Photo Above: Tens of thousands of CFMEU members and other trade unionists march in Melbourne on 28 August 2024 as part of a series of a nationwide stop-work rallies by construction workers opposing the takeover of the CFMEU union by a government administrator. Photo: Joel Carrett/AAP
Junk the ALP and ACTU Leaders … and Never Let These Class Traitors Back! Urgently Build a New Workers Party to Lead Class War against the Capitalist Ruling Class!
Kick the Administrators Out of the CFMEU!
26 August 2024 – The Albanese Labor government has launched the biggest direct attack on the union movement in Australia in nearly four decades. They have put the CFMEU construction workers union into “administration”. This means a takeover of the union by the bosses’ state. Already the regime has thrown over 280 CFMEU officials out of their positions.
In leading this attack, ALP leaders are bowing down to the demands of the capitalist class … as they always do! The owners of construction companies and labour hire firms are ecstatic. They know that if the CFMEU is gutted by the administrators, it will be much less able to defend workers’ wages and safety conditions. And it is not just the construction industry bigwigs who are celebrating. All businesses owners that make profit from stealing the fruits of workers’ labour are cheering. They know that weakening this country’s staunchest union will eventually lead to lower wages and weakened workers rights throughout the country. This means more mansions, more prestige cars and more luxury yachts for these greedy bosses.
But this attack can still be stopped!CFMEU rank and file members are defiant and don’t want to throw in the towel. There are huge numbers of members of other trade unions, other working class people and many others who are furious at this attack. Together we can defeat the administrators, AlbaNazi, Dutton and the capitalist bosses behind them all. So let’s: Boot the administrators out of the CFMEU! Kick the bosses’ state out of the union movement!
How can we do this? Some CFMEU leaders, ousted from their positions by the scum Administrators, are trying to beat this attack through various court challenges. But these are the very same bosses’ courts that have fined and persecuted hundreds of union activists for defending their members’ rights and safety. These courts are part of the same state as the cops who always side with the corporate bigwigs against striking workers. And these courts are part of the same capitalist state as the administrators now skewering the CFMEU! The whole state machinery in Australia has been established to enforce the interests of the capitalist exploiters of workers. It is futile to rely on the courts of this capitalist state to protect us from the capitalist bosses and their government!
The way we can kick the administrators out is through strike action.That is the power that workers have. We need an indefinite, national construction workers strike. With the CFMEU under control of the bosses’ state and with many ousted leaders hesitating about full throttle action and distracted by their court strategy, the indefinite strike will need to be organised by rank and file unionists. Workers need to organise branch meetings, elect committees and then coordinate across sites. This can be done! And when indefinite strike action is launched, there will be plenty of members of other unions, other working class people and other decent people who will flock to the picket lines to help staff them. Other unions must also launch solidarity strikes – beginning with those that have stated support for the CFMEU like the Electrical Trades Union (ETU), the United Firefighters Union (UFF), the Communications, Electrical and Plumbing Union (CEPU) and the Maritime Union of Australia (MUA).But there is no time to lose!
This Was Never About Stopping “Corruption” and “Criminality”
The ruling class initially claimed that their war on the CFMEU was about rooting out “criminal elements” and “corruption”. But their allegations were vague and untested. To the extent that there is actually any truth to these accusations of “criminality” and “corruption”,they should be handled 100% within the workers movement. Definitely not by institutions of the bosses state!That means thatthese allegations must not be decided by government legislation or administrators; and they should also not be decided by the capitalist state’s courts, which are inherently biased against militant unions. Moreover, everyone knows that it is the construction firm owners who are the ones who are mafia-infested and corrupt as hell. The simple fact is that the Australian ruling class’ hyping up of claims of “corruption” and “criminality” within the CFMEU is entirely a smokescreen that they are using to de-fang the union that fights hardest to protect its members’ workplace safety and conditions.
Soon after being launched, the ruling class’ slander campaign mixed in their accusations of “corruption” and “criminal links” with claims of CFMEU “violence” and “intimidation”. However, these are two completely different things! If CFMEU members are using intimidation of non-union workers to enforce strikes and strengthen the union then that is completelynecessary to defend workers rights. The capitalist bosses have great power through their power to hire and fire almost at will, through their massive wealth, through the governments that serve them, through the cops, courts and commissions of their state and through the media that they own. Against them, workers are powerless as individuals. Our only power comes through collective action. And against cowardly workers who buckle under the bosses’ pressure, unionists need to enforce the workers’ collective stance – sometimes by spirited means – for the benefit of all workers. It is just like stopping scabs trying to cross a picket line – if we don’t do this we lose! It turns out too that many of the accusations of “violence” and “intimidation” against the CFMEU are about delegates and organisers firmly standing up to construction and labour hire bosses. Well, if that is true, they are doing what union officials ought to do! If they fail to do this, greedy bosses will slash safety and more workers will get killed. Workers will get exploited even more. The real problem with our union movement is that our pro-ALP leadership are not “intimidating” the greedy exploiters consistently enough – especially through the main means of “intimidation” that we have available, which is strike action.Against the powerful capitalists, our unions must resist by any means necessary!
The ALP Has Always Stabbed the Working Class in the Back
Australia’s capitalist ruling class and the regime serving them have been preparing this onslaught for a long time. In 2005, the right-wing Howard government introduced the draconian Office of the Australian Building and Construction Commissioner to repress struggles for workers rights, impede union access to workplaces and attack the CFMEU. This body was given authoritarian, star chamber powers. The first Rudd ALP government disgustingly maintained this body and the Gillard government only later weakened it slightly when it established a revised version in 2012. The final version, the Australian Building and Construction Commission (ABCC) was abolished in 2023 but the Albanese government remained committed to gutting the CFMEU.
In September 2021, far-right factions serving the ruling class dramatically escalated the capitalist rulers’ war against the CFMEU. Egged on by the right-wing media, Australian white supremacist fascists, far-right anti-vaxxers, supporters of the ultra-right-wing Libertarian Party (then called the Liberal Democratic Party), some self-employed contractors who are CFMEU members and a few dozen ultra-right-wing construction workers – many of whom are supporters of the Croatian fascist Ustasha movement – violently attacked the CFMEU’s Melbourne office in opposition to COVID vaccine requirements and mask mandates. Ranting against communism and vaccines and hailing the Nazi-aligned Ustasha’s losing World War II war against Marshall Tito’s Yugoslav communist partisans, the far-right mob pelted and assaulted CFMEU rank and file members, delegates and officials who were defending the office. This right-wing attack intimidated union activists and caused divisions within the union. By softening up the CFMEU, that September 2021 assault has done much to prepare today’s full throttle attack on the union. CFMEU members – and their many supporters – furious about the government’s current takeover of their union should never forget this. We should deal with those who took part in – and supported – the September 2021, fascist-driven attack on the union in the appropriate way!
The spearhead of this latest and biggest onslaught against the CFMEU was the Channel 9 TV station and newspapers owned by the Nine Entertainment group, whose biggest shareholder is right-wing Australian billionaire, Bruce Gordon. Then all the right-wing forces joined in: Peter Dutton’s conservative Coalition, right-wing “independent” Jacqui Lambie and the far-right parties. The most extreme has been Pauline Hanson’s racist One Nation Party which denounces CFMEU members as “criminals” and “thugs”. Yet the present takeover of the CFMEU by the bosses’ regime would not be possible without the ALP’s support for it. Due to its current leadership of the workers movement through the ACTU bureaucrats, the ALP tops feel confident to launch brazen attacks on the working class that a conservative government would not dare attempt. Let’s not forget thatthe previous attack on the union movement of this scale, the mid-1980s deregistration of the militant Builders Labourers Federation, was also conducted by a Labor government (the Hawke-Keating government). Indeed, when they are worried about facing working-class resistance, the capitalist exploiters actually prefer having a Labor government in office, because they think that they can do a better job of keeping workers obedient than the openly anti-working class Liberals. Thus, during the mid-1980s, powerful media tycoons Kerry Packer and Rupert Murdoch supported the Hawke-Keating ALP government and in the 2007 federal elections, the Murdoch newspapers backed Kevin Rudd.
Therefore, we in Trotskyist Platform are not at all surprised by the Albanese government’s assault against the CFMEU. At the last federal elections, we opposed any support – either directly or through preferences – to the ALP or indeed to any of the other parties currently in parliament. As we stated in our pre-election statement:
“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.”
However, this kind of stance was rejected by most of the rest of the Far Left. They instead, either directly, or through preferences, called for a vote for Albanese’s ALP. Even after the elections, some on the Far Left continued to express critical support for the Albanese government. Thus a month after the Albanese government took over, the Communist Party of Australia’s National President sent a letter to the prime minister expressing warm solidarity with the new government and praising his government’s stance on a number of issues, while politely urging him to take a more progressive stance on others. However, authentic communists were never in any doubt that this is a capitalist bosses government running a bosses state. Although the ALP is a party whose base is made up of workers, its agenda and leadership have always upheld the political order that serves the capitalist big end of town. The strategy that the ALP offers workers is to try and win some gains for working class people within this anti-working class system by winning and retaining government office. To do so, it ensures that its demands for workers are so restricted as to avoid annoying the big end of town and their state institutions enough for them to oppose the election of a Labor government or undermine one that already exists. That means, Labor governments uphold the capitalists’ interests on all the issues of greatest concern to them, which today includes: maintaining anti-strike laws, allowing Australian mining tycoons to continue to plunder billions in profit from stolen Aboriginal land without having to share it with this country’s people, maintaining a pro-speculators housing policy, supporting the rape of the South West Pacific and Southeast Asia by Australian corporations, rabidly participating in the new Cold War drive to crush socialistic rule in China and … pulling the teeth out of the CFMEU! Yet, it is simply impossible to implement the capitalists’ agenda on all major questions while simultaneously improving working class people’s rights. The interests of the capitalist exploiters and those of working class people are completely counterposed. That is why to working class people who fall for Labor’s promises, new ALP governments are greeted with hopes that “this time they will be a real Labor government”, always followed, a few months later, by abject disappointment and mythical nostalgia that “Labor used to be much better”. But the truth is that ALP governments have always disappointed their working class base and have always betrayed workers’ interests. ALP leaders have always been class traitors. They did not just start last month! If the ALP today is more openly attacking workers’ rights and more brazenly right wing than it was, say, five decades ago, it is only because the capitalist ruling class is today less willing to grant even the slightest concession to the masses because their capitalist system is today in a more advanced state of decay. Understanding all this, we authentic communists headlined our article analysing the then new Albanese government: “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”.
Junk the ALP and ACTU Leaders … And Never Let These Class Traitors Back!
The Labor government would not have tried to push through this regime takeover of the CFMEU if they did not know that they had the support of the pro-ALP, ACTU bureaucrats. That Sally McManus and the other ACTU leaders are supporting this attack on the CFMEU proves that they are as much traitors to the working class as their ALP parliamentary mates. However, this despicable treachery has caused outrage within union ranks and even parts of the ALP’s ranks. We need to leverage this to urgently loosen the influence of both the ALP and the ACTU tops. This is needed to not only reduce their ability to prevent the rest of the working class from coming to the defence of the CFMEU but to stop them holding back working class, anti-capitalist resistance more generally. In response to the ALP government appointing an administrator to take over the CFMEU, the ETU will stop all political donations to the ALP for the next federal election. This is a good first step. But they must go further. We call on militant union members – beginning with members of those unions that have openly stated solidarity with the CFMEU like the ETU, UFF, CEPU and MUA – to demand that their leaders completely dump their union’s affiliation to the ALP.
We welcome the CEPU’s decision to split with the ACTU in solidarity with the CFMEU. The ETU Executive has also resolved to stop paying affiliation fees to the ACTU while the CFMEU remains suspended from the organisation. We say that they must now take the next step too. We call on those unions that have stated solidarity with the CFMEU to follow the lead of the CEPU and break with the ACTU.
In rightly junking the ACTU, the CEPU has criticised the ACTU for only representing white collar workers and talked about establishing a blue-collar worker rival to the ACTU. But that misses the point! In stabbing the CFMEU in the back and thereby weakening the entire union movement and emboldening all the capitalists, the ACTU are betraying white collar workers as much as they are their blue collar counterparts. Moreover, the ACTU tops’ loyalty to the ALP, its strategy of collaboration with the capitalist exploiters and its subordination of workers rights to the “national interest” has led to a big increase in the rate of exploitation of workers, a surge in workforce casualisation, a deterioration in union strength and a marked reduction in workplace rights for workers and our unions over the last four decades. This has hurt workers in all types of industries. The truth is that no matter what collar shirt a worker physically and/or mentally toiling for wages wears to work, the capitalist bosses are exploiting us and the ACTU leaders are selling us out. What we need is not division in the union movement over the type of industries that workers are employed in but a union movement reinvigorated on a new, militant strategy. That means dumping the ACTU traitors and building a new leadership of the workers movement on an agenda that says: “The capitalists have been waging class war on us for the last more than four decades. We are no longer going to beg them to stop. Instead we will be mobilising all our ranks to wage full-on class war against this exploiting class.” Such a new militant union leadership must be linked to a new workers party that would advocate for the new class-struggle agenda amongst all the masses and defend it on the ideological battlefield.
Such a militant workers party is not going to come from a revamped ALP. Many in the workers movement still cling to the idea of making the ALP “truly stand up for workers”. But what we have with this current Labor government, led by so-called “Labor Left” Albanese, is just about the “best” that one can expect from an ALP government in today’s world. In the era of rapid decay of capitalism, the social democratic/ALP strategy, of restricting worker demands to what the capitalists will grudgingly tolerate, can “deliver” little more for workers than what Albanese and Co. are “offering”. Which is nothing good at all! As a means to improve workers’ lives, the ALP social democratic project is dead. Let us not try to revive it! Instead we need to bury Laborism as fast as possible!
For a New Workers Party to Lead Class War Against the Capitalist Exploiting Class!
With the ALP selling out workers so blatantly, some workers are looking to the Greens. But let’s not forget, the Greens also fed into the anti-CFMEU propaganda surrounding the Albanese government’s placing of the union into administration. To be sure, the Greens ended up voting against the ALP’s anti-CFMEU laws and some Greens MPs are trying to leverage this to gain workers’ votes. However, the Greens made clear that their No vote was only because the ALP chose not to negotiate with them to get the bills pushed through the Senate and instead did a deal with the Liberals that made the laws even more extreme. Indeed, Greens leader Adam Bandt openly stated that the Greens were in principle willing to support the anti-CFMEU laws: “The Greens told the government we were prepared to negotiate on the legislation and seek to address some of the serious concerns in the bill, but instead Labor has worked with the anti-union, anti-worker Liberals.”
For the Greens are ultimately a party representing the capitalist class – albeit its liberal-“progressive” wing. This is proven by the fact that the Greens accept the capitalist order, refuse to even claim to be a party that stands for workers as distinct from the capitalists and include actual big-time capitalist exploiters within their ranks. In the lead-up to the last federal elections, the Greens received tens of thousands of dollars from the pastoral companies owned by the filthy rich capitalist Langenhoven family, thousands more from Australia’s fifth richest person – greedy billionaire Scott Farquhar – and over a half a million dollars from capitalist investor, Duncan Turpie. To be sure, because the ALP’s craven loyalty to the capitalist class has meant that the Greens have sometimes taken positions that are less hostile to the working class, some left-leaning workers have now thrown their support behind the Greens. However, such lash ups involving outright capitalists and pro-capitalist upper-middle class elements in the same organisation as some worker activists and leftist youth are inevitably held together on the lowest common denominator: it is the usually the worker activists and other more left-leaning Greens who end up having to compromise to keep the party together. That is why when the ALP and the Greens were in a de facto coalition administering this country from mid 2010 to early 2013, they did almost nothing for working class people, maintained the original version of the hated ABCC for much of this period and then later converted it into a still anti-union ABCC-lite type body.
Whereas the ALP are the traitors to the working class from within the movement, the Greens are a party whose agenda kneels to the “nice” bosses within the party. But every class-conscious worker knows that when their need for profit truly demands it, the “nice” bosses will attack workers rights as ruthlessly as the rabidly anti-worker ones will – only that the latter will laugh at your face when they retrench hundreds of workers while the “nice” bosses will be apologetic and teary when they do exactly the same thing. Thus, if the on-going dumping of the ALP ends up in increased worker support for the Greens it will notat all be a step forward for the workers movement. Indeed, if anything it will be a step backwards for workers’ political consciousness, because it represents a rejection of the need for workers to have our own party separate from the capitalists who exploit us. Workers who give their allegiance to the Greens will now be putting their faith in a party politically dominated by a section of the capitalist class – albeit the “progressive” exploiters.
The ongoing break of some sections of the workers movement with the ALP will only have an unambiguously positive significance if it results in the building of a new workers’ party that is committed to fighting for what workers actually need and not limiting our demands to what the bosses will concede without excessively antagonising them. Such a party would understand that improvements in workers’ lives are not going to come through gaining parliamentary office and making reforms in the interests of workers. This truth can be hard for some to accept. After all, it would be a lot easier if we could defend workers rights by simply getting the correct party elected at an election and wait for them to do the rest in parliament. However, given the enormous power of the capitalist class, this will never happen. History has proven that such a parliamentary-based strategy for workers rights simply does not work. For the state institutions – from the courts, to the various commissions, to the police, to the upper ranks of the bureaucracy and to the military – that any government in a capitalist country administers are themselves tied to the filthy rich capitalist owners by millions of threads. And those governments are in any case beholden to the control that the capitalists have over the economy and the capitalists’ ability to utilise their enormous wealth to swing “public opinion”. That is why every significant gain that the working class has ever won has been a result of industrial action, other mass struggles, or the fear put in the hearts of the capitalist exploiters by revolutionary workers’ victories abroad.When capitalist parliaments or courts have instituted some pro-worker measures this is only ever a codification of struggles actually won by workers in the arena of mass struggle, or a concession to working class political agitation that threatens to incite such struggle. The new workers party that we need must be a party dedicated to organising such militant class struggle and mobilising the entire working class and big chunks of the broader masses behind the class-struggle agenda.
The Need for All-Sided Resistance Against the Capitalist Ruling Class
The new workers party that we must urgently build would unite defence of the CFMEU with struggles for what all sections of the working class and other oppressed groups need. It would fight for big across-the-board wage hikes to make up for the plummeting real wages that workers have copped over the last few years. It would fight for the immediate conversion of all gig and other casual jobs into secure, ongoing ones with all the rights of permanency. To relieve the suffering of huge numbers of low-income renters, it would demand both a massive increase in public housing and the confiscation of the vacant homes of the ultra-rich and their transfer into public hands. Such a party would actively join with the hundreds of thousands of people in this country who have participated in marches over the last ten months against the Australian bosses’ regime’s participation in the U.S./Israeli genocide of the Palestinian people. It would support the struggles for liberation of the brutally oppressed Aboriginal people who are being targeted by the very same media, the same police and the same ruling class that have been attacking the CFMEU. The party would fight to mobilise workers’ action to deter Australian regime authorities from killing Aboriginal people in custody, stealing Aboriginal children from their families and imposing discriminatory laws that target Aboriginal people – like compulsory income management rules and curfews in heavily black areas.
The workers party that we need would also make a point of standing with migrants – especially those from non-European heritage – against the ruling-class politicians and mainstream media blaming them for every problem and against violent attacks and intimidation by racist rednecks. Such a party would point out that today’s assault on the CFMEU is being conducted by the same ruling class that is determined to scapegoat immigration for the suffering that their capitalist system causes. Opposing racist scapegoating of people of colour is especially crucial because any racial divisions within the workers movement undermines workers’ ability to unite in struggle against the union-busting ruling class. In the CFMEU, in particular, there are many workers of Maori, other Pacific Islander, Asian, Middle Eastern and African backgrounds. Racist scapegoating and racist attacks often have the effect of intimidating people of colour and making people of Asian, African, Middle Eastern and Islander backgrounds feel more isolated and more wary of putting their heads up in struggles than they otherwise would. So a true workers party would mobilise mass action uniting workers and people of colour to smash any racist provocation by far-right white supremacist groups. This would send a message to the more numerous garden-variety racists out there that they had better pull their heads in. Moreover, in carrying out such action, we will not only be getting revenge for the Melbourne far-right attack on the CFMEU in September 2021 but would be standing on the traditions of a very proud moment in CFMEU history: when a large group of CFMEU construction workers formed the vanguard of a hundreds strong anti-fascist mobilisation that drove the white supremacist Australia First Party off the streets of Brisbane on 2 May 2014.
The militant workers party and new union leadership that must be built would also demand the granting of full citizenship rights to all migrants working here. This would make it much easier for workers with insecure residency status to stand up to their bosses. It would also facilitate, for example, the CFMEU organising into the union the many isolated Afghan, Korean and Chinese background workers working in areas like plastering and tiling. A workers party and union movement that strongly defends the rights of migrants and uncompromisingly wages war against racist attacks will then be boosted by the fact that working class people from Asian, African, Middle Eastern and Pacific Islander backgrounds will become the most energetic and loyal supporters of workers’ struggles and union picket lines – as these workers often are even today.
A genuine workers party must also champion the cause of women workers and women’s rights. Women workers are especially hard hit by casualisation and low-income single mothers are especially suffering from the rental affordability crisis. We must demand equal pay for women workers. We must also make it easier for women to leave violent partners through the fight for a massive increase in both the number of free women’s shelter places and the amount of low-rent public housing. Right now, there is an added urgency to fighting for such an agenda. To facilitate their attack on the militant CFMEU, the ruling class and their servants in the ALP and the ACTU leadership are hurling accusations about “misogyny” within the CFMEU. The people making these accusations do not truly care about women’s rights one bit! Let’s recall what happened in April when Albanese drove to tears a woman survivor of misogynist violence, Sarah Williams, when he arrogantly made a lying swipe against her and other organisers of a tens of thousands strong rally against gender-based violence against women, when he took the microphone after being heckled by attendees. Yet to justify their campaign against militant unions, Albanese and the other enemies of the working class have been able to point to some real male chauvinism that does exist within parts of the CFMEU leadership. That it is even worse within the ALP, within the notoriously male chauvinist conservative parties and within the corporate board rooms does not absolve the need for an uncompromising political struggle within the workers movement to root out any instances of male chauvinism. Most importantly, the new militant union leadership and workers party that we must build must mobilise the mass of workers behind the struggle for women’s emancipation. If they do, women workers – many of whom are already the most strike-happy workers in the country – will surely be in the forefront of the class-struggle fightback that we desperately need.
Let’s Not Bow to the Mythical “National Interest” – Let’s Fight for Working-Class Rule Instead!
Many of the union officials who are rightly opposing the CFMEU being forced into administration have described the attack as “unAustralian” or “not how we do the rule of law in Australia”. However, the fact is that this attack on the CFMEU is all too typical of the way that the Australian capitalist class and their ALP lackeys deal with militant unions that dare to struggle. In 1949, the then Chifley ALP government actually unleashed troops to smash the huge NSW coal miners’ strike. Then Chifley’s conservative successor, Robert Menzies, unleashed the military against striking seamen and waterfront workers several times, including against a 1953 waterfront workers strike in the Queensland port of Bowen. In 1981, Liberal prime minister Malcolm Fraser used the RAAF to scab on the 1981 Qantas workers strike. Eight years later, the Hawke Labor government did the same to smash the pilots’ strike. Then in late 1997, one Australian stevedoring company assembled current and former Australian SAS troops and commandos to be trained to take over the wharves as scab labour. A few months later, Australian-owned Patrick Corporation, backed by the then Howard Liberal-National government, sent in balaclava-wearing security guards, attack dogs and scabs to the wharves to lock out workers and operate the wharves with scabs. Talk about “violence” and “intimidation”! Such aggressive union-busting is indeed the way that the Australian capitalist class does “the rule of law in Australia”. As far as Australia’s greedy capitalist ruling class is concerned: forcing the CFMEU into administration is very Australian! And here is the point: there are no common “national values”, “national way of doing things” or indeed “national interest” between, on the one hand, the working class and most middle class people and, on the other, the capitalist exploiting class. Our interests are completely counterposed. Let us be aware, that it is in good part in the name of the “national interest” that the capitalist class is waging war on the CFMEU. For as long as the capitalist class rules Australia, the “national interest” will always mean their interest. It is in the name of serving the “national interest” that one Labor government after another has been selling out workers. Therefore, the new union leadership and workers party that we must build must explicitly reject subordinating itself to the “national interest”. It must instead stand proudly for the class interests of working class people and their allies, which are synonymous with the interests of all workers of the world.
In mobilising militant action for what workers need, our enemies will counter that this will lead business owners to stop hiring and stop investing. That is actually true – but only if we let them continue to run the economy. Therefore, in fighting for workers rights, we must also fight for measures to ban profitable companies from laying off workers and measures to, instead, force them to increase hiring of permanent employees at the expense of their own profits. We must combine such demands with a program to confiscate key sectors of the economy from the capitalists for transfer into public hands – including the banks, the mining companies, the energy resource and power industries and the medical service, aged care and childcare sectors. To secure such gains and open the road to the full liberation of the working class and all of the oppressed, our end goal must be the sweeping away of this existing capitalist state and the construction of a new workers state to run an economy dominated by public ownership. This means that the new workers party that we need must be a revolutionary party committed to this goal. And when the enemies of the working class say that such a socialist system “does not work” and “look at China”, this party will respond:
“When your media that vilifies militant unions demonises socialistic China, we do not believe them one bit. Although China’s socialism is quite unfinished and deformed by intense hostile pressure from the capitalist world and although her leaders are not perfect (somewhat like the leaders of our unions), her socialistic system, in which her key economic sectors are under public ownership, has brought immense benefits to her working class masses. China has lifted all her people out of extreme poverty, has a high percentage of her people living in low-cost or low rent public housing and has a much lower proportion of homeless people than we do here – despite still being a poorer country overall. Socialistic China has also achieved, by a huge margin, the fastest rate of real wage growth in the world. In socialistic China, workers’ real wages have tripled in the last fifteen years! So socialism, in even a distorted and incomplete form, works. Unlike in China, a future workers state in Australia will not be burdened by the difficult task of having to lift the whole country up from extreme poverty in the way that the Chinese workers state had to lift her people out of the terrible poverty of China’s pre-1949 capitalist, imperialist-subjugated days. And through our future workers revolutions in Australia and other developed countries, we will join hands with China to advance both our socialist causes and bring the full complementarity of our economies together for the benefit of all our peoples and all the peoples of the world. On the one hand, this will ensure that the Chinese advanced guard in the struggle for socialism can reach its final destination. On the other, it will enable Australia’s masses to no longer be burdened by having such a huge part of our resources being diverted into long-range missiles, nuclear submarines and other weapons being procured to attack a workers state.”
Sisters and brothers, the capitalist ruling class and the class traitors heading the ALP and the ACTU think that they have scored a decisive big victory in forcing the CFMEU into administration. But there is massive anger at this amongst working class people. Out of adversity, let us rise in militant struggle to smash this attack on the CFMEU and make the enemy regret that they ever launched it. Let’s not only kick the administrators out of the CFMEU but use this as an opportunity to get rid of all the anti-strike laws and all the laws restricting union access to workplaces. And let’s seize on the exposure of the ALP and ACTU leadership’s true nature to build a new militant leadership of the union movement linked to a revolutionary, internationalist workers party. Let’s advance these goals by building an indefinite national construction workers strike backed by solidarity strikes in other industries! Let’s then build mass picket lines to stop scabbing on this strike; and to enable the huge numbers of other working class people and workers’ allies to unleash their support for the CFMEU!
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.
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.
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.
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.”
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.”
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!
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 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.
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”!
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 droppingof 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 Aboriginalpeople 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 maintainanti-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.
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 sameevil – 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!
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!
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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, Australiancapitalists 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 causedthe 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.
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.
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.
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!
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!
From the U.S. to Australia, Let’s Fight for Revolutionary, Internationalist Leadership of our Trade Unions
Oppose the Right-Wing, Bureaucratic Attack on the Vermont AFL-CIO Union Federation
18 June 2021: In the latter part of 2019, a new slate was elected to the local leadership of the AFL-CIO (the biggest U.S. union federation – a U.S. equivalent of the ACTU) in the USA’s northeastern state of Vermont. Alongside vowing to make the union’s operations more transparent to its 10,000 rank and file members, the new leadership promised more independence from the Democrat Party, a focus on standing by migrant workers, more active support for the Black Lives Matter struggle and a greater willingness to use strikes to defend workers rights. The national leadership of the AFL-CIO, which is protectionist and conservative in its outlook and which subordinates the union movement to the capitalist Democrat Party (one of the two parties that alternately run American capitalism alongside the right-wing Republicans), met the election of the new slate in Vermont with suspicion and alarm. Before long, the national AFL-CIO leadership, headed by the federation’s president Richard Trumka, began bureaucratic manoeuvres against its Vermont branch.
Tensions between AFL-CIO national Executive Committee (henceforth referred to as National EC) and its Vermont branch (henceforth referred to as VT AFL CIO) have now reached breaking point. This follows an overwhelming vote on November 18 by delegates of the VT AFL-CIO to authorise the branch leadership to “call for a general strike of all working people in our state” should Donald Trump and his supporters seek to launch a coup for Trump to remain in the presidency despite his losing the election. After trying to stop the Vermont strike resolution at the time, four months later, Trumka went further and announced that the National EC would be investigating the “recent conduct” of the VT AFL-CIO, threatening “further action.” These are steps towards removing the elected Vermont leaders and putting the branch under the direct administration of the federation’s National EC. This bureaucratic campaign to suppress and punish class-struggle mobilisation must be defeated!
That the threat of a far-right coup in the U.S. was real was seen just a month and a half after the Vermont resolution when fascist white-supremacists and other rabid right-wingers stormed the U.S. Congress building on January 6 with the aim of restoring Trump to the presidency. The workers movement has a real interest in opposing such a far-right coup. However, opposing such a coup does not mean that one should give any support, however critical, to new president Joe Biden. Biden must be 100% opposed! The correct stance to have taken at last November’s presidential election was to oppose a vote to both Trump and Biden. Today Biden and his war-mongering secretary of state, Antony Blinken have taken off from where Trump and Mike Pompeo left off in ratcheting up the imperialist Cold War drive against socialistic China. Biden has even resuscitated a thoroughly discredited Trump-era conspiracy theory that COVID escaped from a Chinese lab, a despicable suggestion that is being used to not only whip up mass hostility to China but which is helping to incite yet more racist violence against people of Chinese and other East Asian backgrounds in the U.S., Canada and Australia. Meanwhile, under the reign of Biden and his new vice-president Kamala Harris, racist cops continue to murder black people and other people of colour throughout the USA. And Biden and Harris are overseeing the brutal incarceration of thousands of child refugees in over-crowded detention camps near the U.S.’s border with Mexico. However, should a coup to restore hard-right Trump to the presidency have succeeded, it would have necessarily been accompanied by further attacks on the democratic rights to organise of unions, black rights activists and other leftists and would have greatly emboldened violent far-right, that is fascist, forces. To prepare working class industrial action against the prospect of such a coup was a very supportable and necessary step. However, Trumka and Co. want workers to rely only on the capitalist Democratic Party to oppose the threat of far-right forces. This is a losing strategy! January 6 proved to the whole world the half-heartedness of U.S. repressive organs for opposing the threat of violent far-right groups. It also showed the downright collusion of some elements of these state organs with fascistic forces.
Neither the capitalist parties, like the Democrats, nor the organs of the capitalist state can be a force against far-right threats. This is because the mainstream capitalist parties and the U.S. state institutions both serve the same capitalist class as far-right forces. By seeking to suppress working class mobilisation against a right-wing coup, Trumka and Co. are tying the hands of the one social force with the power and consistent interest to lead resistance against far-right coups and attacks on remaining democratic rights. Therefore, Trotskyist Platform adds our voice to that of the many trade unionists and anti-fascists in the U.S. and around the world who are opposing the campaign of the national AFL-CIO Executive Committee bureaucrats against the Vermont AFL-CIO branch. We have signed on to an open protest letter to national AFL-CIO president Richard Trumka, defending “the right of the VT AFL-CIO to have passed a motion authorising a General Strike if the 2020 election results had been overturned in a coup” and demanding that Trumka, “immediately drop the vindictive and retaliatory `misconduct’ investigation into the VT AFL-CIO.”
The Open Letter was initiated by the circle associated with the Australian far-left website, Class Conscious. We congratulate them on taking the initiative on this issue. Thus far, nine pro-working class organisations around the world have signed onto the Open Letter. So have dozens of individuals, many of whom are union activists. Alongside Trotskyist Platform, one other Australian group has signed onto the Open Letter, which is the leftist, anti-Zionist and pro-Palestinian, Melbourne-based group, Jews Against Fascism. Trotskyist Platform calls on all trade union activists and officials who believe in class struggle and the centrality of the working class to the fight against right-wing repression, as well as all staunchly anti-fascist groups, to also sign the Open Letter to AFL-CIO national president Richard Trumka. To sign the letter use this link to go to the relevant page on the Class Conscious website: https://classconscious.org/2021/05/17/sign-open-letter-to-richard-trumka-againt-themisconduct-investigation-into-vermont-afl-cio-defend-labors-right-to-fight-against-fascism-and-dictatorship/ . Note that those who sign on through this link will only be endorsing the actual four-sentence Open Letter and not necessarily the preamble by Class Conscious (while this preamble makes many very good points there are aspects of its analysis that we do not fully endorse).
AFL-CIO Bureaucrats Sorry History of Supporting Counterrevolutionary Forces and Right-Wing Coups
Although we were very happy to take a stand against the bureaucratic attack on the VT AFL-CIO branch by signing the Open Letter, there was a sentence in the letter that we felt uneasy about. It said that the VT AFL-CIO motion authorising a general strike if Trump’s election defeat had been overturned in a coup, “was in the proud tradition of labor fighting together against the threat of fascism and dictatorship.” Unfortunately, the tradition of the AFL-CIO includes, under the pre-text of fighting for “democracy” and “against dictatorship,” intervening abroad to support U.S. imperialist machinations against both socialistic workers states and independent-minded governments in the “Third World”.
It was in Latin America where top AFL-CIO bureaucrats conducted their most notorious work. Their methods included training local anti-communists to gain influence within Latin American trade unions to combat the influence of leftists within the unions. These local allies would then seek to split leftist-led unions in order to build business-loyal unions that would help U.S. multinationals operating within Latin America to maximize profits by keeping wages poor. Meanwhile, working closely with some of the USA’s biggest and most notoriously anti-union mining corporations, agricultural giants, oil companies and banks, the AFL-CIO’s “American Institute for Free Labor Development” (AIFLD) would help disburse CIA and U.S. State Department funds to help the political work of anti-communist union officials, to bribe union leaders into joining the “democratic camp” and to grant affordable housing to workers who switched over to membership of anti-communist-led unions. Then, if leftist governments gained the ascendancy in Latin America, even when democratically-elected within capitalist state structures, AIFLD-backed labour groups would foment unrest and use U.S. government funds to sustain strikers. This would then help pave the way for bloody, U.S.-backed right-wing coups, which AFL-CIO local allies would then work to suppress any labour resistance to. In this way, in the name of “democracy” and stopping “communist dictatorship”, the AFL-CIO tops worked hand in glove with the CIA to bring down elected, left-leaning, or otherwise anti-colonial-minded, governments in Guatamela in 1954, Guyana, Brazil and the Dominican Republic in the early-mid 1960s and Chile in 1973. In all these cases, except to a partial degree in Guyana, the AFL-CIO aided, CIA-orchestrated overthrow of elected governments was through bloody coups that resulted in right-wing dictatorships that committed murderous terror against leftists and workers rights activists on a massive scale. Meanwhile, in Indonesia, AFL-CIO bureaucrats helped the CIA and Australia’s ASIS overseas spy agency to orchestrate a coup in 1965 that led to one of the worst slaughters in human history. The CIA/ASIS/AFL-CIO backed coup forces led by General Suharto massacred between one and two million Indonesian communists, trade unionists, women’s rights activists and ethnic Chinese people in the process of consolidating their horrific right-wing dictatorship.
The AFL-CIO bureaucrats’ most important service to U.S. imperialism was in their support for the capitalist rulers’ drive to overthrow workers states. They collaborated closely with the CIA to stir up worker unrest in state-owned enterprises in Red China, in the former Soviet Union and in the other former deformed workers states in Eastern Europe. Their operations were most successful in Poland. There, with the open backing of the Vatican and rabidly anti-union U.S. and British heads Ronald Reagan and Margaret Thatcher and with support from the pro-ALP leadership of Australia’s ACTU, the AFL-CIO tops and CIA propped up a large anti-communist “union” called Solidarnosc. In 1989-90, Solidarnosc would lead a capitalist counterrevolution in Poland that would open the door to the counterrevolutionary destruction of the Soviet Union and all the Eastern European socialistic states within the following two years.
Much of this despicable counterrevolutionary work was conducted by the AFL-CIO heads behind the backs of their membership. More recently, national AFL-CIO leaders in the post-Soviet period, including Trumka, have sought to distance themselves from the federation’s role during the anti-Soviet Cold War. In 1997, the AFL-CIO shutdown its discredited AIFLD. However, today the AFL-CIO’s National EC are back at it again! They replaced the AIFLD with a new organization called Solidarity Center that conducts much of the same work as the AIFLD. Solidarity Center is funded by USAID, the State Department and the National Endowment for Democracy (NED), the U.S. government’s main vehicle for open funding of counterrevolutionary and pro-imperialist movements that goes alongside their covert funding through the CIA. The NED is notorious around the world for spearheading pro-imperialist “color revolutions” and right-wing coups. In 2002, Solidarity Center-backed right-wing forces in Venezuela tried to carry out a coup to overthrow the elected, leftist Chavez government. Since then Solidarity Center has continued to nurture, train and encourage pro-imperialist opponents of the anti-colonial Venezuelan government.
Today, a main international focus of the National EC is to, under the guise of supporting “democracy,” back forces within China seeking to emulate Polish Solidarnosc – that is forces seeking to use legitimate worker grievances within China not to improve workers social position by crushing capitalist influence or by strengthening the socialist character of the workers state but to restore capitalist rule. The main organised force seeking to build such a Chinese version of Solidarnosc is the China Labour Bulletin (CLB) led by Han Dongfang. And the AFL-CIO’s National EC is right behind the CLB, even presenting Han Dongfang with its highest “human rights award.” Last year, Trumka presented this same award to Hong Kong’s Civil Human Rights Front (CHRF), the principal force in the violent, pro-colonial, anti-Beijing movement in Hong Kong. The CHRF is funded by the NED and by right-wing, Hong Kong media billionaire, Jimmy Lai, who is aptly known as “Hong Kong’s Rupert Murdoch”. The CHRF represents rabidly anti-communist members of Hong Kong’s upper-middle class and large chunks of her capitalist upper class, both of whom are nervous about losing their privilege should Beijing start to bring socialism to Hong Kong. Among the affiliates of the CHRF is the mainly (but not exclusively) white-collar, Hong Kong Confederation of Trade Unions (HKCTU), the smaller of Hong Kong’s two main union federations. The HKCTU, whose leaders want it to become Hong Kong’s Solidarnosc, is not only backed by the NED and the AFL-CIO tops but by the Laborite bureaucrats heading Australia’s ACTU. Today, as Biden emulates Trump in escalating Washington’s new Cold War drive against socialistic China and Australian imperialism enthusiastically eggs him on, we can expect the AFL-CIO and ACTU heads to step up their support for capitalist counterrevolutionary labour groups within mainland China and Hong Kong unless revolutionary activists within these union federations are able to change the agenda leading our unions.
However, despite our concerns about the possible implications of that sentence in the Open Letter to AFL-CIO president Richard Trumka that lauds labor’s “tradition” of fighting against the threat of “dictatorship,” we note that this formulation did not specify or allude to any particular counterrevolutionary or pro-imperialist act by the AFL-CIO and indeed does not actually even specifically mention the AFL-CIO. Therefore, the chance that endorsement of this Open Letter would be understood as also giving support for the AFL-CIO’s continued backing of anti-communist and pro-colonial movements is small. Hence, given the importance of opposing the National EC’s right-wing bureaucratic attack on the VT AFL-CIO, we on balance decided to sign the Open Letter and are urging others within the Left and workers movement to do so as well.
In doing so we point
out that, the national AFL-CIO
leadership’s attempts to quash class struggle resistance to far-right attacks
on democratic rights within the U.S. is the domestic equivalent of their
support abroad for right-wing forces seeking to use the guise of “fighting for
democracy” to undermine socialistic states and anti-colonial governments.
Right-Wing Coups and
the Threat of Fascism
Should the fascist forces, that formed a key component of the January 6 rioters, been sufficiently large, united, disciplined and armed, then if they and their allies had been able to stage a successful overturn of the election result on January 6, this could have opened the road to the fascists making a bid to impose the fascist form of capitalist rule in the short term. Fascism is a form of capitalist rule created through the complete physical smashing of all leftist parties and independent workers organisations through right-wing terror. Such a catastrophe is possible in periods of acute capitalist economic and social crisis, when in the absence of a powerful working class struggle for socialist revolution, right-wing demagogues, backed by decisive sections of the capitalist class, are able to mobilise large chunks of the insecure and embittered middle class – alongside portions of the unemployed poor – into squads dedicated to unleashing reactionary violence.
History however proved that in early 2021, the fascists and the right-wing conservatives that then allied with them did not yet have the clout to even overturn the election result. This is because right now the bulk of the U.S. capitalist class feels that the benefits of ruling through “democratic” means, in terms of fooling the masses into believing that they have a decisive say, combined with the risk of resistance of the sort indicated by the Vermont general strike resolution should they try to impose fascist rule, outweigh the potential benefits of physically crushing the workers movement. To be sure, their deep concern about the decay of their own system, their terror over the bitter grievances of their own population, their fright about the emergence of a socialistic power in the Peoples Republic of China and their skepticism about their ability to maintain super-profits without exploiting their workforce at an even more intense level, mean that even now some sections of the American capitalist class are supporting fascist forces. Another larger section of the capitalist class, typified by Trump, have not yet definitely decided to go down the road of fascism but are ensuring that they have the option to go down that road in the future by today nurturing violent far-right forces.
Given the current balance of forces between rival sections of the American capitalist class, a more realistic possibility on January 6 than a full-blooded coup that opened the road to a short-term bid for power by fascists was the overturn of the election result in the form of some sort of compromise power-sharing arrangement between the rival bourgeois camps. Such a partial coup resulting from fascist and other far-right mobilisation would still have greatly emboldened the violent far-right forces and thus made resistance like the sort foreshadowed in the Vermont general strike motion absolutely crucial. A coup of this sort did occur in France in February 1934 when after a violent mobilisation by fascists and other reactionaries, the “progressive” liberal capitalist government headed by Daladier of the Radical Party was replaced by a right-wing, bonapartist government. That new government headed by Doumergue rested on the right leg with the fascists and on the left leg with the Radical Party. French workers responded to the coup with a general strike six days later. Although, the political and economic situation in France then was quite different to that in the U.S. today, it is worth leftists today reviewing Leon Trotsky’s brilliant analysis of the situation then in France. Trotsky pointed out that in the context of a deep economic crisis, France and its middle class were becoming deeply polarised. If the working class did not show that it can be a serious contender for power, the fascists and their seeming radicalism would win over the desperate middle class. Trotsky emphasised the need to build workers militias to defend the workers movement against fascist threats and to use the mobilisation of such militias to energise the advance towards workers revolution. Here are links to some of Trotsky’s key writings from that period:
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Today, in the U.S., some in the Far Right will be demoralized that their coup did not succeed. On the other hand, that fascists and hard-right conservatives were able to storm into the parliament building, occupy it for several hours, intimidate many congress members inside it and all the while gain assistance from some in the state organs would have given many of them great encouragement. Meanwhile, the fact that Trump had to, eventually, somewhat distance himself from the rioters will lead to some right-wing conservatives who supported the Capitol storming dispensing with their faith in parliamentary democracy and move fully in with the fascists. That the less conservative Biden has now become president will likely only accelerate this drift. More fundamentally, while plenty of temporary swings in political mood and economic conditions will occur, the long term trend of capitalism, if it is not first overthrown, is to descend into its fascist form because ultimately this is the capitalist class’ last hope of saving its own class rule in the face of the relentless decay of its own system and the rise of a socialistic giant in the form of the Peoples Republic of China. That is why we must mobilise now to oppose the fascist threat. The general strike planned by the VT AFL-CIO is certainly a powerful form of such resistance. However, most immediately we need to oppose physical attacks by fascists on their targets. Such attacks take place every single day – even when fascists are not making an immediate bid for power. Resisting such attacks is crucial to demoralising the fascists on the one hand and on the other, helping the working class to develop the organisation, discipline and activity needed to fight the new Biden administration and the U.S. capitalist class as a whole. As we emphasised in our statement following the January 6 events in Washington (see: https://www.trotskyistplatform.com/how-to-resist-the-growing-threat-of-the-violent-far-right-in-america/):
“… it is urgently necessary for politically aware workers, black liberation activists and leftists to organise workers at multiracial workplaces together with black communities, other non-white communities and anti-racist activists into disciplined action squads to physically resist the threat of violent attack from far-right forces.
“… Especially given that the fascists are often armed with guns, the working class-based, anti-fascist defence squads that must be built should take advantage of the right to bear arms that exists in America – as granted by the Second Amendment of the U.S. Constitution – to acquire arms.”
Indeed, any general strike mobilisation against far-right forces like the one prepared by the VT AFL-CIO would need to be defended against physical attacks by fascists through the deployment of workers defence guards and workers militias.
From the U.S. to Australia: Let’s Fight for a Revolutionary, Internationalist Agenda to Lead Our Workers Movements
The fact that Trumka resumed his attack on the VT AFL-CIO over the general strike resolution some two months after Biden was inaugurated – and thus long after the strike resolution ceased to be potentially operational – shows that his attack is about more than the general strike resolution itself. Trumka and Co. want to bring to heel a union branch that is, in his eyes, too independent of the Democrat Party, too willing to wage strikes and too real about supporting anti-racist struggles.
However, the VT AFL-CIO leaders, while clearly more left-wing than the National EC, have a program that is still short of the revolutionary, internationalist program that the workers movement needs. Thus in their November general strike resolution, while they recognise “that democracy in the United States is hobbled by the archaic structure of the Electoral College and entrenchment of the two-party system”, they basically accept that the U.S. system is otherwise generally “democratic.” However, while any attacks on democratic rights from far-right forces, conservatives and liberals alike should be opposed, the “democracy” that exists in the U.S. is fundamentally not a democracy for all but in practice a democracy only for the capitalist exploiting class. This is because it is the capitalist class who has the means at their disposal to shape public opinion and sway elections. It is they who own the media and print houses. It is the rich capitalists who disproportionately have the money to finance political parties, pay for political advertising, set up NGOs and think tanks and hire lobbyists. In practice, “democratic elections” in the U.S. end up being a matter of different factions of the ruling class wrestling for administrative control, with the masses reduced to largely serving as voting fodder for the rival capitalist cliques. Meanwhile, no matter who wins elections, any party that wins office will be administering a state machine that has been built up and maintained for the very purpose of enforcing capitalist rule over the masses and which is controlled through thousands of strings by the capitalists. Therefore, the “democratic” form that exists in capitalist countries like the U.S, Australia, India, Brazil and South Korea masks a social order that is very much a dictatorship of the capitalist class over the working class masses.
Furthermore, while the Vermont union leaders are less willing to blindly support the Democrat Party than the National EC, they do not have a principled opposition to supporting candidates from this capitalist party. Thus the Vermont branch leadership called for support to Senator Bernie Sanders’ presidential candidacy bid. But Sanders is a member of the capitalist Democrat Party, who while he wants greater social inequality accepts the sanctity of the capitalist state and thus would be incapable of achieving many of the progressive measures that he seeks. Moreover, through advocating strident trade protectionism, Sanders damages working class unity and thus undermines the class struggle resistance that could actually win gains for the working class masses. Meanwhile, like other progressive Democrats such as Alexandria Ocasio-Cortez, Sanders fully enlists in the imperialist campaign of lies against China over Muslim Uyghurs in China’s northwestern Xinjiang Uyghur Autonomous Region and is a strident supporter of the anti-communist, anti-China opposition in Hong Kong.
However, it is significant that the VT AFL-CIO leaders have the determination to defend their more class-struggle, left-wing agenda against bureaucratic attacks from Trumka. Resisting this right-wing attack from the national AFL-CIO tops inevitably brings up a discussion about what else is wrong with the national AFL-CIO leadership’s program and opens the possibility of a more complete break with Trumka’s class-collaborationist, protectionist and pro-imperialist outlook. That is why revolutionaries should join the united front opposing Trumka’s attack on the AFL-CIO’s Vermont branch.
It is not just in the U.S. where there needs to be a new, revolutionary agenda to guide the working class movement. Here in Australia, the ACTU’s strategy of reliance on the Labor Party, divisive economic nationalism, subordination to anti-strike laws and support for Australian imperialism’s agenda has proved disastrous to the workers movement. Over the last three and a half decades the share of national income going to workers has dropped drastically in favour of ever greater profits for the capitalists. Meanwhile, more and more workers have been driven into insecure casual and gig jobs, social welfare has been slashed and rental accommodation and housing have become more unaffordable for working class people. The revolutionary, internationalist program that must guide the workers movement here includes:
Rely on strikes and picket lines, including in defiance of anti-strike laws and Arbitration courts, to defend workers rights rather than the dead end of relying on the ALP and the Greens.
Fight for permanency and all the rights of permanency for all currently casual and gig workers.
Refuse to accept the capitalist bosses right to sack workers. Fight to ban all profitable companies from slashing jobs and force them to increase hiring at the expense of their profits. When the capitalists inevitably scream back that such measures will lead to economic collapse, then explain to workers that, since capitalists say that their system cannot survive if the measures needed to bring jobs for all are taken, this proves that the economy needs to be ripped out of the capitalists hands and brought into public ownership under workers control.
Fight for the granting of the full rights of citizenship for all visa workers, refugees and international students.
Oppose all protectionist demands that set local workers against our working class sisters and brother abroad. For a fighting unity of workers against the capitalist exploiters everywhere!
Mobilise mass action of workers to defend Aboriginal rights and to oppose racist state terror against Aboriginal people.
The workers movement must champion the fight to enable women’s full participation in social, economic and political life: Demand free, 24-hour, public-provided childcare; free, nutritious school lunches for school students and free, after-school and holiday sporting, cultural and hobby activities for children with free public-provided shuttle services to them from school/home.
Build joint mobilisations of workers contingents, Aboriginal people, Asians, Muslims, Africans and all other people of colour together with all anti-racists to crush provocations by violent far-right forces.
Oppose any support for any pro-imperialist labour groups and anti-communist “democratic” and “human rights” forces seeking to undermine socialistic rule in China or Red China’s sovereignty over her Hong Kong territory. Stand with the Chinese, North Korean and other workers states against the U.S./Australian Cold War drive.
By standing by a leftist branch of the U.S. union movement that is resisting a bureaucratic attack from more conservative union officials we can advance the struggle to build a class struggle leadership of the American workers movement. This can only encourage the fight to build the revolutionary, internationalist leadership of the working class that we so badly need here too in Australia.
UPDATE, 30 June 2021, 10:20am (AEST): About two hours ago, the Vermont AFL-CIO and its leader David Deusen announced that the national AFL-CIO president Richard Trumka had sent its Vermont branch a formal letter stating that although its General Strike Authorization resolution was deemed “misconduct”, he would NOT be taking disciplinary action against the Vermont branch. So victory in this struggle!
Congratulations to Vermont trade unionists and all others who took a stand in this struggle. We should also note that yesterday another Australian-based pro-union group took a stand by sending a protest letter to Richard Trumka. That group is the Australian Chinese Workers Association. Below is the letter that they E-mailed to Trumka:
Drawing Inspiration from the Hungry Panda Struggle Led by Migrant Workers from Socialistic China:
LET’S WIN A MINIMUM WAGE AND PERMANENCY FOR ALL GIG WORKERS
28 April 2021: On February 2, a group of delivery drivers took a brave step. They waged the first strike in Australia’s history by gig workers. The workers opposed cuts to their pay rates by the company that they toil for, British-based Hungry Panda. Hungry Panda, while having no operations in China itself, specialises in providing food delivery to expatriate Chinese communities. It is largely owned by Western investment firms like Swedish corporation Kinnevik and Britain’s Felix Capital. Hungry Panda responded to the daring strike by removing two strike leaders, Jun Yang and Xiangqian Li, from the platform dispensing gigs to drivers. But the workers stood firm. They organised with the Transport Workers Union (TWU) and held rallies and stopworks. And six weeks later, they made history again. They achieved the first ever victory by gig economy workers in Australia. The two sacked workers won their jobs back and Hungry Panda reversed the pay cuts, increased pay in certain areas and agreed to provide accident insurance to drivers.
In
terms of improvement in conditions, the victory is modest. Like other gig
workers, Hungry Panda workers continue to be
terribly exploited. Many have to work long hours to make ends meet. For
delivery riders, the resulting exhaustion can literally kill them. Last year, five such riders were killed on the job in
Australia. However, the victory at Hungry Panda has enormous significance. It shows that even gig
workers – who by definition have no job security because their income depends
not on set hours but on being granted individual gigs by their
bosses – can win gains through collective action. Let’s seize on this trailblazing struggle to organise other gig workers
into our unions and fight for a drastic improvement in their pay and
conditions. Let’s not only wage struggles against individual business
owners but combine that with a fight for laws to improve the conditions
of all gig and casual workers. To do this we need to bring the power of
stronger sections of the union movement behind the fight for the rights of these most vulnerable workers. Let’s demand:
The granting of a decent, guaranteed minimum weekly wage to all currently gig and casual workers even if they are granted less hours in any week than that which would enable them to currently receive such wages.
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The immediate granting of permanency to all gig and casual workers – including the granting of all the rights of permanency like sick pay, annual leave and accident insurance.
MIGRANT WORKERS FROM THE CHINESE WORKERS STATE SPEARHEAD STRUGGLE
The backbone of the Hungry Panda struggle was
made up of drivers from the Peoples Republic of China (PRC) who had come here as visa workers or students. This includes the two strike leaders who were
initially sacked. This is not the first time that migrant workers from the PRC have energised the workers movement
in the countries that they have worked in. In
November 2012, 180 bus drivers
from China waged Singapore’s first strike in 27 years!
Their strike not only flouted
Singapore’s harsh anti- strike
laws but was done in defiance of Singapore’s union leaders who treacherously
condemned the strike. Five of the Chinese strike
leaders ended up being jailed by the Singapore regime and 29 other strikers
were deported. The struggle did, however, win
some improvements to the housing conditions of the drivers. In repressive,
capitalist Singapore, the daring strike by the
Chinese guest workers had the effect of a political earthquake.
So why do migrant workers from China, even when toiling under precarious employment arrangements, often have a great propensity to wage struggles? The reason is that in 1949, China had a massive revolution that brought workers to power. To be sure, the workers state created by that revolution is bureaucratically deformed and is today being white anted from within by a capitalist class that China’s compromising leaders allowed to emerge over the last four decades. However, unlike in Australia, India or the U.S., where it is the tycoons that governments answer to, in China billionaires are often cut down to size. Indeed, China’s tycoons are terrified when rich lists are released because that can result in a popular upsurge against them on social media that can culminate in the PRC state imprisoning them. Just two weeks ago, the PRC forced one of the two main companies controlled by China’s most well-known capitalist, Jack Ma, to restructure in a way that will cripple its profitability. Indeed, ever since the PRC squashed a lucrative share sale of that company last November, the normally high-profile Ma, fearing arrest, has gone into seclusion. Could you imagine that happening to Gina Rinehart or one of the Murdoch dynasty here! As a result of these anti-capitalist crackdowns in China, while wages are lower, in keeping with the country still pulling herself out of her pre- revolution poverty, working conditions are better than in Australia. This is especially true in the PRC’s socialistic public sector that dominates the key parts of her economy. As a huge sprawling country, there are some private companies, especially those owned by Western or Taiwanese capitalists, which can quietly get away with abusing workers rights. However, ever since the PRC instituted a pro-worker law in 2008, workers rights have considerably improved. Article 4 of that law gives unions effective veto power over any modification to wages or conditions at a workplace. More significantly, when Chinese workers strike, PRC authorities often – though not always – support the workers not only in their court rulings but by tacitly allowing workers to picket and, sometimes, even take the bosses hostage with impunity. The result of all this is that Chinese workers have a sense of entitlement – a sense that comes from being a member of China’s ruling class. So, when they go as temporary workers abroad, they bring that workers don’t have to put up with crap spirit with them. The Australian workers movement, which has been on the back foot for decades, sure does need this kind of “communist Chinese interference”! Moreover, as the contribution by Chinese workers at Hungry Panda has shown, the existence of a workers state in China is good for the workers movement here. On the other hand, if the capitalist powers succeed in their campaign to destroy the PRC workers state and, thus, turn China into a massive sweatshop for capitalist exploitation this would drive down the conditions of workers the world over. Thus, we must stand with socialistic China against the capitalist powers’ Cold War drive. Rebuff the lying, anti-communist propaganda campaign over Xinjiang, Hong Kong and the pandemic! Oppose the U.S. and Australian capitalist regimes’ military build up against socialistic China!
DEMAND THE RIGHTS OF CITIZENSHIP FOR ALL WORKERS RESIDING HERE
As well as being from China,
Hungry Panda workers
are often also temporary residents
from South Asian countries. Their powerful struggle
has blown to pieces the nationalist notion that visa workers are simply people who “take Australian jobs” rather than a
valued part of a potentially fighting workers movement. Nevertheless, that
guest workers and international students can be deported so easily and have no access to social security is a
huge deterrent to these workers engaging in struggle. Even as pro- ALP union leaders and their ALP
parliamentary mates have been quick to use the Hungry Panda workers victory to
strengthen their own reputations with
workers, much of the pro-ALP union leadership isolates visa workers still
further by calling to “keep out guest
workers”. Fortunately, a small number of unions are now rejecting this divisive
approach that weakens the ability of workers
to unite and fight. We say that the
workers movement must fight for the granting of all the rights of citizenship
to every worker, refugee and student who is here. Let’s unleash
the full fighting
potential of migrant
workers seen so powerfully in the Hungry Panda struggle.
There is something else holding back struggle by migrant workers and that is the incessant racism that they are copping. Such attacks intimidate these workers and make them feel that they don’t belong here and, thus, would be demonised further should they rock the boat. The entire workers movement must come to their defence. We cannot stop individual attacks as they take place at random and are committed by a large number of disparate racists. However, when organised white supremacist groups hold a public provocation, the workers movement should unite with Aboriginal people, all people of colour and all anti-racists to sweep the racist scum off our streets. By dealing severe blows to the most organised racists we can scare the more numerous, garden-variety rednecks into pulling their heads in. Right now, people of Asian background are especially being hit with racist attacks which are getting worse by the day. To stop this we need to oppose the main factor currently encouraging anti-Asian hate attacks – the Cold War drive against socialistic China. Yet, the current ALP leadership of the workers movement is at one with the right-wing Morrison government in its Cold War – and increasing push towards hot war – drive against socialistic China. The ALP does so for the same reason that they promote divisive slogans against guest workers. The ALP accepts the overall domination of the capitalist class and is only seeking to improve workers position within that framework. That necessarily means that instead of fighting to strongly challenge capitalist interests they are left with trying to improve the position of local workers at the expense of their migrant and international worker counterparts. We need to decisively turn the workers movement away from this divisive and failed “strategy.” We need a workers movement that understands that we cannot defend workers interests if we try to gain the acceptance of the big end of town – a movement that understands that workers interests only come by uniting workers of all races and nationalities in militant struggle against their common enemy, the capitalist exploiters.
LET’S USE THE INSPIRATIONAL STRUGGLE BY HUNGRY PANDA WORKERS TO BUILD A WORKING CLASS FIGHTBACK
The
struggle by Hungry Panda workers is not only crucial for gig and casual
workers. By showing that even the most vulnerable workers can win through collective action, they provide
inspiration to all sections of the union movement. And right now our workers movement sure is in need of
inspiration! The bosses have used the pandemic to attack working conditions,
retrench workers and make those still
working toil yet harder for the same pay. Let’s
unleash powerful industrial action to smash attacks
on workers’ wages and conditions! Fight for a minimum weekly wage and
permanency for all currently gig and casual
workers! Win secure jobs for all by forcing capitalists to increase hiring
at the expense of their profits! Build the unity we need to wage a class struggle fightback – smash racist attacks
and demand the rights of citizenship for everyone who is here! Defend the PRC workers state that gave the Hungry
Panda guest workers
their “sense of entitlement” that enabled Australia’s first ever successful industrial struggle by gig workers!
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Above: A familiar sight in today’s Australia. Unemployed workers endure a huge queue outside a Centrelink office. Photo Credit: ABC News/RON EKKEL
FIGHT FOR SECURE JOBS FOR ALL WORKERS: FORCE COMPANIES TO INCREASE HIRING AT THE EXPENSE OF THEIR BLOATED PROFITS!
30 October 2020: Bosses are using the pandemic to cut their workforce and force those still employed to toil even harder… all for the same pay. That is why even as corporations are frantically throwing workers out of jobs, their own profits are skyrocketing. They soared by 15% in just three months! Sure, some businesses are doing it hard. But overall, even small business total profits have risen. Yet the Morrison government keeps on doling out public money to the rich capitalist business owners. True, Jobkeeper did help some workers keep their jobs. That is why we demand that it be extended to cover casuals, guest workers and international students. However, the scheme has not saved the jobs of even many workers covered by the program. Moreover, the scheme has helped business owners far, far more than it has helped workers. In the long term, the huge flow of public funds into the hands of rich capitalists will lead to working class people having to pay for the resulting debt. We will be made to cop cuts to public services and welfare. And now, the Liberals’ latest budget is giving still more handouts to its capitalist mates!
However, winning jobs for workers requires not boosting bosses’ profits but the very opposite: forcing business owners to retain a bigger workforce than the level that makes them the greatest profits. We need mass struggle, including industrial action, to stop bosses cutting jobs! Let’s unite employed and unemployed workers to demand:
A ban on job cuts by any firm making a profit, however small.
A ban on job cuts by any company whose CEO has an annual package in excess of $1 million.
A ban on job cuts by any business whose profit over the previous seven years exceeds any current losses.
The forcing of any company making a profit to increase its number of full-time employees by at least twenty-five workers for every one million dollars of quarterly (i.e. three monthly) profit.
A ban on all cuts to wages and shift penalties from pre-pandemic levels.
The granting of permanency to all currently casual workers.
Any business that violates any of these measures to be confiscated and transferred into public ownership.
Instead of such a program, the ALP and Greens “opposition” parties and the pro-ALP leadership of most of our unions have accepted Morrison’s deceitful mantra that workers and their bosses “are all in this together.” They only differ with the government on the details. Additionally, Greens and ALP politicians and Laborite union leaders have long called for promoting jobs through protecting businesses from imports, backing local manufacturing companies and keeping out guest workers. But over the last several months, importing goods has become harder, local businesses have been subsidised and guest workers can’t come in. And still local bosses are throwing workers out of their jobs left, right and centre as they choose to make workers pay for the pandemic! Protectionism fails to save anyone’s job. It only divides local workers from their true allies: all the other workers of the world. Meanwhile, it very mistakenly makes workers believe that they have a common “national interest” with their own local bosses.
That is why we need a new agenda to lead our unions and the broader working class. An agenda based on the understanding that jobs for all workers can only be won through struggle against the capitalist exploiters. Such a program would be guided by the truth that to wage this struggle against the powerful capitalists, the workers movement must unite with all those hurt by the capitalist-dominated “order” – Aboriginal people suffering intense racist oppression, women workers disproportionately copping insecure jobs, guest workers and international students denied the rights of citizenship and Chinese, other Asian, Muslim and African people hit with redneck attacks. And when the capitalist exploiters scream that forcing them to hire more workers than they want will cause economic collapse, we must respond: if your system cannot tolerate the obvious measures needed to ensure secure jobs for all workers then your system has simply got to go! We working class people and our allies will take over the economy and run it based on socialist collective ownership for the benefit of us all.
For those who want to print out this article to distribute to potentially interested work mates, fellow union members and friends, here is a PDF version of this article in leaflet form (one single-sided A4 page):
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Photo Above: Who is Really Calling the Shots! Australia’s richest person, mining billionaire Gina Rinehart flanked by Scott Morrison and Donald Trump at a White House state dinner during Morrison’s trip to the U.S. in September 2019. As in the U.S., in Australia, governments and state institution serve the capitalist exploiting class. That is why even during the pandemic, Australia’s tycoons have become even richer at the expense of working class people.
Corporate Bosses Use Pandemic to
Increase Their Exploitation of Workers
The Ever Increasing Share of National Income That Is Being Plundered By the Capitalists
Force Companies to Increase Hiring at the Expense of Their Ever More Bloated Profits!
12 September 2020: Over the last several months, business owners have thrown hundreds of thousands of workers out of their jobs. Even the ballooning unemployment rate hides the true extent of job losses. Many workers have given up the search for work and are thus not counted as unemployed. A huge number of casual workers simply are not getting shifts anymore or barely more than a few hours of work every month. They may be officially counted as “employed” but they know what they are actually going through!
Yet business owners – from
the bigwigs of large corporations to smaller business bosses hiring just a few
workers – have been crying poor too. And the right-wing federal Coalition
government, the Coalition and ALP state governments and the mainstream media keep
on telling us that “we are all in this together” in terms of the current
economic pain. However, the hard facts revealed a couple of weeks ago by the
Australian Bureau of Statistics (ABS) prove what many people already know: that
we are in fact not all in
this together. They show that while
total wages for the three months to the end of June plummeted by 3.3% [1], corporate profits have surged by a
staggering 15% in the very same period [2]. To give a sense of how big that
profit explosion is, consider this: if
corporate profits continue to skyrocket at the same compound rate every quarter
for the next three quarters as well, profits would have increased by 75% in
just one year!
Sure, the bosses of some sectors like tourism and
travel businesses are experiencing falling profits [2]. However, this is more
than made up for by the surge in profits in other sectors. For example, profits
in the construction sector surged by 54% in the June quarter [2]. And while some retail outlets are not doing
so well, others are making such a killing that total corporate retail profits
have skyrocketed by over 30% in just three months [2].
Yet, when the media report on the suffering caused by
the pandemic, they focus heavily on the challenges of business owners and very
little on the hardships of workers. The media and politicians especially like
to speak about the difficulties faced by small business owners. Yet while small
business owners of cafes, restaurants and motels have certainly been hard hit
by the economic crisis, the profit increases amongst small businesses in the
media, information and telecommunications sector, the construction industry,
mining and some parts of retail have been so
huge that the overall profits of unincorporated businesses – that is, overwhelmingly smaller businesses – have
risen by a solid 1.6% in just the months of April, May and June alone [3].
So how have business owners – especially those of bigger operations but to a lesser extent those of smaller ones too – managed to actually increase their profits when overall the economy is in the worst recession since the 1930s Great Depression? How are they able to reap in yet more spectacular profits when the overall income produced by the economy has crashed by 7% in just the three months to the end of June [4]? The capitalist business owners have achieved this by grabbing a still bigger share of national income at the expense of the wage workers who actually do the work. This is a proven by a very revealing figure detailed in the national accounts for the June 2020 quarter: the Unit Labour Cost. The Unit Labour Cost represents the average amount that bosses must outlay in wages and superannuation for each dollar of added value that workers produce [5]. In other words, the higher the Unit Labour Cost the less that workers are being exploited, while the lower the Unit Labour Cost, the more that workers are being ripped off. Well, that Unit Labour Cost crashed by nearly 10% in just the June quarter alone [6]! That means bosses have spectacularly increased their rate of exploitation of workers during the pandemic. One way they have done this is to use the cover of the pandemic to cut their workforce and force those still employed to toil even harder for the same pay. The greedy capitalist business owners know that many workers still in jobs are nervous about resisting bosses when they see so many of their colleagues being thrown out of work. In other cases, corporate bosses and smaller business owners alike have been slashing working conditions over the last few months. For example, they have been forcing workers to work shifts without paying them shift or weekend penalties. So much for “we are all in this together”!
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Now, bosses want
to increase their rate of exploitation even more. They are demanding laws to
extend workplace “flexibility” arrangements that will enable them to more
broadly avoid paying shift rates. In the mouths of the capitalists, “workplace
flexibility” means the bosses forcing workers to work in whatever arrangement
that is most profitable for the capitalists and workers not organizing
collectively to resist. The Liberal/National government is pushing this agenda
aggressively. They have insisted that firms eligible for JobKeeper be able to
unilaterally impose changes on employees’ work hours,
duties or work location. With typical spinelessness, the ALP “opposition” is, for
the most part, going along with the “flexibility” push. Even the ALP-dominated
leadership of the ACTU trade union federation has said that it is in principle
willing to negotiate on issues of “flexibility.” The ranks of the workers
movement should revolt against their current leaders acquiescing to this
agenda! We must fight to stop the
rollbacks of workplace rights for workers! Stop any cuts to wage loadings for
shift work! For wage rises not wage cuts!
Let’s fight against unemployment by forcing the capitalist bosses to maintain
much larger workforces at the expense of their ever expanding profits!
The Ever Increasing Share of National Income That Is Being Plundered By the Capitalists
As the total output that the
economy is producing is plummeting during this recession and some smaller
businesses in certain sectors are indeed doing it hard, the capitalist
bigwigs have overall actually become richer because they are seizing a much
bigger proportion of the national income than they were previously. The pie
has become a lot smaller but the share of that pie that the capitalists have
grabbed for themselves is just getting so much larger. Therefore, there’s a lot
less pie – filled to the brim as it is with
the fruits of our working class labour –
left to be distributed among the millions of working class people.
That business profits have been rising at a much faster rate than wages is not something that started during the pandemic. It has been going on for several decades now. The ABS data for the June quarter gives us a sense of just how much workers are being denied the fruits of their own labour. They show that total profits for the period of all private sector businesses employing labour [7] – that is, excluding the genuinely self-employed sector – was a whopping $120.1 billion; of which $109.6 billion was extracted by corporations [8] and $10.5 billion from unincorporated businesses [9] (largely smaller businesses). In the same period, total wages across the private sector were $141.9 billion [10]. That means that on average in capitalist businesses – that is, those hiring labour – 54% of the value that has been added by the operation of the business goes to wages and salaries and 46% goes to the business owners as profits. That is despicably unfair! For one, workers far, far outnumber business owners. Moreover, it is workers who are doing the work that actually produces the output of an enterprise. After all, how much of the iron ore that makes multi-billion dollar profits for the likes of Andrew Forrest and Gina Rinehart has ever been dug up or transported or processed by any one of these tycoons? None at all! And how many of the cardboard boxes that makes Visy owner, Anthony Pratt, his fortune has he ever folded or contributed to their development, manufacture, storage or transport?
The breakdown in distribution of income in an average business of 54% to wages and salaries and 46% to profits does not tell the whole story. For the fat salaries and bonuses of CEOs, directors and other top executives are also classified in the ABS figures as “wages and salaries.” But these big bosses are invariably also part or full shareholders of the company or sometimes even the sole owners of an enterprise in the case of smaller businesses. Although these people are numerically few compared to workers, their salaries and bonuses are so bloated that they make up a significant portion of total wages and salaries. If we moved their salaries and bonuses into the profits side, we would find that the split in income distribution in an average business is pretty much 50% to the workers and 50% to the business owners (indeed, it may well be that the capitalist bosses are getting even more than 50%). That seems a lot for these already fat cats to sit on their lazy, exploiting behinds! Let’s ponder what this fact means for workers. Consider a worker, lucky to have a full-time job, who receives $50,000 per year in wages. On average that worker is actually adding $100,000 or more to the net revenue of the business – that is, to the enterprise’s revenue minus all the expenses including raw materials, stationary, electricity, transport etc. Yet of that $100,000 of value that the worker is adding to the business operation, she or he receives back just $50,000 in wages. The other $50,000 is stolen by the business owners! That is the level of capitalist exploitation going on every day in Australia right across the economy – from large corporations employing thousands of workers to smaller businesses hiring just a few.
The reality is that even before the pandemic hit, this rate of exploitation of workers had
been increasing remorselessly. Thus, for the
earliest date that ABS data is readily available, the March quarter of 2001,
the official breakdown – the real one as we have discussed is even less
favourable for workers – in average income
distribution in a business was 64% for wages and salaries and 36% for business
profits [7] [10]. Yet by just before the pandemic, at the end of the December
quarter of 2019, the average distribution in Australia’s private sector had
become just 58% for wages and salaries and 42% for profits. Now, in just six
months, the percentage of income going to wages and salaries has crashed by a
further 4%, while the proportion going to profits has surged by the same
amount.
It seems that the income of ultra-rich business owners
is set to rise even further at the expense of working class people. The
conservative Morrison government has flagged that it may accede to the demands
of business bigwigs and make yet another cut to company tax levels even as it
has disgustingly decreed that Jobseeker payments for unemployed people will be
slashed by $300 a fortnight from next month onwards. This must be resisted!
Yes, economic stimulus is needed but in a way that actually benefits the
masses. The working class and its allies should demand:
No income tax cuts for high income earners (that is, those on more than $250,000 per annum).
No corporate tax cuts. Greatly increase company tax rates instead to cover some of the ballooning debt.
No reduction in Jobseeker payments – increase them instead!
A massive increase in provision of low-rent public housing. With millions of working class people struggling to pay rent this is an urgently needed measure.
A huge increase in funding for aged care. For all this funding to go to publicly-owned aged care centres. Due to the greed of private aged care business owners, the profit-driven aged care sector has failed to ensure the safety of residents and aged care workers during the pandemic, leading to the horrific, unnecessary deaths of hundreds of people. The aged care sector must be nationalized. The present employment of aged care workers on insecure casual terms should be replaced by their employment on a permanent, secure basis. For the number of aged care workers to be greatly increased and for public resources to be devoted to the systematic training of all aged care workers.
Free 24 hour childcare and free pre-school education accessible to all infants. This is vitally necessary to enable women’s full participation in economic, political and community life. All the funding should go to publicly owned childcare centres and pre-schools – the childcare sector must be nationalized.
Force Companies to Increase Hiring at the Expense of Their Ever More Bloated Profits!
Other than through more intensively exploiting their
workers, there is another reason why capitalist business owners have overall
been able to greatly increase their profits during the pandemic. Though the government’s JobKeeper program, in the context of a social order where bosses
are able to retrench workers at will, has helped some workers remain in
employment, overwhelmingly the main beneficiaries of the program have been
business owners. And this was always the government’s intention! In our
leaflet, No Job Cuts! No Unpaid Stand
Downs! that was written more than 4 months ago, in the early days of JobKeeper, we warned of this massive problem with the
scheme:
“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.”
With the ABS figures showing that corporate profits
have skyrocketed by 15% in the June quarter alone, the above prediction has now
been confirmed.
Yet given that capitalists are, currently, completely
free to throw workers out of their jobs at any time if that is what it takes to
maximize these bosses’ bottom line, what should
then be our attitude to JobKeeper? Well, it means that while fighting to impose a program for jobs
that will consistently benefit working class people and that can truly get rid
of unemployment, we should in the
interim insist on the maintenance of JobKeeper,
demand its extension to cover the millions of workers not presently included in
the scheme – including all casual workers, visa workers and international
students – and oppose the Morrison government’s plan to reduce JobKeeper payments from the end of September
onwards. The ALP and ACTU oppose the Morrison government’s plan to slash the
level of JobKeeper payments and to
the extent that they are actually standing by that position that stance should
be supported. However, overwhelmingly,
the main game should not be about JobKeeper
but about fighting for a class struggle program to end unemployment. And
here the ALP and the current pro-ALP leadership of most of our unions have
nothing at all to offer. Indeed, the ALP is so intent on ensuring their own
acceptance by the powerful big end of town – and even more so under “left”
current ALP leader, Anthony Albanese, than under the openly
right faction former head, Bill Shorten – that
they cannot even moot a scheme that would reduce unemployment at the expense of
business profits.
When one realizes that for every $100,000 of value added by a worker, on average about $50,000 is extracted by Australia’s capitalists, then it is very obvious what we need to do to fight unemployment: we need to force those capitalists to divert some of that money that they are grabbing from their workers as profits – perhaps to use to buy their third Mercedes, their eighth holiday home or their second luxury yacht – and use it instead to hire more workers. Capitalist business owners seek not to maximize production but rather to operate at that certain level of production with a certain size workforce that will produce the maximum profits for them. The reason that they don’t want to have a still bigger workforce producing more goods or services is that once that “optimum” level (for them) is reached any further increase in workforce would actually lead to a drop in their profits; for one, because they would need to reduce the price too much to sell the extra goods or services that the additional workers are producing, secondly because they may need to pay higher wages when there is less unemployment and thirdly because they would need to spend more on training as they start to hire less trained workers. However, if we could compel the business bosses to hire more workers, they would be forced to increase production of goods or services to make use of those extra workers and then have to lower the cost of the produced items in order to sell them all. So we would end up with an economy with more workers employed, more goods and services produced and lower prices – all of which would be great for the working class masses but which would be achieved at the expense of capitalist profits. Consider, for example, how this would work with the supermarkets – and we know that the filthy rich owners of Coles and Woolworths have continued to rake in fabulous profits during the pandemic [11]. If these bosses of the supermarket giants were forced to hire more workers and prevented from cutting any workers’ wages or conditions they would end up increasing opening hours to make use of the extra workers and probably increase the time spent on job training. Furthermore, so that they would gain some benefit in terms of total sales from having the extra staff, they would need to slightly lower prices to sell more goods and, thus, utilize the extra labour that they have been compelled to take on board. Moreover, to make use of the extra workers they would probably have more customers served by check out staff rather than self-serve counters. Apart from this being beneficial to the working class because more workers get employed, working class customers would also benefit through lower prices, faster and more convenient service and longer supermarket opening hours.
Of course, the
capitalist supermarket bosses would absolutely hate this as would any capitalist
being forced to employ more workers than they want to. They will scream blue
murder at the loss of profits. Meanwhile, Liberal, ALP and ALP/Greens governments, who all ultimately serve the
capitalists, will also militantly oppose such demands. That is why the only way
that we can compel the bosses to hire more workers at the expense of their
profits is through determined mass struggle. We need such powerful working
class action that the capitalists and the governments that serve them will
realise that the cost of not acceding to our demands is potentially greater and
more threatening to their overall domination of society than the loss of
profits that would ensue from meeting our demands. Even during a pandemic,
powerful working class action is still possible. In July, five hundred workers organised
by the National Union of Workers at Woolworths’ warehouse in Wyong, NSW took
powerful strike action to demand decent pay. The striking workers, who also established
a picket line to enforce the strike, additionally demanded the conversion of
long-term casuals to permanency.
In order to unite workers across different workplaces into a common fight for jobs for all and in order to ensure that the rights of workers at smaller businesses – where industrial action is less effective – are also protected, we should fight for actual laws that force bosses to increase the number of workers that they employ. Among the demands that we should fight for are:
A ban on all job cuts or unpaid stand downs by any firm making a profit, however small.
A ban on all job cuts or unpaid stand downs by any company whose highest paid executive or director has an annual salary and bonus package in excess of $1 million.
A ban on job cuts or unpaid stand downs by any business whose total profit over the previous, say seven, years exceeds any current losses.
The forcing of any company still making a profit to increase its number of full-time paid employees by at least twenty-five workers for every one million dollars of quarterly (i.e. three monthly) profit. By the way, since total profits of private sector businesses utilizing hired labour was more than $120 billion in the last quarter, this measure alone would immediately lead to an extra three million full-time jobs.
A ban on all cuts to wages and workplace conditions from pre-pandemic levels.
The immediate conversion of all casual workers into permanent employees with all the rights of permanency.
Any business that violates any of these measures to be confiscated and transferred into public ownership.
To such a
program, the capitalist exploiters and all the ruling class politicians,
mainstream media commentators, “experts” and official economists who serve them
will scream that this is “totally impractical”, “will cause investment to
collapse”, “will lead to a plummeting of business confidence” etc etc etc. When they do, all socialists should use that
opportunity to explain to the working class masses that this is precisely why
we socialists insist that the means of production be stripped away from the
rich capitalists and brought into public ownership under a workers government.
For if the capitalists insist that plainly rational measures to ensure that every
worker gets a permanent, secure job is “not practical” and “will cause
investment to collapse” under their system, then this is the best proof one can get that their system needs to be swept away once and for all by the workers and all our allies and
replaced by a socialist system that we can truly call
our own.
Justice for David Dungay and All the Victims of Racist State Terror in Australia!
Solidarity with the Uprising Against Racist Police Murder of Black People in the U.S.
30 May 2020: Black people in the U.S. have had enough. Had enough of racist police terror and systematic discrimination in all aspects of their lives. Today many black people have spearheaded a heroic uprising across U.S. cities. This struggle has been joined by thousands of anti-racists from all other races – white, Native American, Hispanic, Asian, Middle Eastern etc. The immediate trigger for the uprising was the horrific racist murder in Minneapolis of George Floyd, an unarmed black man, by a racist white police officer. The cop knelt forcefully on Floyd’s neck for a whole nine minutes as Floyd, handcuffed and face down, begged for the cop to stop: “Please”, “I can’t breathe.” The cop heinously ignored these pleas and that of bystanders. He even continued to put his weight on Floyd’s neck for several minutes after Floyd became unresponsive. George Floyd was a 46 year-old father of two daughters.
This was unmistakably
an act of racist torture and murder. The perpetrator did it because in racist
America he expected that he could get away with it. And if not for the
uprising, the cop would have gotten away with it! Immediately after the murder,
the chief prosecutor started making excuses for the cop. The racist cop was
only charged four days after the murder, after the uprising had intensified and
spread. However, at this stage, the charge is of a much lower sub-category of
murder charge – “third degree murder.” Protesters and Floyd’s family are
rightly furious that the racist cop has not been charged with a higher murder
charge given his obviously conscious torturing of Floyd and repeated ignoring
of Floyd’s pleas. They are also rightly angry that the three other cops assisting
the murderer have not been charged. Moreover, given the racist bias in the U.S.
legal system, it is far from certain that the charge will lead to an actual
conviction and an adequate sentence.
Chillingly,
hard right U.S. president Donald Trump has threatened to have protesters shot,
tweeting “when the looting starts, the shooting starts.” Now Minnesota’s
Governor has fully mobilised the National Guard against protesters. Riot police
across the U.S. are brutally attacking protesters. Those standing up to racist
terror are also being threatened by armed, fascist militiamen and right-wing
shopkeepers. Let us stand in solidarity
with those involved in the militant protests against the state repression and
far-right attacks that they are facing! Drop all charges against the
anti-racist protesters!
The strength
of the uprising is because Floyd’s murder is far from being an exception. His
killing recalls the racist murder of black man, Eric Garner, in New York six
years earlier. Garner, a grandfather, was strangled in a chokehold as he
pleaded, “I can’t breathe” at least eleven times while held face down.
Hundreds of black and other non-white people have been killed by racist cops in
America over the last few years. On average, police in America kill over 1,000
people every year with the victims being disproportionately black, Hispanic,
Native American, other non-white and poor.
People are
also enraged at the all-sided racist discrimination against non-white people in
the U.S. and at the oppression of working class and poor people. There is
widespread anger at the botched and totally callous response to the COVID-19
pandemic of the Trump regime and Republican and Democrat state governors alike,
who have put the interests of corporate profits and the stock markets ahead of those
of the poor, sick and elderly most vulnerable to the pandemic. With health care
unaffordable for poor people, the poor often having to live in crowded or
substandard housing and with racist discrimination at every level, black people
in America have been dying from COVID-19 at two and a half times the rate of
white people. Working class and poor people of all races, especially youth, are
also furious that the bosses who have exploited huge profits from their labour
over the years have not hesitated to throw them out of work at the first sign of
loss of revenue when the pandemic hit.
The racist murder of George Floyd recalls the eerily similar murder of 26 year-old Aboriginal man, David Dungay, by sadistic prison guards at Sydney’s Long Bay Jail in December 2015. Dungay was crushed to death by racist prison guards after six guards stormed his cell on the pretext that they need to “protect” the diabetic man from harming himself after he started eating biscuits. In this murder that was also captured on video, five heavy-set guards bore down upon Dungay and strangled his breathing as David Dungay repeatedly pleaded, “please, I can’t breathe!” However, the guards ignored him and continued to crush Dungay causing him to be starved of oxygen and die. There were also protests demanding justice for Dungay. But unlike the response to the killing of Floyd, the protests were not able to reach the scale of a militant, nationwide uprising. As a result, none of the murdering, racist prison guards were even disciplined let alone charged! A coronial inquest that was finalised last November whitewashed the prison guards’ killing of David Dungay. Over the last three decades, 450 Aboriginal people have died in state custody, many simply murdered by cops and prison guards or killed as a result of their racist neglect. The victims include Daniel Yock, TJ Hickey, Mulrunji Doomadgee, Kwementyaye (Terrance) Briscoe, Julieka Dhu, Rebecca Maher, Eric Whittaker, Tane Chatfield, Nathan Reynolds, Tanya Day, Kumanjayi Walker and so many more. The oppression of Aboriginal people in racist, capitalist Australia is if anything even more intense than that of black people in the U.S. – with Aboriginal people enduring a higher rate of imprisonment and a higher level of economic and health inequality. Not a single police man or woman or prison guard has ever been convicted with the killing of an Aboriginal person in custody in Australia’s long and sorry and brutal colonial history of invasion, exploitation and oppression! Instead, too many Aboriginal men, women and children continue to languish and remain at risk locked up in this country’s many prisons and detention centres. Alarmingly, although Aboriginal and Torres Strait Islander adults make up around 2% of the national population, they constitute a shocking 27% of the national prison population and, shamefully, half of the 10- to 17-year-olds in jails are Aboriginal. Trotskyist Platform supports the call – in response to the added threat now posed by COVID-19 to Indigenous lives in already overcrowded prison conditions – made by the brave families of victims of deaths in state custody to immediately release Aboriginal and Torres Strait Islander prisoners across Australia: https://www.alsnswact.org.au/open_letter_from_families_clean_out_prisons.
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Trotskyist Platform joins many others in giving our full support to the uprising in the U.S. against racist cop terror and systematic racist oppression of black people. We in particular defend acts against the instruments and symbols of racist state terror – like police stations, police vehicles and court houses. Here, all anti-racists and politically aware workers rights activists must support Aboriginal people’s struggle against racist oppression by joining them in building staunch, mass resistance. Let us demand the jailing of the prison guards who killed David Dungay and the jailing of the state personnel who murdered all the other victims of racist state terror in Australia. It is crucial that the power of the multi-racial workers movement be brought to bear in this struggle alongside Aboriginal people and other people of colour facing racist attack in Australia – like Australia’s Chinese and East Asian communities who are being so viciously attacked by rednecks under the cover of COVID-19 fears.
Unfortunately, the disguised white supremacist consensus that dominates Australian political life even infects sections of the workers movement at this moment. This hypocritical ideology is being promoted by the Liberals and ALP alike as well as by all the mainstream media. Far from mobilising resistance to the current exploitative and racist social order, the current pro-ALP leadership of most of our unions seeks to find common ground with the capitalist exploiting class and their state. We need a new agenda to guide our workers movement. One that is committed to staunch resistance to the exploiting class and their racist regime. Central to such an agenda is the understanding that racism is poison to workers of all races because it divides and diverts workers and, thus, weakens the ability of the working class movement to resist attacks on their workplace conditions, cuts to their jobs by bosses who have leeched huge profits from their labour over many years, further casualisation of the workforce and the growing reach of the so-called “gig” economy. Positively fighting against racist oppression is crucial to the working class building the unity needed to stand up for its own rights. Importantly in the U.S., some unionised bus drivers have taken solidarity action with the current uprising by refusing to take in their buses arrested protesters to jail. Just as in the U.S., the working class’ own struggle in Australia can only advance if it champions the cause of all others downtrodden by the very same capitalist ruling class that exploits it – in particular by standing by Australia’s most cruelly subjugated people, the Aboriginal first peoples of this country.
Justice for George Floyd, David Dungay and all the victims of racist state terror in the U.S. and Australia! Jail for the racist cop and prison guard murderers! Solidarity with the antiracist uprising in the U.S.! For mass, militant resistance in Australia against racist state terror against Aboriginal people! Mobilise the power of the multi-racial workers movement to join Aboriginal people and people of colour in joint resistance against all forms of racist oppression!