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Burgeoning crisis of federalism

By Marcus Strom - posted Wednesday, 18 July 2007


Such a view is extremely narrow and misses the fundamental shift occurring in the Australian political landscape.

Traditionally it has been the left that has favoured centralisation in Australia. Through the 20th century it was Labor that first promoted a national banking system, national arbitration - even a national navy. The conservatives have traditionally defended states’ rights.

In modern times the Hawke-Keating governments started the centralisation process, albeit in a more corporatist vein and smashing through tariff barriers and the old social-democratic consensus, bringing the representatives of capital and labour to the table to carve up the national pie, with labour doing all the belt-tightening to achieve the social wage.

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Howard has continued that apace but with a more robust anti-working class agenda: bureaucratic centralisation to underpin national capital’s pursuit of profit in a globalised economy.

Apart from Indigenous issues and fiscal policy, where has Howard centralised? The question should be recast as “where hasn’t he?”

Industrial relations

The biggest shift in constitutional relations has come through the WorkChoices legislation. In recognising the constitutionality of the laws, the High Court has acceded almost unlimited authority to the Commonwealth to enact legislation through the corporations power.

An editorial in Quadrant magazine said that Justice Gleeson and his majority had "destroyed our federal system of government". While the High Court challenge by state ALP governments was a forlorn attempt to stem the tide, it has led some in the labour movement to argue for the rights of states to define industrial relations and other matters.

This is as pathetic as King Canute’s attempts at tide control.

Water

In January this year, John Howard announced a $10 billion dollar national water management plan which is to include the Commonwealth takeover of the management of the Murray-Darling basin. Forty per cent of Australia’s food is produced in the basin.

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This affects the "states’ rights" of New South Wales, Queensland, Victoria and South Australia. All states, bar Victoria, have backed the plan, with negotiations continuing between the Commonwealth and the Bracks Government.

Education

Under the Howard Government, universities have completed their shift from patrician seats of learning for the upper classes to corporate entities competing for students in the education marketplace.

Public universities remain authorised to exist through state acts of parliament; however, these are anachronistic anomalies. Howard and his various education ministers up to Julie Bishop are pushing through tied funding relationships with universities in much the way they do with the states. One example is the requirement that universities must offer AWAs to all staff in exchange for funding. This is an undemocratic obscenity.

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This is an edited version of an article, 'Defend Indigenous land rights, fight for a democratic republic', originally published in the Labor Tribune, on July 8, 2007. The longer version can be found here.



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About the Author

Marcus Strom is the editor of Labor Tribune.

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