PM Transcripts

Transcripts from the Prime Ministers of Australia

Howard, John

Period of Service: 11/03/1996 - 03/12/2007
Release Date:
22/07/1999
Release Type:
Speech
Transcript ID:
11371
Released by:
  • Howard, John Winston
TRANSCRIPT OF THE PRIME MINISTER THE HON JOHN HOWARD MP FINNEGAN-RUDD MEMORIAL ADDRESS NEWCASTLE

Subjects: Maurie Finnegan and Maurie Rudd; Hunter

Valley; Newcastle; Asian economic downturn; Australian economy; social

coalition; business philanthropy; pork industry; lamb industry

E&OE..................

Well thank you very much Rob. To Mike Tyler and Kevin Maher, to my

colleague Senator John Tierney, other distinguished guests, ladies

and gentlemen. This dinner has got off to an excellent start - you've

got lamb on the menu. I'll refer to that in the context of Australia's

economic challenges in a few moments.

But can I say that for me tonight is a special honour. I do appreciate

the opportunity of addressing a gathering of people drawn from different

sides of the argument but united in the common cause of an intelligent

and cooperative approach to employers and employees working together

for the benefit of their industries, the benefit of their job security,

and the overall benefit of the country.

And I'm conscious that this annual lecture, this dinner honours two

men, Maurie Finnegan and Maurie Rudd who made a remarkable contribution

to the trade union movement in the Newcastle and Hunter area, and

more generally throughout New South Wales and Australia. Both of them

had their union careers through the old Federated Ironworkers' Association.

It underwent a number of name changes, identity changes, but never

lost a strong sense of passionate commitment to union principles and

the betterment of the interests of union members and their families.

The old Federated Ironworkers' Association of course has a special

place in trade union history in Australia because it was the location

of one of the most famous battlegrounds in the late 1940s and early

1950s when ideological struggles within the trade union movement and

the broader labour movement in Australia had a different dimension

perhaps than they do today, and have a special resonance for those

who follow and understand the history of the trade union movement

in this country.

I didn't have the privilege of meeting Maurie Finnegan, but I did

have the privilege of meeting Maurie Rudd on a number of occasions.

He was a very dedicated union man. He had a passionate commitment

to the city of Newcastle. He fought against a debilitating illness

that finally claimed his life, to secure a fair and decent outcome

for the men and women affected by the industrial and economic changes

that came upon Newcastle two or three years ago.

I shan't forget visiting him in the John Hunter Hospital not long

before he died, and spending about an hour with him and his two very

fine children. He knew of course that he was facing death very soon

and he hadn't long, as I understood it, lost his wife. And the matter

of fact, cheerful, resolute disposition that he displayed, and the

encouragement and inspiration that he demonstrated by that display

to his son and his daughter had quite an impact on me. He was in every

sense of the word a genuine article, somebody who cared about his

fellow men and women, somebody who was true to his union principles,

true to his labour principles, but undoubtedly somebody who was prepared

to work closely with anybody who shared his common commitment to improving

the lot of the people of Newcastle. So I do regard it as an honour

to have been invited to deliver this lecture in honour of those two

men.

I do it ladies and gentlemen, at a time when if you talk about the

generality of the Australian community, if you look at the things

that measure economic and social performance in Australia, it is fair

to say I think without exaggeration, it is fair to say that generally

speaking the Australian economy at the present time is performing

extremely well.

I've just come back from a visit to Japan and the United States, and

I've visited the financial community of New York on a number of occasions

in the time that I've been in politics. As Prime Minister, once in

1997 and on a number of previous occasions as Treasurer, or as Minister

for Business and Consumer Affairs or as Leader of the Opposition.

And I can say without fear of contradiction that in that most, I suppose,

that city of the most savage financial and economic judgements that

you can find anywhere in the world, I found on this occasion a ready

acceptance of the fact that the Australian economy is as a whole performing

very strongly indeed.

Our growth rates, our low interest rates, our low inflation, our [inaudible]

gains as a nation over the last few years have given to the Australian

economy a resilience and a strength. And the fact that we were able

to successfully stare down the dramatic downturn in the Asian economies

in a way that frankly surprised me, I'll be honest. I thought about

18 months ago what was going to happen was that we were going to say

well we were going pretty well until we were mugged by the Asian economic

downturn. And it didn't turn out that way. We have fared rather better.

And I'm pleased for that, and I think we're all pleased for the sake

of Australia that that has occurred.

Now I do speak against that background, but I readily acknowledge

that although that is the general position, there are a number of

areas of Australia including areas of the Hunter that are not sharing

all of that general prosperity. And it would be a mistake for me,

and it's a mistake I don't intend to make, to pretend that because

at a national general level we're doing particularly well that that

is evenly distributed throughout the community because in the nature

of things it's not. And part of my job, and part of the thing that

has brought me on a number of occasions to Newcastle and will continue

to do so, is the sensitivity I have to the particular problems of

different regions of Australia and the particular challenges here

in the Hunter, and I want to say something about those in just a moment.

But can I say that one of the other general observations I wish to

make apart from the remarks I've made about the Australian economy,

is to say something of the way in which the political and economic

landscape of this country has changed over the last 20 to 30 years.

And in doing so it has mirrored a number of the changes that have

occurred throughout the world during that same period. It's fair to

say that the world, and Australia was no exception, went through a

period in the 1960s and 1970s, which was evident in the United States,

it was evident in Europe and it was evident in Australia, where there

was a belief that if you had a problem then all that had to occur

was that the government, particularly the federal government in a

federation, should throw a large amount of extra money at that problem

and that it would go away.

The Americans during the time of the Kennedy and Johnson administrations

described it as the great society, whereby what you did was that you

pumped large increasing amounts of federal money into particular projects

and that the problems would go away. And I think we saw something

of a retreat from that in the 1980s. We saw a bit of a backlash against

it and we developed a culture in a number of parts of the world and

it was optimised by the memorable but not particularly noble phrase

in the Hollywood movie 'Wall Street', when Gordon Gecko said that

greed was good. And it tended in the eyes of many people who summarised

the attitude of that period when it was thought that rampant and rather

insensitive capitalism was the solution to every problem.

Now I think in the 1990s we have reached something of an new equilibrium.

We're never going back to where we were in the '60s or '70s or '80s.

You never go back. You might have a common thread of attitudes and

values from the past but you always have to adapt to new circumstances.

And one of the things that I've tried to develop in the little more

than three years that the Government has been in office is what I

call a social coalition. The idea of a social coalition is to recognise

one very important fact of life in Australia as we face the next millennium,

and that is that there is no one section of society that can really

on its own solve all of the challenges we have, or achieve all of

the goals we seek.

The government alone cannot solve all of the nation's problems. Governments

working together can't solve all of the government's problems. Governments

are good at some things but they're very bad at other things. Governments

have significant national responsibilities. They have a role in providing

a social security safety net but they're not very good in my view

at running businesses. In fact they're very bad at running businesses

on just about every occasion. On the other hand other sections of

the community are not able to carry all of the burdens and achieve

all of the goals. And what I've sought to do through the notion of

a social coalition is to bring together the government, the business

community, other organisations within the community, be they welfare

organisations, trade unions, and of course the enterprise and commitment

of individual people to tackle problems.

One of the first things I did when I became Prime Minister was to

get together a task force on youth homeless. But instead of the task

force being run by somebody out of a federal government department,

the task force was chaired by Captain David Eldridge, a Salvation

Army officer from Melbourne. And it's produced I think quite a different,

some might say not quite revolutionary, but certainly dramatically

different way of tackling the problem of youth homelessness. Placing

a premium in the first instance on seeing if there could be a reconciliation

achieved between a young person who had left home and that person's

family. And only when those who had cared for the child that had left

home believed that that reconciliation did we then go about seeing

that those people were looked after in the social security system.

What I did on that occasion was to involve at a policy making level,

the welfare organisations of Australia. And I've continued to do that

in relation to such things as the challenge of drug abuse within our

community. And I make no apology for the fact that I draw very heavily

on organisations like the Salvation Army and the society of St Vincent

de Paul, and other organisations of that ilk, in developing policy

for great social challenges and social issues. And I do that because

I believe they have more coalface understanding and experience of

the human misery caused by those social problems than any other group

of people in the Australian community.

In the past the attitude was, well we'll allow them to provide the

care, the Christian charity if you like, but they don't really understand

in their soft-headed way what sought of broad ranging policies are

needed. The reality of course is that people who run welfare organisations

are anything but soft-headed. They know how hard it is to raise money,

and they know the value of the hard-earned dollar, or a difficulty

raised dollar perhaps better than any other group of people in the

community.

But what I seek to achieve in a number of these areas, and it's found

in expression in the call that I've made to the Australian business

community shortly after the last election to be more generous in supporting

noble causes and charitable endeavours. I want to develop a greater

sense of corporate philanthropy within Australia. I'm not saying so

much that business should give more, what I'm saying is that more

businesses should give because there are many individual companies

and many individual business men and women in this country who have

a remarkable record of generosity to less well off and less fortunate

Australians. Our Government has introduced a number of tax incentives

to encourage a greater involvement by the business community in philanthropic

endeavour, and this is another expression of the notion of a social

coalition. Of tapping the capacity of the different strands of society

where they are best able to contribute to make that contribution.

And of course here in the Hunter the taskforce that carries my name

is a good example of the social coalition at work because you have

every conceivable element of that coalition represented on the taskforce.

You have the trade union movement represented, there's a co-chairmanship

of somebody from the trade union movement, somebody from the business

community, you have community leaders, you have representatives of

the churches. In other words you have the very best expression of

a community organisation. And at a micro-Hunter level so to speak,

it is an example of the social coalition at work.

Now I am very aware of the psychological impact on this city of some

of the decisions that were announced several years ago. I'm also aware

of course that the future of this city is increasingly diverse. As

I look around this room and I had a look at the guest list before

I came, it reminded me that old notions of Newcastle are no longer

relevant. It reminded me of the way in which the industrial and service

base of this city has already diversified, of the enormous change

in the hunter region, of the growth of many service industries, not

only in tourism but also in education. And the enormous potential

in relation to defence industries that exist in respect of the various

operations in the Williamtown area.

Now tonight is not an occasion for the listing of banners and the

tabulation and the enumeration of.we've made a decision on this and

that, and don't you remember that we decided to allocate a few million

dollars here and there. But it is an opportunity for me to say that

we do remain very strongly committed to the future of this city. We

won't satisfy you on everything. We expect to continue to be criticised.

That is part of the process and it's part of the ongoing exchange

that occurs between a government and a community. But we have brought

good faith and also some dollars, and I hope in the incentives that

we have provided in a number of areas to which I will refer. We have

also I think made a material contribution to strengthening the job

and economic and industrial opportunities of this city for years into

the future.

I think you're aware of the $10 million structural adjustment package

that we announced in 1997, and we've approved a number of proposals

out of that. And I'm pleased to announce tonight that we have agreed

in principle to provide a $2.5 million sum of money in assistance

on a dollar-for-dollar basis for Impulse Airlines to establish a call

centre to service their current operations and the funding is subject

to meeting certain Commonwealth requirements that we understand from

discussion with the airline that they're optimistic that those conditions

can be met. And that this project will generate some 70 direct jobs

and of course many more indirect jobs and is a good illustration of

the continuing diversification of the Hunter region's employment base.

I mentioned the defence industry and Rob reminded me of my visit to

Newcastle a couple of years ago, and after being in Newcastle I went

out to Williamtown. And of course on my last trip to Newcastle a few

months ago I opened the British Aerospace lead-in fighter support

facility which will inject $60 million into the area and employ 250

people directly. I also announced that five of the new airborne early

warning and control aircraft will be based at Williamtown and involves

an extra 200 RAAF personnel and approximately 80 contractors. Yesterday

my Defence Minister John Moore announced that Boeing is the preferred

tenderer for these aircraft and the project involves new infrastructure

valued at around $50 million.

I understand that the Redbank Power Station is now set to proceed

which involved Commonwealth assistance through the infrastructure

borrowing scheme which will generate investment spending of $600 million,

1200 construction jobs over 2 years, and 250 direct jobs when the

power station is in operation.

Some of you may remember the industry policy statement I made in December

of 1997 and in that policy statement I announced the development of

the manufacturing in bonds approach which was designed specifically

to provide incentives for new investment in areas such as the Hunter,

and specifically in Newcastle. So ladies and gentlemen I mention these

things not to say well aren't we grand blokes and haven't we done

all these wonderful things, but to exemplify and to demonstrate that

our commitment is not just rhetorical. I do understand that the process

of adjustment and change in the community that has had a particular

cast and a particular mold for a long period of time is not easy.

But I detect from the many contacts I have with people in the Hunter

Valley and in Newcastle, I detect that there is a strong sense of

optimism, there's a strong sense of accepting that change is necessary,

that this area has very special qualities, it has a great beauty,

it has the capacity to attract and develop new industries and it's

in the process of doing that. And it has one other priceless asset

and that is that it has a great community sprit, it has a great sense

of identification with Hunter Valley's symbols. I meant he first thing

that Kevin said to me tonight was to start talking about the match

on the weekend between St George and Newcastle, and he informed me

of course that he was going to...no the upcoming match between St

George and Newcastle, and he informed that on Saturday he was going

to be barracking for St George in its match against the Broncos. So

that very very strong identification with symbols is very apparent

and a community which is based on a tradition attached to a particular

city, even though that tradition undergoes change, it leaves a very

strong deposit of a very strong community spirit.

So my message to you tonight ladies and gentlemen as Prime Minister

is that the nation as a whole, and generally speaking the nation is

in very good shape economically. I don't expect everybody in the room

to agree with every single thing that I've said. I would be perfectly

astonished if I found any audience in Australia that I addressed that

would do that. But I do think that over the last year as a result

of what has happened with our economy, as a result of us being able

to stare down that Asian economic downturn, Australians have acquired

a sense of national pride, a sense of confidence, of self belief,

the like of which we haven't had before or certainly for a long period

of time.

In the past [inaudible] have a lot of economic things. We've always

been externally and outwardly a very confident, optimistic people.

But deep down I think there's been a feeling that when it came to

world competition we were going to get cast aside and trampled on

and find it very difficult. And the great value of what has happened

in now being able to stare down the Asian downturn is that I think

we have overcome that. And there is about Australia at the present

time a sense of the can do and the sense that we can take on the world

in certain areas and beat them, and that Australians are as good if

not better in so many areas. Now that has always been true but perhaps

as a community we needed a demonstration. And the fact to our surprise

perhaps that it is certainly a reality that we've been able to work

and live through the Asian economic downturn, to diversify our exports

to North America and Europe, that all of those things have given to

us a sense of confidence and a self belief.

But amidst that I recognise that the general can't be applied to every

particular part of the national being. There are areas of Australia

that continue to deserve particular understanding and special sensitivity,

not only the Hunter Valley but a number of the regional and rural

areas of Australia, that find the impact of economic globalisation

very difficult to assimilate and very difficult to handle. And all

governments have to be sensitive towards that. But so indeed do the

affected communities.

I was relating a moment ago to those on my table the experience that

we've had in recent months with the pork industry. You may remember

around the time of the last election there were quite a number of

people involved in the pork industry that were demonstrating very

strongly, not only against us. They were demonstrating against everybody

because they felt very understandably that they were being poorly

treated, they were losing markets. That wasn't as a result of any

particular decision that the government had taken, but simply as a

result of changed market circumstances. In the face of a lot of criticism

and opposition from the industry the Government withstood requests

for handouts and subsidies, but rather fought to provide financial

assistance so that the industry could get into export and incredibly

enough that has worked. You now have a situation where sections of

the pork industry cannot fill the orders which are coming from countries,

particularly in the Asian-Pacific region.

Now that's not true of every pork producer, it's not true of every

industry facing that kind of challenge. But it's an example of the

sort of thing that can be achieved if there's and acceptance by both

the government and by people in the community or people in the industry,

that constructive cooperative change is unavoidable, and that if governments

are prepared to work together with industries in a constructive way,

recognising that you can't go back when market circumstances have

changed.

I mentioned lamb and I'll finish on lamb. We announced today, Mark

Vaile the new Trade Minister announced today that we'll be providing

some financial assistance to the lamb industry and assistance to encourage

and help the industry increase not only its domestic market but also

its export market. The Americans have taken a very selfish and a very

unfair decision. Australian lamb producers get no subsidies from the

government. The American lamb industry is extremely inefficient and

not only has the American government imposed a 30% tariff which effectively

freezes the existing market at 78,000 pounds, but it's also imposed

a 9% in quota tariff which is the unkindest cut of all. We're providing

some assistance which will offset the cost of that so that with luck

we may be able to help the Australian lamb exporters preserve their

existing market in the United States, although their prospects of

increasing it which would otherwise have occurred because of the superior

quality of the product, their prospects of increasing it are virtually

zero. But we are going to provide the industry with some advice and

some assistance to diversify, to improve the promotion of the product

not only here but also in other parts of the world.

But ladies and gentlemen, another example of recognising the need

to change, that on some occasions you can't go back. But if there's

a right revel of cooperation between the government and an industry

and the community you can effectively move forward.

May I conclude ladies and gentlemen by saying again to the Industrial

Relations Society that I am very honoured to be here. I do have something

of an affection for Newcastle. My wife's family come from this district.

As you know we've holidayed in this general area over a long period

of time and we do have a very special affection. It's a city with

a tremendous sprit. I don't always agree with the way it votes but

that's life. It takes all kinds, and I respect it in the great tradition

of the robust Australian democracy. And one of the things that has

happened to Australian politics I think over the last few years that

it has become less tribal. We still have our differences and that's

good because it would be terribly dreary if we all agreed on everything,

and vigorous debate is the stuff of which good policy is made. And

that applies no matter who's in power and it applies no matter what

the country is.

But I think we have become a little less tribal. We are seeing more

of the national interest on some issues. I think there's a greater

recognition that something I've always held very dear about public

life in this country and that is that

11371