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On Fairness On Fairness by Sally McManus
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“Rapid growth in wealth inequality results in the inevitable isolation of a very small, very rich, very privileged section of the community from the material experiences of everyone else. And when this out-of-touch minority group is enfranchised to make the decisions on behalf of people they don't know, can't see, have no wish to understand, and think of entirely in dehumanised, transactional, abstract terms, the results for the rest of us are devastating.”
Sally McManus, On Fairness
“But privatisation has another important function in the neoliberal world view, and that's to assist wage suppression.
If you're a private company, you've got one overriding obligation, and it's not to your workers, to your country or your community - it's to make a profit, in order to return it in dividends to your shareholders. That's it. And the means to increase that rate of return to its greatest possible margin is cutting the cost of your operation. You do this by increasing your productivity, expanding your market, raising prices on your offered commodities, and by reducing the wages and conditions of the people who work for you.”
Sally McManus, On Fairness
“When public service jobs are outsourced or privatised, and when the alternative to a job on the corporate sector's terms becomes no job at all, competition in the labour market disappears, allowing wage and job conditions across the board to be driven down.”
Sally McManus, On Fairness
“The greater, darker, unforeseen consequences of privatisation are its corrupting effect on social fairness and opportunity more broadly. Corporations that acquire state assets depend on the election of governments with policies that will feed their business, rather than diminish it. It is in the interest of corporations that are paid to supply sub-contracted services to government projects, for example, to lobby hard against political parties mooting a return to better-paid, more secure, direct employment models. ... A powerful incentive to corruption, hard and soft, exists in the dynamics of these economic and political relationships. Big corporations have a direct interest in politics and the political system; their political donations reward those who promise them favourable conditions, and neither the community benefit nor the national interest comes into it.”
Sally McManus, On Fairness
“...by the time Malcolm Fraser came to power, neoliberals working for Treasury quietly redefined 'full employment' to mean a rate of just 95 per cent employment at any time. Unsurprisingly, it's a habit of neoliberal governments to make the experience of unemployment as punitive and humiliating as possible, to discourage people from risking it.”
Sally McManus, On Fairness
“Privatisation of government-owned enterprises is crucial to the project [neoliberalism]. One of the appealing features of tax cuts for neoliberal governments is that reduced revenue provides them with an excuse to sell state assets to meet the sudden budget shortfalls. The sale of state assets creates more lucrative business opportunities for the corporations that can afford to buy such things as power stations, water treatment plants, telecommunications providers, government banks and airlines. It's something of a windfall for a business to acquire an asset that will always deliver a return so long as citizens still need things like water or power supplied to their homes, a bus to catch from one place to another, or a telephone connection. And - unlike a state-owned asset - a private corporation never has to adjust its services due to democratic prompting from the electorate. Why do power prices keep going up across Australia? Because most of the power supply is now owned and operated by private corporations. They're free to price gouge on the supply of an essential service, because they can't be voted out of office.”
Sally McManus, On Fairness
“Every single Australian benefits from superannuation, Medicare, the weekend and the minimum wage - these were all won by our parents, grandparents and great-grandparents taking non-violent, so-called illegal industrial action.
Working people only take these measures when the issue is one of justice, like ensuring workers' safety on a worksite, a fair day's pay for a fair day's work or to uphold or improve the rights of working people.
Without the Australian trade union movement our country would look like the US where these rights are inadequate or do not exist.”
Sally McManus, On Fairness
“You don't fix unfairness with more unfairness; you don't get a fair go by denying one to someone else. You get a fair go by organising; by standing alongside everyone else who's in the same situation and insisting on rules that ensure fairness.”
Sally McManus, On Fairness
“Little changes do not transform frameworks that are fundamentally unfair. The last few decades have enabled a record shift of money and power to a very few, but the remedy for inequality is what it has always been: collective action through the organised movement of working people. The trade union movement is the equalising, opposite force against the greed of the wealthy and privileged.
This is the reason why the wealthy and privileged are so relentless in their campaign to crush unionism.”
Sally McManus, On Fairness
“There's now a worldwide industry of companies that offer rewards to political actors - politicians, lobbyist, think-tanks, activists - who show greater loyalty to maximising corporate profits than they do to principles of equality, let alone the public good. It's parasitic capitalism, and it's the economic model that the opponents of fairness prefer.”
Sally McManus, On Fairness
“Privatised power companies that profit from a fossil-fuel-generated energy supply are obviously resistant to politicians promising to build and operate the infrastructure of renewable energy. The owners of a private bus company, or a pay-per-use toll road, do not want the government to build you a local train station.”
Sally McManus, On Fairness
“The greater, darker, unforeseen consequences of privatisation are its corrupting effect on social fairness and opportunity more broadly. Corporations that acquire state assets depend on the election of governments with policies that will feed their business, rather than diminish it. It is in the interest of corporateions that are paid to supply sub-contracted services to government projects, for example, to lobby hard against political parties mooting a return to better-paid, more secure, direct employment models. ... A powerful incentive to corruption, hard and soft, exists in the dynamics of these economic and political relationships. Big corporations have a direct interest in politics and the political system; their political donations rewared those who promise them favourable conditions, and neither the community benefit nor the national interest comes into it. (p.69-70)”
Sally McManus, On Fairness
“...by the time Malcolm Fraser came to power, neoliberals working for Treasury quietly redefined 'full employment' to mean a rate of just 95 per cente employment at any time. Unsurprisingly, it's a habit of neoliberal governments to make the experience of unemployment as punitive and humiliating as possible, to discourage people from risking it. (p. 64-5”
Sally McManus, On Fairness
“Economics professor Chris Doucouliagos from Deakin University reported in 2017 that poverty does not, in fact, encourage people to 'strive more' and compete for wealth. Rather, economic inequality impedes access to education and training. Poverty - or the threat of it - removes the material means required for people to experiment and innovate in jobs or with businesses, or discourages them from taking that kind of financial risk. Insecure work conditions exacerbate this effect, as workers fight changes - like automation, or climate transition mechanisms - they perceive as threatening their income stream.”
Sally McManus, On Fairness
“Economists such as Ross Gittins refer to the period subsequent to the White Paper policy [1945] as a 'Golden Age'. When wages fairly remunerated labour, and incomes were spread more evenly throughout the economy, more people had greater purchasing power, and stronger internal markets were created for goods and services to be sold.”
Sally McManus, On Fairness
“Unionisation, of course, obstructs the extent to which employers are able to squeeze working people in their profit calculations, levelling the playing field between the single, powerful employer and the unified might of an organised workforce.”
Sally McManus, On Fairness
“Privatisation of government-owned enterprises is crucial to the project [neoliberalism]. One of the appealing features of tax cuts for neoliberal governments is that reduced revenue provides them with an excuse to sell state assets to meet the sudden budget shortfalls. The sale of state assets creates more lucrative business opportunities for the corporations that can afford to buy such things as power stations, water treatment plants, telecommunications providers, government banks and airlines. It's something of a windfall for a business to acquire an asset that will always deliver a return so long as citizens still need things like water or power supplied to their homes, a bus to catch from one place to another, or a telephone connection. And - unlike a state-owned asset - a private corporation never has to adjust its services due to democratic prompting from the electorate. Why do power prices keep going up across Australia? Because most of the power supply is now owned and operated by private corporations. They're free to price gouge on the supply of an essential service, because they can't be voted out of office. p.58-9”
Sally McManus, On Fairness
“Neoliberalism is not just about tax cuts. It relies on a suite of mechanisms to manifest its 'free market' of optimum conditions for business.”
Sally McManus, On Fairness
“Respect for the rule of law is about belief in the capacity of that law to dispense justice, fairness and equality for all. But laws aren't passed by principles - they're passed by governments, and governments can be unjust and unfair. Our anti-strike laws are one of many manifestations of this fact.”
Sally McManus, On Fairness
“The Australian union movement called an 'illegal' general strike in 1976, when Prime Minister Malcolm Fraser's government was trying to destroy our embryonic universal healthcare system. That strike brought the country to a standstill. Fraser backed down, and what became Medicare remains. The same people who disagree [with strike action] may also want to reflect on this the next time they enjoy a leisurely weekend, or are saved from an accident by workplace safety standards, or knock off work after an eight-hour shift. Union members won all these conditions in campaigns that were deemed 'illegal' industrial actiona at the time. These union members built the living standards we all enjoy. They should be celebrated and thanked for their bravery and sacrifices, not condemned and renounced.”
Sally McManus, On Fairness