Australia: "Coup" - new prime minister - big business agenda

[Hannah Bell]

Australian Prime Minister Julia Gillard — installed yesterday through a series of unprecedented manoeuvres by a cabal of right-wing factional apparatchiks and trade union bureaucrats — has been issued with a clear set of instructions by the corporate and media interests that orchestrated her predecessor Kevin Rudd’s ousting. She is preparing to carry them out by substantially revising, if not shelving, the Labor government’s proposed 40 percent Resource Super Profits Tax (RSPT) on the mining industry, returning the budget to surplus by slashing public spending, and quickly moving to implement a series of far reaching “free market” economic reforms.

Press coverage of the Gillard coup abounds with mafia-like metaphors describing Rudd’s downfall. They are entirely apt. The conspiracy in Canberra over the last 24-hours amounted to a political contract killing. Labor’s factional chiefs — acting without the knowledge, let alone input, of the majority of caucus members, who are nominally responsible for electing the party leader — switched prime ministers at the direct behest of specific business and media interests.

Chief among these was the mining industry. A Sydney Morning Herald article today, headlined “Tycoons claim credit for a burial”, noted: “Mining tycoons have claimed much of the credit for Kevin Rudd’s downfall, saying the industry-led opposition to the resources tax was the main reason for the leadership coup.”

The mining companies’ two-month long campaign against the tax—which included expensive television, radio, newspaper, and billboard advertising—exploited fears among ordinary people over the prospect of severe economic downturn and higher unemployment. Moreover, Rudd’s decision to use the RSPT revenue to lower the corporate tax rate and bolster other sections of business, rather than spend a cent on social services, meant that his attempt at populist posturing fell flat. The mining giants’ successful campaign against Rudd comes after they helped instigate the removal of Malcolm Turnbull as opposition leader in December, because of his support for an Emissions Trading Scheme, underscoring the resource sector’s considerable weight within the Australian ruling elite.

http://www.wsws.org/articles/2010/jun2010/gill-j25.shtml

[depakid]

1. Oops: Australia’s Gillard Likely to Tax Miners, Morgan Stanley Says

http://www.businessweek.com/news/2010-06-24/australia-s-gillard-likely-to-tax-miners-morgan-stanley-says.html

Julia Gillard is Labor left.

And as anyone familiar with her knows- is nobody's puppet.

She also talked about a carbon tax in her acceptance speech, some form of which will likely replace the flawed ETS.

[TheMadMonk]

2. I'd certainly wait to see how it goes. I just hope she can rise above...

...the taint of Kath and Kim in her voice.

Rudd was a complete waste of space. About the only thing he ever had going for him was a "cutting wit", and of late especially, his jokes have made it only half way.



On a side note: I am getting sick to bloody death of the surprise with which talking heads "report" that a WOMAN has become PM for the first time.

[Hannah Bell]

3. oops: mining corps have a different take.

http://www.perthnow.com.au/business/bhp-billiton-suspends-tax-ads-encouraged-by-julia-gillard-as-new-pm/story-e6frg2qc-1225883969240

BHP Billiton says it is encouraged by new Prime Minister Julia Gillard's commitment to open the doors to miners, and will immediately suspend its advertising campaign against a controversial tax proposal. "We are encouraged by the comments of new Prime Minister Julia Gillard, that her Government will open the doors for negotiation with the objective of achieving consensus," the world's biggest resources company said.

Mining magnate Andrew "Twiggy'' Forrest has welcomed new Prime Minister Julia Gillard's commitment to open the Government's doors to negotiate with the mining industry over the resources tax. The Fortescue Metals Group chief executive welcomed her appointment and said the resource super profits tax (RSPT) had the potential to seriously deter the continued growth of the mining industry.

Queensland mining billionaire Clive Palmer has called on new Prime Minister Julia Gillard to formally abandon the controversial resources super profits tax (RSPT) proposal. Mr Palmer, who has been highly critical of the Government's plans for the new tax, said a mining industry campaign had helped ensure Mr Rudd was dumped as leader.


http://www.resourceintelligence.net/julia-gillard-offers-olive-branch-to-miners-over-resources-super-profits-tax/10009

Julia Gillard offers olive branch to miners over resources super-profits tax

In her first speech after taking over leadership, Ms Gillard said she would “throw open the government door” to the mining sector and in turn, asked the industry to open its mind.
“To reach a consensus we need to do more than consultation, we need to negotiate and end this uncertainty, which is not good for the nation,” she said...

Mining stocks had already jumped early today on the anticipation Ms Gillard would have a softer approach on the tax. Fortescue Metals, Rio Tinto and BHP Billiton were all higher.



So I guess we'll wait & see who's right, won't we?

[depakid]

4. We will see- again. You're batting .000 thus far on this stuff about Oz

;-)

[Hannah Bell]

5. that's not my recollection of the score. please cite.

[depakid]

6. Every WSWS piece you post has been wrong- or been proven wrong by further actions

Like this one:

Australia restores race discrimination act

Australia has reinstated race laws that were suspended by the previous government in its campaign against child abuse in Aboriginal townships.

http://news.bbc.co.uk/2/hi/world/asia_pacific/10374060.stm

Told ya...;-)

[Hannah Bell]

11. bogus.

Restrictions on welfare payments not only remain in place but have been extended to non-indigenous Australians in the Northern Territory, a move which now makes the measures comply with the racial discrimination act.

So the move, which has little practical effect, has done little to appease indigenous groups, which continue to oppose the intervention.

http://news.bbc.co.uk/2/hi/world/asia_pacific/10374060.stm


the discriminatory intervention & land theft continues.

and wsws's analysis of that situation is spot-on. of course, they actually have reporters on the scene, talking to the people affected.

[smalll]

7. At least she's hot!

(For a Prime Minister)

:hide:

[depakid]

8. A bit of advice; don't let the ginger looks fool you

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She's the daughter of a Welsh coal miner- with a cunning mind, steely character, a rapier wit and tougher than nails.

[Forkboy]

9. "Broadcast on all known frequencies, and in all known languages, including Welsh."

[depakid]

10. or strine...

The long suffering Welsh of course have to have their say about it, too:

JULIA GILLARD’S appointment as the first female Prime Minister of Australia assures her of a plinth in the pantheon of political leaders with Welsh roots. Her ousting of landslide-winning PM Kevin Rudd is a triple sensation.

Not only has she dispatched a leader who until recently enjoyed huge popularity, she has proven that women can reach the highest office in a culture renowned for machismo – and done so while blasting away obstacles of prejudice.

Ms Gillard’s status as an unmarried and childless politician drew attention and she was mocked for having an empty fruit bowl on her kitchen table. Her strong accent <broad Aussie, for which she's at times been mocked> -marked out her working class roots.

It is especially fitting that a Barry-born leader has transformed the political landscape. Captain Cook was reminded of the Vale of Glamorgan coastline during his 1770 voyage of exploration around Australia and was inspired to call the terrain “New South Wales”.

Ms Gillard’s achievements will inspire women and others who do not feel part of the traditional establishment to push for power. A country which prizes masculine athleticism is now led by a former left-wing lawyer who admits she is “completely hopeless at sport”.

Her challenge for the leadership proved lethal for Mr Rudd because his popularity melted away after he backed down on plans to introduce a carbon emission trading scheme. A man who had been one of Labour’s greatest electoral assets was seen as an albatross.

She explained: “I love this country, and I was not going to sit idly by and watch an incoming opposition cut education, cut health and smash rights at work.”

More: http://www.walesonline.co.uk/news/welsh-politics/welsh-politics-news/2010/06/25/new-aussie-leader-gillard-cements-strong-welsh-links-91466-26722425/