EMBARGOED: AGAINST DELIVERY F F76/ 72
j U5T AfS R j
FOR PRESS APRIL 21, 1976
TEXT OF PRIME MINISTER'S ADDRESS TO TIlE -' L3OURNE ROTARY CLUB
Today I want to talk about the role of the Government in
political and legal and social reform.
There are many aspects of Australia's institutions where reform
, is needed. Reform is needed wherever our democratic institutions
work less well than they might. Reform is needed wherever the
operation of the law shows itself to be unjust or undesirable
in its consequences. Reform is needed wherever our institutions
fail to enhance the freedom and self-resoect of the individual.
The Liberal Party chose its name because it saw itself as a Party
which would provide not merely responsible management of the
nation's affairs but also progressive and enlightened refcrm.
The Liberal Party in its turn inherited a great political tradition
a tradition which has been a major force in building one of
the most democratic and humane societies in the world.
The great achievements of this tradition included in the 19th
century: the ending of transportation and the establishment of
a society of free people, responsible representative Government,
the secret ballot, the factory acts which hel! ed to secure decent
working conditions for Australians, and later the system of tariff
protection to secure employment opportunities the concept of a
fair wage and the arbitration system.
Political leaders working in this tradition wrote into the
Constitution the power of the Commonwealth Government to provide
aged and invalid pensions and shortly after Federation they were
introduced.
These moves show that Australia has always been a country where
constructive reform has been welcomed and encouraged. Achieving
a better life for all Australians through progressive reform will
be a continuing concern of the Government.
The debate in Australian politics has never been over whether
reform is desirable.
Australians, whatever their politics, are too much realists to
believe that no further improvement is possible and too much
idealists to refuse to take action where it is needed.
The debate has rather been about the kinds of reforms and the
methods of reform which are desirable. / 2
-2-
It is axiomatic that the costs of reform should not outweigh
the benefits gained. In particular, reforms should enhance
the capacity of people to cope with their problems, to achieve
and enjoy a better and more satisfying life.
One of the most tempting approaches to reform for a politician
is to try to solve problems simply by providing more and more
money. There is,. of course, much that money can do but when inflation
first gets under way the Government's coffers-are brimming
over with tax receipts there is an almost irresistable temptation
to start throwing money at every problem that is identified.
Difficulties arise when the limits on what money can achieve are
ignored and the other consequences of rapid increases in Government
spending are disregarded.
It is obvious that a very large number of problems which trouble
Australians cannot be solved simply by spending more money.
This is because they are not financial problems, but rather
problems of human relationships, of organisation and approach.
For example, a great deal has been spent on education in the
last few years. School buildings and facilities have been
improved. Yet despite this it is very evident that our system
of education is still far from perfect.
The core of education remains the quality of the experience that
children have at school and that is affected by the quality
of teaching, the way the school is organised, the attitudes of
everyone in the school, the relationship of school to family
and to the world beyond the school.
These are not essentially problems of money. Insofar as money
can contribute to their solution we must ensure that the money
we spend is spent in the best possible way to secure the kind of
education Australians want.
Similar problems arise in the provision of assistance to
disadvantaged people.
Money is not enough. The way in which assistance is provided
is of critical importance.' Assistance should be provided in
a way that helps people to be independent in a way which
" expands the opportunities of people to participate in and
determine their future."
The resources a poor family needs to break out of poverty include
information about opportunities and the social security system
as well as money. Government: assistance should not feed
dependence but as far as possible expand people's capacity to
meet their family's needs as they believe is required.
An over-emphasis on the spending of money and a failure
by Government to make responsible choices among competing claims,
can also have other unforeseen consequences. / 3
-3-
It can set off serious inflation and unemployment which damages
many other aspects of the lives of Australians.
The Report of the Poverty Inquiry warned about this. It said
that Australian Governments should be wary of
" falling into the inflationary trap of attempting to carry out
so many social reforms or other public expenditures at once
that they accelerate an inflationary spiral that does more damage
to poor people than the assistance provided by the reforms."
And again, it emphasised that:
" lone element essential in any program to reduce poverty in
Australia is that the rate of inflation be brought under conitrol.
Unfortunately, some of the weakest sections of the Australian
-community have suffered m ost as a result of the failure to see
Government spending as being only one element in a program of
responsible and progressive reform.
The measures the Government is taking to bring inflation under
control and to expand employment opportunities are in part an
expression of our conviction that this is an absolute prerequisite
to helping important groups of poor people.
We are determined, despite our principal concern with restoring
prosperity, to proceed with our program of reform, where this
can be done without placing a-further strain on-the economy.
There are many important areas ' where the reforms required do not
involve major new spending commitments.
We intend to push ahead in these areas.
Let me now discuss some of these.
The first of these areas-is political reform..
Apart from the economy, the Government has been very concerned
at certain trends in the way our political institutions have
been working.
our major concern in this area has been with the increasing
centralisation of power in the Federal Government.
Over time the Commonwealth has acquired a strong revenue base
while the states have had constitutional power to act in a number
of key areas.
This divorce of funding from responsibility has been almost
universally conceded to be an undesirable development.
The Government believes that the proper approach to reform here
is to restore appropriate financial autonomy to the States and to
Local Government.
As Australians become increasingly interested in political issues
it is vital for the health of our democracy that there be
readily accessible avenues for effecitve participation in
Government. This cannot occur if more and more of the effective decisions
on policy are made in Canberra. / 4
-4-
TheG o1-mn believes that key decisions should be taken as
close as possible to the people affected.
There is no virtue in uniformity if it frustrates the efforts
of people to participate effectively in Government decisions
which concern them.
Accordingly, we are already beginhing to. implement one of the
most radical and progressive reforms of our system of Government
since Federation, designed to give the States ionce more a
flexible and expanding financial base and Local Government as
assured source of revenue.
This reform has already been-considered at two Premiers Conferences,
remarkable for the enthusiasm with which it has been welcomedon
both sides of the political fence.
The major principles of the new scheme have already been agreed
upon.
When it is fully implemented I believe it will be a major
contribution to the health and efficient operation of our
political system.
A second concern of ours in recent years has been the inability
of the House of Representatives to adequately scrutinise the
Government's spending proposals.
The ultimate power of Parliament over the Executive is control
over, and scrutiny of, the Government's expenditure.
This is a fundamental principle of our democratic system.
With-out it the people's ultimate control over the Government is lost.
In order to strengthen the Parliament's hand, the Government has
moved to establish a Committee of the House of Representatives
to review expenditure.
This Committee has been based on the experience of the British
House of Commons.
The Committee will conduct its investigations throughout the
year. It will therefore be able to explore more deeply selected
areas of Government activity.
The Committee will probably seek to cover a limited number of
areas each year.
But the very fact of its existence and lack of knowledge of the
area for the next investigation will have its own salutary effect.
Over time the Committee should make a very significant contribution
to efficiency in Government spending.
Let me also mention briefly a further deep concern of ours the
great unlegislated increase in the personal tax burden which
results from a combination of inflation with progressive tax
scales.
Governments which want to increase the tax burden should have
to say that this is what they want to do and legislate
accordingly.
As a result of inflation this has not been necessary.
The reform of personal tax indexation we will be introducing
will make Governments honest again.
It will also strike a blow at one of the sources of the present
inflation. I now want to turn to our policies to protect individual rights.
A cornerstone of the Government's approach is a great concern
with individual freedom.
Policy in this area requires a balance to be struck between
legitimate community interests and the fundamental importance
of freedom to; the self-respect of the individual.
One of the most highly valued possessions of western man is
his privacy his right to exclude others from having knowledge
of things that are his personal concern.
Increasingly privacy is eroded in an age of technologically
sophisticated data collection.
It is time to weigh very carefully the interests of some people
in having information against other people's right to withold
or restrict access to that information.
The Government is committed to legislate for the protection
of privacy.
The Law Reform Commission has been asked to examine and report
on unwarranted invasions of privacy in areas under the control
of the Commonwealth Parliament.
For example, invasions arising from information collected,
recorded or stored by the Commonwealth Government Departments,
Authorities and Corporations.
The Commission will also examine what changes are needed to the
laws of Commonwealth Territories to provide adequate protection
for the individual with respect to: credit reference systems,
medical, employment, banking and other records, listening,
optical, photographic and recording devices to name but a few.
Proposals for uniformity between Commonwe~' lth and State Laws will
be considered by the Commission.
The issue of access to information has another side to it.
Ministers have also been requested to make themselves available
whever possible to the media, and to ensure that their Departments
make the greatest efforts to supply the public with information.
A flow of information is vital for effective decisions, and the
Government places great weight on consulation in the formation
of policy. / 6
-6-
This is important Of course, not just in the formation of
Government policy. Adequate communication and consultation
lies at the heart of good industrial relations.'
Our Industrial Relations Policy aims to encourage the formation
of continuing mechanisms for communication in industry.
The Government believes that through improved communication
there will be a better understanding of the common interests
of employees and employers.
We are in a position to provide a lead in this area.
The Government will be asking all Commonwealth Statutory
instrumentalities to establish continuing mechanisms for
consultation with employees.
Unless measures such as this are taken there is a risk as
Government and business organisations grow ever larger that
close understanding between management and employees will become
increasingly difficult.
This must not be allowed to happen.
Another issue raised by the growing scope of Government activity
concerns the rights of citizens in relation to Government officials.
The Government is concerned that people directly affected by the
decisions of officials should have adequate rights of appeal
and recourse.
The Administrative Appeals Tribunal Act will be brought into
operation later this year.
The Tribunal will provide an independent review of the way
ministerial and official discretions are exercised and will
deal with appeals against administrative decisions on as wide
a basis as possible.
The Coalition Parties have consistently advocated and pursued
this reform.
When in Opposition, we also supported the concept of a Federal
Ombudsman. The Ombudsman Legislation lapsed when the Parliament
dissolved last year, and the Government is currently reviewing
the legislation.
The Ombudsman's task would be to investigate complaints or to
initiate inquiries concerning administrative actions of
departments and prescribed authorities and report to the body
concerned. Provision could be made for the Ombudsman to report to the
Prime Minister in cases where, in his opinion, adequate and
appropriate action has not been taken with respect to his
recommendations.
-7-
The growing complexity of Government, makes it very difficult
for many people to know how best to get redress when problems
arise. Lack of information is a particular problem for some
disadvantaged groups and migrants. This makes the appointment
of an Ombudsman all the more important.
The Coalition Parties have long been concerned at the
implications of the growth of bureaucracy both public and
private in Australia.
While the rights of Governments and others to information about
individuals should be carefully controlled, citizens must have
proper access to information about the activities of Government.
If the Australian electorate is to be able to make valid
judgements of Government policy, it should have the greatest
access to information possible.
I have requested that a submission be made to Cabinet which will
provide the basis of framing legislation to this end.
The Government is waiting in this area also for the Report
of the Royal Commission into Government Administration.
Alongside specific measures we have taken to check the growth
of bureaucracy we are determined to ensure that citizens have
adequate means of redress against unjust decisions or actions
of the bureaucracy.
The Administrative Appeals Tribunal and the Ombudsman will be
significant steps towards that objective.
Particular problems of securing protection for individual
rights arise in the case of disadvantaged groups or those in
real economic need.
The Government is committed to the view that those in need
must have access to adequate legal aid.
No one must be denied justice because of their economic
position. The Attorney-General is at present reviewing the legal aid
situation to determine the most efficient, economical and
simple system of legal aid, which will enable all those
requiring assistance to receive it.
In some areas the Government believes that the current legal
rights of some groups should be increased by new legislation.
That is the case with land rights for aboriginals.
The Government believes that effective action must be taken
to secure land rights for aboriginals.
The Government will introduce legislation to implement the
policy of land rights for aboriginals. / 8
-8-
Details will shortly be brought to Cabinet.
There was a suggestion that legislation should pass through the
Northern Territory Assembly, not through Federal Parliament.
While some form of complementary legislation may be desirable,
I would regard any move to shift the locus of legislation
from Canberra to Darwin as a complete abdication of our
responsibilities. The legislation will be introduced along with thorough
consultation will all the people it affects.
Recognition of the need to consult fully is basic to this
Government's approach to Aboriginal Affairs and it has
been a major point raised in our discussions with the
Queensland's Government over Arukun.
I have only been able today to touch on a few of the areas
where the Government believes reform is necessary.
They are all areas where significant forward steps are possible
alongside the Governments economic strategy.
Indeed, this strategy is itself a major set of measures to
improve the quality of Australian life.
We believe that our approach to reform truly expresses the
social responsibility of Government.
The reforms towards which we are working focus on the requirements
of individuals for institutions which are responsible, adaptive
and sensitive to their needs.
Together they will help reverse the dangerous trend towards
an ever more powerful, more centralised and intrusive
Government.
Along with our policies in other areas they will help to build
an Australia in which people can confidently build their own
lives. Despite our present economic problems we have an extraordinary
opportunity to build in Australia a society of unmatched
equality and 6pportunity based on a commitment to freedom
and concern for the individual.
This Government will play its part in achieving this great
objective. 0000o00000