Saturday 16 April 2016

What Happen To The Fair Australia?

The headline that grabbed me today was this one from the Australian written by Adam Creighton and Sid Maher. “ONE IN TWO VOTERS IS FULLY RELIANT ON PUBLIC WELFARE.” 

I posted the story on  social media and I received a number responses. The one that really struck a cord with me, came from Nellie. Nellie is one of the more responsible political posters on Twitter and she made a simple statement. So unfair. 


If you are one of the thousands of Aussies who believe in a fair go, you would be hard pressed to disagree with Nellie. It is unfair that 50% of Australians are carrying the other 50% or paying the other 50%. We are frequently reminded our population is ageing.  Whilst pushing the pension entitlement age up will have some impact it’s reasonable to assume that at some point the 50% who are carrying the load becomes 45% then 40% down, down, down. Where does it end?

“Analysis by The Weekend Australian has revealed that more than 44 per cent of voters, almost 6.4 million people, are ­either public sector employees (1.89 million) or wholly dependent on federal government pensions, allowances and parenting payments (4.48 million). The figure grows further when private sector workers who receive more in welfare than they pay in tax are added.”

1.89 million public servants equals 7.9% of the entire population. Sure some are essential services rightly so, but a huge percentage aren’t. 

Scott Morrison has been sending very strong signals that expenditure has to be controlled. Rating agencies have been sending the same signals. We better start listening the old “she’ll be right mate and I’m OK mate” isn’t cutting the mustard. 

There were a lot of comments to the Australian article, some more worthy than others. This one is worth sharing. I hope Richard doesn’t mind me using it. 

“What are you all doing this weekend?

Personally, the wife and I are doing our BAS so the GST can be paid on time for our small business.Then payroll reconciliations so the PAYG withholding taxes can be paid on time.Then PAYG installments so the company tax can be paid on time.Then reconciling superannuation so the 
superannuation can be paid on time.

There are no public servants on hand to answer queries on difficult issues from complex legislation, so we will battle through the weekend on our own.

To all those who enjoy living off welfare handouts .... please enjoy our weekend for us. We are too busy supporting you and battling the red tape to enjoy it for ourselves.”

Hard to argue with that. 

When I’ve raised these points in the past I’ve received the “I paid my taxes I’m entitled” rebuttal. Well, no you aren’t. Your taxes aren’t your savings fund. You pay taxes for services you receive through out your whole life. It's not a fund where you pay and receive services and then you line up to withdraw what you paid for services you received and will continue to receive until you drop dead!! Whew that was long. Seriously, we need a change of attitude if we are to prosper in the future and not end up like Greece. 

When I get push back I’m reminded of a friend of mine who migrated here from Malaysia 7 years ago. He didn’t have much when he arrived with his wife and three children. He had a job. But it wasn’t the highest paying job in the world. Still isn’t for that matter. He works unbelievable hours at times. But the family scrimped and saved and after 2 years they had enough for a deposit on a modest house. It was cramped with five people; three growing teenagers. Last week he showed me the extension they have completed. He has a plan, and that is not to be a drain on the public purse of the country that has given him a new life. If he can do it why can't others? I think we know the answer to that. 

They say democracy exists up until the time voters discover they can vote themselves more and more generous gifts from the public treasury and that irresponsible governments keep appeasing them. Maybe I don’t know. But it sounds plausible. 

I wonder how different the system would be if receivers of welfare or employees of the tax payer didn’t have the right to vote. Only tax payers who don't take from the public purse and self-funded retirees could vote. If nothing else it would be interesting and I bet it would be fairer. I suspect if this was proposed regardless of how off the wall it is, it would receive support. 

So back to Nellies comment. No Nellie, it isn’t fair, and it isn’t sustainable. In so many ways it's unbelievable that parents and grand parents feeding from the public trough are happy to burden their children and grand children with such an unsustainable future for a bag of silver now. 

Sadly the "Fair Australia" has been replaced by the "Everyone For Themselves Australia."  I hope and pray we have a government with the guts to take this head on.  But I fear even if they do and they are reelected we'll end up with another unworkable senate. Unless of course we wise up and give the LNP the mandate and the senate to get stuff done. The alternative is Shorten and you can bet your life he'll be maxing out the credit card. We simply can't afford that and neither can the future generations who will carry the burden.