Howard ducks Ansett
by Jules Andrews With the Federal election only days away, Mr Howard has made a last-ditch attempt to neutralise Ansett as an issue, passionately declaring to Ansett workers: "I care". Yet even as the words left his mouth, his legal representatives stood in court declaring the $10 ticket tax Mr Howard imposed to fund Ansett workers' entitlements does not belong to the workers, in fact that possibly "none will be passed on". The revenue from the airline ticket tax belongs to Ansett employees, this was clearly set out in the legislation: "The purpose of the levy is to meet the cost of payments by the Commonwealth under the Special Employee Entitlements Scheme for Ansett group employees." (Section 7 of the "Air Passenger Ticket Levy Collection Act") Last week, government legal representative Robin Brett, QC said in court: "It's wrong to assume that because it has been collected it will be passed on (to Ansett employees), it may be that none will be passed on." Outside the court, Transport Minster, John Anderson directly contradicted this saying the levy would "only" be used for paying entitlements. His position: "If the charge is we are somehow going to use it for general revenue...absolutely not, we can't, we won't." In a press statement later that day he back-peddled, and was a little more vague about the destination of the funds: "if there was to be an excess levy collection, a proper use would be found for that money". A proposition which sounds very much like "use it for general revenue" — conveniently accruing for the government at the rate of $8 million a week. On Monday Mr Howard attempted to shed light on the issue, stating that should they find they have "excess" funds: "we'll try and make some arrangements about refunding with a particular bias towards the tourist industry." Again, sounding suspiciously like general revenue to be used for an undefined purpose. Yet Mr Howard is upset, complaining an election dirty-tricks campaign is being waged against him on the issue. "I can't understand, other than politics, why people should be running around calling in question our position on the workers' entitlements guarantee", he said with a straight face in a weekend television interview. Martin Foley, of the Australian Services Union pointed out the farcical nature of Howard's "guarantee". "The last three days we've had four different positions from the Howard Government", he said. "We've had the real position put to the court, we've had one position by Mr Anderson, another by Mr Costello and we've got another today by Mr Howard. ACTU Secretary Greg Combet warned that the Government's confusion over the issue was threatening all the hard work that had been put into securing a future for Ansett employees. He bluntly stated: "It is incredible and this could stuff the whole lot". "Mr Howard is showing contempt for the life savings and the job security of thousands loyal and hard working Ansett employees by telling the Federal Court that the Government does not have to comply with its own tax legislation." On Monday Mr Howard was once again repeating his Ansett election white- wash: "The Federal Government has guaranteed the workers' entitlements." Mr Howard has "never" guaranteed the full entitlements for Ansett employees, and from the outset the Government has peddled lies over the issue. Employment Minister Tony Abbott, in his initial statement on Ansett entitlements declared the Government would ensure: "that employees wishing to resign remain eligible for all their entitlements, including severance benefits (pay in lieu of notice and redundancy)". But further in the very same statement he says, "the Government will pay: up to eight weeks of redundancy pay, in line with the community standard". This a far cry from the "all" he just promised. Sacked Ansett workers with 20 years service are entitled to 90 weeks redundancy pay; with 30 years service — 140 weeks pay. So while Mr Howard pockets the "excess" proceeds of the $10 tax, some workers will remain cheated out of 132 weeks pay. Collectively, this is estimated to be $200 million of hard-earned entitlements. Through all this, Mr Howard still managed to turn on the election charm and claimed it is he, and not the unions, who care about the Ansett employees. "This campaign of misrepresentation, deliberately designed by the ACTU on the eve of an election, to try and persuade all of the Ansett employees to vote Labor is really dishonest and it's not helping the interests of those people who I am concerned about, I care about them." QANTAS In a breath-taking display of hypocrisy, Qantas has accused the government of anti-competitive behaviour. Having shored-up 90 per cent of the domestic travel market, and announcing 1,000,000 discount seats in an effort to sink Ansett Mk II the very week it hit the skies, Qantas now claims that government subsidies for Ansett and Virgin Blue aimed at restoring lost services will provide them with an unfair advantage in the market. "We now see government and prospective government of all persuasions subsidising and proposing other assistance to our domestic competitors", said Qantas Chief Executive Geoff Dixon. "Using taxpayers' funds to prop up our rivals is the antithesis of what has been preached in Australia about competition in recent years. "The national interest will not be served by limiting Qantas's chances of success." While dozens of airlines around the world have slashed jobs and services or gone bankrupt, Qantas announced last week its intention to splash out up to $9.23 billion on 75 new Boeing aircraft. And with a $600 million profit forecast, it says it will need to freeze wages and decimate working conditions of employees to remain competitive. "It would be very nice, and very advantageous for Qantas going forward, if it could take a deep breath, have a wage freeze and then see what comes out of the industry", Mr Dixon said. Another record profit, no doubt.