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2011-02-04

Gillard needs a change of soul

Comments on Dennis Shanahan “Back to work junking two-speed economy”, 4/02/2011, http://www.theaustralian.com.au/news/opinion/back-to-work-junking-two-speed-economy/story-e6frg6zo-1225999763767

The key to achieving those policy objectives is to have a flexible and efficient workforce that is appropriately incentivised and rewarded through a low and flat tax, together with some regional and sectoral reorganization.

Government should create the most conducive environment for people to learn, re-skill, work in and move to most reward sectors and locations.

To complement that, if there is a real labour shortage, with temporary working visa with no permanent residency attached.

If the record is a guide, the current government is not well positioned for achieving those goals. It has the class warfare mentality - to tax the rich (high and middle incomes) and to provide high welfare to others. That mentality and approach to governance is unlikely to be compatible with Gillard’s recent apparent policy shift.

The flood levy, for example, clearly and unambiguously demonstrates this point.

Unfortunately, Gillard is captive to this outdated Labor ideology.

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