Australian Politics thread [merged]

[Penelope]

if the ALP hadnt ruined Australia's financial position during the last 6 or 7 years during their time in office then this wouldnt need to take place.

John Howard left Australia with ZERO PUBLIC DEBT and BILLIONS OF DOLLARS NET IN THE BANK. LABOR SPENT ALL THE MONEY THEN WACKED ON ANOTHER 300 BILLION IN PUBLIC DEBT.

This is not Hockeys fault this is the fault of Rudd and Gillard and their governments who lost control of the Australian Economy when we were in the middle of a commoditys boom which should have made Australia a richer country. Instead they stuffed it up the wall on dodgy policys such as pink batts, cash for clunkers and dozens of other bulldust policies. They wacked on tens of thousands of people in the public bureaucracy and left our national computer systems at a federal level with Centrelink and the ATO to fall apart. They are GUILTY! They are the GUILTY PARTY and they will always be the GUILTY PARTY!

Up until Howard, nearly every time an australian government has delivered a budget surplus, it was soon followed by a recession.

Under howard, the economy was driven by, as you say a resources boom, which is 1. not really down to the government and 2. ultimately nearly always is followed by a bust, as most booms are. It also has many flow on affects, such as rising wages, particularly in the manufacturing sector, and leading to a higher Australian dollar, which gives the manufacturing sector a double whammy.

It was also fuelled by record non government debt (private sector and household), as was the booming world economy, which was subsequently followed by a bust in the GFC, in no small part due to this record non government debt coming home to roost, which saw many economies around the world go into recession, except Australia, although we did go pretty close.

The australian economy is not a bubble all on its own, is it very much influenced by the world economy, but being so small,relatively, has very little influence on the world economy itself.

To judge how any modern government is managing our economy, the rational and objective way to do so is to to view it alongside the world economy at the time.

The greatest mistake that the labour government made was to get get sucked into this obsession with a budget surplus, promised to deliver such, and then had to embark on major cost cutting at a time when the economy was treading water, and also in a vain attempt to deliver this promise, make spending commitments in a way that increased over the following years thus reducing budget pressure in the now, but increasing it in the future.

This was all politicly driven, rather than fiscally.

Once a government promises, and becomes obsessed with delivering a budget surplus, you know that hurt will most probably follow.

[one-eyed]

Commission of Audit has been released today ...

-------------------------------------------------------------------------------------

AN EXTRA fee of $15 to see the doctor, raising the pension age to 70 and measures to axe the jobs of 15,000 public servants are among recommendations to the Abbott Government to fix the budget.

The Commission of Audit’s much-anticipated final report has been released, laying out 86 recommendations, offering savings of about $70 billion a year within a decade.

They include slowing minimum wage growth, a slower roll out of the National Disability Insurance Scheme and abolishing whole government agencies.

The lengthy report warns if the government continues a “business as usual” approach, Australia would face 16 years of consecutive deficits with net debt rising to $440 billion by 2023-24, up from $190 billion today.

The Government has already said some of the Commission’s recommendations will be able to be implemented, others will be looked at and some will be ignored completely.

There won’t be an immediate response to each recommendation, Finance Minister Mathias Cormann said.

Instead more will be revealed on Budget night in less than a fortnight.

Here’s a snapshot of where and how the Commission of Audit believes the Abbott Government can save its pennies:

WORK UNTIL 70

The Commission of Audit recommends the pension age be lifted to 70 by 2053, up on the current scheduled increase of 67.

The current assets test should be scrapped it argues, and replaced with a means test for new recipients from 2027-28.

The family home should be included in the new test for those above $500,000 for a single pensioner in today’s terms and $750,000 for couples, according to the report.

It also suggest the rate be wound back over time, in line with average weekly earnings.

EXTRA FEE FOR BULK-BILL SERVICES

Patients should be hit with a $15 co-payment for services currently covered by bulk billing, the Commission of Audit recommends, with the extra fee then halved to $7.50 after 15 visits a year.

Concession card holders would pay $5.

It would not only cover seeing a GP, but also services like blood tests.

Amid fears it would encourage people to turn up to emergency wards, it recommends State Governments consider bringing in a similar co-payment.

MINIUMUM WAGE REDUCED

The Commission recommends the minimum wage be scaled back, slowing growth in line with 44 per cent of national average weekly earnings.

It argues each state should also have its own, to avoid its workers being disadvantaged.

WELFARE SHAKE-UP

It recommends Family Tax Benefit B be scrapped and recipients be rolled into Family Tax Benefit A, with the eligibility cap reduced.

The Commission suggests changes to make sure the Disability Support Pension is given to those in genuine need.

New assessment criteria should be implemented it says, with the current income and assets test axed.

It should be replaced with a means test, like the age pension, which would include the family home for singles above $500,000 and $750,000 for couples.

Young people aged between 22 and 30, without children, who have been pocketing benefits for a year should lose their benefits if they don’t move to high employment areas, the Commission also recommends.

PUBLIC SERVICE CUT

The Commission argues 15,000 fewer public servants would be needed if its recommendations, including cutting agencies and handing over some responsibilities to the states, were adopted.

That would represent five per cent of the current public service.

GOVERNMENT AGENCIES SCRAPPED

The Commission believes seven government agencies, should be abolished, another 35 merged with others, 22 consolidated and nine potentially privatised.

It also recommends the Immigration Department and Customs be rolled into a mega agency.

POWER BACK TO THE STATES

The Commission proposes states be given “all policy and funding responsibility” for government and non-government schools.

It also argues more the States could pick up more responsibility in funding public hospitals.

PAID PARENTAL LEAVE WOUND BACK

The Government is being encouraged to lower the wage replacement cap to average weekly earnings, currently $57,460 a year, instead of Tony Abbott’s plan which is based on the current salary.

Money saved should go towards childcare, the Commission recommends.

SLOWER NDIS

The Commission believes the current roll out of the National Disability Scheme is “highly ambitious” and should be slowed down.

The recommendation would require the states to go back to the drawing board on agreements already struck.

HELP LOANS CHANGES

Students should have to start paying back their HELP loans when they earn the minimum wage, currently $32,354 instead of the current threshold of more than $51,000, the Commission recommends.

http://www.news.com.au/finance/commission-of-audit-reveals-spending-cuts/story-e6frfm1i-1226902160516

[one-eyed]

Commission of Audit: major recommendations

   Matthew Knott
     The Age
    May 1, 2014 - 2:29PM


HEALTH

    Force high-income earners to take out private health insurance and remove access to the private health insurance rebate
    Introduce co-payments for all Medicare services: $15 per service for general patients and $5 per service for concession holders with payments reduced after 15 visits
    Encourage states to introduce co-payments for emergency ward visits for non-urgent medical complaints
    Increase co-payments by $5 for all medicines in the Pharmaceutical Benefits Scheme. No increase for concession card holders below the safety net threshold
    Deregulate ownership and location rules for pharmacies

EDUCATION

    Decrease Commonwealth contribution to higher education costs from 59 per cent to 45 per cent and increase the student share from 41 to 55 per cent
    Partial or full deregulation of university fees
    Increase interest rates on student (HELP) debt
    Graduates repay HELP debt once they earn the minimum wage ($32,354)
    Transfer all policy and funding responsibilities for schools to the states. Provide funding in three, non-transferable pools for public, Catholic and independent schools
    Do not proceed with final two years of Gonski funding
    Abolish all Commonwealth vocational education and training programs including support for apprentices

AGE PENSION & AGED CARE

    Link eligibility age to 77 per cent of life expectancy from 2033
    Include the value of family home in an assets test for new pensioners, but with a high threshold
    Peg the Age Pension to 28 per cent of Average Weekly Earnings after 15 years
    Include the full value of the family home in the aged care means test
    Limit carer payments to one payment per carer
    Introduce a $150,000 income test for carer payments

UNEMPLOYMENT AND THE MINIMUM WAGE

    Scrap the national minimum wage in favour of a new Minimum Wage benchmark of 44 per cent of Average Weekly Earnings. States can set their own minimum wages
    Single people aged 22-30 without dependents must relocate to high unemployment areas or lose access to unemployment benefits after 12 months
    Toughen income testing for unemployment benefits

FAMILY PAYMENTS

    Abolish Family Tax Benefit Part B
    Tighten eligibility for Family Tax Benefit Part A, removing the base rate for higher income families

WELFARE AND DISABILITY

    Slower phase-in of the National Disability Insurance Scheme
    New Disability Support Pension (DSP) pegged to 28 per cent of Average Weekly Earnings
    Introduce tougher means testing of DSP and end existing grandfathering arrangements
    Outsource the Department of Human Service's payments system to the private sector

DEFENCE

    Commission a new Defence White Paper
    Re-assess commitment to increase Defence spending to 2 per cent within a decade
    Increase transparency and control over new equipment projects
    Reduce size of Defence headquarters to 1998 levels

PAID PARENTAL LEAVE AND CHILDCARE

    Lower the Paid Parental Leave scheme wage replacement cap to $57,460
    Scrap the child care rebate and child care benefit and replace them with a single, means-tested payment
    Parents must be working, training or studying to receive childcare benefits

FOREIGN AID

    Don't tie foreign aid spending to Gross National Income
    Don't increase above inflation

PUBLIC BROADCASTING

    Benchmark ABC and SBS against each other and commercial broadcasters
    Scrap the Australia Network

TRANSPORT AND INFRASTRUCTURE

    Expand road user charges, especially for heavy vehicles
    Reduce tied funding for state infrastructure projects by creating a single infrastructure funding pool
    Introduce rolling strategic reviews of major spending programs

INDIGENOUS AFFAIRS

    Consolidate 150 Commonwealth Indigenous programs into no more than seven programs

GOVERNMENT AGENCIES

    Abolish 35 government bodies
    Merge 6 bodies
    Consolidate 57 bodies

PRIVATISATIONS

Short term:

    Snowy Hydro Limited
    Australian Hearing Services
    Defence Housing Australia
    Australian Submarine Corporation

Medium term:

    Australia Post
    Australian Rail Track Corporation
    Royal Australian Mint

Long term:

    NBN Co

http://www.theage.com.au/federal-politics/political-news/commission-of-audit-major-recommendations-20140501-zr2jc.html

[Chuck17]

The payment for having labor in Government has arrived

[froars]

Glad to see all the policies they foreshadowed in the election have arrived.  Oh wait 

Just on GP payments, those that can't afford to go to a doctor will now lob on their local hospital's doorstep, creating more chaos for hospitals. 

They only care about the bottom line of a surplus, surplus, bloody surplus.  We don't need debt, but there are more ways of creating a surplus than kicking the vulnerable in the guts.

[Diocletian]

The payment for having labor in Government has arrived

The payment for decades of stupidity, selfishness, willful ignorance and voting in the same two utterly useless political parties over & over again.

[1965]

Expect a challenge from Hockey.

 

[WilliamPowell]

The payment for having labor in Government has arrived

Actually would think the payment of the Howard govts over the top middle class welfare that was never sustainable has arrived 

[Francois Jackson]

What a mess we find ourselves in.

Can someone remind me what year swan said we would return to surplus

Surely we don't need to go down these measures if he was right

[Chuck17]

The payment for having labor in Government has arrived

Actually would think the payment of the Howard govts over the top middle class welfare that was never sustainable has arrived 

Nope

[Francois Jackson]

Is WP there?
Just wanted to hear your thoughts on TA plans to cut middle welfare

Surely even you being as biased as you are are happy he took this stance or you going to deflect to other issues

stuff ALP has stuffed this country up

[🏅Dooks]

Just to provide some balance to the arguement, its interesting that the liberal party engaged the very top end of town on the Commission of Audit to provide the advice. I get the whole 'they are experts in finance' arguement but isnt it a suprise that that of all the recommendations, very little if any will have an impact on those fat cats earning the 4-5 million dollars per annum 

These Ceos have never lived on the breadline, wont need a pension, and many have been born intoa priveleged life. They for these reasons imo are unable to truly understand (or give due weight to) the social factors of their recommendations

How about more tax for the extreme rich? Is there really any difference between earning 5 million dollars a year and 4 million dollars a year on there quality of life? That 1 million dollars could go along way.

All that aside, Im all for reform if its for the medium to Long term benefit of the country and increased standards of living. I dont really care whos to blame. I even dont mind paying my share.

But it would seem the top end of town do mind and are using the tool to ensure there is proportionally more for them and less for everyone else.

Amongst the need for reform and financial restraint, greed is still good for some.

[WilliamPowell]

Is WP there?
Just wanted to hear your thoughts on TA plans to cut middle welfare

Surely even you being as biased as you are are happy he took this stance or you going to deflect to other issues

stuff ALP has stuffed this country up

Yes I am here

Let's just a get a few things clear though

Firstly the bulk of these middle class welfare payments were introduced by the Howard Govt - you know amongst other things that liltte thing called the baby bonus? That was a Howard Govt policy not Labors. It was then and is today a joke. It was wrong and it was never sustainable. The Audit commission report makes mention of these things

All political parties are guilty of throwing money at those who didn't need it. They have all increased welfare payments overtime to win voters. Suggest you remove your bias to towards the last govt and acknowledge that fact. They are all guilty of it

Am I happy that they going to cut some middle class welfare payments? Yes but and this isn't being biased I am angry that he is going to keep his Paid Parental leave Scheme. Yes it's been watered down but it shouldn't be introduced at all. If things are so dire as Hockey & Abbott keep banging on about then why go ahead with it? Oh that's right we dont break our promises. But wait a minute..... more on that later

God help the disabled, who knows what his plans are for the NDIS, seeing the Audit commission has recommended changes to that

As for what he intends to do pensions going forward. Well that borders on criminal.

I have said this before there is 2 groups that deserve as much help as they can get and thats pensioners & the disabled. Based on what's been reported about the upcoming budget he is failing them and that's a disgrace. That's not biased or political that is about treating those less fortunate the right way

And isn't it fantastic to see he is a typical pollie breaking promises.

No new taxes he bellowed pre election.

Now we are likely to have to pay a new levy. Which when using Tony's logic is in fact a tax because when the Floods levy was introduced Tony said that was a tax not a levy. But now it seems it is a levy not a tax.

So yes happy he is getting rid of some middle class welfare but would be happier if he flicked his stupid Pd Parental Leave Scheme, flicked some of the perks still afford to retired pollies and showed all us that the "age of entitlement" is indeed over across the board not just in certain places

[froars]

They won't implement these all in one go.  They are just craftily forewarning their intentions, and come budget time they will implement a few but not all so as to totally not alienate.  But you can be assured they will be introduced one by one.  Don't forget a GST increase in the back of their minds to wipe out Labor's debt which they doubled.

[Penelope]

The payment for having labor in Government has arrived

The payment for decades of stupidity, selfishness, willful ignorance and voting in the same two utterly useless political parties over & over again.

true, that.