Category Archives: Public Housing

Campaign Activates
to Drive Down the
Unaffordable Rents
in Australia

As Chinese Premier Arrives for Australia Visit,
Rally Demands that China’s
Pro-Working Class Housing Policies
Be Implemented Here in Australia

Campaign Activates
to Drive Down the
Unaffordable Rents
in Australia

16 June 2024: Literally millions of Australia’s working poor, old-aged pensioners and unemployed workers are being driven into hardship by soaring rents and house prices. Therefore, to re-activate with new urgency a campaign to drive down Australia’s unaffordable rents, a rally and march was conducted yesterday to demand the measures needed to drive down rents. The action called for a massive increase in public housing and for the measures needed to release into the housing supply the vacant homes of the ultra-rich. The protest was organised by Trotskyist Platform and the Australian Chinese Workers Association.

Many of the measures needed here are being successfully implemented by the socialistic Peoples Republic of China to ensure adequate housing for her lower-income workers, younger workers and aged and disabled pensioners. That is why yesterday’s rally was timed to coincide with the visit to Australia of China’s premier, Li Qiang. As the call-out for yesterday’s rally put it:

“We demand that instead of delivering hypocritical lectures to China over `human rights’ and spending huge resources in a provocative military buildup targeting China, the Australian regime starts implementing China’s pro-working class housing policies. Australia’s super-rich ruling class are happy to take huge amounts of China’s money from their exports to China, we demand that they also take China’s `Houses are for living, not for speculation’-policy home!”

Yesterday’s action began with an introduction by rally emcee, Yuri Gromov, who is also the editor of The Spark – the journal of Trotskyist Platform. The following were his introductory remarks (all the speeches quoted in this article have been edited for publication):

“We are gathering here today on the stolen land of the Gadigal people of the Eora Nation to fight against the unaffordable rents and house prices in Australia.

“The housing affordability crisis indeed highlights the intense current and historic racist oppression that Aboriginal people face. The last census showed that the rate of homelessness for First Nations People was eight times higher than for the rest of the population.

“The lack of affordable housing and rental accommodation is hurting nearly all working class people. According to the Australian census in 2021 more than 122,000 people were officially homeless. Everyone can see from observing the streets that homelessness has surged since then. For every homeless person and for many more on the verge of becoming homeless, skipping meals and postponing essential medical and dental consultations is commonplace. Parents are faced with a terrible choice: not pay for a child’s school excursion or not to pay rent.

“The Sydney median rent is now $770 per week – 87% of the minimum wage for a full-time worker! Many younger workers are not able to get full-time work and so can’t afford rent. The rental crisis is also hurting older working class people. Many who are now living in caravans and cars are middle-aged and older single women.

“The lack of affordable accommodation is causing more domestic violence against women – many women in abusive relationships have no choice but to remain where they are to just keep a roof over their (and their children’s) heads.

“This crisis is a result of the failure of the so-called `free-market’ system. Profit-driven developers know that they can make more profit building extravagant homes for the wealthy than homes affordable to the poor. So, while the rich have many homes to buy up for themselves, there is a huge shortage of homes that working class people can afford to rent or buy.

“That is why we need public housing. Which is exactly what Australian governments of all stripes have been busy selling off. The proportion of people in public housing in Australia is now less than 3%. This proportion is half what it was 25 years ago. And this privatisation of public housing has been taking place whether it is the Liberals, the ALP or an ALP-Greens coalition in office.

“With so little public housing left, private landlords can jack up rents because tenants have nowhere else to go. So, we are here today to demand an end to all selloffs of public housing and, instead, call for a massive increase in public housing. With Australia’s capitalist government only serving the big end of town no matter which party is in office, we know that the only way we are going to win these demands is through mass struggle. Today’s rally is part of building for the type of mass class-struggle action that we need.

“With the rental crisis so severe, people need immediate relief even before more public housing can be built. Therefore, we call for measures to force the super-rich to release their vacant homes into the housing supply. The last census showed that 10% of Australia’s dwellings were unoccupied. Many of these are homes the super-rich keep just for speculation or as multiple vacation homes. Such housing speculation by the wealthy is encouraged through generous tax concessions that the government gives for negative gearing and capital gains. We say that these tax concessions should be ended and the public money that’s saved should be diverted into public housing. We demand a ban on people owning more than three homes. That way the ultra-rich will be forced to release many of their vacant homes into the housing supply. 

“Ruling class commentators say that such restrictions on the `free market’ and a focus on public housing is impractical. They say that it is outdated and that it goes against the laws of economics. However, there is a huge problem with that kind of argument. For Australia’s biggest trading partner and the number one economic success story of the 21st century, that is the Peoples Republic of China, actually does have a focus on public housing and measures to reduce housing speculation. Indeed, the official name of China’s housing policy is: `Houses are For Living, Not for Speculation.’ Under this policy many parts of China restrict the amount of homes that the wealthy can own. In her capital Beijing, for example, only residents of the city can buy homes and are restricted to owning two homes per individual or family plus an additional home in the far outer suburbs.  

“Moreover, socialistic China has focused on providing public housing for her lower-income people. More than one out of every four homes in China is now public housing. By contrast, just one out of every 36 homes in Australia belongs to the public housing stock.

“In just a few hours time, the Chinese premier Li Qiang will land in Australia for a high-profile visit. In the lead-up to the visit, the Australian media have been attacking China over supposed aggression and supposed `human rights violations’. We demand that instead of making such lying attacks on China, Australia’s capitalist rulers implement China’s pro-working class housing policies here. Working class people in Australia desperately need this.”

Rally emcee Yuri Gromov (who is also editor of the Trotskyist Platform Journal, Spark) introduces the 15 June protest action against unaffordable rents

The rally was then addressed by Chairman of the Australian-Chinese Workers Association, David Chen:

“The Australian Chinese Workers Association is proud to be one of the endorsers of this action to fight for lower rents and lower housing costs. I want to acknowledge that we are gathering here on the stolen Aboriginal land of the Gadigal People of the Eora Nation.

“Rents have now reached unbearable levels for working class people. Even in working class Granville in Western Sydney, an area that I am familiar with, the median rent for a two bedroom apartment is now $500 per week. That is nearly 60% of the minimum wage for a full-time worker! Like our fellow working class Australians of all ethnicities, ethnic Chinese workers in Australia have been suffering under these increasingly unaffordable rents and housing costs. Like many other workers in this country, many Australian Chinese workers are not using heaters during the cold winter to be able to pay rent.

“The solution to these problems is obvious. We need to force governments of all stripes to massively increase public housing. Secondly, we need to release into the housing supply the huge number of homes that the ultra-rich keep unoccupied for speculation. To do this, we must insist that the super-rich be banned from owning more than three homes.

“Do not let politicians and media tell you that this is not practical. I want to share our experience as immigrants from China. In our home country, the government has focused on public housing over the last sixteen years. Moreover, to ensure that homes go to those who need them rather than being kept by the wealthy for speculation, most parts of China have policies restricting how many homes the rich can own. For example, in Guangzhou, the biggest city in the southern Guangdong province that I am from, people can own at most two homes. Moreover, in this mega-city, more public housing is now being built than private housing.

“So, such measures are indeed very realistic. But with Australian governments serving only the ultra-rich big end of town, they are not going to implement the policies that we need to lower rents unless we force them to. So Australian working class people of all ethnicities must unite to fight for a massive increase in public housing and a ban on people owning more than three homes. We in the Australian Chinese Workers Association pledge to do all we can to support this crucial struggle.

Rally emcee Yuri Gromov then provided additional detail on socialistic China’s pro-working class housing policies:

“China’s push on public housing began around 2008 and saw the state provide 70 million new public housing dwellings in the space of a decade. This included both low-rent public rental housing and low-cost public housing which was sold to lower-middle income occupants for a 70 year period and which the occupants could only sell back to the state.

“Today, China is making a renewed push to increase the amount of public housing. Most of the new public housing will be public rental housing. According to the 2021-2025 Five Year Plan, which China is ahead of schedule to meet, 6.5 million new public rental housing dwellings are being provided to house 20 million people. Even accounting for China’s big population, this is a further huge boost to public housing in China. Proportionate to population it is the same as if 375,000 people were to be granted public housing in Australia within five years. That is dozens of times more than what the Albanese government is even promising to provide.

“Notably, a recent Chinese government announcement made a few weeks ago stated that Chinese local governments and state-owned enterprises would begin aggressively buying up excess private housing and turning them into public housing. This is the direct opposite of the privatisation of public housing that Australian governments have been ruthlessly engaged in.

“China’s policies to stop housing speculation go beyond just the restrictions on the number of homes that people can buy. For example, China’s banks are not allowed to providing housing loans to people who already own two homes. Moreover, depending on the city, laws are made to discourage the purchase of second homes. Thus, in China’s biggest city, Shanghai, people seeking to buy a second home must pay a 35% deposit on the price, much higher than the deposit needed for people buying a first home.”

Next to address the demonstration was Trotskyist Platform central committee member, Samuel Kim. He has personally felt the sharpness of Australia’s rental affordability crisis, with his landlord recently putting up his rent by around 25% in one hit. Samuel Kim began his speech by detailing the suffering caused by rising rents: “Sisters and brothers, today over 400,000 women over 45 are at risk of homelessness according to the Housing for the Aged Action Group.”

The Trotskyist Platform representative then outlined a class-struggle strategy to fight for lower rents:

“Let’s make the rich sell off their excess homes! Housing is for living in, not for speculating! Australian billionaire Mike Cannon-Brookes owns $350 million worth of property – consisting of several unoccupied lavish mansions and holiday homes. That is why we in Trotskyist Platform demand that any dwelling owned by a household with more than five million dollars worth of property assets, and is unoccupied for more than two months within a year, should be confiscated and turned into public housing.

“But how are we going to win these demands? The Liberals, Far-Right parties and Teals/independents openly serve rich property speculators. Many of these politicians themselves own multiple properties. The ALP for its part always bows to this big end of town. And these ALP politicians also own multiple properties – Albanese personally once owned four properties and Tony Burke and Linda Burney both own five properties. The Greens do offer more for renters. But the Greens’ plans are not exclusively for public housing but will see public money handed over to private landlords for so-called “affordable housing”– money that should be used to build up public housing. Moreover, because the Greens accept the dominance of the capitalist economy, the Greens never deliver on their progressive promises.

“The only way we are going to win the measures needed is through mass struggle that can force the ruling class to grant us concessions. We must especially mobilise the industrial power of the union movement in this struggle. When governments attempt to sell off public housing this should be stopped through protest occupations – like the 6 August 2017 occupation of a block in Millers Point by leftists, trade unionists and other supporters of public housing. Similarly, we should build towards mass direct actions to requisition the unoccupied housing of the ultra-rich into the public housing stock. We should build a true workers party to organise such militant struggles and to build a class struggle fight for the conversion of all gig jobs into secure, permanent ones. 

“If we are to succeed in such struggles, we must oppose the ruling class’ attempts to scapegoat migrants. It is a complete lie that migration is to blame for rising rents. After all the steepest rent rises were in 2021 when there was absolutely zero migration due to COVID travel restrictions. To stop the ruling class getting itself off the hook through diverting people’s frustrations onto others, we must go out of our way to defend the targeted groups. We must call for the full rights of citizenship for all migrants, refugees and international students. We must demand that the refugees imprisoned in PNG and Nauru be brought here and freed. And we must oppose all racist scapegoating of Aboriginal people.

“Sisters and brothers, the right to housing is one of the most basic of human rights. Yet the capitalist regime in this country, which poses such a threat to this right, also claims to be the guardian of `human rights’. In the lead-up to the Chinese premier Li Qiang’s visit, which will begin shortly, the ruling class media and politicians have been calling on Albanese to attack China forcefully over `human rights’ when he meets Li Qiang. But Albanese has no right to! For socialistic China does a far better job in ensuring housing for its masses than the capitalist rulers here. Thus, to ensure that the homes built there go to the masses, many parts of China have restrictions on the amount of homes that the rich can own. For example, in China’s biggest city, Shanghai, families and individuals are restricted to owning at most two homes. Furthermore, China has focused on providing public housing for her lower-income people. Today about 2.5% of housing in Australia is public housing, whereas in China it’s over 25%.

“So, actually, we say that it is Li Qiang who should be condemning the Australian regime for its appalling human rights failure – its failure to provide housing for all its people. And while he is at it, he should also demand that Australia’s capitalist rulers stop participating in Israel’s genocide of Palestinian people, stop its state forces from killing Aboriginal people in custody and free Australia’s four political prisoners.

“The differences in housing policy between Australia and China indeed highlight why our rulers constantly attack Australia’s biggest trading partner. For Australia’s capitalist rulers fear that the working class masses here will be inspired by socialistic China’s policies to start demanding China-style, pro-public housing policies in this country … and eventually to demand socialism as well!

“To be sure, pressured by a capitalist-dominated world and by the existence of capitalists within China, China’s transition to socialism is still unfinished, uncertain and deformed. Recently, under pressure from struggling privately-owned developers, Chinese cities have loosened, somewhat, anti-speculation policies. We say that there must be no loosening. Instead, the remaining major capitalist developers should be nationalised. There is no room for profiteers in a sector so connected with people’s well-being. This must be part of a broader program to further strengthen China’s socialistic public sector.

“For working class people here, it is important that China’s pro-working class housing direction and public sector-dominated economy remain in place. For the existence of that socialistic system strengthens our struggles for a housing and economic system in Australia that will finally look after working class people’s needs. That is why it is in the interests of working class people in Australia to oppose all the political, propaganda and military attacks against socialistic rule in China. Let’s oppose the U.S. and Australian regimes’ massive military buildup targeting China and its provocative naval missions in China-claimed waters in the East and South China Seas.

“It is important to know that Red China is able to provide large amounts of public housing for her people not only because of her policies. Her state is able to fund public housing because her economy’s most profitable sectors like energy, finance and mining are in public hands rather than being owned by wealthy tycoons. And because the majority of China’s big developers are state-owned, rather than profit-centred, public housing budgets actually go into providing public housing rather than into the pockets of wealthy capitalist contractors. Meanwhile, the fact that all China’s major banks are publicly owned means that these banks readily provide credit for public housing projects. So, a key part of fighting for the massive increase in public housing that we need here is to fight for the nationalisation of the banks and for the confiscation of Australia’s big construction and mining companies and their transfer into public hands. That in turn poses the need to struggle for an overall system based on collective ownership of the economy under the control of a workers government.

“The struggle for such a system that will meet the needs of all and not just the wealthy few will be built up through mass struggles for what working class people need right now. So, sisters and brothers: let’s work hard to build up a class struggle fight for a massive increase in public housing, for a ban on the ownership of more than three homes and for the confiscation of the unoccupied homes of the ultra-rich.”

Protesters then conducted a lively march through the streets of Sydney from Chinatown to the QVB. During the march we chanted: “More Public Housing!”, “Houses Are for Living – Not for Speculation!” and “Public Housing for You and Me – Just Like in the PRC!”.

15 June 2024: Demonstrators march through the streets of Sydney in opposition to unaffordable rents. Protesters demanded a massive increase in public housing and advocated particular measures that will forcibly release the vacant homes of the ultra-rich into the housing supply.

Outside the QVB Building, in front of a large bronze statue of Queen Victoria, that symbol of brutal British colonial power, rally emcee Yuri Gromov reiterated that the lack of affordable accommodation in Australia has nothing to do with immigration:

“The ruling class and the politicians, the media and the commentators who serve them are trying to get their capitalist system off the hook by blaming migrants. But more migrants means more people to build homes and more people to pay taxes to pay for building new homes. Migrants are not to blame for the housing crisis. Our working class sisters and brothers from all around the world are part of the solution. The rental crisis is caused by the failure of the capitalists and their so-called `free market’ system to meet the housing needs of the multicultural masses. The blame sits squarely on the shoulders of the pro-capitalist, pro-speculation policies of our governments and the massive selloff of public housing undertaken by successive Australian governments of all stripes.”

The final speaker at the action was activist Peter Butler, who has been fighting for decades for affordable rents and housing justice as a community worker, researcher and as a tenant himself. Peter Butler outlined how he saw the consequences of when local public housing estates around Campbelltown began to be sold off to private developers around the 1990s. He described the terrible effect this selloff had on many tenants, who then had nowhere to live. This was the result of neo-liberal policies, when housing became a source of profit, rather than a basic human right necessary for people’s security. Since then, things have gotten worse, with homelessness increasing, along with rental costs and shortages. Sydney is now the second-most expensive city in the world!

Now, a volunteer at a community food van, Peter Butler described the impact he has seen Australia’s rental affordability crisis have on many of his clients, with increasing pressure, especially on the most vulnerable. By comparison, in China, public housing is a common government provision.

Peter Butler noted that on the way to the rally, he saw several homeless people in the cold and rain, begging on the streets. He asked rhetorically: “Where would you rather live – in a secure apartment, even if it was small, or out on the streets?” Peter Butler insisted: “We need to return to more government provision of public housing for these people, instead of the emphasis of housing for the profit of a few.”

In his concluding remarks, rally emcee Yuri Gromov explained that: “the only way that we are going to win the housing policies that we need is through mass, class-struggle action. Today’s rally was aimed at building towards the type of action needed.” Indeed, the June 15 rally received much sympathetic interest from bystanders and passersby – many of whom stopped to pick up leaflets and listen to speeches.  The demonstration was also sympathetically covered by an article in the Australian Chinese-language newspaper Sydney Today and re-published in Chinese-language news sites in Canada and China.

Buoyed by the spirited nature of the June 15 demonstration and the impact that it had, Trotskyist Platform and the Australian Chinese Workers Association have vowed to intensify their campaign to fight for lower rents. We intend to organise follow-up actions to demand a massive increase in public housing, a ban on the ownership of more than three homes and other measures to forcibly release into the housing supply the multiple homes kept vacant by the ultra-rich. 

Massively Increase Public Housing! Expand Rental Supply Now – Confiscate Vacant Houses of the Ultra-Rich!

Photo Above: Six years ago, scores of current and former public housing tenants, trade unionists from the Maritime Union of Australia, Trotskyist Platform supporters, staunch anti-fascist activists and other supporters of public housing carried out a powerful occupation of vacant public housing dwellings at 78 to 80 High St, in inner city Sydney’s Millers Point to oppose the slated sell-off of these properties to wealthy speculators and capitalist developers. The powerful 6 August 2017 occupation demanded that these vacant public housing dwellings be made available to those on the public housing waiting list or the homeless. We urgently need such actions now on a huge scale to not only oppose all privatisation of public housing but to fight for the confiscation of the vacant homes of the ultra-rich so that they can be used for low-rent public housing.

Drive Down Rents by
Massively Increasing Public Housing!

Expand Rental Supply Now –
Confiscate Vacant Houses of the Ultra-Rich!

16 June 2023: Skyrocketing rents in Australia are driving working class people into poverty. Over the last year, rents for new leases surged by an incredible 20% in capital cities. Alongside the prices of food, electricity and fuel rising much more quickly than modest wage increases, surging rents are forcing millions of people to skip meals, stop buying fresh food, forego visits to dentists and specialists and avoid using heaters during the frigid winter, just to try and get by.

Unaffordable rents are the result of the capitalist “free market”. Developers shy away from building affordable homes because they know that they can make more profit by building expensive homes for the affluent or for wealthy investors looking to buy up houses for speculation. As a result, there is such a shortage of affordable rentals that not only are landlords able to jack up rents but low income tenants are not able to move into cheaper homes to escape soaring rents in their existing tenancies. A recent rental affordability snapshot found that just eight out of every 1000 available properties were affordable for a single person on the minimum wage lucky enough to have a full-time job! At the time of the 2021 census, over 122,000 people were homeless in Australia. Since then, the number of homeless people has skyrocketed – many of whom have jobs. Meanwhile, more and more low income women who are financially dependent on abusive partners are being hit with the terrible “choice” of either dumping their abusers and becoming homeless or trying to endure the abuse just to keep a roof over their – and often their children’s – heads.

The inevitable failure of profit-driven developers to provide affordable accommodation is compounded by the policies of federal and state governments. Not only have they favoured landlords and investors over low income tenants, they have instituted tax policies that have skewed the housing market towards speculators. Most damagingly, these governments have gutted public housing. As a result, the percentage of people in public housing in Australia has nearly halved over the last 25 years! By 2021, the proportion of public housing had plunged to just one in every 36 dwellings.

Some of the public housing sold off by governments has been turned into “community housing”. Still, over the last 25 years, Australia’s governments have slashed the total amount of “social housing” – which includes both public and “community” housing – by a quarter. Moreover, “community housing” is not public housing. “Community housing” landlords are private entities notorious for their high-handed bullying of tenants. Furthermore, because “community housing” operators are driven to either make a profit or, if they are a charity, “break even”, they bias their tenancy allocation towards those who can afford higher rents. Thus, the proportion of well-off people housed in “community housing” is nearly three times higher than in “public housing.” On average, “community housing” operators allocate one in eight tenancies to those who are in the highest 60% of income earners – many low income households thus  missing out when public housing is converted into “community housing”. Moreover, the proportion of community housing” that is tenanted by Aboriginal and Torres Strait Islander people is 20% lower than in public housing. We say: No to privatisation by stealth – Stop the sell-off of public housing to private “community housing” operators!

Bulli (NSW South Coast), 11 October 2014: Supporters of public housing from the Illawara and Sydney protest the sell-off of yet another public housing dwelling as real estate agents conducting the auction look on. The bottom slogan (which is slightly obscured in this photo) of the Trotskyist Platform banner reads: “MASSIVELY INCREASE PUBLIC HOUSING – JUST LIKE WHAT CHINA IS DOING”.
Photo credit: Adam McLean

What is needed is to massively increase the amount of low-rent public housing. This does not only mean greatly boosting the public housing budget. Currently, at every level, capitalist contractors engaged to build and maintain public housing leach off as profit a big part of housing budgets. State-owned firms must be set up to take over these tasks so that more public housing can be built for the same spending. However, all this alone will no longer be able to relieve the hardships of those hit by soaring private rents. Not only is the public housing waiting list too huge, many others eligible have not put their names on the list only because they know about the ten plus years they may need to wait to finally get a tenancy. Moreover, the criteria to even get on the list is so stringent that many who desperately need public housing can’t even get wait listed. Thus, a full-time, minimum wage worker is not even close to being eligible for public housing. To immediately boost the supply of public housing, some of the more than one million unoccupied homes (!) in Australia must be requisitioned. Many of them are owned by the super-rich who use them as holiday homes or as speculative investments. We say that any dwelling owned by a household with more than five million dollars worth of property assets that is either unoccupied or underutilised for one month – or for a total of more than two months within a year – should be confiscated and turned into public housing. Since such dwellings are often large mansions, they can be turned into dwellings for multiple households. And to the extent that the ultra-rich will let out their properties to avoid such confiscation that will, at least, reduce the demand – and hence rents – for other dwellings.

For Working Class Protest Action to Win Low-Rent Housing for the Masses

To institute the housing measures that are urgently needed, it is not only the right wing Liberals that stand in the way. All the parties currently in parliament are complicit in undermining public housing. In just the five years up to 2021, the state Labor government in Victoria slashed the proportion of public housing dwellings there by nearly 14%. For their part, the Greens, in a coalition with Labor in Tasmania in the early 2010s, were part of a state government that drastically cut the proportion of public housing dwellings, alongside slashing public housing maintenance.

Parramatta, Western Sydney, May 2012: Rally opposes the undermining of public housing by the then Labor-Greens federal government and the right-wing, Coalition state government. The demonstration instead demanded a massive increase in public housing. From our first action on the question held on 5 November 2009 outside the office of the then federal housing minister in the Rudd government (Tanya Plibersek) onwards, Trotskyist Platform has, over the last 13 years, initiated several protests (mainly in Western Sydney) opposing the erosion of public housing by successive Labor, Labor-Greens and Liberal federal and state governments. Today, with decades of erosion of public housing having done much to cause the present rental affordability crisis, the urgency of fighting for public housing is now understood by broader sections of the Left and workers movement.
Photo credit: Trotskyist Platform

Today, with a widely acknowledged rental affordability crisis, the ALP and the Greens are now keen to portray themselves as supporters of “social housing”. Labor promises 30,000 new “social and affordable” housing dwellings over five years. However, the new “social housing” will not be public housing but “community housing”. The “affordable housing” component involves subsidising landlords to offer rents 20% lower than the market rate. Yet with market rents so obscenely high, such “affordable” homes will remain out of reach for most low-paid workers and part-time workers, let alone unemployed workers and students. Moreover, as the Greens have rightly pointed out, the 30,000 “social and affordable” dwellings that Labor pledges, will not even meet half the increased need for low-rent accommodation during the next five years. The ALP’s plan is a recipe for driving even more low income renters into poverty – albeit at a slightly slower pace! The Greens plan offers more, promising $2.5 billion a year on low-rent housing. However, this is still wholly inadequate to address the huge shortfall in low-rent accommodation. This is especially so given that the Greens, as a party which accepts the dominance of the capitalist economy, has no plan for bringing the actual construction and maintenance of public housing under public ownership, thus allowing a big chunk of the housing budget to continue to be gouged away by the bosses of capitalist contracting firms. Moreover, the Greens plan is not exclusively for public housing but also for “community” and “affordable” housing. Thus, in good part, the Green’s proposals, like the ALP government’s entire plan, will see public money handed over to private landlords – money that should be used to build up public housing. The Greens do call for a freeze on rents – a measure that we support. However, such rent controls will only work if they are accompanied by measures to restrict landlords from removing properties from the rental market and skimping on repairs – measures that the Greens do not advocate. Most notably, the Greens do not even promise the housing measure that is most urgently needed: the confiscation of the vacant homes of the ultra-rich and their transfer into the public housing stock.

Ultimately, all the current parliamentary parties have no program that can truly solve the rental and homelessness crisis because they all uphold the big end of town’s “right to dispose of their property as they see fit”. To win the housing measures needed, workers, unemployed workers, low income youth, activists opposing domestic violence against women and leftists must all unite in militant protest action. There need to be mass protest occupations to stop any privatisation of public housing and to requisition the vacant homes of the super-rich into the public housing supply. In recent years there have been some actions that can inspire us on this course. On 6 August 2017, scores of current and former public housing tenants, trade unionists from the Maritime Union of Australia, Trotskyist Platform supporters and staunch anti-fascist activists carried out a powerful occupation of vacant public housing dwellings at 78 to 80 High St, in inner city Sydney’s Millers Point to oppose the slated sell-off of these properties to wealthy speculators and capitalist developers. Although after about five hours, van loads of riot police brutally broke up the action and arrested four of the activists involved, including two main organisers of the occupation – a respected long-time Millers Point tenant who had then recently been cruelly evicted from public housing there and one of our own Trotskyist Platform comrades – the action scared the then NSW Coalition government enough to temporarily restrain their broader state-wide public housing selloff. This can be seen by looking at the numbers of public housing dwellings in NSW over the last decade (see Table 18A.3, Report on Government Services 2022, Australian Government Productivity Commission). They show that during each year, the number of public housing dwellings either decreased or barely changed. The one exception is for the financial year that includes the eleven month period that followed the August 2017 Millers Point occupation – when total public housing numbers in NSW increased by over 1,100 homes. Then just last week, about two dozen people occupied the common areas of a public housing block in 82 Wentworth Park Rd, Glebe to oppose the NSW state government’s plan to demolish the block and turn the site into a larger “mixed” housing block with the public housing turned into privately-run “community housing”. The protest action, which was deemed legal by the authorities because none of the vacant units were occupied, lasted five days. It was organised by Action for Public Housing and the Anti-Poverty Centre and was supported by various socialist groups as well as by left-wing anarchists and other staunch antifascists who did much of the hard work of staffing the protest site during the nights. The action had an impact. The housing minister in the new NSW state Labor government has now promised that the site will remain entirely devoted to public housing (but without any evidence of an actual change to the formal development plan activists are rightly sceptical of this promise). 

9 June 2023, Glebe, Inner-city Sydney: Supporters of public housing protest the NSW state government’s plan to demolish the public housing complex at 82 Wentworth Park Rd, Glebe and replace it with “mixed housing” in which the existing public housing would be privatised into “community housing”. The day before, several activists began a legal, five-day occupation of the common areas of the site to help press the protesters demands.
Photo Credit: Action For Public Housing Facebook page

Yet, given the severity of the long-brewing rental affordability crisis, we need mass action on a scale and intensity much greater than anything we have seen. In particular, the power of the organised working class movement must be brought to bear. Class-struggle action to win the measures needed to provide low-rent accommodation must be combined with demands for a big increase in workers’ wages, for the conversion of casual jobs into secure ones with all the rights of permanency and for the confiscation of the power and fuel sectors and their transfer into public hands in order to drive down unaffordable living costs. To unleash the kind of struggle needed, it is not enough to energetically advocate for it. We must knock down the political obstacles that stand in the way of such struggle. Chief among these is the reality that the current leadership of the workers movement are supporters of the ALP. Especially with an ALP federal government and wall to wall Labor state governments across the mainland, they are reluctant to organise truly concerted struggle against any government policy. Instead, they tell their working class base that the ALP in office is the best that they can hope for and nothing should be done that could damage the ALP’s re-election prospects. These officials sell their ranks the lie that the ALP’s program of seeking “win-win” collaboration with the big end of town is workers’ only effective path to improving their lives. Currently, many workers grudgingly accept these claims. That is why, the struggle to mobilise determined action against soaring rents must be accompanied by a political campaign to explain that, when in government, the ALP, in the end, operates a state machine hard wired to the capitalists that is programmed to serve the big business and big property owners. In opposition to the program of the Labourites, we must win the most politically advanced workers to the understanding that the interests of working class people can only advance at the expense of the economic interests of the capitalist big-end-of-town.

Hopes in the Greens are also an obstacle to the struggle that is needed. Since the Greens do at least loudly advocate for public housing, such illusions in the Greens do exist – especially amongst progressive-minded youth. Should the Greens want to support a particular protest action in defence of public housing, they are of course free to do so. However, activists must point out not only the Greens’ own tarnished record on public housing when they have been in coalition government with the ALP in Tasmania and federally in the early 2010s but the fact that this is inevitable for any party that seeks to manage the capitalist order. Most importantly, the demands and direction of struggles must not be curtailed to win the acceptance of the Greens. We must not shy away from militant protest occupations that impinge on official capitalist “property rights” or recoil from raising the urgently needed demand to confiscate the vacant homes of the ultra-rich because we know that both these courses will scare off the Greens, who after all include wealthy capitalists amongst their ranks and their donors as well as plenty of upper middle-class, multiple property owners. Just as importantly, we must not avoid openly framing our housing struggle as one that is being waged in the class interests of working class people against the class interests of the super-rich, big property-owning class for fear of “putting off the Greens”. If we were to in this way dilute and shroud the class-struggle content of our movement it would make the movement less attractive to militant workers – the very people whose participation is key to winning victories. For the movement against unaffordable rents to acquire the pro-working class orientation, militant character and anti-capitalist demands that can make it a serious factor, the movement must be freed from all subordination to the agenda of the “progressive” wing of the big end of town, represented by the Greens. All promotion of the Greens by groups within the movement – for example, by advocacy of a vote for the Greens at elections – must be challenged.

There is another, very sinister, political challenge that faces any movement to drive down unaffordable rents. That is the fact that the capitalist class, including most blatantly the capitalist media and Peter Dutton’s Liberal Party, are increasingly seeking to blame migration for the rental affordability crisis. Their claims are a complete pack of lies. The lack of affordable accommodation is solely the result of the capitalist free market in housing and decades of government policy favouring landlords and speculative investors over tenants and low income home buyers. The ruling class wants the masses to blame anyone but themselves! We cannot let them get away with this! To the extent that the masses buy the capitalist rulers’ propaganda, it will not only divert away the movement against unaffordable rents but by inciting racist hostility to migrants and people of colour, it will divide and weaken the workers movement and its capacity to resist capitalist attacks on its living standards. That is why the workers movement and all supporters of public housing must not only oppose any scapegoating of migrants for the housing crisis but must positively mobilise to defend targeted communities against any racist, and other bigoted, attacks. We must demand freedom for and the bringing here of all refugees from PNG and Nauru. We must build mass action to defend Aboriginal people, Asians, other people of colour and the LGBTIQ community against violent far-right forces. And to stop people, vulnerable because of their insecure visa status, being especially ripped off by greedy landlords, which helps push up rents for everyone, we must fight to win the full rights of citizenship for all visa workers, international students and refugees.

The Example of Socialistic China’s Housing Policy:
“Houses Are for Living, Not for Speculation”

Those opposing an emphasis on public housing and strict controls on the housing market argue that such an agenda does not work in practice. They say it is outdated and goes against the world trend of privatisation, “user-pays” and neo-liberal deregulation. There is a huge problem with that argument, however. In Australia’s largest trading partner, the People’s Republic of China (PRC), the direction over the last decade and a half has been explicitly towards public housing and strict regulation of the housing sector. In the decade from 2008, the PRC provided 70 million additional public housing dwellings for her low and lower-middle income people. Proportionate to population size, China delivered in ten years, one and a half times the amount of public housing as what the Greens promise to provide in low-cost accommodation over twenty years. As a result, today, the percentage of China’s urban population in public housing is nearly ten times higher than Australia’s. Moreover, the PRC’s public housing drive continues. Last year, the PRC provided an additional two and a half million public rental dwellings for her people. In percentage terms, this is equivalent to 45,000 dwellings here. That means proportionate to population size, Red China in just one year provided one and a half times as much public housing as what the Albanese government promises to deliver in privately-owned “social and affordable” housing over five years. And unlike here, China does not have a homelessness crisis. Despite China (which is still trying to pull herself up from her impoverished pre-1949, capitalist days) having a per capita income some three to five times lower than Australia’s, Chinese international students entering Australia, the U.S. and Western Europe are shocked at the level of homelessness in these richer countries compared with their socialistic homeland.

Beijing, China: Tenants of a public housing complex in the Chinese capital hang out.
Photo credit: Zhu Yumeng

The PRC’s public housing drive is part of Beijing’s official housing policy that is aptly titled; “Houses are for living, not for speculation.” The PRC takes the opposite stance towards housing speculation compared to successive Australian governments. For example, most Chinese cities ban households from buying more than two homes. Needless to say, Australia’s big end of town hate the PRC’s policies. That is why their media seek to denigrate it at every possible instance. Last year, they seized on the troubles of a Chinese capitalist developer hit by the anti-speculation campaign to claim that the PRC’s “Houses are for living, not for speculation”-policy was soon going to cause the Chinese economy to collapse. Needless to say, that never happened! Today, while the capitalist Australian, American, British and German economies are either in recession or on the verge of one, the PRC’s economy surged by 4.5% last quarter. More importantly, socialistic China’s workers continue to enjoy, by far, the world’s fastest growth rate in real wages. All this is why the Western capitalist powers see China as an “existential threat.” They fear that the successes of China’ socialist alternative will encourage their own masses to also demand a system that puts the masses’ needs above big end of town profits. Frankly, that is the kind of “threat” that working class people in the capitalist West need! Let’s help “infect” Australia’s working class population with sympathy for Red China’s “Houses are for living, not for speculation” policy and her system that underpins it. The fact that China’s transition to socialism is incomplete, bureaucratically distorted and endangered by hostile elements – including by the capitalist powers internationally and by its own capitalists who long to have the right to “freely” exploit as in “normal” (that is capitalist) countries and who have a layer of academics, lawyers, journalists and politicians in the right wing of the ruling Communist Party of China doing their bidding – actually makes socialistic rule in China more in need of defence, not less. Let’s oppose the U.S. and Australian regime’s military build up against the PRC! Let’s refute their lying propaganda attacks against China! And let’s oppose the anticommunist groups within China that they support in their quest to destroy socialistic rule there!

Sydney, 2 April 2022 – Demonstrators march to demand that the measures China is using to beat poverty be applied here – including a massive increase in public housing, a guaranteed minimum wage for food delivery riders and the nationalisation of the banks. The action was built by Trotskyist Platform and the Australian Chinese Workers Association.
Photo credit: Demi Huang/New Impressions Media

The PRC’s public housing drive has been made possible not only by official policy. It is also made possible by the fact that the developers building the public housing, the steel, cement, glass and other factories providing the materials for the constructions and the banks whose loans provided part of the finance for the projects are all, overwhelmingly, under public ownership. So the PRC is able to build more public housing without having a good part of the budget leached away by capitalist profiteers. China’s system centred on public ownership was created in an inspirational revolution in 1949 that brought the toiling classes to power – albeit a power administered in an imperfect, indirect way via a middle-class bureaucracy. To ensure a system here where not only housing but also health care, aged care, education, industry, agriculture, science and culture operate for the people’s needs and not the profits of a super-rich few, the working class here will also need to take power. Let’s advance towards that goal by enhancing working class peoples’ unity, confidence in their own power and distrust of all the parties and institutions serving the capitalist class (and all its wings) in the course of hard-fought struggles to radically drive down rents, stop the plunge in the masses’ living standards and reverse the decline in workers’ real wages. Let’s build militant struggles to win a massive increase in public housing and the confiscation of the vacant homes of the ultra-rich for transfer into low-rent housing.

HIS MAJESTY’S LABOR GOVERNMENT MARCHES THE SAME PATH AS HER MAJESTY’S LIBERAL GOVERNMENT …
ONLY WITH LESS ODIOUS REGALIA

Above Left: Australia’s Labor prime minister Anthony Albanese meets with Australia’s unelected feudal, head of state for life, King Charles III a few days before the British monarch’s coronation on 6 May 2023. Above Right: Albanese arrives with his partner for King Charles III and Queen Camilla’s coronation ceremony. Albanese pledged allegiance to the new monarch.
Photo credit: AP

LIKE THE DEPOSED, MUCH HATED,
RIGHT WING MORRISON GOVERNMENT,
ALBANESE HEADS AN ADMINISTRATION

SERVING THE CAPITALIST EXPLOITERS!

HIS MAJESTY’S LABOR GOVERNMENT
MARCHES THE SAME PATH AS
HER MAJESTY’S LIBERAL GOVERNMENT
… ONLY WITH LESS ODIOUS REGALIA

27 January 2023: After nearly nine years of conservative administration, Australia’s working class masses, progressive youth, Aboriginal people and much of this country’s Asian, African, Islander and Middle Eastern-based migrant communities had been hoping that the defeat of the hated Morrison government in last May’s elections would finally bring at least a modest degree of relief from years of reactionary attacks on their rights and living standards. However, eight months later, it is clear that little of substance has changed. Moreover, the new Labor administration headed by supposed ALP “Left” Anthony Albanese has no agenda to substantially alter the course that the former right-wing government was on. As a result, the masses’ living standards continue to plunge. Workers’ wages only rise slowly, while food, gas and electricity prices are surging and petrol prices remain obscenely high. Millions of gig economy and casual workers continue to endure jobs with no security and harsh employment conditions that can be made still tougher at any time at the whim of the boss. Just look at how the 15,000 riders delivering food for Deliveroo were thrown out of work with no notice, zero entitlements and zero payout after the delivery platform wound up in Australia two months ago. Especially hard hit are the large number of low-income households that rent. Last year rents soared by more than 10%. Moreover, with so little affordable rental accommodation available, low-income households are not even able to move into cheaper dwellings to get by. As a result, not only are many unemployed workers being forced into living rough on the streets but more and more casual, part-time and other low-paid workers are being reduced to sleeping in their cars or their friends’ lounge rooms to get by. Many more are trying to make ends meet by skipping meals, foregoing essential dental visits or enduring cold winters without using the heater at all.

There are a couple of areas where the new government has moved to end especially extreme anti-working class measures imposed by the previous right-wing government. It has wound back the powers of the union-busting Australian Building and Construction Commission (ABCC). Yet, at the same time, the ALP government has committed itself to maintaining all the laws restricting workers’ strike action and union access to workplaces. The government did follow through on their promise to end the compulsory use of the cashless debit card that had been imposed on welfare recipients in some communities to control how they could spend their money. However, the Albanese government insists on continuing to subject unemployed workers to grinding poverty by refusing to make any real increases to the paltry Jobseeker payments [update – At the May 2023 budget the government did announce that JobSeeker, Youth Allowance and Austudy payments would increase from September onwards … but only by an insulting $2.60 a day!]. Albanese and his treasurer Jim Chalmers are simply not prepared to spend any of the public budget to lift these most vulnerable people out of poverty. Nor are they prepared to use public revenue to maintain funding levels for public hospitals – let alone boost them. Last October’s budget saw the federal government incredibly announce that it will cut the funding that it gives to the states to run public hospitals by $2.4 billion over four years. This is at a time when the public hospital system is so overwhelmed that patients are waiting years for surgeries deemed “elective”, ambulances are queuing in ramps outside hospital emergency departments for sometimes hours before they can get their patients admitted and nurses are being battered with ever more unsustainably high work loads due to short staffing. Yet if required to expand the wealth of the rich, ALP leaders are quite happy to drain down the public budget. Thus, Albanese and Chalmers dismissed opposition from Labor ranks and went ahead with their promised tax cuts for the wealthy.

The main difference between the current ALP government and its right-wing predecessors is merely in style and rhetoric. Morrison and Co. would oversee skyrocketing rents, falling real wages, and rising profits and then arrogantly tell us that this is all fair and we ought to work harder if we don’t like it … or buy a house if we are tenants who think that rents are too high! On the other hand, the ALP as a party with a mass working class base is careful to acknowledge “that many working people in Australia are hurting” and that “real wages need to rise.” Yet, the more sympathetic demeanour does not help workers to pay for their surging food and electricity costs and their ever-increasing rents that result from a government that continues to put the interests of the capitalist bosses ahead of the needs of the working class masses… just like their predecessors!

The divergence between the style and substance of the Albanese government is especially apparent on the issue of workers’ wages. When the Fair Work Commission (FWC) was about to make its annual setting of minimum wages last June, the Albanese government made a submission to the FWC calling for a minimum wage increase in line with the then inflation rate. This is what the FWC basically did, granting an increase in the minimum wage of 5.2% and a below inflation increase of 4.6% for other award workers. The Labor government boasted about its role in the decision and contrasted its stance to that taken by the previous Liberal-National government. The currently pro-ALP, ACTU leadership of our unions also stated that they were “really happy” with the outcome. However, the Albanese government and the ACTU tops knew all too well at the time that the inflation rate was expected to sharply rise and that by the Labor government only calling for a minimum wage increase that matched the then inflation rate, they were in effect calling for a pay cut. Seven months down the track this is all too clear. Prices have soared in this period. Annual official inflation is now 7.8% – the highest in over three decades. Most notably, food prices surged by 9.2% over the last year. As a result, the rate of price increase of non-discretionary items like food and fuel, which is what low-paid workers spend most of their money on, has surged even faster than the overall inflation rate – rising by 8.4%. Therefore, the June Fair Work Commission wage decision, so cheered on by Albanese, has in effect turned out to be a 3.2% pay cut for minimum wage workers and an even larger cut for other award workers. For many gig economy workers – like food delivery workers, Uber drivers and taxi drivers – the loss of income is even greater. Not only are they not even granted award wage increases, they have to pay out of their own pockets for the super-high fuel costs.

The reason that workers’ living standards are plummeting can be seen by comparing changes in wages with that of business profits. The latest figures from the Australian Bureau of Statistics (ABS) show that while wages only increased by 3.1% on average over the last year – that is a 4.7% cut in real wages – company profits increased by 8.5%. The profits of unincorporated businesses – overwhelmingly small businesses – increased even more sharply, surging by nearly 16%. In other words, workers are getting poorer because capitalist business owners – both big and small – are seizing as profits an ever greater share of the fruits of workers’ labour.

Australia’s capitalist bosses have been increasing the rate at which they exploit their workers not only over the last year but over the last nearly four decades. This is revealed in an index published by the ABS called the Unit Labour Cost, which shows the relative amount that bosses pay workers in wages, super and other benefits for every dollar of output value added by their workers. That Unit Labour Cost has plunged by over 21% over the last 36 years, representing the staggering increase in the rate at which capitalist business owners are exploiting their workers. This has been presided over by Liberal, Labor and Labor-Greens governments alike. Whether under the Coalition, Labor or indeed Labor-Greens defacto coalitions, the rich capitalist exploiters have gotten richer while the working class masses got poorer.

With no program to close the ever expanding income gap between the rich capitalists and working class people, the Albanese government inevitably seeks to divert the masses’ frustrations onto racial minorities by upholding the xenophobic and reactionary nationalist policies of the previous government. Thus, although the Labor government made a sop to its progressive supporters by finally ending the unpopular persecution of the Murugappan Biloela-based Tamil family, it continues to cruelly incarcerate over two hundred Asian, Middle Eastern and African refugees in off-shore detention in Nauru and PNG. To show how deeply it shares the racist refugee policy adhered to by the Coalition, immediately upon taking office, the Albanese government deported the asylum seekers who had arrived by boat on election-day from Sri Lanka. In fact, even as it slashed funding for public hospitals in its recent budget, the Albanese government increased annual spending on enforcing its offshore detention policy by a further $150 million. Meanwhile, the government has refused to offer permanent residency to those brought here for medical treatment from off-shore detention in Nauru and PNG (the “Medevac refugees”). As for their promise to grant permanency to the thousands of refugees living here on temporary visas, eight months into office this has not been implemented. This has left thousands of refugees in limbo. On top of the stress of having to reapply for these temporary visas every three or five years and not knowing if they will end up being deported at the end of a visa period, these temporary visas deny refugees the right to bring their spouses or children living abroad, the right to travel abroad, the right to have full access to social security payments, the right to university education and in the case of SHEV visa holders the right to live and work in urban areas.

22 September 2022: Some of the Trotskyist Platform signs carried at the anti-monarchy protest in Sydney after Labor prime minister, Anthony Albanese, declared the day a public holiday in honour of the late queen Elizabeth II.

Meanwhile, like its predecessors, the Labor government defends a system that continues to cruelly oppress Aboriginal people. This was signified in the ostentatious way that the government mourned over the death of Queen Elizabeth, the monarch under whom Aboriginal people were brutally subjugated and under whom generations of Aboriginal children were heinously stolen from their parents in order to be cut off from their culture and heritage. Albanese and Co. deeply offended Aboriginal people and all those opposed to colonialism by hailing uncritically the dead, war-criminal queen and by embracing the coronation of her unpopular son as king. They went event further. Seemingly trying to outdo right-wing conservatives and monarchists in adulation for the queen, the supposedly “republican” prime minister, Albanese, even decided to grant a special public holiday to mourn the passing of Australia’s unelected head of state for life. While upholding the social order that oppresses Aboriginal people, the ALP proposes to insert a token “recognition” of Aboriginal people into the constitution and to set up a powerless Aboriginal advisory body (“Voice”) to the parliament. This scheme is aimed at giving the regime the appearance that it is listening to Aboriginal people’s voices. Although the hard right-wing section of the Australian ruling class cannot stomach any recognition that Aboriginal people lived on this land for tens of thousands of years before colonial invasion, much of the ruling class see the proposed scheme as being useful because they hope that it will dampen the Aboriginal rights movement that has become more vigorous in recent years. They also think that the planned changes will persuade the broader population into having greater faith in the supposed “fairness” of the present Australian social order and, therefore, be more willing to support the ruling class’ more aggressive military and political interventions into the Asia-Pacific; as Australia’s capitalist rulers seek to, on the one hand, maintain their neo-colonial plunder and paternalistic control of the South Pacific and, on the other, play a frontline role in the Western imperialists’ Cold War drive against socialistic China. Those sections of the White Australia capitalist ruling class pushing the new scheme also want to ostentatiously display “constitutional recognition” and a nominal Aboriginal “Voice” for international consumption. They want to deflect widespread global revulsion at the Australian regime’s brutal oppression of Aboriginal people, which they know undercuts their ability to unleash (usually bogus) attacks on their enemies over “human rights.” However, most staunch Aboriginal activists have seen through the proposed measures. They have been enraged by the window-dressing nature of the “embrace” of an Aboriginal “Voice” and have skewered the tokenism of the proposed constitutional changes. At yesterday’s January 26 Invasion Day rally in Sydney, every single Aboriginal activist that addressed the issue of the “Voice” and “Constitutional Recognition” – including leading activists Gwenda Stanley, Lizzy Jarrett and Lynda-June Coe – condemned and opposed the sham plans. Nearly all the speakers at the Melbourne and Brisbane protests took the same stance. As Gumbainggir man and veteran Aboriginal militant, Uncle Gary Foley, powerfully told the Melbourne rally, the Voice would “only be cosmetic”. “Like lipstick on a pig. It will not address the deep underlying issues that still pervade Australian society and that primary issue is white Australian racism,” Foley pointed out.

Sydney, 26 January 2023: Aboriginal people and supporters of Aboriginal rights of all colours march together to protest against the racist oppression of Aboriginal people. The main banner of the thousands-strong demonstration and all the Aboriginal speakers who addressed the issue condemned the government’s “Voice” to parliament proposal as a powerless sham. Several key speakers including rally MC, Dunghutti, Gumbaynggirr, Bundjalung woman, Auntie Lizzie Jarrett also stressed that the new Labor government is just as much their enemy as the previous government.
Photo credit: Robert Wallace/ AFP

The stance taken by staunch Aboriginal activists is especially valid when the government that is pushing the proposed constitutional changes not only hails the blood-soaked, white supremacist monarchy but does nothing to stop regime personnel from killing Aboriginal people in custody and continuing to remove Aboriginal children from their families; while doing little to ensure decent housing and services for Aboriginal communities and absolutely nothing to genuinely return stolen land to Aboriginal people. Since the ALP took office, young Aboriginal people continue to die in state custody at a horrific rate and police and prison guards responsible for killing Aboriginal people continue to get away with these crimes. This has only encouraged violent white supremacists on the streets. The sickening beating to death by white racists of 15 year-old Aboriginal boy, Cassius Turvey, while he was walking home with his friends from a school in suburban Perth is a product of the White Australia capitalist “order” upheld by the Liberals, One Nation, the ALP and the Greens alike.

CLASS STRUGGLE IS THE ONLY ROAD
TO DEFEND WORKING CLASS PEOPLES’ LIVING STANDARDS

With the ALP’s working class base increasingly angry at their falling living standards, ALP leaders have been at pains to look like they are trying to lift wages. They pushed through new laws ostentatiously called the “Secure Jobs, Better Pay Bill.” As well as claiming that it will lift wages and improve job security for casual workers, Labor says that the bill will help reduce the gender pay gap. However, any benefits to workers from this bill will at best be modest and on balance it may do as much harm for workers as good. One positive aspect of the legislation is that it somewhat increases the scope for workers employed by different businesses in the same industry to collectively bargain for their rights. This partially winds back the measures introduced by the Keating Labor government in the early 1990s that restricted workers to bargaining with their bosses at a single enterprise. That system of enterprise bargaining, by curtailing the number of workers who could be united together to fight for a particular deal, reduced workers’ power and has been part of the reason why the capitalists have been able to increase their rate of exploitation of workers over the last few decades. To the extent that particular aspects of the new law undo the enforced limitation of workers bargaining to the enterprise level – that is, undo the damage done by a former Labor government – these aspects should be defended. However, we need to fight for the extension of the right to multi-employer bargaining that is far, far more wide-ranging than those very modest measures prescribed in the current law. For example, not only does the new law give small business bosses the power to refuse to be part of multi-employer deals with workers, it also gives this same power to capitalists who already have an enterprise agreement with their staff. Moreover, the legislation excludes multi-employer deals done with unions that have been involved in “repeated breaches of industrial law” – effectively preventing construction workers, mine workers, wharfies, seamen, offshore energy workers, ferry drivers and others represented by the more militant unions like the CFMMEU from engaging in multi-employer bargaining. Furthermore, in typical social democratic fashion, the ALP caved in to ruling class opposition to the pro-worker aspects of the bill from bosses’ organisations and the yuppy cross-benchers, thereby weakening them further. Thus, the extension of industry-wide bargaining prescribed in the original legislation kept on getting narrower and narrower. In the last few days before the bill was passed, the ALP government bowed to cross-bench senator David Pocock and excluded businesses with fewer than 20 employees from being compelled by the majority of their workers to engage in multi-employer bargaining, rather than the previous threshold of 15 employees. Additionally, the Albanese government agreed to changes that will make it much easier for bosses of businesses with up to 50 employees to escape multi-employer bargaining by workers.

Moreover, there are aspects of the so-called, “Secure Jobs, Better Pay Bill” that will actually help capitalist bosses to intensify their cuts to workers’ employment rights and real wages. For one, the new law includes new impediments on workers’ already very restricted right to take strike action. Workers must now go through a momentum-slowing, compulsory period of formal conciliation with the bosses before taking any industrial action. If they take action involving multi-employer bargaining they must give the bosses a full five days notice. And in a measure aimed at quashing long-running union industrial action, workers must now go through the complex process that they already need to engage in before taking industrial action – involving a time-consuming, momentum-sapping secret ballot of employees – every three months. Moreover, a measure in the bill to give the “Fair Work Commission” (FWC) the power to resolve disputes between bosses and workers through arbitration where there is no reasonable prospect of agreement being reached, will in the long run do far more harm to workers than any good. Yes, in places where workers’ unions are weaker and in the context of the workers movement having been on the back foot over so many years, it is perhaps possible that compulsory arbitration could allow some workers in the short term to receive a tiny few more crumbs from their bosses than they otherwise would. However, when the workers movement rises in a class struggle fightback – as it must – then increased arbitration powers for the FWC, which are after all the courts of a capitalist bosses-serving state, will be used to quell workers’ struggles and prevent workers from winning substantial victories through action. Furthermore, in a concession to lobbying by business groups, the ALP has introduced a measure in the legislation that will weaken the requirement that deals between workers and their bosses leave the workers nominally better-off than previous arrangements. Instead of this Better Off Overall Test (BOOT) being applied for specific changes, bosses can claim that they have met the BOOT because they have made improvements to workers’ conditions in some areas that supposedly offset cuts to workers’ rights in others. The new measure is set to open the way for business owners to drastically undercut workers’ conditions at those workplaces where workers have less bargaining power – for example, where workers’ union organisations are weaker. Indeed, secretary of the Retail and Fast Food Workers Union, Josh Cullinan, described the new law (when it was still at a bill stage before its better aspects were weakened further) as one containing “calamitous attacks on working people.” The union secretary further insisted that the (then proposed) law “does nothing to improve the job security of casual workers. In truth, it only attacks them.”

With the last eight months having proven, once again, that the ALP in government is not willing or able to stand up to the rich and powerful capitalist bigwigs that the conservative parties openly represent, it is clearer than ever that the only way for the working class masses and all the oppressed to defend their living standards and rights is through determined class struggle. Let’s build up our unions and make them infinitely more militant. We need hard-fought strikes and other struggles to win massive pay rises for workers. We must not only make up for rampant inflation but for the years of falling real wages. To clear the legal obstacles to such struggles we must simultaneously fight for the repeal of all anti-strike laws. For the unrestricted right of unions to engage in industry-wide and nationwide bargaining with the bosses! Reverse Labor, the Liberals and the capitalists’ gutting of the Better Off Overall Test in workplace agreements! We also need to ensure that all those currently working as casuals and gig workers have their positions converted into secure jobs with all the rights of permanency. As part of fighting for this and in order to ensure secure jobs for all unemployed workers, we must force companies to increase hiring of permanent workers at the expense of their fat profits. To stop landlords being able to jack up rents ever higher because they know that renters have nowhere else to go, we must take action to demand a massive increase in low-rent housing. To facilitate women’s full participation in economic life and complete economic independence, we must struggle for free 24-hour childcare. We must also fight for Medicare to fully cover all specialist fees, essential medicine, dental, “elective” surgeries and all aged care. The public budget will only be able to afford such free childcare, healthcare and aged care if we bring these sectors completely into public ownership so that a large part of the public budget for these social services does not end up, as it does today, in the pockets of the wealthy capitalists that own profit-driven childcare, aged care, pathology, X-ray, medical centre, pharmacy and other health service firms. We need funds to employ more public sector nurses, paramedics, doctors and aged care workers and not high profits for health sector profiteers. To help provide the urgently needed resources for public health, aged care, public housing and education and to drive down surging living costs we must fight for the confiscation of the oil, gas, coal and power companies and their transfer into public ownership.

To wage such struggles against the powerful capitalist class that runs this country, working class people need tight unity across racial and ethnic lines. Such unity can only be built if the workers movement consciously combats the efforts of the exploiting class to divide the masses with reactionary nationalism and if it actively mobilises against racist oppression. The workers movement must unleash its power to oppose racist state killings of Aboriginal people in custody and to oppose the disproportionate imprisonment of black people in Australian jails. We have to resist the rampant white supremacist violence in this country – whether it comes from rabid rednecks on the streets, as in the beating to death of Cassius Turvey, or from the regime forces, as in the crushing to death of 26 year-old Aboriginal man, David Dungay, by racist prison guards. There also needs to be united mass action of our unions, Aboriginal people, Asians and other people of colour to sweep violent far-right racist outfits off the streets. If we can strike blows against such organised white supremacist forces, we can send a message to the more numerous garden variety rednecks out there – of the type that in Kalgoorlie deliberately ran over and killed 14 year-old Aboriginal boy Elijah Doughty, who murdered Indian-origin, Brisbane transport worker Manmeet Alisher by throwing a firebomb into the bus that he was driving and who have brutally bashed numerous Chinese and other East Asian people over the last few years – that they had better pull their head in. We can not allow racist terror to intimidate and, thus, marginalise from broader society and social struggle Aboriginal people and other people of colour. We also need to ensure that migrant workers are not bullied out of participation in class struggle resistance by the threat of deportation. That means that we must fight for the rights of citizenship for everyone who is here. We must demand that all refugees on temporary visas, all guest workers and all international students are given permanency and the rights of citizenship. Let us also demand that all the asylum seekers incarcerated in PNG and Nauru are brought here with the full rights of citizens.

Workers at the General Mills food processing factory in Sydney’s west do a shift on the picket line during their weeks-long June 2021 strike for improved wages and better job security. The workers’ resolve and courage won them some important gains. If unshackled from the dead-end Laborite program of seeking common ground with the capitalist bosses on the basis of a mythical “common national interest”, the workers movement will be able to wage powerful class struggle that can push back against the nearly four decades of increased capitalist exploitation of workers in Australia.
Photo credit: United Workers Union Twitter page

THE ALP DID NOT EVEN PROMISE TO STAND UP
TO THE WEALTHY BUSINESS-OWNING CLASS

That the ALP government is kowtowing to the big end of town is hardly a surprise. Even during the lead up to the elections they made clear that they were not going to challenge the capitalists. Fearful that the billionaire oligarchs would utilise both their ownership of the media and their power to decide which political forces that they direct their massive financial resources to in order to campaign against Labor, Albanese’s team went out of their way to assure the wealthy ruling class that the ALP would look after their interests as diligently as Morrison’s conservatives. To their working class base, on the other hand, Albanese and Co. promised that they would reverse the plunge in real wages, fix the crisis in aged care and address the lack of affordable housing. Yet they promised to do all this by merely managing the existing capitalist system more rationally than the Liberals and by doing away with the most extreme reactionary of the latter’s policies. Rather than measures to curb the power of the corporate bigwigs, the ALP tops advocated “win-win” policies that brought together workers and their unions on the one hand and worker-hiring business owners on the other. However, such talk of “win-win” between workers and the capitalists is a cruel hoax. Workers are getting poorer precisely because capitalist bosses are increasing the proportion of the fruits of workers’ labour that they seize as profits. The interests of workers and those of the business owners that extract profit from their toil are counterposed. To refuse to stand with workers’ interests against those of their capitalist bosses means to accept the status quo of ever-increasing capitalist exploitation of workers.

Yet, despite all the ALP leaders’ efforts to please the capitalist ruling class, the latter do not come easily to accepting a Labor government. The ALP is, after all, a party whose rank-and-file are workers and is a party organically tied to the union movement. The exploiting class worries that this base could push an ALP government into enacting measures to defend workers’ interests. Therefore, in “normal” times, the oligarchs prefer their own parties, like the Liberals and the Nationals, to administer government, especially at the federal level. However, when the working class start to get restive or when the ruling class wants to herd the masses into supporting measures that could be unpopular – like a major war – the ruling class turn to the ALP. They hope that with the ALP’s greater authority amongst the working class and with its ties to the union leadership, the Labor Party is better able to pacify the working class masses and more effective at lining up the masses behind major campaigns of the capitalist elite than the openly, pro-business owner conservatives. In this way, the ruling class will look to ALP social democracy to come to their rescue when they are in a difficult position, even while having misgivings that an ALP government could irritate them by throwing some sops to its working class base. This was the case in the lead up to the 2007 elections when the working class masses were angry after more than eleven years of right-wing Coalition government and when workers had in the previous two years participated in mass nationwide stopwork actions against the Howard government’s anti-worker Workchoices legislation. At the time, even the main national, NSW and Queensland newspapers of hard-right billionaire Rupert Murdoch called for a vote to Kevin Rudd’s ALP. Murdoch even personally praised Rudd. Then, in the lead-up to last May’s elections, after nearly nine years of corrupt Coalition rule has discredited Australia’s present social order in the eyes of the masses and with working class people grumbling over plunging living standards, decisive sections of the ruling class started to seriously consider whether it would be better to get the ALP into government. This is especially the case because the capitalist rulers are worried that the disgruntled working class masses could refuse to get behind their Cold War drive against socialistic China.

However, before they were willing to accept the possibility of a Labor government, in the months and years leading up to the federal elections, the various factions of the capitalist class subjected Albanese’s Labor to a number of tests to see whether this nominally workers’ party could be trusted to run the federal government. The big end of town utilised their control of the media and think tanks and their numerous personal connections with politicians to demand reassurances from the ALP on key issues.

For one, they wanted to be sure that the ALP would not loosen anti-strike laws and would not encourage class struggle by pushing any policies that would openly redistribute wealth from the rich to the masses. The capitalist bigwigs were quite satisfied with Labor’s response. Not only did the ALP pledge to uphold anti-strike laws, some of which they had themselves instituted on previous occasions that they were in office, the ALP also pointedly refused to make even the most modest promises to redistribute income away from the super-rich. Indeed, ALP head offices openly instructed branch members not to make any negative references to the “big end of town” that the Labor Party had sometimes used in the lead up to the previous elections in 2019. The big end of town also demanded that the Labor Party abandon any plans to enact even minimal measures that would curb the returns of the rich from buying up multiple properties for speculation or for renting out as landlords. Here too Albanese’s Labor duly obliged. Thus, long before the elections, the ALP ditched the agenda that it took to the previous two elections of limiting the scope of negative gearing tax exemptions and reducing the amount of discount on capital gains tax payments. The supposed ALP “Left” Albanese has ostentatiously positioned himself even further to the right than his ALP Right faction predecessor, Bill Shorten. Even when promising resources for lower-rent “social housing”, the proposals of Albanese’s ALP are so modest that they would not be enough to pull down rents across the market – music to the ears of multiple-property owning, rich landlords shaking down ever greater rents from their tenants. Moreover, even the ALP’s modest plan for more “social housing” that it took to the election will not increase badly needed public housing but rather promises funds for just a modest increase in “community housing”, notorious for its private operators who skimp on repairs and shun the most hard-up, would-be tenants. Thus, even in making a sop to the needs of low-income renters, the ALP was careful to show that there would be a lot in the plans for the capitalists – in the form of expanded opportunities to profiteer from running partly government-funded “community housing.”

A two bedroom apartment in this building in working class Granville in Western Sydney was rented out before the real estate agency even put the unit up for its first open inspection. This all-too frequent occurrence took place despite the modest apartment being rented out for $620 a week (with a four week bond of $2480) – more than three quarters of the before-tax, full-time minimum wage. Not only are rents skyrocketing but the number of available properties for rent is very small relative to the need for them, giving low-income people little chance of securing suitable accommodation.

THE BIG END OF TOWN’S KEY RED LINE: ANY GOVERNMENT MUST
FULLY PARTICIPATE IN THE COLD WAR TO STRANGLE SOCIALISTIC CHINA

Perhaps the most important assurance that the ruling class demanded of Labor in the lead-up to the elections is a guarantee that it continue to support the U.S.-led Cold War drive to “contain” and squeeze socialistic China. They want Labor to follow through on the conservatives’ agenda for an increase in the U.S. military presence in Australia, for an aggressive Australian military build-up in support of this anti-China war drive and for a continuation of political support for those forces seeking to undermine socialistic rule in China from within – whether they be pro-capitalist, pseudo-“pro-democracy” activists or the dwindling number of anti-communist and fanatically anti-women’s-equality, religious fundamentalist forces based on the, more European-looking, Uyghur minority in north-western China’s Xinjiang Uyghur Autonomous Region. The capitalist class also want Labor to do a more skillful job in aggressively interfering in Australia’s South Pacific “neighbourhood” in order to sabotage socialistic China’s south-south cooperation with the region. To be sure, the capitalists also want Labor to somehow conduct this Cold War in a way that simultaneously maintains workable diplomatic relations between Canberra and Beijing so that the tens of billions of profit that they get from Australian exports to China is not disrupted too much.

This begs the question: why are Australia’s capitalist bigwigs risking harm to their immensely lucrative trade with China by antagonising the latter? The answer to this question is entirely related to the fact that China is a workers state as opposed to being a country under capitalist rule. China’s toiling classes grabbed state power in a giant anti-capitalist revolution in 1949. To this day, China has an economy centred on a property system that favours working class people: that is, socialist, public ownership of key economic sectors. Even though the current Beijing leadership does not seek to challenge Western imperialism’s domination over the world, the mere existence of China as a socialistic power is slowly undermining the grip of imperialism over the ex-colonial countries. China’s mutually beneficial cooperation with the Global South is allowing countries in the Pacific, Africa, Asia, the Middle East and Latin America to access capital, modern technology, training and a large market in China without having to subordinate their country to the imperial powers or their agencies like the IMF. This is what is driving Australia’s capitalist rulers mad as countries in the South Pacific like the Solomon Islands and Fiji slowly exert greater independence from their Australian imperialist overlords.

Furthermore, the capitalist powers are terrified that even though Beijing does nothing to explicitly promote socialist revolution, the mere example presented by the most populous country in the world continuing to adhere to a socialistic course, while successfully lifting her people out of poverty and providing rapidly rising real wages, wide access to low-rent public housing and ever improving infrastructure, public transport and cultural opportunities for her masses, will encourage working class people in the capitalist world to themselves start agitating for socialism. That is why the Western ruling classes see the rise of socialistic China as an “existential threat.”

Top: The latest Global Wages Report from the International Labor Organisation shows that workers in China have enjoyed by far the fastest growing wages of any country in the world, whether “advanced” or emerging. Above: Although average real wages in Australia rose by roughly 10% from 2008 to 2019 they have plummeted since. By June 2022, workers’ real wages in Australia were lower than they were in March 2012 (data reprinted in ABC News and obtained from The Australia Institute). In the last few months, they have plunged further and Australian real wages are now lower than they were 15 years ago! In contrast, real wages have continued to increase in China over these last three years. Below: Although China’s workers have enjoyed by far the fastest growing real wages of any country, China’s stock market, represented by the Shanghai Composite Index, is actually lower than it was 15 years ago (see red dotted line). By contrast, in the same period the Australian stock market index, the S&P/ASX 200, has soared by 30% (blue solid line). This is an indicator that while workers’ real wages have been falling here, Australia’s capitalists have been gaining ever greater return on their capital. In contrast, in China, while workers’ real wages have been steeply rising, the capitalists are not gaining any greater return on their capital (indeed China’s richest have lost wealth in the last period).
Source for stock market data: Investing.com

For the very same reason that capitalist exploiting classes fear and loathe the socialistic PRC, the working class must hail and defend its existence. For the very existence of working class rule in China, Vietnam, Laos, Cuba and North Korea – in however a fragile and incomplete form – gives confidence to the toiling classes in Australia and other capitalist countries that they do not have to accept capitalist rule and all that it brings – bullying bosses, plunging real wages, skyrocketing rents, growing racism and all-round economic insecurity and chaos. That is why the workers movement and Left must unconditionally stand with socialistic China and the other workers states against every form of attack that they face – whether that be military, economic or propagandistic.

Yet, diametrically against the interests of its working class membership, the ALP is right behind the capitalists’ drive to strangle socialistic China. Thus, while in Opposition, the ALP supported every one of the former Liberal government’s Cold War moves against the PRC – from the discriminatory banning of Chinese tech giant, Huawei, from participating in the building of Australia’s 5G wireless network, to the introduction of McCarthyist, so-called “foreign interference” laws aimed at intimidating Australians of Chinese descent that are sympathetic to Red China, to the enacting of the AUKUS anti-China deal for Australia to acquire nuclear submarines from the U.S. and Britain. Indeed, in the lead up to the elections, Albanese’s ALP even sought to position itself as more extreme in its opposition to the PRC than the right-wing Coalition. Thus, the ALP joined the hysterical, anti-China denunciations of the deal leasing part of the civilian port of Darwin to a Chinese company. Moreover, ALP leaders criticised the Morrison government for not bullying enough the Solomon Islands into renouncing their security cooperation with China. At the same time, the ALP tops canvassed to the capitalist class that they could do a better job than their rivals of dragging South Pacific countries back into the Australian ruling class’ tight hold. They argued that they would restore the Australian regime’s damaged credentials in the region through taking a more rational verbal position on issues – like climate change – knowing full well that Pacific island countries vulnerable to rising sea-levels are only too aware that Australia’s carbon emissions per person are among the highest in the world and nearly two and a half times larger than China’s. Australia’s capitalist rulers have been more than convinced. As far as they are concerned, the ALP passed with high distinction their test requiring that any prospective government commit to zealously pursuing the anti-communist Cold War against China. Moreover, Labor’s assurances that they could do all this while simultaneously restoring full trade relations with China through dialling down the ferocity of Canberra’s anti-China rhetoric also impressed the corporate elite.

THE STANCE THAT MARXISTS SHOULD HAVE TAKEN TOWARDS THE
ELECTIONS IN ORDER TO ADVANCE ANTI-CAPITALIST RESISTANCE

Before finalising their decision not to throw their massive economic might against the election of an ALP government, there was one final important requirement that Australia’s capitalists vetted the ALP over. They wanted to be sure that Labor would be all the way with Canberra’s Western allies in waging the West’s defacto war against Russia via their Ukrainian proxies. To be sure, initially the war was mainly a squalid battle for territory between the respective capitalist classes of Ukraine and Russia. In such an inter-capitalist war, the working people of both countries had no side except opposition to their own respective rulers. However, even from the very start of the war, an important additional aspect of the conflict was Russia’s just struggle to keep the nuclear-armed NATO warmongers from its Western border, on the one hand, and, on the other, Kiev’s kowtowing to the interests of Western imperialism. Before long, this second aspect of the conflict became the dominant one. The U.S. and its British, EU, Australian and Canadian allies poured into Ukraine such huge amounts of weapons, military advisers, intelligence assistance and propaganda backing, that in a matter of weeks this conflict ceased to be primarily a Ukraine-Russia war and effectively became a conflict between the Western imperialists and Russia with Ukraine acting as the proxy for the former. The U.S. imperialists want to subordinate Russia and reduce her to the humiliated status that she had in the first decade and a half after the early 1990s capitalist counterrevolution devastated her and the other lands of the former USSR. They want to ensure that Russia does not obstruct their predatory designs on the resource rich Caucuses and Central Asian regions. Moreover, the U.S.-led imperialists cannot tolerate Russia or anyone else being an independent, nuclear-armed power, especially if that power has failed to sign up to their Cold War drive against Red China. To be sure, the Australian ruling class’ reasons for opposing Russia are very different to their opposition to socialistic China. Most notably, unlike the PRC, Russia is a fellow capitalist country. Moreover, Russia has few interests in the South Pacific and Southeast Asian region. She is not obstructing Australian multinational corporations from plundering this region. Nor do the Australian capitalists have any significant interests or ambitions within either Russia or its neighbouring regions that would enable them to gain some direct economic benefit from any subordination of Russia. That is why, in previous years, Australian regime officials had privately complained to Washington that it is expending too much energy countering Russia when it should be devoting all its efforts to suppressing Red China. However, once the U.S. and its other allies entered the recent war in a decisive manner, the Australian ruling class fell in behind its allies. It wants the power and prestige of the U.S. and the overall West to come out strengthened rather than damaged from the war. This is a matter of self interest for Australia’s capitalist rulers. It is Australia’s alliance with U.S. – and to a lesser extent British – military and economic might that enables Australia’s capitalists to subjugate the peoples of the South Pacific. If the powerful allies of Australia’s exploiting class are weakened, then its own tyranny in this region becomes endangered.

Here too on the question of the war in Ukraine, the ALP proved its credentials to the capitalist class. It enthusiastically backed the Morrison government’s imposition of sanctions on Russia and its sending of hundreds of millions of dollars of military equipment to the authoritarian regime in Ukraine. With the ALP thus on board on all the issues of greatest strategic concern to the capitalist class and with the latter having serious concerns about the corrupt Morrison government’s ability to hold back mass struggle in the context of plunging real wages, much of the ruling class chose to either back Albanese’s ALP in the elections or to be indifferent as to whether the ALP or the Coalition won. This is shown by the fact that just like the openly pro-boss Liberals, far-right parties, “Teal independents” and Greens, the various branches of the Labor Party received tens of millions of dollars in donations from both ultra-wealthy individuals and from corporations in the months and years leading up to last year’s federal elections. Moreover, significant sections of the capitalist-owned media sided with the ALP in the elections. Take, for instance, Nine Entertainment Holdings which owns Channel Nine TV, the 2GB radio station and the vast suite of newspapers that formerly belonged to the, now defunct, Fairfax Group. Nine Entertainment is owned by right-wing billionaire, Bruce Gordon, and the chairman of the corporation is none other than former federal treasurer and Liberal Party stalwart, Peter Costello. The flagship newspapers of the corporation, the Sydney Morning Herald and The Age, both editorialised for a vote to Albanese’s Labor at the elections. Also calling for a vote to the ALP was the “progressive” liberal, Guardian Australia online newspaper, a publications that has relied on massive financial contributions from wealthy capitalists to operate – including a huge initial investment from filthy rich, Australian tech tycoon Graeme Wood (at the nudging of Liberal Party then future prime minister Malcolm Turnbull) and large contributions to the British owners of the publication from foundations controlled by some of the most powerful American capitalists in history, including Bill Gates, the Ford family that control the Ford car company, the Hilton family owning the Hilton hotel chain and the Rockefeller family known for their vast oil, banking and property empire and their one-time advocacy of despicable fascistic “theories” like Social Darwinism and Eugenics. To be sure, the hard-right Murdoch family’s main newspapers like The Australian and the Daily Telegraph supported the Liberals at the elections. Yet, Rupert and Lachlan Murdoch were unperturbed enough about the prospect of a Labor government to recoil away from enforcing a uniform, anti-ALP election line on their outlets, unlike the uniform positions that they often enforce for questions that are important to them – like support for particular Western military interventions abroad. Thus, the Murdoch newspaper in the Northern Territory, the NT News actually editorialised for a vote to Labor.

With major sections of the capitalist class either backing, or being unconcerned by, an ALP election win, to call for a vote for the ALP at the elections would have been a call for upholding the overall interests of the capitalist class. To do so would have been harmful to the interests of the working class and oppressed just as would obviously have been any support for the reactionary, openly anti-union Coalition. As we put it in a Trotskyist Platform leaflet issued in the weeks leading up to the election:

“… the Labor Party (ALP) “alternative” is hell bent on proving to the big business owners, the people who really hold the power here, that an ALP administration will enforce capitalist interests as reliably as the Coalition does. Albanese’s ALP even proclaimed that a Labor government will not increase the paltry JobSeeker payments. So, at the upcoming elections, no vote should be given to either the Coalition or the ALP and Greens “alternatives” and obviously not to the racist One Nation or the other nationalist far-right outfits like the United Australia Party. Instead, we need hard-fought strikes and other mass actions by the workers movement and its allies to turn back the capitalists’ exploitation of workers, to resist their oppression of Aboriginal people, women and coloured ethnic communities and to oppose “their” regime’s military buildup. The more that the working class understands that their position will not be advanced through supporting any of the current parliamentary parties, the more determined they will be to build the mass struggles needed.”

Trotskyist Platform, For Militant Class Struggle Against Australia’s Capitalists!, 25 April 2022

Most of the other far-left groups rejected such a stance. They called either openly, or more often backhandedly through preferences, for a vote to the ALP. However, events since the Albanese government’s election have confirmed the correctness of our opposition to supporting either the Coalition or the ALP or indeed any of other current parliamentary parties. Since coming to office, the Labor government has upheld all its commitments to the big end of town, while delivering few of the meagre promises that it made to its working class base. Thus, the Albanese government has given tax cuts to the rich, maintained tax exemptions for wealthy property speculators, cut public hospital spending and maintained – and even strengthened – anti-strike laws. Its measures to lift wages are so limp and state Labor and Liberal governments so draconian in their determination to keep state public sector pay rises well below inflation, that not only are real wages falling even faster than they were during Morrison’s reign but even treasurer Jim Chalmers quietly concedes that real wages are expected to continue to fall until … at least, 2024!

Meanwhile, as promised to the capitalist bigwigs, the ALP has continued the Australian regime’s obsessive participation in the imperialist campaign to strangle socialistic rule in China. Indeed, it was literally just hours after Albanese and his cabinet had been sworn into government by “Her Majesty’s” representative (the Governor General) that Albanese and foreign minister Penny Wong flew off to a Quad meeting in Tokyo to advance the Cold War measures of the U.S.- Australia-Japan-India, anti-China alliance. That Albanese briefly met Chinese president Xi during the G20 summit is hardly a sign of an easing off of the Australian regime’s determination to participate in the anti-PRC Cold War. The government and the capitalist class that it serves wants to have a relationship with the PRC somewhat like the Japanese, German, New Zealand and French regimes, who are all fellow, zealous Cold War opponents of socialistic rule in China but maintain diplomatic relations with Beijing at the level just above that which causes trade to be seriously affected. Albanese and Penny Wong thus seek improvement in diplomatic exchanges with Beijing from Morrison’s time. This is especially because the inflation-plagued Australian economy is faltering. Yet, while seeking to reduce the temperature of diplomatic disputes with Beijing, Canberra is following through on its commitment to the capitalist class to continue to pile on the pressure on socialistic China. Since, the Albanese government took office, Australian warships and military aircraft have continued to provocatively traverse waters and skies claimed by Beijing in the South China Sea, thousands upon thousands of kilometres from Australia. Moreover, not only is the ALP government following through on the deposed conservative government’s plan to acquire long-range naval missiles and nuclear submarines, late last year it was revealed that the Albanese government was planning a still more threatening move against China – allowing the U.S. to deploy nuclear-capable B52 bombers at a base south of Darwin. Then, three weeks ago, it was revealed that the Albanese government would be buying the expensive, long-range HIMARS missile system from the United States. All this is part of an aggressive military build-up aimed at contributing to Cold War military pressure against the PRC. Meanwhile, in the South Pacific, the new government has followed through on its promise to intervene more aggressively in the region in order to shore up the interests of Australia’s capitalist class through sabotaging the efforts of regional countries to cooperate with the PRC. Indeed, Albanese and Penny Wong have intruded so coercively into the Solomon Islands that the Solomon Islands government responded to one such act of meddling last September with a defiant statement slamming Canberra’s move as “an assault on our parliamentary democracy” and “direct interference by a foreign government into our domestic affairs” (a brave act by the Solomon Islands government given that Western powers had stoked riots against them a year earlier and given the degree to which not only the upper levels of the country’s bureaucracy have been infiltrated by Australian officials and “advisers” but broader sections of the island nation’s civil institutions and media have been ensnared in the Australian ruling class’ influence operations).

Moreover, the new ALP government has taken over the baton from the previous government when it comes to participating in Western imperialism’s joint propaganda war against Red China. Three weeks ago, the government joined a very small number of other countries – including the U.S. and Britain – in imposing a requirement that travellers from China and only from China get a pre-departure COVID test. They forced through the new rule in spite of Australia’s chief medical officer and most other experts advising against the move! Clearly, the Australian government’s measure has little to do with protecting the Australian population from COVID and everything to do with trying to build negative perceptions of China by denigrating her COVID response, despite the fact that the PRC has so successfully protected her people from the pandemic that her COVID death rate per resident is currently 15 times lower than Australia’s. After having supported last November’s small anti-COVID-response protests in China – that were the Chinese version of the Far Right-instigated COVID “Freedom” protests in Australia and other Western countries – that opposed China’s mask mandates and PCR testing of COVID-affected regions, the Albanese government and its Western counterparts have now done a 180 degree flip and want to portray China’s recent relaxation of COVID controls as reckless. This is despite the PRC being in a much better position to protect her people from COVID deaths after reopening than Australia was when it opened up a year ago because the anti-viral medications that are now widely available in China – both from Western pharmaceutical firms and from Chinese ones – were not available at the time Australia opened up; and because China’s community-based COVID response (which involves doctors and nurses seeing patients in makeshift clinics within neighbourhoods and neighbourhood committees and local volunteers regularly checking up on the health condition of elderly and other COVID-vulnerable neighbours, while delivering medical kits and pandemic information) is very effective in ensuring that vulnerable COVID-infected people get prompt enough access to anti-viral medication and are speedily triaged to top-level hospitals.

Meanwhile, just like its right-wing predecessors, the Labor government has continued to claim that China is persecuting her Muslim Uyghur minority that live in the country’s northwest – a claim that not only have countries representing around 85% of the world’s population refused to sign on to during UN debates and motions (including every single Muslim majority country in the world other than for tiny U.S.-dependent Bosnia) but which the organisation of Islamic Cooperation, most Muslim-majority countries individually and much of Africa, the Middle East and Asia have denounced as a lie and instead emphatically praised China’s treatment of Muslim Uyghurs after sending fact-finding inspections to the country’s northwest.

The Albanese government has also more than delivered on its promise to the imperialist ruling class to continue the Morrison government’s support for the Washington-led proxy war against Russia. In July, Albanese exceeded the former prime minister’s level of support for the war by personally visiting Ukraine and meeting with its authoritarian president. Albanese announced during his trip that his government would provide Ukraine with an additional 34 armoured vehicles valued at $100 million. As Albanese has boasted many times, the Australian regime is now the largest non-NATO provider of military aid to Ukraine… or rather to the proxies of Western imperialism. This backing reached a new level last week when 70 Australian soldiers departed for Britain to participate in a British-led training program of Ukrainian troops.

THE LABOR PARTY HAS ALWAYS BETRAYED ITS WORKING CLASS BASE

Although none of the Labor Party’s working class supporters thought that the Albanese government was going to seriously redistribute income and power from the big end of town to the masses, even their most modest hopes of progressive change are gradually being dashed. Yet this is hardly a new experience for Labor supporters. The ALP has always betrayed its base. This is not merely a matter of a lack of resolute, selfless leaders or a matter of the leadership not living up to the “principles” of the Labor Party. Mostly, it is because the social democratic strategy that the Labor Party commits itself to is incapable of delivering major, lasting benefits for its mass base. Social democracy seeks to improve the lives of the masses without fundamentally challenging the tremendous economic and political power of the capitalist class … or by “postponing” constructing that challenge to the distant never reached “right moment”. This becomes a recipe for resigning oneself to the domination of society by the big end of town and capitulating to their demands on the most decisive issues. By thereby accepting the supremacy of the capitalists, while negotiating with the latter on terms of their dominance in society on the nominal behalf of the working class masses, social democratic politicians, union leaders and NGO heads gain a highly respectable position in society as well as privileged incomes compared to their support base. They also acquire personal links with the big end of town that facilitate future lucrative careers in the corporate world. All this entices them to bow down even more subserviently to the capitalist bigwigs whenever the latter get angry that social democratic leaders are demanding “too much” on behalf of their support base.

Any working class based political party in a capitalist country faces not only the direct pressure of the capitalists but also the pressure of the state institutions. Despite the state being a body that nominally “treats everyone equally”, in practice, in capitalist societies the government departments, the bureaucracies, the courts, police, army and secret police all act as upholders of the interests of the racist, capitalist exploiting class. Just look at what has been revealed during the course of the Royal Commission into the former Morrison government’s despised “Robodebt” scheme, in which the regime’s computers, supposedly checking for “over-claiming” by welfare recipients, automatically sent messages to nearly half a million of this country’s most economically vulnerable people unlawfully demanding payments of non-existing debts, in some cases of up to tens of thousands of dollars. What testimony during the investigation showed is that it was not just Morrison and his ministers who were driving the Robodebt scheme. So were many highly-paid, senior government bureaucrats who shared the anti-working class Liberal government’s determination to suck every cent that they could out of low-income welfare recipients. Indeed it was bureaucrats from the Department of Human Services rather than Coalition ministers that first proposed Robodebt. Later, after the harm caused by Robodebt became widely known, calls by lower down staff for the scheme to be seriously overhauled were met with hostility by upper bureaucrats.

Meanwhile, two months ago, there were revelations of just how intense racism and hostility to leftists is within Queensland Police ranks. In recordings taken at the Brisbane city police watch house, a large number of cops engaged in discussions expressing their extreme hatred of black Africans, Muslim people, Aboriginal people and leftist protesters and also their contempt and concocted “fear” of being overwhelmed by Africans, Chinese, Indian and Muslim people and migrants more generally. Chillingly, some officers even discussed the possibility of beating to death and burying black Africans and expressed their wish to violently attack anti-racist, climate change and refugee rights protesters.

Given the racist, anti-leftist and anti-working class character of bureaucratic organs in Australia and other capitalist countries, any party that comes into government promising progressive, pro-working class measures would face sabotage of their agenda from the state agencies nominally under their “control”. Understanding this, we communists understand that in order to implement thoroughgoing, progressive social change, the working class, united with all the oppressed, must first grab state power by replacing the existing capitalist state with its own organs built to defend the interests of the working class masses and all the downtrodden. On the road to such a workers revolution, the exploited and oppressed can win immediate gains and concessions from the ruling capitalists through class struggle and other mass actions provided that they maintain complete political independence from all institutions of the capitalist state. In contrast, the approach of social democrats – whether of its most right-wing practitioners like the ALP or it’s most avowedly pro-socialist, left-wing elements – is to seek to wield the existing capitalist state in the service of the masses. Yet given that this state has been built up and maintained to enforce the interests of the capitalist ruling class, social democrat-administered governments, aware of the resistance that they would face from their own state agencies, almost always recoil from implementing the more progressive aspects of their agendas, even in those cases where pressure from their working class base pushes them to promise a more radical program.

In very rare cases when a social democratic party in government still insists on following through on a more explicitly pro-working class agenda, their government ends up being overthrown by the state institutions that they nominally head. Most infamously in September 1973 in Chile, the elected Socialist Party-led government of then Chilean president Salvador Allende, which had nationalised some industries and sought to improve workers’ living standards, was overthrown in a coup by the Chilean military backed by the country’s police. That the Australian Secret Intelligence Service (ASIS) helped the American CIA to conduct a destabilisation campaign against Allende in order to foment the right-wing coup underscores the intensely pro-capitalist political character of Australia’s state organs. A few months before the coup, the then newly elected ALP government led by Gough Whitlam found out about the ASIS operation in Chile. Whitlam did order the ASIS operation to be disbanded. But this was only because he feared that it would be politically damaging if the plot was exposed. Indeed the ASIS chief at the time made clear to fellow spies that “personally he [Whitlam] would have wished to approve” the operation. Moreover, while ordering the end of ASIS’s role in the destabilisation plot, Whitlam facilitated the ongoing CIA operation against the elected Allende government by choosing not to expose it. This did not stop the CIA from carrying out a covert destabilisation campaign against Whitlam’s own administration! That culminated in the November 1975 overthrow of the Labor government in a right-wing coup executed by the British monarchy’s representative and long-time participant in CIA front organisations, then Governor General John Kerr. Although Whitlam was far more conservative and far less principled than the avowed Marxist, Allende, the American regime felt that he was still not a reliable enough backer of the critical Pine Gap U.S./Australia spy base in the Northern Territory. That the most progressive Labor government in Australian history was overthrown in such a coup shows the impossibility of realising even the rather modest aims of the Laborite project. That Whitlam had earlier stabbed his fellow social democrat Allende in the back by keeping him in the dark about the CIA destabilisation operation and by refusing to publicly expose the American interference plot only shows how the social democratic perspective of seeking to govern with the tolerance of the capitalist bigwigs and their state agencies inevitably means betraying the interests of the working class.

WHEN IT IS USEFUL TO GIVE CRITICAL ELECTORAL SUPPORT TO A
SOCIAL DEMOCRATIC PARTY AND WHEN TO DO SO WOULD BE A BETRAYAL

Despite the political bankruptcy of social democracy, there are certain times when mass working class based social democratic parties, like the ALP, could be pushed by their base to stand on a more explicitly pro-working class platform. This would be at a time of left-wing radicalisation of the working class and during a period of greater class struggle. Leaders of social democratic parties may then use the strengthened activity of their base to try and pressure the capitalists into granting some concessions to their base in order to dampen their mobilisation. At the same time, social democratic parties may put forward more overtly pro-working class demands and push to the fore more left-wing elements of their parties in order to maintain the authority of their base, so that they will be able to contain the radicalising working class and prevent them from heading in a revolutionary direction. In such circumstances, especially if the social democratic party has been out of government for a lengthy period, the working class masses could have serious expectations that should the party win office they would institute major pro-working class reforms. Although, in the event of a working class radicalisation, the worried capitalist class will be looking to social democracy to save their system from a resurgent working class, the demands that a social democratic party may be pushed to put forward could be too much for the capitalists to accept. In such scenarios, the capitalists as a whole may choose to actively campaign against the election of the social democratic party to government. If that were to happen, it may be worthwhile for communists to give electoral support to the mass social democratic party in order to deliver a political defeat to the capitalists and, thereby, embolden the anti-capitalist sentiments of the working class mases. Moreover, given that major pro-working class measures can only be implemented against the resistance of the capitalists through the powerful push of class struggle mobilisation, having a social democratic party in government when it actually stands on an anti-capitalist agenda can help intensify class struggle. However, any electoral support given by communists to a social democratic party like the Labor Party would be given with unyielding criticism of that party. We would point out that the social democratic party is incapable of realising its more worthy promises because it always ultimately seeks an accommodation with the capitalist exploiting class and because it is loyal to the capitalist state that enforces the interests of the exploiting class. Communists would warn the working class masses that the social democrats in government would inevitably betray them. We would insist that only class struggle action that is based on maintaining complete political independence from all the arms of the capitalist state can ensure major advances for the working class in the present; and that such gains can only be secured and reach decisive levels if the working class is able to lead all the oppressed in the seizure of state power. Thus, even in situations where it would be appropriate to give electoral support to a social democratic party, communists would be, in the words of Russian Revolution leader V.I. Lenin, seeking to support the social democratic party “in the same way as the rope supports a hanged man.”

When Lenin wrote the above words in April-May 1920 he was outlining why he believed that communists in Britain at the time should call for a vote for the British Labour Party while explaining to the masses that a Labor government would inevitably betray its working class supporters. Since then, nominally Marxist, left social democratic groups have seized on Lenin’s words to advocate giving electoral support to mass social democratic parties in every election, irrespective of the platform that those parties may claim to stand on. However, when Lenin advocated giving critical electoral support to the British Labour Party, the latter was claiming to stand on a program very different to Albanese’s Australian Labour Party today. With the most politically advanced layers of the British working class inspired by the socialist revolution in Russia two and a half years earlier and demanding a struggle for socialism in Britain, the leaders of the British Labour Party at the time knew that they would need to show some socialist credentials if they were to retain the loyalty of the British working class. In February 1918, notably just three months after Russia’s socialist revolution, the British Labour Party wrote into its constitution a commitment to socialist public ownership of the economy. They adopted Clause IV into their constitution, which stated that: “To secure for the workers by hand or by brain the full fruits of their industry and the most equitable distribution thereof that may be possible upon the basis of the common ownership of the means of production, distribution, and exchange, and the best obtainable system of popular administration and control of each industry or service.” In contrast, not only does the ALP today not even pretend to stand for nationalisation of the economy and socialism, it is known by the politically engaged masses for having supported privatisation. Indeed, it was the 1983-1996 Hawke/Keating ALP governments that unleashed the privatisation wave that has swept Australia over the last four decades. That Labor government sold off the Commonwealth Bank and Qantas. Then, in 2002, the Carr NSW Labor government and the Bracks Victorian Labor government joined with the then Howard federal Liberal-National government to privatise the bulk of Australia’s rail freight operations. Meanwhile, state Labor governments have sold off public housing and state-owned electricity generation and retail with almost as much vigour as their right-wing opponents.

Another major difference between the British Labour Party of 1920 and today’s ALP was in their respective attitudes to the capitalist war drive against the then biggest workers states of their times. To be sure, in 1920 the leaders of the British Labour Party were as hostile to Soviet Russia (the only workers state then) as the ALP leaders are today towards socialistic China. However, Britain’s Labour Party heads also knew that there was considerable sympathy for the Soviet workers state amongst the most politically active ranks of the British working class. This sympathy combined with war weariness (following World War I) and pacifist sentiments led to a number of protest actions against the British government’s military intervention in Russia that was supporting anti-communist forces that were waging a civil war to overthrow the young Soviet workers state and restore capitalist-landlord rule. There were even a series of daring mutinies by British forces in Russia who demanded to be sent home. Meanwhile, within Britain itself, troops staged mutinies against plans to send them to Russia. Then during the very weeks in April-May 1920 when Lenin was writing the book, “Left-Wing” Communism: an Infantile Disorder, where he made that call for British communists at the time to give critical electoral support to the Labour Party “in the same way as the rope supports a hanged man”, there were two very powerful actions by British workers in opposition to the government’s shipment of arms and munitions to the capitalist Polish regime that was waging a war against Soviet Russia. In one, seamen sabotaged barges carrying munitions to the Polish troops causing the barges to sink. Then dock and coal workers refused to load and supply the ship Jolly George that had been scheduled to send munitions to Poland. In these various actions and munities, rank- and-file Labour members participated. Aware of this, when the British government weeks later announced that it would be sending troops to Poland to help fight against Soviet Russia, the Labour Party leaders and pro-Labour trade union heads called for protest actions to oppose the intervention. They built Councils of Action across the country to oppose the expedition to Poland, organised a series of massive protests and even threatened a general strike should the intervention go ahead. As a result, the British government had to abandon its plans to openly support the Polish regime’s war on the Soviet workers state. How different was the stance of the British Labour Party in 1920 towards the war drive against the Soviet workers state from the policies of today’s ALP towards the war drive against socialistic China! Today, even before the elections, Albanese’s ALP vowed to prosecute the rapid anti-China expansion of the Australian military, expand the presence of U.S. forces in Australia aimed against Red China and continue the Australian navy’s participation in provocative Western military incursions into China-claimed waters off her coast.

None of the above changes the fact that Britain’s Labour Party in 1920 was just as much an enemy of the fight for workers revolution then as the Australian Labor Party is today. The British Labour Party was fresh from having criminally led workers into supporting their “own” capitalist exploiters in the horrific inter-imperialist slaughter that was World War I. Labour Party leaders even took up cabinet posts in a wartime coalition government led by the Liberal Party. It was for good reason that Lenin had labelled social democratic parties like the Labour Party a “stinking corpse”. The British Labour Party leadership’s pro-socialist posturing was largely about maintaining its hold over a radicalising working class. In 1919, British workers had unleashed a massive strike wave that continued into 1920. Labour parliamentary and union leaders while nominally supporting the strikes worked overtime to ensure that they did not reach the level that would threaten the stability of the capitalist order. This is despite the unions representing the miners, railways workers and dockers and other transport workers having earlier formed themselves into a Triple Alliance promising to stand as one to fight for their demands. However, when each section of workers was facing major disputes with their bosses in 1919 and 1920, the pro-Labour Party union leaders refused to call out their members to strike as one as the Triple Alliance promised. Labour leaders held the same attitude to the promises of Clause IV as they did to the Triple Alliance. Clause IV existed to express a sentiment that would maintain the allegiance of pro-socialist workers to Labour but provided no program of action as to how an economic system in Britain based on “common ownership of the means of production, distribution, and exchange” was going to be actually achieved. This was because the social democratic Labour leaders were unwilling to mobilise the revolutionary struggle needed to win such a system.

However, for most British workers it meant a lot that the leaders of the party that they saw as their party was promising to nationalise the mines and railways, greatly increase the provision of public housing and significantly redistribute income from the capitalists to the workers should they win the next election. To be sure, Lenin pointed out that the most politically advanced section of the British working class already distrusted Labour Party leaders and their commitment to deliver on their stated agenda. They had been convinced of this through communist propaganda and theory. However, the majority of workers could not be educated in this way. They needed to be shown through their own experience that social democracy is incapable of bringing a fundamental redistribution of power and wealth in society towards the working class – let alone open the road to socialism. Thus Lenin argued that it was necessary to get Labour elected to government and be put to the test. At the same time, communists must explain to the mass of British workers that communists are helping them to get the Labour Party elected in order to prove to them that the Labour Party will surely betray working class people. Communists would say to the British workers: we will prove to you that only our communist program can bring you lasting improvements in living standards, public ownership and socialism.

Yet such a tactic only made sense because British workers at the time could have genuine illusions that the Labour Party would nationalise key industries, seriously redistribute income towards the workers and make steps toward socialism. No politically engaged worker in Australia could have had illusions before last May’s elections that Albanese’s ALP was going to do any of these things. For not only did the ALP never promise any nationalisations, it was careful to not even speak about redistributing wealth from the capitalists to the masses in even the mildest way. Indeed, while the ALP did promise to stop the decline in real wages, it also promised to follow through on implementing the Coalition’s planned tax cuts for the rich – a promise that they dutifully kept!

Lenin’s advocacy of the tactic of critical support was also shaped by the attitude of the British capitalist class towards the Labour Party. Openly declaring his fear of a Labour victory, then prime minister from the capitalist Liberal Party, Lloyd George, compared the Labour Party to the Bolsheviks! He was of course completely wrong! However, such statements from capitalist leaders could only reinforce illusions amongst politically conscious British workers that the Labour Party would advance the country towards socialism. Moreover, the anti-Labour rants of Lloyd George and his then secretary of state for war, Winston Churchill, showed the then gulf between the agenda that the Labour Party had been pushed by their base to promise and the level of pro-working class reforms that the capitalist class were prepared to accept. In such a situation, an electoral victory for the Labour Party against the openly capitalist parties would be seen as a victory for the working class over the capitalists that would raise the fighting morale of anti-capitalist workers. This situation definitely did not occur in Australia around the May 2022 elections. A gauge of what the big end of town thought about the triumph of Albanese’s ALP in the last federal elections can be seen by comparing Australia’s stock market index immediately before and after the May 21 election. Not only was there no dramatic fall but the index actually rose slightly. This proved that much of the capitalist class were either mildly sympathetic or ambivalent towards the Labor victory over the conservatives. There was certainly no fear amongst wealthy investors that a Labor election would lead to a major reduction in the rate of capitalist profits.

The most important reason why Lenin and the other Bolshevik leaders, like Trotsky, thought that British communists should give critical electoral support to Britain’s Labour Party is because, at the time, that party had never previously led a national government. That meant that the majority of Labour’s working class base still had many illusions that should the party take over the government, this would lead to a substantial improvement in their living standards and major advances towards socialism. Many workers held the social democratic illusion that since workers make up the majority of the population, they could take over society through “democratic elections”. These hopes were reinforced by the then still expanding suffrage in Britain that was expanding the right to vote to workers who had been previously disenfranchised by laws restricting the right to vote to those who owned more than a specified amount of property. It was only in 1918 that all property requirements for male voters were scrapped granting the right to vote to the 40% of males hitherto denied suffrage because they lacked sufficient property; and that the right to vote was at long last extended to a large number of women (provided that they were over 30 and had some property – it took until 1928 for British women to be granted the same voting rights as men). British working class people expected that this expanded suffrage for working class people, the prospect of a future expansion of suffrage to low-income women lacking property and to younger women and the hoped-for scrapping of laws allowing business owners and other, mostly wealthy, individuals to vote twice, would open the way for workers to finally bring their numbers in society to bear in the political field. Lenin and the other leaders of the Communist International understood that it would take the experience of Labour in government to dash the hopes of the mass of politically engaged British workers that there could be an electoral road to socialism.

More than a century later, when workers in both Britain and Australia have been subjected to many Labour/Labor governments over the decades, such illusions amongst workers have been disappointed many times over. Indeed, over the last four decades, the Australian Labor Party has headed the federal government for a full half of this period. Therefore, right now, working class people in Australia do not have unrealistic expectations that a Labor government would fundamentally restructure society in their interests. That means that for communists to today consider applying the tactic of critical support towards the Labor Party, the ALP would need to stand on a far more emphatic pro-working class agenda than would have been required for communists to apply critical support in the period before the ALP first headed a majority government or in the period when it had been out of office for several decades (as was the case when the Whitlam Labor government was elected in 1972). The leaders of the anti-revolutionary ALP would only proclaim such an agenda if they were pushed to do so by a huge surge in militancy and left-wing radicalism of their working class base. Yet when the socialist consciousness of working class people reaches the next level – when the majority of the politically active section of the toiling masses is not only intent on resisting capitalist exploitation but desire the sweeping away of the entire capitalist order – then the time for electoral tactics becomes superseded; and communists will need to immediately organise a direct struggle for the working class seizure of state power. Therefore, while it still exists, the window, in terms of working class consciousness, in which the tactic of critical support to mass social democratic parties is applicable is narrower than it was a century ago.

What is called for before determining whether the tactic of critical support should be applied towards a particular social democratic party is a careful examination of what the party is claiming to stand for, what attitude the capitalist class is taking towards that party, what the sentiments of the working class are and what the general state of the class struggle is. What is definitely not needed is to mindlessly campaign for the victory of mass social democratic parties at every election based on what Lenin advocated towards the British Labour Party more than a century ago ‒ a position that was based on the particular circumstances at the time where that party had never previously led a government and, pushed by the striking growth in pro-socialist sentiments amongst their base following the October 1917 Russian Revolution, was proclaiming its intent to nationalise key industries and oppose its own rulers’ war moves against Soviet Russia. Those far-left groups that advocated a vote for the ALP at last year’s federal elections when the ALP was not even pretending to stand on an anti-capitalist program achieved the very opposite of Lenin’s tactic of supporting a mass social democratic party “in the way that a rope supports a hanged man.” Instead of helping to break the working class masses from allegiance to the ALP in the direction of support for communism, their call for support to the ALP pushed the masses, disgruntled at the Labor Party’s subservience to the capitalist bigwigs, back towards the Labor Party. No matter what else they said, by calling to support Albanese’s ALP, these pseudo-Leninist groups sent a message to those that they have influence over that no matter how much the ALP upholds the domination of the big end of town at home and the international agenda of that class abroad, workers have “no choice” but to support the ALP as “a lesser evil”. This can only breed despair and demoralisation amongst the working class. It harms the building of class struggle resistance to the capitalist exploiters.

WHAT ABOUT THE GREENS?

Given how small are the differences between Labor’s agenda and that of the Liberals, the Greens have gained a growing following amongst progressive-minded youth and the small-l liberal, middle class. They are attracted to the Greens by some progressive policies that the Greens advocate. This includes the Greens platform calling for dental to be covered by Medicare. Unlike the ALP, whose plan to grow “social” housing only involves a small increase in privately owned, “community housing” rather than any increase in public housing, the Greens stand for actually increasing public housing, albeit at a modest pace. However, to implement such reforms, let alone really substantial anti-poverty measures, requires standing up to inevitable resistance from the majority of the capitalist class. The Greens cannot do this because they reject a class struggle outlook. This is because the Greens actually embrace wealthy capitalists in their own party and a dominant role in their party is played by upper-middle class elements who gain part of their income from capitalist share investments. For example, one capitalist investor, Duncan Turpie, has personally donated over a million dollars to the Greens over the last few years. Therefore, lacking both the will and ability to challenge capitalist power, any Greens in government will inevitably bend to the demands of the powerful capitalists.

That is why in the early 2010s, when the Greens had two ministries in the then Tasmanian government, they were part of a joint government with Labor that cut nursing jobs and public housing maintenance. Federally, as part of a defacto coalition with Labor from 2010 to 2013, the Greens helped oversee the final privatisation of Telstra begun under John Howard. Today, they back the rest of the capitalist class’ drive to strangle socialistic rule in China. Indeed, while opposing the AUKUS nuclear submarine plans, the Greens are even more rabid than either Labor or the Coalition when it comes to spewing the lying “human rights” tirades against China that “rationalises” such military escalation. In this the Australian Greens are similar to their German counterparts who today form a key part of Germany’s coalition government alongside the Social Democratic Party and the avidly neoliberal, Free Democratic Party. The leader of Germany Greens, Annalena Baerbock, is that country’s foreign minister. While preferring to wrap their meddling imperialist agenda in more “human rights” packaging than their right-wing counterparts, Germany’s Greens are so extreme in supporting both Western imperialism’s proxy war against Russia and its Cold War drive against socialistic China that they would make neoconservatives blush! A future Greens role in the Australian government, either as a coalition with Labor or alone, would similarly see them act as imperialist warriors with a “progressive” face. Although the Greens call for lowering defence spending to 1.5% of GDP that would still be much higher than the likes of Canada and Japan and, on a per person level, nearly five times higher than China’s. The Greens international agenda is to support essentially the same imperialist interests of Australia’s capitalist class that Labor and the Coalition uphold, while pushing to supplement military might with greater use of “human rights” propaganda, increased support for pro-Western opposition movements in countries targeted by Western imperialism and deeper utilisation of Australian government aid as a means of political manipulation.

The Greens unwillingness and inability, as a party, to resolutely stand up to the rest of the capitalist establishment has sometimes even been evident when their own members have been targeted by other sections of the ruling class. Greens politicians are frequently pilloried by Far-Right parties, right-wing Coalition MPs, the Murdoch media, conservative think tanks and other organs of the hard right-wing of the capitalist class. Copping such, often vicious
and personal, attacks is indeed part of what gives the Greens credibility with progressive-minded people. A favourite target of the rabid right-wing is the federal Greens First Nations portfolio head – DjabWurrung Gunnai Gunditjmara Aboriginal woman and senator from Victoria, Lidia Thorpe. Before becoming a Greens senator, Thorpe had been well known as a staunch activist for Aboriginal rights. Thus, her entry into the Greens gave the party increased authority amongst many Aboriginal people and leftists. In May 2017, at the Uluru Aboriginal convention where supporters of constitutional recognition created their petition calling for the establishment of a First Nations “Voice” enshrined in the Australian Constitution, Lidia Thorpe was one of the staunch activists who walked out of the convention in protest at the direction it was heading in. She stated at the time, “We as sovereign First Nations people reject constitutional recognition. We do not recognise occupying power or their sovereignty, because it serves to disempower, and takes away our voice,” insisting that, “We need to protect and preserve our sovereignty.” When the new Albanese government announced its intention to push for the implementation of the advisory “Voice”, Thorpe made clear that she was not going to simply roll over and accept the scheme that was being championed by small-l liberals, social democrats, “progressive”-liberals and many mainstream conservatives. Lidia Thorpe insisted that a Treaty between the government and Aboriginal people, a Truth Commission to lay bare all the genocidal crimes that have been perpetrated against Aboriginal people, the stopping of Aboriginal deaths in custody and providing proper compensation for Aboriginal people who were stolen from their families when children, all took precedence over the “Voice”. As a result of this stance, the centrist and “progressive” sections of the ruling class establishment joined their right-wing counterparts in setting their political gunsights on Thorpe. It was, indeed, the supposedly centrist-“progressive” ABC News that led the renewed witch hunt against Lidia Thorpe. They sensationalised an “exposé’” about how Thorpe had once briefly dated a former Victorian leader of an “outlaw” bikie gang. Quickly, the rest of the racist establishment joined the beat up claiming that Thorpe had a potential conflict of interest because she sat on a parliamentary “law enforcement committee”, even though the person she dated had years before left the motorcycle group and had no criminal convictions and despite the committee having not even inquired into outlaw motorcycle groups during Thorpe’s time as a member. Indeed, the man Thorpe briefly dated, who is a strong supporter of Aboriginal rights, seems to be a saint relative to the greedy, often corrupt and frequently racist capitalist exploiters that most parliamentarians associate with. Yet, less than an hour after the ABC unleashed this revamped witch-hunt against Lidia Thorpe, Greens leader Adam Bandt cowardly forced his First Nations portfolio head to resign as the Greens deputy leader in the Senate. Bandt also publicly condemned Thorpe for showing a “significant lack of judgement”, while saying nothing against the obvious beat up against her. A party that cannot even defend one of its own leaders against a ruling class witch hunt, moreover one laden with large amounts of racism and misogyny, is incapable of standing up to the rest of the capitalist ruling class more generally. The Greens should be given no political support – including at election time!

After this article was written, on 6 February 2022, DjabWurrung Gunnai Gunditjmara woman and prominent voice for Aboriginal rights, Lidia Thorpe, quit the Greens. The federal senator, who had been the Greens First Nations spokesperson, will now sit as an independent. Announcing her resignation from the Greens, Lidia Thorpe stated that: “This country has a strong grassroots blak sovereign movement, full of staunch and committed warriors, and I want to represent that movement fully”, “It has become clear to me that I can’t do that within the Greens.” Earlier, targeted for her strong advocacy of Aboriginal rights and her refusal to simply roll over and accept the powerless “Voice” to parliament scheme that was being championed by small-l liberals, social democrats and “progressive”-liberals and many mainstream conservatives, Lidia Thorpe had been subjected to a despicable witch-hunt over having once dated a former member of a motorcycle gang (big deal!). Greens leader, Adam Bandt, failed to defend Thorpe from the witch-hunt and indeed cowardly forced his First Nations portfolio head to resign as the Greens deputy leader in the Senate. Although our Marxist-Leninist politics are different to Lidia Thorpe’s politics, we salute her determined advocacy of Aboriginal people’s liberation right now and say: Down with the racist, right-wing and small-l liberal witch-hunt of Lidia Thorpe! Bravo Lidia Thorpe for having the courage of her convictions to resign from the Greens in order to unshackle her struggle for Aboriginal people’s rights! Hopefully Lidia Thorpe’s resignation will encourage any progressive-minded workers or youth that have illusions in the Greens to also break from the party. And hopefully it will put pressure on those Far Left groups that tail after the Greens and give it electoral support to dump their unprincipled support to this party of the “progressive”-liberal wing of the inherently anti-Aboriginal, capitalist establishment. We say: No unity with any wing of Australia’s racist, capitalist ruling class – including the “progressive”-liberal wing represented by the Greens!
Photo credit: Matt Roberts/ABC News

Several socialist groups that stood to the left of the Greens also ran in the May 2022 federal elections. Unlike the Greens, these parties proudly proclaim themselves anti-capitalist organisations. Among these groups is Socialist Alliance. Whereas the Greens advocate maintaining the U.S.-Australia alliance – only calling for it to be “renegotiated” – Socialist Alliance rightly demand an end to the alliance. Moreover, while the Greens leadership refused to defend their own First Nations portfolio head, Lidia Thorpe, from the reactionary witch hunt unleashed against her five months after the elections, Socialist Alliance had the decency to condemn the attack upon her. However, Socialist Alliance tied their 2022 electoral campaign to the Greens. They called not only for directing preferences to the Greens but for a vote to the Greens in seats where their own party was not standing. This is despite Socialist Alliance and other pro-Greens socialists sometimes acknowledging the capitalist essence of the Greens. By advocating a vote for the Greens, Socialist Alliance and other pro-Greens socialists are undermining class struggle by, in effect, promoting the false notion that a wing of the capitalist class – represented by the Greens – can improve workers’ lives. This is as harmful to the building of militant unions as the false notion at the workplace level that workers can improve their lot by helping “nicer” managers to become their top bosses.

The tailing of the Greens by the likes of Socialist Alliance not only reflects their failure to insist on the independence of the working class movement from all wings of the capitalist class – including the “progressive”-liberal wing represented by the Greens – but also the fact that these reformist socialist groups share not only the Greens’ progressive positions but also share its reactionary loyalty to the key global strategic agendas of the Australian capitalist class. Thus, Socialist Alliance, like the Greens, are avid supporters of the U.S.-NATO-Australian regimes’ proxy war against Russia. An 18 September 2022 Socialist Alliance resolution even supported the supply of arms to Ukraine by these Western regimes. Still more harmfully, Socialist Alliance apes the Greens in lining up behind the principle strategic goal of the U.S. and Australian imperialist ruling classes: to destroy the Chinese workers state. Socialist Alliance excuses this position by ridiculously claiming that China is just another “capitalist” country and, what’s more, one dominated by “authoritarian nationalist politics.” With these rationales, Socialist Alliance, while rightly opposing the U.S.-Australia military build up against China, fervently support the Western imperialists’ anti-communist propaganda assaults on Red China over “human rights”. They also support all the forces attacking socialistic rule in China from within – from the pro-colonial, upper-middle class, anti-communist opposition forces in Hong Kong to the Taiwanese capitalist ruling class seeking to guarantee its rule of exploitation through securing independence from socialistic China to last November’s Chinese version of the Far Right-instigated, anti-COVID response “Freedom” protests. Unless Socialist Alliance both dumps their support for the imperialist-driven campaign to undermine the Chinese workers state and breaks free from the orbit of the “progressive”-capitalist Greens, they should not be given even critical electoral support – including at the upcoming NSW state election.

WHAT THE MAY 2022 ELECTION RESULTS SIGNIFIED

The Greens gained significantly during last May’s federal elections. With an increasing share of the vote, they boosted their numbers in the Lower House from one seat to four seats and their Senate numbers went up by to twelve seats from the nine held previously. Although the Coalition were badly defeated, the ALP’s first preference vote actually fell slightly. The loss in Coalition vote in affluent areas was in good part siphoned off to so-called Teal “independents” that advocated greater action against climate change, gender equality and more small-l liberal social policies. Their success represented a rebuff by the liberal sections of the upper class and upper middle-class to the Liberal-National’s increasingly extreme, rightward course on social policies, resistance to action on climate change and male chauvinist internal culture. These “independents” grabbed six formerly safe Liberal seats in urban and suburban areas in addition to those that they held prior to the elections. However, these Teal independents are as committed to anti-working class, neoliberal economic policies as the conservatives. Their campaigns relied on lavish funding from corporate bigwigs and other wealthy individuals. Some of this went directly to TEAL candidates and the rest was funnelled through campaign groups like Climate 200, which alone provided nearly $6 million dollars to TEAL candidates. Among those making donations well in excess of $1 million to the TEALs and Climate 200 were Australia’s fourth and fifth richest capitalist exploiters – Atlassian cofounders Mike Cannon-Brookes and Scott Farquhar – and the CEO of trading outfit VivCourt, Rob Keldoulis. Also providing big bucks for the TEALs is Climate 200 convenor, Simon Holmes à Court, a capitalist investor and one of the heirs to the wealth of his father, Australia’s first billionaire, ruthless corporate raider Robert Holmes à Court. On the opposite political flank of the Coalition, the Liberals and Nationals lost votes to the Far-Right parties. The parties to the right of the Coalition increased their vote by nearly 60% relative to the previous elections. That means that last May’s elections saw one in eight people vote in the Lower House for a range of extreme right-wing parties including the racist Pauline Hanson’s One Nation and Liberal Democratic parties and billionaire Clive Palmer’s ultra-nationalist, United Australia Party. This reflected the dangerously growing right-wing extremism of a chunk of Australia’s disgruntled middle class and self-employed layers – a result of their economic insecurities in the context of the decaying capitalist order and the present failure of the workers movement to provide a powerful anti- capitalist alternative that could channel the legitimate component of middle-class grievances. The splintering away, in either direction, from the main parties of the capitalist class, the Liberals and the Nationals, ultimately reflects the crisis of confidence that the capitalist class feels internally as it agonises over the economic and social crises of its own system, on the one hand, and on the other, panics over the implications posed by the successes of socialistic rule in the world’s most populous country.

Given that there was no mass workers party running on an anti-capitalist platform in last May’s elections, the most crucial aspect of the election results to examine was the proportion of people who did not cast valid votes. It turns out that the number of people who risked a fine by neither showing up to vote nor filling out a postal ballot increased by 25% from the previous elections – reflecting fading hopes in the supposedly “democratic” political system. Over one in ten voters did this. More interesting still is to analyse the number of people who turned up to the ballot boxes to get their names ticked off to avoid a fine and then did not cast a valid vote. Some of these people even wrote messages criticising the political parties instead of numbering the boxes. More than eight hundred thousand people in this way “voted” Informal at last May’s federal elections. Although a very small proportion of these people may have simply filled out the forms in error, for the most part, their Informal “vote” represented distrust of all the political parties running in the elections.

Such anti-establishment suspicion could come from a number of different standpoints. In the worst case it could reflect people’s adherence to any number of crazy, inherently right-wing, conspiracy theories or to the fact that each extreme right-wing party was not on the ballot in every seat where there were people who wanted to vote for them. However, the greatest share of the Informal vote came from working class voters – often from people of colour backgrounds – who would never dream of voting for the Liberals or Far-Right parties but are understandably disillusioned with the ALP for not standing up for their interests. This is proven by the big disparity in the Informal “vote” between the wealthy electorates and the strongly, pro-ALP working class electorates. Thus in the rich Sydney electorate of Wentworth, which includes plush suburbs like Bellevue Hill, Point Piper, Rose Bay and Vaucluse, just 2.5% of people “voted” Informal. Wealthy residents trust the political system and their casting of valid votes reflects their understanding that they have a voice in how the system operates. In contrast, the opposite sentiment is significant in working class areas. Thus, in the Sydney electorate of Blaxland, which largely consists of heavily Asian, Middle Eastern, African and Islander working class suburbs like Auburn, Bankstown, Chester Hill and Villawood, the Informal “vote” was well over four times higher than it was in wealthy Wentworth. Nearly one in nine voters showed up to the ballots in Blaxland only to cast an Informal “vote”. Indeed, in particular voting booths in Sydney’s multiracial southwest, the Informal vote was even higher. In the Blaxland polling booth in Auburn West, nearly one in five voters cast an Informal “vote”. In the Villawood North polling booth in the seat of Fowler and the Fairfield Heights booth in the McMahon electorate, the Informal “vote” was also more than 18%. By contrast, a ten times lower proportion of voters cast an Informal “vote” at the polling booths in the wealthy Double Bay and Bellevue Hill South areas. Some mainstream political commentators, eager to cover up the distrust in the “democratic” system amongst the working class masses, patronisingly claim that the much higher Informal “vote” in migrant, working class areas is due to poor education and lack of English ability causing people not to know how to vote properly. However, while such problems caused by socio-economic disadvantage is a minor factor, it is not the main one. This is proven by the reality that the Informal “vote” in the Senate, where people have greater choice in the parties that they can vote for, is more than a third lower than it is in the Lower House vote. The fact that the Informal “vote” mostly represents a conscious choice to reject all the parties running in the elections is further proven by the fact that the Informal vote fluctuates widely from election to election. After all, if unintentional errors in filling out ballot papers were the cause of the Informal vote it should not swing so wildly from election to election.

Indeed, the narrow defeat of high-profile Labor candidate Kristina Keneally to a local independent in the multiracial, working class, southwestern Sydney electorate of Fowler can be, in good part, put down to the fact that well over one in ten voters – no doubt mostly potential Labor voters – turned up to the ballots to get their names ticked off and then cast an informal “vote”. Indeed, when a Trotskyist Platform supporter in this electorate explained to Labor election day canvassers why he would be “voting” Informal, the reaction of the Labor activists was along the lines off: Oh no, not you as well, please don’t waste your vote like so many other people! This indicated that many others in the electorate were “voting” Informal as a conscious rejection of all the parliamentary parties and in particular as a rebuff of the party that they see as the party which should represent them but which they rightly understand has betrayed them – the ALP.

WORKERS DO NEED A PARTY – BUT ONE BUILT TO ORGANISE
INTRANSIGENT RESISTANCE TO THE CAPITALIST CLASS

That proportion of working class people who would never support the conservative or Far-Right parties but are disillusioned with Labor can be a key force for organising class struggle action to fight for the rights of working class people and all the oppressed. However, that is only if their disappointment with Labor and the whole system does not lead to them becoming skeptical of the possibility of achieving change and cause them to become depoliticised. Especially when plunging living standards and economic insecurity constantly impel people into political activity, political demoralisation can sometimes be people’s first step to turning towards the Far Right whose stock in trade is, after all, to turn despair at the possibility of resisting the big end of town into scapegoating of the most downtrodden layers of society.

That is why it is crucial that there be built a working class party that will provide a genuine alternative to the many disillusioned former Labor supporters. However, such a party must be completely different to the ALP. We do not need another party vying for administrative leadership of the capitalist system in order to try to tweak the system to serve the masses’ interests, which is the mission impossible that the ALP seeks to fulfil (at least in the most generous evaluation of the party’s ethos). What we need instead is a workers party that is committed to organising intransigent mass resistance to the capitalist exploiting class and their system. Right now, the potential to mobilise such class struggle resistance is especially evident in Europe where the masses living standards are plunging particularly rapidly. Angered by surging inflation and crumbling public services, hundreds of thousands of French transport workers, teachers, oil refinery workers and others went on strike last Friday against French president Macron’s moves to raise the age at which people can get the aged pension. Meanwhile, workers in Britain have unleased the biggest wave of industrial action there in decades. In the last two months, rail workers, bus drivers, teachers, nurses, paramedics, postal workers and others have waged a series of strikes against falling real wages. To mobilise such struggle here and, most importantly, to ensure that the struggles are both raised to the level of intensity and guided to the direction that can ensure victory (which is a challenge also acutely faced by the rebelling workers movements of France and Britain given their social democratic misleadership), it is necessary to not only positively motivate the need for such actions but to knock down the serious political obstacles impeding militant class struggle resistance.

One such obstacle is the widely held illusion that a Labor government is, in some way, a workers government. A more left-wing version of this myth is the idea that even though an ALP government is far from ideal, the ALP in office can be made to serve the interests of the masses through political pressure and campaigning. Unfortunately, such illusions are being reinforced by many Far Left groups – due to their social democratic skew away from authentic Marxism. This includes the Communist Party of Australia (CPA). Thus, an open letter sent last June by the CPA’s National President to prime minister Albanese praises his government’s stance on a number of issues while politely urging him to take a more progressive stance on others. The letter begins by expressing warm solidarity with the new government:

“Dear Prime Minister Albanese, The Communist Party of Australia wishes to congratulate you on the election of a Labor government and the more diverse Cabinet of MPs and Senators. We recognise you will face many challenges from the nine years of the corrupt, dysfunctional Coalition government with its anti-worker, union-bashing record.”

The Guardian, Issue #2012, 27 June 2022,
https://cpa.org.au/guardian/issue-2012/open-letter-to-the-prime-minister-of-australia/

The CPA letter then covers up the Albanese government’s failure to seriously push for real wage rises and its backing of a minimum wage increase that it knew would not be sufficient to match the widely predicted increase in inflation in the following months by cheering that “We warmly welcome your government’s swift action to support a cost-of living increase in the minimum wage. The outcome is a start to arresting the decline in real wages experienced by low and middle-income workers over recent decades.” Well it wasn’t even a start! Real wages have plummeted at an even greater rate in the seven months since! The CPA letter even praised the Albanese government’s stance on the Palestinian issue by stating that: “We congratulate your government on its stand at the United Nations in not supporting the US-led opposition to an inquiry into human rights abuses by Israel in the occupied territories of Palestine.” Yet, even then it was clear that the new government had no intention of reversing the Australian regime’s long-standing support for Israel’s brutal oppression of the Palestinian people. Indeed, over the last few months, the ALP government has been amongst just a small number of other governments around the world to oppose UN motions aimed against the Israeli regime’s tyranny over the Palestinian people and other Arab peoples in its neighbourhood.

The most harmful aspect of the CPA leadership’s warm open letter to the head of Australia’s capitalist regime is the false notions that it promotes amongst the party’s supporters that the Albanese government deserves some level of support and can be pressured to take a basically progressive course. Such ideas are completely wrong. The Labor Party is, to be sure, a party with a working class base. However, its leadership and program support the capitalist order. Moreover, the Albanese government heads a state machine that has been built up to enforce the interests of the exploiting class. As the last eight months of plunging real wages, skyrocketing rents and continued military build-up against socialistic China proves, the Albanese government is an enemy of the working class and oppressed. Although the CPA and other reformist Far Left groups say that “grassroots campaigning and direct action” is necessary to “push Labor to the left and force progressive policy on key issues”, their semi-favourable portrayal of the ALP government and their sugar-coating of its actions acts to deter the building of truly intransigent class struggle. For it reinforces the false notion that militant anti-capitalist struggle – whether aimed against reactionary policies of the Labor government or against particular capitalist bosses – should currently be avoided, lest it undermine a Labor government that should be given some level of support. Today, the wide acceptance of this idea by politically active workers and progressive youth is the main reason why, despite working class people’s plummeting living standards here, the Australian workers movement and Left has yet to unleash, even, the level of class and other progressive social struggle seen in the likes of France and Britain.

Britain, 18 January 2023: Nurses picket outside London’s University College Hospital as part of a mass nurses’ strike. Over the last two months, Britain has had its biggest strike wave in decades as workers desperately demand decent pay rises to keep up with soaring living costs. However, the full potential of such powerful strike action is held back from being brought to bear by the social democratic (pro-Labour Party), present leadership of Britain’s workers movement. The same problem faces the Australian working class. Moreover, even though Australian workers are seeing similar cuts to their real wages as their British counterparts, since a Labor government is in office here (unlike in Britain), the pro-Labor social democratic bent of Australia’s current union leadership and beliefs amongst workers themselves that a Labor government should be supported as a “lesser evil” has meant that workers here are yet to unleash the level of resistance seen in Britain – let alone the massive, hard-fought struggle needed to truly smash the attacks on workers’ living standards.
Photo credit: Reuters/Toby Melville

Another widely held misconception holding back class struggle right now is the idea that the new Albanese government has won a “mandate” through its election and should not be opposed in the first half of its term, at least when it is carrying out policies that it took to the elections. However, under capitalism, such “mandates” are not truly “democratically” chosen by the people. For in capitalist societies, any elections and the political discourse leading up to them do not express the interests of the majority of people – the working class masses. For starters, this is because it is capitalists who thoroughly dominate ownership of the media and, thus, ensure that it is only the policies that serve their class that are being promoted by the news media. Moreover, through their incredible wealth, it is the capitalists who are, in great disproportion to their numbers, able to dominate funding of political parties, buying of political advertising, hiring of lobbyists and establishing of those supposedly “independent” think tanks and “movements” (like the right-wing Advance Australia) that have such a great impact on public opinion. Disclosures about political donations in Australia are not yet available for the 2021-22 financial year when the federal elections were held and, thus, when the biggest donations would have been made. But records do show that in the previous financial year, a whopping $177 million dollars flowed into Australia’s political parties – most of it through undisclosed donations and receipts. From the records of the small portion of donations that are disclosed, we do know that in the last two financial years for which records are available, 2019-2020 and 2020-2021, Australia’s fifth richest person with a total wealth of $24.3 billion, Anthony Pratt and family (owners of packaging and paper giant Visy Industries) donated nearly $2.9 million to the Coalition. Meanwhile, in the same period, Australia’s seventh richest person, Clive Palmer, donated nearly $6 million to his United Australia Party, which helped it win a Senate seat in Victoria at the recent federal election. And if you are wondering why the Coalition and Labor keep on allowing the bank bosses to ruthlessly plunder from their customers despite these corporate bigwigs admitting to rip-off practices like charging customers account management fees for no service, here is some part of your answer: from 2019 to 2021 the four big banks donated a combined $580,000 to each of Labor and the Coalition. With such huge money flowing into the “democratic process” from the corporate elite, what chance do the working class masses struggling to pay bills have to significantly shape the “mandates” of the dominant parliamentary parties? The fact is that these “mandates” primarily represent the will of the super-rich capitalist exploiting class. We should not be bowing down before any such “mandates”!

Since this article was written, the Australian Electoral Commission has finally released the list of major political donations for the financial year from 1 July 2021 to 30 June 2022. Above are some of the ultra-rich capitalists whose large political donations thoroughly shaped last May’s federal elections and the political discourse that surrounded it. From Left to Right: Anthony Pratt, Australia’s fifth richest person and owner of the Visy packaging giant; filthy rich tycoon, Dick Honan, who along with his children own agribusiness behemoth, Manildra Group; mining billionaire, Clive Palmer; Australia’s fourth richest capitalist, Scott Farquhar; high-rolling investor, Duncan Turpie; Pierre Langenhoven who alongside his wife, Luciana, are big-time pastoralists in the NT and the son-in-law and daughter respectively of one of South Africa’s richest men. In the 2021-2022 financial year, Anthony Pratt made political donations of almost $4 million evenly distributed to the ALP and the Coalition. This is unlike in the previous two years, where Pratt donated a total of over $2.8 million to the Coalition as against just 0.35% of that amount to the ALP. The big turnaround reflects the fact that the capitalists were increasingly worried that the corrupt and unpopular Morrison government would not be able to hold back workers’ anger over falling real wages. Hence, the capitalist exploiters thought that Labor, with its organic ties to the union leadership, would be more effective at restraining workers’ resistance than the conservatives. As a result, many capitalists chose to support, or at minimum be indifferent to, an ALP victory in the 2022 elections. Dick Honan’s Manildra Group also gave big amounts to both sides: donating $154,200 to the Coalition and a slightly lesser $105,718 to Labor. Clive Palmer made by far the biggest political donations. He incredibly gave almost $117 million to his United Australia Party (UAP) and another $250,000 to fellow Far Right outfit, the Liberal Democratic Party. As a result, despite the UAP’s increasingly extremist right-wing politics, mixed with a good deal of crackpot conspiracy, the UAP was able to win a Senate seat and increase its vote in the lower house by 20%. Meanwhile Scott Farquhar donated $1.5 million to the Climate 200 campaign group that was in good part responsible for getting the TEAL “independents” elected and which also backed the Centre Alliance that won a lower house seat in the only seat that it contested. By donating more than three quarters of a million dollars to his campaign, Climate 200 were also largely responsible for getting elected ACT “independent” senator David Pocock (who later became known for weakening the only significant pro-worker aspect of the government’s “Secure Jobs, Better Pay” law). Farquhar also donated $8,000 to the Greens. However, the biggest single donor to the Greens in the 2021-2022 financial year was capitalist investor, Duncan Turpie, who gave the party a whopping $545,555. Also sizable donors to the Greens are the pastoral companies owned by the Langenhoven family. These filthy rich, rural capitalists donated a combined $29,000 to the Greens last financial year.

In all the imperialist countries, at all times, among the biggest obstacles to working class resistance is the notion that the capitalist class on the one hand and working class people and other downtrodden sectors on the other have substantial common interests. This false notion is continuously drummed into the working class masses by the currently social democratic, ACTU leadership of our unions. The capitalist ruling class also actively promotes this lie. In large part they do this through whipping up nationalism and the false notion that accompanies it: that all people of the nation regardless of their class position have a common “national interest”. In actual fact, it is the very opposite that is true: that the rights of the working class and all the downtrodden can only be advanced at the expense of the immediate economic interests of the capitalists … and vice versa! This was true even a century ago when Britain’s Labour Party promised substantial reforms benefiting working class people without challenging the capitalist order. However, it is even more so today. For capitalism has reached a still more senile and diseased state than it was in a century earlier. Even by a century ago, the capitalist system had outlived the period when it could still provide some progressive benefits to humanity. The appalling slaughter of World War I where the rival capitalist powers sent the masses of their own countries and their colonies to kill each other for the sake of their competing claims over spheres of exploitation showed this all too clearly. By 1921, Britain and the rest of the capitalist world was in the midst of a sharp post-war recession. Yet, in a longer-term sense, capitalism today is afflicted by a still more severe malaise. The economic collapse in the capitalist world during the late noughties Great Recession was the clearest indicator of this. Most major capitalist economies had never fully recovered from this plunge when they were buffeted by new crises associated with first, COVID and now, out of control inflation. The latest available figures (for 2021) show that since the eve of the late noughties Great Recession, average incomes (adjusted for inflation) have plummeted by 8% in Britain, 9% in Italy, 15% in Brazil and 37% in Greece. The real incomes of the working class section of the population in these countries have fallen still more steeply. If Australia did not suffer to the same degree from the Great Recession and its aftermath, it is solely because China’s booming socialistic state-owned enterprises bought up an ever greater amount of exports from Australia. Indeed, much of the capitalist world has only been saved from still greater disintegration by the rapid growth of the market provided by a socialistic country, in China, combined with the inflation-lowering impact of imports from Red China. To be sure, the wonderful capacity of us humans to innovate occasionally injects some vitality into the shrivelled up veins of late-stage capitalism. However, the system is unable to deliver the benefits of such innovation to the masses. Instead, the capitalist bosses’ only “effective” means to prop up their system is to ever more steeply increase the rate at which they exploit their workers. In by far the biggest capitalist economy, the U.S., real wages are today what they were 50 years ago. In Australia, real wages are lower than they were 12 years earlier. With their system mired in economic and social stagnation and decay, the capitalist bigwigs are even more loathe to grant concessions to the masses than they were a century ago. It will take very intense class struggle to win any substantial gains for the exploited and oppressed masses.

If it is to be able to build large-scale resistance against the ruling class, the workers party that we need will have to oppose nationalism and consciously dispel the myths about the possibility of “win-win” collaboration between the capitalist exploiters and the exploited workers. It will have to convince the masses that every setback for the capitalist rulers strengthens the struggle to advance the rights of working class people and all the downtrodden. That means that such a party would resolutely oppose the extreme exploitation of PNG, East Timor, Fiji, the Solomon Islands and other South Pacific nations by Australian-owned corporations; while opposing the neo-colonial meddling in the region that the Australian regime engages in to facilitate such plunder. Understanding that any setbacks for the U.S./NATO/Australian proxy war against Russia in Ukraine can only make the Western ruling classes more vulnerable to resistance from their masses, a class struggle workers party would stand for the defence of Russia in this conflict – despite the reactionary, capitalist nature of Russia’s ruling class. It would demand an end to all weapons supplies to Ukraine and the immediate dropping of all economic sanctions against Russia.

Whereas the ALP and its allies in the ACTU leadership limit their demands to what it thinks the capitalists will reluctantly tolerate, the new workers party that must be built will fight for what the working class and all oppressed actually need. Given that the crisis-ridden capitalist system cannot satisfy the masses’ aspirations, the ultimate task of such a party is to lead the working class masses to depose the capitalist exploiters from power and take state power into their own hands. This is not an easy task. The capitalists have enormous wealth, control of the economy and the physical power of all the current state institutions. Therefore, to be able to organise the eventual defeat of such an immense force, the members of the revolutionary workers party that we need must be made to adhere to much more rigorous obligations than that of the Labor Party. In the ALP, many join due to a combination of, on the one hand, wanting to advance the interests of working people and, on the other, wanting to build lucrative and socially respectable careers in politics. For the ranks of the party it is more the former that motivates them. However, for the personally ambitious and pushily, careerist-minded people who shove themselves into Labor leadership positions, it is the latter that is often more important. Furthermore, the longer the careers of such leading ALP members progress and, correspondingly, the more evident it is to them that the party’s strategy is incapable of delivering the gains for the masses that may have once primarily motivated them, the more cynical that they become and the more shamelessly that they subordinate their principles for the sake of personal advancement. In contrast, for a party seeking to accomplish so difficult a task as the defeat of the powerful capitalist rulers, the political activity of all members will need to be solely motivated by the goals of liberating the exploited and oppressed and advancing the well-being of humanity. Thus, in working hard to contribute to the building of such a party, we in Trotskyist Platform insist that our members must not seek any personal financial advantage whatsoever out of their involvement in the party’s activities, other than the benefits that they would share with the rest of the masses due to participation in victorious struggles – for example through party members at a workplace being part of industrial action that wins higher wages for all workers at the site. Similarly, members of a revolutionary workers party must not seek even non-material forms of particular personal benefit from their political activities, whether that be fame, ego, sex appeal, social networks or even excitement, although a number of these things, to some degree, may arise as a by-product of their involvement in the struggle. Most crucially, members of a revolutionary party will need to make enormous personal sacrifices for the sake of the struggle and show great personal and political courage.

Despite the enormous power of the capitalists, the working class and other oppressed have one huge advantage over these filthy rich exploiters – there is a lot more of us than them! Moreover, it is the manual and mental labour of the workers that creates capitalist profits. In other words, the working class is potentially a lot more powerful than the capitalists. Indeed, for between a century and a century and a half, the working class in much of the world has had the objective power to overturn capitalist rule. What has been lacking is the consciousness of the need to accomplish this task amongst the mass of workers and a workers’ leadership that is prepared to fight tenaciously for socialist revolution. Even as its own system decays, the capitalists have become increasingly expert at messing up the political consciousness of the working class masses and at poisoning it with nationalism, racism and illusions in the “fairness” of parliamentary “democracy”. Moreover, they are very adept at intervening into the contest within the Left and workers movements between reformists that uphold the capitalist order and revolutionaries opposed to the capitalist system in order to boost the former. The ruling class do so in various ways. First they give enormous financial and other backing to the social democratic reformists. It is not only the bank bosses doing this. The bosses of retail conglomerate, Wesfarmers, and banking and asset management giant, Macquarie Group, each gave around $220,000 to the ALP during the two financial years from 2019 to 2021 – the same amount that they each gave to the Coalition. Meanwhile, in this same period, the bosses of Bluescope Steel which gave Labor $108,000, accounting giant PricewaterhouseCoopers which gave $254,316, oil and gas giant Santos that gave Labor $88,000 and mining giant Fortescue – owned by Australia’s second richest person Andrew Forrest – that gave nearly $70,000, all gave more to the ALP in this period than they did to the openly capitalist Liberal/Nationals. The corporate bigwigs also skew the political battle between Laborite social democrats and revolutionaries, within the Left and workers’ movements, in other ways. The media that they own and the think tanks that they fund promote the most capitalism-loyal elements within the workers movement, while denigrating and witch-hunting revolutionary elements and more militant union leaders. Meanwhile, their courts, DPPs and police target for persecution the more revolutionary elements of the Left and the more radical officials and delegates within the trade union movement. Within workplaces, capitalist bosses victimise militant union delegates and unionists. The bosses seek to break the spirit of such left-wing workers by giving them the worst, most undesirable workplace tasks. More sinisterly, they prosecute disciplinary actions against these workers by concocting claims that these workers have “violated” workplace rules in order to intimidate these workers with the threat of being sacked. In contrast, capitalist bosses look after those union delegates that are seen as compliant, or open to being co-opted, by giving them special treatment at the workplace. Yet, despite how slanted is the competition for the hearts and minds of the working class masses between the Laborites and other social democrats, on the one hand, and the revolutionaries, on the other, the latter have one massive advantage that tilts the contest back the other way: it is we whose program actually represents the historic interests of the working class and all the oppressed. And as capitalist Australia enters a period where falling economic growth and rising job insecurity melds with the high cost of living, plummeting real wages and dangerously rising imperialist militarism that we have already been copping, it will be easier for revolutionaries to motivate a program that is opposed to the entire capitalist order.

Indeed, even the capitalist rulers themselves know that their system is in crisis. In a January 18 interview, none other than the head of the French capitalist regime, Emmanuel Macron, openly expressed his fears for the stability of capitalist rule and for the precarious state of Western capitalist “democracies”:

“First, there’s a crisis within the global open financial capitalist system. This system is experiencing a deep crisis, because, by acquiring capital, it has caused inequalities to skyrocket…. Therefore, our democratic system is in crisis, because it no longer spontaneously generates progress for all – once again, it creates inequalities between social classes.”

As surely as the sun shines, capitalism will create the conditions that will impel the masses into large-scale struggles. The strike wave that we are seeing today in Britain, France and other parts of Europe is testament to this. The only question is: will the Left be up to the task of intervening in and guiding these struggle towards an eventual assault on the crisis-ridden, inequality-skyrocketing, capitalist order? If we fail in this task, the crisis of capitalism will be exploited by the fascist wing of the capitalist class as it was in the 1930s. The terrifying rise of the Far Right in Europe, the 60% growth in the combined Far Right vote at last May’s Australian elections and the expansion of violent fascist, extra-parliamentary forces in Australia, illustrates this all too clearly.

All this is why now is the time to work extra hard and make still greater sacrifices to advance the struggle against the capitalist system. The final assault on the capitalist order can only be prepared and the masses schooled for this task by training the working class masses in all sorts of partial struggles right now to defend their living standards, oppose racist attacks and make immediate improvements in their rights and conditions. So let us unleash the power of our workers’ unions and build militant class struggle and other progressive struggle actions to win higher wages, the rights of permanency for all gig and casual workers, a massive increase in public housing and the confiscation of the oil, gas, coal and power sectors and their transfer into public ownership. Let us fight for the full rights of citizenship for all visa workers, refugees and international students and build mass actions uniting our unions, Aboriginal people, other people of colour and leftists to drive violent racist outfits off the streets. We must also mobilise these forces to oppose the racist state murder of Aboriginal people in custody, stop the continuing removal of Aboriginal children from their families, win full and genuine land rights for Aboriginal people and ensure decent housing and services in Aboriginal communities funded for by confiscating the wealth of the mining and pastoral bosses. Let us also demand: Down with the racist, right-wing and small-l liberal witch-hunt of Lidia Thorpe! Crucially, to advance the struggle against capitalist rule in this country, we must defend the anti-capitalist conquests that have already been made abroad. Most importantly, that means that we must defend the working class rule – as imperfect and insecure as it may currently be – in China that was born out of her earth-shattering, 1949 anti-capitalist revolution. To unleash all these struggles and ensure that they have the greatest chance of victory, we need to work relentlessly to knock down the political obstacles that impede and limit these struggles. Let us destroy the myth that workers and their capitalist exploiters have a common “national interest.” Let us convince the masses that Albanese’s ALP in power is a capitalist government ‒ just like its right-wing predecessors. And let us point out that “democracy” under capitalism is only truly a democracy for the rich and that the “mandate” that the ALP government has to maintain anti-strike laws, institute tax cuts for the rich, keep unemployment benefits at their present paltry level, avoid increasing actual public housing, shun measures to crack down on housing speculation, continue the military build up and propaganda war against socialistic China and support the Western imperialists’ proxy war against Russia in Ukraine, is not a “mandate” that the masses should, in the slightest, respect. To most effectively bring such understanding to the working class masses, let us build a new workers party that is linked to the new class struggle leadership of our unions that we need. A party composed of those people who understand that workers and their capitalist exploiters have no common “national interest” and are willing to make great sacrifices for the cause of socialist revolution.

REVERSE THE PLUNGE IN WORKING CLASS PEOPLE’S LIVING STANDARDS!

Above photo: Lebanese cucumbers selling for all most $12 a kilogram at a Woolworths supermarket in an Inner West Sydney suburb on 22 July 2022. Food prices in Australia and other capitalist countries have been surging, while wage increases have been small.
Photo credit: Trotskyist Platform

REVERSE THE PLUNGE IN WORKING CLASS
PEOPLE’S LIVING STANDARDS!

FIGHT FOR HUGE WAGE RISES, THE RIGHTS OF PERMANENCY FOR GIG WORKERS, A BIG INCREASE IN THE DOLE AND
A MASSIVE INCREASE IN LOW-RENT PUBLIC HOUSING!

IMMEDIATELY PUT THE GREEDY OIL, GAS
AND POWER FIRMS UNDER PUBLIC CONTROL!

15 July 2022: Food prices are surging. The price of lettuce has more than doubled over the last year. Beef is 12% dearer. And then there are the skyrocketing electricity and fuel costs. Yet while everything is getting more expensive, wages have barely risen. That means that even while the rich business owners extract ever more exorbitant profits from their workers’ labour, workers’ living standards are plummeting. It is of zero comfort to Australia’s working class masses that bankers, corporate bosses, politicians and media “experts” celebrate that the economy is undergoing a “strong expansion” when their own lives are getting ever harder.

Prime minister Albanese stated that it was “absolutely welcome” that the “Fair Work Commission” (FWC) recently set the annual increase in the minimum wage at 5.2%, basically matching the official inflation rate. It is true that unlike the former government, which refused to back a pay rise, the ALP government did call for a minimum wage rise that matched official inflation. Yet not only does the 5.2% increase not make up for the fact that this minimum wage had not kept pace with inflation in the preceding period, it will not match price increases in the coming period, which even the Reserve Bank has conceded will reach 7%. Moreover, as FWC president Iain Ross admitted, the prices of non-discretionary items like food are rising much faster than official inflation, especially hurting those on low incomes. Most low-paid workers are renters and Australia’s rents soared by 9.5% over the last year. Therefore, the actual cost increases endured by low-income workers are closer to 10% and rising fast. In other words, last month’s FWC ruling cheered by Albanese actually means a sizable cut to the real income of minimum wage workers. And other workers will suffer an even bigger cut. The FWC only gave award workers a 4.6% increase – less than even official inflation. Meanwhile, public sector workers are being hit still harder. The right wing NSW government has restricted public sector wage rises to just 3%. Gig workers are suffering the biggest cut in real income. Especially for food delivery workers and taxi and Uber drivers, surging petrol costs are ripping away their net incomes.

WHAT IS CAUSING WORKERS’ LIVING STANDARDS TO PLUNGE
AND HOW CAN THIS BE REVERSED?

Australia is not alone in having soaring living costs. This is happening throughout the capitalist world. A poll found that one in six Germans are now skipping meals to get by! In the U.S. the annual inflation rate is 9.1%. Moreover, the crisis extends to the poorer countries. In India, inflation is over 7%, in Brazil it is nearly 12%. In Turkey, the inflation rate is nearly 80%!

So what is causing this crisis? When capitalist countries plunged into the late noughties’ Great Recession, governments found that they could only make their economies recover through flooding them with cheap credit and debt-financed spending. Even after that crisis waned, capitalist economies were so fragile that governments were never able to take their economies fully off of these life-supports. Then after COVID hit, capitalist governments dialled up the intensity of such pump priming “solutions”. The problem is that in the capitalist system, where the economy is in the hands of profit-driven bosses, excess money supply leads the corporate bigwigs to drive up prices. To ensure that the resulting increased revenue flows into their own pockets and not that of their workers, business owners avoid increasing wages knowing full well that soaring prices means that they are effectively slashing their workers’ pay. As a result, workers’ real wages in Australia are now 8% lower than they were six years ago!

This increasing exploitation has been going on under Liberal, Labor and Labor/Greens governments alike. Australian Bureau of Statistics (ABS) data show that bosses are now exploiting their workers 22% more than they were 36 years ago. As a result, ABS figures show that for every $100,000 of value added by workers – that is after all material, property and interest costs have been paid – at a capitalist business (one using hired labour) about $50,000 is gouged by the business owners as profit and only $50,000 is given back in wages! And given that the ABS classifies the fat salaries of CEOs and managers as “wages and salaries”, the reality is that, on average, workers in Australia are now receiving back as wages far less than half of the fruits of their own labour.

Therefore, the measures needed to defend workers’ living standards must be based on drastically increasing the share of the fruits of workers’ labour going back to workers at the expense of the amount that is leached away by the capitalists as profits. For starters that means that the workers movement must fight for huge wage increases. We must also specially defend the most precariously employed workers by demanding guaranteed wages, holiday pay and all the other rights of permanency for all those currently employed on a casual or gig basis. To make it easier to unleash the trade union industrial action needed to win such gains, we must demand the abolishing of all anti-strike laws and all laws restricting union access to workplaces.

Whenever workers demand improvements in their wages, the capitalists scream that this will cause job losses. But such job cuts will only occur if we let these exploiters carry out retrenchments and if we let them retain as few workers as is necessary to maximise their profits. Instead of doing that, we must force the capitalist bosses to hire more workers than they want to at the expense of their profits. We must demand a ban on job cuts by all profitable firms and must demand that all companies making a profit be required to increase their number of full-time, permanent employees by at least twenty-five workers for every one million dollars of quarterly profit.

The already most poverty stricken people are being hardest hit today. Due to entrenched gender inequality, sectors where women workers predominate have especially low wages. It is crucial that the workers movement as a whole demands equal pay for equal work for women workers. Meanwhile, unemployed workers are having to make do with cruelly low social security payments. This is not only driving unemployed workers into extreme poverty but has made the prospect of losing one’s job so scary that it is helping bosses to intimidate some employed workers into avoiding joining workers’ rights struggles. That is why it is especially important to fight for a doubling of the Jobseeker payment. Surging prices also mean that, even though old-age pensioners receive higher payments than unemployed workers, many working class pensioners are facing homelessness. The current system where a meagre pension is combined with individual superannuation carries into old age the inequality that workers faced when at working age. CEOs receive huge superannuation while low-paid workers receive little and gig workers and the unemployed nothing at all. Our unions must demand that the current superannuation system be replaced with one where bosses pay super into a common fund that will be used to help equally pay all a pension equal to the minimum wage.

MASSIVELY INCREASE LOW-RENT PUBLIC HOUSING!

What is making plunging living standards especially unbearable for many working class people is the lack of affordable rental accommodation. Even in the lower income, Western Sydney suburb of Auburn, the median weekly rent for two bedroom units available for lease is right now $435. That’s well over half the minimum wage! And given that so many are working in casual jobs where they receive far less than the minimum full-time wage, it is clear why so many people are only able to pay rent by skipping meals and avoiding using the heater right now at the height of winter. Moreover, there are very few affordable properties available to lease. So people struggling with rising costs are not even able to move into rougher but cheaper dwellings to get by.

The capitalist “free market” is failing to make available enough affordable accommodation – providing such housing is simply not profitable enough for wealthy investors and real estate speculators. What is therefore needed is much more low-rent public housing. Instead, Liberal, Labor and Labor/Greens federal and state governments have overseen a big public housing sell-off over the last few decades. Some of that involves governments handing over public housing to private operators and passing off the resulting “community housing” as also being part of “social housing.” However, the private operators of such “community housing” are notorious for skimping on repairs and skewing their allocations towards higher-rent paying tenants at the expense of the most hard-up. Thus, the proportion of tenants paying more than a quarter of their income in rent is almost eight times as high in “community housing” as it is in public housing.

Even over the last five years, governments have eroded public housing to the extent that the proportion of Australian dwellings that are public housing has been slashed by a further 10%. Today, just one out of every 34 dwellings in Australia belongs to public housing of some form. Yet governments are still continuing on the same course. Let’s stop all sell-offs – let’s fight for a massive increase in public housing instead! And for all public housing properties to be properly repaired! Let’s stop governments from driving tenants out of public housing by allowing properties to become so neglected that they become unfit for habitation!

FOR A NEW, CLASS STRUGGLE AGENDA TO LEAD THE WORKERS MOVEMENT

Many working class people hoped that with the despised Morrison government finally gone, their needs would be addressed. However, the new ALP government also has no commitment to the measures needed to reverse the decline in working class people’s living standards. This was clear even before the elections. To reassure the big end of town that it would not be taking decisive moves to redistribute income from the rich to the poor, the ALP announced that it would ape the conservatives in refusing to lift dole payments. They also made clear that they would not abolish anti-strike laws. That is little surprise. Nearly all these laws had been accepted by previous ALP governments and a few of the rules – such as the Keating government’s 1993 measure restricting strike action to limited bargaining periods – were actually first brought in by Labor. Meanwhile, the ALP’s housing affordability plan will not increase public housing but rather promises funds for just a modest increase in privately-operated “community housing”.

To be sure, ALP leaders would like to improve the lives of their working class base. However, the ALP social democrats are unwilling to seriously challenge the power of the capitalist bigwigs who use their enormous wealth and ownership of the media and economy to thoroughly dominate political life and state institutions. Given their acquiescence to these oligarchs and given that the interests of these capitalists and those of its working class base are counterposed, the Labor Party always ends up betraying its base. Meanwhile, although more progressive on social questions, the Greens too accept the domination of the capitalists. For unlike even the ALP, whose ranks are largely workers, the Greens include significant numbers of actual capitalist exploiters in their ranks and is politically dominated by upper-middle class elements loyal to capitalism.

This means that plunging workers’ living standards are not going to be reversed by the agenda of either the new government or by any of the parties currently in parliament. The way that working class people can advance their interests is through mass action, especially through strikes and other class struggle action by our trade unions. It is through such struggle that working class people have won whatever rights they still have today. In recent months, there have been strikes by NSW train and bus drivers, nurses and teachers that give a small taste of the kind of struggle needed. However, the current pro-ALP union leaders see such actions as supplementary to their main strategy of herding workers into supporting the election and maintaining of Labor governments that they hope will uphold workers’ interests. As we have outlined, this is a losing strategy.

Therefore, we need a new agenda to guide our workers movement. One that rather than seeking collaboration with the capitalist class by limiting demands to what is tolerable to them, will mobilise the working class in an all out struggle against the capitalist exploiters to fight for what the masses actually need. That means not only unleashing struggles for secure jobs for all and big pay rises but also demanding free provision of the social services most needed by the masses. Despite ruling class politicians constantly congratulating themselves about the existence of Medicare, truly free healthcare does not exist in Australia. Currently, the out-of-pocket expenses that a sick person has to cover for specialist fees above what Medicare reimburses can be debilitating. And as governments increasingly underfund the health system, these out-of-pocket expenses are growing. Meanwhile, the lack of Medicare coverage of dental expenses means that large chunks of the working class simply avoid going to the dentist until their teeth deteriorate to the point of an emergency. Similarly, many are foregoing needed specialist visits. This is all the more damaging because COVID in 2022 has been killing people in Australia at the highest rate during this pandemic and hundreds of thousands are suffering Long Covid. Moreover, the inequality of healthcare is so large that those who cannot afford private insurance must wait long periods to receive treatment for debilitating conditions. For example, the current median wait time for a public patient who needs knee replacement surgery to enable them to walk properly again is around eight months!

That is why we must demand truly free health care – that means that Medicare should fully cover all specialist visits, all surgeries, all essential medicine and all dental care and that there should be no long waiting times. Similarly, we need to fight for free education, which means no fees and no HECS debt for TAFE and university. We must also demand free, 24-hour childcare. This is not only a crucial cost of living measure but would help enable women’s full participation in economic life. That in turn is vital for advancing women’s economic independence, without which many women being battered by violent, or otherwise abusive, partners could be coerced by financial necessities into remaining with such abusers.

Striking nurses march in Sydney. NSW nurses, rail workers, bus drivers and teachers have held a series of stop works and strikes over the last several months to demand increased hiring to cope with excessive workloads and to defend their wages and conditions. These actions give a small taste of the kind of militant class struggle needed to reverse the plunge in working class people’s living standards.
Photo credit: Tim Swanston/ABC News

SANCTIONS ON RUSSIA DRIVE UP FUEL PRICES –
WESTERN POWERS’ ANTI-RUSSIA PROXY WAR

HARMS THE MASSES’ LIVING STANDARDS

A major reason for the cost of living crisis are the surging fuel prices. These prices are being driven up by the sanctions imposed on Russia by Washington, Canberra and other U.S. allies that back Ukraine in its war with Russia. We must oppose these sanctions! This is necessary not only to protect our living standards. For the Ukraine war has become a proxy war of the Western imperial powers to unjustly drive their would-be Russian rival down to the subordinate condition that she had been in during the first fifteen years after her devastating 1991-92 capitalist counterrevolution. Australian governments have sent Ukraine’s authoritarian regime hundreds of millions of dollars of military equipment, including howitzers (long-range artillery) and dozens of armoured vehicles, to add to the billions of dollars of increasingly heavy and sophisticated weapons sent to Kiev by Washington and its European allies, including anti-aircraft batteries, advanced long-range anti-ship missiles, drones, tanks and advanced HIMARS multiple-launch guided rocket systems. Although Russia is also ruled by an ambitious capitalist class, her lack of economic strength means that it is the U.S, British, Australian, German, Japanese and other Western ruling classes and not, for the most part, the Russian one that are superexploiting and often simply steamrolling through brutal military power (as they did in Iraq, Afghanistan, Libya and Somalia) the peoples of Asia, the Pacific, Africa and Latin America. That is why if the Western proxy war on Russia is defeated it would be great for the peoples subjugated by imperialism. Such a serious setback to the authority of Australia’s capitalist rulers can only strengthen the ability to resist them. So we must demand: No military aid to Ukraine! Lift the sanctions on Russia!

However, the sanctions on Russia are not the only cause of soaring fuel and energy prices. Although the majority of Australia’s petroleum is imported, Australian corporate oil producers contribute to the high pump prices by selling fuel at the obscenely high world price. This is quadruply so with gas, which Australia is a major exporter of. Greedy Australian energy giants are selling gas at such a high price that it is not only sending residential heating costs through the roof but is driving up manufacturing and electricity prices that are flowing through the rest of the economy as well as pushing up home electricity bills. Meanwhile, power cuts have been threatened because profit-driven generator companies are trying to avoid selling electricity at the capped price when their fuel costs are so high. That is why all oil, gas and electricity corporations must be immediately placed under strict public control. Fuel and power costs must be driven down at the expense of the profits of energy corporations!

BRING THE ECONOMY INTO PUBLIC OWNERSHIP UNDER WORKERS RULE

The bulk of Australia’s energy sector is owned by super-rich, Australian shareholders. Among them is Mike Cannon-Brookes who owns the largest stake in electricity and gas giant AGL. Australia’s third richest tycoon with a $28 billion fortune, Cannon-Brookes is known for his obscenely extravagant lifestyle. Four years ago, he paid the highest amount ever for a house when he bought a Sydney estate for $100 million! The fact that we need to take control of energy industries away from the hands of such people inevitably poses the question: why should these filthy rich capitalists be owning such key sectors at all? We should fight to confiscate the oil, gas and power sectors from their big shareholders and place them into public ownership. Similarly, we need to bring all the key social service sectors into public ownership. Part of why we are being hit with such high out of pocket health costs is that so much of the Medicare budget goes into the pockets of the rich tycoons owning private hospitals, pathology and radiology services and pharmacies – like Sonic Healthcare big shareholder, Michael Boyd, and billionaire Chemist Warehouse owners, Jack Gance and Mario Verrocchi. As a result, the service outcomes produced by each dollar of public money that’s spent is severely truncated. The same applies to childcare, where government subsidies end up feeding the profits of the companies that operate the sector. In public housing too, a good part of the budget ends up in the bank accounts of the owners of construction firms and maintenance contractors – including corporate giants like Downer and Ventia. So let us struggle to ensure that all parts of the operation of healthcare, education, public housing, childcare and aged care are brought into public ownership.

To ensure that all these social services are provided for free, more public funds do need to be allocated to them. But where will the money come from ask neoliberal apologists. It will come from confiscating the most profitable sectors of the economy from the capitalists, starting with the mining industry. Mining profits are so huge that the wealth of just the five richest of Australia’s mining billionaires increased by a staggering $19 billion in just the last year – more than three and a half times what all governments spent on public housing! However, to bring the mining, energy and social service sectors into public ownership requires taking on the tyranny of the oligarchs that own these sectors – oligarchs like Cannon-Brookes, Gina Rinehart and Andrew Forrest – who leverage their enormous wealth to keep state institutions under their control and who disproportionately fund political advertising, political parties, think tanks and lobbyists. Therefore, to bring substantial sectors into the collective hands of the people requires the working class to sweep away the whole capitalist-dominated bureaucratic and political machinery and to construct a new workers state. Based on democratically elected working class people’s councils, such a state would bring all significant parts of the economy into the people’s common, that is socialist, ownership and thereby enable the building of a society that would guarantee secure jobs, improving living standards and free quality social services for all. In doing so it would lay the economic basis for dissipating the inequality faced by women and minorities.

We have living proof that such a socialist system indeed works. For in the world’s most populous country, the Peoples Republic of China (PRC), socialistic rule has ensured that she is the one large country whose masses have not been hit by rising food prices. Although China’s transition to socialism is incomplete and deformed and threatened by intense hostile capitalist pressure, the fact that all her major oil and gas, power, food processing and warehousing, shipping, banking and stevedoring firms are under public ownership has enabled her to not only have an inflation rate of just 2.5% but to have actually falling food prices. And even while ensuring that her people have a COVID death rate per person that is 112 times less than Australia’s, the PRC’s socialistic system has ensured that, unlike here, her workers’ real wages have continued to rise during the pandemic. Indeed, for the last 15 years, the PRC has been enjoying the world’s fastest growing real wages. She has ensured that the proportion of her population suffering homelessness is much lower than in Australia through giving her people eight times greater access to public housing than we who live here in Australia. By curbing capitalist pre-school and tuition firms and replacing them with public and non-for profit childcare and children’s leisure activity services, the PRC has reduced her masses’ financial costs of raising children.

Yet, these achievements of socialistic rule and the fact that China continues to gradually lift herself up from the terrible poverty of her pre-1949 capitalist times is what terrifies the world’s capitalist powers. For not only are they enraged that the PRC’s cooperation with developing countries is impeding their economic rape of these countries, the capitalist powers fear that the PRC’s course will eventually incite their own working classes to demand that their economies also be brought under social ownership. Yet that is precisely why the working class in Australia and the other capitalist countries must stand with socialistic China. Let’s advance the struggle for working class ownership of the economy here by defending the existence of such a system in the world’s most populous country! Let’s oppose the U.S./Australia military build up against socialistic China! No to the lying “human rights” propaganda attacks on the PRC over Uyghurs, Tibet and Hong Kong!

If we can protect the PRC’s advance on the socialist course set by her 1949 toiling people’s revolution and if we can popularise knowledge of the benefits provided by her socialistic system, even in the partial form that it exists in, we can promote the need for a system based on public ownership in this country. The plunging living standards, unaffordable housing and lack of economic security of the capitalist system is pushing the masses to seek anti-capitalist solutions. However, in response, capitalist ruling classes are spreading racism to divide and divert the masses that they exploit. That is why racist far right forces have been growing in the U.S., Germany, India and here. To build the inter-racial unity necessary to fight the powerful capitalists, we must consciously oppose racist influence by mobilising the working class in defence of targeted ethnic groups. For union action to support Aboriginal people’s struggle against racist state terror and all-sided oppression! For workers’ struggle to demand the rights of citizenship for all guest workers, international students and asylum seekers! Bring the long-suffering Nauru refugees here! For united mass action of our workers movement and people of colour communities to crush violent white supremacist forces! Let’s also reject those who say that we can protect living standards by favouring Australian businesses over their overseas rivals. Such agendas only set local workers against their worker sisters and brothers overseas while obscuring workers from the truth that they can only defend their conditions by struggling against the local bosses that exploit them. Let’s understand that the main call of Karl Marx’s Communist Manifesto, “Workers of All Countries Unite”, remains as crucial today as it was when the Manifesto was first issued.

Another famous line of our Manifesto – that “the spectre of communism” is haunting the capitalist world – also rings loud today. The escalating economic crisis in the capitalist world, the social decay of capitalist societies, the capitalist powers’ horror at the successes of socialistic rule in China and the terrifying extent to which the imperialist regimes are willing to risk World War III by waging a proxy war on fellow capitalist Russia in good part because they want to weaken her ability to obstruct their war plans against Russia’s socialistic Chinese, friendly neighbour proves this. The Communist Manifesto’s main agenda is to replace the rule of the capitalist class with the rule of the working class. We have made good progress in this task in countries that make up one in five of the world’s people. But we have much work to do! We need to speed up the completion of the Manifesto’s tasks because it is increasingly clear that decaying capitalism not only threatens the masses’ living standards but humanity’s very existence.

The Communist Manifesto made clear that the seizure of political power by the working class is preceded by a period of “more or less veiled civil war, raging within existing society” where the working class “now and then” are victorious in defending their living standards against the capitalists but the “the real fruit of their battles lies, not in the immediate result, but in the ever expanding union of the workers”. To build the unity, strength, self-confidence, organisation and political awareness that’s needed so we can advance towards the working class rule that we so badly need, we must, right now, mobilise militant class struggle to fight for huge wage rises, the rights of permanency for gig workers, a massive increase in low-rent public housing and the nationalisation of the oil and gas, power and social service sectors. Let’s build a party to spearhead the fight for this Communist Manifesto agenda! As Marx and Engels pronounced at the end of their famous tract: Let the ruling classes tremble at a communistic revolution. The proletarians have nothing to lose but their chains. They have a world to win.

None of the Parliamentary Parties Defend Workers’ Interests – FOR MILITANT WORKING-CLASS RESISTANCE!

Photo above: Sydney bus drivers picket during their December 2021 strike action against poor wages and conditions following privatisation.
Photo credit: AAP

None of the Current Parliamentary Parties
Defend Workers’ Interests

FOR MILITANT CLASS STRUGGLE
AGAINST AUSTRALIA’S CAPITALISTS!

Capitalist Rulers’ Hostility to China is Due to Their Hatred
of Her Public Ownership-Based System

STAND WITH SOCIALISTIC CHINA TO
STAND FOR WORKING CLASS INTERESTS!

25 April 2022: Working class people are sick of the Morrison government. They are angry that while their rich bosses are looting ever greater profits, their own wages are barely rising, even while prices skyrocket. Many young people, women and migrant workers in particular are frustrated that they are stuck in casual positions with no job security. Meanwhile, Aboriginal people and Asian, African and Middle Eastern communities can’t help but notice that nine years of right- wing government has seen Australian society become even more racist and hostile towards them.

Yet the Labor Party (ALP) “alternative” is hell bent on proving to the big business owners, the people who really hold the power here, that an ALP administration will enforce capitalist interests as reliably as the Coalition does. Albanese’s ALP even proclaimed that a Labor government will not increase the paltry JobSeeker payments. So, at the upcoming elections, no vote should be given to either the Coalition or the ALP and Greens “alternatives” and obviously not to the racist One Nation or the other nationalist far-right outfits like the United Australia Party. Instead, we need hard-fought strikes and other mass actions by the workers movement and its allies to turn back the capitalists’ exploitation of workers, to resist their oppression of Aboriginal people, women and coloured ethnic communities and to oppose “their” regime’s military buildup. The more that the working class understands that their position will not be advanced through supporting any of the current parliamentary parties, the more determined they will be to build the mass struggles needed.

THE DEAD END OF SOCIAL DEMOCRACY’S APPROACH TO
“SUPPORTING” WORKERS RIGHTS

The ALP does raise issues of concern to the masses. The problem is that because ALP leaders are so in awe of the economic power and capacity to swing public opinion of the tycoons (the likes of the Murdochs, the Lowys, Kerry Stokes, Andrew Forrest, Gina Rinehart, Anthony Pratt and Bruce Gordon), the ALP does not dare anger these oligarchs by even merely promising the measures actually needed. Thus, the ALP’s rental affordability plan will not increase badly needed public housing but rather promises funds for just a modest increase in “community housing”, notorious for its private operators who skimp on repairs and shun the most hard-up would-be tenants. Similarly, even as the ALP promises higher wages and secure jobs they commit to maintaining nearly all the anti-strike laws that restrict workers ability to fight for these needs.

With no program to secure jobs through struggle against the bosses, the ALP resorts to policies favouring procurement (ie buying) from businesses owned by local capitalists. Such measures will inevitably provoke countermeasures by trade partners overseas to favour their own firms over Australian exporters. In the end, rival protectionist schemes end up with workers in no country better off. What they do “achieve” is to make workers mistakenly side with the interests of the very local bosses that exploit them. This harms the building of union resistance against the bosses. Moreover, such protectionist agendas set local workers against their counterparts abroad. This is totally against what the 1st of May international workers day is based on: the truth that only by fighting as one worldwide class can the interests of workers everywhere be advanced.

The ALP kowtows to the capitalists most cravenly on external issues. Thus, the ALP backs Morrison’s anti-China military buildup. ALP leaders even criticise him from the right for not bullying enough the Solomon Islands into renouncing their security cooperation with China. In backing the Western imperialists’ Cold War against socialistic China, the ALP is acting completely against the interests of its working class base. Mutually beneficial cooperation between China’s state-owned firms and countries like PNG, Fiji, Solomon Islands and East Timor has allowed Pacific peoples to gain more independence from the Australian capitalists that have long looted their resources. This has enraged the corporate bigwigs here because it has made them lose some of the super profits that they were looting in the Pacific. Yet this is good news for the working class as it weakens the bosses of Australian multinationals and makes them less able to face down union action here. Similarly, while Western capitalists are terrified that the successes of China’s socialistic system will inspire workers in their own countries to fight against capitalism, any true partisan of the toilers should want precisely such “Chinese influence” here in Australia.

PROMOTING THE GREENS MEANS OBSTRUCTING
THE CONSTRUCTION OF WORKING CLASS RESISTANCE

Given how similar Labor’s agenda is to the Liberals, some support the Greens. They do promise some progressive policies like increasing public housing. However, to implement such reforms, let alone any decisive anti-poverty measures, requires defying the capitalists. The Greens cannot do this because they reject a class struggle outlook. In fact, the Greens actually embrace capitalists in their party. Thereby lacking both the will and ability to confront capitalist power, any Greens MPs in government will inevitably bend to the demands of the powerful capitalists. In the early 2010s, when The Greens ran Tasmania alongside Labor, they cut nursing positions and public housing repairs. Today, they are part of the capitalist class’ drive to strangle socialistic China. Indeed, while opposing the nuclear submarine plans, The Greens are even more rabid than the Liberals in spewing the lying “human rights” attacks on China that “rationalises” such military escalation.

Despite this, The Greens are backed by parts of the Left – such as the Socialist Alliance. After all, such reformist socialists share not only The Greens’ better positions but many of its worst ones; such as their support for anti-communists attacking the Chinese workers state – like the pro-colonial, rich kid rioters in Hong Kong. Pro-Greens socialists do acknowledge The Greens’ capitalist essence. However, they say we need to “support the lesser evil.” Yet, backing The Greens actually means supporting another form of the same evil – the tyranny of the capitalists. Moreover, those advocating a vote for The Greens are undermining class struggle by promoting the false notion that a wing of the capitalists – represented by The Greens – can aid the workers’ cause. This is as harmful to the building of militant unions as the idea sometimes heard in workplaces that workers should focus on helping supposed “nicer” managers rise to become the head henchmen of their firm’s exploiters.

LET’S BUILD A PARTY TO ORGANISE MILITANT CLASS STRUGGLE
RESISTANCE AGAINST THE CAPITALIST EXPLOITERS

The current mass workers party, the ALP, is selling out its base. But we still need a workers party! But completely unlike the ALP, it should be built to organise class struggle against the capitalist ruling class. Recent nurses and transport strikes show the potential for such resistance. However, the current pro-ALP union leaders see such actions as supplementary to the parliamentary game. The new workers party must have the inverse perspective: class struggle is its main game. Such a party would not limit its program to what the capitalists can accept but will doggedly fight for what the masses actually need: big wage rises, a huge increase in the dole, the conversion of all casual jobs into ones with all the rights of permanency and the abolition of anti-strike laws. It would struggle for a massive increase in public housing and completely free medical and dental care. It would champion the cause of oppressed women workers through demanding equal pay and free childcare.

To be able to win in struggle against the powerful capitalists, the workers movement must draw alongside it all the oppressed by standing with the Aboriginal people’s struggle against racist state terror, by championing women’s rights and LGBTQI+ rights and by defending persecuted ethnic minorities. Our side also needs maximum unity to win. That means anything that undermines workers unity like protectionism and the scapegoating of migrants must be rejected. The working class and our unions must demand all the rights of citizenship for all refugees, guest workers and international students.

Whenever we demand decent wages and job security, the bosses threaten that this will cause job losses. We must respond by demanding the banning of all job cuts by any firm making a profit and laws to force them to increase their hiring at the expense of their profits. When they scream that this will cause economic collapse, the new workers party would respond: if your system cannot provide secure jobs for all then the economy needs to be immediately ripped from your hands and brought into socialist, state ownership under a state run by the workers. The workers party that we need must be a revolutionary party.

Advancing towards the overturn of capitalism requires defending already achieved anti-capitalist conquests. That means defending the Chinese workers state – despite its bureaucratic deformations – that was created by the Chinese toilers through their 1949 anti-capitalist revolution. So down with the lying propaganda war against socialistic China! Australia’s imperialist rulers: Hands off the Pacific! Down with the anti-China AUKUS alliance! Not one submarine, not one missile, not one soldier for the Australian military – a force that only serves the interests of Gina Rinehart, Clive Palmer, Andrew Forrest and their ilk.

Western rulers’ hostility to Russia is of a very different character to their enmity to Red China because Russia is a capitalist country just like them. But their anti-Russia campaign is aimed at suppressing an emerging competitor so that they can continue to exclusively dominate and exploit most of the world’s peoples. If their campaign succeeds it will embolden them to further attack the rights of workers and other oppressed at home and bully still more arrogantly the people of the Pacific. So down with U.S., Australian and other Western arms shipments to Ukraine! Lift all sanctions on Russia!

The way that the U.S. and its allies provoked the Ukraine War and then pour oil onto an already burning conflict that pits their ally against their rival nuclear power shows just how dangerous the Western capitalist rulers really are. These rulers could not protect “their” vulnerable populations from the terrible COVID carnage. What chance do they have then of making an effective response to the threat posed by climate change?! More immediately, rampant inflation in their countries is threatening a new global capitalist crisis that will impoverish billions – just like the late noughties Great Recession did.

With every passing day, the urgency of opposing the capitalist “order” becomes ever clearer. However, the masses are held back by the mainstream consensus that privatisation, submission to the tycoons and suppression of wage rises are what is needed. However, events in the world’s most populous country are proving that things don’t have to be this way. In China, the state has been rapidly increasing wages, massively boosting public housing, forcing companies to guarantee gig workers at least the minimum wage and suppressing greedy billionaires. Far from privatising, the Chinese state has maintained public ownership of banking, ports, major construction and all other key sectors. And despite an incomplete transition to socialism, their system works. Let us be inspired by this to resist the class war that the capitalists have been waging against us. They have been winning because the Laborite heads of our movement have accommodated them rather than been at the forefront of a militant resistance against the exploiters. We need to change this! Let us wage class war back against the capitalist class! Let us slash away the illusions in salvation through parliament that are restraining a truly powerful working class fightback!

Rally Opposes Privatisation and Exploitation, Demands that
China-Style, Anti-Poverty Measures Be Applied in Australia

Photo Above: Sydney, 2 April 2022 – Demonstrators march to demand that the measures China is using to beat poverty be applied here.
Photo Credit: Demi Huang/New Impressions Media

Rally Opposes Privatisation and
Exploitation in Australia,
Demands that the Measures

China is using to Beat Poverty
Be Applied Here

5 April 2022: Last Saturday, supporters of workers rights from a broad range of racial backgrounds came together in spirited protest against privatisation and the growing exploitation of working class people in Australia. To inspire the struggle to win anti-poverty measures here in Australia, the Sydney rally highlighted the anti-capitalist and other pro-worker measures being taken right now in the Peoples Republic of China (PRC). At its height, the April 2 protest was some 70 strong, although one of the community media sites reporting on the protest puts its size at “nearly one hundred.”

The united-front protest began with the rally emcee, Yuri Gromov, who is also the editor of Trotskyist Platform’s journal, The Spark, introducing the purpose of the action:

“While the business owners who make their money from exploiting workers’ labour are getting richer and richer, the poor are getting poorer. Prices are soaring but workers’ wages have barely risen. The living standards of low paid workers has been falling.

“Bosses are driving more and more workers into casual and gig jobs with no job security. A huge number of workers do not know how many hours of work they will get from week to week. Having so little job security, it’s easy for capitalist bosses to force us into accepting terrible working conditions. In the food delivery sector, many drivers and riders are doing deliveries all day and not even making the minimum wage.

“Australian governments of all stripes are carrying out policies that are making life harder for working class people. They have been selling off public housing like crazy. Much of the public sector has now been privatised and this always leads to job losses, attacks on workers’ conditions and higher prices for consumers. Federally, the Morrison government is now set on privatising the NBN. Here in NSW the state government continues its surreptitious, gradual privatisation of bus and rail services.

“We are here today to push back against all this. We demand a guaranteed minimum wage for all food delivery and other gig workers. We demand that the sell-off of public housing stop now and that instead there be a massive increase in public housing. We demand an end to all privatisation. Instead of privatisation we call for the nationalisation of the banks. That is the way to ensure that credit is allocated to areas of public need like poverty alleviation projects rather than a crazy huge amount of money being siphoned off as bank loans to housing speculators, a truly horrendous waste of funds which is only pushing house prices up and up and making life harder for working class families struggling to keep up their rent and mortgage payments alike.

“…Today, we want to highlight something positive that can inspire our fight against poverty and exploitation. There is one particular country that has been heading in the opposite direction to the agenda of privatisation and neo-liberal attacks on workers rights that has been happening throughout the capitalist world. And this country headed in the opposite direction is not just any country. It is in fact the most populous country in the world with a fifth of the earth’s people: the Peoples Republic of China.

“Last year the PRC not only decreed that food delivery platform companies must ensure that all food delivery drivers and riders always get at least the minimum wage but started expanding those protections to all gig workers. At the same time, China has been on an intense campaign to provide public housing to her low and lower-middle income population. Moreover, rather than carrying out large-scale privatisations, all of China’s banks and most of her other key sectors remain under public ownership.

“Therefore, socialistic China’s path can be an inspiration to the struggle for working class people’s rights in Australia. That is why Australia’s capitalist regime and pro-capitalist media are doing everything they possibly can to denigrate the PRC. They don’t want the masses here to be inspired to resist privatisation and exploitation. We need to condemn these lying propaganda attacks against China as part of standing up for working class people’s rights in Australia….”

Rally participants listen to an address to the demonstration by rally emcee, Yuri Gromov.
Photo credit (above photo): Demi Huang/New Impressions Media
Photo credit (below photo): Sydney Today APP

Last Saturday’s demonstration was jointly initiated by the Australian Chinese Workers Association and ourselves in Trotskyist Platform. It was additionally endorsed by the Communist Party of Australia’s Wollongong Branch and by the group, Communists West Sydney. Representatives of all the endorsing groups as well as other individuals addressed the united front rally. Chairwoman of Trotskyist Platform, Sarah Fitzenmeyer stressed in her speech the need for a class struggle strategy for defending working class people’s rights. She also emphasised that the fight against capitalist exploitation in Australia requires solidarity with socialistic rule in China:

“The fact is that during the last few decades, Australia’s capitalist business owners have increased the rate at which they exploit workers’ labour….

“Today, while Morrison’s Liberals have made it clear that they want to sell off the NBN, the only response from the ALP is to say that they oppose an immediate privatisation while leaving the door open to a sell-off in the future. The only way we can push back against privatisation and the ever growing exploitation is through mass struggle and workers’ industrial action. This is how the working masses have always won whatever rights we still have left now. The more that working class people understand that nothing can or will be gained through supporting any of the parliamentary parties at the upcoming election, the more determined we the working class people will be to build the mass actions that are needed.

“… In February last year, guest workers from China spearheaded the first ever strike by gig workers in Australia when they and other food delivery riders took action against British-owned company Hungry Panda and WON! However, we must be very wary that such struggles are not undermined and workers don’t buy into the national security obsession being promoted by the Australian ruling class. This national security propaganda deceptively claims that workers and the capitalists who exploit them have a common national interest. Now, in the name of national security, Australia’s capitalist regime has joined the U.S. in aggressively interfering into the Ukraine-Russia War with sanctions and arms grants. The regime here has also used the war to further ramp up their Cold War drive against China.

“Trotskyist Platform says that when Australia’s capitalist ruling class push `national security’ they only mean the `security’ of their profits and their system of exploitation. However, the current leaders of the workers movement, the Labor Party, joins the Liberals in fully supporting the ruling class’ so-called `national security’ agenda. In doing so they are obscuring the need for workers to resist the local, all Australian, capitalist exploiters who are undermining the security of our living standards in the capitalists’ drive for ever greater profits.

“We need a new agenda to guide our workers movement. An agenda driven by us, the workers, fighting for what we actually need….

“Whenever such a pro-working class agenda is promoted, the ruling elite screams that such violations of free-market principles are `impractical’. But this is a lie because many of the things we are calling for here today are actually being quite successfully implemented right now in the Peoples Republic of China.

“The reason that China is able to carry out such policies is that it is the working class who hold the power there. The toiling classes grabbed power through a massive revolution in 1949….

“China’s success makes Australia’s capitalist regime very fearful. They are petrified that the masses here will look at the great gains of the working masses in China and decide that they too need to fight for socialism here. That is why the rulers of Australia and other powerful capitalist countries are intent on crushing socialistic rule in China. We must NOT allow the imperialist powers to succeed!

“…it is in the interests of at least 90% of Australia’s population to uncompromisingly defend socialistic rule in China. We must oppose the U.S. and Australian military build up aimed against socialistic China. Just as importantly, we must rebuff the lying Western propaganda attacks on the PRC over Uyghurs, Tibet and Hong Kong!

“It is true that China’s victory over capitalism is incomplete. China’s anti-capitalist crackdown does need to go much further. The PRC’s march towards `common prosperity’ – if it is to truly succeed – requires that the tech, real estate and light manufacturing sectors be confiscated from China’s tycoons and brought into public ownership as well. And this is why we need more solidarity actions with socialistic rule in China right here and all across the world. Solidarity from comrades abroad will give confidence to staunch socialists within China to defy the hostile pressure coming from the capitalist world.  Solidarity with the PRC will help to drive them towards complete socialism.

“If socialistic rule in China continues to strengthen, it will embolden the struggle against capitalist exploitation in this country. Right now, let’s use the fact that the world’s most populous country is successfully operating a system based on public ownership to inspire our own fightback against privatisation and exploitation in Australia. Let’s start working towards common prosperity here in Australia by advancing the struggle for working class rule.”

Trotskyist Platform chairwoman, Sarah Fitzenmeyer speaks at the April 2 demonstration.
Photo credit: Demi Huang/New Impressions Media

Speaking to the media during the rally, Jenny Zeng, general secretary of the Australian Chinese Workers Association (ACWA) called for improvements in people’s livelihoods in Australia that will “allow everyone to have jobs and food, without having to worry about life.” The ACWA is a group that organises Australian-Chinese workers to defend their workplace conditions and assert their rights to access social services. As part of their contribution to the April 2 action, the ACWA’s art troupe put on a captivating cultural performance. This included a drum performance in the classical style of North China, a classical dance routine paying tribute to China’s long history and a classical dance performance in the style of China’s Tibetan Autonomous Region signifying blue sky and a happy life.

Top and Above: Signs carried by the Australian Chinese Workers Association (ACWA) at the April 2 action.
Below: The ACWA’s art troupe gave a wonderful cultural performance as part of their contribution to the protest rally.

Photo credit (top photo): Trotskyist Platform
Photo credit (above photo): Demi Huang/New Impressions Media
Photo credit (below photo): Demi Huang/New Impressions Media

Also addressing last Saturday’s demonstration was long-time community activist Peter Butler. He powerfully motivated the need for public housing and for other measures that put the needs of the masses first. Peter Butler also attacked the Australian media’s portrayal of the troubles of large Chinese real estate developer, Evergrande. He pointed out that the media wanted to portray Evergrande’s crisis as a sign of China’s supposed impending doom but had hidden the most important aspect of the events surrounding Evergrande: wealth and power were being transferred out of the hands of Evergrande’s greedy billionaire owner and into the hands of the public. In this he was referring to the fact that not only were Evergrande’s troubles the result of the PRC’s moves to curb housing speculation in order to make housing more affordable for the masses and not only had Chinese authorities forced Evergrande’s owner Hui Ka Yan to sell some of his personal assets – including two private jets, several mansions, expensive art works and shares –  to ensure that Evergrande’s workers keep on getting paid but they have pushed Evergrande to sell off to PRC public sector enterprises at low price a number of property assets, while the PRC state has also confiscated parcels of land and other assets owned by Evergrande. Indeed, as in the recent cases of financial conglomerate Tomorrow Holdings, former insurance behemoth Anbang and the real estate and airport operations of the now defunct, giant conglomerate HNA Group, the PRC state has handled the collapse of large private sector corporations in China in such a way that it leads to the transfer of assets from the hands of tycoons into the collective hands of all the people.

For his part, Zac, representing the Wollongong Branch of the Communist Party of Australia, concluded his speech by stressing that unlike what the mainstream media say, China is no military threat whatsoever to the people of Australia. Rather China is winning out in economic competition with capitalism through its own system. Zac emphasised that it is this system of China’s, a system of socialism, which is what Australia’s capitalist rulers really fear.

After several speeches and the cultural performance, the rally marched southwards through city streets from its starting point in Sydney’s Chinatown. Marchers energetically chanted: “More public housing”, “Public housing for you and me – Just like in the PRC”, “Hey ho, hey ho, privatisation has got to go”, “Stop privatisation – Nationalise the Banks” and “P-R-C, Is fighting poverty!”

Some of the Trotskyist Platform placards at the April 2 united-front demonstration against privatisation and exploitation of workers in Australia.
Photo credit: Trotskyist Platform

The final part of the action was a picket outside the offices of the ABC (Australian Broadcasting Corporation) to protest anti-PRC bias in the Australian media. About one-third of the participants from the main part of the rally joined this brief protest picket. As demonstrators approach the ABC’s premises they chanted, “A-B-C: Always Bashing China!” As rally emcee, Yuri Gromov explained:

“… because the PRC’s socialistic system favours working class people, the capitalist ruling classes in the likes of the U.S.A, Australia and India see the mere existence of such a system as a threat. Hence the media owned or controlled by capitalist tycoons have been waging non-stop propaganda attacks against China. The ABC – which let’s be honest forms the propaganda department of the Australian capitalist state – is one of the worst but will be even worse, if you can imagine it, if it ever becomes privatised itself. In attacking the PRC, the ABC and other media outlets are necessarily denigrating China’s anti-capitalist and pro-working class measures. The media are therefore undermining support for the type of measures needed in Australia to alleviate poverty and combat exploitation of workers.”

Demonstrators picket the ABC to protest the mainstream media’s extreme anti-PRC bias
Photo credit: Trotskyist Platform

The April 2 demonstration was intensively covered by two of the most popular Chinese language media sites in Australia: New Impressions Media (which runs the website Australian Impression and the Sydney Impression WeChat site) and Sydney Today. On the latter site, there was a hot debate amongst readers with 42 readers comments: most sympathetic to the demonstration but a few hostile as well.

Saturday’s action concluded with the rally emcee thanking participants for braving not only the pandemic but the hysterical China-bashing political climate. However as the rally chair pointed out: “with poverty, homelessness and exploitation in Australia ever increasing and with new rounds of privatisation looming we all have a massive amount of work to do.” In carrying out this work to build class struggle resistance against exploitation and privatisation in Australia we are inspired by the anti-capitalist and pro-working class measures being implemented in the world’s most populous country.

The main rally banner summarised the agenda of the April 2 demonstration.
Photo credit: Demi Huang/New Impressions Media

Welcome China’s AntiCapitalist Crackdown! Let’s Use it to Inspire Resistance Against Privatisation and Exploitation in Australia

Above Photo: Workers at the General Mills food processing factory in Sydney’s west do a shift on the picket line during their weeks-long June 2021 strike for improved wages and better job security. The workers resolve and courage won them some important gains. If unshackled from the dead-end Laborite program of seeking common ground with the capitalist bosses on the basis of a mythical “common national interest”, the workers movement will be able to wage powerful class struggle that can push back against the nearly four decades of increased capitalist exploitation of workers in Australia.
Photo credit: United Workers Union Twitter page

Welcome China’s Anti-Capitalist Crackdown! Let’s Use it to Inspire Resistance Against
Privatisation and Exploitation in Australia

7 February 2022: There has been carnage in Australia. In just the first 38 days of 2022, over two thousand people have died here of COVID. Like previous pandemics, this COVID one is a natural disaster. But the catastrophic number of deaths in Australia two years into this pandemic is an entirely man-made calamity. The right-wing federal government and nearly all Liberal and ALP state governments alike chose to let COVID rip. Then they and profit-driven pathology companies and retailers intensified the virus spread by failing to ensure adequate PCR testing and affordable RAT test kits. However, decades before they let COVID rip, Australia’s rulers let another pandemic rip, the pandemic of poverty amongst low-paid workers and the unemployed. Australia’s billionaire-owned media have hidden the true extent of the suffering from this poverty pandemic. Low-income working class people were expected to “learn to live” with poverty and the terrible suffering which that brought. Today the attitude of the mainstream media is little different. Although, in 2022, people have been dying from COVID at nearly twenty times the rate that they have been dying from road deaths, the media have conspicuously avoided showing the pain of family and loved ones after COVID deaths that they often show following fatal traffic accidents. The capitalist media are trying to deceive us into “learning to live” with this COVID carnage.

The underlying force driving Australia’s governments, top bureaucrats and media to cause widespread poverty on the one hand and enable the COVID catastrophe on the other is one and the same: their intent to put the profits of wealthy business owners ahead of the well-being of the masses. In the case of the poverty pandemic, it is specifically the result of the ruling elite’s determination to help the capitalists that they serve increase their rate of exploitation of workers. Now the COVID pandemic has inflamed a new wave in this poverty pandemic. Latest ABS (Australian Bureau of Statistics) figures show that even as average prices rose by 3.5% last year, hourly wages increased just 0.1%. Moreover, it is the most exploited who have had their pay fall behind the most. Thus, over the last year, the hourly wages of women workers has actually fallen. Meanwhile, the weekly wage of a worker in the lowest bracket of earners (mainly part-time workers) fell by $29 per week. When one combines that with the reality that average rents rose by $30 per week in the same period (and don’t even mention fuel costs!), it is obvious why more and more people – including many who have some type of job – are being plunged into homelessness. Nearly three hundred thousand residents of Australia were homeless at some point last year!

Above: The latest Australian Bureau of Statistics figures available show that in the previous twelve months hourly wages rose just 0.1% (while actually falling for women workers) whereas prices surged by 3.5% (Below) and increased by an annualised rate of 5.2% (1.3% in a quarter) over the last quarter. That means workers real wages are being reduced even after the federal government granted billions in Jobkeeper grants to bosses who were extracting increasing profits.
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The rate at which workers are being exploited has actually been increasing for decades. This is reflected in an index published by the ABS called the Unit Labour Cost, which tracks changes in the proportion of the fruits of workers labour that workers actually receive payment for. Well over the last 35 years this Unit Labour Cost has plummeted by 20%. In other words, Australian capitalists are now exploiting workers an average of 20% more than they were in 1986. This increase in exploitation took place firstly under the Hawke/Keating Labor government, further deepened during the Howard and Rudd/Gillard years and has intensified still further under the current right-wing government. Therefore, even as technological advances have made Australian workers more productive than ever, the living standard of large numbers of lower-paid workers has not risen for decades! This is the case not only in Australia but in much of the capitalist world. In the U.S. for example, real minimum wages have actually crashed 30% over the last 50 years! 

The increased exploitation of workers has caused the share of income in Australian employee-hiring businesses going to wages and salaries – as opposed to capitalist profits – to plummet from 64% twenty years ago to just 52% today. Given that obscenely high CEO and director incomes are also classified as “wages and salaries”, this means that the share of business income going to actual workers is now likely less than 50% – that is less than half! In other words, in an average labour-using Australian private sector enterprise – small or corporate – for every $100,000 of value added by workers, less than $50,000 goes to pay those who actually do the work, while over $50,000 is diverted as profits to the plundering rich owners/shareholders. To add insult to injury, the capitalists then leach tens of billions of more dollars from us through the interest payments and fees of the banks that they own. They and upper-middle class layers also rip off the increasing number of us who do not own our homes by making us pay ever higher rents.

The Methods that Capitalists Use to Increase Their Exploitation of Workers

Being increasingly exploited not only brings financial hardship to workers. Many of us are also finding that our work lives have become ever more stressful. For capitalists and their manager henchmen are implementing schemes to not only bully workers into toiling longer for the same pay but to set worker against worker so that we are less united and able to resist our exploitation. Meanwhile, the governments and media that serve the capitalists use racist scapegoating to divert anger over the economic insecurities caused by increased capitalist exploitation onto minorities and First Peoples. The result of all this propaganda is reflected in a survey conducted last year: 42% of Australians were found to have “very negative” or “somewhat negative” feelings towards Iraqi Australians, 43% held such attitudes towards Chinese-Australians and 46% held these views towards people of Sudanese descent. In other words, about one out of every two Australians is now consciously prejudiced against one or several ethnic communities. Or put another way, a full half of this country is now openly racist! What this means on the ground is that people from vilified minorities are more and more often attacked on the streets, public transport, bars and schools. In particular, thousands of East Asian-origin people have been assaulted and verbally abused by extreme racists over the last two years. Such attacks have been incited by ruling class politicians and media disgustingly blaming China for the pandemic. Yet the pandemic has also destroyed many a racist myth. For one, it has demolished the claim that immigration is responsible for housing unaffordability. For during the pandemic, immigration into Australia has stopped and international student numbers have plummeted, yet house prices have risen at their fastest rate ever, soaring by 22% in the last year alone.

Spreading racism is one of the most powerful means that those who oversee capitalism use to suffocate resistance to exploitation. Yet it is hardly their only method. Over the last few decades, Labor and Liberal governments alike have ever more tightly restricted the right to strike. Meanwhile, capitalists have also forced huge numbers into insecure forms of employment. This facilitates increased exploitation, because without job security workers are more reluctant to stand up to greedy bosses. Now, the capitalists are driving large numbers, especially youth and international students, into a form of casual employment that gives workers even less security: gig work. Laboring in areas like food delivery, gig workers are often so exploited that they can toil long hours without making even the minimum wage.

To facilitate the capitalist drive to keep down wages, governments of all stripes have been hacking at the social safety net. By making life miserable for those who end up without a job, the ruling class want to intimidate those workers with jobs into submitting to attacks on their wages and conditions. That is why governments have kept unemployment payments at cruelly low levels and subjected the unemployed to ever more humiliating “activity tests”. Meanwhile, they have chipped away at the coverage that Medicare gives and have sold off so much public housing that the proportion of people living in public housing is now only half of what it was two decades ago. The dearth of public housing has in turn caused private rents to soar to such levels that last year not one single rental in Australian cities was affordable for a single or pensioner couple, an unemployed person, or a single part-time working parent.

One of the tens of thousands of people forced to sleep the streets in Australia. As a result of the sell-off of public housing, the casualisation of the workforce and housing policies presided over by both Liberal and ALP governments that greatly favour landlords over tenants, homelessness is on the increase in Australia. Last year, nearly 300,000 people were homeless in Australia for some period of time (Photo Credit: National Indigenous Times).

Another key tool in the capitalist profit drive is privatisation. Over the last three decades, governments have sold off a large chunk of this country’s state-owned assets. To be sure, one should have no illusions that in countries presided over by a capitalist state, state-ownership genuinely means public ownership. In Australia, state-owned entities have failed to even provide basic services like post and electricity to many rural Aboriginal communities. Nevertheless, privatisation results in assets that could have been producing state revenue that would partly go into social services needed by the masses end up in the hands of private owners intent on using their newly acquired monopolistic control of strategic assets to extract super-profits. Most significantly, because private capitalists face even less scrutiny than governments, they are more easily able to slash workers jobs and rip off consumers. Therefore privatisation is always accompanied by attacks on workers rights and higher prices while delivering massive profits for the new owners. That is why governments run by all the different pro-capitalist parties have overseen privatisation. The Hawke/Keating ALP began the privatisation wave by selling off the Commonwealth Bank and Qantas. Then the Howard Coalition began privatising Telstra in 1997 – a sell-off completed by the Gillard Labor-Greens government in 2011. Most recently, Morrison’s conservatives have made clear that they intend to sell-off the NBN. The ALP “Opposition’s” tepid response has been only to object to an immediate sale, while leaving the door wide open to future NBN privatisation.

Fight for a New, Class-Struggle Agenda to Guide the Workers Movement

Ongoing strikes by NSW rail workers, rolling action by southwest Sydney bus drivers and the partially victorious, strike last June by food processors – many of whom were women and men from various Asian backgrounds – at western Sydney’s General Mills factory all give a glimpse of what is needed to smash the bosses’ incessant campaign to drive down wages. So does the inspirational February 2021 struggle by workers toiling for British-owned food delivery company, Hungry Panda. That partially victorious struggle, which was spearheaded by riders from the Peoples Republic of China (PRC) who had come here as visa workers or students, was the first strike in Australia’s history by gig workers. Yet such resistance is hampered by the social-democratic perspective of the current ALP leaders of the workers movement. According to this outlook, while more extreme attacks on workers should be resisted, the capitalist order as a whole is tolerable or, if not, then it is nevertheless too powerful to oppose. Therefore all factions of the ALP claim that while class struggle methods like strikes can sometimes be used, the main means to defend workers rights is to elect an ALP government to administer the current, capitalist, order in a fairer way for workers while ensuring that the system itself is strengthened. However, knowing how able the corporate bigwigs are to use their fabulous wealth to swing public opinion, the ALP leaders ensure that any opposition that they take to particular attacks on workers will not be strong enough to make the capitalists so outraged that they will campaign against the ALP. Yet it is simply impossible to both truly defend working class people’s rights and avoid getting into a head-on clash with the capitalist class. This is because, as founder of the communist movement, Karl Marx insisted, the capitalist system cannot survive without the capitalists seeking an ever greater rate of exploitation. Marx explained that the total profits that the capitalists as a whole extract depends on the proportion of the fruits of workers labour that they can seize for themselves. However, as these capitalists spend more and more on building up capital (which today includes buildings, equipment and IT infrastructure), they can only maintain the same percentage return on their now bigger capital outlays if they can increase the amount of profit that they extract – in other words if they grab a greater share of the value added by workers mental and manual labour. Thus accepting the needs of the capitalist system means accepting the increasing exploitation of workers. That is why ALP governments over the last nearly four decades have carried out much the same agenda as the openly capitalist Liberals/Nationals – privatisation, casualisation, public housing sells off, attacks on the unemployed – albeit with a “nicer” tone. Today, Albanese’s ALP is following this same path more than ever. At the upcoming elections, the working class should not put their trust in the ALP anymore than they should support any of the non-working class-based capitalist parties: the Liberals, the Nationals, the Greens, One Nation or the United Australia Party.

Although the strategy of the pro-ALP union leadership and their Labor parliamentary mates has on occasion retarded attacks on the working class, overall this program has allowed the capitalists to increase their exploitation of the masses. Over the last nearly four decades, our unions have been weakened, working conditions have been eroded, jobs have become more insecure, housing has become more unaffordable and to facilitate all this the ruling class has made society more racist and ugly. In short, the Laborite program has been a disaster for the working class masses. Unable to effectively defend workers against the class war of the capitalists, the ALP and other pro-capitalist parties that sometimes claim to stand by workers, like the Greens, are left with advocating schemes to restrict imports in order to favour local producers at the expense of producers abroad. However, such protectionist schemes only result in governments abroad taking reciprocal measures to favour their own producers against Australian-made exports. The end result is that no workers benefit while Australian workers are left divided from their overseas worker sisters and brothers leaving both sets of workers less able to mount resistance against their own exploiters.

In opposition to Laborism, we need a new agenda to guide our workers movement. Instead of our demands being curtailed to avoid angering the capitalists, the working class must fight for it actually needs. That means demanding huge wage rises to make up not only for rising costs but for the ever lower share of income going to workers over the last three decades. We also need to put a halt to all privatisation. Rip up the underhanded plans to sell off Australia Post! No to privatisation of the NBN! Instead of privatisation, we need to bring the extreme profits in sectors like mining and banking into the public budget by ripping these sectors out of the hands of billionaires like Andrew Forest, Gina Rinehart and Clive Palmer. That is the way towards acquiring the public finances needed to provide more nurses and hospital beds for our badly strained public hospitals, the extra teachers that we desperately need for our public schools and better funding for TAFE and universities. Most urgently, we need to fight for the confiscation of private aged-care homes from profit-making companies and their placing into public hands. These capitalists have already caused thousands of our elderly to die from this pandemic by, in their quest to maintain exorbitant profits, neglecting to provide adequate PPE for staff, refusing to hire adequate staff numbers and failing to follow basic pandemic safety protocols. We need to put a stop to this profit-driven carnage immediately!

An anti-privatisation agenda is urgent because the fact that large chunks of the “public” health system are actually in private hands is exacerbating the COVID crisis. Profit-driven pathology operations have not only negligently given hundreds of people the wrong COVID test results but have closed down dozens upon dozens of PCR testing sites … just when they were needed most! That is why pathology services must be nationalised right now. In China, whenever there is tiny outbreak in a city, their public-ownership dominated system is enabling them to PCR test the entire population of cities with over ten million people every two days (!) – usually with people only having to queue for less than 15 minutes. We need the same here! As well as fighting for a truly public health system, we need to demand the placing of all banks under state control. This is essential to directing credit for urgent pandemic response measures.

Our sole means to effectively fight for these demands are industrial action and other mass action by the working class and its allies. Therefore anything that harms such struggle must be flung out of the way. Anti-union laws must be opposed. Protectionist demands, which divide workers across national lines while undermining workers opposition to their bosses by encouraging the false notion that Australian workers have a common “national interest” with their local bosses, must be rejected. The poison of racism that the ruling class pours into society must be cleansed away. This can only be done by mobilising the workers movement to oppose racist atrocities from both governments and rednecks. The workers movement must support Aboriginal people’s struggle against the murder of black people by racist cops and prison guards. It must demand freedom for the refugees and the bringing here of all asylum seekers in Nauru and PNG with the full rights of citizens. Meanwhile, open provocations by violent racist groups must be shut down by mass mobilisations of trade unionists united with people of colour and all anti-racists. And in cases where the location and intended victims of potential redneck attacks are known – such as when an ethnic Chinese family has their home daubed with threatening graffiti – workers-led defence guards must patrol to prevent further attacks.

To strengthen their class struggle, the workers movement must draw into the struggle unemployed workers and the millions more enduring temporary employment or just a few hours of work a week. We must address the needs of these most vulnerable layers of the working class, including low-income single mothers, by demanding: Double the payments to the unemployed! Abolish all punitive “activity tests” on unemployed workers! For a guaranteed minimum wage for food delivery and other gig workers. For permanency, guaranteed minimum hours, leave and all the rights of permanency for all gig and other casual workers. Stop the sell-off of public housing – massively increase low-rent public housing instead! For free, nutritious lunches for all school students! For free, 24-hour childcare!

Whenever our unions ask for higher wages, the capitalists respond that this will lead to job losses. However, that is only true, if we allow them to employ as few workers as they want to. The bosses only employ as many workers as that which allows them to maximise profits. They keep their workforce ultra-lean. That is why when some workers are now off sick with COVID there are such shortages of food and other essentials. Moreover, even as they complain about a labour shortage, the capitalist bosses don’t want to hire any inexperienced workers because these greedy exploiters don’t want to pay a full wage to workers who will initially be not as productive as experienced staff. That is why we need to force the capitalists to increase hiring at the expense of their fat profits. Let’s force all companies making a profit to increase their number of full-time, permanent employees by at least twenty-five workers for every one million dollars of quarterly profit! The capitalist rulers will no doubt scream that this is “impractical.” We say that if it is “impractical” for the capitalists to utilise every labour resource available and provide those who labour with both job security and decent working conditions, then the means of production and distribution need to be ripped from their hands and brought into public ownership under workers control.

The Peoples Republic of China Heads in the Opposite Direction

The capitalist class and their economic “experts” would have you believe that there is no alternative to the agenda of privatisation, pro-landlord housing policies and “economic freedom” of capitalists to do whatever it takes to maximise profits. We are told Australia is merely headed down the path of “like-minded countries”. But there is a country that is actually headed in the opposite direction. And that country happens to be the world’s most populous country, the PRC. Last July, the PRC ordered food delivery companies to ensure that their delivery riders are always paid above the minimum wage and are additionally provided social insurance to cover these gig workers in case of loss of income from illness or unemployment. The companies were also ordered to provide workers with rider rest stations. The pro-worker measure had such an impact that it immediately wiped more than $A56 billion off the share market value of China’s leading food delivery platform. Indeed, the PRC is not shy of hurting rich capitalists to defend the interests of the masses. Last July, in order to protect parents from having to fork out ever larger amounts for their children’s after-school tutoring in an education rat race against other parents’ kids, the PRC dramatically banned all tutoring firms from making a profit. The new requirements caused the billionaire owner of one of China’s biggest tutoring firms, Gaotu to have $A21 billion almost instantly wiped off his wealth. However, Beijing’s measures to stop education being “hijacked by capital” are very popular with parents and students. Alongside the widespread rollout by Chinese schools of low-cost, school holiday daycare (which cost at most $A25 a week) involving extra-curricular programs in music, sport, dance, games and art, the measures suppressing capitalist tutoring firms are also aimed at giving kids a happier, less-stressful childhood.

Red China’s moves against profit-driven education firms are part of its broader moves – moves which it greatly accelerated from mid-2020 onwards – to clamp down on the “disorderly expansion of capital” and pursue “common prosperity.” The latter Beijing explains, involves curbing excessive incomes of the very rich and increasing the income of low-income groups. As a result, whereas in Australia it has been workers who have frequently been hit with fines and restrictions for standing up for their rights while tycoons like Gerry Harvey have been given huge payouts through Jobkeeper and other schemes, in China it has been the other way around. Last year, PRC authorities hit e-commerce giant Alibaba, one of the two main companies owned by China’s once richest man, Jack Ma, with a massive $A4 billion fine for monopoly behavior. They also forced the other of Ma’s main companies to restructure in a way that will greatly curb its profits. Companies owned by China’s other tech tycoons have also been hit with large fines and sanctions for suppression of consumer choice and unauthorised use of customer’s personal data, while being pressured to improve their workers’ rights. Meanwhile, the PRC has been vigorously pushing bosses to increase workers wages. As a result, the Global Wage Report 2020-21 produced by the International Labour Organisation (ILO) showed that Chinese workers enjoyed by far the fastest growing wages of any major economy. Although as a country catching up from the terrible poverty of her neo-colonial days, China’s per capita income and hence wages are still a fair bit lower than Australia’s, in the 2008-2019 period examined by the ILO, real wages in China not only more than doubled but were by 2019 approximately 2.3 times what they were in 2008 – a wage growth rate close to treble that in India and about twelve times that in Australia.

Another area in which the PRC is headed in the opposite direction to the capitalist countries is on the issue of privatisation. Over the last decade and a half, far from engaging in privatisation, the PRC has actually been carrying out some nationalisations. In the late noughties, China began re-nationalising privately owned mines in her coal sector by forcing greedy coal barons to sell their mines to the state for very low prices. The primary goal was to improve workplace safety. Private firms putting profits before workers’ lives had caused large numbers of workers to die in mining accidents. China’s nationalisations have indeed dramatically improved workplace safety. Last year, the number of deaths in China’s coal mining sector was 36 times lower than in 2002, despite production being two and a half times as high. More recently, the PRC has brought into public ownership several insurance companies, mid-size steel producers, property assets and one of China’s biggest mobile phone brands (Honor). Meanwhile, the PRC’s existing public sector firms continue to thrive through innovation in high-tech areas like high-speed rail and new energy. As a result, last year the revenue of China’s state-owned enterprises soared by more than two and half times the growth rate of her overall economy – indicating that the public sector has increased its weight in the Chinese economy.

A particular area where the PRC has been heading in the diametric opposite direction to privatisation is in the housing sector. In the decade from 2008 onwards, China provided an incredible 70 million new public housing dwellings to her low and lower-middle income people. This emphasis continues today. China’s 2021-2025 Five Year Plan has stipulated that a further 6.5 million new low-rent public housing units shall be built alongside millions of other types of public housing. Already, more than one in four of China’s households are living in public housing – a proportion eight times higher than in Australia. Meanwhile, the PRC has been administering her overall housing policy according to the motto: “Houses are for living in not for speculation.” Therefore, rather than giving huge negative gearing tax concessions to speculative landlords as occurs here, the PRC’s provincial governments have been curbing housing speculation through measures like bans on households buying more than two homes. This crackdown and the PRC’s emphasis on public housing are two of the reasons why, despite her per capita GDP still being some three to five times lower than Australia’s, China has a far lower rate of homeless than this country. Indeed, youth from the PRC who come to Australia for study are shocked at the level of homelessness that they see when they arrive here.

A public housing complex in China’s Shanghai. Over the last fourteen years, China has embarked on a massive program to provide her low and lower-middle income people with access to public housing. As a result, one in four of China’s housing dwellings are public housing dwellings and this proportion is rising every year (Photo Credit: Wei Li). The proportion of China’s housing stock that is public housing is now eight times higher than in Australia.

What China’s Reaction to the Woes of a Billionaire-Owned Developer
Says about the Path that She is Headed On

The direction that China is travelling in shows that the tyranny of the tycoons, privatisation and erosion of workers’ rights rampant in Australia is not the “natural order” of things. There is another alternative! And that alternative is being implemented quite successfully in Australia’s biggest trading partner. The working class and other low-income groups must fight to open up such an alternate path here! It is precisely this prospect of the toiling classes looking at China’s direction and demanding a similar path in their own countries that spooks the capitalist rulers of Australia and other “like-minded countries.” Aghast at the speed that China has been travelling on this roughly anti-capitalist road since mid-2020, a terrified major American news site complained in an article headlined, “Xi Jinping’s Capitalist Smackdown Sparks a $1 Trillion Reckoning”, that “true to their Communist roots, China’s leaders have no problem trampling on the interests of venture capital, private equity or stock investors when they conflict with its long-term development plan” (Bloomberg, 2 August 2020). Around the same time, a report from U.S. banking giant Goldman Sachs whinged that, “Chinese authorities are prioritizing social welfare and wealth redistribution over capital markets in areas that are deemed social necessities and public goods” (CNN website, 4 August 2021).

Desperate to stop the Chinese road inspiring working class people in their own countries, capitalist ruling classes have been doing everything possible to discredit the PRC’s latest measures. Thus when it became clear that a major Chinese property developer, Evergrande was in financial trouble, the capitalist media triumphantly declared that this was a sign that the Chinese economy was in deep crisis. Their barely disguised message was: if you crack down on the “free-market” in housing, this will lead to economic doom. To sell their narrative that an Evergrande collapse threatens a broader economic implosion in China, Western mainstream media deliberately hid the fact that China’s housing industry is in fair part driven by public housing construction and state-owned developers rather than being solely dependent on private housing built by tycoon-owned companies likes Evergrande. Yet they were not the only media engaged in such deception. So were the media of those nominally socialist groups that have enlisted in the propaganda campaign against Red China. Thus, an article last October in the Socialist Equality Party’s (SEP) World Socialist Website cheered that, “the feverish property development and build-up of debt [in China] have created the conditions for a major financial crisis”. Not to be outdone, the Australian left group “Solidarity” also sounded much like the Murdoch media when they headlined, “Evergrande crisis shows Chinese growth figures built on sand.” Lying that China’s high growth rates were the result of debt-fuelled speculation, Solidarity excitedly claimed that “the Evergrande crisis is a major thorn in the side of President Xi Jinping’s government” (Solidarity website, 15 October 2021). The only difference between Solidarity’s article and the capitalist media line is that the former claimed that Evergrande’s troubles are a product of “Chinese capitalism”, whereas the real capitalists, rather more accurately, identified Evergrande’s plunge as a result of the PRC’s crackdown on capitalism. Whereas the mainstream media seek to intensify enmity to Red China from pro-capitalist sections of the population, “Solidarity” mobilises such anti-PRC hostility from anti-capitalists. To do so, Solidarity claim that “Chinese capitalism” is going through typical capitalist boom-bust cycles, with the Evergrande demise the result. They could only sell this fiction by hiding the truth that even while the capitalist world was plunging into the troughs of its boom-bust cycles, the PRC has not had any cyclic economic busts – not even during the mid-late 1990s Asian Financial crisis or the late noughties Great Recession. This is because the capitalist mode is not dominant in China.

By the start of this year, all those predicting and wishing for China’s economic collapse had … egg on their face! The PRC’s economic growth rate for last year came in at a whopping 8.1%. So just like umpteen other “predictions” of China’s demise over the last 25 years, the hopes of Western capitalists – and the half-baked socialists that capitulate to the latter’s anti-communist drive – went unrealised! As a result, the anti-PRC media switched focus to selling the line that the plummeting share price of Evergrande is a serious problem in itself as is the (very slight) fall in Chinese house prices over recent months. These anti-communist propagandists deliberately avoided mentioning that the PRC’s authorities have actually been intentionally curbing house prices in order to make homes more affordable for the masses – unlike Morrison’s conservatives who wants to drive up house prices to please their wealthy mates and Albanese’s ALP which lacks the courage to defy them. As for fact that the PRC’s measures to stop housing speculation is causing Evergrande’s billionaire majority owner, Hui Ka Yan – and some other property tycoons – to lose the majority of their wealth, this is entirely aligned with the PRC’s drive to “stop the disorderly expansion of capital” and curb excessively high incomes in order to uplift the position of lower and middle income groups.

The manner in which the PRC has responded to Evergrande’s liquidity crisis is also consistent with her “common prosperity” agenda. The PRC state has effectively taken over the restructuring of the struggling corporation and they have used that control to make clear that all the company’s moves must firstly guarantee the wages and jobs of their workers and the promised homes of their customers, while the interests of rich investors must come last. Already, PRC authorities have pressured Hui Ka Yan to sell over $A1.5 billion of his personal assets – including two private jets, several mansions, expensive art works and shares – to help pay off some of the company’s debt. Meanwhile, the PRC looks to be driving Evergrande down a similar path that it took another privately-owned conglomerate that was mired in debt, HNA Group. In that case, the PRC state re-allocated the company assets to several state-owned companies and private corporations in a way that has kept workers in their jobs, while HNA’s [ex-]billionaire main owners lost nearly all their assets. Already, Evergrande and some smaller developers in distress have sold off a number of property assets to PRC state-owned enterprises, while the state has also confiscated parcels of land and other assets owned by Evergrande. Just like the real estate and airport operations of HNA, Evergrande is set to end up in good part becoming yet another chapter in China’s post-noughties nationalisation story. That will be bad news for Hui Ka Yan and other filthy rich investors but more great news for China’s working class and middle class masses.

Socialism Works!

The reason that the PRC is able to push back wealthy business owners in order to decisively improve the rights of gig works, raise wages and defend housing accessibility for low income groups is because capitalists do not rule in China. You see, China is not a “like-minded country” to the likes of Australia, India, Indonesia and the USA! In 1949, the toiling classes of China seized power in the most massive revolution in human history. Although the Chinese working class exercises its power in an indirect manner through a middle class bureaucracy that controls political administration and although that bureaucracy’s pro-market reforms have allowed capitalists to gain a sizable foothold in parts of the Chinese economy since the 1980s, it is the public ownership system favouring working class people that continues to be the backbone of Chinese society. Although capitalists are very prevalent in retail, internet and light manufacturing, all of China’s strategic sectors including banking, oil and gas, steel, mining, power, infrastructure, ports, auto, train and aircraft manufacturing, shipbuilding, space technology, telecommunications, airlines, food processing, computer chips and pharmaceuticals – as well as many consumer sectors like movies, whitegoods and flat screen TV manufacturing – are dominated by socialistic state-owned enterprises. It is this socialistic system that enabled China to complete lifting all its residents out of extreme poverty by the end of 2020. This is a stunning achievement because before China was steered onto the socialist path 72 years ago she had been so subjugated by neo-colonialism that her per capita income was barely more than half that of India’s. It is the PRC’s public sector that played the key role in achieving her anti-poverty triumph. Over-riding the imperative to maximise profits at all costs, the PRC’s giant state-owned enterprises established industries in poorer parts of China and often hired workforce numbers far in excess of what would be most profitable for their operations. This socialist sector was also key to ensuring the Chinese economy’s great resilience during the pandemic. Thus during the worst period of the pandemic in China, the first seven months of 2020, the PRC’s state-owned enterprises actually increased their investment in fixed assets by nearly 4%, even as private sector investment collapsed by close to 6%. Meanwhile, the PRC’s public sector boosted its hiring of new graduates by a whole one-third in order to make up for decreased job opportunities in the capitalistic private sector.

20 July 2021, Qingdao, China: The world’s first 600 km/hr (!!) Maglev train is unveiled by CRRC, China’s giant state-owned train manufacturer. This Maglev train will now undergo testing and validation. CRRC is the producer of China’s famous high-speed trains as well as her cargo trains, subway trains and trams. Like CRRC, other PRC state-owned enterprises have led China’s innovation in many key high-tech areas including renewable energy, space and satellite technology, supercomputers, speech recognition, artificial intelligence, bridge and tunnel building, computer chips and flat screen televisions. Putting social needs above profit goals, these socialistic enterprises were key to China’s historic victory over extreme poverty and her stunning success in protecting her population from COVID.

Among the public sector enterprises most crucial to Red China achieving her social goals have been her banks. In China, alongside her three 100% state-owned policy banks specifically charged with advancing social development agendas, all her big six commercial banks as well as nearly all her medium-sized banks are majority state-owned. Very different to the notorious greed of banks in capitalist countries, the PRC’s socialistic banks have often foregone lending that would bring them higher returns in order to prioritise credit for areas like uplifting of impoverished areas, public housing, renewable energy and environmental protection. They also played a vital role in China’s pandemic response, helping provide the funding that enabled manufacturers, pharma-biotech firms and developers to quickly switch over their operations to the delivery of PPE, COVID testing kits and makeshift hospitals.

The work of the PRC’s public sector in responding to the pandemic have produced stunning results. The PRC has the lowest death rate per person from COVID of any country in the world with a population of more than one million people. Twelve days ago, she achieved an incredible milestone: Mainland China went through a whole year without a single COVID related death! And this in a country with one in five of the world’s people! Of course, the capitalist media have denigrated this success by lying that China’s suppression of COVID is only the result of widespread continuing lockdowns. Yet today, not one large city in China is under a city-wide lockdown. Indeed, a large proportion of China’s residents have never had to endure a full lockdown during the entire pandemic. Even China’s best known megacities Beijing, Shanghai, Guangzhou, Chongqing and Shenzhen have, at most, only ever had lockdowns in small proportions of their giant cities but never a citywide, Sydney or Melbourne-style lockdown. Moreover, in rare cases when an outbreak did cause a whole Chinese city to lockdown, like Xian, which eased out of lockdown a few weeks ago, the lockdowns have been much shorter than the three to four months that Sydney and Melbourne residents endured in the middle of last year. Thus, even the worst hit parts of Xian were released from lockdown within 32 days. Over the last few days, although the PRC has had to take measures to prevent Winter Olympic teams from highly infected countries like Australia and Britain bringing the virus into China in big numbers, well over 99.5% of mainland China’s people enjoyed their seven-day (!) public holiday for Chinese New Year with more social freedoms than people have here. People packed into tourist spots and literally millions of people travelled on China’s famous high-speed trains every day. Nearly all of China has no restrictions on dancing and singing at clubs as we have in most Australian cities. Although the Chinese workers state has sometimes taken strict measures – putting the masses lives before business profits – China’s success in responding to the pandemic is not mainly because of this. What has separated the PRC’s response from all the capitalist countries is the ability of her socialistic system – where not only is the public sector the backbone but where private companies are subordinated to the workers state – to provide massive testing of people in COVID-affected cities, to move every COVID-affected person into medical care and quarantine in an existing or makeshift hospital and to give all hospital workers, aged care workers and other exposed workers full coverage PPE.

Socialistic Rule in China: Terrible for Capitalist Exploiters Worldwide,
Great for the Working Classes of the World

It is not only China’s pandemic response and her common prosperity drive that Western capitalist ruling classes are seeking to denigrate. They, their media and the “independent” “human rights” NGOs that they fund are looking for every possible angle to attack the PRC. One of the main fronts in their propaganda offensive is over the situation of the Muslim Uyghur minority in China’s Xinjiang Uyghur Autonomous Region (XUAR). The U.S., Australian and other Western imperialist regimes – the same ones who destroyed Afghanistan, Iraq, Libya, Syria and Yemen through either direct invasion or proxy wars, who committed the most hideous war crimes in the countries that they invaded or bombed and who prop up Israel’s murderous oppression of Palestinian people – claim that China is committing “genocide” against Muslim Uyghurs. They make this ridiculous claim even while largely admitting that China is somehow committing this “genocide” without actually killing any Uyghurs??!! Instead they claim that China is supposedly imprisoning millions of Uyghurs in re-education camps. This is a truly whacko conspiracy theory on par with some of the nuttiest Q-Anon “theories”. To try and give some “credence” to this conspiracy theory, the capitalist powers have relied on the fabricated “accounts” of those under the influence of either, ultra-rich capitalist Uyghurs who want to overturn socialistic rule in the XUAR, or extreme religious fundamentalists who want to turn the XUAR into a version of ISIS’ Caliphate. However, Western regimes’ claims that Uyghurs are being subjugated by China have been strongly rejected by the overwhelming majority of Uyghurs living in Xinjiang who are instead proud of their anti-poverty advances – especially over the last twelve years – and who are freely enjoying the rich Uyghur language, music and dance. The section of the Uyghur community that most strongly opposes anti-PRC propaganda and the increasingly small number of right-wing Uyghur terrorists are Uyghur women. These women are terrified at the prospect of having their current secular lifestyle and freedoms inside the PRC being taken away and their status being thrown back to the much lower position endured by women in most of the neighbouring non-socialist countries to their west; which includes Afghanistan where both under the Western occupation and now under the Taliban, women are subjugated in a way that the religious fundamentalist component of anti-communist Uyghur forces would like to see.

Furthermore, the accusations against China over Uyghurs have been rejected by most of the world. The only countries to sign-up to these claims are the Western powers – the very same ones that have been subjecting their own Muslim communities to racist stigmatisation and heavy-handed policing – and a handful of ground down neocolonies, like Nauru, whose Australian imperialist overlords have turned into a concentration camp for refugees. In all, those regimes making the claims of Uyghur oppression rule over only one in eight of the world’s people. Notably, not one Muslim-majority country has consistently signed onto these anti-PRC claims. Indeed, with the exception of Japan, not a single country in all of Asia, the Middle East, Africa or South America has signed on. Instead, far, far more countries have signed statements that not only denounced “the groundless accusations against China based on disinformation” but which positively “commends the efforts of the People’s Republic of China in providing care to its Muslim citizens” in the XUAR. As a small number of Western mainstream media outlets have had to report, at UN meetings, around 70 countries have signed statements lauding China’s treatment of Uyghurs and in all around 90 countries have openly weighed in behind China on the issue. Notably, this includes the vast majority of the world’s Muslim-majority countries, including those as different from each other as Palestine, Pakistan, Nigeria, Somalia, Iran, Iraq, Algeria, Turkmenistan and Qatar. Indeed the claims about China subjugating Muslim Uyghurs are so ridiculous that even thoroughly U.S.-allied Muslim-majority countries like the UAE, Kuwait, Egypt, Saudi Arabia and Jordan have rejected the anti-China claims and instead praised China’s advancement of Uyghur human rights through development.

It is no surprise that capitalist ruling classes would do everything possible to vilify the PRC. After all, we know how viciously capitalists, their media and their governments attack trade unions that staunchly defend workers rights like the construction workers CFMEU – and especially its militant Victorian branch. Therefore we can expect that the capitalist class will be even more fanatical in attacking organisations – like the Chinese workers state – formed when the toiling classes not only assembled to fight for improved rights but actually united to takeover a country. After all, the existence of the PRC workers state is greatly impeding the ability of the powerful “multinational” capitalists of the richer countries to exploit a workforce of some 800 million people! Moreover, the existence of a workers state in the world’s most populous country provokes the greatest fear of the capitalist rulers of Australia and other “like-minded countries”: that the working class of their own countries will look at China and decide that they also want to grab state power. The fact that the PRC state has been more clearly showing its pro-working class character of late by cracking down on greedy capitalists and improving the rights of gig workers makes capitalist ruling classes the world over all the more nervous.

For the very same reason that capitalist exploiting classes fear and loathe the socialistic PRC, the working class must hail and defend its existence. For the very existence of working class rule in China, Vietnam, Laos, Cuba and North Korea – in however a fragile and incomplete form – gives confidence to the toiling classes in Australia and other capitalist countries that they do not have to accept capitalist rule and all that it brings – bullying bosses, economic insecurity, growing racism and a society that puts the profits of wealthy business owners above the lives of workers, our parents and our grandparents. That is why the workers movement and Left must unconditionally stand with socialistic China and the other workers states against every form of attack that they face – whether that be military, economic or propagandistic. Down with the U.S./Australia/Britain military build-up against the PRC and North Korea! No nuclear submarines for the Australian regime – No to AUKUS! U.S./NATO/Australia out of the South China Sea! Rebuff the lying “human rights” attacks on the PRC over Uyghurs, Tibet and Hong Kong! Oppose U.S. funding for capitalist counterrevolutionary groups in China!

China’s Socialist Advances Face Serious Threats –
All the More Reason to the Defend the Workers State

The pro-working class measures that are being implemented within China are meeting much resistance – even from certain elements within the ruling Communist Party of China (CPC). China’s capitalists hate the recent measures with a vengeance. But they dare not say so openly. So they get establishment bodies like their All China Federation of Industry and Commerce to lobby behind the scenes for “respect” for the “rights” of capitalist exploiters. Meanwhile, various experts, economists and academics that are close to these capitalists, like liberal Peking University economics professor Zhang Weiying, have been speaking out against the common prosperity drive. Given that the CPC is the only truly mass party in China, it is inevitable that the party would house those holding a range of viewpoints – including those that are protective of the capitalists. Indeed, even China’s number two, premier Li Keqiang seems to be quietly obstructing president Xi Jinping’s common prosperity push by favouring the private sector – as opposed to the socialistic public sector – in his tax policies and statements. In the face of this blowback, there was some retreat by the PRC leadership in their public stance about the crackdown on “disorderly expansion of capital.” PRC officials sought to reassure domestic capitalists and foreign investors that there were limits to how far the recent moves would go.

On the other hand, the Chinese masses have been egging on the PRC’s crackdown on big-time capitalists. Chinese workers and youth have, quite correctly, flooded social media with posts calling out Jack Ma as an “evil capitalist” and a “bloodsucker”. A commentator who cheered that “Ma will definitely be hung from the lamppost” received well over a hundred thousands likes for that post! Pushed by such mass sentiment, last August, some of the biggest Chinese state media outlets chose to run an article by popular leftist blogger Li Guangman that encouraged the crackdown on capitalists to deepen, calling them a forerunner of “profound revolutions” that would see a “return to the original intentions and quintessence” of socialism. Meanwhile, despite right-wing sections of the CPC having made headway in lobbying for legal guidelines stipulating that economic transgressions by “entrepreneurs” (by which they mean capitalists) will in future be dealt with as civil matters rather than jail-carrying crimes, major sections of the PRC state are not relenting on their moves to bring aggressive capitalists and those that protect them to heel. Last September, after HNA’s state administrators had wiped out their wealth, the now ex, billionaire former owners of HNA Group, its ex-chairman and ex-CEO, were arrested. Then, last week, the CPC expelled from the party and handed over to prosecutors the recent, former CPC chief of Hangzhou city, Zhou Jiangyong for not only taking bribes but for having “colluded with some capital elements and backed the runaway expansion of capital”. Sensationally, Hangzhou is the city where Jack Ma’s corporations are based. Speculation is mounting that among the “capital elements” that Zhou colluded with in backing “the runaway expansion of capital” is none other than Jack Ma himself. Many in China are excited that Zhou’s downfall will be the prelude to the final takedown of China’s most well-known capitalist exploiter, Jack Ma.

In summary, there is a fierce tug of war going on between on the one end, the Chinese working class and its allies both within and outside the CPC and on the other, the capitalist class and those upper middle class elements and groupings within the CPC aligning themselves with the private “entrepreneurs.” In some sense this is no different to the class conflict taking place in the capitalist world. However, the big difference between the contest running in China and that in the capitalist world, is that in China, the seizure of state power by the toiling masses in 1949 and the resulting emergence of a society centred on working-class, that is collectivised, property forms has given the working class the decisive advantage in the class war. However, they have far from achieved final victory. The excessive openings to capitalists made by the CPC from the mid-1980s to the mid-noughties greatly strengthened the pro-capitalist side. Most importantly, capitalist restorationist forces within China are boosted by the fact that all the most powerful countries in the world, other than for China itself, remain under capitalist rule. Their presence not only emboldens Chinese capitalists to demand ever more “rights” but helps rightist sections within the CPC to prosecute the case that with such strong external forces opposing socialist rule, Beijing has no choice but to “compromise” with and “adapt” to global capitalism. This is another reason why those particular socialists (in Australia this includes Solidarity, Socialist Alternative, the Australian Communist Party, Socialist Alliance and the SEP) who use the existence of a degree of capitalism within China as an excuse to support anti-communist forces attacking the PRC state – like Hong Kong’s pro-colonial, rich people’s opposition – are actually helping strengthen pro-capitalist forces within the PRC establishment. By increasing the hostile pressure on the workers state, they are helping empower Chinese “Gorbachevs” who should they gain the ascendancy would open the gates for outright capitalist counterrevolutionaries to storm through and take power.

In contrast to those leftists who capitulate to the anti-PRC Cold War, we in Trotskyist Platform work hard to mobilise active solidarity with the Chinese workers state. In October 2019, we joined together with the Australian Chinese Workers Association and others to build a united-front action that saw 70 people march through Sydney city calling to “Stand with Socialistic China.” When word got back to China about this action, those staunch Chinese communists who heard about it were thrilled. We need more of and more powerful such actions! For these actions not only inspire anti-capitalist workers within China to resist the capitalists and their advocates but emboldens them to push for the crackdown on “the disorderly expansion of capital” to intensify. And China’s anti-capitalist crackdown does need to go much further than president Xi wants. To fortify working class rule and ensure the PRC’s further progress towards “common prosperity”, the power of Jack Ma and his ilk needs to be smashed. The tech, real estate and light manufacturing sectors need to confiscated from these capitalists and brought into public ownership. The danger of the socialistic economy being white anted by a large number of smaller-scale capitalists needs to be averted by ending premier Li Keqiang’s concessions to small and medium sized private “entrepreneurs”. Rather than rescuing such private enterprises by giving them handouts, promising such enterprises should be nationalised when in trouble. Let’s help advance China’s socialistic public sector! Let’s do so by mobilising in solidarity with the PRC here in Australia!

Above and Below: The 7 October 2019 demonstration calling on “Working Class People in Australia & the World” to “Stand With Socialistic China.” This united-front action was built primarily by Trotskyist Platform and the Australian Chinese Workers Association. This rally and march through the centre of Sydney city also called to “Defeat Hong Kong’s Pro-Colonial, Anti-Communist [Opposition] Movement!” 

Let’s Seize on China’s Anti-Capitalist Measures to
Motivate the Struggle Against Australia’s Capitalist Exploiters

We should point to the existence of socialistic rule in China to not only popularise the need for a future socialist revolution here in Australia but to motivate a fightback right now against growing exploitation and privatisation. Every time that we demand any serious measures to restrict the “right” of capitalists to “freely” exploit it poses the questions: how far are such restrictions going to go and what should be done if such measures cause the capitalist engine to grind to a halt. The current pro-ALP leadership of the workers movement responds to these questions by telling the masses that while there should be restrictions on capitalist exploitation such measures should be mild so that they allow the current (that is capitalist) system to function properly. However, the fact that a socialistic system is operating in the world’s most populous country and running rather successfully – even though the workers state there is weakened and distorted by hostile pressure and capitalist intrusion -shows that the workers movement does not have to moderate our demands to ensure the success of capitalism. The dead end of Laborism can be rejected. The working class can and should fight for what it actually needs! For if making headway on those demands causes the capitalist order to start coming apart – as it inevitably will – then so be it; that is no issue because replacing capitalist rule with socialistic working class rule has been proven to work in China and is what we desperately need. Through our publications and discussions with the masses, through seeking to steer progressive struggles in a direction that enhances the working class’ trust in their own power and diminishes their illusions in any wing of the capitalist class and in any organ of the capitalist state and through ourselves initiating actions with the same purpose, Trotskyist Platform works hard to win broader and broader layers of the working class to the need for a future workers conquest of state power, while advancing the building of the revolutionary workers party that would spearhead the struggle for such a socialist revolution. We understand that the struggle for a socialist Australia will be advanced today by the working class fighting through class-struggle methods for what it needs. That is why we draw the Australian working class’ attention to the anti-capitalist measures being taken in China and seek to use that to inspire workers to mobilise right now in action to demand: A guaranteed minimum wage and all the rights of permanency for all gig workers! For big wage rises! For a massive increase in public housing! No to privatisation of the NBN – stop all privatisations! Nationalise the banks, aged care sector and pathology services!

RACISM, CAPITALISM AND PANDEMIC IN AUSTRALIA

Photo Above: Police roughly arrest a mother for attempting to visit her children who are residing in one of Melbourne’s locked down public housing towers.

A Deadly Tale of Nationalist Arrogance, Capitalist Greed,
Cold War Fear Mongering and Dog Whistling to Racism

Racism, Capitalism and
Pandemic in Australia

  • “First World” Arrogance and Callous Indifference for the Poor, Ill and Elderly
  • “Herd Immunity” Means Culling of the Herd
  • The Victorian ALP Government’s Cruelly Implemented Lockdown of Public Housing Tenants
  • U.S., Britain, Australia and the Inherent Deficiencies of the Capitalist System
  • The Politically Motivated Selection of Travel Restrictions Caused the Death of Scores of Australians
  • All the Ugliness Comes Out
  • For United Working Class Struggle!

9 July 2020: In just the last week, Australia has had well over a thousand people newly infected with COVID-19. The coronavirus is spreading quickly in Melbourne’s working class suburbs. Migrant workers, in particular, often work in crucial frontline roles – as supermarket workers, cleaners, transport workers, health sector employees etc – where it is harder to protect oneself from catching infectious diseases. Rather than responding to the virus spread in migrant working class areas with compassion and support, the Australian ruling class, from its politicians to its media to its police enforcers, have responded with stigmatisation and cruelty.

Worldwide, the current pandemic has killed over half a million people. Such infectious diseases have caused immense suffering to humans since time immemorial. The H1N1 influenza A pandemic that started in the latter months of World War 1 killed between 21 million and 100 million people! That outbreak “originated” in the U.S. and was then carried by infected troops to Europe [1]. The virus was colloquially known as the “Spanish Flu” but this was only because Spain, a neutral country during the war, did not censor reports on the epidemic.  

The emergence of a disease that causes widespread death is a natural disaster that could “originate” anywhere. Naturally, on sheer probability, a disease is more likely to start in one of the countries with the largest populations. However, speaking about “where a disease started” is a misnomer. For new viruses and bacteria are merely mutations of previously existing ones. These organisms are constantly evolving. Some animal-hosted viruses may jump from animal to human in a form already quite adapted to a human host, while others may mutate within humans for long periods before becoming infectious. Therefore, speaking about “where a virus started” depends on how far you want to go back in time.

The outbreak of an infectious disease is impossible to stop at its source. Before the first people infected become ill enough to seek treatment they would have likely passed the disease onto others. Moreover, before there is enough cases for doctors to notice the new threat, the disease would have spread still further. This is especially the case for COVID-19, which while being truly deadly for many only produces mild symptoms in most. Once there is a spread of a new disease, the amount of suffering that it causes, as with any natural disaster, depends much on the efforts of humans and our social systems. As a result, the level of suffering caused by the new virus has varied greatly from country to country.

All the above indicates just how unscientific was the right-wing Australian government’s proposal for an international “inquiry” focused solely on the “origin” of COVID-19. Those issues are of scientific interest. However, the far more important issue is that part of the pandemic that can actually be controlled: that is once there was an initial spread how effective were the measures taken to contain it. Fortunately, the focus of the government’s proposal was in fair part rejected by most countries [2]. Instead, the World Health Assembly unanimously adopted a resolution to investigate the overall response to the pandemic rather than on only its origins. The Australian government’s rebuffed emphasis, which had been fully backed by the ALP “opposition,” was not simply a scientific error. It was politically motivated. Their aim was to help themselves and their U.S. allies to score propaganda points against China, the world’s largest socialistic country, where they claim that the virus “originated” from (although recent evidence may suggest otherwise). They had another aim too. By getting everyone obsessed with the “origins” of the virus, Australia’s rulers wanted to divert people from the fact that their own response to the pandemic has been deeply flawed and that of their key allies, the U.S. and Britain, downright catastrophic [3] [4].

Australian authorities endlessly boast about their “successful” response to the coronavirus threat. However, their boast is true only in comparison with the likes of the U.S., Brazil, Britain, Russia, Sweden and India which have had really failed responses. Australia’s death toll per resident from the pandemic is now 30% higher than China’s despite Australia having had the huge advantage of having time to prepare for the arrival of the virus [5] [6]. Furthermore, while China has thus far avoided a large second wave, Australia’s second biggest city is experiencing just such a virus resurgence. Moreover, in comparison with some countries with more difficult circumstances, including many of those that share borders with China and, thus, were more vulnerable to a virus spread from Wuhan, the suffering caused by COVID-19 is far worse in Australia. It is important to note that five of the countries that share borders with China have thus far had no deaths from COVID-19 whatsoever!

Three of these countries sharing borders with China and currently having no COVID-19 deaths are socialistic countries like China itself. Those countries are Vietnam, North Korea and Laos [7] [8] [9]. The socialist system, in which the key means of production are under collective ownership, enables resources to be pooled to respond to natural disasters. Nevertheless, two of the countries bordering China that currently have had no coronavirus deaths – Mongolia and Bhutan [10] [11] – are not socialistic. This shows that, although a country burdened by capitalist rule would not be able to replicate the response that socialistic China made had they been faced with similar circumstances of a previously unknown disease spreading quickly, even a capitalist country could, with correct policies, make an effective response provided they had forewarning that the virus was on its way, as Australia certainly did. Other lower income countries have also responded more successfully to the virus than Australian authorities have. Rwanda has had just three COVID-19 deaths so far compared to the 106 in Australia [12].

That COVID-19 has not, at this time, devastated Australia to the extent that it has the U.S and Britain is more due to this country’s geography rather than good management. Firstly, Australia is an island and islands are a lot easier to implement quarantine measures in. Thus, many island nations have fared comparatively well during this pandemic. Many of Australia’s island neighbours have not had a single death from the coronavirus including Fiji and New Caledonia [13] [14]. The second factor that should have made it relatively easy to deal with a virus threat here is the fact that Australia has one of the world’s lowest population densities. This matters, because when people are living more tightly together diseases naturally spread more quickly. Thus, Thailand faced difficult circumstances because not only was she the second country to report a coronavirus case, Thailand has a population density that is 39 times that of Australia. Yet Thailand has had only slightly over half the number of deaths as in Australia, despite having nearly three times Australia’s population [15].

“First World” Arrogance and Callous Indifference for the Poor, Ill and Elderly

The Australian government exaggerated their capacity to deal with the pandemic. On February 28, Morrison insisted that because his government had “acted quickly”, “there is no need for us to be moving towards not having mass gatherings of people” [16]. It took a whole 50 days after Australia had reported its first case before the government implemented any social distancing measures [17] [18]. As professor at the University of New South Wales, Bill Bowtell said of the government’s response [19]:

“Let’s cut to the chase, they were warned 12 weeks ago by WHO and others what was coming. They did not accumulate test kits. They did not accumulate the necessary emergency equipment. They did not undertake a public education campaign. They gave no money to science, no money to research, no money to the International Vaccine Institute, no money to WHO. They diligently did not do anything useful.”

So what drove the leaders of Australia and other “like-minded countries” to be so tardy in responding to COVID-19? Arrogant over-confidence is part of the story. On March 11, still four days before any social distancing measures were implemented, health minister Greg Hunt boasted for the umpteenth time [20] [21] [22] that “we are as well prepared as any country in the world” [23]. In the following two months alone, a further 94 people would tragically lose their lives to the disease in Australia.

The leaders of the imperialist countries were clouded by a condescending attitude to the former colonies and semi-colonies that they saw initially affected by the virus. They saw their own systems as superior. So they thought that they did not need to quickly implement social distancing and urgently build up stocks. Moreover, they swallowed their own propaganda about China. They thought: surely we will be able to respond more effectively than a socialistic country. History sure did prove them wrong!

However, there was also something even more sinister than imperial arrogance that held back the American, Australian and other Western leaders from responding quickly enough to the pandemic. On February 25, Trump made a tweet whose last sentence gave the game away [24]:

“The Coronavirus is very much under control in the USA…. Stock Market starting to look very good to me!”

Trump and his ilk downplayed the virus threat and therefore delayed the implementation of social distancing because they did not want measures that would disrupt business activity and harm the stock market. In short, the U.S. rulers put the profits of capitalists way ahead of the well-being of the masses. This became even more pronounced once it became clear who the virus was especially killing: black and brown people as well as frontline workers who were often from black and migrant communities themselves [25]. Egged on by extreme white supremacists, right-wing politicians demanded the end of lockdowns despite the virus continuing to spread like wildfire. This is what Republican and Democrat state governors have done. As a result, the virus is now spreading even more disastrously in the U.S.

“Herd Immunity” Means Culling of the Herd

In Britain, the unashamed indifference to the loss of lives caused by COVID-19, which in the U.S. was expressed by far-right lunatics, entirely shaped the policy of authorities there in the early phase of the pandemic. In mid-March, the British regime revealed that its “strategy” was to get 60% of the population infected “to build up some kind of herd immunity so more people are immune…” [26] [27]!  This would have resulted in between 400,000 and 1.4 million residents of Britain dying to achieve “herd immunity” so that its economy would not be hurt by second waves of infection! In practice such a pursuit of “herd immunity” actually means a culling of the herd. A culling of those too elderly or ill to any longer pull the cart of the capitalist big wigs. A culling of those working in low-skilled frontline jobs more vulnerable to being infected but whom the exploiting class considers more easily replaceable by other “beasts of burden”. A culling of the poor population living in over-crowded housing where diseases transmit easily and who are thought of as “surplus” herd by a good number of the ruling class.

It was not until late March that the conservative British government led by Boris Johnson changed their strategy and began implementing social distancing. It seems that the ruling class realised that although it was low-paid workers, Britain’s black population and working-class Asian communities that were being hit hardest, even some members of the ruling class were also being affected. Yet by the time that the British regime instituted restrictions on gatherings, over 11,000 people in England alone had already been infected [28]. It was way too late. The disease had already spread rampantly and could no longer be contained easily. That is why, other than for a couple of tiny countries, Britain has the second highest number of deaths per person in the world from the coronavirus [29].

It has been not only countries with conservative governments that implemented callous “herd immunity” strategies. So did the social democrat-run, capitalist state in Sweden. The result was disastrous [30]! The Australian government also seriously flirted with a “herd immunity” policy three months ago. In mid-March, Morrison mentioned “herd immunity” was a reason for keeping schools open [31]. Later, the government pulled back after condemnation from health experts. It seems that the Liberal government’s widely denounced response to last summer’s bushfires has made them concerned to appear like they are showing more support for those who could be impacted by the pandemic. Moreover, with the Peoples Republic of China (PRC) already having taken an approach that put their population health’s ahead of business profits, the Australian regime, obsessed as it is with scoring propaganda points against its socialistic adversary, felt constrained to put a greater weight on curbing the virus than they otherwise would have in order to not to appear callous in comparison. Yet, in capitalist societies the masses face a double-edged sword during a pandemic. On the one hand, governments could delay introducing preventative measures leading to enormous loss of life. Yet if governments do implement social distancing, given that bosses in capitalist states have the unrestricted right to lay off workers, huge numbers of workers lose their jobs or have their number of shifts slashed.

After Australian authorities belatedly implemented some of the necessary measures to curb the pandemic and maintained them for a period, as lockdowns ate into business profits, capitalists, big and small, clamoured for a rapid re-opening. As a result the federal government and state Liberal and ALP governments alike, who ultimately all serve the capitalist class, engaged in a risky rollback of measures even while significant levels of infections remain in the community. In the two weeks prior to most of Australia beginning major re-opening on June 1, this country with a population of 25 million had 144 new cases [32] [33]. By contrast, in the two weeks prior to China’s significant re-opening of the worst affected city of Wuhan on April 8, that country had 580 new cases [5] in a country with a population 57 times larger than Australia’s. That means that Australian governments attempted a rollback of social distancing when the virus was spreading 14 times more intensely than it was in China when she implemented similar re-openings. This recklessly quick re-opening is the primary cause of Melbourne’s second wave of infections.

The Victorian ALP Government’s Cruelly Implemented
Lockdown of Public Housing Tenants

Among those hardest hit by the virus second wave are public housing tenants living in tower blocks. This is due to the negligence of the Daniel Andrews-led, Victorian Labor government. Victorian authorities failed to ensure adequate disinfection of common areas in these towers. Even regular cleaning of such common areas is minimal as governments across Australia cut down spending on public housing maintenance in order to help fund tax cuts for the rich and ever increasing budgets for police, ASIO and the military. Since COVID-19 struck, large public housing blocks have only been provided with one hand sanitiser dispenser per tower, if at all, and these are often left empty [34]. What has also made tenants especially vulnerable to virus transmission is that they have often been made to stay in over-crowded units because successive Labor and Liberal governments across the country have sold off so much public housing that those able to access it have had to accept being squeezed into tiny apartments.

After residents in public housing blocks were inevitably hit with the consequences of such negligence, the Andrews government responded by banning thousands of residents in public housing towers in Flemington and North Melbourne from leaving their units. The harsh manner in which authorities have implemented the hard lockdown indicates that this measure is not mainly about trying to genuinely protect the low income public housing tenants, many of whom are from African, Middle Eastern, Asian and Islander backgrounds. Public health workers were not sent in to explain the decision or to inform tenants of what needed to be done to protect their lives. Instead, residents first knew that they were being locked in when large hordes of police appeared at their buildings and started stopping residents from leaving. Given that many of the tenants have previously suffered racist harassment from Australian cops – and some earlier from refugee detention centre guards – the presence of massive numbers of police keeping them locked up has been very frightening for many of the locked down tenants. These police have been rude and harsh. Over the first two days of the lockdown, they even prevented volunteers and friends from leaving food, medicine and other supplies for hungry tenants to pick up [35]. Most despicably, police brutally arrested a member of a charity trying to leave food for residents. It was only after loud protests from social workers that police released their hold on the arrested charity worker as the terrified dark skinned man cried out desperately, “I can’t breathe.” Police have also arrested frustrated tenants trying to hold impromptu protests against the cruelty of lockdown conditions.

Victorian police arrest a charity worker who was attempting to leave behind food for tenants in a locked down Melbourne public housing tower. During the arrest, as the police subjected him to brutal force, the dark-skinned man cried out desperately, “I can’t breathe.” Thanks to the protests of a social worker who was videoing the incident and others, the police finally eased their dangerous hold on the charity worker.
Photo Credit: Tigist Kebede – Instagram
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Tenants have been left hungry and scared after the supplies of food and other essentials promised by the government did not even start to be provided until some 36 to 48 hours after the start of the lockdown. When supplies finally arrived they were often grossly inadequate to feed families in the apartments. The food deliveries typically consisted of tins of out of date food. Fresh food and vegetables were not provided. The only decent meals that some locked down residents were finally able to receive came through the generous efforts of volunteer social organisations and trade unions.

A photo taken by a locked down tenant of the food deliveries given by the Victorian government to public housing tenants subjected to a hard lockdown. The authorities provided no fresh food. Weetbix was given but there was no milk. A can of tuna was provided but there was no bread. As well as being of poor quality, not very healthy at all and often out of date, the food provided was often woefully inadequate for families.

In the midst of a pandemic we support restrictions genuinely made to protect people from being infected. However, aside from the incredible cruelty at the way that this lockdown has been implemented and the stigmatisation involved with only applying a hard lockdown to low-income tenants who are overwhelmingly people of colour, its actual value in terms of protecting residents is questionable. With the coronavirus likely to spread through aerosol droplets and with low-income tenants unable to afford the heating expenses that would arise from keeping their windows open to let infected air disperse, having COVID positive and negative cases alike locked into cramped tiny apartments in a packed tower block is a recipe for virus spread both within households and through airflow under and around doors from room to room. If authorities were actually serious about protecting Melbourne public housing residents they would ensure that infected people could be moved into safer quarantine at hospitals or hotels. It seems that this lockdown is not about protecting the interests of tenants but has more than a whiff of being a measured aimed at sacrificing the well-being of low-income, overwhelmingly non-white skinned residents in order to stop the virus spreading to wealthier neighbourhoods.

The contrast between this Melbourne hard lockdown of public housing and the earlier lockdown in China’s hard-hit Wuhan could not be more different. Firstly, that lockdown in Wuhan did not single out low-income people but applied equally to everyone regardless of how wealthy they were. Moreover, the success of that lock down was achieved because, after Chinese health experts realised how easily the virus spreads among family members and among residents in the same apartment blocks, PRC authorities moved all COVID positive people into hospitals both to give them proper care and to ensure that they did not unwittingly transmit the virus onto others. Thirdly, rather than being implemented through police repression, the Wuhan lockdown was based on grass-roots mobilisation. Teams consisting of volunteers, neighbourhood collective representatives and community workers went door to door to explain pandemic measures and ascertain residents’ needs. As a result the overwhelming majority of people complied with measures. In the tiny percentage of cases where a person tried to violate lockdowns it was primarily these grassroots forces rather than police who would enforce measures. Therefore, those who tried to violate Wuhan’s lockdown were, for the most part, not arrested but usually escorted – and in a very small number of cases literally dragged – back to their homes by grassroots activists who were often their very own neighbours. Harsh police repression in China was really only meted out – and rightly so – to business owners trying to profiteer from the crisis by jacking up prices. Fourthly, the PRC government and local Communist Party branches ensured that Wuhan residents were actually given the supplies promised including fresh fruit and vegetables. Social media photos show many people there eating famously tasty Chinese meals during their lockdown.

Perhaps the biggest difference between the hard lockdown of certain public housing towers in Melbourne and the earlier lockdown in Wuhan is in the differing attitudes of the ruling establishments in the two countries to the locked down residents. Here, locked down tenants have been subjected to despicable racist and anti-working class insults by white supremacist politicians like Pauline Hanson and by right-wing mainstream media outlets. In contrast, China’s state media heaped praise on the residents of Wuhan for enduring a lockdown that would reduce the spread of the virus to other parts of China and would buy time for the rest of the world to respond to the virus threat. Iconic Chinese landmarks in major cities were lit up with signs expressing solidarity with the people of Wuhan [36]. China’s president repeatedly praised Wuhan’s people as “heroic” [37]. We suggest that people don’t hold their breadth waiting for Scott Morrison to praise the locked down public housing residents of Melbourne as “heroic” or for the Sydney Opera House to light up with a solidarity message for these tenants!

U.S., Britain, Australia and the Inherent Deficiencies of the Capitalist System

Even if governments in the U.S.A, Australia and other Western countries hypothetically set aside their disdain for the interests of working class people and their racial bias and truly sought to implement all the policies necessary to suppress the coronavirus threat, the amount that they could actually achieve is hampered by the structure of their societies. In capitalist societies the key means of production are owned by wealthy individual capitalists with total “freedom” to determine production. In the manufacturing sector, these capitalist bosses largely calculated that it was not profitable enough for them to quickly switch over their production to make vitally needed pandemic relief goods. The few that did mostly did so too slowly. As a result, in the crucial early period of the pandemic here, health workers were bitterly complaining about the shortage of masks and other PPE (personal protective equipment). Ironically, given the Morrison regime’s attacks on China over the pandemic, the medical mask shortage was only relieved after the Australian government procured a big quantity of masks from China in mid-April [38]. However, there remains an inadequate amount of protective suits here. Therefore, Australian health workers and others working in areas of high risk of contracting, or passing on, COVID-19 have often not been able to wear the highly effective head-to-toe, spacesuit-style protective gear that nurses, doctors and sanitation workers in socialistic China were equipped with. This is a major cause of the deadly virus spread centered around Tasmania’s North West Regional Hospital three months ago and the later outbreak at Anglicare Sydney’s nursing home in Penrith. It is also the key reason for the clusters of cases that originated when the virus jumped from returned travelers quarantined at Melbourne’s Stamford Plaza onto contractors working at the hotel.

Similarly, in the crucial earlier period of the pandemic, there were not enough testing kits available. Even people with symptoms could not get tested unless they had recently returned from overseas or if they had contact with a known case. As a result the virus spread here in that period partly undetected.

The Politically Motivated Selection of Travel Restrictions
Caused the Death of Scores of Australians

On February 1, Canberra banned non-citizens and non-permanent residents from any part of China from entering Australia. This is despite China having already quarantined off Wuhan and other hard hit cities in Hubei Province, meaning that people from the part of China where the virus was concentrated could not enter Australia anyway. At the end of February, the Australian government continued to maintain this travel ban specifically only on all of China. Yet by then, the coronavirus was spreading much more quickly in South Korea [39] and Italy [40] than in China outside of quarantined-off Hubei. One did not even need to look at China’s data to know this. At the end of February, Australia’s Deputy Chief Medical Officer, Professor Paul Kelly, informed that of the 40,000 people re-entering Australia from China in February not one single person had tested positive for COVID-19 [41].

Now we do not seek the “evening out” of xenophobic measures by having travel bans introduced more uniformly! We are opposed to outright bans on foreign nationals from any country. We note that, despite the virus being far better contained in China today than in almost every other large country, China itself has not imposed an outright ban on arrivals from any country. However, in cases of a pandemic where there is a significantly higher prevalence of a disease in an overseas country then it is reasonable for measures to be taken to screen arrivals from that country and place them into quarantine for a period.

It was not until March 1 that the Australian government introduced restrictions on arrivals from another country other than China. But that country was again a state whom the Australian government saw as an adversary (although in this case not a socialistic country)! That country was Iran, the country whom the Australian government sought to intimidate in January by joining a threatening U.S. naval operation in waters
nearby to Iran. The Australian state’s selective adoption of Iran as the second country from whom arrivals would face special restrictions seemed to be motivated, at least in part, by an effort to create fear of Iran. After all, while Iran had 733 cases in the three days prior to the ban [42], South Korea and Italy which both have smaller populations had, respectively, 1,970 cases [39] and 1,047 cases [40] in that same period.

Finally on March 5, the Australian government imposed a travel ban on a country that was not an adversary: that is, South Korea. However, while capitalist South Korea is certainly an ally of Australian imperialism, nevertheless as a rule Koreans are still not white. So for a regime cynically selecting the countries that it imposes travel bans on out of political considerations, they no doubt saw listing South Korea as at least subtly contributing to a fear of Asians. The Morrison government sees such underhanded fear-mongering as “useful” in order to divert people’s frustrations at the lack of secure jobs, the shortage of affordable rental accommodation and other hardships caused by their system onto a soft target.

Meanwhile, by the time that the travel ban on South Korea was imposed, the virus was spreading more than a hundred times faster per person in Italy than in China [5] [40]. Yet the Australian government was delaying introducing any quarantine requirements on arrivals from Italy while maintaining a travel ban on arrivals from China. On March 9, Australia’s chief medical officer, Brendan Murphy, struggled to answer reporters’ questions on why the ban was imposed on China but not Italy [43]. Murphy stated that, “… we know we can’t really just put bans in place for an increasing number of countries.” But why choose to have the ban on China and not other countries when the virus was actually spreading massively faster in those other countries – arrivals from which Australia did not even then require to self-quarantine?  Perhaps Murphy struggled with the question because it was the Morrison government that pressured the health bureaucrats to “advise” such a politically-motivated choice of countries to impose travel bans on. On the other hand, it could simply be that these highly paid bureaucrats see the world through the same lens as the rich people’s government they serve under.

It was only on March 11 as the death rate in Italy soared even more alarmingly that the government imposed the same measures on arrivals from Italy that were imposed on those from China. In the meantime, the coronavirus was also now spreading much faster in other European countries and in the U.S. than it was in China. In the three days up to March 15, for example, Germany, which has a population 17 times smaller than China’s, had 3068 new cases [44] as opposed to just 47 in all of China. Meanwhile, in Spain the number of new cases in the previous three days was 3,200 times higher per person than in China [45] [5]. Yet it was not until March 20 that the Morrison government placed the same restrictions on entrants from other countries that it had imposed on arrivals from China seven weeks previously.

The delay by the government in introducing any quarantining of people entering from the virus-ravaged United States and Europe, even while maintaining a China travel ban, led to some spectacular instances of “First World” arrivals spreading the virus here. Many cases can be traced back to a high-society party in the U.S. luxury resort of Aspen hosted by Australian tycoon and Liberal Party powerbroker, Andrew Abercrombie [46]. Around a dozen of the rich attendees, many of whom were Victorians, contracted the virus there. The infected Australians then returned in March and spread the virus to dozens upon dozens of others. One couple, confirmed as being infected at the high-society event, defied directions and visited shops in Victoria’s Mornington Peninsula, likely causing the sudden outbreak of 35 cases in the area. Another person from the U.S. resort cluster infected many others after attending a 21st birthday party in a wealthy Melbourne suburb [47]. However, she was merely following the health advice at the time, which did not require arrivals from the U.S. to even self-isolate. Earlier, in events un-connected to the Aspen party, a doctor returning to Melbourne from the U.S. with a runny nose then treated 70 patients before being diagnosed with COVID-19 a week after his arrival [48]. However, it is not the doctor who was only at fault here. Well into March, the Australian government was still asking only people who arrived from certain “high-risk countries” (which they then deemed to be only China, Iran and South Korea) to get tested should they have symptoms.

Prior to the implementation of quarantining of arrivals from all countries, Australian passengers from cruise ships, which had already proven to be petri dishes of disease growth, were also often not tested upon arrival. On March 19, Australian authorities failed to screen 2,700 passengers, many of whom were ill, who disembarked from the Ruby Princess cruise ship.  The hapless passengers then infected others when they travelled home on trains, buses and flights. At least twenty-two passengers ended up dying from COVID-19. People infected aboard the ship also unwittingly passed the virus onto staff at Tasmania’s North West Hospital, starting a massive outbreak in the region.

Passengers walk away after getting off the Ruby Princess cruise ship docked at Sydney’s Circular Quay. Although many passengers were known to be sick aboard the ship, Australian authorities did not apply any screening, testing or quarantine to any passengers when they alighted from the ship on March 19. As a result, infected passengers unwittingly transmitted the disease onto others – including triggering the North-West Tasmania outbreak that tragically took eleven lives. In order to single out and demonise socialistic China, the Australian government delayed introducing the quarantine restrictions applied to travellers from China onto arrivals from cruise ships, Europe and America, even after it became very obvious that the rate of virus spread in these regions was hundreds of times faster than it was in China by then. On the day that passengers left the Ruby Princess, arrivals from cruise ships, Europe and America were not subject to the same restrictions as arrivals from China. This distortion of health policy to meet Cold War agendas led to travellers from Europe, America and cruise ships unwittingly spreading the virus in large amounts within Australia, unnecessarily causing the deaths of dozens and dozens of people and greatly increasing the level of job losses caused by the pandemic.

The fact is that a large proportion of cases came into Australia from America, Europe or cruise ships. Just how large? Up to April 30, the last day that Australian authorities published the chart “confirmed cases who acquired COVID-19 overseas by region” [49], a whopping 85% of all overseas acquired cases entered from the Americas, Europe or cruise ships! Given that Australian Department of Health data showed that up to April 30 there were in total 4,295 overseas acquired cases [50], this meant that 3,651 coronavirus-infected people entered Australia from Europe, America or cruise ships up to April 30. By contrast, the department’s infographic [49] showed that just 36 cases (a tiny 0.83% of all overseas acquired cases) entered from the entire North-East Asian region that includes China as well as South Korea and Japan! It is worth noting too that since arrivals from China had been carefully screened from the very start of the pandemic and that those still able to enter after the travel ban were forced to quarantine, arrivals from China did not cause any of the virus spread within Australia at all. The opposite was true, however, for arrivals from Europe and America. This is especially the case for the nearly two thousand infected people who arrived from these regions prior to the implementation of concentrated quarantining on March 29. Not only were they not required to even undergo home quarantining until mid-March (unlike arrivals from China, Iran and later South Korea), authorities did not even tell them to get tested until well into March even if they had symptoms! As a result many did not even know that they were infected until much later and, thus, passed the virus onto others. Other than for the likes of the upper class snobs returning from the high society Aspen party who refused directions to self-quarantine, this was of course not their fault at all. These people, just like the Ruby Princess passengers, were themselves victims of government policy. Not knowing that they were at high risk meant that they did not seek out early treatment meaning that their symptoms often became worse than they should have. Nevertheless, it was these thousands of COVID-19 cases arriving from Europe and America, along with infections caused by the Ruby Princess that became the source of most of the community transmission within Australia in its first wave.

The Australian government’s own data showed that the overwhelming majority of overseas acquired coronavirus cases entered Australia from Europe, America or cruise ships. By the end of April 2020, just a tiny 0.8% of cases entered Australia from the entire North-East Asian region that includes China and also South Korea & Japan. This proportion is even lower today.

Australian authorities were well aware that COVID-19 was mostly entering from Europe and America. Why then did they not move to stop the importation of cases from these regions much sooner even as they maintained a travel ban on China well after she had almost completely suppressed the virus threat?  Certainly there must have been some First World chauvinism – and a degree of underlying racial prejudice – at play. But that cannot fully explain a policy so at variance with the science. There was a factor still more sinister. For in order to achieve their goal of portraying Red China negatively, the Australian regime had to maintain their specific travel ban on only China for as long as possible. And then when they were compelled to have to bring in quarantining measures on other countries, they needed to ensure that this was implemented on as few countries as possible so that as much suspicious focus could still be maintained on China. Australia’s capitalist exploiting class are obsessed with demonising socialistic China because they want to make the Australian masses acquiesce to the Australian regime’s authoritarian moves to increase the powers of the ASIO secret police, further increase funding for spy agencies and arm their military with $270 billion of new long-range missiles.

In a major speech three weeks ago, foreign minister Marise Payne, stung by China calling out rampant racism within Australia, said that “disinformation” during the pandemic “will cost lives.” She was right! Except that disinformation is coming not from China but from the Australian regime – most notably through using the skewed application of country-specific quarantine measures – and is aimed at misleading people into thinking that the main danger of virus importation was from China. This distortion of pandemic policy to meet Cold War disinformation agendas cost the lives of dozens of Australians who would not have caught the disease from community transmission had authorities taken the scientifically mandated course of introducing earlier testing and quarantining of arrivals from the U.S., Italy, Germany, Britain etc. Let’s not forget, however, that it is not only the Morrison government that is culpable here. As Anthony Albanese has often remarked, “the Labor Party was at one with the government on this one.”

All the Ugliness Comes Out

Assisted by the daily negative stories about socialistic China spread by the tycoon and government-owned media, the false impression that the Morrison regime created that COVID-19 was introduced into Australia by arrivals from China was a shot in the arm for those already filled with white supremacist prejudice. These boosted-up racists then proceeded to unleash a horrific wave of physical attacks, abuse and threats of violence against ethnic Chinese people throughout Australia. Other people of Asian background have inevitably also been targeted.

In the face of the Chinese government warning its tourists and international students of the danger of racist attack in Australia, the Morrison government has tried to greatly downplay the threat to Asian people posed by racist violence.  For those living in fear of copping such attacks this is infuriating to even be denied recognition of what they are going through. Of course, the government, the ALP opposition and top bureaucrats earlier did manage to on a rare occasion state that they were “appalled” by reports of racist assaults. However, the government and the opposition knew full well that such attacks would be the inevitable result of their earlier insistence on singling out China in the application of travel restrictions and of their later crude attempts to join hard right bigot Trump in blaming China for the pandemic. Their behaviour can be compared to that of state governments throughout this country who help throw tens of thousands of people into homelessness by selling off low-rent public housing … but then try to look good by providing some modest funding for homelessness services!

If the powers that be wanted to they could let the tyres out of the far-right drive to incite hatred against Asian people. They could simply explain to people the facts about where COVID-19 actually entered this country from. However, although Morrison did on one day casually drop the truth that a lot of cases were coming from the U.S., politicians from all the parliamentary parties refused to inform the public what a tiny proportion of overseas-acquired cases originated from China. Of course, it should not matter what country a disease is transmitted from. Viruses do not carry passports! To blame any country or people for the entry of a virus is no more valid than blaming the people of a country through which a cyclone that entered Australia had previously passed. However, in the context of there being a terrifying level of racist violence against people of Chinese appearance and the prior existence of widespread bigotry in Australia against Asian people, explaining the truth that arrivals from China did not spread the virus into the community at all is vitally needed. Instead, Australian authorities moved to actually censor their own infographic that proved this fact. From the beginning of May, the Department of Health, without explanation, suddenly stopped showing on its website the pie chart, “confirmed cases who acquired COVID-19 overseas by region.” Although largely ignored by most of the mainstream media, the department had been publishing the chart daily up to that time. Moreover, a few days after they stopped showing the chart, the department obliterated the chart from its own archives so that it could no longer be found unless someone had earlier saved the exact web address of the infographic! It is very likely that the Australian regime censored its own previously published data because it undermined their attempts to blame China for the virus spread here (see: https://www.trotskyistplatform.com/australian-data-proves-chinas-pandemic-response-success/). An inevitable by-product of that censorship is that it helped extreme racists to fill the vacuum of facts with divisive lies.

Now more than ever, people need to be told the facts that stand out from the Australian regime’s censored infographic: that just 0.7% of all overseas acquired cases in Australia arrived from Sub-Saharan Africa, just over 2% from North Africa and the Middle East and just 7.5% from all of Asia, whereas seventeen out of every twenty cases entered from Europe, America or cruise ships. These facts need to be known because racist politicians, Rupert Murdoch’s Sky News and right-wing shock jobs have been disgustingly blaming Asian, African, Muslim and Middle Eastern communities for the renewed virus spread in Melbourne. The entire mainstream media have fed into this racist upsurge by selectively choosing to report on the source country of an infected returned traveller almost exclusively only when that person happens to arrive from Asia, the Middle East and Africa, which is only where a small minority of cases have arrived from. Victoria’s Labor health minister, Jenny Mikakos, was guilty of the same thing last month when she stated that many of the COVID-infected returned travellers had arrived from India, Pakistan and Bangladesh [51]. Had she ever bothered to inform us earlier that the overwhelming majority of returned travellers infected with the virus then were arriving from Europe and America?! And although the Victorian ALP premier, in deference to his party’s working class base, has framed his hard lockdown of public housing residents in heavily migrant areas as a measure aimed to protect tenants, the brutally repressive manner in which it was implemented was an obvious play to redneck elements and will surely encourage white supremacist sentiments. The reality of all of these coded and open appeals to racist prejudices is that the horrific violence and abuse that rednecks have unleashed against Chinese and other East Asian people throughout this pandemic is likely to now also be turned against people of African, Muslim, South Asian, Pacific Islander and Middle Eastern backgrounds.

Meanwhile, two weeks ago, the Australian ruling class focussed on attacking yet another scapegoat for the spike in COVID-19 infections. Health minister Hunt ridiculously claimed that the mass anti-racist protests held last month were to blame [52]. This despite his own top health official saying the very opposite [53]. It is not surprising that the Australian government would make this accusation. After all, despite Hunt’s devious claim that he thought the “subject matter” of the protests “noble”, these very necessary protests were aimed not only against killer cops but against his racist, right-wing government and against racist state governments of all stripes. The truth is that not only have just four people who attended the Black Lives Matter rallies been found to have COVID-19, none of these people actually picked up the virus at the protests. The Black Lives Matter marches were outdoor events where dispersal of droplets into open air reduces the probability of virus spread. Far more dangerous is the crowding of people into indoor shops, bars and restaurants. Yet while Liberal and ALP federal and state governments tried desperately to quell the anti-racist protests aimed against them, they have been cavalier in allowing people to again crowd into dangerous, virus-spreading indoor environments.

So as you can see, the oft-repeated assertion by governments and media that “Australians have come together at this time of crisis” is simply not true. To be sure, many working class people, especially trade unionists shaped by an understanding of the need for collective action and solidarity, have responded to the crisis by upholding pandemic suppression regulations and by volunteering their time to help neighbours in need. However, many a capitalist boss has failed to provide adequate PPE for their workers or otherwise ensure COVID-safe workplace environments. Moreover, as soon as business owners were hit with any loss in revenue, these bosses did not hesitate to lay off or cut the shifts of the very workers whose toil over the years made these capitalists their fortunes. Meanwhile, some self-employed tradies, imbued with the individualistic spirit of small business owners, have continued to do jobs when pandemic restrictions have been in place and have done so in a way that recklessly ignores social distancing directives.

The dog-eat-dog nature of the capitalist economic system has created a self-centred culture that shows its most harmful side at times like these. Many people in Australia violated coronavirus social-distancing rules. This included not only beach goers but often people of wealth and power. There were not only the super-rich people returning to Victoria infected from the U.S. Aspen high society party but also Australian defence soldiers [54] and officers and recruits of the Australian Federal Police [55] who grossly violated pandemic response measures. Of course, the media and parliamentarians never highlighted that most of those violators happened to be white-skinned. Nor should they. However, when they then only focus on the ethnicity of a person who breaches social distancing guidelines when that person happens to be a person of colour, then these influencers of public opinion are consciously acting to foment racist hostility to already victimized communities.

For United Working Class Struggle!

All the prejudice and selfishness within capitalist Australian society has certainly come to the fore during this pandemic. However, something very different has been on display too. This has been evident over the last few days in the way that our trade unions, the Australian Muslim Social Services Agency, the Sikh Volunteers Australia and other community groups have organised food and supplies for locked down public housing residents in Melbourne. Such mutual aid amongst working class people and victimised ethnic groups points to the possibility of something much more powerful: working class people and all the oppressed uniting in action to oppose the racist scapegoating, fight for the measures actually needed to curb the virus spread and struggle to ensure that working class people are not made to carry the economic burden of the pandemic.

Trade unionists work with the Australian Muslim Social Services Agency to deliver food and supplies to locked down Melbourne public housing tenants. Such mutual aid amongst working class people and victimised ethnic groups points to the possibility of something much more powerful: working class people and all the oppressed uniting in action to oppose racist scapegoating, fight for the measures actually needed to curb the virus spread and struggle to ensure that working class people are not made to carry the economic burden of the pandemic.
Photo credit: Victoran Trades Hall Council Facebook page

Right now we must especially stand by our sisters and brothers locked down in Melbourne public housing towers by demanding:

  • Police out of the public housing neighbourhoods! Send in public health and community workers instead!
  • The same quality food for locked down public housing tenants as those given to the more affluent returned travellers who had been quarantined in five-star hotels.
  • For all locked down public housing tenants to be given the option of serving their quarantine in luxury five-star hotels with all expenses provided. Let them stay in more spacious, safer rooms! Let those forced into a hard lockdown enjoy good conditions instead of being stigmatised and forced to endure further hardship!
  • For all electricity and gas charges to be removed until the end of winter. Let tenants turn on their heaters in full so that they can open the windows and let infected air disperse safely.
  • No to discriminatory imposition of hard lockdowns on public housing tenants!

More broadly the workers movement and all our allies need to fight for:

  • Mandatory temperature testing of everyone attending workplaces of more than two people.
  • Paid pandemic sick leave for all workers (including those currently casuals) and the immediate conversion to permanency of all those currently employed as casuals.
  • Secure jobs for all workers. That means demanding firstly that those companies still profitable – including supermarkets, construction firms and manufacturers – be forced to increase hiring at the expense of their profits; and secondly that the owners of previously profitable companies that are experiencing reduced operations be forced to pay their workers in full out of the massive profits that they have leached from these workers over the years.

Such a program can only be won through mass struggle against the capitalist exploiters and their governments. To advance this struggle it is vital that we discredit the capitalist regime by exposing just how flawed and anti-working class has been their response to the pandemic. The fact is that especially given that this land is both an island and a country with a low population density, other than for those who caught the virus abroad and could not be saved once they entered here, there should have either been just a tiny handful of COVID-19 deaths here or none at all.  That people are now dying in a virus second wave is caused by Australian governments winding back social distancing measures too quickly, in deference to their capitalist masters, by their all-round neglect of the health and housing needs of public housing tenants and by the inability of the profit-driven system to ensure sufficient PPE for frontline workers. The first wave, on the other hand, was mainly caused by the Australian regime delaying introduction of mandatory testing and quarantining of arrivals from Europe, America and cruise ships and they did this in order to ensure that, for as long as possible, the focus of travel bans would be on China. As a result of this manoeuvre to create fear of socialistic China amongst the population, the virus was allowed to be brought into the community from Europe, America and cruise ships in large doses in late February and March and spread dangerously from there on in. Australia’s capitalist rulers caused dozens of people to die who otherwise would have been alive today – including the nineteen residents who tragically died at the Anglicare nursing home in Western Sydney and the eleven people who perished from the Ruby Princess-triggered North-West Tasmanian outbreak. Those close to the people who died should be furious that their precious family members and friends perished because the Australian regime distorted health policy to meet its Cold War agenda. So should all the workers who have been retrenched or lost shifts because the pandemic has been allowed to spread into the community far more widely than it should have.

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  43. Australian Government Department of Health, Chief Medical Officer’s interview on ABC Radio Melbourne, Australian Government Department of Health website, 9 March 2020, https://www.health.gov.au/news/chief-medical-officers-interview-on-abc-radio-melbourne
  44. Worldometers, Coronavirus, Germany, https://www.worldometers.info/coronavirus/country/germany/  (accessed 27 June 2020)
  45. Worldometers, Coronavirus, Spain,  https://www.worldometers.info/coronavirus/country/spain/ (accessed 27 June 2020)
  46. Cameron Houston, The cough that crossed the globe: Andrew Abercrombie’s ill-fated party, Brisbane Times website, 3 April 2020, https://www.brisbanetimes.com.au/politics/victoria/the-cough-that-crossed-the-globe-andrew-abercrombie-s-ill-fated-party-20200403-p54gp9.html
  47. Dana McCauley and Cameron Houston, ‘Throw the book at them’: Health Minister addresses Aspen controversy, The Age website, 31 March 2020, https://www.theage.com.au/national/victoria/throw-the-book-at-them-health-minister-addresses-aspen-controversy-20200331-p54frd.html
  48. Merran Hitchick, ‘Flabbergasted’: Melbourne doctor with coronavirus symptoms continued seeing patients, The Guardian Australia website, 7 March 2020, https://www.theguardian.com/world/2020/mar/07/flabbergasted-melbourne-doctor-with-coronavirus-symptoms-continued-seeing-patients
  49. Australian Government Department of Health, Australian confirmed cases who acquired COVID-19 overseas, by region, 30 April 2020, https://www.health.gov.au/sites/default/files/images/publications/2020/04/covid-19-cases-acquired-overseas-by-region-or-country-acquired_29.png (accessed 30 June 2020)
  50. Australian Government Department of Health, Coronavirus (COVID-19) at a glance – 30 April 2020, Australian Government Department of Health website, 2 May 2020, https://www.health.gov.au/resources/publications/coronavirus-covid-19-at-a-glance-30-april-2020
  51. Will Jackson and Leonie Thorne, Why is Victoria experiencing an increase in coronavirus cases and other states aren’t?, ABC News website, 18 June 2020, https://www.abc.net.au/news/2020-06-18/why-is-victoria-experiencing-an-increase-in-cases/12366884
  52. Nick Baker, Greg Hunt says Black Lives Matter protests contributed to Melbourne coronavirus spike, SBS website, 25 June 2020, https://www.sbs.com.au/news/greg-hunt-says-black-lives-matter-protests-contributed-to-melbourne-coronavirus-spike
  53. Nick Baker, Did Australia’s Black Lives Matter protests cause a spike in COVID-19 cases?, SBS website, 23 June 2020, https://www.sbs.com.au/news/did-australia-s-black-lives-matter-protests-cause-a-spike-in-covid-19-cases
  54. 9 News, Australian Army soldiers busted attending Queensland house party over Easter weekend, 9 News website, 15 April 2020, https://www.9news.com.au/national/townsvillebased-australian-army-soldiers-busted-over-easter-weekend-party-amid-covid-19-restrictions/5fb3dfcd-5baa-4196-a4ce-1788a4fe74e9
  55. Andrew Greene and Georgia Hitch, AFP recruits and staff sanctioned for breaching coronavirus social-distancing rules at college party, ABC News website, 7 May 2020, https://www.abc.net.au/news/2020-05-07/coronavirus-afp-recruits-sanctions-after-illegal-party-canberra/12223808

No Job Cuts! No Unpaid Stand Downs!

Don’t Let Rich Business Owners Make Workers Pay for the Pandemic –
Force Them to Keep Paying Wages from the Profits
They’ve Leached From Workers Over the Years!

No Job Cuts! No Unpaid Stand Downs!

3 May 2020: Australian billionaire James Packer spent much of last year cruising around in a $200 million super yacht. He is now lazing about in his $20 million holiday mansion in a U.S. resort. Packer can afford all this. This main owner of hotel and casino operator Crown Resorts has made a fortune from leaching profits out of the hard work of Crown workers. In the last five years, Crown’s owners have extracted a total profit of $4.2 billion. Yet within hours of the March 22 announcement that clubs and casinos needed to close due to COVID-19, Packer and Co. stood down without pay thousands of workers. Around 95% of the 11,500 strong Crown workforce has been cut. This is outrageous! Consider this: assuming that the average annual wage of a Crown worker is $60,000, probably an overestimate given how badly hospitality workers are paid, then Packer and the other shareholders could pay all the stood down workers their full wages for six and a half years out of the profits that they have leached from these workers’ labour in just the last five years!

Packer is hardly alone in acting this way. Right across Australia, the owners of cafes, restaurants, gyms, airlines, tourism operations and factories are throwing onto the scrap heap the very same workers who made these capitalists their fortunes. We must not stand for this! Ultra-rich business owners should not be allowed to retrench workers or stand down workers without pay. We must force them to keep on paying us in full out of the profits that they have leached from our labour over the years.

Early June 2020: James Packer aboard his $200 million superyacht. Just six weeks earlier his Crown Resorts stood down without pay over 10,000 of the very workers whose toil made this greedy, lazy billionaire his fortune. Merely selling the superyacht that he bought last year (out of the profits extracted from these workers) could alone have covered the full pay of all of Packer’s stood-down workers for nearly four months!
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It is Workers Who Are Bearing the Economic Pain of the COVID-19 Pandemic

For years, Australian governments – Liberal, ALP and ALP-Greens coalitions alike – have kept the dole at cruelly low levels. The right-wing media have “justified” this by insulting unemployed workers as lazy. However, with so many workers now thrown onto Centrelink queues it is hard to sell that lie. So, now the new line that the regime is selling us is that “everyone needs to share the economic pain” caused by the pandemic. Except it is workers who are being made to bear all that pain! Sure, there are also some small businesses that are not making a profit right now. But let’s not buy the line that those small business owners using hired labour are simply, innocent “battlers.” Many of these small business owners axing jobs now are the ones most notorious for illegally under-paying their staff and otherwise bullying their workers. And how many workers employed in small businesses see their supposed “battler” boss turn up each day in a flashy Mercedes or BMW!

Let’s remember that when any business using hired labour, big or small, winds up, the owners still have all their personal wealth that they have extracted from exploiting their workers as well as all the money that they will get from selling the equipment and other business assets that they had bought from the profits sweated out from workers’ labour over the years. Just look at how little the high-profile failure of Clive Palmer’s Queensland Nickel affected his wealth. After Palmer sacked 237 workers in early 2016, he then infamously refused to pay even the entitlements of the further 800 workers who lost their jobs when the company was liquidated shortly after. Today, despite his company’s collapse and all the pain borne by the axed Queensland Nickel workers, Palmer still manages to be Australia’s eighth richest person with nearly $10 billion in wealth!

Far from “sharing the pain”, many bosses are using the current crisis to, instead, inflict pain on their workers. Knowing that the massive job losses have left those still employed feeling insecure about their jobs and, thus, less willing to challenge bosses, business owners are ramming through attacks on working conditions. The conservative government is right behind them. Last week, industrial relations minister Christian Porter slashed the notice period that bosses have to give before making cuts to pay, penalty rates and leave entitlements to just 24 hours. Meanwhile, some corporate bigwigs are using the cover of the pandemic to push through job cuts. In March, ANZ bosses slashed 230 jobs as part of a long-plotted “cost cutting” drive.

Typical of the bosses busy retrenching workers are the ones heading major pub operator, Redcape. Redcape’s biggest stake is held by American banker, Ken Moelis, but Australian tycoon, Rhonda Wyllie, also owns a multi-millionaire dollar stake. Wyllie, whose family’s wealth is $420 million, is a politically-connected property mogul who had then foreign minister Julie Bishop at her obscenely opulent 2018 wedding. Right: Whyllie (left) and Bishop (right) at this latter event. Whyllie, Moellis and co.’s company wasted no time in responding to the pandemic restrictions by axing casual staff and standing down, without pay, most of Redcape’s permanent workers. This despite Redcape’s owners having exploited $153 million from their workers in just the last four and a half years – enough to pay the 800 cut workers in full for around five years!

Bosses Putting Workers’ Lives at Risk

Driven by this same pursuit of “cutting costs,” many business owners are putting those workers lucky enough to still have a job at risk of contracting the coronavirus. Qantas has such lax safety systems that even the limp government regulator, Safework NSW, issued the company a mandatory notice on March 2 because Qantas did not ensure that PPE (Personal Protective Equipment) was provided to Sydney ground crew performing the crucial role of cleaning aircraft of wet wipes, used tissues, used face masks and sometimes even vomit and blood. Then the Transport Workers Union exposed how after a Qantas baggage handler at Adelaide Airport was found be infected with COVID-19, Qantas bosses did little to put any protections in place. As a result within 17 days, another 17 baggage handlers, three other Qantas workers and 11 close contacts became infected.

In many cases, bosses are not only putting their workers at risk but placing those they supposedly serve in danger too. At many hospitals and private aged care facilities, bosses have failed to provide workers with adequate PPE; and at best only after the virus has already spread. At a Western Sydney Anglicare nursing home, 14 residents have tragically died from COVID-19 after a worker was infected.

The higher paid strata of administrators of government-run facilities are often little better than their private sector counterparts. In Tasmania, the virus jumped from two infected North West Regional Hospital patients onto medical workers. The lack of adequate PPE, which medical workers have angrily exposed, enabled COVID-19 to then spread like wildfire amongst staff and patients at the hospital and a neighbouring private hospital. Three days ago, the twelfth person died from this particular outbreak that has infected at least 73 health workers.

Since we can’t rely on the bosses to ensure a safe workplace, the workers movement must fight for the following:

  • Union/worker safety committees at each workplace. These will struggle to ensure that each workplace is safe and has proper pandemic deterrence procedures. If any site is found to be dangerous, workers should walk off the job until the site is made safe. Workers to be fully paid during any such walk-offs.
  • Temperature testing of all workers and others entering work sites.
  • All workers at hospitals treating potential COVID-19 patients and at all aged care homes to be supplied with full head-to-toe PPE. The provision of such space-suit style PPE to nurses, janitors and doctors in China is part of why that country was so successful in responding to the COVID-19 threat.
  • All workers to be granted unlimited paid pandemic leave for COVID-19 treatment or quarantining or for caring for ill people. Instead of bosses blaming workers for outbreaks, they should pay sick leave so that workers don’t get hit with the choice between poverty and risking spreading the disease.
  • Similarly, all casual workers must be immediately granted permanency. These workers must have all the rights of permanent workers – including sick leave and guaranteed minimum work hours.

Not Bailouts of Capitalists but Jobs For All Workers At Full Pay

All of official society, business owners, media commentators, the ALP “Opposition” and even, to a significant degree, the current leaders of our trade unions – have been cheering the government’s JobKeeper scheme that pays the owners of certain businesses $1,500 per fortnight for each worker that they keep on their payrolls. However, JobKeeper does not apply to most casual workers. Yet it is precisely such workers who have suffered the biggest job cuts since they often work in the hardest hit sectors like hospitality and retail. Also, often working in these areas are international students and visa workers. Yet the scheme will not apply to them either. These people now face destitution as they are not even eligible for the dole. Despicably, Morrison’s response to their plight is to tell these people to “make your way home”! For many this is not even possible as they not only have no money to pay for airfares but often cannot do so due to travel restrictions. The workers movement must actively demand that, to the extent that JobKeeper actually helps workers keep their jobs, it should apply to all workers. Let’s stop our wages being undercut by the forcing of destitute people into illegally-low-paid jobs in the cash economy! Let’s demand:

  • Immediate permanency, with all the rights of permanent workers, for all casual employees!
  • Full citizenship rights for everyone here including international students, refugees and visa workers!

Other than those explicitly excluded from JobKeeper, there are many others that the scheme will not save the jobs of. Since it only applies to large companies that have lost more than 50% of their revenue and smaller businesses that have lost at least 30%, workers being axed by firms experiencing lesser downturns will not be helped. Moreover, since the subsidy is barely above minimum wage, many bosses are choosing not to utilise the scheme because they simply don’t want to top up any wages out of their own pockets. Other capitalists are refusing to re-hire cut workers because they wanted to “prune” staff anyway.

There is another huge problem. JobKeeper is financed not from wealthy company owners but from the public budget. And you can bet that it is working class people who are going to be made to cover most of the resulting public debt. We face cuts to public service jobs, the further sell-off of public housing, the return of the dole back to near starvation levels, more health and education services being made user pays and further privatisation. What makes this more terrible is that some of the capitalists receiving JobKeeper subsidies did not actually have plans to cut their workforce because they needed to keep exploiting their workers to protect profits or market share. Thus, many billionaire and multi-millionaire capitalists are now going to receive huge donations from the public budget that amount to a combined multi billion dollars amount. That’s why in counter-position to JobKeeper, we need to fight for jobs for all workers through forcing the bosses to retain more workers than they want to at the expense of their own profits. That requires militant, mass struggle.

Even at this time of pandemic restrictions, strike action is still possible. Last month, MUA-organised Hutchison workers walked off the job for ten days over the company’s callous indifference to the threat of a pandemic spread at its Port Botany terminal. Moreover, social distancing measures will inevitably ease, giving us more freedom to launch the mass actions so urgently needed. We should then fight to stop wealthy business owners planning to permanently shut down operations by holding mass protest occupations of their facilities (while maintaining safe social distancing) to prevent them from selling their assets. However, given that many workers being axed are at smaller sites with less industrial power, the workers movement must also unite behind common demands for laws to ensure jobs for all workers. Let us demand:

  • A ban on all job cuts or unpaid stand downs by any firm whose total profit over the previous, say seven, years exceeds any current losses.
  • A ban on all cuts to wages and conditions from pre-pandemic levels.
  • The forcing of any company still making a profit to increase its number of full-time paid employees by at least five workers for every hundred thousand dollars of monthly profit.
  • Any business that violates these measures to be confiscated and transferred into public ownership.

Workers are NOT “All in This Together” with the Greedy, Rich Bosses

To wage the desperately needed fightback, the workers movement must change the program that currently leads our unions. Right now, pro-ALP union leaders have completely bought into the “we are all in this together” mantra. They have been cheered on in this by the corporate bigwigs, the right-wing government and media commentators. The ACTU leadership has been so compliant that industrial relations minister Christian Porter called ACTU leader Sally McManus his new BFF! Even the more militant Victorian CFMEU head, John Setka, has cheered the “unprecedented co-operation” with bosses associations saying “For once, we are all in the same boat.”

But far from being “all in the same boat”, the greedy bosses are actually throwing workers off the very boats that these workers built as soon as these boats run into rough waters. It is this same “we are all in the same boat” nonsense that saw the 1980s Accord between unions, bosses and the then ALP government. The Accord was essentially a no-strike pledge by union leaders in exchange for promises of social programs. In reality, The Accord saw the then Hawke and Keating Labor governments preside over the biggest increase in inequality in Australian history. Since then a less overt, but still underlying, “all in the same boat” ideology has seen union leaders, for the most part, shy away from organising militant industrial action – a strategy that has weakened our unions and led to the undermining of working conditions and rampant casualisation of the workforce.

Central to the “we are all in this together” ideology is the myth that workers and bosses share a common “national interest” in promoting the profits of local companies. Thus, the union leadership’s long-term “strategy” to stop job cuts has been to call to protect Australian businesses from imported goods. However, the last couple of months have exposed how utterly bankrupt this protectionist strategy is. For all the recent huge job losses have absolutely nothing to do with overseas competition hurting local businesses. The job cuts have actually been concentrated in sectors – like restaurants, shops, personal care, tourism and gyms – that simply cannot by their very nature be replaced by imports or by overseas contracting. Meanwhile, not only are travel disruptions reducing imports to Australia, those cuts to imports are causing job losses here as Australian businesses are deprived of needed supplies.

So we desperately need to exorcise our union movement of the we are all in this together or common national interest myth that currently haunts it. Our unions need to be re-oriented on a program based on a clear understanding that the interests of the capitalist business owners and those of the working class are at all times counter-posed. At times of crisis, like today, this conflict of interests actually becomes even sharper. Central to such a class struggle understanding is the truth that job losses are not ultimately caused by foreign threats to local business profits but by the greed of capitalists and the irrationality of their system. Thus the fight for jobs for all requires not helping local bosses to make more profit but actually, in a sense, the very opposite: mass struggle to force these bosses to hire more workers at the expense of their profits.

One positive development that lasted for a short period is that after years of focusing on demands to keep out guest workers, our union leaders, albeit not very energetically, did rightly call for JobKeeper to be extended to visa workers and international students. However, this emphasis did not last long at all. Today, Sally McManus and some other union leaders gave legitimacy to a newspaper opinion piece by one of their ALP parliamentary mates calling to cut migration and for local workers to get a “first go at jobs.” The divisive, nationalist article was written by senior federal shadow minister, Kristina Keneally, who sounded a good deal like a Peter Dutton, Pauline Hanson or Donald Trump. Such pitting of Australian workers against international and guest workers, far from saving the jobs of local workers, only divides workers from our true allies – the workers of the world – and, thus, makes the workers movement less able to mobilise effective action to stop job slashing attacks by capitalists. It is high time that our unions strongly reject all divisive, protectionist demands that call for putting local workers ahead of our international worker comrades whether they be calls to slash immigration, demands for more “local content”, demands for “Aussie crews on Aussie ships” or calls to keep out visa workers. Instead, our unions must demand that all those working here (including on ships servicing here), no matter what their nationality, get the highest local wages and conditions, must fight to win full citizenship rights for all visa workers and international students and must make persistent efforts to unite local and international workers against job slashing bosses everywhere in the fight for jobs for all. As the threat of job losses at British magnate Richard Branson’s Virgin shows and the fact that the most powerful Australian capitalists – like James Packer, the Murdochs and Anthony Pratt – have major operations abroad highlights, we need unity and solidarity with our worker sisters and brothers around the world today more than ever.

In waging a fight for jobs for all, the working class must unite in common struggle with all downtrodden layers especially hard hit in recent weeks. Standing by those sleeping the streets, couch-surfing or struggling to pay rent, the workers movement must demand a six-month freeze to all residential rent payments, an immediate end to all public housing sell-offs and the requisitioning of all unoccupied properties of people owning more than three homes and their immediate conversion into low-rent public housing or rent-free housing for the homeless. The workers movement must also stand by Australia’s brutally oppressed Aboriginal people who face extreme racist discrimination at the best of times but who are now, with police having greater powers arising from pandemic restrictions, copping even more racist repression. That means we must strongly stand by homeless Aboriginal people being especially bullied by police. And we must join in the recent, powerful call by the families and friends of Aboriginal victims of deaths in custody to release all of our Aboriginal sisters and brothers who are languishing – now more than ever given the dangerous and repressive covid-19 conditions – in Australia’s many brutal prisons and cruel detention centres.

Don’t Let the Capitalist Rulers Blame Others
for the Suffering and Job Cuts since the Pandemic Hit

Any fightback that the workers movement tries to wage will be undermined if the ruling class succeeds in shifting the blame for the pandemic and job losses onto others. Hard right media shock jocks and coded messages from the government have despicably sought to blame Chinese people. This has led to an explosion in the already alarming number of racist attacks against people of colour in Australia. People of Chinese appearance, including medical workers, have especially been abused and violently attacked. The working class must stamp out such attacks. Workers of Asian background make up an important component of the Australian workers movement and we need to resolutely fight against racism if we are to preserve our own unity and focus the masses on who our enemy actually is. So, while workers rights activists should respect genuine social distancing regulations, when a racist attack is threatened, we should make an exception and take mass action to defend those targeted and to painfully rebuff the perpetrators.

The main way that the capitalist rulers are trying to shift blame for the deaths and economic pain caused by the pandemic is to make ridiculous smears against the People Republic of China (PRC). The fact is that China gave Australia and the world much warning about the COVID-19 threat. Indeed, Australia did not even have a single confirmed case of COVID-19 when China took the unprecedented step of shutting down a whole city of 11 million people to contain the virus. That the virus still spread so widely here is because the Liberal government, with ALP support, in order to underhandedly promote anti-China fears within the Australian population, maintained for a long period restrictions only on travellers from China (and later from South Korea too) while not taking measures then to screen and test the large number of people returning with the virus from Europe, from cruise ships and from the U.S. Furthermore, the capitalist system, in which those who control production only have things made if they can find a way to extract a profit out of it, meant that Australian manufacturers have only in a very limited way switched over to producing pandemic response items like protective suits, medical masks, infra-red thermometers and testing kits. The resulting scarcity of these items has greatly weakened Australia’ response. In the end, these shortages have only been eased after China came to the rescue in recent days with large shipments. So the attempts by Australia’s capitalist regime to blame the PRC are total rubbish. Indeed, the Liberal government’s China-bashing call for a supposed “independent inquiry” into the earliest phase of the pandemic are much like its 2014-2015 Royal Commission into the Trade Unions, a witch-hunt aimed at smearing their target and justifying attacks against it. If we allow the capitalist ruling class to deceive the population into blaming China for their current hardships then the masses will likely stay away from any attempt to resist the capitalist class’ attacks on workers’ jobs and conditions.

There is another reason why the Australian regime and their big brother allies in Washington are so hysterically attacking China over the pandemic. The PRC’s stunning success in responding to the COVID-19 threat, versus on the other hand the seriously flawed response in Australia and the catastrophically botched one in the U.S., has shown the superiority of the PRC’s socialistic system based on public ownership and working class rule. The capitalist rulers around the world are terrified that their own masses will see this and, thus, conclude that socialism is what is needed in their own countries too. Indeed, that is precisely the conclusion that we must draw! For although working class rule in China is bureaucratically deformed and threatened by the presence of a still significant capitalist class, recent events have proven that such a socialist system, even in a flawed form, is far better able to protect the interests of the masses than the chaotic capitalist system. Thus, because the key sectors of the Chinese economy are dominated by public ownership – including banking, construction, ports, airlines, heavy industry, communication and mining – China was able to switch over its economy to building brand new emergency hospitals and pandemic response items in a flash. Moreover, the fact that the Chinese working class, in as imperfect a way as it is, have control of the PRC economy through their state means that the rise in unemployment in China since the pandemic has been relatively miniscule compared to the massive wave of joblessness that we are seeing in the U.S., Europe and Australia. So, yes, we definitely do need to fight here for a system based on public ownership and working class rule. And when business owners respond to our demands for them to retain more employees than is most profitable for them by saying that “this is not practical” then the workers movement must respond: if you capitalists cannot run the economy in a way that provides jobs for all then the economy should not be in your hands, we working class people will take it off you and put it into our own, strong and able, collective hands.

The Western capitalist rulers are right, from their point of view, to fear that the existence of socialistic rule in the world’s most populous country is an existential threat, if only by example, to capitalist rule in their own countries. That is precisely why it is in the interests of working class people and all the oppressed here to stand by socialistic rule in China. For the existence of Red China strengthens our own struggle against capitalist exploitation. So let us oppose the Australian regime’s participation in the provocative U.S.-led naval forays through distant Chinese waters and let us oppose its fulsome political support to counterrevolutionary forces within China – like the yuppy, rich people’s opposition in Hong Kong.

May 1, U.S.A.: Workers at Amazon, Target and other retail giants stage protests and walkouts over poor pay and the companies’ failure to provide workers with adequate protective gear during the pandemic. Militant class struggle is needed here in Australia to both demand a safe working environment and to fight for jobs for all by forcing companies to retain more workers at the expense of their profits.

The Capitalists Have Waged Class War on Workers for Decades –
It’s Time to Wage Class War on Them!

For the last several years, most workers have barely received a pay rise even while rents have been rising significantly, electricity costs are climbing steeply and out of pocket medical costs are increasing. In the meantime, company profits have skyrocketed. As a result, the wealth of Australia’s richest 200 people went from $197 billion in 2016 to $342 billion in 2019 – a staggering 74% increase in just three years! But now that some of them have run into choppy waters they are dumping overboard the very workers who produced their spectacular wealth. And then they tell us that “we are all in the same boat together.” How dare they! Workers who have just been axed by their bosses must feel nauseous when they encounter such rubbish as they queue up for hours before opening time outside Centrelink offices while wealthy business owners drive past in their flashy prestige cars.

So let’s completely reject the lie that we are being sold by the big end of town, with the complicity of the current ALP leaders of the workers movement, that “we are all in this together.” Let’s never lose sight of the fact that while it is the pandemic that necessitates social distancing restrictions it is a choice of business owners to lay off or stand down workers without pay rather than pay their workers out of the profits that they have sweated out of these self same workers over many years. Let’s build mass working class struggle against the bosses to force them to re-hire retrenched or stood down without pay workers as well as all longer-term unemployed workers. And if James Packer complains that he can’t afford this, we should demand that he sell the new super yacht that he bought eleven months ago. That alone would give him enough money to fully pay all his stood-down Crown workers for nearly four months. Let’s win jobs for all through waging class war on the very exploiting class that has been waging a one-sided class war on us for the last three and a half decades!

The Connection between Political Donations and the Sell-Off of Public Housing in Inner City Sydney

Stop the Sell-Off of Public Housing – Massively Increase It Instead!

The Connection between Political Donations and the Sell-Off of Public Housing in Inner City Sydney

1 May 2019 – A look at the registry of political donations to the NSW Liberal Party shows that the governing party in NSW accepted donations from real estate companies just when government decisions related to these companies’ participation in the government’s sell-off of public housing in inner city Sydney were being made. In each case the rich businesses making the donations ended up getting favourable government decisions. Those decisions have resulted in their wealthy owners making or standing to make mega bucks. This information provides hard data that helps confirm what people seriously looking at the public housing sell-off already know: that the NSW government’s sell off of public housing in the Millers Point, Rocks and Dawes Point area was not motivated by any concern for the interests of the working class majority of NSW but instead was driven by the wish to satisfy the interests of rich business owners.

It is now over five years since the NSW state government announced that it was selling off nearly 300 public housing dwellings in the Millers Point, Rocks and Dawes Point area. Sadly they have already completed their sell-offs of public housing in Millers Point – except for 24 properties that they reluctantly agreed to maintain as public housing in a minor concession to the demands of the tenants movement. They are yet to sell-off the Sirius Building which formerly had 79 public housing units there. However, the government has already driven off all the former public housing tenants from that building – many of whom were elderly women. The real estate agents that the Coalition government have contracted to sell-off Sirius is Savills (NSW) Pty Ltd. On 7 December 2017, the NSW government and Savills first publicly announced that Savills had been awarded the contract to sell Sirius and opened registrations of interest for the building to developers and investors [1]. A filed Major Political Donor form shows that just over nine months earlier, on 27 February 2017 – that is, right in the period when one would expect the government to have been considering which real estate company should be given the contract to sell Sirius – Savills donated nearly $4,000 to the NSW Division of the Liberal Party [2].  The $3,960 donation was made at an “Alan Jones Luncheon” – yikes!

Savills and the NSW Liberal government would, no doubt, have liked to be able to respond that Savills are a regular donor and the timing of that nearly $4,000 donation is just pure coincidence. Except that Savills are not a regular donor to the NSW Liberal Party! Not at all! A search done on the NSW Electoral Commission registry of political donations [3] shows that in the almost ten year period from August 2008 – when political donations were first recorded in detail – until the end of June 2018 (i.e. the end of the last reporting period before this article was written), Savills never made any other donation to the NSW Liberal Party at all. In other words, over at least a ten year period, Savills never donated a solitary cent to the NSW Liberal Party, except around the time when the Liberal government was considering whether to grant them the lucrative contract to sell Sirius. That makes that nearly $4,000 donation highly questionable!

However, if the above referred donation did indeed facilitate Savills winning the contract to sell Sirius, it was a “good” “investment” from the greedy point of view of capitalist bosses. After all, with average commissions in Sydney at around roughly 2.2% and an expected sale price for the building of around $150 million, Savills would stand to make about $3.3 million from the sale. So, if a $3,960 donation helps to make $3.3 million in revenue … that’s some hefty rate of return! There is, additionally, an interesting side point to this donation concerning a possible attempt to conceal the timing of the donation – see Note [4] at the end of this article for a discussion of this possible issue.

Savills bosses are not the only people that stand to profit from the sell-off of public housing in the Millers Point and Rocks area and who made donations to the NSW Liberal Party. While Savills have the contract to sell the Sirius building, more than 85% of the $608 million worth of public housing in Millers Point was sold off by McGrath Real Estate [5]. And just like Savills, McGrath Real Estate also made big donations to the NSW Liberal Party just around the time when they were awarded lucrative contracts to auction the public housing units that the state government was putting up for sale. In particular, within the space of 10 days between 26 January 2015 and 6 February 2015, McGrath Real Estate entities made two separate donations to the NSW Liberal Party totalling $2,210 [6]. These donations were just around the time when the auction of public housing dwellings in Millers Point was being ramped up and the government was about to determine which estate agents received the bountiful contracts for further auctions (see for example [7]). Telling, too, are the results of a search done on the Electoral Commission registry for any McGrath Real Estate donations to the Liberal Party in the almost ten year period up until the June 2018 end of the latest reported disclosure period. This search revealed that McGrath entities made no other donations whatsoever to the NSW Liberal Party during those ten years. In other words, just as with Savills, the NSW Liberal Party only received donations from McGrath Real Estate around the time when they awarded the latter lucrative government contracts to be agents for the sell-off of inner city public housing. And again, this fact only makes the receipt of those particular donations even more questionable. Of course, from the point of view of the profit-hungry McGrath Real Estate bosses, donating to the governing party would make sense if that would help “facilitate” the winning of contracts to sell off the public housing. Assuming a typical commission rate of 2.2%, the contracts they were awarded to auction off Millers Point public housing would have netted them over $11 million in revenue.

Public Housing Sell-Off: A Boon for Real Estate Bosses, Developers and Speculators,
A Disaster for Working Class People

It is not only real estate agent bosses that have profited handsomely from the sell-off of public housing in the Millers Point and Rocks areas of Sydney. The main direct beneficiaries of this anti-working class privatisation were the wealthy investors and speculators who bought up the sold off properties. One of these is Shane Moran, the owner of ultra-high-end aged care operator, Provectus Care. Shane Moran is one of the heirs to the Moran family fortune and lives in a 60-room mansion in Darling Point called Swifts which is valued at between $50 million to $100 million! In late February 2016, Moran bought one of the largest sold off public properties in Millers Point, Darling House, for $7.7 million. Darling House had been a retirement home for low income elderly people. However, soon after the government announced its intention to sell-off all public housing in Millers Point, it scrapped a 20 year agreement that enabled the community-run facility to have lower rents, forcing the facility to close. After buying the property, Shane Moran made no secret of his intention to turn the building into a high-end aged care facility for the rich [8]. A similar facility he runs at Rose Bay charges an upfront fee of more than $2 million for each resident and then a “service fee” of $104 per day! So what happened to Darling House actually typifies exactly what the sell-off of public housing in Millers Point is all about. Here, a community-run aged care home for low income people was closed and has been replaced by an aged care facility affordable only to the very wealthy and where its filthy rich owner will stand to make huge profits (by the way, there are questions to be asked about donations to the NSW Liberal Party made by an elder brother and possibly other relatives of Shane Moran – and possibly, again, by Shane Moran himself – in the five month period after he first publicly announced in September 2016 that he was applying for planning approval to turn Darling House into a high-end aged care facility – see [9]).

Left: Filthy rich businessman Shane Moran outside the 60-room mansion in Darling Point where he lives, which is valued at between $50 million to $100 million! Moran is set to get even richer after, as part of the public housing sell-off in inner city Sydney, he bought up a community-run aged care facility for low-income elderly people in order to convert it into a boutique facility for the very wealthy. Right: One of the growing number of elderly people forced to sleep rough in the streets of Sydney. Photo credit (photo on Left): Richard Dobson
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The sell-off of public housing in inner city Sydney has been bad news for working class people full stop. Firstly, the forced relocation out of the area of the former public housing tenants has dispersed and destroyed a once close-knit and vibrant community.  Many of the former tenants became despondent and some have died prematurely and even committed suicide (for a detailed scientific study of the effects of the sell-off on the former tenants refer to the recently published book by Professor at the UTS Institute for Public Policy and Governance, Alan Morris [10]).

Secondly, contrary to the NSW government’s devious claim that the inner city public housing sell-off was aimed at raising funds for the construction of more public housing elsewhere, the truth is that the sell-off of public housing in Millers Points and the Rocks was actually simply part of a broader government agenda to slash the amount of public housing throughout the state. This is proven by official government figures (see Note [11]). They show that in the three year, 2014-2017 period [12] from when the removal of public housing tenants from Millers Point and the Rocks commenced to when the forced relocation of tenants from the area was basically completed, the number of public housing dwellings in NSW was cut by 584 dwellings! In other words, in addition to the 189 properties that were eventually sold off in Millers Point, a net further 395 public housing dwellings were sold off elsewhere in the state in just that three year period! So much for the government’s claim that for every public housing dwelling sold off in the inner city, it would finance the construction of four to five new public housing dwellings elsewhere! Indeed, as well as in Millers Point and the Rocks, the right-wing NSW state government has been privatising public housing in Parramatta, Hurstville, Greenacre, Panania, Campsie, Fairfield, Wentworthville, Lalor Park and Canley Vale.

The effect of this gouging of public housing is even worse when one takes population increase into account. In that case we see that relative to the population size, the NSW Liberal government has slashed the number of public housing places by an equivalent of 5,164 properties in just three years! This is despite the truth that higher immigration actually makes it easier for the government to not only increase the amount of public housing available but makes it easier for them to actually increase the proportion of public housing. This is because not only do immigrants, by paying taxes, increase the public funds available to finance public housing construction and increase the labour resources available to build public housing but by increasing population numbers they allow economies of scale to kick in and, thereby, make housing construction more efficient. The plummeting in the proportion of people with public housing has absolutely nothing to do with immigration but is, rather, a political decision by a wealthy ruling class that is driven by a desire to further increase its own fortunes at the expense of working class people.

With less and less low-rent housing available, no wonder more and more people are being forced to sleep out on the streets of Sydney. Among those finding it hardest to afford rents are low-income, single parent families with young children. Driven into poverty by the combined measures of the Howard Liberal and the Rudd-Gillard-Rudd Labor governments that threw low-income sole parents off the Parenting Payment and into the much lower paying Newstart Allowance and with childcare unaffordable, many of these parents are forced to seek work in insecure jobs in the gig economy or as casuals in order to have the flexible work hours needed to look after their children. This means that the number of work hours they get fluctuates from week to week and they are often not able to generate enough income to both pay rent and to properly feed and clothe themselves and their children. And the fact that wages are not keeping up with prices makes the housing situation of low income workers even more precarious. Meanwhile, one of the combined effects of the gutting of the sole parenting payment and the slashing of public housing is to increase domestic violence against women. For these measures mean that low-income women relying financially on a male partner who is abusive are confronted with the unbearable choice of either going out on their own and living an impoverished life without a guaranteed roof over their heads and those of their children or staying with their partner and trying to endure the attacks.

The drastic slashing in the proportion of public housing available, in the end, hurts all those renting in the lower and even middle range of the rental market. For with so little low-rent public housing available, landlords are able to jack up rents knowing that lower income people have nowhere else to go. Anglicare Australia’s annual Rental Affordability Snapshot released a few days ago showed that in a survey of 69,485 properties listed for rent across Australia, there was not one single available property that would be affordable to rent for a single person on Newstart or Youth Allowance in any major city or regional centre [13]! The survey also found that only 2 per cent of rentals Australia-wide were affordable for a single person on the minimum wage working full time. Rental accommodation is extremely unaffordable for low wage workers even if they live in working class neighbourhoods half an hour to 45 minutes by train from Sydney city. One such region is the Cumberland local government area which includes suburbs like Auburn, Berala, Guildford and Greystanes and parts of Granville, Merrylands and Fairfield. There, even according to the government’s own figures, the median rent for a one bedroom apartment was $345 per week in the December 2018 quarter [14]. This compares with an, after tax, minimum wage for those lucky enough to have a full-time job of $642 per week. In other words, one of the hundreds of thousands of workers on the minimum wage, but lucky enough to have a full-time job, who rents a one bedroom unit in a relatively cheap suburb some half to three quarters of an hour by train from Sydney city, has to pay much more than half their income on rent! Yet such a worker does not even qualify to get on the NSW social housing waiting list! The maximum income a single person can earn before being deemed too “well off” to qualify for social housing in NSW is currently only $625 per week [15]. The reality is that there is such a dearth of public housing that the government has made the eligibility criteria to even get on the social housing waiting list incredibly tough. Of course, if such a low paid worker does not have a full-time job they could get on the social housing waiting list. Yet they will then be totally stuffed as they end up having to pay around three quarters of their income on rent while they wait the average ten years or so to finally get into social housing! 

Mobilise the Working Class Movement and All the Poor to Fight for Public Housing

Governments of all stripes in Australia have been selling off public housing for several related reasons. For one they want to help their rich developer, speculator and real estate boss mates. Secondly, they want to spend less and less of the public budget on the services that working class people need the most – like public housing, public health care, TAFE and public schools. These ruling class politicians would rather save the money to finance tax cuts for the very rich or spend the money on corporate welfare – like when the NSW Liberal state government granted $60 million to the job-slashing Bluescope Steel owners. Thirdly, the slashing of public housing is part of a push by the capitalist rulers to make life more and more miserable for unemployed and underemployed workers. They do this by not only reducing access to public housing but also by keeping the Newstart Allowance at cruelly low levels, introducing punitive schemes forcing unemployed people to do unpaid work and rolling out “income management” schemes that prevent unemployed people from determining how they will spend the meagre payments that they receive. The aims of all these draconian measures are two-fold. For one, by making life so hard for job seekers, they force the latter to accept jobs that have terrible working conditions and very low – often illegally low – wages. Additionally, by making the prospect of life after losing one’s job so unbearably miserable, the ruling class hope that they can intimidate workers – fearful of being sacked by the boss or being identified as one of the staunch unionists who will always be top of the bosses’ list to be axed in the event of retrenchments – from participating in the union fight for rights at work. That is why government attacks on public housing – like other measures which target the poor and unemployed – are very much assaults on our trade unions. And that is why the union movement must take up the struggle for public housing as a key part of the struggle to defend workers rights.

Current and former Millers Point public housing tenants and the many trade unionists and other supporters of public housing that stood by them did wage a determined struggle against the sell-off of public housing in the area. Their efforts did much to boost the broader on the streets movement in defence of public housing that had begun several years earlier when activists demanding a massive increase in public housing held a November 2009 protest rally outside the Sydney office of the then federal housing minister (in the then Rudd ALP government), Tanya Plibersek. From 2014 onwards, those supporting the Millers Point public housing struggle and those involved in already established campaigns for public housing based in the Illawara, Auburn and elsewhere started attending each other’s protest actions. And although the campaign did not end up being powerful enough to prevent the destruction of public housing in Millers Point it did invigorate budding pro-public housing campaigns elsewhere like the movement to stop the slashing of public housing in Waterloo.

11 October 2014: Public housing tenants from Millers Point join with activists organising campaigns to oppose the privatisation of public housing in the Illawarra and in Western Sydney (including Trotskyist Platform supporters) at a protest against the auction of a public housing home in Bulli near Wollongong. Photo credit: Adam McLean

With the situation increasingly desperate and with submissions to government bodies and other forms of “official” protest being ignored, the campaign turned militant in 2017. First, in May 2017, dozens of trade unionists, public housing tenants and other supporters of public housing blockaded 32 High Street in Millers Point to try and prevent the sheriff from evicting the then public housing tenant living there, staunch public housing activist, Peter Muller. The movement was able to hold the sheriff at bay for the first day but before dawn the next morning the sheriffs and police raided the home to enforce the eviction. Then on 6 August 2017, scores of trade unionists, current and former public housing tenants and other supporters of public housing carried out a powerful occupation of vacant public housing dwellings at 78 to 80 High St, Millers Point. Activists adorned the occupied homes with banners emphasising the struggle against the sell-off of public housing as well as with the flags of the unions supporting the Millers Point tenants’ struggle – the MUA and the CFMEU. Those houses had been slated for sell-off to wealthy speculators, landlords and capitalist developers after the government had driven off the public housing tenants who once lived there. The occupation demanded that the occupied houses and all unoccupied public housing dwellings in the area be given to the homeless or to those on public housing waiting lists. Later in the evening of the August 6 occupation, after numbers had dwindled somewhat five hours into the action, a heavy contingent of riot cops raided the occupation site. They also arrested four activists participating in the struggle.

Although heavy-handed state repression crushed this protest occupation and the earlier anti-eviction struggle at 32 High Street, both these actions – and the 6 August 2017 protest occupation in particular – really did scare the government. And although they are never going to admit it, these struggles almost certainly did compel the government to somewhat slow down their plans to slash public housing throughout the state compared to what they had been previously planning. We need more staunch struggles to stop the sell-off of public housing. We need new and more powerful versions of the May 2017 anti-eviction blockade and the August 2017 protest occupation.  We must locate the fight against the privatisation of public housing as part of the wider struggle against the ruling class’ attacks on all public services and a struggle against their attacks on our trade unions.

6 August 2017, Millers Point, Sydney: Houses in High St occupied by trade unionists, current and former public housing tenants and other supporters of public housing. The powerful action demanded that these vacant public housing dwellings be made available to those on the public housing waiting list or the homeless. We need more and more powerful actions like this to reverse the sell-off of public housing and smash all the attacks on services that working class people need the most.

We need to not only put a stop to the sell-off of public housing but need to fight for a massive increase in the amount of public housing. There is a huge shortfall in the amount of public housing places. In the ten year period from 2007 to 2017, the former NSW ALP government and the current conservative NSW government slashed the amount of public housing in the state by 10% even as the population grew [16].  There are well over fifty thousand households on the official waiting list for public housing in NSW. There are even more who are eligible for public housing but have not gotten on the list because the wait times are so ridiculous. Meanwhile, there are literally hundreds of thousands of other households who need low-rent public housing but can’t even get on the waiting list because the entry criteria to the waiting list is so strict.

What’s Most Harmful about these Political Donations?

We should not let anyone downplay the seriousness of the issue of the governing party in NSW accepting donations from real estate companies just when this government is making decisions related to these companies’ participation in the sell-off of public housing. From the standpoint of the interests of working class people, the most harmful thing about these donations is that they acted to place pressure upon the government to maintain its course to sell off the public housing. Put another way, accepting donations from those who had very direct vested interests in seeing the public housing privatisations go through made the Liberal Party less willing to back down and offer concessions in the face of the determined movement opposing the sell-off.

Secondly, the dodgy donations add to the stench of corruption that has surrounded NSW and its mainstream politicians. Let’s not forget that several ministers in this NSW Liberal government have already been forced to resign because of corruption-related actions, like improper receipt of “gifts” – not the least being former premier, Barry O’Farrell. And we all know about the corrupt activities of several influential members of the former ALP state government. Meanwhile, it is precisely in the property sector where corruption is most rife. The industry at its top is ridden with not only dubious links to politicians but is plagued with violent rivalries and connections to organised crime.

Thirdly, and most obviously, the donations were meant to influence government decisions on which real estate firms would be granted the lucrative contracts to auction/sell off the public housing properties. Notwithstanding that the entire sell-off was terribly harmful to the former tenants and to all working class people, the fact is that any improperly influenced government decision on who should conduct the property sales could mean a big loss to what is supposedly “public funds.” Say, for example that these donations to the Liberal Party enticed the government to accept a bid to conduct the sales from real estate companies that charged, say, a 0.3% higher commission than a rival bid that the government may have gone with. Given that the total sell-off is going to amount to around $750 million then that would mean that over $22 million ends up being lost from public funds; or, rather, transferred from the public budget to the bank accounts (and eventually the glitzy prestige cars and swank holiday mansions) of high-flying real estate bosses. With that $22 million how many badly needed extra public hospital beds could be provided? Or how many extra public housing dwellings could be made available?

This then leads to a still more crucial question? That is, aside from the fact that the entire sell-off was unjust and the donations by the real estate companies arranging the sales highly questionable, why should private businesses have been engaged in the sell-off at all? More fundamentally, why are private business owners allowed to profit from the government provision – and in this case sell-off – of public housing? The answer is that there is such a tiny public sector in this country – and much of the little that once did exist has been privatised by Liberal and ALP governments alike over the last three and a half decades – that there are few publicly owned operations set up to perform the required tasks. That is why from most levels of the construction work, to the provision of maintenance and repair of public housing, to, in this case, the sell-off of public housing, private businesses are getting contracts for work related to public housing. That means that public funds are flowing into the pockets of big corporate shareholders and other wealthy business owners. Herein is a key reason why the provision of public housing is so inadequate in Australia. In addition to anti-working class governments being unwilling to provide sufficient funds for public housing, the funds that are actually dispensed produce an inadequate number of dwellings because so much of the money ends up being skimmed off by private business contractors at every level.

For an Economy Based on Public Ownership
of All Key Industries, Finance and Infrastructure

To highlight the problem here of so much of the funds allocated for public housing being siphoned off to wealthy private businesses, it is worth contrasting this reality in capitalist Australia with a socio-economic system based on public ownership and seeing how the latter delivers public housing. Such a system exists in the world’s most populous country – and Australia’s largest trading partner – the Peoples Republic of China (PRC). Although pro-market reforms over the last 40 years have created a sizable private sector in China as well as a class of capitalist exploiters, the public sector still plays the dominant role in the PRC. Some 90% of the PRC’s biggest 100 companies are stated owned, including all her biggest banks, her main oil/gas companies, biggest construction companies, ports, shipping, power producers, main airlines, biggest steel producers etc (and even many of her biggest real estate firms). As a result, every stage of public housing provision in China – from the banks providing finance if needed, to the construction companies building the housing to the steel, cement and plate glass manufacturers providing building supplies – is dominated by publicly owned enterprises. This means that, unlike in Australia, little of the public funds allocated for public housing ends up in the bank accounts of wealthy private business owners. Even if one of the state-owned banks providing credit for public housing construction were to charge too high an interest rate or a state-owned building materials supplier were to set too high prices, all this ends up as higher profits for state-owned firms and these profits then get recycled back into the public budget … to be available for more public housing construction. This is why the PRC has been so spectacularly able to increase the amount of public housing in the country over the last decade or so. From 2008 to 2017, the PRC provided 64 million additional public housing dwellings in urban areas! As a result, while the proportion of people with access to public housing in Australia’s urban areas has fallen to just one in every thirty households, in the PRC’s urban areas around one in four people now are living in one of its various forms of public housing.

Of course, since a system based on public ownership of key sectors of the economy – that is a socialist system – favours working class people, the capitalist rulers are not going to allow such a system to arise without putting up tenacious resistance. Indeed, such a socio-economic system can only be secured if the working class sweep away the capitalists from power and erect their own workers state. In China, the toiling classes had to make a massive revolution in 1949 to enable her to build a system in which public ownership plays the backbone role. Not only does this socialistic system mean that funds allocated for public housing are actually used for this purpose rather than partially for enriching private capitalists, the fact that working class people – in a tenuous and fragile way to be sure – have control over the PRC state means that there is actually a political will to provide public housing in China. The main slogan of the PRC’s housing policy is: “Houses are for living in and not for speculation.” As a result, while public housing continues to be sold off here in Australia, in the PRC the campaign to provide public housing continues to surge forward. Last year, China’s southern metropolis of Shenzhen decreed that from then onwards at least 60% of all new housing in the city must be public housing [17]. The PRC authorities went further when setting the housing policy for the Xiongan New Area – the new city of 5 million people being built 100 km from Beijing. There the PRC has decreed that every single house in what they have deemed to be a model city for the future must be public housing [18].

Another reason why the PRC’s socialistic state has been able to successfully undertake its drive to increase public housing is because it and the PRC public sector enterprises’ Communist Party of China committees – that have decisive oversight power over such companies – compel the leaders of state-owned enterprises to meet such social goals. In other words, the bonuses and future promotion opportunities of the directors and CEOs of China’s public sector enterprises depend on how well they have met declared socially important targets – like increasing the amount of public housing and like the main goal that has been dominating PRC political life over the last few years, the drive to ensure that no person in that country is living in extreme poverty by 2020. As a result, while the bosses of Australian banks will use any means necessary to satisfy their big shareholders’ demands for ever high profits, in the PRC the banks are falling over themselves to lend to public housing projects. Figures show that in China’s capital city, Beijing, in the first half of last year, two out of every three yuan of bank loans for real estate went into public housing development [19]. The same imperatives are also pushing the PRC’s big state-owned developers. Thus, for example, Beijing Investment Group, the state-owned builder and operator of Beijing’s Olympic village for the 2022 Winter Olympics has declared that the entire village will be turned into public rental housing at the completion of the 2022 Winter Olympics [20]. All this is why the struggle for public housing in Australia is intertwined with the broader fight here for a system based on public ownership under workers’ rule.

The design for the Olympic village for the 2022 Winter Olympics in Beijing. The village is being built and operated by Beijing Investment Group – one of China’s big publicly-owned developers. The socialistic, stateowned enterprise has announced that after the completion of the Olympics the entire village will become public rental housing.

What the Donations Made to the NSW Liberal Party
Say about “Democracy” in Capitalist Australia

The fact that the NSW Liberal Party only received donations from the two real estate companies around the time when they awarded these companies lucrative government contracts and never received donations from them at any other time over at least the last ten years highlights the reality of who is really running this country: it is not actually the politicians themselves but the rich business owners. When you see who are the biggest political donors to the major political parties you see how much influence these capitalist business owners have. Among the biggest donations to the Australian Liberal Party for 2017-2018 (the last year that donations have been publicised) [22] include $250,000 from the ANZ Bank, $110,000 from oil and gas giant Woodside and $150,000 from the trust account of Australia’s richest family, the Pratt family, owners of Visy cardboard. During the same period, the ANZ Bank and Woodside also made donations of identical size to the ALP and Macquarie Telecom donated over $105,000 to the ALP [23].

It is not only through donations to political parties that rich capitalists control the direction of Australia. They also use direct political advertising to push their agenda when they need to. Most infamously, in 2010 mining billionaires Gina Rinehart and Andrew Forrest as well as other wealthy corporate bosses ran a massive advertising campaign on commercial TV and major newspapers that successfully gutted a proposed tax on mining super-profits and helped bring down the then prime minister who promoted the tax, Kevin Rudd. More subtly but just as insidiously, capitalist tycoons donate a fraction of the massive profits that they exploit out of workers’ labour to various arts, entertainment and sporting causes to ensure that popular culture is in accord with their interests and to curry favour with the public.

Notoriously, corporations also hire expensive lobbyists to influence political decision making. They especially seek out former politicians to ensure that their lobbyists have close contacts with the political administrators of the state. Moreover, because the corporate elite control the economy they are able to ensure that politicians eager for lucrative post-politics jobs in the corporate world dutifully serve the corporate bigwigs whilst they are still in parliament. All these different means of control and manipulation of politics was used, for example, by billionaire James Packer’s Crown Corporation to ensure that laws and regulations that could have curbed its plan to build an exclusive hotel/casino resort at Sydney’s Barangaroo melted away [24]. Amongst the board of directors of Crown at the time was former Minister of Communications in the Howard government, Helen Coonan. Packer also employed former ALP heavies Mark Arbib and Karl Bitar as lobbyists for his casino project. Meanwhile on 12 November 2013, the very eve of the day that the NSW parliament rammed through special amendments to the Casino Control Act specifically to support Crown’s Barangaroo project, Packer ostentatiously announced a $60 million donation to various Sydney arts, theatre, opera and orchestra institutions by both his Crown Group and himself personally. All this has much relevance to the sell-off of public housing in the Millers Point area. As was strongly implied by a statement in October 2012 by the then NSW Finance Minister himself, part of what was driving the government’s (then proposed) sell-off was the need to not have working class people in the area “in the context” of ensuring that the wealthy clientele who will frequent the resort that Packer expects to make billions from do not have a “bad view” [25].

Then there is of course the reality that, from Rupert Murdoch to billionaire Channel Seven owner Kerry Stokes, the media is owned and thus controlled by capitalist moguls. Thus, media reporting is heavily biased towards the interests of the big end of town. Any political party that stands uncompromisingly for the interests of working class people would face massive attacks from the mainstream media not to mention from direct advertising from big business and from the numerous cultural organisations and NGOs directly and indirectly financed by the capitalists. That is why the mythical “one person one vote” that supposedly exists in Australia is in reality more like “one million dollars, one million votes”! And it is not that “democracy in Australia has flaws” or even that “it is broken.” Thus far real “democracy” has never existed in the post-1788 history of this country. Ever since Aboriginal people were murderously dispossessed by the new colonial ruling class, the system the latter established was never meant to give everyone an equal say: the figment of “democracy” was always only ever intended to enable the wealthy rural and urban business owners to hold real power while tricking the masses into believing that they are really in control.

Even if a party that genuinely stood for the interests of working class people were able to overcome all the bias and disadvantage it would face and get elected to office, that in itself would not bring about decisive change. This is because the state machinery and its personnel that such a government would then formally administer are itself tied by a thousand threads to the big end of town capitalists. We have seen this throughout the sell-off of public housing in inner city Sydney itself. Bureaucrats from Family and Community Services showed a high-handed attitude to the tenants that they were putting pressure on to relocate. The judges in the rental tribunals hearing cases of tenants objecting to the particular places they were being pushed to move into were unsympathetic. Meanwhile, when police raided the 6 August 2017 protest occupation in Millers Point they were not only “following orders” but seemed to enjoy repressing the pro-working class, pro-public housing action. The police inspector in charge threatened violence against protesters shortly before the raid:

“… if these police have to go in, it’s a contact sport. They will be looking to protect themselves and if someone is injured as a result of them ensuring their safety – unfortunately it does happen.”

When police then forcibly dragged the evicted public housing tenant, Peter Muller, from the front of the occupied building, they used unnecessary force and caused permanent injury to his left wrist which now hampers his work as an electrician. Furthermore, after seizing another activist that they arrested (who happens to be a Trotskyist Platform supporter) and dragging him around the corner away from the view of other protesters (other than for a previous arrestee who witnessed the events from inside the back of a police paddy wagon), policed proceeded to bend his wrist back painfully for extended periods, on at least two occasions, even though he was offering zero resistance at the time. Indeed this violent police operation had such little legal basis that these two activists after pleading Not Guilty to charges had their charges quashed by a magistrate after she found that the entire police raid was unlawful.

The fact is that the enforcement personnel of Australian state institutions have been recruited, trained, nurtured and shaped to serve the interests of the wealthy big property owning class over those of the working class masses. That is why any elected political party that in any meaningful way intends to serve working class interests would immediately face sabotage and non-compliance from the state organs that it has been elected to nominally head. Such a party would then face two options: to either back down on its agenda (which is what usually happens) or to try and continue in which case it would be overthrown by the state organs in a coup as happened to the elected leftist government of Salvador Allende in Chile in 1973. That is why the road to winning improvements in the lives of working class people lies not through changes enacted by Australia’s “democratic institutions” but through mass struggle – union strikes, picket lines, street marches, blockades, protest occupations – the methods that have won us the gains that we have won here in the past. We, of course, do need a political party of the working class. But not one that, like the ALP, seeks to administer the “democratic system” but rather one that seeks to mobilise the masses in grass-roots struggle independently of all the capitalists and their state institutions with the aim of winning concessions from the capitalist enemy today and seizing state power tomorrow.

Working Class People Need a Party That No Capitalist Would Want to Donate to

Although the ALP, just like the Liberals, receives donations from corporations and their capitalist owners, the ALP is not identical to the Coalition parties. The ALP also receives big donations from our trade unions – that is, from working class organisations representing millions of workers. And while the membership of the Liberal Party is dominated by small and big-time capitalist exploiters of labour as well as yuppy wanna-be capitalist business owners, the ALP’s rank and file are largely working class people. The problem, however, is that the ALP’s program to “serve” its working class base is to try and make only small reforms that will not overly upset the capitalists. Although the ALP is prepared to irritate some big end of town high fliers, they still crave the latter’s overall acceptance. Intimidated by and refusing to challenge the capitalist power that thoroughly dominates Australian society, the ALP is determined to ensure that they do not face excessive opposition from the big end of town so that they will be able to administer the capitalist state in an orderly fashion when in government. We see this in the lead up to the upcoming federal elections. The ALP has promised some small worthwhile measures to improve dental care for pensioners financed in part by cracking down somewhat on negative gearing tax concessions for wealthy property speculators. But they refuse to support any increase whatsoever in public housing. Instead, they have an “affordable housing for renters” platform that will only provide a drop in the ocean of the amount of lower rent accommodation that is needed, will only guarantee a rent level that is just 20% below the exorbitant market rents and which is centred on a Liberal Party-like plan to give subsidies to private housing operators [26]. Indeed, this shabby “affordable housing” program is very similar to that of the NSW Liberal Berejiklian government!

Since it has no program to challenge capitalist power, large sections of the corporate elite including the banks, telecommunications firms and resource companies continue to accept the ALP (even as some hard right-wing sections of the ruling class like the Murdoch family are at the moment against Labor) to the point that they even make large donations to the ALP. Such a party should not be supported by working class people in any way. We need, instead, a workers party that will not limit its program to what is tolerated by the capitalists. Such a party not only fights today for a massive increase in public housing and for forcing bosses to, at the expense of their profits, increase their hiring of permanent workers but has a vision for a future socialist society that will guarantee not only secure jobs for all but will ensure that all the basic services that working class people need the most – public housing, aged care, 24 hour child care, public health and dental care, public schools, TAFE and universities and public transport – are available to all for free. Such a party seeks not to win the acceptance of the capitalists but, instead, seeks to mobilise the working class masses in struggle against the exploiting class with a view to preparing a fight to challenge capitalist power. Such a party would not only refuse to accept donations from corporate bigwigs, it would also be a party that no capitalist exploiter in their right mind would want to donate to.

Notes:

[1] Savills website, Start of a New Era for Sydney’s Iconic Sirius Building, 7 December 2017, https://www.savills.com.au/_news/article/109969/157512-0/12/2017/start-of-a-new-era-for-sydney-s-iconic-sirius-building (retrieved 25 April 2019)

[2] Electoral Commission NSW website, Disclosure Details for Donor SAVILLS (NSW) PTY LTD, Disclosure period 1/07/2016 – 30/06/2017, http://searchdecs.elections.nsw.gov.au/Details.aspx?EFID=a0S6F00000mIUUsUAO&ID1=0016F000028XgSbQAK&RPID=2017H1 (retrieved 25 April 2019)

[3] Electoral Commission NSW, DISCLOSURES LODGED, Search for disclosure information, http://searchdecs.elections.nsw.gov.au/search.aspx (retrieved 25 April 2019)

[4] Although the Major Political Donor form filed by Savills lists the donation as being made on 27 February 2018 (see: http://searchdecs.elections.nsw.gov.au/Documents/FD2018-158.pdf), the donation is listed in the earlier 1/07/2016 to 30/06/2017 disclosure period (http://searchdecs.elections.nsw.gov.au/Details.aspx?EFID=a0S6F00000mIUUsUAO&ID1=0016F000028XgSbQAK&RPID=2017H1). That 1/07/2016 to 30/06/2017 disclosure shows that the Savills donation was actually made in February 2017 and not February 2018. This seems correct as the declaration was made on 21 September 2017, i.e. well before the February 2018 date that the Savills major political donor form lists the donation as being made. Moreover, the Receipt Number of the donation tallies with a donation made in February 2017 and not February 2018. So an “error” has been made by either a Savills officer or a Liberal Party official by detailing in the Major Political Donor form the donation as being made a year later than it actually was. In of itself this is not a huge deal. From the aspect of our key point that Savills made a big donation to the NSW Liberal Party around the time period when the latter party in government was awarding it the lucrative contract to sell Sirius, it matters little whether the donation was actually made in late February 2017 or late February 2018 – i.e. either eight and a bit months before the announcement that Savills had been awarded the contract or two and a bit months after the announcement. What does matter is if there has been a conscious attempt to conceal the timing of the donation. In particular, what if either Savills or the Liberal Party deliberately made a “clerical error” and put the date of the donation as February 2018 rather than February 2017 to ensure that the donation appears to have been made after the government announced that Savills had been awarded the Sirius sale contract rather than being made in the period when the government decision about the Sirius contract was being considered. Now we do not have any concrete evidence to say that this is what actually happened. However, given all the corruption that has taken place in NSW, the deviant processes that have surrounded the inner city public housing sell-off and the associated regulatory approvals of James Packer’s luxury casino-hotel resort at Barangaroo and the dodgy context of the Savills donation itself, we would not be surprised if the apparent incorrect dating of the Savills donation is more than just an innocent clerical error. Of course, regardless of whether or not there has been a conscious attempt to conceal the donation’s timing, the key broader overall point stands: that the NSW Liberal Party accepted a nearly $4,000 donation from Savills around the time when it would have been considering whether to grant that real estate business the multi-million dollars’ worth contract to sell the Sirius building.

[5] Eliot Hastie, REB, Final Millers Point tranche sold, 8 November 2018, https://www.realestatebusiness.com.au/breaking-news/17927-final-millers-point-tranche-sold (retrieved 25 April 2019)

[6] Electoral Commission NSW website, Disclosure Details for Party, The Liberal Party of Australia New South Wales Division, Disclosure period 1/07/2014 – 30/06/2015, http://searchdecs.elections.nsw.gov.au/Details.aspx?EFID=a0S6F00000qI37dUAC&ID1=0019000000twe3RAAQ&RPID=2015H1 (retrieved 25 April 2019)

[7] NSW Government Finance, Services & Innovation website, Millers Point Properties Announced For Sale, 13 April 2015, https://www.finance.nsw.gov.au/about-us/media-releases/millers-point-properties-announced-sale (retrieved 25 April 2019)

[8] Lisa Allen, The Australian Business Review website, Provectus Care’s Shane Moran pays $7.7m for Dawes Point mansion, 3 September 2016, https://www.theaustralian.com.au/business/property/provectus-cares-shane-moran-pays-77m-for-dawes-point-mansion/news-story/9fa7af25fae87916f368f02c3829690e (retrieved 25 April 2019)

[9] There were donations made by an elder brother and possibly other relatives of Shane Moran – and possibly Shane Moran himself – to the NSW Liberal Party in the five month period after he first publicly announced in September 2016 that he was applying for planning approval to turn the Darling House that he bought as part of the Millers Point privatisations into a high-end aged care facility. Firstly, in two donations made on 5 September 2016 and 25 September 2016, Moran Australia (Residential Aged Care) Pty Ltd run by Shane Moran’s brother, Peter Moran, donated a total of $2,000 to the NSW Liberal Party (http://searchdecs.elections.nsw.gov.au/Documents/FD2017-3968.pdf). Then on 22 November 2016, a further $2,000 was donated by a Shane Moran (http://searchdecs.elections.nsw.gov.au/Details.aspx?EFID=a0S6F00000qI37YUAS&ID1=0019000000twe3RAAQ&RPID=2017H1). However, we are unable to be sure whether this Shane Moran who is listed as “Shane Michael Moran” is the same Shane Moran as the one who bought Darling House given that the address listed with the donation is different to the address of the Swifts mansion that the Shane Moran who bought Darling House is known to live in (although he may well have multiple addresses that he uses). If it is not the same Shane Moran, it could however be a cousin, nephew or uncle. Then on 24 February 2017, one Matthew John Moran donated $5,500 to the NSW Liberal Party in the single biggest donation to the party by an individual that financial year (http://searchdecs.elections.nsw.gov.au/Details.aspx?EFID=a0S6F00000qI37YUAS&ID1=0019000000twe3RAAQ&RPID=2017H1). This may possibly be a donation by a cousin, nephew or uncle of Shane Moran but we can’t be sure. What is striking is that each of these “Moran” entities who made donations to the NSW Liberal Party in late 2016-early 2017 – Moran Australia (Residential Aged Care) Pty Ltd, Shane Michael and Mathew John Moran – made no other donations to the NSW Liberal Party in the last ten years except during this brief period soon after Shane Moran happened to start seeking approval to convert Darling House into a high-end aged care facility. And there were no other donations made by any other person with a Moran surname to the NSW Liberal Party in this ten-year period either. It is, however, possible that the donation made by Shane Moran’s brother’s company, Moran Australia (Residential Aged Care) Pty Ltd, and donations by others who were possibly in the same family/extended family was more about protecting one or more of the several sets of aged care businesses owned by Moran siblings from scrutiny in the light of the emerging scandal in Australia over the quality and price of aged care residences and of elder abuse in aged care homes. Given this uncertainty over the purpose of the donations and uncertainty over the exact identities of all the donors with a Moran surname we chose not to include this material in the main body of the article but detail it here for other activists, researchers and journalists to follow through on in the future.

[10] Morris, Alan (2018). Gentrification and Displacement – The Forced Relocation of Public Housing Tenants in Inner-Sydney, Springer Verlag (Singapore), https://www.booktopia.com.au/gentrification-and-displacement-alan-morris/prod9789811310867.html

[11] Australian Government Productivity Commission (2019). Report on Government Services, Chapter 18 – Housing, Table 18A.3, https://www.pc.gov.au/research/ongoing/report-on-government-services/2019/housing-and-homelessness/housing/rogs-2019-partg-chapter18.pdf

[12] The year 2018 was not included in the comparison because in that year the statistical method used by the NSW government was changed and public housing figures from that year onwards included dwellings identified for disposal or leased to community organisations. Note d in Table 18A.3 in the above reference states that: “PH [Public Housing] and SOMIH [State Owned and Managed Indigenous Housing] data from 2017-18 include dwellings identified for disposal and dwellings leased to a community organisation. These dwellings are excluded from data for previous years ….” This change in statistical method artificially inflated 2018 public housing numbers respective to those in previous years.

 [13] Tawar Razaghi, Domain. Annual rental affordability survey finds worst results for low income earners in 10 years, 28 April 2019, https://www.domain.com.au/news/annual-rental-affordability-survey-finds-worst-results-for-low-income-earners-in-10-years-830824/?utm_campaign=strap-masthead&utm_source=smh&utm_medium=link&utm_content=pos5&ref=pos1 (retrieved 29 April 2019)

[14] NSW Government Family and Community Services. Rent and Sales Report – interactive dashboard, https://public.tableau.com/profile/facs.statistics#!/vizhome/Rentandsales/Rent for Cumberland LGA, December 2018 quarter, 1 Bedroom Flat/Unit

[15] NSW Government Family and Community Services. Social Housing Eligibility and Allocations Policy Supplement, Table 1: Household member types and current weekly income allowance, https://www.facs.nsw.gov.au/housing/policies/social-housing-eligibility-allocations-policy-supplement/chapters/income (retrieved 25 April 2019)

[16] Shelter NSW, NSW HOUSING FACT SHEET 1, Dwellings, households & tenure profile (see page 8 in particular), April 2018, https://shelternsw.org.au/sites/shelternsw.org.au/files/public/documents/Shelter%20NSW%20Housing%20Fact%20Sheet%20April%202018.pdf (retrieved 25 April 2019)

[17] Stella Qiu and Ryan Woo, Reuters.  China’s Shenzhen to cap new private homes at 40 percent of supply, 5 June 2018, https://www.reuters.com/article/us-china-economy-property-shenzhen/chinas-shenzhen-to-cap-new-private-homes-at-40-percent-of-supply-idUSKCN1J11E3 (retrieved 25 April 2019)

[18] Elizabeth Winkelman (translated Amber Yang), Australia China Business Circle, China’s Xiongan New Area to Receive 2 trillion yuan ($385 billion) Investment over the next 15 years, http://www.business-circle.com.au/en/?p=3545 (retrieved 25 April 2019)

[19] Xinhua, Beijing reports slowest mortgage growth in 5 yrs, 28 July 2019, http://www.xinhuanet.com/english/2018-07/28/c_137354304.htm (retrieved 25 April 2019)

[20] China Daily, Work begins on Beijing 2022 Winter Olympic Village, 29 December 2017, http://global.chinadaily.com.cn/a/201712/29/WS5a4636eca31008cf16da44c2.html (retrieved 25 April 2019)

[21] Uma Patel, ABC News, Sam Dastyari steps down from Labor frontbench after accepting money from Chinese donors, 8 September 2016, https://www.abc.net.au/news/2016-09-07/sam-dastyari-steps-down-from-labors-front-bench/7823970 (retrieved 25 April 2019)

[22] Australian Electoral Commission website, Summary of Donations reported by Donors – By Party – 2017-18, Registered Party, Liberal Party of Australia, https://periodicdisclosures.aec.gov.au/SummaryDonor.aspx (retrieved 25 April 2019)

[23] Australian Electoral Commission website, Summary of Donations reported by Donors – By Party – 2017-18, Registered Party, Australian Labor Party (ALP), https://periodicdisclosures.aec.gov.au/SummaryDonor.aspx (retrieved 25 April 2019)

[24] Trotskyist Platform website, JAMES PACKER’S CROWN VERSUS MILLERS POINT PUBLIC HOUSING, 18 November 2016, https://www.trotskyistplatform.com/james-packers-crown-versus-millers-point-public-housing/ (retrieved 25 April 2019)

[25] Josephine Tovey, The Sydney Morning Herald website, Residents stick to their point of community, 26 October 2012, https://www.smh.com.au/national/nsw/residents-stick-to-their-point-of-community-20121025-288bh.html (retrieved 25 April 2019)

[26] ALP website, AFFORDABLE HOUSING FOR RENTERS, https://www.alp.org.au/media/1506/181216_affordable_housing_for_renters_fact_sheet.pdf (retrieved 25 April 2019)