three years. We are also concerned about privacy of information held . . . we are also very anxious to ensure that the Parliament retains control of the process, and that by the Commonwealth which is outsourced is why we will be introducing a sunset clause. and which is dealt with by the government in dealings outside the scope of the present The Democrats also supported the sunset Privacy Act. On many occasions we have clause. I quote another former leader, Senator talked about the inadequacy of the Privacy Powell. She stated: Act. If the Australian Democrats had had their way this The recent Telecommunications Act illus- legislation would have ridden off into the sunset at trates some of our concerns. This act was the end of the second reading. However, as a dealt with by the Senate with the understand- compromise we are prepared to support this sunset ing that the government would be introducing clause, although we will have to wait two years. a comprehensive privacy scheme—a national, We regret that the privacy of many Australian citizens is likely to be impinged upon in that two uniform, comprehensive privacy scheme. The years. Nevertheless, the Opposition has been able government changed its mind, and that com- to bring itself to this position, in spite of its earlier prehensive privacy scheme is not in existence. opposition to the Australia Card and so on, and so We cannot now rely on the government’s we welcome the amendment and support it. Privacy Amendment Bill to extend the Priva- The sunset clause returned to the Senate for cy Act to outsourced information and self- reconsideration in 1992 in the Data-matching regulation in the private sector. Program (Assistance and Tax) Bill 1992. The Now, more than ever before—it is extra- Democrats again supported a sunset clause to ordinary—with technological advances, maintain parliamentary scrutiny on the basis computers do have the power to match unique the Labor government promised not to extend identifiers like tax file numbers to a range of the tax file number scheme and that as a other information, and of course there is the society we are not prepared to increase intru- potential to misuse that information. This was sion into personal lives for the sort of effi- the objection to the Australia Card. This was ciency that the government claims are pos- the objection not only from the Australian sible. The sunset clause was again extended Democrats but from a broad range of people in 1995. The nub of the issue here was nicely in the community, and it is our objection stated by Senator Powell on 18 December now. It was our objection then, and it remains 1990 when the Data-matching Program today. (Assistance and Tax) Bill 1990 was being We do not advocate tax and social security considered. She said: fraud. Just as Senator Janine Haines was Before turning to the specifics of the legislation claiming in the mid to late 1980s, there is no before us and the history leading up to it, I want to way that we support social security fraud. But make some brief remarks about privacy. Some- we do think that this debate involves broader times, regrettably, the privacy issue is lost in the concepts and we do think that this issue of general point scoring and dubious claims associated fraud must be balanced against the integrity with this kind of debate, but we must not lose sight of all those honest Australians, which should of the central point or of its overwhelming import- ance. The issue of privacy is necessarily one of not be compromised. competing principles. It is concerned with the role Finally, we have a double standard which of governments in the private lives of its citizens. attacks those people getting benefits as de- It is directly relevant to the balance between citizens’ autonomy and control over them. It always frauders, yet we have a system that ignores emerges in the ongoing competition between the huge sums of tax and other revenue that efficiency and the price society is prepared to pay is lost, that is forgone, from tax fraud and for that efficiency. dodgy minimisation schemes. Penny pinching Wednesday, 11 November 1998 SENATE 157 from those who are most needy in our com- agency that may be brought into the provision munity is not a happy balance when tax of services to which the data-matching pro- avoidance and dodgy minimisation schemes gram act might apply. For example, page 11 are left untouched. When the government of yesterday’s Financial Review says: enters into this debate and tackles this kind of Labor’s community services spokesman, Mr minimisation and fraud sincerely, as Janine Wayne Swan, last night described the Centrelink Haines would say, then we believe there will restructure as a "prelude to privatisation". be more sincerity to this debate as a whole. The Minister for Community Services, Mr Senator COONEY (Victoria) (5.21 p.m.)— Warren Truss, while ruling out privatisation, failed to rule out future government plans to usher in I agree with much of what Senator Stott greater competition in the delivery of welfare Despoja says. What is aimed at here is a very services, telling reporters "the future is a very, very worthy objective—that is, that there be tools long time". to enable the Commonwealth to ensure that It seems to me that there is a significant risk public revenue is not misspent. I think that is that matters will be privatised and that those an object that everybody would be dedicated matters are to do with the provision of data of to. The minister has often spoken about that individuals. If that risk is there, shouldn’t we in this chamber. The problem always is that as a parliament be ensuring that proper priva- in a free and democratic society there are cy provisions are in place before we take limits that ought to be put, and in fact are put, away the sunset clause that presently operates on the investigative tools with which we in this act? equip those people whose duty it is to look after the public revenue. Senator Newman—They are. The question always is—and this question Senator COONEY—The minister says they arises in this case—have we put enough are, but I wonder how far they go. Minister, monitors on the tools that the Data-matching perhaps you can explain this. As I understand Program (Assistance and Tax) Act 1990 what you are saying, there is in every aspect of this act—that is, the data-matching pro- allows? The answer to that might best be gramming act—provisions which ensure that given in this way. There ought to be an anything sent out to a private supplier of ability for those who are being investigated to whatever nature will be protected in the same preserve their integrity as a human being. way as any other service provided by the There ought to be some protection for that public sector. person’s reputation or for that person’s finan- ces if he or she were to be fined for some Senator Newman—Yes, that is right. breach of some act. Finally, we ought to be Senator COONEY—I was looking at that conscious of the liberty of that person if that and I was wondering where that appeared in person is likely to suffer a term of imprison- the act. ment for what he or she does against the law. Senator Newman—I believe it is under the So there are big issues in this legislation. It Social Security Act. We have used that in is a very short bill, but it does bring into other areas. operation a very useful and necessary tool but Senator COONEY—If that is so, then that a tool that ought to be tempered so that it acts would remove a lot of the problems in this as it ought to in a true society in which we area. On 21 March last year the government respect human rights and in which we respect said it would not implement privacy legisla- the proper community entitlements that tion for the private sector. I am counselling in anybody is entitled to have. this context that that intention expressed on There are some quite stringent provisions in 21 March last year by the Prime Minister that the data-matching program act to protect the government would not implement privacy privacy in so far as that may be affected by legislation should perhaps be revisited. I people within the Public Service. The diffi- notice that the government in my home state culty is that that same protection seems not to of Victoria under Mr Kennett is intent on be brought into operation against any private bringing in legislation for the private sector. 158 SENATE Wednesday, 11 November 1998

I note too that the Prime Minister at the time preserve privacy, there is an inequality in the said that the Commonwealth would not be power that is available to many people. introducing privacy legislation and said he To return to what I was talking about would be asking the states and territories not earlier, when we talk about provisions that to bring in such legislation. I am saying now help those who have the duty to detect over- that it is perhaps time for us to reconsider that payments, to detect fraud and to ensure that issue because privacy is under threat. I have the integrity of the system is preserved, when had the assurance from the government that we give them powers we should ensure that privacy, whether it is within the ability of the those powers are used and used advisedly. I government or within the ability of private think these days there are a lot of problems enterprise to compromise, will be protected by with people being affected adversely by laws that punish people who breach that media accounts of arrests, media accounts of privacy. investigations and media accounts of what is Senator Newman—Yes, they are subject to preliminary to arrests. That is unfair on all the Social Security Act as if they were an occasions, because people are entitled to have officer, as if they were a contractor to the their reputation preserved until some court, department. properly constituted, says that they should not. There is a difficulty these days when a Senator COONEY—Thank you very much lot of the information that becomes available for that, Minister. I accept that. Does that is revealed. People’s reputations are being therefore not indicate that it would be a good damaged, and that is a very bad thing. thing for privacy to be protected right across I conclude by saying that the aim of this act the board? By that I mean not only the is a good one. The removal of the sunset matters covered by the bill before us and the clause has been undertaken. I am glad to find act that it will amend but extending those out that privacy is protected, as it ought to be. provisions that apply to the private sector to The main concern is that still too often there the private sector as a whole. I understand is damage to reputations because of informa- that that is not within the minister’s particular tion being released at too early a stage. What portfolio, but this does seem to be an occa- I mean by ‘too early a stage’ is a stage before sion to raise that issue. proper process has been undertaken. In this context I would like to talk about the Senator LUNDY (Australian Capital Freedom of Information Act, because in my Territory) (5.34 p.m.)—I too rise to make a view this whole issue of privacy deals with contribution to this debate in the context of the possession of information. One of the the privacy implications. Senators opposite problems in this whole field of privacy is that will know of my keen interest in the program the privacy of some people is protected while of the government of outsourcing information the privacy of others is not. The Freedom of technology services. I believe the Data- Information Act gives great exceptions within matching Program (Assistance and Tax) its provisions as to what can be discovered. Amendment Bill 1998 provides an opportuni- It seems to me that, if we are going down the ty to comment on these matters in a reason- field of gathering more information, it should ably comprehensive way, given that privacy be information that is first of all protected. is something that I have continually expressed But, if the information is to be gained from concern about in the context of the IT some people, then it should be gained from outsourcing program. others as well so that there is some parity of The issue of substance is this: if informa- power in the possession of information. tion about Australian citizens is in the hands Because information is power. With some of the government, it is currently protected by people being able to preserve the secrecy of the Privacy Act. When that information is things and being able to preserve privacy—for transferred to the private sector, it is no example, with commercial in confidence longer covered by that act. At this stage, provisions—and with others not being able to despite very early and very strong statements Wednesday, 11 November 1998 SENATE 159 by Minister Fahey and members of the information technology is managed by the government stating that they intended to contractor as opposed to the way in which extend the application of the Privacy Act to that data is applied through the purposes and the private sector in this context, that position intent of the act. There is a different structural has been systematically wound back to the issue at play. point where the minister has indicated that it is not the intention of the government to In the international context, these matters extend that legislation in the way I have take on even greater complexity. For example, described. Instead, the government offers the the European Union have recently established notion that privacy of citizens’ information in their own scope and guidelines with respect the hands of the private sector through an to the management and exchange of informa- outsourced contract will be dealt with within tion. They have indicated they will not be very stringent contractual clauses. That is, the prepared to exchange information with com- substance of how they intend to protect the panies from countries without full legislative privacy of citizens information in an privacy protection. In the context of the outsourcing context will be contained within current IT outsourcing program and the the confidential clause of the contract. privatisations that were referred to by Senator Cooney, these issues can take on a trade In terms of public accountability and public imperative. scrutiny of the privacy regime that would Some companies have expressed some apply to that information, there is none. concern about this. An article published early Consistently when we have approached the last year in the Sydney Morning Herald government through estimates and other reported the director of the Australian Privacy processes to find out details of those claus- Foundation, Mr Tim Dixon, saying that the es—indeed, the intention of the government new move by the government would not with regard to this matter—we are continually protect citizens’ privacy because most big greeted with the claim of commercial in computer-data companies did their computer confidence. Whilst I understand that on processing offshore. I think the EU guidelines matters of competitive advantage there may in this area will start to impact directly on be an issue, I do not accept that the protection how these IT contracts are going to be man- of citizens’ privacy bears any relationship to aged. a matter that requires the claim of commercial in confidence on behalf of a given vendor Another issue is the progress in the state of who is successful in the outsourcing program. Victoria. Whilst the federal government has been reticent to legislate in this area, citing The concern with that information being in issues such as not wanting to create further the hands of private vendors—we do not red tape for companies, Victoria has seen it as know anything about those contracts—is that, being appropriate to start to legislate in this if that data is not stored in Australia and is area to afford the level of privacy protection stored physically on servers and on computer that is claimed within the community to be mainframes in other countries, does the desirable and necessary. Australian jurisdiction apply in terms of that privacy or does the privacy regime of the The other issue concerns consumers’ and country in which that data is stored apply or citizens’ confidence in the ability of the is it specifically only governed by the confi- government to manage their information dential terms of the contract? Although these effectively. It is one thing to provide a questions might appear quite esoteric in their mechanism through a contract, which in turn nature, when it comes down to it, unless they is subject to all sorts of variation and change are answered I believe there are serious gaps over time, and not have access to the actual in the government’s credibility when they provisions of that contract; it is another to state that somehow the privacy of citizens will legislate, to put into the public domain not be protected through social security or other only the criteria but also the sanctions if those legislation. It relates to the way in which the criteria are breached so that the citizens are 160 SENATE Wednesday, 11 November 1998 left in an undesirable position with regard to To conclude, ownership of the data is often their privacy. cited by the government as being something still in public hands and not affected by the The last point I would like to mention in IT outsourcing contracts. I refute this position the context of this debate is the forthcoming put forward by the government in that if you IT outsourcing contract in the Australian relinquish the strategic control of information Taxation Office. This particular request for or data held by Commonwealth departments tender was released five days before the then you also relinquish ownership and election was announced and is currently in control of that data—albeit technically the process. It would be interesting if the govern- ownership of that data may still reside in ment could provide us with the types of government hands. As far as I can see, if you provisions in the application of the data- lose strategic control of that data it may as matching process and in the requirements well be in the technical possession of the IT placed on the potential vendors within that outsourcing vendor; in other words, in private request for tender. Indeed, it would also be hands and not covered in any way, shape or interesting to backtrack over the contracts that form by any Australian legislation relating to have already been put in place with respect to privacy. the IT outsourcing program to see the relative privacy measures that have been put in place. Senator NEWMAN (Tasmania—Minister But, as I have said, none of this information for Family and Community Services and is available to the public because of the Minister Assisting the Prime Minister for the commercial-in-confidence shroud that de- Status of Women) (5.44 p.m.)—I thank scends across the contracts once they are in honourable senators for their contributions. I place. share, as I think any senator would share, the opposition’s concerns to see that the privacy As I said at the beginning of this contribu- issues are adequately addressed across the tion, this bill provides an opportunity to raise whole of government. I cannot speak for other these serious concerns about privacy. Recent- portfolios, of course, but I can speak for the ly, the Internet Industry Association sent a social security portfolio. It is important that letter to the Prime Minister outlining what I confirm, as I said by way of interjection to they believe—and I certainly support it—is a Senator Cooney, that a contractor with the very sound case for enhancing the legislative former Department of Social Security, now privacy regime to cover these new arrange- the Department of Family and Community ments with respect to information technology Services, is an officer for the purposes of the and its management by government not only Social Security Act. We have a great deal of in the context of that particular program but outsourcing of one kind or another. also in the best interests of the public in protecting their privacy and therefore having I draw Senator Lundy’s and Senator confidence in the government’s program. Cooney’s attention to a fairly recent example where it was very important that we made My position is clear on the matter of IT sure that every ‘I’ was dotted and every ‘T’ outsourcing: in my view, privacy is one of the was crossed on privacy matters, and that is very good reasons why the IT outsourcing the optical surveillance pilot. You will recall program is currently flawed. Obviously, the that we were trying to do better in obtaining best case scenario in a very damaging out- evidence that we would be able to take to come for citizens’ privacy is that there be court on people who were systematically and legislation. But I believe that a change in the deliberately defrauding the social security way that program is applied and the retention portfolio of substantial amounts of money— of the strategic control of information technol- very clever people, if you like, who were ogy services within government agencies is breaking the law. The normal procedures that the best case scenario and that that strategic we used in the department made it hard to control and ownership of the data be held in obtain the evidence. That was a case where the public hands. we recognised the need to protect privacy. We Wednesday, 11 November 1998 SENATE 161 needed to protect the information that was Bill read a second time. held in the department and that was going to potentially end up in courts. It was vitally In Committee important as to how it was all conducted. Bill agreed to. So if I give you that as an example, al- though you are not privy to the commercial- Bill reported without amendment; report in-confidence nature of the contract, you have adopted. been assured on the public record that the Third Reading Privacy Commissioner has been involved at every step of the way in devising the protec- Motion (by Senator Newman) proposed: tion of people’s privacy and the information That this bill be now read a third time. held by the department through that process. So we effectively used the Privacy Commis- Question put. sioner as a consultant in trying to establish The Senate divided. [5.55 p.m.] what sort of processes and what sort of contract needed to be put in place, and then (The President—Senator the Hon. Margaret requiring not just the successful tenderer but Reid) also each member of staff who would have Ayes ...... 45 any kind of access to the information to sign Noes ...... 8 a confidentiality agreement— —— Majority ...... 37 Senator Lundy—What about redress? —— Senator NEWMAN—I was just trying to AYES Bishop, T. M. Boswell, R. L. D. get the information on that when it was my Campbell, G. Campbell, I. G. turn to get up to speak, so I cannot give you Carr, K. Conroy, S. that, but I could give it to you later perhaps. Cook, P. F. S. Coonan, H. I want you to understand that in this depart- Cooney, B. Crane, W. ment we do focus vitally importantly on Crossin, P. M. Crowley, R. A. confidentiality and privacy matters, as you Eggleston, A. Evans, C. V. Ferguson, A. B. Ferris, J. can imagine. We are very heavily dependent Forshaw, M. G. Gibbs, B. upon IT, which we heard people talking about Gibson, B. F. Harradine, B. earlier today. Also, the records of six million- Herron, J. Hogg, J. odd Australians are in our care and we have Hutchins, S. Knowles, S. C. to be focused. Perhaps more than almost any Lundy, K. Macdonald, S. other department of state we have a very real Mackay, S. McGauran, J. J. J. understanding of the need. My experience in McKiernan, J. P. Murphy, S. M. Newman, J. M. O’Brien, K. W. K. the 2½ years I have held this portfolio has O’Chee, W. G. * Parer, W. R. been that the department and Centrelink itself Patterson, K. C. L. Payne, M. A. have been meticulous in seeing that privacy Quirke, J. A. Reid, M. E. issues are addressed. Reynolds, M. Sherry, N. Tambling, G. E. J. Tierney, J. In conclusion, while we are agreeing—and Troeth, J. Watson, J. O. W. I appreciate the opposition’s support here—to West, S. M. repeal the sunset clause, that does not mean NOES that the Privacy Commissioner’s scrutiny is in Allison, L. Bartlett, A. J. J. any way diminished. The reporting to parlia- Bourne, V. * Brown, B. ment, the reporting to the Privacy Commis- Lees, M. H. Margetts, D. sioner and the scrutiny by the parliament and Murray, A. Stott Despoja, N. the Privacy commissioner all are maintained * denotes teller as they were before. So I thank you all for your contribution. Question so resolved in the affirmative. Question resolved in the affirmative. Bill read a third time. 162 SENATE Wednesday, 11 November 1998

GOVERNOR-GENERAL’S SPEECH O’Chee’s face there, I am sure we would have chased even more away. Address-in-Reply At the end of the day, I cannot say that we Debate resumed. got a mandate on the basis of my good looks. Senator QUIRKE (South Australia) (5.57 It was a mandate on the basis of solid, hard p.m.)—When I was speaking earlier in the opposition to the goods and services tax—but debate I was developing the idea of what a I thank Senator O’Chee for the interjection. I mandate is. This seems to be an issue that a am puzzled over this question of a mandate lot of people are putting a great deal of time and my own role in here. and energy into. In essence, the case I made Senator Patterson interjecting— out this morning when I was dealing with this Senator QUIRKE—I am finishing it off, matter was that if anyone can claim a man- Senator Patterson. It is all right. Just sit there date it is the Labor Party, which received 52 and you will get it. I was worried about my per cent of the vote. position here. At least until 30 June next year, I understand, particularly on 11 November, I suppose I am Dominic Foreman. Dominic that we can look very closely at the experi- left here back in September last year. ence of 1975. Those people who are now Senator Cook interjecting— preaching about mandates and saying they have one on the basis of seats won were Senator QUIRKE—No, he is not Senator exactly the sort of people who were saying Dominic Foreman anymore, but he was then. back in 1975 that it was quite legitimate to Former Senator Dominic Foreman was elected rip up the fabric of democracy in this country in 1993. I can tell you that he was elected without any problems whatsoever and that a quite clearly on the basis that he was never mandate did not mean anything at that point. going to vote for a GST unless the Liberal Indeed, as I said before, the Liberal Party in Party won the 1993 election, which they did South Australia made much of the fact that not. Former Senator Foreman came in here they won a majority of the votes but not a and sat here. He was here until September last majority of the seats in 1989. They lectured year and I have become Senator Foreman, so my party up hill and down dale about the fact to speak. I picked up the cudgels that he left that we did not have any mandate at all here, and one of those was to oppose the because we did not have a majority. GST. I can only say that there are obviously some In the recent election, I was elected in my people, including the Prime Minister, who are own right. So, until 30 June, my riding born again mandate people. What they are instructions for my position are quite clear: I saying now is that because they have a have ex-Senator Foreman’s mandate to oppose majority of seats they have a mandate. I think the GST. Of course, after 1 July next year, I that is fallacious. I think the argument itself will have my own mandate. is wrong. I think the argument of mandate is Senator Ferguson interjecting— not on seats but on a majority of votes. Senator QUIRKE—As Senator Ferguson, Senator O’Chee—That was because of the who is interrupting now, knows very well, good looking candidates that you put up. something like 135,000 people voted for me, Senator QUIRKE—The Labor Party did and they knew quite clearly I was never going very well in the last election. It got 52 per to vote for a GST. The only confession I have cent of the vote. Senator O’Chee over there to make is that 6,000 of my surplus votes has just said that it was because of the good elected Senator Ferguson. I want to apologise looking candidates that we put up, and I think to those 6,000 constituents out there who he was referring to me. While I am thankful voted for me whose preferences saved Senator to my friend Senator O’Chee saying that, the Ferguson. truth of the matter is my face chased a lot of I want to make my case out now to Senator voters away and, had we had Senator Ferguson, if I can. I hope sincerely that, when Wednesday, 11 November 1998 SENATE 163 he comes to vote on all this stuff, he will Senator QUIRKE—I make no comment. remember those 6,000 individuals who said, I do know whether that is so or not.I do know ‘We are going to pick Senator Ferguson as that anyone who says that on the basis of 3 No. 2. We delegate that right to the Labor October they have an absolute mandate to Party to pick out who they figure would be shove this thing through, despite all the the worst, I suppose, or the best further down taxpayers’ money that was spent trying to flog the ticket.’ Senator Ferguson is the benefi- it off to the public of Australia, really has ciary of that. I hope that, when those votes another thing coming. In fact, somebody was come in here on the GST, Senator Ferguson making out a case here this morning about the will give them a very clear hearing because council of Boulia, or something like that. I there will be 6,000 people out there looking must confess I have never heard of it, but I very closely at how he votes. would say that this would be another load of ‘boulia’. With that, I think I have made my If I were to come in here either in my case pretty well. present capacity as filling in for ex-Senator Dominic Foreman until 30 June next year or Senator CARR (Victoria) (6.06 p.m.)—The in my other hat that I will be wearing on 1 Governor-General, in his speech to the 39th July next year as elected senator in my own Parliament, highlighted that the government’s right and I voted for a GST on the basis that intention was to pursue its partisan industrial there was some sort of mandate out there, I relations agenda, and nothing more clearly think 135,000 people out there could rightful- demonstrates the government’s insincerity ly feel cheated and robbed. They had a pretty than its claim that it is speaking and acting clear understanding. They had a pretty clear for all Australians. Mr Reith’s behaviour in contract with me and with Senator Bolkus. the last parliament and what he has said since We were elected on the basis that we were the election demonstrate very clearly that the not going to vote for this thing. We made it Liberals are intending to pursue what can absolutely crystal clear. only be described as a highly divisive and partisan policy with regard to the working This nonsense about the mandate has to be people of this country. very seriously looked at. I must say that the Prime Minister, in making out his case, has a In a recent speech, Mr Reith spelt out the very, very weak case. In any case, when it government’s agenda even more clearly than comes up here, the proposals will be very was explained to us in the remarks of the clearly looked at. I understand there will be Governor-General. He identified four indus- as many committees as there are senators in tries—namely, coalmining, building construc- this place. I am not sure of the current provi- tion, meat processing and the maritime— sion today. I am not involved in it. I think where he claimed there existed blockages ‘of that inflation will take over between now and a structural, attitudinal or behavioural kind the next sitting week when we have to deter- that prevent optimum workplace change from mine those things and there will probably be being achieved’. Fresh from his defeat and his two inquiries per committee. self-aggrandising war with the MUA, Mr Reith has signalled that he now wishes to turn When I first came to this place, I was his attention to meatworkers and their fami- somewhat confused because there are refer- lies. Some time in the future one expects that ences committees and legislation committees he will also be giving his attention to the and we used to just rock up to the same room CFMEU and their families. and change hats and all the rest of it. By the time this process has dealt with the GST, we In October of this year, after the election, will have had a very good look at it and a the Productivity Commission released a report very clear look at it. We will see how the under its Labour Market Research Division whole thing goes. entitled Work arrangements in the Australian meat processing industry. The issue of this Senator Carr—It will be up to 15 per cent report fits very neatly with the government’s by then. campaign to reduce the wages and conditions 164 SENATE Wednesday, 11 November 1998 of Australian meatworkers. Immediately after reductions in the relevant base award accord- the federal election, Peter Reith made some ing to the so-called no disadvantage test, statements to the meat employers’ conference. thereby reducing workers’ wages. He indicated the government would be sup- I read with amazement in the overview of porting attempts by employers to strip awards the report that the commission was not able that meatworkers had enjoyed in the first to quantify precisely the benefits of changed instance by participating in the AIRC hearings work arrangements at the firm level. That is in support of an application by some com- on page XVIII. Yet it is abundantly clear panies, including the American ConAgra, in from the reading of the report that wage costs the meat industry to remove the tally provi- in the meat processing industry contributed sions from industry awards. The minister said only about 12 per cent to 15 per cent of the that he was prepared to legislate if necessary cost of production of meat to the consumer. if the AIRC did not support the application of Yet this government is attempting to support these firms. employers’ claims to force down industry In a speech to the Country Meat Works costs by minimising returns to workers. Association of New South Wales, Mr Reith The industry’s own figures highlight that launched his assault on the meatworkers by the cost of production is made up primarily as praising the Productivity Commission report. follows: 60 per cent for the purchase of stock; Some firms such as Australian Meat Holdings 13 per cent for transport; 27 per cent for the Ltd have used the National Meat Association, actual processing of meat which includes a which covers only 30 per cent of employers, range of charges such as meat inspection, in its bid to reduce the wages of meatworkers management fees, various government charges by as much as $150 a week. They have including workers compensation and payroll attempted to change the basis on which the tax; and training and recruitment costs. The Industrial Relations Commission is able to direct return to workers—that is, wages— assess the so-called no disadvantage test in could be estimated at between a mere 12 per certifying enterprise agreements. The Produc- cent to 15 per cent of the total cost. On this tivity Commission’s report may well be used basis, and even if a worker was prepared to as a propaganda weapon by this government work for nothing—that is, if slavery was re- to suggest that the incentive payments introduced—the cost reductions to consumers scheme, known as the tally, should be re- for a kilo of beef would be some 12c to 15c moved. Clearly, that is what Mr Reith spelt in the dollar. That is a assuming you do not out in his speech of last month. actually feed your workers. The tally is a team based piece rate system If this government and certain meat com- which allows for payment based upon the panies are successful in achieving their production quotas for the number of head proposed changes, and assuming that all the processed in a meatworks. The key recom- cost savings were passed onto the consumer, mendation of the Productivity Commission a kilo of beef would be some 30c cheaper. If report is that the tally system be removed. a meatworker’s pay was slashed under these This is despite the fact that, as the report proposals, one meal of steak and chips would itself acknowledged, the tally system as probably be less than 5c cheaper. Add on a prescribed in industry awards is not widely GST that this government is so keen on and, used in the industry but rather variations of bingo, dinner becomes an expensive proposi- the tally have become important components tion certainly for you and so much more so of various enterprise agreements. Nor have for the suddenly impoverished meatworker. the report’s authors been deterred by the fact One container load of beef heading for any that tallies are one of only 20 allowable of our major markets under this proposal matters under this government’s current would see a minimal reduction in the cost of legislation. The real intent of this campaign that beef but to the individual worker such is to change the federal meat industry award changes would be catastrophic. Yet, if one so that certified agreements can be struck by listens to the government, one can almost be Wednesday, 11 November 1998 SENATE 165 convinced that all the problems faced by the industry—that is, the issue of management meat industry can be laid at the door of practices and, in particular, the operations of meatworkers. This government, straining a minority of dishonest and greedy employers, under the dual ambitions of Minister Reith who have so often endangered Australian and Minister Costello, has allowed the Pro- international markets by their unscrupulous ductivity Commission Labour Market Re- and illegal behaviour. search Bureau to be used in the production of a report which is fundamentally flawed both The Productivity Commission study dis- in terms of its methodology and its conclu- misses in an offhand manner the simple but sions. stark fact that the live export of stock has significantly increased the cost of purchasing In the first instance, the report seeks to livestock to slaughter in Australian abattoirs— draw upon what is presented as the experienc- that is, the strong growth in live export has es of five companies in an industry which reduced the amount of live animals available variously has been described as containing for slaughter in Australia, with an effect on some 209 to 315 companies producing some price arguably as significant as any other $4.5 billion of red meat per annum. This is an individual factor in the meat production chain. assertion that the Productivity Commission Yet this is the report that the government itself acknowledged when it said on page 9 of relies on so heavily to defend its case for the the report: reduction in workers’ wages within this It is not claimed that these five firms are a com- industry. plete or representative sample of the whole indus- try. It is so often the case that, when this Further, claims made in the report are drawn government talks about the need to improve upon observations largely of a select group of productivity and flexibility in response to employers. There has been no consultation international competitive pressures, it sees the with the industry union, the Australian Meat problem almost entirely in terms of the Industry Employees Union. The report simi- demands of employers to reduce wages and larly states that it is not possible to visit all conditions of workers. Modern, reputable, plants and ‘no strong conclusions are drawn mainstream employers such as SBA Foods in regarding the impact of changed work ar- Altona, Victoria, will attest to the fact that the rangements on employees’. It is stated that meat processing industry is an industry that this was beyond the scope of the study to has undergone substantive change. I recently conduct an industry wide study of plants and had the opportunity to visit the abattoir at workers. Altona, and I can attest to this simple proposi- Further, the report identifies that the study tion that there have been massive changes has no obvious point of international refer- engaged in this industry. Workers have been ence and that comparative studies of the prepared to engage in significant reorganisa- operation of meat processors in Australian tion of the production process. competitors are beyond the scope of the In the fine print of the report, we see that study. It does not identify, for instance, that, the overwhelming number of enterprises now in terms of the productivity differences be- operate with enterprise agreements which, tween Australian meatworkers and American while using a tally system, do not rely upon meatworkers, American livestock is, on a rigid interpretation of the federal Meat average, substantially larger than Australian Industry Processing) Award 1996. That these livestock. changes have been achieved is more remark- The report identifies a range of cost pres- able for the fact that they have occurred in an sures on the Australian meat industry, includ- industry which has been characterised, in the ing the costs associated with the maintenance words of the Productivity Commission itself of quality and hygiene and important ques- on page 37 of the report, by ‘open distrust tions such as industrial safety. However, it and hostility between employers and workers’. fails to address a major area of concern in the Those words clearly identify the longstanding 166 SENATE Wednesday, 11 November 1998 problems in regard to the relationship between change over the last 20 years. The number of workers and employers in this industry. jobs in the industry has fallen by 30 per cent. The report identifies the culture which was Instead of attempting to reduce the wages and built upon ‘the unpleasant nature of the work conditions of meatworkers, this government environment in abattoirs; management exploit- should acknowledge the real problems of the ation of unfair and unsafe work arrangements; industry, which include the availability of the social and geographical isolation of stock, the quality and price of stock, and the abattoirs; and seasonal employment’. Histori- changing nature of industry structure. cally, the export industry was ‘notorious for In particular, the government should turn its its poor wages, bad conditions and strong attention to the issue of increasing concentra- anti-union stance by employers’. The report tion of foreign ownership of Australian quotes studies which emphasise hard physical production, with the stated industry strategy labour, brutalising and unhealthiness. For of some new investors to remove competition workers, this is an industry in which there are from domestic abattoirs. Other factors that widespread occupational health and safety need to be considered include the quality of problems, ‘particularly infections from animal management, the levels of technology, the age disease, back strain and knife wounds’. It is of equipment, the quality assurance and against this backdrop that the changes in hygiene practices—all of which have a dra- industrial practice have been achieved, par- matic impact on the performance of individual ticularly where employers have been prepared enterprises and, ultimately, have a dramatic to enter into genuine consultative processes impact on the performance of Australian with workers and their unions. export markets. All senators who take up the claims that I see that Senator Boswell is here. I under- there need to be significant changes in stand that he has a keen interest in meat- meatworkers’ practices should spend some works. He is an owner of one himself. I am time in an abattoir. They might get a better sure he will support the remarks I am making view of what it is actually like to work in this and he will support workers who work in his industry. They might get a better understand- abattoir. I am sure he would be opposed to ing of why workers are only too happy to go cutting their wages and support American home. companies, such as AMA, in their bid to wipe The report acknowledges that the average out domestic competition. earnings in the meat processing industry are In short, the Productivity Commission not high by all industry standards and that, report is a shoddy piece of work. I have no like many manufacturing workers, meat- doubt it will be greatly misused by this workers’ real wages have in fact declined government—I trust not by Senator Boswell— over the 1980s and 1990s. It is employers which, as we saw during the MUA dispute who have retained a strong commitment to the last year, is not fussy about being careless tally system because it provides them with the with the truth. A more balanced inquiry into flexibility to employ workers on a daily hire work arrangements in the meat processing basis and reduces their costs when they stand industry would have given far greater atten- down workers with little notice. This is tion to management practices. It would have something that happens on a regular basis, identified the inappropriate actions of a given that the reliability of quality stock government that not only advances the indus- remains the industry’s most profound prob- trial claims of disreputable employers but also lem. It is easy then to understand why, con- offers them financial incentives and other trary to the assertions of the Productivity protections to continue the pursuit of their Commission’s report, the tally system is so outrageous claims. widely used within the meat processing Let me cite one example of the impact of industry. management practices in this industry. In As I have already noted, the meat process- 1997, R.J. Gilbertson’s abattoir at Grafton, ing industry has undergone considerable New South Wales, closed, leaving 245 work- Wednesday, 11 November 1998 SENATE 167 ers not only without work or income but also highly dangerous industry, an extremely owed $1.9 million in unpaid holiday leave, unpleasant industry in many regards. They are long service leave, redundancies and other proud of their work and they are highly entitlements. Recently, the meatworkers were skilled at their work. They ought to be treated forced to accept promises of partial payment with respect, they ought to be treated in a to be received in the year 2000. We have seen manner which recognises the important role similar circumstances in a number of meat- they play in this society in making sure this works from Wodonga to Mt Gambier, often country is fed. We ought to understand that with companies closing down, leaving behind this government’s proposals would do little massive debts, usually to the workers them- more than reduce the price of a steak by 5c selves, only to reopen under another guise. It a meal. is a pity we did not hear in the Governor- General’s speech more about this and the Rather than attempting to reduce the wages actions this government intends to take to and conditions of workers, we ought to be protect workers from this sort of abuse by making sure that there is a process that allows unscrupulous employers. It is such manage- workers to engage in effective consultative ment practices that those serious about reform mechanisms that do see genuine reform in in this industry need to confront. industry and which make sure that the re- wards put into industry are returned on a fair If this government were as serious about and reasonable basis. Unfortunately, from genuine reform as it claims it is, it would be what I have heard in the Governor-General’s taking steps to ensure that workers were not speech, according to this government there is treated so badly. Instead of finding sneaky, not much to be said for that way of dealing pseudo-intellectual and pseudo-academic ways with issues. to implement its anti-worker agenda the government could, in one single move, do an Work arrangements in the Australian meat enormous amount to improve the industrial processing industry, the report by the Produc- relations climate in the meat industry, and tivity Commission’s Labour Market Research indeed in all industries throughout Australia. Bureau, is a disgrace. It is unfortunate that Mr Reith has made for himself a reputation this group of public servants have been used for attacking Australian workers. He failed in the way that they have been. A careful dismally in the MUA dispute. He has made it reading of this report demonstrates just how perfectly clear, through use of documents flawed it is. I trust the government does not such as the Productivity Commission report seek to use it. Given the speech that the and other means, that he now intends to minister has already made, I am not confident pursue the meatworkers of this country. He that the government will not try to abuse the has also made it clear that he intends to work that has been undertaken by this group pursue the CFMEU and its members, who are of people. It is unfortunate that this is the way dependent upon the mining and construction in which public servants are being used by industries. this government. It is a measure that we should oppose and expose at every possible This is a measure which I expect this opportunity. parliament will debate at length. I make it perfectly clear that I intend to present these Senator BOSWELL (Queensland—Leader arguments to the parliament, to at least put of the National Party of Australia in the another view. It is all too easy for this Senate) (6.25 p.m.)—I rise on this occasion of government to attempt to demonise people, to the debate on the address-in-reply to the attempt to abuse the processes of government Governor-General’s speech to speak on and to attempt to reduce the wages and several matters of importance. I will firstly conditions of workers in such a manner that put Senator Carr right: I do not own an actually lowers living standards. These are not abattoir; I have a shareholding in an abattoir. well paid workers, these are not privileged I think 57 per cent of Kilcoy are directly or workers; these are people who work in a indirectly employed by the abattoir. They are 168 SENATE Wednesday, 11 November 1998 great bunch of workers, a number of whom the smaller towns—the biggest providers of we have had for many years. jobs in these communities. The local councils I would like to commend the government provide good secure work for their road work for implementing a Productivity Commission teams. This supports the stability of the local inquiry into the impact of competition policy schools, services, the local hotel, local shops reforms on rural and regional Australia. While and businesses. The road building teams are there is a lot that can be said on the effects on certainly professional, with years of skill and rural and regional Australia flowing from experience. competition policy, it must be acknowledged Under competition policy, once a large that competition policy must be considered in contract is lost, the team cannot be main- the context of its social effects as well as its tained. The highly skilled team breaks up, economic effects. families leave, services decrease and we see I would like to point out that our regional the decline of many rural communities. The areas are supported by having viable primary Queensland state government, under Premier industries, by having associated viable proces- Borbidge, saw fit under competition policy to sors in country towns—such as occurs with have an agreed price contract system, and the the dairy industry and the horticultural indus- Commonwealth could do the same for the try—and that the job losses that flow from federal highway system. I stress that tenders reform demands and lower prices are severe are still competitive under this scheme, but blows to rural towns. communities now feel under a real threat because of the tender on the open market What has to be looked at is who benefits system. from the lower prices leading from the re- forms. In New South Wales recently when the Secondly, I take this opportunity to refer to dairy industry was deregulated, prices went the promised referendum on the republic down by 3.3c to the farmers and by 2c to the proposal, which was decided at this year’s processors, and the retailers did not move Constitutional Convention. The National Party their prices at all. With no cost reductions to went to the convention as an united force in the consumers, the premise behind competi- favour of the present system—its workability tion reform was thwarted. and stability for continued good government Rural Australia looks forward to the ap- and democracy in Australia. The National pointment on this inquiry of a commissioner Party will be taking this position to the from rural and regional Australia and to such referendum. The National Party assures its a commissioner’s input into the inquiry. The members of this position and will make this Treasurer, Mr Costello, put out a press release matter clear when the relevant legislation saying that there would be an assistant com- comes before this parliament. missioner appointed to the Productivity Speaking of the historic Constitutional Commission. Up until this time, I do not Convention, which was held this year, leads believe that that has occurred. I asked the naturally to my final point: to honour on this Treasurer to look into that matter today, and occasion a remarkable Australian, the Rt Hon. I look forward to getting a result, to getting Ian Sinclair, and his eminent parliamentary someone with a knowledge of rural Australia career. appointed to the inquiry. The Rt Hon. Ian Sinclair retires from I wish to highlight one example of a situa- parliament after a most valuable contribution tion that could eventuate from competition of 35 years of parliamentary service both to policy which has the potential to decimate the people of Australia and to his electorate remote and smaller communities; that is, the of New England. In 1963, after two years in effect on road building operations run by the New South Wales Legislative Council, Ian many rural local government councils. These Sinclair was elected to federal parliament as road contractors are the main source of the member for New England. His achieve- outside income into these communities. In ments have been immense and cover a whole fact, the local councils are often—always in range of parliamentary service. Wednesday, 11 November 1998 SENATE 169

As a politician, he successfully contested 14 As Leader of the House from 1975 to 1979 elections in New England. Even in the last and again from 1980 to 1982, and as opposi- election campaign after his announced retire- tion leader in the House from 1983 to 1997, ment, I was very proud to have him accompa- he was an example and a lesson to us all with ny me through parts of Queensland where he his knowledge and his skill. Nowadays much received immediate recognition and respect is written, mainly critical, of parliamentary from the most extraordinary number of Aus- standards and behaviour. Ian Sinclair knew tralians. and practised the protocols and procedure of As minister, Ian Sinclair encompassed a the parliament, and he reinforced them by his vast range of portfolios. Two years after fine example. He enhanced the reputation of entering federal parliament, he was appointed the parliament by his astute use of parlia- Minister for Social Services in the Menzies mentary tactics and procedure, ensuring that government. In the ensuing years, he served the parliament functioned in its rightful way as Minister Assisting the Minister for Trade so that the high standards of parliament could and Industry, Minister for Shipping and be maintained and observed. Transport, Minister for Primary Industry, Ian Sinclair’s wonderful capacity in this Minister for Agriculture, Minister for North- area and his control and command of parlia- ern Territory, Minister for Primary Industry mentary procedure came to the attention of all again, Minister for Special Trade Representa- Australians when, with the Labor Party’s tions, Minister for Communications and elder statesman Barry Jones, he jointly Minister for Defence. His contributions to chaired this year’s historic Constitutional executive government and to these portfolios Convention; they both conducted themselves were considerable, and his many contributions in an exemplary manner. It seemed a fitting are no doubt still felt today. conclusion to a distinguished parliamentary In opposition, he went on to hold shadow career that he should become the Speaker of ministry positions for primary industry, the House of Representatives. defence, trade and resources, and special With his being a member of the National minister of state. He also led many parlia- Party, tribute must also be paid to the contri- mentary delegations for Australia with great bution he made as a grassroots rural politi- dignity and has chaired many committees. cian—as the member for New England for Ian Sinclair, as well as being an outstanding over three decades—and to the genuine minister, is also known for his pre-eminent representation he gave to the constituents of capacity in the parliamentary arena. His his electorate. It has been to the National knowledge of standing orders and his conduct Party, the junior member of the coalition and in parliamentary proceedings is an inspiration the party that has both an important and hard to all parliamentarians. role to play in representing rural and regional Many of us can remember the day—I think Australia, that Ian has made such an enor- it was in the early seventies—when Speaker mous contribution. Cope ruled that one of the Labor government Ian Sinclair was deputy parliamentary members be dismissed from the parliament. leader of the National Party for 13 years: We were all listening to the wireless at that from 1971 to 1984. As our parliamentary stage because it was the time of the Whitlam leader from 1984 to 1989, he was never able dismissal. That motion was not moved by the to occupy the position of Deputy Prime Leader of the House. Instead, it was Ian Minister—which is accorded to National Party Sinclair from the opposition benches who got leaders in government—but was responsible up and moved that the question be put that for steering the party with great strength the services of that particular member be through difficult periods in opposition occur- dispensed with. Even members of the Labor ring after years in government. Throughout Party acknowledged that that was the best unique and testing times, such as the ‘Joh for piece of tactics they had ever seen on the Canberra’ campaign and a short period out of floor of parliament. coalition, Ian Sinclair has been known for his 170 SENATE Wednesday, 11 November 1998 great dignity, strength and immense capacity. People went to the polls to vote on a GST His strength of character enabled him to after being told by the government that the continue as a valuable contributor to the finer details about the impact of the GST on National Party after being succeeded as health would be decided by this committee. parliamentary leader. That included issues such as what medication Ian Sinclair’s political career has seen its was exempted from GST payments and what down periods, such as his intense personal was not. The catch-all phrase used in the scrutiny in the late 1970s and his replacement initial government documentation was that as party leader. The calibre of the man is prescriptions would be exempted from a GST. tested in adversity. Ian Sinclair, who could There was no mention of over-the-counter have walked away after losing the leadership, medication. So the aspirin, Panadol, cold and chose to stay to contribute in policy areas as flu tablets and the cough mixtures are an a shadow minister. He became in turn not unknown quantity. I suspect from my inter- only the father of our party but the father of pretation of the government’s material that the House of Representatives. Ian Sinclair has they are subject to a GST. One way of avoid- spanned the period from Menzies to the ing that will be for some people to go to the Howard government. That is a remarkable doctor and get a prescription. However, that journey through Australian history and one he just adds to the health costs in another area. has conducted in an outstanding way. I had a woman ring my office late last week This is such a significant occasion that I because she has a hearing problem. She wants would not like it to pass without acknowledg- to know whether the batteries for hearing aids ment of the outstanding contribution that Ian are going to be GST exempt. The batteries Sinclair has made to our party, the National used in her hearing aid are also used in Party, this parliament and our country. I also electronic toys, cameras and other types of acknowledge the contribution and fine pres- equipment. Such equipment is not considered ence during his career of his wife, Rosemary, essential in the same way that a hearing aid and his family. is. But how do you differentiate at law to Senator WEST (New South Wales) (6.38 make a battery for a hearing aid GST neutral p.m.)—In rising tonight to join in this debate, or free, or whatever term they will use, and I will be critical of what we heard yesterday. a battery for a kid’s toy subject to a GST? I do not mean that as a reflection upon the That is a very interesting conundrum that Governor-General, because he was not the those drawing up this legislation will have to author of the words spoken. I want to be work out. The same battery can be used in critical of this current new government. It two different items. I would contend that one won the majority of seats but not the majority is essential for enabling people’s daily living of votes. It is well worth remembering that in to be as normal as possible while the other is the upper house the majority of votes were for pleasure. That does not strike me as very easily won by those parties—the Labor Party fair. and others—that either totally opposed the These are not minor issues. They are major GST or opposed significant portions of it and issues when you consider every item that will wanted inquiries. That is something this have to be looked at for this GST. These government needs to remember. It is very questions should be asked in this inquiry. apparent from moving around the country and How long is the inquiry going to last? It will listening to people in rural areas that there are last three weeks. The government has allowed grave concerns about the impact of the GST Mr Vos three weeks to come up with all the on people. answers to all the questions arising from—I We were told by the Prime Minister when was going to say the Fightback! document, the tax package was announced that there but that is history—the document the govern- would be all these opportunities for consulta- ment went to the people with. People were tion. There would be a committee that would not told how they could make a submission. decide the finer details of the GST package. Submissions were not called for. People were Wednesday, 11 November 1998 SENATE 171 just told that there was going to be an inquiry detail. There are certainly some very good and that submissions would be welcome. questions being asked. The St Vincent de Paul They were not told how they would make a Society in a press release of Sunday of this submission or to whom or what contacts they week deplores the lack of compassion for the should be using to make that submission. It poor in the GST, and asks: where is the is grossly unfair, but they are the sort of compassion and concern for the welfare of shenanigans this government is obviously low income earners in this country? That is going to get up. the sort of question that this government has We should have known the inquiry would got to answer. be short-lived because the Prime Minister It is also interesting that the Bathurst promised us before we rose in late July that Anglican synod held in the middle of Septem- there would be plenty of time for people to ber this year, during the election campaign, scrutinise the tax reform package before he passed a resolution about churches and the called an election. Given that there were GST. It said: about three weeks for that to happen, we That this synod: should not be surprised that he considers three 1. encourages Anglicans to responsibly engage weeks a lengthy period for a full-blown in community debate, inquiry into something that will answer all the 2. recognises that the churches, along with other fine details of the GST. But it is not adequate community organisations, may have to share the time for people to understand and compre- cost of delivering a more just taxation system, hend. People looking at the issue are suddenly 3. while stating its aim to engage all sides of raising questions as to what is in and what is politics equally, acknowledges the extent of the out. The general public as well as organisa- change implied in the Coalition Parties’ Tax tions need to know what is in and what is out. Reform Package, and therefore encourages western New South Wales Anglicans to seek opportunities This government is in obscene haste to get to ask the following questions of coalition candi- this legislation through so that its mates at the dates before the October Federal Election, big end of town can have huge tax cuts while 4. requests Bishop-in-Council to arrange means the average poor worker will receive much of monitoring the introduction of the Government’s lower tax cuts. It is in obscene haste to help tax reforms and authorises the Bishop-in-Council its mates. to be involved in appropriate representations to the government. I find it absolutely disgusting that someone on my income of around $100,000 a year is The questions are: going to get an additional $63 a week under A. 1. For the purposes of the GST, is the funda- this government’s tax cuts, while somebody mental unit of the church, the Parish or the Dio- on $20,000 to $25,000 a year, raising a cese? If the latter then, family, is going to get $2 or $3, in that sort 2. Is the church fete considered to be a ‘commer- of range. That is an obscenity. I and people cial activity’ for the purposes of the GST? on incomes of $100,000 do not need an 3. Is an on-going church ‘Op Shop’ considered additional $63 a week when you compare it to be a commercial activity? with the assistance that has been given to 4. Is a church bookshop considered to be a pensioners and to people with very low commercial activity? incomes. As I said, I think it is an obscenity B. 5. If however, the parish is the fundamental unit and the parish opts NOT to register as an that this government can say that this is tax entity for GST purposes (i.e. so that any commer- reform and tax progress. This is reform for cial activity will not be required to charge GST) the rich; it is not reform for the people for how will it then reclaim any GST paid on inputs, whom life is hard, who have to scratch and for example when it purchases stock for its book- eke and save every penny that they get. But shop? this is what this government does. 6. It is quite common in parishes for people in rural areas to make produce (e.g. wheat at the silos, They will not allow anybody any time to cattle at saleyards, fruit or vegetables) available to scrutinise the package, to look at the finer the parish for fund-raising purposes. Is this com- detail and to ask questions about the finer mercial activity? 172 SENATE Wednesday, 11 November 1998

C. 7. If the parish is not subject to GST on Discrimination and vilification on the basis on materials purchased for worship (e.g. for commun- religion and belief discourage participation in the ion supplies, stationary for pew sheets, etc.) and is community and may infringe the right to freedom not registered as an entity for GST, how will it of religion and belief. reclaim the GST it pays on such inputs? At the 1996 census, 74 per cent of Australians 8. What assistance will be given to the church to indicated a religious belief and some 70 per assist with its compliance costs associated with the GST? cent said they were Christians. The census also highlighted the breadth of beliefs and That is just one synod’s questions that they systems of belief, with over 100 identifiable want to have answered. I would suggest religions and beliefs. As a multicultural though that we know that if they do not society, Australia welcomes this richness and register as an entity for the purposes of the diversity, respecting these religions and GST, they pay the GST and they cop it sweet. beliefs. They cannot claim any of it back. That answers that question for them. But that is not This report recommends the development of the sort of thing that they want to hear be- a religious freedom act which would prevent cause they, with the op shops and those discrimination on the basis of religion or organisations, run a significant social assist- belief, except in certain specified circum- ance and charitable organisation and provide stances. The report also addresses a number support within that framework, and this would of other matters, including indigenous heri- impact very markedly upon that charitable tage, indigenous burials, autopsies, medical framework and on the charitable work that procedures and female genital mutilation. The they do. report also recommends the states and the territories should repeal their laws which If they are going to be charged the GST, it make witchcraft, fortune telling, sorcery and is going to impact upon the poor people and enchantment a crime. the low income people of this community and the communities in Australia even more. This I certainly believe this is a timely and is a government that does not care about the welcome debate for the Senate because we battlers. Its definition of a battler is ‘some- need to work towards recognising this diversi- body on average weekly earnings,’ which ty and including a recognition of these rights means people that are at least earning 75 per in our laws. However, tonight I would like to cent more than the average Australian. commend the Human Rights and Equal Opportunity Commission for addressing these Debate interrupted. issues and suggest the Senate should recog- DOCUMENTS nise this good work. I also want to provide the Senate with a concrete example of why The ACTING DEPUTY PRESIDENT our present laws need to be revisited. (Senator Murphy)—Order! It being 6.50 p.m., I now move to consideration of govern- Australia is home to some 200,000 ment documents. Buddhists. This is one of Australia’s fastest growing religions and reflects over 70 differ- Human Rights and Equal Opportunity ent ethnic groups in our community. Another Commission group of increasing importance in Australia is Senator STOTT DESPOJA (South Aus- those who have been influenced by Bud- tralia—Deputy Leader of the Australian dhism. The same may be said of many other Democrats) (6.50 p.m.)—I move: religions such as Islam. This means we have a significant group of non-Christian believers That the Senate take note of the document. in Australia and these numbers are increasing. I rise to speak on document No. 4—Attorney- This group of people in Australia find our General’s Department, Human Rights and existing laws are set out to meet the needs of Equal Opportunity Commission, Article 18: the historical Christian beliefs and values. We freedom of religion and belief. The report need to review our laws to make sure that points out: these different beliefs and religions are re- Wednesday, 11 November 1998 SENATE 173 spected and that we all welcome this richness ly has been on a number of occasions since and diversity. I have been in parliament. I think it is worth Buddhists’ beliefs about death and dying while looking at whether or not we should are different to traditional Western attitudes have a bill of rights. which form the basis of our present laws. I notice Mr Sidoti, the Human Rights Buddhists believe that the state of mind at the Commissioner of the Human Rights and moment of death is all important. This re- Equal Opportunity Commission, recommends quires the maintenance of a peaceful and calm that there be an act introduced called the atmosphere during and after the moment of Religious Freedom Act which ‘amongst other death and leaving the body undisturbed for things, recognises and gives effect to the right some time after death. In contrast, our present to freedom of religion and belief’. So he says laws assume that a person has ceased to exist there should be legislation. We have already or to have any particular rights as soon as got legislation against discrimination on the clinical death takes place. This is significant grounds of disability, race and sex, so there in our present dealings with people and is a growing pattern of legislation which should be taken into account when drafting, replaces, if you like, or sits in substitution for for example, our autopsy laws. a bill of rights. This is an important issue because we seek to have freedom of religion and belief in our The issue of a bill of rights is not a simple society. To achieve this we need to make sure one. The legislature itself can be a powerful that our laws are inclusive. I would welcome tool to make sure that legislation respects further debate and review of this in Australia. freedoms. In that regard, the Scrutiny of Bills These are matters for the Standing Committee Committee is very good at identifying breach- of Attorneys-General. The Democrats look es of civil liberties, those sorts of things that forward to its consideration of these matters. are set out in the International Covenant on Senator COONEY (Victoria) (6.54 p.m.)— Civil and Political Rights, and bringing them For the second time today I follow Senator to the attention of the Senate. The Senate at Stott Despoja. Again I accept the sorts of times does things about it. Ministers certainly things she has said. The Human Rights and do things about it. That is to be praised. So Equal Opportunity Commission report entitled the issue of a bill of rights should be dis- Article 18: freedom of religion and belief is cussed again and again and should be dis- a good and timely report from Chris Sidoti, cussed in the context of how the legislature the Human Rights Commissioner, sent to the itself and the executive too can ensure those Attorney-General in July of this year. It is an rights which we regard as fundamental and interesting report because it touches on which are set out in the International Coven- section 116 of the constitution, which says ant on Civil and Political Rights. that no religion shall be established in Aus- The issue arises: is there any sort of reli- tralia. That means that, in contrast with the gious oppression or religious prejudice in situation in England, there will be no religion Australia? When I picked up this report, the that is identified with the establishment—that first thing that came to mind is we have not is why the word ‘establishment’ is used—with got the sort of thing here that you may have the system of government, that operates in in the Middle East or in Northern Ireland and this country and it prohibits the free exercise it is really not an issue. But there are matters of any religion. that this report raises which should give us In so far as there is a bill of rights in concern as Australians. There is, for example, Australia, I suppose this could be an example a matter in relation to Muslims. The Islamic of where we have a particular right set out in Council of Victoria had much to say about the constitution. This matter does not apply to the situation there. It said that particularly the states and it raises the question whether or during the 1990 Gulf crisis there was preju- not we should have a bill of rights. This dice against people simply because they were question is raised again and again—it certain- Muslims. That is a very bad matter and it is 174 SENATE Wednesday, 11 November 1998 something that we should take up and discuss discrimination, but this decrease in the num- further. ber of complaints reflects that it is important Senator PATTERSON (Victoria— for us as Australians to continue to debunk Parliamentary Secretary to the Minister for the sorts of myths that were around during the Immigration and Multicultural Affairs) (6.59 past 12 months. I am very pleased to say that p.m.)—I wish to make a couple of comments I think the results of the election were a true on this Human Rights and Equal Opportunity reflection, especially in Victoria, of the very Commission report. In an article in the Can- tolerant society that Australia has. I seek berra Times regarding a barn contractor, leave to continue my remarks later. under the headline ‘Complaints to Ombuds- Leave granted; debate adjourned. man down eight percent’, it is reported that complaints were down to the Ombudsman. Australian Meat and Live-stock Similarly, in this report complaints are down. Corporation There is a report that complaints under the Senator FORSHAW (New South Wales) Racial Discrimination Act have fallen by (7.04 p.m.)—I move: more than a third over the past year. That the Senate take note of the document. Andrew Bolt, in an article in the Herald- This report is significant because this is the Sun, says that in the report the Human Rights last report of the Australian Meat and Live- and Equal Opportunity Commission com- stock Corporation. The reason it is their final ments that the figures are incongruent with report is that, under the new arrangements the anecdotal evidence and feelings on race that were approved in the sessions of the last issues, which have seemed more heated than parliament, the Australian Meat and Live- ever. He regrets that the commission talks of stock Corporation will cease to exist and will anecdotal evidence, because the number of be replaced by a new industry structure— complaints are down. In some ways I would namely, three new companies. Those com- have to agree with Andrew Bolt. I think it is panies will be owned by the industry—that is, important that those figures are down, given the producers, the processors and the live the heated climate we had during the last 12 exporters. It represents the culmination of a months and given the debate that we had in process of change put in place by the previ- the community. I was very proud that One ous Labor governments as far back as the Nation’s vote in Victoria was so low. One early 1980s. Indeed, the report in its overview Nation was a party that really fired things up. reflects upon the achievements of the industry It used racial issues and immigration issues in and the major difficulties faced by the indus- debates in a way that most of us here in this try over the last 10 to 15 years. Those of us chamber—almost to a person—did not ap- who have watched developments in the prove or agree with. Yet those complaints industry—no doubt people like Senator have gone down. Macdonald in a broader capacity in terms of It may be that anecdotally some people may the commodity sector generally—can recall say there was an increase in some acts of the difficulties that have confronted the rural discrimination but they were not reflected in sector all those years. That has been the case that annual report, and I think that is some- particularly in our beef and sheep meat thing which we can celebrate. Hopefully it is industries. a reflection of the fact that, despite the issue We have battled and we continue to battle being raised so publicly, despite what seemed against unfair subsidies, subsidy regimes and to be a heated debate, people were not discri- market lockouts that occur by some of our minated against and this is a true reflection of trading partners. It has been a constant battle the tolerance that we in Australia take pride over the years. The report notes that back in in towards people in our multicultural com- 1985—and my recollection is that it was munity. under the then minister, John Kerin—the new It is important that we look at this report. direction for the beef and sheep meat industry There have been two proven cases of racial commenced. That new direction sought to Wednesday, 11 November 1998 SENATE 175 pursue goals of improving and protecting meat industry work well. It will do this by access to our export markets, of improving management and by those that trade in meat the marketing systems of the industry, of getting on well and by those people then supporting the industry’s meat and livestock getting on well with the union. products through promotional and advertising I understand that at the moment there is a activity, and of improving our market intelli- contest before the Industrial Relations Com- gence. mission about the basis upon which people in Any fair assessment of the industry would the meat industry are to work. I do not want recognise—as indeed this report recognises— to anticipate anything that will go on there, that some tremendous achievements were nor do I want to interfere in any way with made. I have to say that all of those achieve- what may presently be being discussed before ments were made under the previous Labor the commission. But I know there is a will- governments. This report notes the great work ingness on the union’s part to be very co- that was done leading to liberalisation of beef operative in this field. It would be a pity if imports into Japan in 1988. It also notes the people were to attempt to create in the meat agreement reached—known as the Kerin- industry what was created in the Maritime Anderson accord—which related to access Union earlier this year. There are at times into Asia and the European Union markets. signs that that might happen as people de- These were achievements of the then Labor mand more and more of the workers in the government under great primary industry meat industry and expect to pay a little less. ministers such as John Kerin and his succes- That is a bad thing. sor, Bob Collins. This is the record. It is there in this report. What must happen not only in the meat industry but also through industry as a whole But when you hear members of the is the development of a culture of cooper- government speak on the subject, you would ation, and people must listen to each other. I think that nothing had ever been achieved. think there is a change coming about in the The reason the beef and sheepmeat industries workplace towards that objective. As I say, stand in a position today that culminates in inspired by what Senator Forshaw had to say, the establishment of these new bodies with I wanted to get up and make those few industry support and with government support remarks. I seek leave to continue my remarks is because of the groundwork done under the later. Labor government at that time: the great work that was done in the Uruguay Round and the Leave granted; debate adjourned. work that was done in pursuing actions through GATT in order to get liberalised trade Australian Fisheries Management arrangements with our second most important Authority Asian market—Korea. (Time expired) Senator O’CHEE (Queensland) (7.13 Senator COONEY (Victoria) (7.11 p.m.)— p.m.)—I move: I want to say a few words on the annual That the Senate take note of the document. report of the Australian Meat and Live-stock Corporation after being inspired by Senator It is appropriate to make some observations Forshaw, who has been an outstanding contri- about the operation of the Australian Fisheries butor to this chamber over the years, particu- Management Authority because there is grave larly in this area. concern as to the method being used by AFMA to manage our fisheries. I want to take Senator Forshaw—And will continue to one example, which is the Northern Prawn be. Fishery. The Northern Prawn Fishery spans an Senator COONEY—And he will continue area from the Torres Strait to the top of to be. In future times I shall listen to the radio Western Australia. It is a very substantial area and hear him as minister talking about all of Australia’s waters. In a given year, there is sorts of issues. This is a very important a reasonable—but not a huge—quantity of industry to Australia. It is important that the prawns taken out of those waters. The prawns 176 SENATE Wednesday, 11 November 1998 that are taken out are invariably banana fishery should be reduced, let alone agreeing prawns, tiger prawns and Endeavour prawns. with AFMA on the mechanism by which that The Australian Fisheries Management effort should be reduced. That, too, is highly Authority is proposing that the catch in the contentious. Northern Prawn Fishery be quite substantially This is not the first time in recent years that reduced. Honourable senators such as Senator AFMA has been found to be wrong. It would McKiernan who have been here for some time not be the first time that AFMA has been will well recollect that about eight years ago forced to change its position because the we went through a process of reducing the industry or the public or other people have Northern Prawn Fishery, and it was done by challenged AFMA’s so-called science. It is agreement with all parties. my belief that it is appropriate that AFMA go Senator McKiernan—A buyback. back and re-examine their research and take Senator O’CHEE—Yes, it was a buyback. additional time to look at issues such as what But everybody agreed to it because it was are the spawning and recruiting areas for necessary at that time to reduce the effort. these species of prawn before they come to a AFMA is now saying it is required that we rash decision to buy back people’s entitle- reduce the effort even further, because it ments to fish. Because if people’s entitlements believes that the stock of prawn in the North- are brought back they will never be replaced ern Prawn Fishery is being fished out. and you will invariably drive good people out of an industry which at the moment is con- Unfortunately for AFMA, in each of the last tinuing on a sustainable basis. I seek leave to three years the catch of prawn has increased. continue my remarks later. I know that with an increase in catch it does not necessarily automatically follow that there Leave granted; debate adjourned. are sufficient reserves there. But what you National Competition Council have to remember with prawns is that the life cycle is usually no more than 14 months. So Senator MARGETTS (Western Australia) if the stocks of prawn were being fished out, (7.18 p.m.)—I move: it is unlikely that you would manage to That the Senate take note of the document. increase the catch for each year over three In the brief time that seems to be left, I bring years. Allowing for increases in technology, to the attention of honourable senators a very it still would not be possible if, in fact, there interesting section in the document called was too much effort going into the fishery. So ‘Setting the scene’ which outlines some it stands to reason that we should query the recognition of the problems I have been effort that is being put into AFMA to reduce trying to talk about for the last four years in the total catch out of this fishery. relation to national competition policy. I It is my belief that the increase in catch in would like to speak further about this when each of the last three years compels us to say there is more time. It is very important that that maybe AFMA is wrong in saying that the there is action on these acknowledged con- prawn fishery is being fished out. Maybe it is cerns and that those concerns in the communi- the case that AFMA needs to do more re- ty are not just brushed aside on the assump- search. But it is certainly the case that if a tion that any benefit from any deceased prices government authority is going to recommend in the community is necessarily a result of to a minister that legislation be brought national competition policy and that any costs forward to take away people’s right to fish in associated with national competition policy a fishery, a right for which they have paid, cannot possibly be associated with national then AFMA should have its science refined to competition policy implementation. There such an extent that it is irrefutable. I do not does need to be a concerted effort to take believe that is the case. There is a very these seriously, to look into the issues and substantial portion of the prawn fishing find out what changes need to take place in industry which does not agree with AFMA on order to address them. I believe this requires the simple issue of whether effort in the a moratorium on the unrealistic timetable of Wednesday, 11 November 1998 SENATE 177 the implementation of national competition Taxation Reform: Mandate policy. I seek leave to continue my remarks later. Federal Election Senator HEFFERNAN (New South Leave granted; debate adjourned. Wales—Parliamentary Secretary to Cabinet) Consideration (7.20 p.m)—May I take this opportunity to The following orders of the day relating to congratulate you on your election as a senator government documents were considered and for the ACT. With the coalition back in not debated: government, the opening of parliament yester- day marks a significant period of reform in Dairy Research and Development Corporation— Report for 1997-98. Motion to take note of docu- Australia’s history. On 3 October Australians ment moved by Senator Forshaw. Debate adjourned voted for a continuation of the Howard till Thursday at general business, Senator Forshaw government’s sound economic management— in continuation. management which has kept at bay the Asian Australian Dairy Corporation—Report for 1997- economic crisis. 98. Motion to take note of document moved by During the five-week election campaign I Senator Forshaw. Debate adjourned till Thursday visited 42 seats in New South Wales and the at general business, Senator Forshaw in continu- ation. thing that struck me most there was the general recognition of the need for tax reform. Rural Industrial Research and Development Corporation—Report for 1997-98. Motion to take Australians voted for tax reform to end the note of document moved by Senator Forshaw. unfair tax burden on middle Australia. They Debate adjourned till Thursday at general business, rejected Labor’s bandaid approach to tax Senator Forshaw in continuation. reform, particularly their retrospective capital Fisheries Research and Development Corporation gains tax slug, which would have especially and Fisheries Research and Development Corpora- penalised Australian family farms. tion Selection Committee—Report for 1997-98. As a government and as individuals we Motion to take note of document moved by Senator Forshaw. Debate adjourned till Thursday at general know the commitments made to our elector- business, Senator Forshaw in continuation. ates and we are here to honour them to ensure Pharmaceutical Benefits pricing Authority— a bold future into the 21st century for all Report for 1997-98. Motion to take note of docu- Australians. Despite the knowledge that tax ment moved by Senator McKiernan. Debate reform is crucial for the future funding of adjourned till Thursday at general business, Senator essential social services, the opposition and McKiernan in continuation. the Democrats will no doubt attempt to scuttle Pig Research and Development Corporation and the government’s commitments for no other Pig Research and Development Corporation Selec- reason than opposition’s sake. Nothing illus- tion Committee—Report for 1997-98. Motion to trates this clearer than Gareth Evans’s letter take note of document moved by Senator Sandy to Professor Garnett of ANSTO on 11 May of Macdonald in continuation. this year, 1998. He wrote: Meat Research Corporation—Report for 1997-98 (Final report). Motion to take note of document I am afraid that the realities of politics in an moved by Senator Forshaw. Debate adjourned till election year, and in particular our need to win Thursday at general business, Senator Forshaw in Hughes, have led us to a position of opposing a continuation. new reactor at the Lucas Heights site—as difficult as that may be to justify in objective safety-focused Australian Pork Corporation—Report for 1997- terms. 98. Motion to take note of document moved by Senator Forshaw. Debate adjourned till Thursday And I have to say that he would have to be at general business, Senator Forshaw in continu- a dope to write the letter. Just as Labor were ation. prepared to ignore sound advice for political expedience, they will put the nation’s econ- ADJOURNMENT omy and the government’s ability to provide The PRESIDENT—Order! It being 7.20 essential services at risk. p.m., I propose the question: The Democrats will come in here and claim That the Senate do now adjourn. their own mandate. The Democrats’ election 178 SENATE Wednesday, 11 November 1998 campaign was arrogant. The inference in their the name of the New South Wales ALP campaign that they or One Nation should Secretary, John Della Bosca. When ques- control the Senate was arrogant. The Demo- tioned, the One Nation person explained that crats say they could now claim a mandate on the two pieces of material were delivered to the GST with only 8.46 per cent of the vote. the booth prepackaged together. Labor pro- That is a misguided conception, particularly fessed to take the high moral ground in in light of a major polling study conducted by relation to One Nation and then did dirty the Liberal Party on 3 October which showed deals to get their man over the line. I seek that only 13 per cent of people who voted for leave to table evidence of Labor’s hypocri- the Democrats cited the GST as a reason for sy—the material that was prepackaged in a voting Democrat. I ask the Democrats not to deal with One Nation in strategic booths. be deceived by their hallucination of a man- Leave granted. date nor use the 1.1 per cent of the voting population to hold the country and its people Senator HEFFERNAN—On the Central to ransom. Coast, former senator Belinda Neal thought she would try her hand in Robertson. There It is well known that Labor will do what- is no harm in trying, but she need not have ever it takes to win government. But it did bothered. No matter how many maritime not quite work this time. Over coffee and soft unionists poured in there and no matter how candlelight, Labor promised Cheryl Kernot a much money and time John Della Bosca sure bet. Too bad if the local electorate did poured in there, contrary to sound political not want her imposed upon them. The Labor judgment and much to the distress of the Left Party were lucky with this one, but a fat lot in New South Wales, nothing worked. Resi- of good it will do them. If her advice as dents know that Jim Lloyd had delivered leader of the Democrats to Senator Woodley many social benefits to the families on the is any guide—that is, to ‘stay out of the bush Central Coast and would continue to represent because there are no votes there’—her com- their interests in Canberra. mitment and understanding of the bush is nil. Labor has written off the bush with the In a similar fashion, Maggie Deahm was a appointment of Cheryl Kernot to her portfolio. reminder to voters in Macquarie why they voted for Kerry Bartlett in 1996. She was part Unlike Labor and their self-confessed of the Keating crew who increased their cost uninterested regional spokesperson, our of living by increasing taxes when it had commitment to rural and regional Australia is promised it would not. They knew what we reflected in a wide range of initiatives, includ- knew: you cannot trust Labor. Kerry has ing rural transaction centres, a $3.5 billion worked hard for the people of Macquarie and initiative in our tax reform plan to slash the they wanted him to keep on doing it. cost of fuel and a $70 million boost to the $250 million Regional Telecommunications The hard work of Jackie Kelly, Ross Infrastructure Fund. The coalition is well Cameron, John Fahey, Joanna Gash and Garry aware of the difficulties of the bush and Nairn—in conjunction with good local cam- pledges itself to assist the bush through these paigns and a well-managed state campaign— difficult times. meant that New South Wales held the line. Labor were not so lucky in New South On behalf of my New South Wales col- Wales with their big names. David Hill was leagues, I wish to welcome to parliament doing so poorly in the seat of Hughes against Bruce Baird, the member for Cook and Alby our local Danna Vale that Labor even had to Schultz, the member for Hume. Both mem- do a deal with One Nation. On polling day I bers have an outstanding record of public visited the Oyster Bay Primary School to vote service and I look forward to working with and found a man who claimed to represent them to achieve greater things for their elec- One Nation handing out material on how to torates and the people of New South Wales. vote for One Nation. Attached to that material Unfortunately, some of our Liberal candi- was a preference card for David Hill, bearing dates were unsuccessful at the ballot box. The Wednesday, 11 November 1998 SENATE 179 most disappointing results for me personally and those who gave up their time in the days were the defeats of Bob Baldwin and Robert following the poll to scrutineer. Lee. Bob, a tireless electorate worker, was Madam President, I look forward to the always in a difficult position. I wish Bob all election of a Collins-led New South Wales the best in his future directions. Robert Lee’s government in March. fate in Lowe was unfortunately sealed by the ultimate preference betrayal by Paul Zammit. Federal Election On behalf of the New South Wales division, Pork Industry: Imports I wish to thank the following candidates for their extraordinary campaign efforts: Alan Wool Industry Akhurst, Nahid Aziz, John Coles, Peter Craig, Senator O’BRIEN (Tasmania) (7.30 Mathew Cross, Lorna Doona, Tio Faulkner, p.m.)—I wanted to also reflect on the recent Alma Freame, Bruce Gatgens, Stephen election campaign. It was during that cam- Iacono, Clive Jensen, James Jordan, David paign that the Deputy Prime Minister, Mr Kibbey, Robert Lee, Scott MacDougall, Fischer, wrote in response to a letter which, Cherrilyn McLean, Michael Armani, Charlie curiously, was sent to Senator Brownhill, the Mifsud—and I have to say that Charlie has parliamentary secretary. Apparently Mr done a great job since the election down in Fischer said that he was responding because Wollongong—Peter Monley, Bruce Morrow, he had been asked to respond on Senator David Parker, Joe Rafferty, Maureen Shelley, Brownhill’s behalf, which seems somewhat Gary Sloane and Andrew Thorn. Without unusual. The response was to a Mr Mazzanti, them and their small band of loyal workers, a member of the South Queensland Pork the party would not have been able to fly the Action Group. I suppose it is unusual that the Liberal flag across the state. The job at times Deputy Prime Minister would respond on is very difficult and, as a senator and a behalf of a parliamentary secretary, but he is Liberal, I appreciate immensely the work they noted for doing unusual things. put in and the sacrifices they made. The letter ran through the usual lines about As Chairman of the New South Wales getting macro-economic settings right and the Marginal Seat Committee, I wish to congratu- importance of a free trade regime to the late Michael Osborne, Remo Nogarotto, Mark overall wellbeing of the rural community. It Connell and their small professional team for also suggested that there are now effective their successful campaign. Despite the barrage anti-dumping and safeguard procedures to of Labor campaign funds, the unconditional deal with instances where Australian produc- support of the union movement and Labor’s ers for the domestic market are being injured bag of dirty backyard tricks, the division held by unfair competition from imports. the Liberal line in New South Wales. On He did claim quite inaccurately, I might behalf of my parliamentary colleagues and say, that the opposition’s call for action to candidates, I wish to express my thanks for protect the interests of the pork industry by their sound strategy, support and patience. I limiting imports was in contravention of the also wish to express my thanks to Lynton World Trade Organisation rules. That is not Crosby and all at national campaign head- true. He referred to the alleged transport cost quarters. savings to rural and regional Australia in the Howard tax plan, but he did not mention the The New South Wales division is a great imposition of a $30 billion goods and services team. Thanks must also go to the information tax. unit for providing policy and election infor- mation to the public and to the party members At the bottom of that letter, the Deputy who letterboxed, ran street stalls, stood on Prime Minister added a postscript. He said: polling booths and scrutineered. A special The pork industry’s continuing advertising cam- thanks must also go to those workers who paign is very carefully noted, including those travelled great distances to support the cause elements of the industry pushing it. 180 SENATE Wednesday, 11 November 1998

Despite the denial from the Deputy Prime continues to face. The government did not Minister’s office, this postscript is nothing look at all the possible policy remedies less than a threat. The impact of One Nation available. on the Australian political scene and the It appears to me that, although there had failure of the Prime Minister to deal with the been a massive surge in imports, although the former member for Oxley at the appropriate importers had targeted the peak season for time when he had the opportunity has shown product on the domestic market, although up a number of forms. importers had focused on the premium cuts of the product and although there had been a Firstly, the One Nation Party has brought collapse in the price received by Australian with it increased racial tension, and there is producers—a price well below the cost of now increased insecurity in the community. production—the government dismissed any We have also seen the fact that the National short-term assistance through the provision of Party seems to be in terminal decline. Senator exceptional circumstances. The government O’Chee and Senator Macdonald will cease to also, unfortunately, ignored possible trade be senators on 1 July next year, leaving the remedies, legal remedies, available through National Party without formal party status in the World Trade Organisation. this place. It was a resolution of this Senate in April The presence of One Nation has also driven this year that pointed the government in the a number of simplistic policy responses from direction of World Trade Organisation safe- the government—the most obvious being the guard measures—measures the government decision by the Prime Minister, Mr Howard, could draw on to provide some relief for an to ignore the advice of his minister for pri- industry that was clearly under siege, meas- mary industries, which was Mr Anderson at ures that a number of our trading partners, I the time, and the vast majority of the Austral- might add, regularly use. However, the ian wool industry to freeze the wool stockpile. government merely was content to give the Mr Howard has subsequently found that his industry some money to develop exports. It is decision, which was based on Mr Tuckey’s my view that, again, it was the threat of One and Senator Crane’s intervention, was not in Nation that caused the government to belated- fact legally based. Since that decision, we can ly respond to the pork industry. But, as with only describe the current situation as a fiasco. the wool stockpile, the government did not respond in an open and comprehensive way. There is total confusion in the market, It was not the way you would expect a which has resulted from Mr Howard’s actions, government to operate. leaving the responsible minister, the industry In a special gazette dated 25 June, the and the Public Service to try to sort out the government detailed the general procedures to mess. In this case, Mr Howard has not acted be followed by the Productivity Commission in the interests of the wool industry but in the when investigating possible safeguard action interests of a small number of members of the under the World Trade Organisation. Section coalition who were terrified of One Nation. 16 on page 4 of the gazette states: He chose not to develop a comprehensive A reference can also be made to the Commission policy response to increasingly difficult for an accelerated report to determine whether industry problems because he preferred a critical circumstances exist where delay in applying quick political fix. The former primary indus- measures would cause damage which might be tries minister, Mr Anderson, tried to get it difficult to repair. right, but he was pushed aside in this political The Commission will report to the Minister on exercise. whether there is clear evidence that increased imports have caused or are threatening to cause The pork industry suffered a similar fate. serious injury. The government did not properly consult, This provision is designed clearly to provide considering the considerable difficulties and immediate but short-term relief to enable a circumstances that that industry faced and more comprehensive inquiry to proceed, and Wednesday, 11 November 1998 SENATE 181 the industry quite reasonably expects the reasonably took its case to the public during government to make such an assessment. One the election campaign. Clearly, the govern- would have expected the government to look ment was very upset with that response. at all policy options available to deal with the The postscript on the bottom of Mr particular issue. There was clearly a crisis, Fischer’s letter makes it clear that this govern- and there was an independent report from the ment intends to make the Australian pork University of Queensland that did identify industry pay a political price for its actions. imports as the major cause of the industry’s The Australian pork producers are committed problem. However, it has become clear that to the development of a sustainable, export the government has no intention of looking at oriented and jobs generating industry. Unlike that option at all. the government generally, and the Deputy As required, the Treasurer formally advised Prime Minister in particular, we on this side the World Trade Organisation of the of the chamber are committed to work con- government’s intention to investigate the structively with them to achieve that goal. impact of pig meat imports and the reasons for the inquiry. However, section 3(iii) of that Liquefied Petroleum Gas: Prices advice stated: Diesel The current investigation is not examining the need for provisional measures. Senator MARGETTS (Western Australia) (7.39 p.m.)—I rise tonight to speak to a In other words, we are going to investigate, submission I have made to the inquiry by the but we do not think there is a case. The Australian Competition and Consumer Com- World Trade Organisation’s rules say we can mission on LPG cylinder prices in Western investigate the need for short-term help, but Australia and LPG auto gas prices in Western we will not apply those rules. We will take up Australia. At the beginning, I seek leave to to 140 days to look at this and then we will table my submission to this inquiry. have our nominee run the process. We will not have the industry nominate a commission- Leave granted. er to sit alongside our nominee, or we will Senator MARGETTS—I thank the Senate. not have an independent chair. That is what In relation to my submission to the ACCC the government is saying. The government is inquiry into LPG gas prices in Western saying that we are not prepared to ensure that Australia, I am concerned about the role the justice is not only done but also seen to be Western Australian government has played in done, and, I might say, that is the view of the the prices that Western Australian consumers industry. The Australian pork industry at this pay for LPG gas and bottled gas. Under the time feels well and truly dudded by this Trade Practices Act, it is now possible to government process. It feels that the govern- prosecute state governments if there is evi- ment has failed to respond to genuine industry dence of collusion and, in this case, if there concerns in a timely manner. When the is evidence found of collusion with government finally did act, it acted in a way Wesfarmers Kleenheat in keeping LPG prices which was designed to take the pork unnecessarily high in Western Australia. industry’s concerns off the agenda in time for I am concerned if the Western Australian the election. government has either deliberately colluded I am concerned that the results of the with or tacitly approved of Wesfarmers Productivity Commission report will reflect, Kleenheat’s substantial monopoly market in the end, the government’s free trade at all power over the supply and sale of LPG in cost bias which has been deliberately built Western Australia. There was a trust given to into this process. This industry is not seeking the West Australian government and to the a One Nation style response. It is looking for people of Western Australia to look at the a comprehensive and legal response to a price of the gas as produced by Wesfarmers personal and financial crisis confronting many Kleenheat and the other market players and producers. To date, it has not got that. It quite the ability of Wesfarmers Kleenheat to domi- 182 SENATE Wednesday, 11 November 1998 nate WA’s LPG market at the expense of University in Japan has found diesel has one Western Australian consumers causing LPG of the most carcinogenic compounds ever prices for both cylinder and auto gas to be, in detected, a substance called nitrobenzathrone. some cases, two to three times higher than in A study of diesel bus drivers in Copenhagen Victoria. has found 60 per cent higher lung and 40 per I believe the West Australian government cent higher bladder cancer rates amongst has failed to honour an agreement made in those drivers. 1994 where the Prices Surveillance Authority I believe the West Australian energy agreed to lift the mandating of prices if the minister has turned his back on the people of West Australian government and producers Western Australia when he could have made increased the supply of LPG auto gas and a real difference to the quality of the air they cylinder gas. The Prices Surveillance Authori- breathe. I believe these issues are important. ty lifted the mandate, but the government sat I believe it is very important that the Austral- on its hands and now they could, under the ian Competition and Consumer Commission law, be taken to court and prosecuted because has the full information it needs for this of that. This inaction by the West Australian inquiry. I will be keeping a very close eye on energy minister and the West Australian the outcome and making sure that we can get government has not been warranted and has better outcomes for consumers, for the envi- been clearly against the public interest. There ronment and for small business in a win-win is no capital barrier to enter the LPG market. situation in Western Australia. There have been six different partners in the Pork Industry: Competitiveness North West Shelf to chose from. LPG could Senator SANDY MACDONALD (New be shipped to Fremantle from any of these six South Wales) (7.45 p.m.)—I want to make partners or from LPG suppliers overseas. some comments tonight about the pork indus- These North West Shelf partners will shortly try and correct some of the views expressed decide to almost double the volume of LPG by Senator O’Brien earlier. The pig meat produced after the year 2000 to almost two industry is very important to all of us who million tonnes per year. Woodside Petroleum live in regional Australia. The government is actually told me that they would be prepared very aware of the pain that is being felt by to sell and ship LPG to wholesalers in Perth many producer families. The government and and into Western Australia’s domestic mar- the pork industry are working in partnership kets. to improve the pork industry’s international Not only has the West Australian govern- competitiveness. ment failed to look after consumers, but they The government Pork Industry Restructure failed to provide environmental leadership for Strategy is based on outcomes from a number the whole community. By increasing suppliers of strategic studies. It includes a $19 million and keeping the prices down, the West Aus- integrated package of grant programs to assist tralian government could create an economic individual enterprises and groups to achieve incentive for heavier diesel powered vehicle a strong market focus and improve their owners to change to gas. Heavier vehicles international competitiveness in the global produce 70 per cent of the total vehicle food market. The $19 million pork industry pollution and alternative fuels like LPG and adjustment package comprises the $10 million CNG could cut these emissions by over 50 National Pork Industry Development Program, per cent. which can fund projects ranging from market There is now growing scientific evidence of research to skills acquisition, the $8 million increased cancer risks, asthma, respiratory Pigmeat Processing Grants Program, which ailments and an increased death rate from aims to stimulate investment in the processing diesel fumes. Perth already suffers from haze sector, and the $1 million that has been alerts and temperature inversion of the atmos- provided under FarmBis for a national skills phere between the hills and the coast. The enhancement training initiative for pork example that has been given from Kyoto producers. Funding approvals under the $10 Wednesday, 11 November 1998 SENATE 183 million National Pork Industry Development as a result of increased imports. The Produc- Program commenced in July 1998 and to date tivity Commission will also report on factors some $2.8 million has been approved by the affecting the profitability and competitiveness government for projects in production, pro- of domestic pig farming and pork processing cessing and retailing sectors. industries. There is much more to be done for the pork Professor Richard Snape, the inquiry’s industry. Some examples of the projects that commissioner, has implemented a transparent have been approved include a major domestic process with regular updates on progress market development promotion for fresh pork being available to interested people. The and bacon—managed by the Australian Pork reporting deadline is this Friday, 13 Novem- Corporation and financially supported by the ber 1998. That date was set by the Treasurer. retail industry—and other projects are in the The report will be published and made avail- areas of risk management, market develop- able in due course. ment, production and training. The Productivity Commission will deter- The national pork industry development mine whether there has been serious injury group is working in close consultation with and the remedy that is appropriate. The industry on several initiatives, including remedy also has to be in the public interest driving forward the key elements of their before a recommendation as to what safeguard business plan such as export development, the can be applied. The inquiry process and formation of networks alliances and managing remedy is governed, as I said, by the World a benchmarking study of the pork industry Trade Organisation rules, and the Canadian chain. The $8 million Pigmeat Processing pork industry has taken a keen interest in the Grants Program provides investment grants to inquiry, as well they might. eligible specialist pig meat processors to improve the competitiveness of this important Staff from the department met with Profes- sector. The program will stimulate investment sor Snape on 4 August 1998, and the depart- in the processing sector by funding up to 10 ment outlined the flexibility on variables per cent of the costs associated with new impacting on the industry’s current situa- plant and equipment with a cap of half a tion—the government’s $19 million integrated million dollars per company per year over the package of business assistance programs, three-year life of the program. RASAC’s decision and the range of welfare assistance measures presently available and In addition, Senator O’Brien referred to the those also available under the AAA package. referral of the problems of the importation of During these meetings, Professor Snape pig meat to the Productivity Commission. The indicated an appreciation of the government’s government announced in June that it would interest in releasing the inquiry’s findings introduce a general safeguard mechanism as quickly. I look forward to the commissioner’s part of the recent pig industry assistance ruling on whether safeguard action is warrant- program. The Productivity Commission was ed and the commissioner’s finding in relation designated as the appropriate domestic agency to the factors affecting the profitability of this to conduct inquiries and report on whether very important Australian industry. safeguard action, in accordance with the World Trade Organisation agreement on Senate adjourned at 7.51 p.m. safeguards, is warranted against imports of DOCUMENTS certain frozen pig meat, predominantly that from Canada. Tabling This is the first safeguards inquiry undertak- The following government documents were en by Australia under the new rules that came tabled: into operation in 1995. Safeguard measures Administrative Review Council—Report to the provide temporary assistance and an oppor- Attorney-General and Minister for Justice—No. tunity to adjust for an industry suffering 42—The contracting out of government services, serious injury or threatened by serious injury August 1998. 184 SENATE Wednesday, 11 November 1998

Advance to the Minister for Finance—Statement Agreement between the Government of Aus- and supporting applications of issues—June tralia and the Government of Malaysia Con- 1998. cerning the Status of Forces, done at Kuala Australia-Korea Foundation—Report for 1996-97. Lumpur on 3 February 1997. Australian Security Intelligence Organization Agreement between the Government of Aus- Act—Australian Security Intelligence Organiza- tralia and the Government of Ukraine on Trade tion—Report for 1997-98. and Economic Cooperation, done at Kyiv on Coal Industry Act—Joint Coal Board—Report 17 March 1998. for 1997-98. Exchange of Letters, done at Canberra on 14 Commonwealth Authorities and Companies July 1998, between Australia and the Republic Act—Reports for 1997-98— of France, constituting an Agreement relating to the Movement of Nationals between the Australian Dairy Corporation. Two Countries. Australian Fisheries Management Authority Exchange of Letters, done at London on 29 and Australian Fisheries Management Authori- May 1998, Constituting an Agreement to ty Selection Committee. Amend the Agreement on Health Services Australian Meat and Live-stock Corporation between the Government of Australia and the (Final report). Government of the United Kingdom of Great Australian Pork Corporation. Britain and Northern Ireland of 21 March Dairy Research and Development Corporation. 1986. Fisheries Research and Development Corpora- General Agreement on Development Cooper- tion and Fisheries Research and Development ation between the Government of Australia Corporation Selection Committee. and the Government of the Republic of Indo- Meat Research Corporation (Final report). nesia, done at Jakarta on 9 July 1998. Pig Research and Development Corporation List of multilateral treaty action under negotia- and Pig Research and Development Corpora- tion or consideration by the Australian Govern- tion Selection Committee. ment, 11 November 1998. United Nations—International Covenant on Civil Rural Industries Research and Development and Political Rights—Australia’s reports under Corporation. the International Covenant on Civil and Political Equal Employment Opportunity (Commonwealth Rights— Authorities) Act—Reports for 1997-98— Third—March 1987-December 1995. Equal employment opportunity program— Fourth—1996. Reserve Bank of Australia. War Crimes Act—Report for 1997-98 on the Equity and diversity program—Airservices operation of the Act. Australia. Tabling Human Rights and Equal Opportunity Act— Human Rights and Equal Opportunity Commis- The following documents were tabled by sion—Report—Article 18: Freedom of religion the Clerk: and belief, July 1998. Australian Bureau of Statistics Act—Proposal Pharmaceutical Benefits Pricing Authority— No. 15 of 1998. Report for 1997-98. Broadcasting Services Act—Broadcasting Ser- Provision for running costs borrowings— vices (Events) Notice No. 1 of 1994 (Amend- Statement and supporting applications of is- ment No. 4 of 1998). sues—June 1998. Child Care Act—Childcare Assistance Immunisa- tion Requirements—IMCA/12G/98/3. Public Service Act—Department of Finance and Administration—Report for 1997-98— Currency Act—Currency Determination No. 6 of Corrigendum. 1998. Trade Practices Act—National Competition Income Tax Assessment Act 1936—Income Tax Council—Report for 1997-98. (Farm Management Deposits—Deduction Ex- emption Certificates) Guidelines 1998. Treaties— Therapeutic Goods Act—Therapeutic Goods Bilateral—Text, together with national interest Order No. 62 (Amendment to Therapeutic Goods analyses— Order No. 48). Wednesday, 11 November 1998 SENATE 185

QUESTIONS ON NOTICE

The following answers to questions were circulated:

Science Research: Funding Senator Herron—The following ministers (Question No. 1093) have provided answers to the honourable senator’s questions: Senator Stott Despoja asked the Minister representing the Minister for Health and (1) The Minister for Industry, Science and Tourism has provided the following answer: Family Services, upon notice, on 11 March 1998: This is a matter of how "science research" is defined and what may be assessed as "major". (1) Are the Australian Research Council (ARC) Section 3 of the Science and Technology Budget and the National Health and Medical Research Statement 1997-98 provides information on relevant Council (NHMRC) the major funding bodies for funding provided through a number of Common- science research in Australia. wealth programs and the senator may wish to refer (2) How many applications were received for the to that publication. last round of awarded ARC grants. The Minister for Employment, Education, (3) How many applications were received for the Training and Youth Affairs has provided the last round of awarded NHMRC grants. following answer: (4) How many of the ARC applications were Yes, they are major funding bodies. successful. (2) The Minister for Employment, Education, (5) How many of the NHMRC applications were Training and Youth Affairs has provided the successful. following answer: (6) Are there ARC applications which are worthy 3,284 applications were received in the round for of funding, but did not receive funding. funding of 1998 Large Research Grants. (7) Are there NHMRC applications which are (3) The Minister for Health and Family Services worthy of funding, but did not receive funding. has provided the following answer: (8) How many worthy ARC applications were In 1997 1,577 NHMRC project grant applications unsuccessful. were received for grants to be awarded in 1998. (9) How many worthy NHMRC applications (4) The Minister for Employment, Education, were unsuccessful. Training and Youth Affairs has provided the following answer: (10) Why were worthy ARC applications not funded. 658 applications were approved for funding under the Large Grants Scheme. Funding was also (11) Why were worthy NHMRC applications not provided for 8 Special Investigator Awards. funded. (5) The Minister for Health and Family Services (12) How much extra money would be needed has provided the following answer: to fund the worthy ARC applications. Of the number at (3) above, 413 NHMRC project (13) How much extra money would be needed grant applications were successful. to fund the worthy NHMRC applications. (6) The Minister for Employment, Education, (14) How much is an FA18 fighter worth. Training and Youth Affairs has provided the following answer: (15) How much is a Leopard tank worth. As the premier research grants scheme in the (16) What is the Commonwealth’s budget for the higher education sector, the DEETYA/ARC Large sports. Research Grants Scheme is highly competitive. (17) What is the Commonwealth’s budget for the Large Research Grants are awarded to applications arts. which are most worthy of funding in that they meet the highest standards of excellence in terms of the (18) What is the Commonwealth’s budget for proposal and the track record of the researcher as health. determined by an external peer review process. (19) What measures is the Government taking to There are many applications received that are increase the funding for science research. considered to merit external peer review. 186 SENATE Wednesday, 11 November 1998

In the last granting round of the Large Research (17) The Minister for Communication and the Grants Scheme, 658 of the 2,394 applications Arts has provided the following answer: considered to merit external peer review were The Commonwealth’s budget for the arts as awarded grants. indicated in the "Portfolio Additional Estimates (7) The Minister for Health and Family Services Statements 1997-98", Program 1.1 Arts and Heri- has provided the following answer: tage Policy is $289,418,000. Funding was provided only to the most worthy (18) The Minister for Health and Family Services applicants. has provided the following answer: (8) The Minister for Employment, Education, The latest available published figure for Training and Youth Affairs has provided the Commonwealth outlays on the health function for following answer: 1997-98 is $20.787 billion (source—’Mid-Year Funding was provided only to the most worthy Fiscal and Economic Outlook 1997-98" statement). applications. (19) The Minister for Industry Science and (9) The Minister for Health and Family Services Tourism has provided the following answer: has provided the following answer: This financial year Australia will invest around In 1997 RGICs made recommendation for $7.5 billion on science and technology through funding of a total of 954 project grants of which government programs and spending by Australian 541 were unsuccessful. business. The Government alone will spend about $3.3 billion on science and technology this year. (10) The Minister for Employment, Education, Training and Youth Affairs has provided the Australia ranks fifth in the OECD in terms of following answer: R&D expenditure in government agencies and universities measured as a percentage of GDP. The most worthy applicants were funded. The Government has maintained funding for (11) The Minister for Health and Family Services public sector research while addressing the budget has provided the following answer: deficit. In 1997-98 funding for the CSIRO in- The NHMRC allocates funding for a range of creased in real terms. grants from the health research appropriation. In Funding for the science authorities, the CSIRO, 1998 $99.7 million has been allocated for competi- the Australian Nuclear Science and Technology tive project grants. Each year about 67 per cent of Organisation (ANSTO) and the Australian Institute the project grant allocation is required for ongoing of Marine Science was agreed through to the year project grants (in 1998 $66.8 million) and the rest 2000 in the 1996/97 budget. This has restored is available for allocation to new grants (1998 stability to the funding base of the science agen- $32.9 million). The highest ranked applications are cies. These organisations are now able to set priori- funded within the limits of the available funding. ties, properly plan their research programs and (12) The Minister for Employment, Education, ensure that specialist skills are available. Training and Youth Affairs has provided the A major upgrade to Australia’s nuclear science following answer: infrastructure was announced by the Government None. in 1997 with the decision to invest $286 million in (13) The Minister for Health and Family Services a replacement for ANSTO’s research reactor. has provided the following answer: The Government has introduced a number of None. measures to stimulate business R&D such as R&D Start which received an additional $556 million in (14) The Minister for Defence has provided the funding in the 1997 Industry Statement Investing following answer: in Growth, bring total funding to $739 million over The average current asset value of a F/A-18 four years. These measures compliment the 125 per aircraft is $32,907,000.00 cent Tax concession which has been reformed to ensure that it achieves its intended objective. (15) The Minister for Defence has provided the following answer: The Government is improving links between public sector researchers, business and other The average current asset value of a Leopard ASI research users and between Australia and the gun tank is $800,000.00. international scientific community such as announ- (16) The Minister for Industry, Science and cing the $72 million Technology Diffusion Program Tourism has provided the following answer: which will be directed towards technology diffusion This information is available in the 1997-98 activities over the next four years. Commonwealth Budget Papers which are publicly The Government has established the Innovation available. Investment Fund which is designed to greatly assist Wednesday, 11 November 1998 SENATE 187 the commercialisation of research outcomes in Senator Vanstone—The answer to Senator Australia. Together with private sector funding the Quirke’s question is as follows: $173 million provided by the Government for this Program will create an overall investment pool of (1) Initially AFP officers were deployed as truce $260 million. monitors. Following the signing of the Lincoln Agreement on 30 April 1998 the AFP officers were Complementing this initiative, in the recent deployed as peace monitors. Greenhouse Statement, the Government committed $61 million in venture capital, loans and grants for Role of truce monitors: development and commercialisation of renewable - to observe and monitor that the Burnham energy technology. This will directly support the Truce is being maintained by all the Parties; creation of new business, jobs and exports in high - to report alleged breaches of the Truce; growth industries of the future. - to liaise with local truce monitoring commit- The Minister for Employment, Education, tees; Training and Youth Affairs has provided input to - to facilitate the peace process by setting an the following answer: example, explaining the truce, and the peoples’ (19) The Government remains committed to obligation to it; and providing support for science research undertaken - by its presence, discourage potential breaches in the higher education system. As a measure of of the truce. this commitment, through the Employment, Educa- tion, Training and Youth Affairs portfolio, the Role of peace monitors: Government announced additional support in the - monitor and report on compliance with all Higher Education Budget Statement 1996, totalling aspects of the ceasefire; $132.5 million in 1997, 1998 and 1999 for targeted - promote and instil confidence in the peace higher education research (in 1998 outturn prices). process through its presence, good offices and This increased support included an additional $92.8 interaction with the people in Bougainville; million for research infrastructure, $30.1 million for industry/university collaborative research grants, - provide such assistance in implementation of though the Strategic Partnerships—Industry Re- the Lincoln Agreement as the parties to the search and Training Scheme (SPIRT), and $9.6 Agreement and the States contributing to the million for Australian Postgraduate Awards. Peace Monitoring Group may agree and available resources allow; and The Government’s Investing for Growth state- - cooperate by agreement in ways that assist in ment provided funding for a further 50 Australian democratic resolution of the situation. Postgraduate Awards (Industry) (APA(I)), as part of SPIRT, in each of 1999, 2000 and 2001 at a cost (2) (a) No. Policing duties were performed by the of $9.2 million. These APA(I)s will enhance Royal Papua New Guinea Constabulary. (b) No. university-industry linkages in information technol- The AFP officers wore the same clothing as other ogy related areas. Australian monitors under the terms of engagement for the Truce Monitoring Group. Further measures to increase research funding through the portfolio, including for science, in Australian Federal Police: Truce subsequent years will be considered in the context Monitoring Group Staff Selection Process of the 1999-2000 Budget and as the Government develops its response to the recent Review of (Question No. 1218) Higher Education Financing and Policy (the West Senator Quirke asked the Minister for Review). Justice, upon notice, on 25 June 1998: Australian Federal Police: Truce (1) What selection processes were utilised by the Monitoring Group Duties Australian Federal Police (AFP) to select the police officers deployed to the Truce Monitoring Group. (Question No. 1217) (2) What are the lengths of their tours of duty to Senator Quirke asked the Minister for the island. Justice, upon notice, on 25 June 1998: (3) What is the intention of the Government in regards to future AFP deployment. (1) What type of work have Australian Federal Police officers been required to undertake whilst Senator Vanstone—The answer to Senator being part of the Truce Monitoring Group. Quirke’s question is as follows: (2) (a) Have these police officers been involved (1) AFP officers were selected on the basis of in any policing duties or police training duties; and merit taking into consideration past United Nations (b) were they in uniform; if not, why not. involvement, availability and the impact the release 188 SENATE Wednesday, 11 November 1998 of the officer would have on AFP operational Senator Vanstone—The answer to Senator requirements. Quirke’s question is as follows: (2) Two months. No. See response to question 1219. AFP officers (3) AFP involvement on the island is constantly were deployed to Bougainville on a normal 38 hour under review. The question of Australian commit- week with appropriate remuneration paid for hours ment to the Bougainville peace process will be worked outside these hours. Where it was necessary addressed shortly in the lead up to the election of for AFP officers to perform duty outside of normal an interim Transitional Government. shifts the approval of the Truce Monitoring Com- mander, or his delegate, was necessary. This Australian Federal Police: Truce requirement was stipulated in the Commissioner of Monitoring Group Terms and Conditions Police Determination promulgated specifically for (Question No. 1219) service in Bougainville. Senator Quirke asked the Minister for Australian Federal Police: Truce Justice, upon notice, on 25 June 1998: Monitoring Group Funding (1) What administrative arrangement exists which (Question No. 1221) covers the police officers’ terms and conditions while part of the Truce Monitoring Group (TMG). Senator Quirke asked the Minister for Justice, upon notice, on 25 June 1998: (2) Is it a fact that police deployed to the TMG were nominally required to work only 38 hours per (1) Did the Australian Federal Police receive week between the hours of 7am and 6pm Monday supplementary funding for the deployment of to Friday. officers as part of the Truce Monitoring Group (3) Is it a fact that the police in reality, routinely from any other agency or private body. worked outside these hour without any additional (2) Did any such funding cover items such as financial remuneration for those duties. overtime and penalty payments; if so, how much Senator Vanstone—The answer to Senator funding was delivered. Quirke’s question is as follows: Senator Vanstone—The answer to Senator (1) AFP police officers serving as part of the Quirke’s question is as follows: Truce Monitoring Group are covered by a Commis- (1) Yes. During 1997—98 the AFP received $31 sioner of Police Determination made under section 960 from AusAid to assist with the first deploy- 30 of the AFP Act 1979. Such Determinations are ment of AFP officers. The AFP anticipates further required to be consistent with Government wages funding will be provided during 1998-99 to assist policy and a copy was provided to the officers prior with the costs of additional AFP officers deployed to their departure for Bougainville. to the Truce Monitoring Group. (2) Yes. These are the normal hours of duty for (2) Funding provided to the AFP by AusAid was all AFP members. not specifically allocated by AusAid to overtime (3) No. The AFP members of the contingent who and penalty payments. The level of funding was worked in excess of 3 8 hours per week, were based on a formula approved by the Minister for compensated by the payment of a 40% composite Foreign Affairs and Trade and provided $120 per allowance. In the case of those members in day per officer and a one-off equipment allowance Bougainville directed to work shift work consistent of $430 per officer. The funding provided in this with the Determination, normal shift allowances manner does not cover the total cost incurred by have also been paid. AFP members in Bougainville the AFP in providing officers to the Truce Monitor- also received a range of other allowances, including ing Group. a Bougainville Allowance of $10,371 per annum, and Mission Allowance of $16 per day. Work for the Dole Scheme: Hot Line (Question No. 1230) Australian Federal Police: Truce Monitoring Group Terms and Conditions Senator Mackay asked the Minister repre- senting the Minister for Employment, Educa- (Question No. 1220) tion, Training and Youth Affairs, upon notice, Senator Quirke asked the Minister for on 1 July 1998: Justice, upon notice, on 25 June 1998: (1) Has any telephone ‘hot line’ been established Was the Truce Monitoring Group commander in the Minister’s office or any section of the made aware of the limitations placed upon police department since the inception of the work for the officers in regards to their hours of duty; if so, dole scheme which has received complaints about when, if not, why not. the scheme or any of its individual projects; if so, Wednesday, 11 November 1998 SENATE 189 how many complaints have been registered about (2) 24% of the 1754 PRC students were granted the scheme or any of its individual projects. a different class of visa. Of these: (2) Can details be provided of the nature and . 21.6% were granted a permanent residence extent of each and all of these complaints. visa on family relationship grounds; Senator Ellison—The Minister for Employ- . 0.5% were granted a permanent residence visa ment, Education, Training and Youth Affairs on skilled grounds; has provided the following answer to the . 0.3% were granted permanent residence on honourable senator’s question: refugee grounds; and . 1.6% were granted a temporary entry visa An information line was established by the Depart- other than a student visa. ment of Employment, Eduction, Training and Youth Affairs in July 1997 to provide information (3) 5% of the PRC student cohort overstayed and on the Work for the Dole scheme. are unlawful, while 26% of the 1754 PRC students remain in Australia on a valid student visa. (2) The main purpose of the line is to provide information to prospective sponsors of projects. No (4) The Department of Immigration and Multicul- records have been maintained of issues or com- tural Affairs does not maintain statistics for the plaints made. Matters raised by callers were dealt individual periods requested. with as they were raised. (5) Of the 32,800 people from the PRC who entered Australia in program year 1996-97 holding Chinese Students: Visas a Subclass 456 Business (short stay) visa, (business (Question No. 1241) visitors from the Hong Kong Self Autonomous Region are excluded from any of these figures), Senator Bartlett asked the Minister repre- 0.2% were recorded as having departed unlawfully, senting the Minister for Immigration and while 1.9% were recorded as remaining unlawfully Multicultural Affairs, upon notice, on 8 July in Australia. 1998: (6) Of the 32,800 people from the PRC who entered Australia in program year 1996-97 holding (1) What percentage of Chinese students using a Subclass 456 visa, 9% changed their status student visas return to China when their visa onshore. expires. (7) The Department of Immigration and Multicul- (2) What percentage of Chinese students are tural Affairs does not keep statistics specific to granted a variation to their student visas and what over stayers who came to Australia as part of a are the sub-categories of these. delegation. (3) What percentage of Chinese students overstay their visas. Department of Communications, Information Technology and the Arts: (4) What percentage of Chinese students overstay Conference Expenditure their visas for: (a) more than a month; (b) more than 6 months; and (c) more than 12 months. (Question No. 1254) (5) What percentage of Chinese business visa Senator Faulkner asked the Minister for holders overstay. Communications, Information Technology and (6) What percentage of Chinese business visa the Arts, upon notice, on 21 July 1998: holders change the status of their visas. (1) What is the total expenditure on conferences (7) What percentage of visitors from China who both: (a) in-house, that is, held within the depart- come to Australia as part of a delegation overstay ment or agency: and (b) external, held by the de- their visas. partment or agencies within the portfolio, on a month-by-month basis since March 1996. Senator Vanstone—The Minister for (2) For conferences fully funded by the depart- Immigration and Multicultural Affairs has ment and portfolio agencies, and costing in excess provided the following answer to the honour- of $30 000: (a) where was the venue; (b) what was able senator’s question: the reason for each conference; (c) how many (1) Of the 1754 students from the People’s participants registered; (d) were consultancy fees Republic of China (PRC) who arrived in program paid for the organisation of each conference: (e) to year 1995-96 (students from the Hong Kong Self whom were the consultancy fees paid; and (f) what Autonomous Region are excluded from any of was the cost of each consultancy. these figures), 45% departed Australia upon expiry (3) For conferences part-sponsored or part-funded of their initial student visa. by the department and portfolio agencies and 190 SENATE Wednesday, 11 November 1998 costing the Commonwealth in excess of $30 000: March 1998—$9,990 (a) what was the cost to the department or agency; April 1998—$94 (b) what was the proportion of Commonwealth May 1998—$1,443 funding as against the total cost of the conference; June 1998—$29,146 (c) what was the rationale for the sponsorship or part-funding; (d) what was the venue; (e) how July 1998—$37 many participants registered; (f) did the Common- Total—$486,866 wealth contribute to any consultant organising the Australian Film Commission conference; if so, who was the consultant; and (g) Part 1(a) how much was the Commonwealth’s contribution. July 1997 $ 2 100 Senator Alston—The answer to the honour- Part 1(b) able senator’s question is as follows: April 1996—$500 June 1996—$52,066 (1) Except for major events, agencies do not generally record expenditure against specific August 1996—$10,480 conferences. Consequently, the answer to this part September 1996—$10, 000 of the question relates to the month expenditure is October 1996—$5,620 recorded rather than the month a conference took February 1997—$23,500 place. Extracting the information requested for June 1997—$1,190 minor conferences in the form requested by Senator October 1997—$5,000 Faulkner would be resource intensive and provide November 1997—$42,000 little additional information. December 1997—$32,493 The Australian Broadcasting Corporation has Total—$182,849 advised that the information required to reply to National Film and Sound Archive this part of the question is not readily available Part 1(a) from its financial records. Nil Information for the remaining portfolio agencies Part 1(b) is as follows: October 1996—$4,000 Department of Communications and the Arts November 1997—$5,000 Part 1(a) Total—$9,000 December 1997 $ 72 851 National Gallery of Australia Part 1(b) Part 1(a) September 1996 $ 513,949 March 1996—$24,890 Australia Council July 1996—$2,200 Part 1(a) August 1996—$1,090 Nil September 1996—$300 Part 1(b) October 1996—$1,400 March 1996—$12,000 November 1996—$600 April 1996—$3,600 January 1997—$1,200 May 1996—$9,541 March 1997—$1,500 June 1996—$55,906 April 1997—$18,980 July 1996—$14,794 July 1997—$1,950 August 1996—$8,415 August 1997—$2,300 September 1996—$1,137 October 1997—$2,200 January 1997—$580 January 1998—$2,160 February 1997—$578 March 1998—$9,650 April 1997—$1,247 April 1998—$1,760 May 1997—$325 May 1998—$6,770 June 1997—$71,321 June 1998—$7,700 July 1997—$10,921 July 1998—$2,610 August 1997—$617 August 1998—$3,650 September 1997—$31,807 Total—$92,910 October 1997—$89,680 This expenditure was offset by revenue totalling December 1997—$96,641 $120 380, resulting in net revenue of $27,470. January 1998—$2,306 Part 1(b) February 1998—$34,740 Nil Wednesday, 11 November 1998 SENATE 191

National Library of Australia (f) $101,471 Part 1(a) National Indigenous Writers and Playwrights March 1997—$49,000 Conference This expenditure was offset by revenue totalling (a) Bardon Professional Centre, Brisbane $71 864, resulting in net revenue of $22,864. Part 1(b) (b) To combine the needs and issues of writers and playwrights in a joint conference/workshop Nil forum National Museum of Australia Part 1(a) (c) 139 June 1998—$18,263 (d) Yes Part 1(b) (e) (i) Lesley Fogarty Consulting Nil (ii) Kooemba Jdarra Indigenous Performing Arts Australian Broadcasting Authority (f) (i) $31,146 Part 1(a) Nil (ii) $4,000 Part 1(b) Imagining the Market Conference February 1997—$5,844 (a) Sydney Town Hall, Sydney February 1998—$18,600 (b) A Conference for and by those marketing in March 1998—$43,220 arts and culture Total—$67,664 (c) 268 This expenditure was offset by revenue totalling $31 430, resulting in net expenditure of $36,234. (d) Yes National Office for the Information Economy (e) (i) Pino Migliorino Part 1(b) (ii) Australian Institute of Arts Management March 1998—$2,142 (f) (i) $400 April 1998—$72,654 (ii) $30,000 Total—$74,796 (2) Details for conferences held by each agency Australian Film Commission are as follows. Actors Workshop Department of Communications and the Arts (a) The Museum of Sydney, Sydney Construction Coordination Task Force—Content (b) To address professional development issues Matrix Summit for Australian film and TV actors. Workshop on is- (a) University House, the Australian National sues of developing and maintaining an overseas ca- University, Canberra reer for Australian actors. Providing opportunity for Australian film and TV actors to be informed about (b) The conference was organised by the Depart- the issues related to working overseas, in particular ment for the National Museum of Australia, to in the American market. develop major thematic building blocks on which the National Museum’s specific interpretative (c) 230 techniques and changing programming can be (d) No based. (e) and (f) Not applicable (c) 25 Language of Interactivity (d) Yes. (a) ABC Ultimo Centre, Sydney (e) Ralph Appelbaum Associates Inc. (b) To inform the multimedia constituency, (f)$58,650 stimulate debate and discussion of ideas, and Australia Council engender a sense of community amongst multimedia practitioners. Big Notes Conference (a) Carlton Crest Hotel, Melbourne (c) 430 (b) To coordinate a National Aboriginal and (d) Yes. Torres Strait Islander Music Industry Conference (e) Staging Connections (c) 50 (f) $32 258 (d) Yes National Library of Australia (e) Songlines Music Aboriginal Corporation (a) The National Library of Australia, Canberra 192 SENATE Wednesday, 11 November 1998

(b) An international workshop to inform the (b) 82% library community of the standard set of metadata (c) Sponsorship used as a contribution to facili- elements. tate extra conference activity, such as exhibition, (c) 275 conference web site, special breakfast and satchels. (d) No (d) Storey Hall, Royal Melbourne Institute of (e) and (f) Not applicable Technology, Melbourne Australian Broadcasting Authority (ABA) (e) 374 (a) Lilianfels, Blue Mountains (f) Yes. Charles Management (b) To determine the strategic direction and (g) $12,390 organisational priorities for the ABA to the year National Office for the Information Economy 2000. (NOIE) (c) 43 E-Commerce—Enabling Australia (d) No. (a) $72 654 (e) and (f) Not applicable (b) Not known. Telstra Corporation Ltd met the (3) Details for conferences held by each agency bulk of the planning and organisational expenses. are as follows. (c) The Summit represented a ready made way Department of Communications and the Arts of boosting awareness of electronic commerce and The APEC Ministerial Meeting on the Telecom- of the role of NOIE at minimal cost. munications and Information Industry (d) Old Parliament House, Canberra (a) $513 949. (e) 300 (approx) (b) 73%. (f) No. (c) The reason for the meeting was to give (g) Not applicable. political direction and purpose to the work of APEC in the telecommunications sector. This Department of Health and Family included agreement on priority tasks to achieve Services: Conference Expenditure trade and investment liberalisation in the sector, to (Question No. 1260) expand electronic commerce, and to promote policy and commercial approaches to achieving universal Senator Faulkner asked the Minister access to telecommunications services. representing the Minister for Health and (d) Sheraton Mirage Hotel, Gold Coast, Queens- Family Services, upon notice, on 21 July land. 1998: (e) 274 (1) What is the total expenditure on conferences (f) Yes. Business Meetings and Incentives Pty both: (a) in-house, that is, held within the depart- Ltd. ment or agency; and (b) external, held by the department or agencies within the portfolio, on a (g) $30,195 month-by-month basis since March 1996. Australia Council (2) For conferences fully funded by the depart- DARE: National Community Cultural Development ment and portfolio agencies, and costing in excess Conference of $30 000: (a) where was the venue; (b) what was (a) $177,097 the reason for each conference; (c) how many participants registered; (d) were consultancy fees (b) 63 per cent paid for the organisation of each conference; (e) to (c) First national conference of sector in 12 whom were the consultancy fees paid; and (f) what years; significant professional development and was the cost of each consultancy. sector development benefits (3) For conferences part-sponsored or part-funded (d) Brisbane City Hall, Brisbane by the department and portfolio agencies and (e) 320 costing the Commonwealth in excess of $30 000: (a) what was the cost to the department or agency; (f) Yes. Quay Connection (b) what was the proportion of Commonwealth (g) $56,100 funding as against the total cost of the conference; Australian Film Commission (c) what was the rationale for the sponsorship or part-funding; (d) what was the venue; (e) how Being Connected many participants registered; (f) did the Common- (a) $92 515 wealth contribute to any consultant organising the Wednesday, 11 November 1998 SENATE 193 conference; if so, who was the consultant, and (f) (2) For conferences fully funded by the depart- how much was the Commonwealth’s contribution. ment and portfolio agencies, and costing in excess Senator Herron—The Minister for Health of $30,000: (a) where was the venue; (b) what was the reason for each conference; (c) how many and Family Services has provided the follow- participants registered; (d) were consultancy fees ing answer to the honourable senator’s ques- paid for the organisation of each conference; (e) to tion: whom were the consultancy fees paid; and (f) what (1)—(3) To provide a complete response to this was the cost of each consultancy. question would require considerable time and (3) For conferences part-sponsored or part-funded resources and in the interests of efficient utilisation by the department and portfolio agencies and of departmental resources, I am not prepared to ask costing the Commonwealth in excess of $30,000: my Department to divert staff from health priori- (a) what was the cost to the department or agency; ties. (b) what was the proportion of Commonwealth Department of Employment, Education, funding as against the total cost of the conference; (c) what was the rationale for the sponsorship or Training and Youth Affairs: Conference part-funding; (d) what was the venue; (e) how Expenditure many participants registered; (f) did the Common- (Question No. 1262) wealth contribute to any consultant organising the conference; if so, who was the consultant; and (g) Senator Faulkner asked the Minister how much was the Commonwealth’s contribution. representing the Minister for Employment, Education, Training and Youth Affairs, upon Senator Ellison—The Minister for Employ- notice, on 21 July 1998: ment, Education, Training and Youth Affairs (1) What is the total expenditure on conferences has provided the following answer to the both: (a) in-house, that is, held within the depart- honourable senator’s question: ment or agency; and (b) external, held by the (1) (a) Nil. department or agencies within the portfolio, on a month-by-month basis since March 1996. (b)—

Analysis and Evaluation Division February 1997 $7,311.00 November 1997 $1,000.00 February 1998 $7,500.00

Higher Education Division July 1997 $30,000.00 July 1997 $3,388.00 April 1998 $39,160.00 April-May 1998 $51,500.00

International, Equity & Youth Division April-May 1996 $50,000.00 July-August 1996 $91,283.00 September 1996 $47,603.00 October 1996 $595,478.00 June 1997 $20,354.00 November 1997 $3,158.00 December 1997 $500.00 February 1998 $30,000.00 April 1998 $500.00 July 1998 $10,748.00 194 SENATE Wednesday, 11 November 1998

Employment and Purchasing Division December 1996 $85,908.00* September 1997 $60,547.00 April 1998 $7,060.00**

National Board of Employment, Education, and Training March 1997 $5,609.00 July 1997 $11,593.00 August 1997 $7,544.00 November 1997 $6,288.00

Schools Division July 1996 $10,000.00 September 1996 $100,000.00 December 1996 $87,000.00 June 1997 $15,109.00 June 1997 $10,000.00 July 1997 $30,000.00 July 1997 $16,606.00 September 1997 $150,000.00 December 1997 $15,998.00 February 1998 $8,612.00 Total $1,617,357.00 Note: The expenditure details shown are for the month in which the conferences were held. * Includes delegate travel, accommodation and official dinner. ** Does not include the costs of delegate travel/accommodation to attend the Conference as these were met from operating grants provided by the Department to individual Area Consultative Committees (ACCs) under program 4.3. Whereas inclusion of these expenses would result in total costs associated with the Conference in excess of $30,000, it is not considered a cost effective use of Departmental resources at this stage to calculate the precise amount.

2. e) The Centre for Continuing Education, Austral- Higher Education Division: ian National University I. TER Symposium f) $2,800.00 a) Armidale, NSW International, Equity and Youth Division: b) provide universities the opportunity to share I. Member Consultations information about alternatives to the tertiary a) Country Comfort Lennons Hotel, Brisbane entrance rank for selection into university b) Member consultations on the 1996-97 AIEF c) 47 Business Plans d) yes c) 46 e) University of New England d) no f) $4,000.00 e) n/a OECD seminar f) n/a a) Sydney, NSW a) University of NSW Union—Sydney b) to meet Australia’s commitment to follow up b) Member consultations on the 1996-97 AIEF issues of relevance raised by the OECD Thematic Business Plans Review of the First Years of Tertiary Education c) 117 c) 33 d) no d) yes e) n/a Wednesday, 11 November 1998 SENATE 195

f) n/a d) Yes a) University of WA—Perth e) Contracts were negotiated with: b) Member consultations on the 1996-97 AIEF 1—University of NSW Business Plans 2—Jessica Ramsden-Smith c) 42 3—Inter-Group Conventions and Expositions d) no Limited e) n/a f) 1—$17,000.00 f) n/a 2—$46,857.00 a) Country Comfort Inn—Adelaide 3—$18,000.00 b) Member consultations on the 1996-97 AIEF IV. Rural Youth Information Officers Conference— Business Plans 30 April—2 May 1996 c) 46 a) Rydges Hotel, Canberra d) no b) e) n/a . to provide specific training for Rural Youth f) n/a Information Service (RYIS) Officers identified through a needs assessment process; and a) University of Melbourne—Melbourne . to disseminate information to RYIS Officers b) Member consultations on the 1996-97 AIEF on Commonwealth policies and programs of Business Plans relevance for their service provision to young c) 102 people from rural and remote regions d) no c) 18 RYIS Officers e) n/a d) Yes f) n/a e) A J Mountford & Associates, Melbourne II. 1996 AIEF Business Meeting f) $9,900.00 a) Adelaide Hilton—Adelaide Employment and Purchasing Division b) According to the Terms of Reference the I. Meeting of Chairs of Area Consultative Commit- conference was for: tees a review of performance against the AIEF Busi- a) Parliament House, Canberra ness Plans; b) Meeting of the Chairs of ACC with the a report and discussion on outlook for the AIEF; Minister for Employment, Education, Training and presentations for Counsellors posted to Australian Youth Affairs Diplomatic Missions and the opportunity for AIEF c) 62 ACC Chairs plus 20 Departmental Officers Members to discuss issues with the Counsellors; d) No and e) N/a reports on recent AIEF Council research projects. f) N/a c) Estimated to be 200 II. Meeting of Chairs of Areas Consultative Com- d) Yes mittees e) Simon Monk, Australian Science Network was a) Parliament House, Canberra the successful tenderer b) Meeting of the Chairs of ACC with the f) $47,603.00 Minister for Employment, Education, Training and III. Australia India-New Horizons—Education and Youth Affairs Training Components c) 58 ACC Chairs, 53 ACC Executive Officers a) Taj Palace, Delhi India plus 20 Departmental Officers b) To enhance the mutual understanding of each d) No country’s education and training systems and e) N/a cultures, to identify and develop areas for collabor- ation and cooperation, raise awareness of the f) N/a quality of education and training services in Schools Division Australia and consolidate our position in India I. 1996 National Professional Development Pro- c) Estimated to be 930 gram (NPDP) National Conference 196 SENATE Wednesday, 11 November 1998

a) Melbourne Business School, Carlton Victoria buted an estimated $3.2 billion to the Australian b) Report on and assess the progress and out- economy in 1997. The purpose of the Conference comes of projects funded under the NPDP, a was to share information about developments in program funded by the previous government international education and to plan and develop appropriate strategies and initiatives aimed at c) 125 retaining and increasing Australia’s market share. d) Yes Adelaide e) The National Education Forum, who also subcontracted the National Curriculum Services e) about 700 Australian and international deleg- f) $100,000.00 ates II. OECD-CERI Regional Conference on Science, f) No Mathematics and Technology Education g) n/a a) Rydges Hotel, Canberra nd b) to encourage national and international II 2 Australia Taiwan Vocational Education and exchange of ideas and practices in science, math- Training Conference ematics an technology education a) $40,000 c) 120 invited guests b) less than 25 percent d) Yes e) Australian Science Teachers Association c) The rationale for sponsorship was to foster the bilateral relationship with Taiwan in the Vocational f) $46,284.00 Education and Training sector by facilitating the III. Early Literacy Component Conference exchange of information and providing a catalyst a) Westside Hotel, Hobart for the creation of bilateral links at the institutional and enterprise level. b) An information sharing activity for all State and Territory Early Literacy Component Officers d) Yaun Ze University, Taiwan. c) 75 e) about 220 delegates, including approximately d) No 40 Australian representatives e) n/a f) No f) n/a g) n/a 3. Higher Education Division: Conference on Funding Higher Education: Perform- Employment and Purchasing Division ance and Diversity I ‘PATHWAYS TO THE FUTURE’—International a) $30,000 Indigenous Economic Development Conference b) 48% of total cost a) The total cost to the Department $60,547 c) the Commonwealth contributed to the funding of the conference as it provided a forum for wide b) The Commonwealth contributed $ 121,094, discussion of current thinking in regard to the which was 65% of the total Conference of financing structures of higher education $187,864. ATSIC contributed the balance of the Commonwealth funds d) Stamford Plaza, Adelaide e) 90 c) The Conference arose from a recommendation of a joint Australian/OECD study tour on Indigen- f) Yes, Professor Paul W Miller, Professor ous economic development, undertaken in October Jonathon J Pincus and Jan Holmes 1995. The Conference aimed to bring together g) $5,000 representatives from government, business and International, Equity and Youth Division indigenous peoples to explore ways to improve the economic situation of Indigenous people. I. 10th Australian International Education Confer- ence d) Plaza Hotel, Darwin, NT a) $90,000 (not including the cost of bringing e) 250 participants registered overseas Counsellors to Australia for the Confer- ence) f) Yes. CARILLON Conference Management b) about 40% g) The Consultant was paid $28,750 and this was c) The sale of Australian education to fee-paying entirely funded from the Commonwealth’s contribu- overseas students is a major industry which contri- tion. Wednesday, 11 November 1998 SENATE 197

Drought Exceptional Circumstances Senator Parer—The Minister for Primary Assistance Industries and Energy has provided the (Question No. 1274) following answer to the honourable senator’s question: Senator O’Brien asked the Minister repre- senting the Minister for Primary Industries (1) (a) The Victorian Government first raised the and Energy, upon notice, on 23 July 1998: matter of a possible DEC application with officers of the Commonwealth Department of Primary (1) (a) When did the Victorian Government first Industries and Energy in late 1997. (b) The matter raise the matter of drought exceptional circum- was raised in a telephone conversation. stances (DEC) assistance for East Gippsland with the Minister or the department; and (b) how was (2) (a) The Victorian Farmers Federation con- the matter raised. tacted the Minister on 22 December 1997. (2) (a) When did the Victorian Farmers’ Feder- (b) The matter was raised in a letter. ation first raise the matter with the Minister or the department; and (b) how was the matter raised. (3) (a) The Minister received the Victorian application for assistance on 5 January 1998. (3) (a) When did the Minister receive an applica- tion for assistance; and (b) who lodged the applica- (b) The application was lodged by the Hon tion. Patrick McNamara, MP, Deputy Premier and Minister for Agriculture and Resources in Victoria. (4) Did the Minister or the department seek further information from the Victorian Government (4) Further information was sought by the Bureau or the Victorian Farmers’ Federation following the of Resource Sciences by telephone on 17 February lodgement of the applications; if so, when was the 1998 from the Department of Natural Resources request made and when was the information and Environment in Victoria. This additional provided. information was provided on 24 February 1998. (5) (a) When was the matter referred to the Rural Further information was provided by Victoria to Adjustment Scheme Advisory Committee officers of the Commonwealth Department of (RASAC); (b) when did RASAC report to the Primary Industries and Energy and to RASAC Minister on the matter; and (c) when did the during the RASAC inspection of the area on 2-3 Minister take a submission to Cabinet in support of March 1998. the application. (5) (a) The matter was referred to RASAC on 22 (6)How many people have so far applied for January 1998; assistance through DEC. (b) RASAC reported to the Minister on 24 March (7) (a) How many people are in receipt of 1998. benefits; (b) many people are currently being assessed; and (c) how many people have been (c) the Minister took a submission to Cabinet on refused assistance. 30 March 1998 supporting the application. (8) (a) How many people are in receipt of: (a) an (6) There have been 289 applications for Rural interest rate subsidy; (b) an exceptional circum- Adjustment Scheme (RAS) DEC interest rate stances relief payment; (c) special access to health subsidies in East Gippsland up to 4 August 1998. care card and family payments; and (d) Austudy. There have been 558 applications for the Excep- (9) What is the basis for rejection of some tional circumstances Relief Payment (ECRP). applications for assistance. (7) (a) As at 4 August, there are 181 farms in (10) What is the average time between an East Gippsland receiving DEC interest rate subsi- application for assistance being lodged and the dies and 413 families in receipt of the ECRP. assistance being provided. A total of 844 EC certificates have been issued (11) Is assistance payable for the date that DEC up to 4 August 1998. is approved for a region or from the date an application for assistance is lodged (b) There are 30 applications for DEC interest rate subsidies and 60 ECRP applications currently (12) What are the current means and asset test being assessed. applied to applicants for assistance through DEC. (c) 78 applicants for DEC interest rate subsidies (13) How has the Minister applied the means test and 85 ECRP applicants have been refused assist- to farmers who were forced to divest themselves of ance. stock as part of the Victorian Government’s compulsory Ovine Johnes disease eradication (8) (a) There are 181 farm businesses currently program in early 1997. in receipt of DEC interest rate subsidies. 198 SENATE Wednesday, 11 November 1998

(b) There are 413 farm families currently in re- (d) Information on the number of rural students ceipt of the ECRP. taking advantage of the Youth Allowance (formerly (c) All farm families in receipt of the ECRP Austudy) concession available in EC areas is not automatically receive a Health Care Card. All yet available. ECRP recipients with children are eligible for (9) In relation to DEC interest rate subsidy sup- Family Payments. port, the reasons for rejection were:

Future profitability not demonstrated given limited productive capacity & debt level 67% Either not in need as trading profitably or off-farm assets exceed limit 18% Either not farmers or less than 75% of labour involved in farming 6% Debt level too high to demonstrate future profitability 4% Either outside declared EC area or had irrigation water right 5% The main reasons for rejection of ECRP claims have been: No DEC certificate provided Income, either from farming or non farming sources, precludes entitlement Asset level (non-farming assets) precludes entitlement Not a farmer, generally where farming is not the primary source of income

(10) The average time between receipt of an RAS Authority shall consider the total amount application and approval for DEC interest rate of interest payable per annum, the estimated subsidy support is 16 days. farm surplus over the medium term, and the The time between an application for ECRP applicant’s equity in the farm business in assistance being lodged and the assistance being relation to the amount of current and future provided is usually within the set standard of 28 indebtedness, together with both farm and off- days. This is dependent on farmers providing all farm assets and income the details required at the time the application is (b) the provision of support under these made; in most instances this would be within 14 guidelines is necessary to achieve the strategy days. In some circumstances where the standard has as outlined in Clause 1 of these guidelines not been achieved it has taken time for farmers to provide current income details. (c) without support under these guidelines the farm unit would not have the capacity to (11) When EC is declared in an area, a "grace" achieve or maintain sustainable long-term period of approximately 2 months is allowed for profitability ECRP applicants to receive payments backdated to the date of declaration. In the case of East Gipps- (d) in assessing the likelihood of the farm land, farmers who applied for an EC certificate on enterprise being profitable in the long-term, or before 31 May 1998 were issued with a certifi- the following factors shall be taken into cate valid from the date of declaration (30 March account by the State RAS Authority 1998) allowing ECRP payments to be backdated to (i) the farm is subject to a program of pro- that date. ductivity improvement or skills enhance- In the case of DEC interest rate subsidies, the ment under normal provisions of the 1992 "anniversary date" from which support is provided RAS scheme and/or the farm is able to is the date on which the application is lodged. demonstrate that it has operated without normal RAS support in at least two of the (12) The current means and asset tests applied in past five years the case of DEC interest rate subsidies is contained in the policy guidelines applying to this support. (ii) the expected future capacity of the farm The relevant clause from the guidelines is set out to operate profitably (without Government below: support) as measured by its ability to meet, (3) Assessment Criteria from estimated surpluses, its future financial commitments relating to In assessing the eligibility of a farm enterprise for an interest subsidy the State RAS Authori- (A) the farm operating costs ty shall be satisfied that: (B) living costs of the farm family (a) the farm enterprise is in financial difficulty (C) servicing of the farm debts due to exceptional conditions, referred to in Clause 1(a). In considering whether a farm (D) future capital requirements for plant enterprise is in financial difficulty, the State and improvements; and Wednesday, 11 November 1998 SENATE 199

(E) investment requirements to return the Income Test farm to profitability If a person earns income of less than $60 per (iii) the long-term economic trends which fortnight, payment is not affected. If the person impact on the farm enterprise earns less than $140 per fortnight, the rate is reduced by 50 cents in the dollar for every dollar (iv) the demonstrated technical, financial of income above the $60 free threshold. Any and business management performance of amount earned over $140 in a fortnight reduces the the applicant payment by 70 cents in the dollar. This income test (v) the provision of financial support for the is applied to income from all sources, including any farm enterprise by commercial lenders estimated farming income that may be earned. through the exceptional circumstance and (13) For the purpose of DEC interest rate subsidy beyond; and assessment, any stock sale proceeds and/or compen- (e) the applicant has disposed of sation money as a result of Ovine Johnes disease eradication has not been an issue in determining (i) all non-essential farm assets, and eligibility—ie such funds are not included in any (ii) off-farm assets, such that the net value means test. of off-farm assets is not in excess of In calculating the rate of ECRP the Farm House- $178,500 on commercial terms and applied hold Support Act 1992 at section 24A allows the the proceeds to the farm business (except proceeds from a forced disposal of livestock to be where this would result in extreme hardship disregarded when the disposal occurs in the period to the applicant). Investments in bona fide during which the farmer holds a valid EC certifi- insurance and superannuation funds are cate and the proceeds are deposited as required by exempt from the off-farm assets test the Act. This means that where a farmer receives (f) under normal circumstances, the appli- the proceeds from the forced disposal of livestock cant contributes at least 75 per cent of through a disease eradication program during the his/her labour to the farm enterprise, at least period the farmer has an EC certificate, those pro- 50 per cent of income is derived from ceeds will not be counted as income when they are farming, and has been a farmer for at least deposited as required by the Act. two years Action Plan for Australian Agriculture (g) the applicant’s property is now affected by exceptional circumstances as defined in (Question No. 1280) Clause 1(a) of these guidelines Senator O’Brien asked the Minister repre- (h) loans supplied by a commercial institu- senting the Minister for Primary Industries tion, vendor or by private arrangements, are and Energy, upon notice, on 29 July 1998: provided on commercial terms at arms length and the interest rate charged by the (1) How many copies of the document ‘Action lender is competitive with that which is Plan for Australian Agriculture’ were produced; and generally applicable to the type of loan(s) (b) what was the cost of producing the document. being subsidised (2) (a) How many copies of the document were (i) support will not be available to farms in distributed; (b) to whom were they distributed; and irrigation districts, other than dryland farms, (c) what was the cost of distributing the document. except for farmers who derive more than 20 per cent of farm production from irrigated (3) (a) Which rural and other industry bodies agriculture and whose water allocations are were consulted as part of the preparation of the 80 per cent or less of their normal water document; (b) on how many occasions were they allocations in 1996/97 and 1997/98. consulted; and (c) where did the consultation take place. The current means and asset tests applied to the ECRP are: (4) (a) Which rural community groups were consulted in the preparation of the document; (b) Assets Test on how many occasions were they consulted; and (c) where did the consultations take place. If a farmer has non farming assets in excess of $125,750 for a single homeowner or $178,500 for (5)(a) Which State government and State agen- a married homeowner no payment is allowed. cies were consulted in the preparation of the Where the farmer does not own the home property, document; (b) on how many occasions were they the amount of assets allowed is higher but this consulted; and (c) where did the consultations take situation is not common with farmers. place. 200 SENATE Wednesday, 11 November 1998

(6) What was the cost of the consultative process Australian Dairy Farmers Federation, QLD Rural followed as part of the preparation of the docu- Industry Training Council, Supermarket Institute of ment. Australia, Woolworths Limited. In addition Super- market to Asia Council, Murray Darling Basin Senator Parer—The Minister for Primary Commission, Dubbo City Development Corporation Industries and Energy has provided the and the Bureau of Meteorology were also consulted following answer to the honourable senator’s on a draft of the Plan. question: All participants of the roundtables and SWOT (1) (a) 120,000 copies of the Action Plan were workshop were invited to comment on a draft of printed. the Plan in September 1997. Subsequent consulta- tion was undertaken with each group who com- (b) The total cost was $185,780. mented on the Plan in January 1998. (2) (a and b) 114,00 copies mailed to all farmers (c) The three roundtables and the SWOT work- in Australia; 500 copies at the launch; 400 copies shop were held in Canberra, individual consulta- to members of Parliament; 152 copies to peak tions were conducted in New South Wales, South industry groups and state officials; 130 copies to Australia, Victoria, Queensland and Western Parliamentary press gallery; 30 copies overseas Australia, consultation was also conducted via posts; remaining copies distributed upon request. written correspondence. (c) The total estimated cost of mailing the (4) (a) Rural community groups were not con- document is $163,000. sulted directly. The consultation process was (3) (a and b) The consultative process was under- directed at industry and agricultural bodies. The taken in two stages. Two roundtables and a SWOT Action Plan seeks to develop a partnership between workshop were held during mid 1997, at these industry and government. Participants of the Rural meetings key representatives from agriculture and Women’s Roundtable held in December 1997 did associated industries were invited to participate to however have strong affiliation with rural com- establish the framework for the Action Plan (20 munity groups. people attended each meeting). A third roundtable was held in December 1997 specifically for rural (5) (a and b) Natural Resources and Environment women (16 women attended). Rural and other Victoria attended the SWOT workshop. State industry bodies represented at these meetings were; Ministers as members of the Agriculture and National Farmers’ Federation, Victorian Farmers’ Resource Management Council of Australia and Federation, Queensland Farmers’ Federation, United New Zealand (ARMCANZ) were consulted on a Graziers’ Association of QLD, The Cattlemens’ draft of the Plan in June 1997. The following State Union of Australia Inc, WA Farmers’ Federation governments and State agencies were provided with Inc, Pastoralists’ & Graziers’ Association of WA copies of a draft of the Plan for comment in the Inc, SA Farmers’ Federation, Tasmanian Farmers’ second part of 1997; Queensland Department of & Graziers’, NT Cattlemens’ Association Inc, Natural Resources, Department of Primary Industry Australian Conservation Foundation, Foundation for and Fisheries Tasmania, NSW Agriculture, Natural Australian Agricultural Women, Australian Apple Resources and Environment Victoria, Sydney and Pear Growers’ Association, Horticulture 2000, Water, Queensland Department of Primary Indus- Rural Training Council of Australia, Shires Asso- tries, NT Department of Primary Industry and ciation of NSW, Monaro Rural Counselling Ser- Fisheries, Agriculture Western Australia, Primary vice, Australian Women in Agriculture, Country Industries South Australia. Women’s Association, Australian Cane Growers Consultation occurred relating to the penultimate Council, ANZ Bank, Woolworths Limited, Chair of draft of the Action Plan in June 1998 with; NSW Chairs R&D Corporations, CSIRO, Effem Food Pty Agriculture, Agriculture Western Australia, Depart- Ltd, Westpac Banking Corporation, Agknowledge, ment of Natural Resources and Environment SBC Warburg, Horticultural Research & Develop- Victoria, Primary Industries South Australia. ment Corporation, Australian Food Council, Landcare Australia Ltd, Murray Catchment Man- (c) The roundtables and SWOT workshop were agement Committee, Kondinin Group. Consultation held in Canberra, individual consultations were also occurred relating to the penultimate draft of conducted in New South Wales, South Australia, the Action Plan in June 1998 with; National Victoria, and Western Australia, consultation was Farmers’ Federation, Victorian Farmers’ Federation, also conducted via written correspondence. Queensland Farmers’ Federation, United Graziers’ Association of QLD, WA Farmers’ Federation Inc, (6) The total cost of the consultative process SA Farmers’ Federation, Australian Horticultural followed as part of the preparation of the document Corporation, Winemakers Federation of Australia, to date is $42,700. Wednesday, 11 November 1998 SENATE 201

Bougainville: Landmines and Booby booby traps on Bougainville. In 1992, an Australian Traps company did demonstrate its operational grenades to the PNGDF in PNG. However, no sales resulted. (Question No. 1315) Senator Margetts asked the Minister Medicare: Alternative Medicine representing the Minister for Defence, upon (Question No. 1318) notice, on 6 August 1998: Senator Margetts asked the Minister With reference to reports from Bougainville that representing the Minister for Health and a young boy was badly injured by a ‘landmine’ Family Services, upon notice, on 19 August which contained ball bearings and was tripped by a cord: 1998: (1) Does the Minister consider that civilian lives (1) When provided by a registered medical are still in great danger from landmines and booby practitioner, does Medicare refund for (a) ozone traps on Bougainville which have been set by the therapy; (b) remedial massage; (c) herbal medicine; Papua New Guinea Defence Force. (d) naturopathy; (e) homoeopathy, (f) chiroprac- tic/osteopathy; (g) acupuncture; and (h) iridology. (2) Are there any members of the Australian Defence Force (ADF) on Bougainville who have (2) Given that (a) various countries set the the expertise to dismantle these booby traps and education gold standard for manipulation via landmines; if not, has any consideration been given registration of chiropractors and osteopaths; (b) the to sending ADF personnel with such skills to Federal Government finds tertiary education at that Bougainville. standard; and (c) the State and Territory Govern- ments license graduates of those courses: does the (3) Is it possible that these booby traps could be undergraduate education in medicine provide hand grenades manufactured by Australian Defence equivalent education and clinical experience in the Industries with the trip wire option attached; if so, following non-medical procedures to equip general what action will the Government take to prevent practitioners to practice: (a) iridology; (b) ozone the use of these insidious weapons that have therapy; (c) remedial massage; (d) herbal medicine; escaped the ban under the landmines convention on (e) naturopathy; (f) homoeopathy; (g) chiroprac- a technicality. tic/osteopathy; and (h) acupuncture; if not, what Senator Newman—The Minister for De- post graduate education and clinical experience is fence has provided the following answer to needed to equate general practitioners with the the honourable senator’s question: unique competency in these areas. (1) There is evidence of landmines and booby (3) Do medical registration boards require a traps in several areas of Bougainville. All factions distinct equivalent qualification prior to medical involved in the conflict have claimed responsibility practitioners being permitted to hold themselves out for employing these weapons. Thus, a degree of to practice and charge for: (a) iridology; (b) ozone threat to the civilian population remains. therapy; (c) remedial massage; (d) herbal medicine; (e) naturopathy; (f) homoeopathy; (g) chiroprac- (2) There are presently no ADF personnel on tic/osteopathy; and (h) acupuncture; if not, where Bougainville who are trained in Explosive Ord- did the medical profession acquire its educational nance Disposal. Consideration was given by the and research background in these areas. Peace Monitoring Group (PMG) to deploy such personnel. However, it was assessed that the pres- (4) What government body sets the prerequisite ence of explosives did not present a sufficiently educational and clinical experience requirements for serious threat to PMG personnel. No member of the Medicare reimbursements, if any) in: (a) iridology; PMG has been injured by a mine or booby trap on (b) ozone therapy; (c) remedial massage; (d) herbal Bougainville. Further, the PMG’s medical team has medicine; (e) naturopathy; (f) homoeopathy; (g) neither seen nor treated any local person injured by chiropractic/osteopathy; and (h) acupuncture. a mine or booby trap. (5) How does Medicare differentiate between (3) During the last eight years, a quantity of general practitioners who have no training in each smoke or training (non-operational) grenades, of these modalities and those who have attained practice grenades and practice grenade fuses have equivalent standards. been exported to Papua New Guinea (PNG) by (6) What is the minimum post-graduate education Australian industry. However, there is no record of and clinical experience in spinal manipulation operational grenades, or firing devices demolition, required by Medicare prior to reimbursing that being exported to the PNG Defence Forces service by a general practitioner. (PNGDF) by Australian industry during this time. Given the nature of these items, it is highly unlike- Senator Herron—The Minister for Health ly that Australian grenades have been used as and Family Services has provided the follow- 202 SENATE Wednesday, 11 November 1998 ing answer to the honourable senator’s ques- the professional responsibility of individual medical tion: practitioners to ensure that they are appropriately qualified to provide any particular service. This (1) Medicare benefits are payable for professional general principle would apply equally to services services listed in the Medicare Benefits Schedule relating to iridology, ozone therapy, remedial mas- (MBS) on the proviso that the service is clinically sage, herbal medicine, naturopathy, homoeopathy, relevant and rendered by a medical practitioner. A chiropractic/osteopathy and acupuncture. clinically relevant service is one which is generally accepted in the medical profession as being neces- It is also understood that training specifically sary for the appropriate treatment of the patient to targeted at medical practitioners in some areas, whom it is rendered. such as acupuncture, is available through the Royal Australian College of General Practitioners Ozone therapy, remedial massage, herbal medi- (RACGP). In the case of acupuncture there is also cine, naturopathy, homoeopathy, chiroprac- a body, the Australian Medical Acupuncture tic/osteopathy, acupuncture and iridology are not Society (AMAS), which represents medical acu- specifically listed as services in the MBS. Medicare puncturists and is working with the RACGP to benefits would be payable for the consultation by develop appropriate training and standards for a medical practitioner at which these services were medical acupuncturists. performed, if all the requirements of the relevant consultation item descriptor were met and the (4) There is no government body that sets services were considered to be clinically relevant. prerequisite educational and clinical experience requirements for Medicare reimbursements in (2) The regulation of health care, including the relation to iridology, ozone therapy, remedial regulation of medical practice and registration of massage, herbal medicine, naturopathy, homoeopa- medical practitioners, is a State matter. thy, chiropractic/osteopathy or acupuncture. It is understood that States do not currently (5) The Commonwealth does not discriminate require providers of iridology, ozone therapy, between general practitioners that have n training remedial massage, herbal medicine, naturopathy, in iridology, ozone therapy, remedial massage, homoeopathy or acupuncture to be registered. In the herbal medicine, naturopathy, homoeopathy or absence of any agreed standard within these areas acupuncture, and those who have not for the of practice, it is impossible to speculate what level purposes of paying Medicare benefits. of education or experience a medical practitioner As mentioned above, Medicare benefits are only would require to obtain an equivalent level of payable for services which are generally accepted competency in these areas. by the medical profession as being necessary for In relation to chiropractic/osteopathy it is under- the appropriate treatment of the patient. Where the stood that State Chiropractors Boards are respon- Health Insurance Commission suspects that a doctor sible for registering all practitioners, including is involved in inappropriate medical practice, provi- medical practitioners who wish to call themselves sions exist through the Professional Services chiropractors. The issue of what level of training a Review Scheme for the practitioner’s activities to medical practitioner must meet in order to call be assessed by their peers. themselves a chiropractor is therefore a matter for (6) There is no minimum post graduate education the State Chiropractors Boards. of clinical experience in spina] manipulation (3) The requirements of registration with State required prior to Medicare benefits being paid to a medical boards is a State matter. However, it is patient for spinal manipulation performed by a understood that medical boards (State Chiropractors medical practitioner. Medicare benefits are not Boards are not medical boards) do not require a payable for spinal manipulation per se, but for a medical practitioner to provide them with details of clinically relevant consultation at which spinal qualifications in relation to iridology, ozone manipulation may be performed. therapy, remedial massage, herbal medicine, naturopathy, homoeopathy, chiropractic/osteopathy Civil Aviation Authority: Supplementary or acupuncture before the medical practitioner can Answer to Question No. 1122 provide such services. (Question No. 1122) It is not possible to state how the medical Senator O’Brien asked the Minister repre- profession as a whole acquired its educational and research background into the areas of iridology, senting the Minister for Transport and Re- ozone therapy, remedial massage, herbal medicine, gional Development, upon notice, on 23 June naturopathy, homoeopathy, chiropractic/osteopathy 1998 (Hansard page No. 3888) the following or acupuncture. question: In the absence of any regulation or recognised (1) Was a report on sexual discrimination training options, it is generally expected that it is prepared for the Civil Aviation Authority (CAA) in Wednesday, 11 November 1998 SENATE 203

1994; if so (a) when was the report commissioned; (5) Was Dr Helen James an employee of the (b) when was it completed; (c) why was it commis- CAA; if so: (a) when was she appointed; and (b) sioned; and (d) was the report prepared by Ms when did her employment cease and why did she Carmel Niland. leave the CAA. (2) Can a copy of the report be provided; if not, Senator Alston—The Minister for Trans- why not. port and Regional Development has provided (3) (a) How many allegations of sexual harass- the following information in answer to the ment in the CAA, the Civil Aviation Safety Auth- honourable senator’s question: ority and Airservices Australia have been made in Airservices wishes to provide a correction to the the financial years 1993-94, 1994-95,1995-96, information provided for Parliamentary Question 1996-97 and so far in 1997-98 and (b) where were No. 1122, also at the 9 June 1 998 estimates the officers making the allegations based. hearing. At the hearing the four formal cases were (4) (a) How was each case dealt with; (b) who attributed to the states of NSW and Queensland. was the senior officer responsible for each case; (c) This in fact was incorrect with one case actually what was the outcome of each case; and (d) were occurring in Victoria. The following table provides any of the allegations referred to the police; if so, the correct information. Airservices apologises for what action did the police take in relation to these any inconvenience caused to Senator O’Brien due allegations and what resulted from that action to this error.

Location Time Outcome 1. Sydney February 1994 Alleged harasser proceeded to Federal court. Matter settled out of court on 18 July 1996. Mediation process was undertaken and the terms are the subject of a confidentiality agreement. Nine recommendations from the internal mediation were implemented. 2. Melbourne April 1994 Internal investigation. Matter resolved at local level. Alleged harasser removed from supervisory position. Education program conducted. 2. Sydney May 1995 Program of education for all concerned staff imple- mented and normal working environment was re-estab- lished. 4. Rockhampton September 1996 Sub-contract cleaner made allegations to Queensland Anti-Discrimination Board re inappropriate materials in the workplace. Allegation withdrawn January 1997.