Editorial:
Just how good is it?

"This is about as good as it gets" ran the headlines in the business 
pages of the capitalist press last week. "... the economy is performing 
exceptionally well", said the Financial Review editorial (4-3-99), 
heaping praise on the Government and urging it to continue with its 
"reforms". Good news, no doubt, for the bosses who read the Financial 
Review but what about the two million workers in casual positions, 
those on low wages, and the unemployed? Is this really as good as it 
gets?

Last week's economic figures told a story of low inflation with economic 
growth (GDP), booming stockmarkets and record profits. What more could the 
director of a big corporation ask for — except more profits!

Other economic statistics, however, reveal an extremely unstable situation 
and suggest that a recession is in the making. Business investment and 
building approvals have fallen. Coal, iron ore, zinc, tin, oil, gold, wool 
and grain are all experiencing a global crisis of surplus production and 
low prices.

Australia's heavy reliance on commodity exports has contributed to the 
massive and still rising trade imbalance and overseas debt.

Australia's net overseas debt is now $237 billion ($187 billion owed by the 
banks) and the current account deficit (annual difference between overseas 
spending and income from overseas) is running at $32 billion a year. At 
some stage the "markets" may decide these deficits are too high, and pull 
the plug on the dollar with disastrous consequences for the economy and the 
people.

Government policies are making the situation worse. Deregulation and tariff 
reductions have encouraged the inflow of cheaper goods, resulting in 
industry closures and unemployment. The closure of Clarks Shoes (page 4 of 
this issue) is one recent example.

The growth that the Government boasts of is largely due to domestic 
spending — workers' wage rises and savings. If the government and 
employers succeed in their present campaign to reduce wages then people 
will spend less, costing more jobs.

What is the position of the working people of Australia?

Many are experiencing a decline in wages. More workers are being forced to 
take part-time or casual work — when formerly employed full-time — 
inevitably lowering their standard of living. Others are working longer 
hours, the majority without over-time payment. 

Penalty rates are being whittled away, another means to lower take-home 
pay. There has been an enormous increase in the productivity of labour but 
the benefits are not being passed on to those who do the work.

The advances in equal pay for equal work are receding. Young workers are 
being hit especially hard, with high unemployment across Australia, 
particularly in country areas.

With sackings taking place on a daily basis workers do not know from one 
week to the next whether they will have a job. Many of the boom-time 
"certainties" have evaporated leaving workers and their families with 
mortgages and other debts to pay.

Jobs and job security: these are the important issues facing all workers in 
Australia. Is it any wonder that a feeling of insecurity permeates society, 
that many people are looking for something better?

Changes are necessary that help workers and begin reversing the disastrous 
economic polices of the government. A shorter working week, without a 
reduction in pay and with a limit on overtime, needs to be introduced.

End work-for-the-dole schemes, which are basically the provision of cheap 
government-funded labour to employers. Real job creation schemes are 
necessary.

An economic planning body should be established in order to  oversee and 
determine investment priorities.

Public ownership of our major industries and the maintenance in public 
hands of all fundamental services are vital for a rejuvenated economy that 
operates for the benefit of the people.

Then we would begin to see just how good it could get.