In the race to win government a major threat facing federal Labor Party leader Kevin Rudd is the impression that he's controlled by unions. This is why he has been willing to sack from the ALP several outspoken left-wing unionists. Likewise his deputy Julia Gillard recently declared that building union threats to "pay back building employers" will be stifled by a federal ALP government.
But events in NSW since the May state election suggest a high probability that unions could control big-ticket policy items in a Federal ALP government.
The NSW labour machine is and has always been the most ruthlessly successful of all state labour bodies. It surgically removes internal dissenters and positions loyalists in powerful bureaucratic, legal, and political institutions. It silences external opposition by selectively inflicting commercial pain where it can on anyone who voices concern on policy issues. It uses the instruments of the state to do this. This has isolated the Liberal state opposition, making it fearful of policy and focused on factionalism.
What's so impressive about the power of the NSW labour machine is that it's a complete melding of political and union institutions. It's not that unions are external bodies "calling the shots" but rather there appears little difference between the government and unions. They are as if one.
This explains why the railway system remains in trouble, because railway managers only manage to the extent that railway unions allow. It explains why electricity privatisation, which is normal in other states, is essentially non-existent in NSW because electrical unions haven't and won't allow privatisation. It explains why mining potential is underdeveloped because mining unions are antagonistic toward mining employers.
The starkest example however is probably the NSW occupational health and safety (OH&S) laws. The laws are well recognised as outrageously breaching civilised concepts of criminal justice. Employers are presumed guilty simply as a result of safety incidents occurring. Trial before jury or in standard criminal courts is denied as are full rights to appeal. Defences are impractical to mount. It's a kangaroo court outcome by legislative design. Employees who break the laws are not subject to the same legislative denial of justice. Double standards prevail.
And it's legislation built on a culture of employer hate emanating from within NSW unions. The hate reached an emotive high with the Gretley underground coal mining disaster prosecutions about 2000. The disaster took the lives of miners who were close to the mining union. In breach of the law the labour hire employer of three of the deceased miners was not prosecuted. The company was owned by the mining union. Double standards again!
In 2006, the NSW government attempted to change the laws but was hit with massive internal union opposition. The government dropped the changes, fearful of union agitation during this year's state election campaign. It held another inquiry. The Stein Review reported in April but has been kept secret.
Speculation is that the government was to announce changes in May but unions blocked the move. Now business is universally agitated. The Business Council of Australia has released a report. The influential Australian Industry Group, NSW Business Chamber, Employers First, the NSW Farmers Federation and all NSW industry bodies are calling for change.
NSW Premier Morris Iemma recently responded by declaring that changes will be made saying they will be "balanced". This is widely taken as code for "compromised by union demands". There's huge tension within the NSW labour machine on the issue, which has a significant national edge to it.
The Commonwealth has not sought a national takeover of the laws but it has provided an escape avenue for some large businesses. By joining the Commonwealth's workers compensation scheme companies access the Commonwealth's OH&S laws. Many eligible businesses with large NSW exposure have done this.
Where does federal Labor stand on the issue? Kevin Rudd can sack a few left-wing unionists but tackling the might of NSW unions on an issue into which they have invested immense emotional and strategic energy is a serious test.
The NSW OH&S laws cause a dysfunctional OH&S system across Australia due to massive differences in standards. To date the NSW government has proven captive to its union partners. The question is, would a Rudd government perform any better?
ADVERTISEMENT
No comments:
Post a Comment