Senate
20 March 1957

22nd Parliament · 2nd Session



The PRESIDENT (Senator the Hon. A. M. McMullin) took the chair at 3 p.m., and read prayers.

page 19

QUESTION

INDUSTRIAL ARBITRATION

Senator McKENNA:
TASMANIA

– Will the AttorneyGeneral, if not to-day, then at the earliest possible moment, make a statement to the Senate regarding the effect on Commonwealth legislation of the recent decision by the Privy Council in what is commonly known as the Boilermakers case?

Senator O’SULLIVAN:
Attorney-General · QUEENSLAND · LP

– I shall be very pleased to do so. The decision of the Privy Council was communicated to the Government only last evening, and until the reasons for the judgment are to hand, and have been carefully studied, its precise impact upon Commonwealth tribunals will not be known. As soon as practicable, I shall give the honorable senator an opportunity to prompt me again by asking a similar question, when I hope to be in a position to give him a satisfactory and complete answer.

page 19

QUESTION

RADIO-TELEPHONE SERVICES

Senator SCOTT:
WESTERN AUSTRALIA

– Will the Minister representing the Postmaster-General inform me whether, it is a fact that the towns of Derby and Broome in Western Australia are to be connected by radio telephone to the Australian telephone network? If it is a fact, when is it expected that this facility will be provided?

Senator COOPER:
Minister for Repatriation · QUEENSLAND · CP

– I shall be very pleased to refer the honorable senator’s question to my colleague, the PostmasterGeneral, and obtain a reply for him.

page 19

QUESTION

COAL

Senator ARNOLD:
NEW SOUTH WALES

– I preface a question to the Minister for National Development by stating that, during the past few months, three scientists in Sydney have stated that a great future is proposed for the byproducts of coal. I understand that the Department of National Development has made investigations in connexion with the matter, and I should like to know whether the Minister has anything to report to the Senate on the proposed scheme.

Senator SPOONER:
Minister for National Development · NEW SOUTH WALES · LP

– I am scarcely in a position to supply anything in the nature of a progress report. The Joint Coal Board, after consultation with me, appointed a scientific committee to examine the proposal. Men of business capacity were included in the committee to assist it to make a judgment on whether a market exists for the by-products that could be obtained. I express a personal opinion when I say that it would be unwise for those engaged in the coal industry to expect that the implementation of this proposal would effect an immediate improvement in the industry. Very substantial capital expenditure, amounting to as much as £140,000,000, would be involved in the establishment of a complete chain of undertakings ranging from power-houses to factories for the production of chemicals, and many existing Australian industries would be duplicated in the process.

page 19

QUESTION

SWAN RIVER BRIDGE

Senator GORTON:
VICTORIA

– Has the Minister for Shipping and Transport seen the announcement that a great new bridge is to be built across the Swan River, in the city of Perth, and that it is to be financed from the petrol tax reimbursements to that State? Will he consider suggesting to the Premier of Western Australia that, in common decency, the bridge should be named Victoria Bridge and should be opened by the Premier of Victoria, the Honorable H. E. Bolte?

Senator PALTRIDGE:
Minister for Shipping and Transport · WESTERN AUSTRALIA · LP

– I suggest to the honorable senator that, as he has strongly advocated an alteration of the existing formula for the distribution of the petrol tax, a suggestion of that nature might better and more appropriately be conveyed to the Premier of Western Australia by himself than by me.

page 19

QUESTION

TIMBER

Senator WRIGHT:
TASMANIA

– I direct to the Minister representing the Minister for Trade a question relating to the dislocation that has occurred in the timber industry during the parliamentary recess, and which has been brought to the notice of the Minister for Trade recently by the State Ministers and Commissioners for Forests. I note that the Minister stated yesterday that he has decided to refer to the Tariff Board the question of whether the excise duty on timber imported into this country needs revision. Will the Minister indicate to the Senate how long it is expected the Tariff Board will take to complete its report, because the circumstances of the Tasmanian timber industry call for urgent consideration?

Senator SPOONER:
LP

– I have no more knowledge of the position than the press report, which apparently the honorable senator also has read, although I have no doubt that he is much closer to the problem than I am. It is very difficult, indeed, to say how long the Tariff Board will take to complete a report, because so much depends upon the ramifications of each particular industry. But I shall speak to the Minister for Trade, direct his attention to the honorable senator’s interest in the matter on behalf of the Tasmanian timber industry, and ask him to see what he can do to expedite the report.

page 20

QUESTION

TASMANIAN AIR FARES

Senator WARDLAW:
TASMANIA

– In view of the fact that several airline companies, including Trans-Australia Airlines, have introduced tourist concession rates between various mainland cities, will the Minister for Civil Aviation give early consideration to a reduction of air fares to and from Tasmania? I base my request on the following grounds: First, Tasmania’s isolation and its great contribution in the past to the establishment of successful air transport; secondly, Tasmania must use air transport, other States having alternatives; thirdly, its dependence on the tourist trade as one of its main sources of revenue; and, fourthly, the buoyant state of the Australian National Airlines Commission’s affairs as disclosed in its report for the year ended 30th June, 1956.

Senator PALTRIDGE:
LP

– My understanding is that air companies have recently introduced tourist services on some lines because there has been a genuine demand for that type of service. The establishment of tourist services involves a standard of personal service on the aircraft which is not quite so high as on the ordinary services and, I think, a rather less liberal seating accommodation. I do not know what the position is in respect of the establishment of a service of this nature to Tasmania, but I shall have the position examined.

page 20

QUESTION

EXPORT PAYMENTS INSURANCE CORPORATION

Senator BYRNE:
QUEENSLAND · ALP; QLP from 1957; DLP from 1968

– I direct a question to the Minister representing the Minister for Trade. On 18th October of last year, in reply to a question I asked regarding the operation of the Export Payments Insurance Corporation, the Minister replied in these terms - 1, 2 and 3. The Export Payments Insurance Corporation Act 1956, provides for the setting up of a corporation constituted by a commissioner. A commissioner has not yet been appointed and no insurance has been effected under the Act. An announcement regarding the appointment of a commissioner will be made in the near future.

Can the Minister now inform me whether a commissioner has been appointed and, if so, when? Further, what steps have been taken otherwise to set up the administrative machinery of the corporation? 1 also direct to the Minister the three following questions which I asked previously: Have any applications yet been made for insurance under the Export Payments Insurance Corporation Act? If so, to what countries were the exports in question destined? In respect of what commodities have guarantees been given, and what were the values of the commodities and the amounts of the guarantees?

Senator SPOONER:
LP

– My recollection is that my colleague, Mr. McEwen, recently made a statement to the effect that there had been very great difficulty, indeed, in obtaining some one with the required professional capacities or attainments to take over this particular task, but that he hr.d at last obtained the services of some one who was a recognized expert in this field of insurance and who was at present in Great Britain, and that arrangements were being made for that gentleman to be brought to Australia. If my recollection is correct on that point, with respect to the honorable senator, it is of no use to follow the question further until that gentleman arrives in Australia. If my recollection is incorrect, I shall make a statement to-morrow in the Senate.

page 20

QUESTION

GHANA

Senator VINCENT:
WESTERN AUSTRALIA

– I direct a question to the Minister representing the Prime Minister with reference to the new sovereign State of Ghana, the latest addition to the

British Commonwealth of Nations. I preface my question by saying that I note with concern that the Soviet Government has already issued an invitation to the Government of Ghana to send a parliamentary delegation to Russia - for obvious reasons. A also note that no such invitation taas yet been extended to this new government by any of the democratic nations. Will the Australian Government extend to the Government of our sister dominion of Ghana an invitation for a parliamentary delegation from that country to visit Australia as soon as it is convenient?

Senator O’SULLIVAN:
QUEENSLAND · LP

– I am sure that all Australians were delighted to see the advance of the dominion of Ghana to the stage of responsible government. The suggestion made by the honorable senator is a highly commendable one, and I shall have great pleasure in bringing it to the notice of any colleagues.

page 21

QUESTION

TELEVISION

Senator SHEEHAN:
VICTORIA

– I ask the Minister representing the Postmaster-General: What are the possibilities of television repeating -.stations being erected at vantage points at an early date to enable residents of country districts to participate in television reception? Is the Commonwealth Government, or are those companies which are licensed to telecast, responsible for the future development of television?

Senator COOPER:
CP

– The extension of television to parts of Australia that are not “being served now is under consideration by the Postmaster-General’s Department, but I have no detailed information on the matter at my disposal. I shall refer the honorable senator’s question to the Postmaster-General, and obtain a considered reply as soon as possible.

page 21

QUESTION

TAXATION

Senator PEARSON:
SOUTH AUSTRALIA

– I preface a question to the Minister representing the Treasurer by stating that representations have been made to me on behalf of the Royal Institution of the Blind and the Tubercular “Soldiers Aid Society at Angorichina for exemption from sales tax of certain articles made by persons in their care. The men concerned work under grave disabilities, and experience increasing difficulty in competing with outside manufacturers. In view of those disabilities, and as no great loss’ df revenue would be involved, will the Treasurer, whose attention has been directed to this matter by me, give serious consideration to the request when framing the next budget? If a total exemption cannot be granted, will the Treasurer seriously consider raising the limit of exemption which is allowed at present?

Senator SPOONER:
LP

– From my knowledge of the Treasurer, I am sure that the right honorable gentleman will give sympathetic consideration to the request that has been made by the honorable senator. Of course, the Treasurer will be governed in his actions by precedents and practices, but I am sure that he will do what he can consistent with tax legislation. I shall direct the Treasurer’s attention to the honorable senator’s request.

page 21

QUESTION

ALUMINIUM

Senator O’BYRNE:
TASMANIA

– I preface a question to the Minister representing the Minister for Supply by reminding him that vast deposits of high-grade bauxite have been discovered in north Queensland. This discovery will ensure a ready supply of raw material for the production of aluminium for defence and domestic purposes. The discovery is of great importance to Tasmania, as the only aluminium production plant in the southern hemisphere is situated in that State. In view of the growing unemployment in coal-mining, the building trades and the timber industry in Tasmania as a direct result of the economic policy of the Commonwealth Government, will the Minister give the Senate any information he has on plans for the enlargement of the aluminium plant at Bell Bay for the dual purpose of absorbing unemployed persons, and of meeting the Australian demand for 15,000 tons of aluminium which has to be imported?

Senator PALTRIDGE:
LP

– I will refer the honorable senator’s question to the Minister for Supply, and I am sure that he will give the honorable senator a considered reply.

page 21

QUESTION

TIMBER

Senator AYLETT:
TASMANIA

– Will the Minister representing the Minister for Labour and National Service inform the Senate how many saw-mills have been closed down in each Australian State, and how many mill workers have been thrown out of employment because of the importation of timber from countries where labour is cheap?

Senator SPOONER:
LP

– I am sure that the point the honorable senator has raised is one that will receive careful consideration by the Tariff Board, to which my colleague, the Minister for Trade, has already referred this matter. I am equally sure that when the matter does come before the Tariff Board the statement that the honorable senator has made about unemployment and so on will prove to be as exaggerated as his statements usually are.

page 22

QUESTION

PUBLIC TELEPHONES

Senator BUTTFIELD:
SOUTH AUSTRALIA

– My question is directed to the Minister representing the Postmaster-General. In view of the fact that many users of public telephones, installed for the use of the masses and not for the few, carry on extremely lengthy conversations during local calls, while others queue up outside waiting possibly to make emergency calls, could the Minister have investigations made as to whether any mechanism could be installed to ensure that after the lapse of a specified time another threepence would have to be paid? I respectfully suggest that any such installation would pay for itself rapidly.

Senator COOPER:
CP

– I will bring the honorable senator’s question to the notice of my colleague, the Postmaster-General, and ask him if he will have investigations made into the matter the honorable senator has mentioned.

page 22

QUESTION

WESTERN AUSTRALIAN WATER SCHEME

Senator COOKE:
WESTERN AUSTRALIA

– Is the Minister representing the Treasurer aware that the Government of Western Australia is anxious to push on with the early completion of its comprehensive water scheme which is being subsidized on a £l-for-£l basis by the Commonwealth Government? Is the Minister also aware that this scheme has been made expensive and has been slowed down as a result of the maximum amount fixed by the Commonwealth Government that can be spent on the scheme in any one year? Will the Minister endeavour to have this ceiling, which has been imposed by the Commonwealth Government on Western Australian development, namely £462,500 per annum, raised to £570,000 per annum, which is the amount that the State Government is anxious and prepared to spend on the completion of the scheme? If it is necessary for legislation to be amended to achieve that commendable object, will the Minister report to the Senate the Government’s intentions, or whether it considers it necessary to amend such legislation in order to allow this scheme to be completed as early as possible and so avoid the onward rush of inflation?

Senator SPOONER:
LP

– It is very difficult to keep all these various arrangements in mind, but I am clearly of the recollection that the Western Australian Government got into a tangle with this comprehensive water scheme and that the Commonwealth Government came to its assistance and most generously increased its financial appropriation to enable the scheme to be carried on to better advantage. I think it is the old story that no matter how much the Commonwealth Government does to help a particular State, all that State does is take advantage of the assistance and, like Oliver Twist, come back and ask for more. That is my recollection of this transaction, but I ask the honorable senator to put his question on notice, and I am certain that the facts which my colleague the Treasurer will give him will again vindicate the Commonwealth’s attitude in this matter.

page 22

QUESTION

QUEENSLAND HOUSING LOANS

Senator BROWN:
QUEENSLAND

– I ask the Minister for National Development how much of the £250,000 allocation has been drawn by the Brisbane Permanent Building and Banking Company Limited in Queensland. What was the percentage of interest charged? Could this money be used for purposes other than the building of homes - as, for instance, for the building of hotels, picture theatres, and so on?

Senator SPOONER:
LP

– The answer to the last part of the honorable senator’s question is a definite “ No “. Not even the honorable senator himself could imagine that the Government would allow this money, allocated for home-building, to be applied to those purposes. As to the first part of the question, if the honorable senator will place it on notice, I will obtain for him an answer containing the exact details.

page 23

QUESTION

BANKRUPTCY

Senator LAUGHT:
SOUTH AUSTRALIA

-I ask the AttorneyGeneral whether he has received the report of the Committee on Bankruptcy Law Revision. If not, when does he expect to receive it?

Senator O’SULLIVAN:
LP

– I have not yet received that report, and I am not in a position to say when it will be ready. However, I will make inquiries and let the honorable senator know.

page 23

QUESTION

MEDICAL BENEFITS SCHEME IN WESTERN AUSTRALIA

Senator COOKE:

– I address a question to the Minister representing the Minister for Health and Social Services. Is the Minister aware that a most unfair anomaly exists in the operation of the medical benefits scheme in the State of Western Australia? In certain outlying districts of that State there is no medical practitioner other than one whose salary is paid by the Western Australian Government. Is the Minister aware that although persons residing in these areas contribute to an approved society for medical benefits, they are unable to receive from the society, or from the Commonwealth Government, any reimbursement of their medical expenses when the money is paid to a State-salaried medical officer? Will the Minister take early action to have this anomaly rectified? Is he aware that both the Commonwealth and State representatives consider that the anomaly is unfair and should be corrected without delay?

Senator COOPER:
CP

– I shall be pleased to bring to the notice of the Minister for Health the honorable senator’s question, and obtain a reply for him as early as possible.

page 23

QUESTION

MINERAL RESEARCH

Senator SCOTT:

– I ask the Minister for

National Development whether officers of the Bureau of Mineral Resources frequently carry out field work throughout Australia in their search for minerals. Can the Minister advise whether officers of this bureau have played any part in the discovery of bauxite deposits on the Queensland coast?

Senator SPOONER:
LP

– In order that the facts should become known, I think it is desirable to ask the honorable senator to place his question on notice. The Senate will then be informed of the work that the bureau has done in the northern parts of Australia, such as the Cape York Peninsula and Arnhem Land, in the search for bauxite deposits.

page 23

QUESTION

PUBLIC SERVICE

Senator AYLETT:

– I ask the Leader of the Government whether he will obtain, for the information of the Senate, the total number of public servants engaged in Australia and on the pay-roll at the end of the financial years 1950, 1951, 1952, 1953, 1954, 1955 and 1956.

Senator O’SULLIVAN:
LP

– I do not know whether the information asked for by the honorable senator is readily available. If it is, I shall be happy to obtain it for him. If it is not, there might be other sources from which the honorable senator can get it, but 1 shall make inquiries and let him know.

page 23

COMMITTEES

Motions (by Senator O’Sullivan) - by leave - agreed to -

Standing Orders Committee

That a Standing Orders Committee be appointed, to consist of the President, the Leader of the Government in the Senate, the Chairman of Committees, and Senators Cooke, Kendall, Nicholls, O’Byrne, Vincent, and Wright, with power to act during recess, and to confer with a similar committee of the House of Representatives.

Library Committee

That a Library Committee be appointed, to consist of the President and Senators Arnold, Kendall, McCallum, Robertson, Sheehan and Tangney, with power to act during recess, and to confer or sit as a joint committee with a similar committee of the House of Representatives.

House Committee

That a House Committee be appointed, to consist of the President and Senators Amour, Marriott, O’Flaherty, Ryan, Wade, and Wordsworth, with power to act during recess, and to confer or sit as a joint committee with a similar committee of the House of Representatives.

Printing Committee

That a Printing Committee be appointed, to consist of Senators Benn, Buttfield, Hannaford, Robertson, Scott, Tangney, and Toohey, with power to confer or sit as a joint committee with a similar committee of the House of Representatives.

page 24

DISPUTED RETURNS AND QUALIFICATIONS COMMITTEE

The PRESIDENT:

– Pursuant to Standing Order 38, I hereby appoint the following senators to be the Committee of Disputed Returns and Qualifications - Senator K. M. Anderson, Senator D. C. Hannaford, Senator A. Hendrickson, Senator P. J.” Kennelly, Senator T. M. Nicholls, Senator A. R. Robertson, and Senator R. H. Wordsworth.

page 24

TEMPORARY CHAIRMAN OF COMMITTEES

The PRESIDENT:

– Pursuant to Standing Order 28a, I lay on the table my warrant nominating Senator K. M. Anderson, Senator A. Hendrickson, Senator T. M. Nicholls, Senator J. O’Byrne, Senator R. W. Pearson and Senator I. A. C. Wood to act as Temporary Chairmen of Committees when requested so to do by the Chairman of Committees, or when the Chairman of Committees is absent.

page 24

RELIEF FOR THE PRESIDENT

Motion (by Senator O’sullivan) - by leave - agreed to-

That, during the unavoidable absence of the Deputy President, the President be authorized to call upon any one of the Temporary Chairmen of Committees to relieve him temporarily in the chair, without any formal communication to the Senate.

page 24

DAYS AND HOURS OF MEETING

Motion (by Senator O’sullivan) agreed to -

That the days of meeting of the Senate, unless otherwise ordered, be Tuesday, Wednesday and Thursday of each week; and that the hour of meeting, unless otherwise ordered, be 3 p.m. in the afternoon of Tuesday and Wednesday, and 1 1 a.m. in the forenoon of Thursday.

page 24

GOVERNMENT AND GENERAL BUSINESS

Precedence

Motion (by Senator O’sullivan) agreed lo -

That on all sitting days of the Senate during the present session, unless otherwise ordered. Government business shall take precedence of all other business on the notice-paper, except questions and formal motions, and except that general business take precedence of Government business on Thursdays, after 8 p.m.: and that, unless otherwise ordered, general orders of the day take precedence of general notices of motion on alternate Thursdays.

page 24

SUSPENSION OF SITTINGS

Motion (by Senator O’sullivan) agreed to -

That, during the present session, unless otherwiseordered, the sittings of the Senate, or of a committee of the whole Senate, be suspended from- 12.43 p.m. until 2. IS p.m., and from 6 p.m. until 8 p.m.

page 24

HOUR OF ADJOURNMENT

Motion (by Senator O’sullivan) agreed to -

That, during the present session, unless otherwise ordered, at 10.30 p.m. on days upon which proceedings of the Senate are not being broadcast, and at 11 p.m. on days when such proceedings are being broadcast, the President shall put the question - That the Senate do now adjourn - which question shall be open to debate; if the Senate be in committee at that hour, the Chairman shall in like manner put the question - That he do leave the chair and report to the Senate; and upon such report being made the President shall forthwith put the question - That the Senate do now adjourn - which question shall be open to debate: Provided that if the Senate or the committee be in division at the time named, the President or the Chairman shall not put the question referred to until the result of such division has been declared; and if the business under discussion shall not have been disposed of at such adjournment it shall appear on the notice-paper for the next sitting day.

page 24

GOVERNOR-GENERAL’S SPEECH

page 24

ADDRESS-IN-REPLY

Debate resumed from 19th March (vide page 17), on motion by Senator Hannan -

That the following Address-in-Reply to the Speech of His Excellency the Governor-General be agreed to: -

May it Please Your Excellency -

We, the Senate of the Commonwealth of Australia in Parliament assembled, desire to expressour loyalty to our Most Gracious Sovereign, and” to thank Your Excellency for the Speech which you have been pleased to address to Parliament.

Senator McKENNA:
Leader of the Opposition · Tasmania

– I move -

That the following paragraphs be added to the Address-in-Reply: - “ 2. The Government is censured for the statement of housing policy announced by the Prime Minister on 7th March last and for the acute social ills caused by its continued failure- to establish, in conjunction with the States, a- national housing plan.

This failure has been largely caused by the provision of inadequate finance for- home- building for-

State governments;

war service homes;

co-operative building societies;

Australians seeking to build their own homes.

The national plan should have regard to -

immediate reduction of migrant intake;

employment of the maximum work force in the home building industry;

the availability of materials.

It should provide for -

priority to home-building over less essential private investment;

provision of sufficient finance to promote home ownership at low rates of interest.”.

I propose to make my speech at a later stage.

Leave granted.

Senator NICHOLLS:
South Australia

– . I desire to deal first with that part of His Excellency’s Speech in which he referred to the economy of this country. On almost every day for weeks prior to the recent increase of shipping freights, which became operative on 1st February this year, there were references to the subject in the daily press. The present unsatisfactory position in this connexion could not have arisen if Labour’s policy in regard to shipping had been adhered to from the time that it was first implemented by the late William Morris Hughes, when he was Prime Minister of this country.

Let me state the position as it appears to me: Shipping freights on all goods shipped between Australia and the Continent and the United Kingdom were increased by 14 per cent, from 1st February this year. The increase, as I understand the position, was the result of a decision of the 22 shipping companies that own and control the ships engaged in overseas trade. I believe that the decision was based on a cost-plus formula or, in other words, that in order to obtain a certain net result - 10.4 per cent, to be precise - it was necessary to increase freight rates by 14 per cent.

The very circumstance which permitted these companies to arrogate to themselves the right and the power to impose these increased shipping charges upon the Australian community is in itself indicative of the monopolistic conditions that have been permitted to develop in Australia under the maladministration of this Government. The arrangement between the shipping companies under which this concerted action was taken was referred to by the vested interests press as a conference. However, the monopolistic nature of the arrangement is no less apparent because it is not called a monopoly. It is in fact a monopoly in the truest sense of the term, and it has given the green light to the shipping companies to do exactly what they like without any intervention by this Government. That is the position as it appears to me.

The. shipping companies attempted to justify the increase by claiming that all shipping freights were subject to negotiations between themselves and the exporters. They did not say that the exporters were not the actual producers of the goods exported. They did not say that the exporters were merely companies that arranged overseas transport, either as purchasers or as agents for the producers. The position was made very clear in a statement attributed to Mr. F. A. Brodie, president of the Australian Overseas Transport Association, which appeared in the Adelaide press recently. Mr. Brodie said that the formula under which exporters agreed to give shipping companies 12 per cent, on capital invested required an increase of 16.5 per cent, in freight rates, but that the shipping companies had agreed to 14 per cent., which would give them a return of 10.4 per cent, on capital invested for the current year. Obviously, the primary producers would not have been prepared to give to the shipping companies the higher or even the lower rate that I have just mentioned. They are anything but satisfied with the manner in which freight rates are assessed. Let us take wool, for example. We all know that wool is sold in Australia to overseas interests, who then become the exporters and arrange the shipping freights between themselves and the shipping companies.

Senator Wright:

– Did not Mr. Brodie also say that, upon the accounts being examined, the previous rates charged by the shipping companies showed a return of only 3.45 per cent.?

Senator NICHOLLS:

– The honorable senator will have an opportunity to speak. I am quoting what appeared in the press, and it is there for any one to read. I was pointing out that primary producers would not have been prepared to give to the shipping companies the higher or even the lower rate. The exporters certainly would not be as concerned as are the Australian primary producers about keeping down freight rates. When they bid at wool sales, they naturally take into consideration the freight rates agreed upon between themselves and the shipping companies and, to a certain point, it does not matter to them how high the rates are; but the higher they are, the less the producers receive for their wool. The primary producers are becoming increasingly aware of the situation every day, and, at a recent deputation to the Minister for Trade (Mr. McEwen), they complained that although they were vitally affected by the freight rates, they had no say in the determination of them, lt might be said that when the growers dispose of their wool they have no further interest in it other than the receipt of payment, but, as I have pointed out, the prices they receive can be materially affected by shipping freights over which they have no control.

It is easy to see that these increased rates could price Australian wheat out of overseas markets and could create all sorts of complications which would seriously affect the whole economy. It is said that the reply to all the criticism levelled by primary producers and others against increased freight rates is a return to free enterprise, but apparently the primary producers and their representatives in the Parliament and elsewhere are just beginning to realize the evils associated with private enterprise in the direction I have indicated. All I can say is that they are gluttons for punishment. The Australian Labour party has been pointing out for years, in season and out of season, that when private enterprise is left to itself it inevitably tends to become a monopoly.

I have already referred to the action taken by the late Mr. Hughes in establishing the Australian Commonwealth Line of Steamers. It was established during World War I., but was thrown to the wolves years ago. As a result, we have no overseas ships to compete with these monopolies that are now exploiting Australia. It is interesting to note that Mr. Hughes, not long before he passed away and no doubt regretting the loss of such a valuable asset which he had done so much to establish, said that all export drives were as sounding brass while Australians forgot that they were a seafaring nation. He also said that by 1959, unless we had freighters of our own to compete with these interests, freight rates would strangle Australia. He undoubtedly fore saw that the big squeeze was about to commence. It has started, and it is of no use for primary producers to ask this Government to do anything about it. We have already had its answer in a statement made by the Minister for Trade when he returned from London last November. He said, “ If we feel that the demands of the shipping companies are excessive, we will appeal to England for an investigation “. I like that! The British Government is constituted in the same way as is this Government. It believes in private enterprise and is not likely to do anything effective in combating the overseas monopolies that are exploiting this country. But apparently the Minister saw the writing on the wall quite recently, and* he promised the primary producers that he would investigate the possibility of giving, to them some say in the determination of freight rates. Just exactly how that will be achieved is not too clear. Fundamentally, the only solution of this problem lies in the exertion of strong competition, and that is exactly what the former Commonwealth shipping line was intended to achieve.

Senator Brown:

– The Government says it believes in competition.

Senator NICHOLLS:

– Yes, but when things are different they are not the same. It is interesting to recall that in 1914 the Australian Labour party, led by Andrew Fisher, promised during the election campaign that, if it were elected to office, it would do something about the shipping monopolies, which at that time were exploiting Australia. Labour was elected to office and His Excellency, the then GovernerGeneral, said in his Speech that his advisers favoured the establishment of a Commonwealth line of steamers and that steps towards that end would be taken as soon as possible. Unfortunately, the Fisher Government was defeated later in the same year, and it was left to Mr. Hughes to carry out what was then and still is Labour’s policy in regard to shipping. I stated earlier that the Australian Commonwealth Line of Steamers commenced operations during World War I. War conditions made it imperative that Australia should have its own ships, but that did not altogether interfere with the principle involved. We acquired 54 ships. Some were war prizes, some were purchased, some were built in England, and some were built in Australia.

The policy expressed on the establishment of that line was that the ships would serve Australia, not only in combating the overseas monopolies, but also in developing and serving those parts of Australia that otherwise would be neglected. The policy followed by Mr. Hughes was essentially Labour’s policy, although at that time he was leading a government that was opposed to Labour.

Immediately a counterpart of the present Government came into office, led by Mr. Bruce, the policy was reversed. Mr. Bruce, speaking as Prime Minister on behalf of the government of the day, said that the Commonwealth fleet had failed to justify its continuance as a government venture. Well, we would expect him to say that, because the Commonwealth line of ships was prejudicial and detrimental to the interests that he represented. His only desire at that time was to see the fleet go under as soon as possible. That is exactly what happened, because the first step taken by his government was to hand the fleet over to a board, which was to be responsible for its administration under conditions which were almost impossible at that time. The board’s administration, of course, resulted in further losses, and these were seized upon and played up by the vested-interest press, and amplified by insidious propaganda. It was even said that the board was making huge profits at the expense of the primary producers of Australia, and further that it had entered into some sort of unholy alliance with the shipowners to keep fares and freights as high as possible. Everything that could damage the project was said, but nothing was said of the benefit conferred upon the Australian community by the fleet’s existence. That .was never mentioned at any time.

Let us have a look at the board that was appointed by the Bruce-Page Government. In reality, its appointment was only so much camouflage to fool and delude the Australian people, to distract their attention from the real issue, namely, the government’s intention to dispose of the ships as rapidly as possible. Between 1925 and 1927, 47 ships were sold. At the end of 1927 only seven ships remained, five Bay ships and two Dale ships. In 1927, the Public Accounts Committee reported that the Commonwealth line had saved Australia millions and millions of pounds by keeping freight rates down, and the committee recommended that the line should be retained. Notwithstanding this recommendation, the government proceeded forthwith to dispose of the ships as quickly as possible.

The remaining seven ships had cost £7,900,000 to build, and they were worth approximately £5,000,000 when sold, yet the Government sold them for £1,900,000. As a matter of fact, the government did not receive that amount, but only about £600,000 for an asset which was worth at that time about £5,000,000. What it received was £1,300,000 less than its own assessment of the worth of those vessels. It must be only too obvious to all concerned that previous Liberal-Country party governments are responsible for the unsatisfactory position that is operating to-day in regard to shipping. As I have said before, the only solution of the problem is strong competition brought about by reverting to Labour’s policy in regard to the Commonwealth line. If Labour has the opportunity, that policy will be put into operation again.

The Prime Minister (Mr. Menzies) said only recently that equilibrium had been restored to our finances, and that because of the efforts of his Government our economy was now back on a stable basis, and everything in the garden was absolutely grand. I know many people resident throughout the Commonwealth to-day, who are on fixed incomes, including many age and invalid pensioners, with an entirely different idea of the stability of this country under the maladministration of the MenziesFadden Government. These persons will revolt in no uncertain manner when the opportunity occurs.

We all know that at the conclusion of World War II. inflation affected all countries more or less, but most of the countries affected dealt with the problem in accordance with their own views and took the necessary action to correct the position. The people of Australia, and the people of other countries, have had to face this problem. As a matter of fact, the MenziesFadden Government was elected in 1949 because it promised to arrest inflation, keep prices down, and put value back into the £1. The Government contended that it was sincere when it made those promises, that it believed that because of its own peculiar political philosophy it would be able to carry out the promises it had made. What the Government completely overlooked was the fact that if its philosophy failed to provide a solution the Government would be unable to meet its commitments and inflation would go merrily on its way.

I submit that most of the problems of this country during the past five years have arisen because the Menzies-Fadden Government lacked a definite and positive policy to deal with inflation, because numerous mistakes were made by the Government in attempting to deal with these problems in a piecemeal manner, and because the whole Cabinet completely failed to understand the fundamental cause of inflation and to take the necessary steps to avoid it. From January, 1950, to June last year, retail prices increased by 65.4 per cent, and wholesale prices by 67 per cent. Never before in the history of this country have we witnessed such unbridled inflation. To-day, the inflationary position is absolutely abnormal, and for that reason it requires abnormal remedies to keep it under control.

In conclusion I say, as I have said before, that the arrangement amongst the shipping companies is indicative of the monopolistic conditions which have been permitted to develop in recent years under the maladministration of this Government. The only solution to the unsatisfactory position which obtains to-day is to revert to Labour’s policy and provide strong competition for the overseas shipping monopolies.

Senator LAUGHT:
South Australia

– I rise this afternoon to support the motion so ably moved by my friend and colleague, Senator Hannan, and seconded by Senator Wade. There is before the Senate, in addition, an amendment moved this afternoon by the Leader of the Opposition (Senator McKenna), but, as you are aware, Mr. Acting President, in accordance with the forms of the Senate and with the Senate’s approval, the Leader of the Opposition did not make a speech on his amendment. In those circumstances, I do not propose to speak to the amendment but wish to indicate now that I shall oppose the amendment strongly.

The broad canvas of the GovernorGeneral’s Speech interprets the true spirit of Australia. In saying that, I am not forgetful of the thinking and aspirations of more than 1,000,000 new Australians, who” have come to Australia since World War IL from Europe. The Governor-General’s Speech, as I see it, emanates from the titular head of a vigorous young nation.

Frankly, I was not attracted by the remarks of Senator Nicholls. He seemed to move in the past. He talked about the Commonwealth line of ships. Some of those ships, although ordered and built, did not sail because they could not do so. £ suggest that we should approach a study of the Governor-General’s Speech with our eyes on the future. It is in that spirit that I propose to approach the matters, raised by His Excellency.

Briefly, the Speech showed a completeawareness by the Government of the: dangers of inflation and the need for abalanced economy. I commend the Government on the appointment of the Economic Advisory Committee, whose members, are prominent in the national and commercial life of Australia. With respect, I agree with the remarks that were made by His Excellency on the need for an expansion of our exports. I was pleased to noterecently that possibly the best equipped) delegation that has ever left Australia in. search of new markets has gone to India. There are exciting prospects for mineral: development, particularly at Mount Isa, in. Queensland. Associated with that development, there are possibilities for smelters to handle ore from Mount Isa at Townsville. In the field of agriculture, the work that the Commonwealth Scientific and Industrial Research Organization has been doing withtrace elements has led to an agricultural and pastoral revolution. The development: of internal and overseas air services clearly shows that we should be proud of what ishappening and could happen in the future in aviation.

I ask the Senate to look in two directions - to the north and to the south. North of Australia, we have the important Asiancontinent. Last week, we were proud tobe hosts to the Seato conference, which was held in Canberra. As an outcome of that conference, a communique was issued’ and in it the council pledged itself to provide for an extension of the programme todetect, appraise, expose and combat subversion directed from without in the Seatoarea. I believe that I should direct some remarks to the Government, and particularly to the Attorney-General (Senator O’sullivan), on subversion from without because we are a component nation of the Seato pact, and we must put our own house in order if we expect the nations to the north of us to do so.

I invite the attention of the AttorneyGeneral to the report of the Royal Commission on Espionage in Australia. At the final stages of its deliberations, referring to clause (c) of the Letters Patent, the royal commission stated in paragraph 1063 -

This clause requires us to report “whether any persons or organizations in Australia have communicated information or documents to any such representative or agent unlawfully or to the prejudice or possible prejudice of the security or defence of Australia “.

The task set the august committee of three learned judges was important. Very quickly the learned judges were forced to this conclusion which is set out in paragraph 1073-

Apart from the difficulties arising from the law of evidence, it seems that the law of Australia is inadequate to combat espionage, particularly in time of peace.

I pass now to the conclusion of the royal commission which is set out in paragraph 29 of chapter 21 -

In chapter 20, we have dealt with the law in Australia relevant to the matters set out in the Letters Patent. The substantive law is such that, when considered in conjunction with the technical legal rules governing the admissibility of evidence in courts of law, it would appear that prosecution of none of the persons whose acts we have considered in our report would be warranted. 1 fear that the Government has not paid any material attention to that important report. It has not introduced legislation which would clearly remedy the situation indicated by the royal commission - and 1 suggest to the Attorney-General that he convey my views on this matter to the Government. If we are to be a full partner of Seato, and do what was set out at the conclusion of the conference of Seato members, we must put our own house in- order.

I now invite honorable senators to turn their eyes south to the vast Antarctic. I was pleased to note in the Governor-General’s Speech that some attention was given to the Antarctic. His Excellency said -

In the Antarctic we have a new permanent station at Davis and we are setting up another new station at Vestfold Hills, 400 miles east of our original base at Mawson. This year, which sees the beginning of the International Geophysical Year, we are increasing our Antarctic scientific and exploration activities, both on our own account and in collaboration with other nations. 1 propose to show clearly to the Senate the importance of that section of the GovernorGeneral’s Speech. Honorable senators will recall that, in 1954, a bill was brought before the Senate to set up a system of law for the Antarctic. The AttorneyGeneral of that time stated in his secondreading speech that it was thought appropriate to invoke the regulations and ordinances of the Australian Capital Territory so that there would be a system of law in the Antarctic. A number of honorable senators who spoke in the debate on the bill emphasized the wisdom of the proposal because we realized that that would be part of Australia’s responsibility in administering this vast area. . It might be well to remind the Senate that we claimed as our territory all the land south of the 60th degree of latitude, and all the land between the 45th and 160th degrees of east longitude. In other words we claimed a land mass about the size of Australia, apart from a small section known as Adelie Land, which belonged to France. So, we put in this system of law and we have done a number of things since then to promote and show our right of possession.

However, because of some material omissions in our planning with regard to Antarctica, I feel we have not done enough. I agree that each year valiant men have gone south. But how have they gone south? In a ship, “ Kista Dan “, which we hire each year from Denmark. It goes out from Denmark each year under charter the cost of which, I understand, is between £60,000 and £70,000 a year. We have it for three or four months and then back it goes to Denmark. Thank goodness we have been at peace with Denmark, and thank goodness the ship has not been interned or intercepted in the Suez Canal. We have been able to carry out our programme each year, but is it not a challenge to us to do something about providing a ship of our own?

I understand that in 1952 the Government went into this matter and plans were actually prepared for a ship which could’ go south with our explorers and other personnel, but those plans were shelved on account of the cost involved. How much- more important is the position now? Why is it that no progress is being made towards the provision of a ship of our own? I understand that the “ Kista Dan’s “ charter will expire in. about a year and that it will then go back to Europe carrying the men who know how to sail the Antarctic seas. I understand, too, that the Australian Navy has no personnel trained to go into the southern waters. In May of last year I asked several questions of the AttorneyGeneral (Senator O’sullivan) who was at that time Minister for the Navy. I asked him -

Are there any ships of the Royal Australian Navy capable of operating in Australian Antarctic waters and voyaging to the Australian Antarctic mainland?

His answer to that question was “ No “. I then asked -

If so, what ships are they?

His answer to that question was, “See answer to No. 1 “. The next question I asked was -

In the event of there being no such ships, are there personnel trained for such journeys?

His answer to that question was “ No “.

I believe that communication with this vast land mass in Antarctica, which Australia claims, is of vital importance to the Commonwealth. I again refer to the Speech of His Excellency in which he said -

This year, which sees the beginning of the International Geophysical Year, we are increasing our Antarctic scientific and exploration activities, both on our own account and in collaboration with other nations.

In view of that statement a need exists for Australia to have its own ship with its own personnel. When exploration is being carried out it must be rather awkward to have an _ Australian leader and a Danish captain. The Danish captain is responsible to the owners of his ship for its safety and movement, whereas the Australian leader is responsible to his department for the work of exploration that goes on. This divided control must be very awkward. My views on this matter have been confirmed by discussions I have had with people from South Australia who have been engaged in Antarctic exploration. I urge the Government to do something about the provision of a ship.

The Minister for Shipping and Transport (Senator Paltridge) was good enough at one time to go into this matter for me, and on 27th April, 1956, he wrote me a letter in the course of which he said that the Australian Shipbuilding Board had sent a naval architect to the United States of America and Canada, and had ascertained that the specialized type of ship would need a heavily constructed hull to resist the pressure of ice, and sufficient power to be able to make progress through pack ice. He rather indicated in the final paragraph of his letter that the ship would be used for only about five months of the year. Here, 1 feel I must join issue with him because inquiries I have made indicate rather that a properly constructed Antarctic ship could be used the year round. For instance, in the summer period it could go south and do this work amongst the pack ice, and in the winter it would be available for important oceanographic work. It could also be available as a weather ship which could give important weather information to us in Australia. So, I commend to the Navy the preparation of a ship that would do all this important work.

Then there is the recent development this Government has been responsible for in the matter of fishing. I recall that last year an amount of money was made available for fisheries research. The movement of plankton and other such important indications of the presence of whales could be ascertained by a ship such as this. Surely, a properly constructed ship would be of enormous economic value to Australia. I put it to the Government that this matter should be given high priority not only for the benefit of the Antarctic section of the Department of External Affairs but also for the great benefit of the defence of Australia. This is a matter upon which the Navy could well be called upon to advise. I understand that in the United Kingdom the Royal Navy has an Arctic section; and from what one reads of the activities of the Russians in the Antarctic, they have developed a very strong naval personnel capable of sailing in both the Arctic and Antarctic seas.

I have obtained some very interesting comments on this whole question, as well as on the provision of a ship, from Sir Douglas Mawson, an eminent South Australian who is well known for his work in Antarctica. His suggestion is that this ship could even be used for coastal surveys. He says it could be used to carry out oceanographic studies in the Australian region as well as in Antarctica. Then, of course, it could do the necessary transport work. He feels that the ship should be classified as a naval auxiliary vessel, and should be manned by naval personnel. Then, we would have a complete team of Australians doing this important job in connexion with a part of Australian territory. I sound a note of warning, and I am prompted to do so by my last remark when I called Antarctica Australian territory. I understand that we recognize our rights there. Naturally we do; the Norwegians do, the United Kingdom does, but the United States of America does not. In Canberra, last week, Mr. Foster Dulles clearly sounded the warning that the United States of America makes no claim to Antarctica, and I understand that it recognizes no other claim. I am not sure whether the Union of Soviet Socialist Republics makes any claim, but it certainly does not recognize our claims. Consequently, we are in a somewhat precarious position with regard to Antarctica. We shall be in a far more precarious position than ever if we have no ship able to go there and return, when weather permits, and to communicate with this territory (hat we claim.

There is no doubt in my mind of the great importance of Antarctica to Australia, and I direct the attention of the Leader of the Government particularly to the paragraph in His Excellency’s Speech concerning this territory and the possibility of providing sea transport to it. I am confident that there are men in the Royal Australian Navy who would jump at the chance of this great adventure and who would join, as a team, with our Antarctic division which has done such magnificent work over the last three or four years. If it is not too late, the Royal Australian Navy could perhaps play some part in assisting in the work of the Geophysical Year which is to commence very shortly.

I desire now formally to support the motion, and to express my very humble and sincere thanks to His Excellency for delivering the Speech in the Senate yesterday. I fully support, also, the expressions of loyalty to the person of Her Majesty the Queen contained in the formal motion before the Senate this afternoon.

Senator O’BYRNE:
Tasmania

– Since 1949, each speech that honorable senators have heard at the opening of Parliament has been most ably delivered by His Excellency the Governor-General on behalf of Her Majesty the Queen, except on the last memorable occasion, when it was delivered by Her Majesty herself. The manner of the presentation of the speech has always been exemplary and an inspiration to us all, but the substance of the speech has followed a certain pattern which has continually warned the Australian people along certain lines. Foremost among those warnings has been the danger of inflation.

Each time that the Parliament has been opened, the Senate and the people of Australia have had to listen to the same pattern of nebulous, flowery statements and the same innocuous sentiments that have been repeated by this Government, ad nauseam, since it assumed office. All these airy promises and forecasts . have failed dismally to satisfy the hopes and wishes of the people that this Government is trustworthy. In spite of the forecasts of economic plans and the concentration of economic advisers - or “ eggheads “, or whatever these people are called - the results of these repeated forecasts have shown clearly that the Government has admitted its defeat in the battle against inflation.

Senator Hannaford:

– That has not been apparent at election time.

Senator O’BYRNE:

– The promises in each of these successive opening speeches for remedial action are as empty as the promises made by Senator Hannaford and his colleagues at election time. The Government has promised the people the world. “ O Promise Me “ is its theme song.

Senator Scott:

– The honorable senator’s party has never promised the people anything.

Senator O’BYRNE:

– With the combination of vested interests in the press, which have everything to gain by keeping this Government in power, and by singing the old theme song. “ O Promise Me “ at every election, but never carrying out its promises, the Government has received the support of the electors, and by some miraculous means at each succeeding election has been returned to office. But as a result, the economy has. progressively - or, I should say, retrogressively - gone from bad to worse. Let us examine the situation as we see it. We know that Government senators are having a great deal of difficulty to keep from the outside world the knowledge of their internal difficulties. Little internecine wars are going on between the Liberal party and its unhappy bedfellow, the Australian Country party.

Senator Wordsworth:

– Ours are only skirmishes in comparison with the wars in the Labour party.

Senator O’BYRNE:

– There are many “ cloak and dagger “ affrays between the two Government parties that both sides have to watch carefully. However, I wish to direct attention to this very important matter of the economic position as it exists, and the muddle to which this Government has reduced the great country of Australia on the trade and commerce fronts. If we try to make representations to the departmental heads or to the Minister- for Trade (Mr. McEwen) or the Minister for Primary Industry (Mr. McMahon) we find that they just do not know what cooks. They have not a clue, and all that they can hope for is that somewhere along the line their departmental men will see them through. They keep their fingers crossed in the hope that they can muddle through.

Let us examine the position on the economic front. Not one senator on the Government side can look with any pride at the way matters are going. The credit position - the fits and starts credit position - is making a chaotic impact on every section of the community. The people do not know where to go. The Government is like a rider on a young horse. The horse is rigged out with a curb bit, a heavy bridle, a martingale, a throat lash, a surcingle, a girth, a kneepad saddle, and a crupper and the rider wears a pair of 4-in. spurs. He is holding in the horse by the head but driving in the spurs and wondering why the animal cannot respond. That illustrates the way the Government is going. It has knocked down every hurdle on the track. As a matter of fact it is not in the race and hardly even on the racetrack as far as sound government goes. It is like the horse that Group-Captain Townsend was once riding. It was hard in the mouth and it had left its gallop on the track.

However, this is far too serious a matter to be flippant about. Let us look at the employment front. It is all very fine for the Minister for National Development (Senator Spooner), who wears a fixed, sphinx-like expression, to quote figures, and for the debonair Minister for Labour and National Service (Mr. Harold Holt) to cite statistics; but if they had to sit at the end of a queue outside federal members’ offices and the Commonwealth Employment Service offices throughout the length and breadth of Australia, they might draft a more humane policy instead of sitting back and studying figures. One of the great failings of this Government is that it deals in hard, cold figures rather than human needs. It is on that ground, principally, that I condemn the Government; and it is for that reason, too, that I say the Government has presented an abstract, nebulous and innocuous policy to the people.

Let us look at other factors that are having a disturbing influence in the community. Let us examine the banking front. The trading banks themselves realize that the general public, as they become more enlightened, will recognize that the trading banks are a traditional racket. Trading banks are fundamentally a racket, because the exchange of money is as essential to the flow of trade and commerce and human endeavour as the railway system, the road system, the water system, or hydro-electric power. Yet the trading banks are not the slightest bit interested in the distribution of money. The accent is always placed on profit. If there is no profit, they are not interested in the business. It indicates their rapacity when they invest the profits from the ordinary depositors’ funds in subsidiary companies - in the usurious hire-purchase arrangement that has been allowed to build up under the Menzies-Fadden administration. If ever there has been an imposition on the Australian public, it has been the action of the Federal and State governments in allowing interest rates to rise to 15 per cent. If the rates were to be worked out on a compound interest basis, the return on the money originally invested would be 100 per cent, or 150 per cent, per annum.

Senator Hannan:

– The honorable senator knows that this Government has no power over hire purchase.

Senator O’BYRNE:

– It is time that the Government got the power. It is time that the Government looked into the matter of the revision of the Constitution. We on this side of the chamber are not interested in the petty, mean aspects of these great issues. This country needs help quickly, and this Government, which has a responsibility to make laws for the peace, order and the good government of the Commonwealth, should appeal to the public for this necessary power. The Opposition would readily give the Government its support.

Senator Hannan:

– It would not.

Senator O’BYRNE:

– Of course we would!

Senator Pearson:

– Has the Tasma’nian Parliament passed a law on this matter?

Senator O’BYRNE:

– The Tasmanian Government has prepared legislation which will go through Parliament in the near future. The parliamentary draftsman is working on the bill at the present time. But it is long overdue. I do not give all the credit for this move to the State Treasurer, who has only recently assumed office. I think the action should have been taken eighteen months ago.

Let us look at the housing front. Housing is the subject of our proposed amendment to the motion for the adoption of the Address-in-Reply. If Government supporters can feel any pleasure about the housing front, they should go among those people who were sucked in on the promise made in 1949 that the Government would provide adequate housing for young married couples. Only last week the Sydney newspapers contained a damning indictment of the infidelity of this Government towards the people who elected it. According to the statistician’s reports that were published in the newspapers, in the last eighteen months the amount of money that was made available by the trading banks has been reduced by £18,500,000. Various statements made by the Prime Minister (Mr. Menzies) as well as members of his first eleven and second eleven show that the Government is closing its eyes to the situation and is forgetting the natural increase.

Immigration is continuing at full flood. Yet the most essential thing, after a man has food in his stomach and a suit on his back, is a roof over his head. Food, clothing and housing are the three essentials, whether a man lives in the jungle or in a so-called developed and civilized democracy. Yet what is happening on the food front? There is continuous inflation of prices. In the rag trade, the quality of cloth deteriorates but the price is rising. All sorts of queer business are going on. over the importation of cloth. While import restrictions exist, some traders are inflating their prices because they want to get the same profit out of the importation of cloth as they get from jewellery. All sorts of funny things are going on behind the scenes and poor old John Citizen, the consumer, has to dig deep and pay the price.

But let us deal with housing for a moment. The Government deserves to be censured for its statement of policy, as announced by the Prime Minister, and for the acute social ills caused by its continued failure to establish a national housing plan. One of the great condemnations that can be made of this Government is its inability to look a little into the future. The Government gets obsessions about words. We, on this side, are a progressive and democratic party, and we believe that a modern community has to be organized. We believe that it is too vast to be allowed to remain an unled mass, and that we should have plans of various types. The GovernorGeneral’s Speech mentioned the need for a plan for the dairying industry, and the need for a plan for the wheat industry. All that is most helpful to the farmer, and it also panders to the uneasy bed-fellows of the Liberal party - the Australian Country party supporters who have tried to extract every advantage they can from the coalition. They admit the need for a plan for primary industries. But again, the ordinary wage plug, the salary earner, the man who is working for his living, is asked to bear the brunt. Actually, a two-sided attack is being directed against the man in the street. In the first place, his wages are pegged; in the second place, there is no control whatever over the prices he has to pay for commodities. In addition, he suffers all the restrictions about which I spoke in connexion with credit and changing bank policies. If he is an ex-serviceman, then, instead of enjoying the priority that he so richly deserves and has so strenuously earned, he receives a letter from the War Service Homes Division telling him that it may be able to make finance available to him within eighteen months or two years. Such a man has no wish to ask his prospective bride or his wife to wait for another two years. He is keen to do something. He has been kept waiting for far too long and, because he is anxious to obtain a home, he is forced into the hands of the very people who are being sponsored by this Government. I refer to the shysters, the usurers, the people who take the last ounce of profit they can.

We indict this Government for its failure in this field. It has made an awful mess of the Commonwealth and State Housing Agreement. During the post-war years, State bodies built up an effective labour force for the construction of houses. They also had some control over costs in that they could buy timber, bricks, cement, roofing, iron, tiles and other things in bulk, and therefore at lower cost. Since then, because of this Government’s policy of handing everything over to private enterprise, we have seen the progressive dissipation of that labour force; and, after all, this so-called private enterprise is really something very nebulous because eventually we see the formation of big combines which take all the contracts and get all the profits. Last week, in Brisbane, between 400 and SOO building workers, who were employed by the State Government, appealed to their federal members to try to do something for them.

Senator Kendall:

– Because the police would not let them in to see their State members.

Senator O’BYRNE:

– I hope Senator Kendall will favour us with a complete explanation of what the Government intends to do about those men. I hope he is able to tell us what the Government proposes to do to relieve the desperate situation in which the building workers are placed in Queensland to-day.

Queensland is not so much affected in the next field in which we censure the Government. Co-operative building societies are not so active there because the Labour Government of Queensland, over the years, has been doing its best within its means to provide finance through its own instrumentalities to private home builders. Further, it has proceeded to the maximum of its ability with a group housing scheme. For those reasons, co-operative building societies have not been so active there as they have been in other States. The cooperative building societies have received a very bad deal in the latest reshuffle under the Commonwealth and State Housing Agreement. Here again this Government has failed to make adequate finance available for distribution to these societies.

Then, we have the position of the individual home-builder. We all know of cases in which prospective home-builders have accumulated £1,000 or £1,500 by dint of hard saving only to find that even such a sum has not been sufficient to attract finance for a home. If they have sought to buy a block of land anywhere near a built-up area, a railway line, a bus route or any other convenient place from which fares are reasonably low, the land shark, the usurer, says to his agent, “ Jack it up, brother. Take it up to the maximum possible price “. The result of all this is that a piece of land anywhere in the metropolitan area costs nearly as much to-day as a house used to cost.

Senator O’FLAHERTY:
SOUTH AUSTRALIA · ALP

– lt costs more.

Senator O’BYRNE:

– That is so. A block of land in the metropolitan area to-day costs up to £2,000. So long as people are allowed or encouraged to follow a policy of getting in for their cut, and the devil take the hindmost, the only possible ending, to it all will be the stage at which the big man with the big stick beats down the small man with the small stick. We now have that in a modified form in various sections of the community simply because of this policy of placing the accent on grasp, greed and grab.

We also censure the Government because it has failed to keep equilibrium in its immigration programme. We know there are certain international economic difficulties, but the fits-and-starts policy of this Government has left the people completely lacking in confidence. They have been looking in vain for a lead from the Government. This is far different from what obtained when a Labour Government was in office in this Parliament. In those days, conditions were such that a steady flow could be maintained from other parts of the world of people who had been displaced by war, of religious and political refugees and others who had been persecuted and who were genuinely desirous of coming to this great land to start afresh with their families and friends. To-day, however, conditions have altered considerably. Yet, the present Government has done nothing to cushion the impact of this rather too strong a flow of immigrants. In other words, it has failed to maintain equilibrium in its immigration policy.

Other honorable senators have referred to the need for the employment of a maximum working force in the building industry. They have also mentioned the availability of materials. One honorable senator from Tasmania spoke of the impact of tariffs on the timber industry. Another spoke of the closing down of sawmills throughout Australia. Actually, to-day we have plenty of man-power and plenty of materials, and every one desires only to live a happy and more dignified life. Yet, because of bad government, we are getting back to the depression conditions of the ‘thirties in our home-building industry which, after all, is one of our basic industries because, once it starts to decline we see the beginning of a recession in our economy.

Perhaps, this Government has been unfortunate in being the occupant of the treasury bench during these difficult times, hut it has also been tremendously lucky and should offer a special prayer to the merino sheep. Although the Government has not been entirely blameless for some of the recent war scares, it is true that every time there has been such a scare the price of wool has increased. That price increased again after the mess-up, in which this Government took an active part, over the Suez Canal. A higher price for wool is very good indeed. It helps the man who grows the wool to develop his property, improve his pastures, renew depreciating fencing, and buy new equipment. By enabling him to do all those things it helps to stabilize the rural economy, and there is no doubt that it is a wonderful thing to have a stable rural economy. It also brings in greater revenue from the sale overseas of our wool, which is of magnificent quality. But for this Government all its benefits are just a windfall. The Government does not take advantage of it, but treats it as merely another expedient to help it over the stile temporarily. It fails to take any long-range advantage of this buoyancy resulting from the upward trend of the wool market.

The Government fails also to realize that it has received the benefit, which perhaps it does not deserve - though that may be a little hard on it - of the kindness of Divine Providence in sending such bountiful seasons. I suppose that a study of the cycle of the seasons since the time when rainfall records were first kept would show that the seasons have been more bountiful during the last ten years than in any previous ten-year period. Land that would hardly run a bandicoot has now attained considerable value as a result of the consistently good rainfall in recent years.

Senator Scott:

– What about myxomatosis? lt was available, but it was not used by the Labour government.

Senator O’BYRNE:

– I admit that myxomatosis has been a wonderful boon, but this Government has done nothing about it. If the Government were left to do as it wished, it would not maintain an organization such as the Commonwealth Scientific and Industrial Research Organization, except for the conduct of experiments. It would not continue the development of such an organization, but would sell out the results of its experiments just as it recently sold to the United States of America the patent of a process for the extraction of zircon and rutile from beach sands. As soon as the Commonwealth Scientific and Industrial Research Organization gets onto something good, it becomes too hot for this Government to hold. The Government refuses to keep it for Australia or to allow any one who wishes to make use of it. Instead, it sells the fruits of the organization’s experiments for cash. As a consequence of this policy, a United States monopoly is now reaping great benefit from the researches of keen workers who have devoted themselves to scientific experiments. This is scandalous.

Senator Scott:

– I do not think that is true.

Senator O’BYRNE:

– It is true. As I have indicated, the Government has enjoyed the benefit of some wonderful windfalls such as bountiful seasons, myxomatosis, the building up of soil fertility by the application of superphosphate, and the research work of the Commonwealth Scientific and Industrial Research Organization.

Senator Aylett:

– The Government’s biggest windfall was the “ groupers “.

Senator O’BYRNE:

– That is so. The “ groupers “ now have political myxomatosis. They do not know what is happening to them, and as a result we have in the Senate representatives of a group that is not a party at all. They have received official recognition from the Government although they do not have a party to represent.

The Opposition censures the Government for failing to give home-building priority over less essential investment. We have witnessed in recent years the construction by the monopolistic oil companies of many new service stations on select sites that they have chosen in both the centres of the cities and throughout the suburbs. The oil companies seem generally to have obtained the room with a view, as it were, in their selection of sites throughout the cities.

Senator BYRNE:
QUEENSLAND · ALP; QLP from 1957; DLP from 1968

– They are even pulling down houses to make way for service stations.

Senator O’BYRNE:

– That is the very point I am making. This Government favours private investment, and these com’panies are buying up good homes willynilly for demolition to permit the construction of service stations. Only the other day I saw workmen demolishing with the assistance of a bulldozer a home with sound foundations and of good design in order to make way for a service station. It was a crying shame. If this country were under a dictator and he took action immediately to stop such vandalism he would have my support.

Senator MARRIOTT:
TASMANIA · LP

– Why does the honorable senator not tell this to Mr. Cosgrove?

Senator O’BYRNE:

– He knows it as well as I do.

Senator MARRIOTT:
TASMANIA · LP

– It is his responsibility.

Senator O’BYRNE:

– It is the responsibility of the honorable senator and the Commonwealth also. They encourage this kind of vandalism and they say they have no responsibility to curb the- predatory instincts of the oil companies which are adopting this means of investing the enormous profits that they have made by charging iniquitously high prices for petrol which the Government bribed them to make available when it was elected in 1949. The Labour Government could not get petrol because the oil companies did not want Labour to continue to control Australia’s economy and prevent them from doing these things. Therefore, they withheld petrol from the Australian market when Labour was in office. But the day the present Government was elected to office they said to it, “ You may have all the petrol you want “.

Senator O’FLAHERTY:
SOUTH AUSTRALIA · ALP

– And they raised the price.

Senator O’BYRNE:

– There were successive price increases. Petrol was 2s. 4d. a gallon once, but it is now 4s. lid. a gallon at the bowser from which I buy it. That also is scandalous.

I should like to touch upon several more features of the Governor-General’s Speech. His Excellency stated -

My Government has a lively sense of the needs of the social services, and particularly of the difficulties of pensioners of all types who have no other source of income. It will continue to review its legislation. Meanwhile it records its pleasure at the growing success of the aged persons homes scheme . . .

The reference to that scheme appears to be the only indication in the Speech of anything of which the Government can be proud.

Senator O’FLAHERTY:
SOUTH AUSTRALIA · ALP

– We have heard about it year after year.

Senator O’BYRNE:

– That is true. Again, the States have done much of the work. I want to deal particularly with the reference to pensioners, who are in a very difficult plight. It is indeed cold comfort for them to hear that the Government has a lively sense of their needs. There are approximately 500,000 pensioners of all classes in Australia. I wonder how they will take it when they are told that all they can expect is an assurance that the Government has a lively sense of their needs. One cannot eat lively sense. At least, T have never seen it eaten.

Senator MARRIOTT:
TASMANIA · LP

– It cannot even be seen.

Senator HARRIS:
WESTERN AUSTRALIA · ALP

– Not by this Government!

Senator O’BYRNE:

– The Opposition at least does not have to see it, but the Government, which cannot see it and does not have it, really has something to worry about. However, the Government does show a lively sense of the interests of the monopolistic organizations whose exorbitant profits have been the very cause of the plight of the pensioners, and it gives effect to that lively sense by legislating in the interests of those organizations. Increasing rents and higher prices generally, especially of clothing and food, are absorbing an everincreasing proportion of the meagre income of the pensioners. I can give the Senate figures which show that since the financial year 1938-39 retail prices have increased by 178 per cent, in Australia, by 154 per cent, in England, by 104 per cent, in New Zealand, by 90 per cent, in the United States of America and by 80 per cent, in Canada.

Senator Henty:

– Tell us how much wages have increased.

Senator O’BYRNE:

– That is the old bogy.

Senator HENTY:
TASMANIA · LP

– Tell us, anyway.

Senator O’BYRNE:

– I am telling the Senate how pensioners have been exploited by means of the high prices charged by the monopolists, who have been encouraged, sponsored and succoured by this Government. lt is cold comfort to the pensioners to learn that all that they may expect is a lively interest. Responsibility for the present position rests squarely on the Government and its supporters.

In 1948, the then Labour Government introduced legislation designed to alter the Constitution so as to give the Commonwealth power to control prices. However, the anti-Labour parties were - able to persuade more than 50 per cent, of the electors to vote against the proposal when it was submitted to them by referendum. That was the commencing point for the growth of the economic ills that now beset Australia. Since then, the rat race has been on, and something more than “ratsac” is needed to catch all of the rats that are now loose. The people who have saved in order to provide a nest-egg, and those on fixed incomes who are contributing to superannuation funds, have been hardest hit by inflation. The Government has failed lamentably in its fight against inflation, and honorable senators opposite should hang their heads in shame for the way that the Government has treated about half a million people who are dependent on social services.

I come now to the Government’s taxation policy. Each week, or fortnight, taxation deductions are made from the salary payable to persons in regular employment, and, at the end of the financial year, they are furnished by their employers with group certificates showing the total amount of tax that has been so deducted during the year. These people have to pay tax on the full amount of their salaries. They gain no relief by means of expense or “ jink “ accounts. They do not furnish “ swindle sheets “; for them, there is no “ beating Artie “. They have to pay through the nose, and have to meet all increases of prices out of their salaries. I believe that they should be relieved, at least in part, of their unfair burden. This could be done -if the Government were to introduce control over such tremendously inflationary influences as unrestrained capital issues, unrestrained prices, unrestrained profits and exorbitant interest rates. If honorable senators opposite have any doubt about Labour’s attitude in this matter, I assure them that we would support fully a proposal designed to give the Commonwealth power over capital issues, prices, profits and interest rates. We believe that this is the only way in which the economy can be stabilized, and the sooner the Government gets on with the job the better.

His Excellency made no reference to the social injustice that was perpetrated on a large section of the community by the freezing of wages and the denial to persons working under federal awards of cost of living increases. The Government cannot pass the buck in respect of the denial to workers under federal awards of marginal payments and cost-of-living increases. The Government is bidding fair to bring about in this country conditions similar to those that exist in the ship-building and engineering industries in Great Britain to-day. If honorable senators opposite do not see the light and rectify the present state of affairs, the workers cannot be blamed if they take the law into their own hands.

There is one other matter that I want to deal with. His Excellency stated -

The civil application of atomic energy is now developing swiftly. Uranium production formed the initial stage of my Government’s programme; it is now well established, and yielding useful exports.

I should feel much happier if His Excellency had said that plans were well advanced for the use of atomic energy for peaceful purposes, with emphasis on the last two words.

Senator Aylett:

– But if any one talks peace now, he is labelled a “ Com.”.

Senator O’BYRNE:

– Yes, if one acknowledges the stupidity and futility of war, he is given the old tag; he is called a Communist. However, we must put up with these things, because Ben Chifley once said-

The PRESIDENT:

– Order! The honorable senator should refer appropriately to a former Prime Minister of this country.

Senator O’BYRNE:

– The late Right Honorable J. B. Chifley once said -

If you think a thing is worth fighting for, no matter what the penalty may be, you fight for that thing. In the end, truth and justice will prevail.

In this matter, we have no alternative but to seek to confine the use of atomic energy to peaceful purposes. The following article appeared in the Melbourne “ Herald “ of 18th March-

page 38

QUESTION

BLEAK ESTIMATE OF ATOMIC WAR

Cities “ are finished “.

By Stewart Alsop, noted U.S. commentator.

Washington, Sunday. - For nearly four years now, the chief of the Federal Civil Defence Agency, Val Peterson, has been peering into hell. Now he says the Government would have to spend about 32,000 million dollars if it wanted a serious civil defence programme.

Let us trace the steps which Peterson took to reach his gigantic price tag. Back in 19S3, he took a good look at nuclear weapons and summed up his unhappy conclusion in four words - “ The Cities are Finished “.

I have recently had the experience of applying myself to the matter of civil defence. The threat overhanging mankind is almost too frightening to contemplate, because there could be virtually no defence against atomic weapons in a future war. We should be concentrating on applying atomic and thermo-nuclear energy to peaceful purposes. This force should not be harnessed for warlike purposes. If it is, I am convinced that humanity is doomed to extinction. Unless a serious attempt is made by this Government, the United Nations organization, the South-East Asia Treaty Organization and those on the other side of the iron curtain - whose attitude towards these matters is clouded - to reach a mutual understanding in relation to the utilization of atomic and thermo-nuclear power, all our hopes and aspirations could well come to a sudden end. Though perhaps it may not be a good note on which to end, I feel bound to say that we must recast our whole think ing as governments and individuals in the light of this new discovery which man may use for his benefit or, God forbid, his destruction.

Senator ANNABELLE RANKIN:
QUEENSLAND · LP

. -I wish to join my colleagues in thanking His Excellency for the very fine address that he delivered to this chamber yesterday, and in expressing loyalty to our Most Gracious Sovereign. I always think that the Governor-General’s address is a very special occasion, for in it we see in this chamber a visual link with our Motherland and the British Commonwealth of nations. We see before us the representative of Her Majesty the Queen and we take the opportunity to pay special tribute to our Sovereign. Those of us who are eager to serve our country and Her Most Gracious Majesty by advancing the welfare of Australia and, indeed, of all the nations of the world, feel that at this time we may dedicate our services anew.

I have read His Excellency’s Speech with great interest. I, too, would like to express my great pleasure at the recent visit to Australia of His Royal Highness, Prince Philip, Duke of Edinburgh. It did so much for us, and we were especially delighted that on this occasion His Royal Highness was able to see so much of our vast inland. He was able to witness the work of the Royal Flying Doctor Service, the School of the Air and other institutions that are peculiarly Australian. It must have been a great experience and a great inspiration to him to see at first hand the vastness of this country, and to learn how our people are endeavouring to overcome the problems associated with that vastness through the employment of special services such as I have mentioned.

I should like to make special mention of three events, two fairly recent, and one very recent. His Excellency spoke of the conference of Commonwealth Prime Ministers which took place in London in June and July 1956 and said that Mr. Macmillan, the United Kingdom Prime Minister, hoped that, after a conference between himself and President Eisenhower, a further meeting of Commonwealth Prime Ministers would be convened to discuss matters of mutual interest. I always feel that such conferences are of tremendous importance to the members of our great Commonwealth of nations. The more conferences of world leaders that we can have the better it will be for the countries concerned. 1 am reminded of what the late King George V. said at the time of his coronation. Speaking of the importance of conferences between the leaders of the British Empire, as it was then known, he said -

The more the members of this great British family can meet together and talk, the more they will have a feeling of sympathy, tolerance and understanding, one between the other.

I believe that that is very important and that once we understand the problems of other members of the British Commonwealth we have taken the first step towards solving many of those problems. For that reason, such conferences are of tremendous importance.

Australia was proud to be host to the Seato Council meeting, which was held from 11th to 13th March, 1957. Australians have been impressed by, and interested in, the strengthening of this organization, which, as His Excellency said, provides a shield against aggression in an area of vital interest to Australians. Let us, as Australians, remember this. His Excellency continued -

That Council has noted incessant efforts by international Communism to subvert the free institutions of the nations of the area.

This is a very serious statement, and Australians should treat it with due seriousness. One cannot fail to be impressed by the fact that constantly His Excellency referred to events of great importance in the history of Australia. He spoke of our national development, and of our tremendous immigration programme under which we are bringing to this country hundreds of thousands of people who cannot fail to make a great contribution to productivity and development. Mention was made also of the great Snowy Mountains scheme,, very close to us here in Canberra, which will play such an important part in the development of this country. All these are vital national projects.

I cross swords with Senator O’Byrne when he accuses this Government of not carrying out its promises. I am proud to be a member of a Government which keeps its promises. Senator O’Byrne is a member of a party which made promises so rash that the public knew they could not be carried out. As on other occasions when I have spoken of our record of achievement, I join issue with Senator O’Byrne in his almost sneering - I hesitate to use so strong a word - references to the Government’s lively sense of the need for adequate social services, and especially of the difficulties of pensioners. We all know that there is still much to do. but why does the honorable member not offer one constructive thought towards the solution of this great problem with which we are all concerned - the needs of the aged, lt is very easy to say that the Government is not doing all that it should, but it is quite another matter to make constructive suggestions. I intend to make one or two such suggestions in the hope that they may set someone thinking and form the beginning of an idea which, when developed, will provide real assistance for the aged. To the project I have in mind I cannot give the full solution, but I. believe that if all who were interested in this problem - and I believe that Senator O’Byrne is amongst them - would give it real consideration we would surely get more done.

May I remind honorable members of the great deal that this Government has already done in this field? It has revised the means test and so made it possible for more people to receive pensions. These people, in turn, have been able to benefit under the pensioner medical service, the scheme to provide homes for the aged, ann the other schemes which touch the pensioner. We must devote very much more thought to the problems of the aged. I should like to see called, on a CommonWealth basis, a conference of medical, social and religious workers, so that we could really discuss this problem. I am sorry that I have not time to read to honorable senators extracts from some of the books at which I have been glancing, all of which contain the thoughts and findings of doctors, social workers, members of church organizations and people in various other walks of life who are interested in the aged. These reports, if I may so describe them, are full of suggestions. We have already implemented many of them in Australia, and many others we could adopt.

Senator Cooke:

– Has the honorable senator any suggestions from aged persons themselves?

Senator ANNABELLE RANKIN:
QUEENSLAND · LP

– Yes.

Senator Cooke:

– Will the honorable senator read them, too?

Senator ANNABELLE RANKIN:
QUEENSLAND · LP

– The honorable senator, who knows the work of social workers, will know that from those suggestions he would get first-hand information about the needs of aged people. I have felt for some time that one of our great problems is associated with persons whom I might call the aged sick. Very often one partner of an aged couple is ill. The illness might not necessitate hospitalization all the time, but necessitates hospitalization for a period and then probably hospital treatment at regular intervals for a further period. Let me illustrate my point by citing the plight of an aged couple living, say, near the border of Queensland and the Northern Territory. The husband might be taken ill and be brought south to one of our large hospitals for treatment. After a period of time in hospital he could, if his home were nearby, go home, live with his wife, be cared for by Ker, and then at regular intervals go back to the hospital for treatment. Even if his wife could not care for him completely, during his stay at home he could be cared for by one .of the home nursing services which, I remind the Senate, this Government has greatly assisted. But because his home and his wife are miles away from the hospital he is prevented from going home. Consequently, he must stay in hospital perhaps for a period of months - certainly much longer than the period for which he needs’ constant medical attention. Let me make it clear that in the beginning he would need constant medical attention in hospital, but later he could release the bed he occupied for a more necessitous case. But he is lonely and unhappy, and so is his wife who naturally wants to be with him and care for him. They are in the twilight of their lives, the years are passing by, and they want to be together.

So I should like the following suggestion to be considered: Could not we, perhaps through our churches and charitable organizations, which are already doing magnificent work in the provision of homes for aged persons and towards which the Government, which I commend, is making excellent grants-

Senator O’Byrne:

– The honorable senator should be the Minister for Health.

Senator ANNABELLE RANKIN:
QUEENSLAND · LP

– I ask the honorable senator, if he is interested in the needs of the aged, to try to improve on this scheme which I am trying to put before the Senate. I am not advancing it in a fickle way, but because I believe there is a need for it. The Government is doing a magnificent job in assisting in the provision of homes for the aged by church and charitable organizations. But could we not have cottages or flats within easy access of our great hospitals so that when aged partners are released following a lengthy period of hospital treatment, they can be cared for by their wives and be within easy access of intermittent hospital treatment when required? I understand that the Lions Club in America, if it has not already inaugurated such a scheme, is considering doing so. We must give some thought to aged persons who are not ill all the time but who need intermittent treatment. Perhaps, many of us who are interested in aged persons could make such a scheme workable. Probably there are many others who can think of a much better one.

If we were to inaugurate such a scheme’’, we would help in two ways. First, we would help to overcome the problem of the overcrowding of hospital beds. We know very well that there is a need for more hospital beds for very sick people, yet many beds are being used by the aged sick to whom I have referred. Secondly, we would overcome the sadness and the broken-heartedness of aged persons who are forced to be separated for much longer periods of time than otherwise would be necessary. Moreover, the availability of more beds for very sick people would probably balance the cost of these cottages. I do not know what size such cottages would need to be, but I am interested in figures that were given to me relating to the proposed provision of cottages for widows. They reveal that the cost of a cottage for four persons will be £6,000, which will be met by a savings bank mortgage amounting to £2,500, a Commonwealth grant of £1,750, and charitable gifts amounting to £1,750. It is proposed that a small rental shall be charged, and I should imagine that that would be necessary in relation to the cottages I have suggested for aged sick. It has been estimated that the entire group of cottages for these persons to whom I have referred will be paid off entirely in 20 years, during which time they will have given excellent service to many people. If the aged sick were provided with cottages, they would not be living in them permanently but would use them only while receiving special medical care. So, over a period of years the cottages would be used by many more people than if they were occupied by people who spent the rest of their lives in them.

I am concerned also with research into the care of the aged. I have always been tremendously impressed by the work of one of our Queensland Methodist clergymen, the Reverend H. M. Wheller, who has done so much for the aged people of Queensland, and indeed wherever else he might have been. In a recent newspaper article, he touched upon a point which I am sure he would not mind my touching upon now. When referring to the great need for a geriatric chair in one of our Australian universities he said -

A Geriatric Chair, dedicated to the cause of the Aged, adequately supported and efficiently staffed, would in a few years be able to make creative contributions towards the solution of this serious problem.

If we had such a chair in one of our universities, I believe it would be another great step towards doing something for the aged in the community. The Reverend Wheller, who I think is one of the greatest authorities on these matters, also said -

On scientific lines it would engage in research work covering the medical, social, economic and national aspects.

Are not these human points which we all must consider? He continued -

For instance, what is the relationship of fears, loneliness, frustration, insecurity to sickness and senility?

What part does malnutrition play in the diseases peculiar to old age . . .

What can be done about the defective sight and hearing responsible for so many accidents?

These are all things which we, who are concerned with the welfare of aged people, must consider. The establishment of a chair of geriatrics and, indeed, the work of it, is something which we as Australians must consider carefully. It could do so much for the future welfare of aged people that it would be, indeed, a step in the right direction.

We should also consider what is being done in other parts of the world in the field of geriatrics. I do not know of all the work that is being done in Australia, but I know that starts have been made. However, I have been impressed by what

I have heard of some of the work being done overseas and we as Australian people should take note of that work. Most of the large teaching hospitals overseas now have a geriatric unit attached to them. This unit has a very active out-patients department. A correspondent has written to me as follows: -

When I visited them the wards were full of old people who had been confined to bed on an average of 13 months, and as the result of the treatment they received they were able to look after themselves to the extent that they’ did not require to be constantly in bed, in fact, the only time they were in bed was at night.

The correspondent also stated that these people were happy in the work they were doing, known as rehabilitation therapy. It gave them an interest and taught them simple things such as weaving and leatherwork. It gave them a new outlook, a new interest and, above all, a feeling that they had found something they could do. Surely, these are things to which we, as people interested in social services and in the welfare of our aged people, could give some real thought!

I suggest that considerationbe given to some scheme along the lines I have mentioned to afford assistance to the aged sick. Could not we help provide something in the way of flats or cottages with easy access to our large hospitals so that the aged sick could be given particular care and, indeed, not have to stray away from a loved one for ages? They could have care and attention at home from their partner andreceive necessary treatment from the hospital at regular intervals. If we can get a better appreciation of the needs of aged people through those people who work so closely with them in the fields of medicine, social work, religious activities and science, and if we do what we can to help them in all ways, then we will have made a very worthwhile contribution. I am reminded, when I thing of our aged, of Browning’s poem -

Grow old along with met

The best is yet to be,

The last of life, for which the first was made:

We have a great responsibility to see that we make that part of the life of aged people as happy as we can and give them a feeling of contentment and fulfilment.

The suggestions that have been made in connexion with the work of geriatrics and the establishment of a chair of geriatrics must be given some thought. If we could have a large-scale conference of leading people who work in this particular field - social workers, doctors, church workers - then we could do still more to discharge our very important responsibility and to fulfil the very necessary need that we know exists. That is a thought I leave with you, Mr. Acting Deputy President. 1 would be failing in my duty if I did not make one more comment not only on the part we must play as a nation on our home front and amongst those in our own country, but also on the very great part we must play amongst the nations of the world. We know only too well that the things for which we stand, the freedoms in which we believe, our great British traditions and the things that we, as British people, find so important are to-day being threatened in various parts of the world. There are some people who would endeavour to endanger and, indeed, harm the relationships between the member nations of our great British Commonwealth. Let us be aware of that very great problem and let us remain, as I believe we always will remain, a very firm, strong family in the great British Commonwealth, united by a very real love between our Motherland and the dominions which make up this great family!

We” must always remember that we are all the same people, whether we live here or whether we live in that gallant island across the sea. We have the same great traditions. Our ancestors and their Ancestors are one and the same, in very many cases, and they, in building these traditions, have indeed accomplished something great. It would be terrible if we, because we were not aware of the problems that can beset our country, ever allowed a foreign ideology to destroy us or, indeed, destroy the great feeling that exists between us and our Motherland.

On this occasion, when again we pledge our loyalty to our Queen, may I for a moment refer to a church service I attended as a member of the Commonwealth Parliamentary Association in Jasper? There we stood in that little church with the snow around us. Members from all British parliaments attended. They all believed in the parliamentary system in which we believe. We wore different kinds of clothes, and our skins were of different colours, but we were united by a bond that was stronger than steel and lighter than silk to the wearer. Above all, on that day members from the nations of the British Commonwealth stood, as we do on this occasion in our Senate, with one prayer -

God save the Queen.

Senator CAMERON:
Minister for Health · Victoria · LP

.- First, I should like to direct attention to the fact that no mention is made in the Governor-General’s Speech of the very long recess we have had. That recess has been described by the press as the longest in the history of federation. As no reason has been given, I am entitled to suggest one. The reason is that the Government prefers not to meet the Parliament when anything serious is happening and prefers to govern by regulation instead of by legislation. Quite a number of serious happenings have occurred both in Australia and overseas since November of last year, but we have had to depend upon the press to tell us precisely what the representatives of the Government would like us to know - no more and no less. Then we find that a very serious state of affairs has developed here in Australia with respect to our economy. Therefore, 1 submit that the reason the Government had the long recess was that it was afraid to face the position that it would have had to face had Parliament met. Not only is the Opposition treated with contempt but members on the Government side are also treated with contempt.

Sitting suspended from 5.45 to 8 p.m.

Senator CAMERON:

– Before the suspension of the sitting, I directed the attention of the Senate to the fact that supporters of the Government, particularly, and the Opposition were being treated with con-, tempt. It is implied by the Government, to say the least of it, that Government supporters are only so many yes-men, mental dependants, mental followers of Ministers of the Crown who pose and posture as mental superiors. That is the implication, and that is the impression that has been formed by the public mind. If Government supporters are prepared to submit to that state of affairs, they have to be prepared to submit to the ultimate consequences, because in politics, just as in physics and sociology, action and reaction are equals as well as opposites. To the extent that Government supporters acquiesce in treatment of that kind and in being treated as persons with no reasoned convictions individually, just mere puppets of the rulers-

Senator Henty:

– Of caucus!

Senator CAMERON.Of Cabinet. 1 have been through this for years. The reason that I am here is that I was ever a non-conformist. Had I been otherwise, 1 would not be here. I direct attention to the speech of Senator Hannan. He pui up a very good case indeed, 1 thought, in connexion with the arbitrary and unwarranted increase in shipping rates, but he merely directed attention to the facts and to what he considered to be the ideal. But he was conspicuously silent about causes, and at the end of his speech he expressed a pious hope, not a demand. Here are men, theoretically representing the people! One of them directs attention to something that is obviously wrong,’ and he expresses a pious hope that the Government will do something. v

There is also Senator Annabelle Rankin. Her speech was a tribute more to her heart than to her head. She expressed, very rightly and justifiably, concern for the way in which age pensioners and others are being treated by the Government, but she did not make any demand. All she did was to say - I repeat her words - “ I do hope something will be done “. She made no demand. As she spoke, I had in mind the splendid fight the women suffragettes put up in England and here in Australia when demanding equal rights, politically, with the men, supported in this country by the late Dr. Maloney and’ Sir Isaac Isaacs. They demanded that the status of women socially should be equal to that of men. But we have women in Parliament now, on the opposite side of the chamber, virtually apologizing for the subordination of their sex, just as many women did before that fight. That is all within my recollection. I do not want to reflect on Senator Annabelle Rankin at all, but I just want to express this thought: She is more a creature of what I would call sentimental moralizing than of reasoned conviction. If she were a creature of reasoned conviction she would not express a pious hope, but she would demand from the Government that women should be treated as she considered they should be treated.

When we have that state of mind on the opposite side of the chamber, so predominantly effective in a way, it reminds me of what happened in the days of pacifism in Italy and Germany. There, politics was brought into disrepute just as it is to-day. Politicians ..were looked upon, as being incapable of doing what should be done on behalf of the people. The next thing, people submitted to fascism, which subsequently, both in Italy and in Germany, was supported by the Prime Minister (Mr. Menzies) and Sir Winston Churchill.

What is being done now? The object of the recent long parliamentary recess was to try to create a state of mind among the public which ultimately would tend to favour dictatorialism rather than political democracy, or dictatorial management of the affairs of the country in the name of political democracy. That is the atmosphere, or the state of mind, which the Government and its servile supporters in this chamber would tend to create, because the supporters lack reasoned conviction, and to the extent that they lack reasoned conviction or understanding, the natural tendency of the members of the Cabinet is to become dictatorial and to pose and posture before the people as super-intellects, when at the very most they are only glamorized mediocrities. 1 must direct attention to this state of affairs in order to combat any return to what is known as the restoration of the status quo ante. The fight which should take place politically is ideological warfare, the conflict of ideas which have led up to the creation of institutions such as this. Instead, the Government consistently and to the extent that it is tolerated by its own supporters, deliberately avoids any warfare such as that. Then we have the most serious position that has developed both overseas and in Australia, similar to that which developed in and before the ‘thirties, where a war will be declared without consultation or agreement but ipso facto on the declaration of the Prime Minister and a few of his supporters in the Cabinet. When a depression occurred in the ‘thirties, the people were told by those gentlemen that they must be prepared for sacrifices. They spoke also of equality of sacrifice, but they did all the equalizing and the people did all the sacrificing. In 1939 the people had to make the sacrifices just as they did during World War I. Tn World War IT. there was plenty of sacrifice on the field of battle while the brave men to whom I have referred fought a rearguard action politically. I was very impressed with some of the statements made by Senator Hannan. He spoke of capital levies. Capitalism is the private appropriation of profits or surplus value; that is the surplus of wealth that is created in excess of the actual cost of production. When we speak of the cost of production, we mean the cost of maintaining the workers, the cost of material and of management. Senator Hannan said that “ capital levies “ was a euphemism for “ confiscation “. The reverse is the case. Capitalism, or private appropriation of socially created profit or surplus value, is a euphemism for confiscation - or legalized robbery. When Senator Hannan objects to capital levies, he is implying that he believes in capitalist confiscation or legalized robbery. He has been merely juggling with words in order to create a false impression on the minds of unsophisticated persons like myself.

Unfortunately, many persons are influenced by the use of these phrases. Their lack of knowledge in that respect is used deliberately by those who support capitalism for the purpose of misleading the people or appealing to the prejudice of those who know no better. That is why the Government was returned to office in 1949. Its campaign was essentially an appeal to prejudice and to fear. It was a campaign of smear directed to influence people who did not know any better.

What is the result? As has been said so often by critics of the Government, there never was a time in the history of Australia when the people were so successfully and so profitably fooled, ruled and robbed from the cradle to the grave. Housing has never been so short as it is now. In Victoria, there are 32,000 persons who want houses but cannot get them. In New South Wales, more than 60,000 persons are waiting for houses. Why? The reason is that they’ have allowed themselves to be misled by supporters of this Government inside and outside the Parliament, and I include the press which is coming more and more under private monopoly control. The press to-day is not nearly as forthright as it was 60 years ago. It is controlled now by a monopoly

Senator Hannan referred to socialism and said, in effect, that socialism had been discarded. I thought that it might be informative to him and to other supporters of the Government if I gave a. definition of socialism as it is accepted by. leading socialists in England and other countries. They have described it as -

The establishment of a system of society based on common ownership and democratic control of the means and instruments for producing wealth by and in the interest of the whole community.

My only complaint is that socialism has not been translated into action quickly and successfully enough in the interests of those people who are being impoverished. Referring to the increase in shipping freights, and the adverse affect it will have on the economy of Australia, Senator Hannan said -

There has been a concentration of economic and productive power in the hands of fewer and fewer corporations, and the evil effects of great cartels are causing much concern to the Australian community.

That is perfectly true. He added -

The Australian Industries Preservation Act which was passed, I think, by that great Liberal, Alfred Deakin, in 1906 makes illegal every contract, combination in the form of trust or otherwise, or conspiracy in restraint of trade or commerce between the States and foreign countries.

Senator Hannan also referred to the Australian Overseas Transport Association which, officially, operates independently of the Government but is condoned by it unofficially. The overseas shipping combines recently obtained permission to increase shipping freights to the extent of £21,000,000. As Senator Hannan has said, ever since 1906, despite legislation designed on paper to control private monopolies, the monopolistic control of production and services has become more and more powerful’. That is the position to-day. The Menzies Government ostensibly was elected in the name of the people to govern in the interests of the people, but, actually, behind the scenes it is merely the political management governing in the interests of the fewer and more powerful monopolies. That is why the Government has acquiesced in the increase of shipping rates although such an increase means that the wage-earners, age pensioners and others will be* penalized. 1 shall repeat Senator Hannan’s words, or rather his pious affirmation. The hardened sinner makes pious affirmations hoping to get to heaven after committing sin all his life. Senator Hannan made the pious affirmation that he hoped the Government would resurrect and put teeth into our antimonopoly legislation in the form of an appointment of a federal trade commission along the same lines as that operating in the United States of America. That is purely a pious hope. In the United States the Government is doing no more than the Government is doing here. If anything, by comparison, the monopolies have greater power in the United States than they have in Australia, so much so that American monopolies are infiltrating, with the support of this Government, to bring about a state of affairs similar to that which exists in America, a land where the rich were never richer than they are to-day and the poor were never poorer. Those are the two extremes of capitalist society under which we are living to-day and which no antiLabour government has attempted to correct in any way at all.

The reason I say that legislation similar to that adopted in America would serve no good purpose here is that the American legislation has not had the corrective effect that has been claimed for it. There are 48 States in the United States, eleven of which are in the south. Those eleven southern States are virtually slave States. The conditions there under which the workers live and are employed are no better than those of the slaves of old. My authority for that statement, quoting from memory, is a former American Secretary of State, Mr. Harold Ickes, who said in 1947 that the only difference between the 1947 serf-slaves in the United States and the serfslaves in the feudal days of England was that the serf-slaves of feudal England used to wear iron collars around their necks, on which was shown the name of the owner, whereas in America they wore no collars because, I would say, it was cheaper not to do so. Mr. Ickes said that in a few years time - he- was speaking in 1947 - as a result of the progressive mechanization of cottonpicking at least 5,000,000 people would be permanently unemployed. What one can say of the southern American States can also be said of the northern States. In a recent issue of the Sydney “ Financial

Review “, its New York correspondent said that the increase in unemployment in the United States in January last was 1,680,000.

So, although the United States of America is said to be a great country, it is a great country only for the imperialist owners, but is a pauper’s hell for the nonowners of capital. What one can say of America can also be said of Europe. The new Americans who left Europe early in the eighteenth century left there because of the terrible conditions under which they lived and were employed. However, in America, and particularly after the Civil War when England lost control of the country, the conditions of living and employment for the non-owners of capital ultimately became just as bad as they had been in the countries which they had left. That is exactly what will happen here in Australia if we allow it; and it is exactly what is intended. That is why we have the infiltration of monopolies, condoned and supported by the Government, but mainly through what is known as the World Bank which, although world in name, is controlled by the American banking system. America controls about 35 per cent, of the voting power in that bank, Australia about 2 per cent, and the other debtor countries 1 per cent. For all practical purposes the World Bank is controlled by American imperialists and it will eventually bring about in Australia a state of affairs similar to that which exists in America at the present time.

Under existing conditions of production, neither private monopolies nor Statecontrolled monopolies referred to by Senator Hannan can alter the present economic state of affairs. The only differences between public and private ownership are differences’ in name and degree. Let me take, for example, the railways in Victoria; and what can be said about the- railways in Victoria is equally true about the railways in every one of the six States. The capital cost of our railways has been recovered nearly twice- over. In Victoria the capital cost was about £100,000,000. In 1955 Senator Gorton asked a question and received an answer on behalf of the Treasurer that £152,000,000 has been paid in interest. And the principal is still owing! The conditions of living and employment of employees’ controlled by the States are no better, generally, speaking, than, those o; private employees. ‘ The only redeeming iea aire is that in the States where a Labour Government is in power the employees enjoy better conditions than is the case under private ownership. When honorable senators opposite speak df .State ownership under existing conditions as being socialism, i hey are deliberately and knowingly, in most cases, absolutely misrepresenting the position.

Many matters have been referred to in the Speech of the Governor-General. I intend to refer to them briefly in the limited lime at my disposal. I shall deal first with what is described in the Governor-General’s Speech as Seato. In parenthesis, 1 may say that these abbreviations are deliberately adopted for the purpose of misleading people who do not know any better. Seato means South-East Asia Treaty Organization. Without any qualification, that is what it means, but this organization does noi include India, Indonesia, Vietnam, Burma, Laos, Cambodia or China. Most of the countries in Asia are not included in Seato. The member nations are Britain, United States of America, France - they are no countries in the East or in Asia - Pakistan Philippines, Australia and New Zealand. These last four are the only countries in the area covered by the organization. In this very chamber a secret meeting was held of these highly prestiged persons - I was nearly going to say “ intellectuals “ - ;ind most elaborate precautions were taken not to allow people like ourselves to know exactly and precisely what was said.

Senator Kendall:

– Hear, hear!

Senator CAMERON:

– All those people who work underground would say, “ Hear, hear! “ to that. A great deal of work is done behind the scenes. As I said before, 1 am entitled to ascribe a reason when no reason is volunteered by the Government, and I suggest that these secret meetings were held for the purpose of strengthening imperialist powers in the West against those of the East, md particularly those who are not members of Seato. That was the reason for the secrecy. In the past, countries have been involved in wars and depressions because of secrecy. Then, most dramatically, the leaders who have met secretly come out and say, “We are in great peril :>nd war must be waged and sacrifice must he endured “. Tt is not a case of agree ment in conference. Parliament is noi called together, but on the ipse dixit of these people countries are involved in war, and millions of innocent and helpless men anilwomen are slaughtered. What for? It is to provide profit for the imperialists.

We never know the truth about a war until years afterwards. If honorable senators are interested enough to read what has been written about the South African war. in which I was involved, actively, first as a very willing and later as an unwilling participant, they will gain some idea of why wars are waged. An English writer, Dr. Paul Ezgin, has written about 40 volumes dealing with the financial reasons for war. !n 1938, before World War II. began, he said, in effect, that if England became involved in war with Germany and thousands of English men and women and children were slaughtered as a result, the English Government would be just as much to blame as the German Government. He has never been indicted as a Communist because he wrote that, and he still writes. In 1954. he wrote a book on how currency is managed. He gave some idea of what is behind the origin of currency, and describes how currency is scientifically managed to the detriment of the people, particularly during a war. He deals also with the causes of inflation. He said that such a system could not continue indefinitely, and his words have been proved to be correct.

Another eminent writer is . George Morgenstern, a barrister of New York, who has written voluminous publications dealing with the causes of the last world war from the point of view of the United States of America. He pointed out, in effect, that the attack on Pearl Harbour was deliberately manoeuvred by America for the purpose of cashing in on World War II. The late Lord Ponsby, writing in 1926, said the same about the 1914-18 war. He suggests that when the “ Lusitania “ was torpedoed, it was deliberately manoeuvred into an area where submarines were known to be active so that the sinking of the vessel could give the United States of America an opportunity to enter the war. None of these men has been indicted as a Communist nor has it been claimed that their writings are subversive of the national interest. The fact that they have never been challenged proves to me that those in fault were not morally courageous enough to issue a challenge because they knew that the facts were against them. lt is obvious that Seato is another example of what is likely to be a prelude to another war. We know what has happened in Egypt. If it had not been for the very strong stand taken by the public, particularly in England and in the United States of America, there would’ have been another world war before now. As a result of that strong protest, which was supported by the people of Australia also, England and France withdraw their armed forces from Egypt. We are able to form some idea of the negotiations and manipulations and the talking for double-crossing purposes, and to appreciate that the whole atmosphere is permeated with suspicion and distrust. In referring to Seato, the Governor-General said in his Speech -

At the invitation of my Governmen the Seato Council of Foreign Ministers recently met in Canberra from the 11th to 13th March, 1957. This high-level meeting approved plans which will further strengthen the organization which provides a shield against aggression in an area of vital interest in Australia. Already the Seato Council has been able to record rapid progress by member nations in their common problems of defence and of economic and social development. That council has noted incessant efforts by international communism to subvert the free institutions of the nations of the area. Special attention has, therefore, been given to the threat to the internal securities of nations within the region.

That is merely generalizing, the object being to mislead those unfortunate men and women who have little or no knowledge of the tricks and manoeuvring of so-called diplomats and to involve us in another war while implying all the time that the Seato people are always in the right and the antiSeato people are always in the wrong. That is the impression they seek to convey at all times.

Then, His Excellency said -

My Government has directed special efforts towards the development of the most efficient defence system that our resources can sustain. Military appreciations have been prepared and studied. Plans have been worked out which put emphasis upon mobility, hitting power and modern equipment. A full statement will be made to Parliament at an early date in the present session. Adequate facilities for debate will he provided.

Adequate facilities for debate never have been and never will be provided. Why was our aircraft production factory closed down and 400 men sacked? As a former Minister for Aircraft Production, I can give the reason. In 1941, there were no fighting machines in the country and we received a devastating cablegram from, I think, the late Sir Stafford Cripps, stating that owing to the fall of Dunkirk we would have to rely on our own resources instead of upon Britain for a supply of aircraft equipment. We then commenced to manufacture our own aircraft engines, and were most successful. Australian workers, assisted by experts from Bristol in England, and from America, did a remarkable job.

We set out to manufacture engines for Beaufort bombers, which were designed to take English engines. As we could not get engines from England, we erected a workshop at Mascot, in Sydney, for the manufacture of American Pratt and Whitney engines to be used instead of the Wright or the Hercules engines, for which the Beaufort bomber was designed originally. While we were doing this, we received a cablegram from America to the effect thai we were only wasting time and money by manufacturing aircraft in Australia, that America could supply all the aircraft we wanted; and it mentioned Mustangs, Cobras, Hell-Divers and others. We accepted that assurance in good faith, just as we accepted in good faith the assurance by Mr. Dulles the other day when he said, “ We will stand by you “.

I was opposed to accepting the offer on principle at the time because .1 considered then, just as I do now, that whether it be peace-time or war-time, we should be as independent of supplies from overseas as we possibly can be. While we were arguing about the matter, 1 received anonymously a report of a select committee appointed by the American Senate and of which Senator Truman was chairman. That report stated in effect that the American manufacturers were manufacturing suicide machines, just as was found to be the case with their Liberty ships; and that was one of the reasons why they wanted to export those aircraft to us. Although I never actually carried out the threat. 1 did threaten that if we did not carry on with the manufacture of our own Beaufort bombers and with the other plans we had pui in train, I would read that report in the Senate. The impression T had then was the same as 1 have now - that the Menzies Government is deliberately closing down on aircraft production in order to purchase and use outmoded aircraft from America. If that be so, then, in the event of another war, we shall find ourselves in a position similar to that in which we were placed between 1941 and 1945. We shall be thrown on our own resources again. In view of those circumstances, I cannot believe that part of His Excellency’s Speech which says the Government has directed special efforts towards the development of the most efficient defence system that our resources can sustain; and I am hopeful that those intelligent people who have some knowledge of what happened in the past will not believe it either.

I come now to that part of His Excellency’s Speech, which reads -

My Government has a lively sense of the needs of the social services, and particularly of the difficulties of pensioners of all types who have no other source of income. It will continue to review its legislation. Meanwhile it records its pleasure-

Pleasure, mind you! - et -the growing success of the aged persons homes scheme and the effectiveness of the Commonwealth Rehabilitation Service.

We all heard what Senator Annabelle Rankin said. What she said was true. In my opinion, the position is even worse than she led us to believe it was. Take, for example, the age pensioners. For the most part, they are men and women who have worked hard all their lives for a mere subsistence wage which was just enough to keep them in health while they were working and to rear their children until they were old enough to take their places at work. To-day, these people are almost starving. They have been left at the mercy of big business and landlords who dictate the prices of the commodities they can purchase. With each day that passes, prices are increased and the commodity pension, as distinct from the money pension, was never lower than it is at the present time. Just imagine the plight of a pensioner living in a room and being forced either to pay £3 a week rent or to go out in the street. What can he do with the £1 left after paying rent? Every honorable senator has had brought to his notice numbers of cases in which pensioners are complaining of the extent to which they are being exploited and robbed by land lords. We have tried to relieve the position so far as we have been able, but both State and Commonwealth Governments have refused to bring down legislation designed to stabilize the purchasing power of the pension. It would not matter if the pension were increased to £10 per week, because the benefit of the increase would be cancelled out by increased prices. The Governor-General’s statement that the Government - records its pleasure at the growing success of the aged persons homes scheme . . . implies that the Government has pleasure in reducing the standard of living of the aged people to the lowest possible level because they cannot be employed at a profit. Even the aborigines have never been known to treat the aged members of the tribes so despicably, particularly when ample water and game were available.

I come now to a most important aspect of the matter. When referring to inflation, His Excellency said -

The improvement in the balance of payments, while it brings satisfaction, does not admit complacency . . . Reference is made to inflation, because it cannot be said too frequently that inflation is the enemy of progress and national development. A steady fall in the value of money increases costs of construction, causes expensive delays and, by reducing the incentive to save, renders more and more difficult and burdensome the tasks of public finance.

That is perfectly true. The Treasurer (Sir Arthur Fadden) stated in his budget speech on 30th August, 1956 -

As I have said on other occasions, inflation cannot be remedied by Government action alone.

That is completely untrue. The right honorable gentleman continued - ,

The kind of measures we have taken are designed to restore a state of general balance in the economy and I think they have had a degree of success in that direction.

To-day, however, the position is quite the reverse. He went on to state -

But inflation is a pervasive thing, ft draws upon many sources and is helped along by a multitude of actions on the part of individuals and of groups. This has to be more widely recognized and there must be a common will to resist inflation and do the things necessary to avert it - to produce more, to save more, to look for ways of reducing costs and of economizing in resources whatever the line of activity may bc. Given such an effort by the whole community, I have no doubt that inflation can be mastered and our economic and social life freed from the dislocations and injustices it entails. 1 advert particularly to the phrase, “ there must be a common will to resist inflation “. I agree with Sir Arthur Fadden’s contention; a common will must be forthcoming before inflation can be resisted and the purchasing power of the currency stabilized. However, unless the people understand, exactly and precisely, what is meant by the term “ inflation “, and its purpose, that common will cannot exist, and the Government will continue to apply the policy in this connexion that it has observed since 1949. In effect, men posing as intellectuals and the leaders of the people, professing to understand the mechanics of finance, have made a purely arithmetical approach to this subject. They have no idea of a geometrical approach and have been, figuratively speaking, groping about in the dark. Unless intelligent corrective action is taken, we shall see in this country chaotic conditions similar to those that developed in Germany and other countries in 1924. Therefore, the Governer-General’s Speech, which was prepared by educated ignoramuses in high government positions - I do not blame His Excellency for it - creates a false impression in relation to inflation.

Much has been said recently about the housing situation. The reason why there is an insufficiency of houses is that it is cheaper for the Government to allow this state of affairs to continue than to correct it. In Europe during the nineteenth century the peasants were turned off the land, herded together like cattle, and put to work in the factories. The more they were herded together in hovels and slums, the greater the profits. The Australian Government knows that profits would be reduced if adequate housing were provided for the workers of this country. Demolishers are at work in all of our big cities pulling down splendidly constructed buildings to make way for palatial hotels and clubs, which are more profitable for the capitalistic class than houses for the workers. Obviously, if it were as profitable to provide workers’ houses as it is to build luxurious hotels and the like, adequate housing would be provided for the people. Although 60,000 people in New South Wales, and 32,000 people in Victoria, are herded in slums, no constructive effort is being made by the Government to relieve the position. Supporters of the Government continue to reiterate what they are going to do, but nothing will be done; in order to maintain profits, the slums and hovels will remain. Although the Victorian Government maintains a police force of about 8,000 men to deal with petty crime against property, caused mainly by slum conditions and poverty, it is not prepared to do anything worth while to relieve the shortage of houses. Yet the leaders of the people say that they have their interests at heart, and that they are prepared to do all possible to raise the standard of living. This is sheer political exhibitionism - theatricalism. In most instances, people in jail are there because they are not as smart as anti-Labour politicians.

Senator PEARSON:
South Australia

– I should like to join those who have spoken from this side of the chamber in support of the motion now before the Senate. I wish to congratulate my two colleagues, Senator Hannan and Senator Wade, for the manner in which they moved and seconded the motion.

I do not propose to reply to Senator Cameron. However, to sum up my impressions of his speech, let me say that I felt very sorry for him indeed. I could not agree with one word that he said.

Senator Wedgwood:

– The honorable senator should have felt sorry for us.

Senator PEARSON:

– I felt very sorry, too, for those of us who had to listen to him. He did not force his speech on many of his own colleagues, because at the most only six of them saw fit to listen to him. I am very pleased, though, that of those six, three were from South Australia. Reference was made by His Excellency the Governor-General to the recent visit to Australia of His Royal Highness Prince Philip, Duke of Edinburgh. If I say nothing else to-night about which we all agree, I am sure we all agree that these visits inspire every man, woman and child in this country. Such visits are of immense value to us as a people, as they are to the people of any country which members of the Royal Family see fit to visit. I express the hope that, following the recent visits of Her Majesty and her distinguished husband, we and possibly our sister dominion, New Zealand, shall in due course be favoured with a visit by Her Majesty the Queen Mother and Her Royal Highness Princess Margaret. I can think of nothing that would be a source of greater benefit than such a visit, and I make bold to say that the people of Australia would show once again that they were second to none in their loyalty to the British Crown.

I wish to pursue at some length the benefit which accrues from visits by members of the Royal Family to us as members of a very loosely knit and widely dispersed group of nations now known as the British Commonwealth. The Commonwealth embraces a group of nations and colonies with entirely different backgrounds, very widely varying living standards, and peoples of different colours and creeds. Because so obviously we have not all these things in common, I believe it is necessary that all possible means should be employed to strengthen the ties that bind us together. 1 can think of nothing more unifying than visits by the Royal Family.

Having referred to the nature of the British Commonwealth as we see it to-day, it is not inappropriate to remind ourselves of the changes that have taken place within the Commonwealth during the lifetime of each of us. In our time, we have seen the growth, the development, and the progress of several great peoples, all members of our Commonwealth, which has enabled them finally to emerge as independent, self-governing states. We immediately think, of course, of Ceylon, India, Pakistan, the new Federation of Rhodesia and Nyasaland, and within the last few days, as His Excellency so properly reminded us, the granting of independence to and the assumption of full responsibility by the African State of Ghana. His Excellency also reminded us of things surely to come when he said that we look forward with warm and fraternal interest to the impending attainment of independence within the Commonwealth by the Federation of Malaya.

I regret that some of my colleagues who toured British East Africa with me in 1954 as members of the Commonwealth Parliamentary Association delegation from this Parliament are not in the chamber, but those of us who were fortunate enough to make the trip saw the tendency and the gradual steps towards independence by the three states of British East Africa - Kenya, Uganda and Tanganyika. They will attain this great objective just as surely as did the countries to which I have referred and as we in Australia did after proving ourselves to be qualified for it. The whole policy of those British East African states is directed towards that end. We can think back upon our own Australian history and remind ourselves that there was a qualifying period - a period when we were not held back from moving towards this objective, but in which we showed that we were capable of governing ourselves and had an opportunity to develop ourselves, to build up a civil service, to learn the art of selfgovernment, and to stand on our own feet.

Let me refer now to something which any one who enters the South Australian Parliament House may see for himself, and which puts the whole matter in a nutshell. My colleague Senator Ryan will know that as one walks up the steps to the central entrance to that building one sees an inscription on either side of the entrance. The inscription on one side is entitled “ The Promise “ and reads -

His Majesty’s subjects in the province of South Australia are to .receive a constitution of selfgovernment as soon as the colony shall be in a state fit to enjoy that inestimable advantage.

That was the promise made to South Australia in 1834. The inscription on the other side of the entrance is entitled “The Fulfilment “ and reads -

This House of Parliament was completed as an expression of faith in the parliamentary institution and in appreciation of the benefits wrought by eighty years of self-government and in commemoration of the centenary of the State.

It is dated 23rd December, 1936. The point I am making is that this process of proving ourselves worthy, which we hear referred to so disparagingly in certain quarters in this country at times, is a process that we have all rightly been through. The policy of colonization that Great Britain has practised and which we have experienced is not the kind of thing that is so often referred to disparagingly. Rather it is a benign, helpful policy which has built these great nations from nothing to positions of strength as self-governing, independent nations within the British Commonwealth. All the false and mischievous propaganda which is indulged in by some in this country is misleading and does untold justice to the hand that has fed us all.

Lest some one does not agree with what I am saying, I now come to the best evidence of this kind of thing that I can produce. Those of us who were in Nairobi were thrilled, I am sure, to hear one of the distinguished delegates from Pakistan rise in mat conference and say that he was thrilled and proud to be a member of the British Commonwealth. He thanked Great Britain for what it had done for them in the days that led up to the granting of independence . to his nation. He said, m effect, that after having attempted for some years to govern themselves, they now realize the difficulties associated with that tusk. He expressed himself as being entirely grateful to Great Britain for all that had happened previously. He said that they had not always understood what was involved in self-government and selfdetermination but, having experienced something of the difficulties, they were now fully aware of all the problems. If honorable senators do not accept my views about this matter, I hope that they will accept the testimony of that distinguished gentleman from Pakistan, who certainly knew what he was talking about. Pakistan had then passed through the period of probation and experienced the difficulties which face a self-governing nation. 1 trust that we will hear less and ic>i of the alleged evils of this system, and more and more of the fruits of the system which has been of such great benefit to mankind in these nations which are so widely dispersed throughout the world. Because of the very looseness of the ties which bind those countries to us, it is more than ever necessary to concentrate on anything that will strengthen the ties and bind us more firmly together as a powerful influence, not only in the literal sense of the word “ powerful “ but also a power for good in a world which wants to know more and more about the things we have achieved under this system.

I have referred to the value of royal visits. May I agree with my colleague, Senator Annabelle Rankin, who expressed her pleasure at the prospect of another conference of Prime Ministers. Conferences between the leaders of governments in these various countries are highly beneficial and important. It may be that at times the Prime Ministers come away feeling that all that they hoped to achieve has not been achieved, but the very fact of men in such responsible positions meeting and having frank discussions with each other is of inestimable benefit. I hope that these conferences, which are now made easier because of faster means of travel, are held at least once a year, as seems possible in view of what has happened in the last twu years. Perhaps, 1 should refer, on a lowe scale, to the benefits to the British Commonwealth of associations such as the Commonwealth Parliamentary Association. Under the auspices of this association, representatives of 70 or 80 nations meet every two years in conference. The importance of these conferences lies not so much in the matters which are discussed, but in the very meeting of delegates, in having frank talks and getting to know what other.-, think and why they think it. This makes for a better understanding which is so necessary in a group of nations which is so widely scattered.

The Governor-General, naturally, referred in his speech to a number of other matters He mentioned the unhappy events which have taken place in the Middle East since July last. He referred very fittingly, I think, for the benefit of us all, to the tremendous tasks which were assigned to the Prime Minister (Mr. Menzies) by some 22 nations which were gathered together in conference in London. They sought him out as being the person best fitted to lead the delegation of five to wait on Colonel Nasser and try to talk sense to him. The fact that the mission failed was certainly no fault of the Prime Minister or of those who went with him. We must remember the great honour that was conferred on this country by asking Mr. Menzies to lead the delegation. We owe him a great debt, which we are in danger of overlooking all too soon. Unfortunately, the troubles to which His Excellency referred are by no means at an end. We have only to read the press of the last week or two to realize that unfortunately another dictator has arisen in world affairs. That person is Colonel Nasser, who is a dictator if ever there was one, and he is running true to the form of dictators. He makes statements one day and refutes them the next, and he is apparently at this moment delaying the final clearance of the Suez Canal and holding the world in suspense in regard to the attitude that he will adopt when the canal is finally cleared. It looks as though he is not prepared to give guarantees which certain people who are vitally interested are entitled to receive. I think that all of us would agree that Israel is at this stage entitled to some guarantees on’ certain matters.

Senator Hendrickson:

– She has been entitled to them for many years.

Senator PEARSON:

– I am very glad to hear Senator Hendrickson say that. I do not think that anybody in this chamber will disagree with that statement.

Senator Hendrickson:

– But the honorable senator has never supported her before.

Senator PEARSON:

– Egypt has been in defiance of the United Nations organization for some six years, and Israel has been on the receiving end of this defiance, which consisted of a refusal by Egypt, in spite of United Nations edicts to the contrary, to allow Israeli shipping to pass through the Suez Canal and to enter the Gulf of Aqaba. T say, after due consideration, that the fact of Egypt’s having been in defiance for so many years has made the attitude of the United Nations at the present time look rather farcical. I hate to use that word, but the fact is that in recent weeks pressure has been put on Israel to get out of certain territory which she occupied by force of arms some little time ago, without receiving the guarantees to which she was entitled. I should have thought .that, if first things were to come first, the United Nations should have sought and demanded those guarantees which Israel has a right to expect before withdrawing from the strongpoints which she held.

Senator Hendrickson:

– That has been going on for years. Israel’s position has been unsatisfactory for years.

Senator PEARSON:

– I know that.

Senator Hendrickson:

– Why did they not do something before?

Senator PEARSON:

– Apparently they are very patient people. Having taken certain steps and occupied certain territory, they are quite right, in my opinion, if the honorable senator wants to draw me that far, in saying, “We are not prepared to get out of positions hardly won unless certain guarantees as to our future, in regard to both border raids and freedom of shipping, are given “. Under pressure from the United Nations, Israel has withdrawn and, in spite of the visit of her foreign minister to the United States in the last few days, she has still not been able to obtain those guarantees to which I say she is thoroughly entitled. Nobody knows, of course, what will happen in the United States in the next few days, but I rejoice in the statement made yesterday, apparently in this Parliament, by our own Minister for External Affairs (Mr. Casey), and in the: warning which he. gave to Egypt I would like to be able to say that we. are a disinterested party, but we are. very interested in this matter, and I am proud to know that we say what we think, about it. and come out on the side of justice and fair dealing. Any country, whether it be Egypt, Israel, France, or Great Britain, is entitled to guarantees in relation to the integrity of its borders and to the. freedom of its shipping through the Suez Canal, the Gulf of Aqaba and any other place where ships need to proceed. These questions, and particularly events of the last few days, must be faced by the United Nations and decisions reached not on the basis of prejudice, but on the basis of reason and justice. I have had, and still have, great hopes of the United Nations, but my faith was shaken somewhat by the tendency in the General Assembly of the United Nations to decide questions, not on. the basis of justice, but on the basis of prejudice. No opinion, no matter where or by whom it is formed, is likely to be acceptable if it is based on prejudice.

Senator O’FLAHERTY:
SOUTH AUSTRALIA · ALP

– Would the honorable senator not agree that these questions have been determined by pressure and not by prejudice?

Senator PEARSON:

– I think that they are decided .on prejudice rather than as the result of pressure. We have seen decisions reached not because of pressure, but because a group of nations had the weight of numbers. I believe that some of these questions are prejudged because of sympathies and loyalties which arise from reasons which we need not investigate in this debate. This attitude of the General’ Assembly of the United Nations is unfortunate for us and for the world,, and it must have its worst reaction against the United Nations itself.

I hope sincerely, with the Minister for External Affairs (Mr. Casey); that the United Nations will face its responsibilities in this matter. I hope that the United States of America, which has led opinion so often in the United Nations discussions, will lend’ its weight - as it has been asked to do by Israel, Australia and other countries - to a decision that will compel Egypt and the dictator Nasser to do the right thing. After it has obtained a promise from Nasser, it must ensure that he stands by his word. If the United Nations does not tackle this task successfully, our faith in this organizaton, which is our hope for the future peace of the world, will be shaken rudely.

The Governor-General referred to the Seato conference which was held last week in this parliamentary building. In spite of the opinions expressed by Senator Cameron, it was the greatest conference that has ever been held in Australia. I am sure that the Australian people will gladly echo the statements made by the Governor-General, who said -

This high-level meeting approved plans which will further strengthen the organization which provides a shield against aggression in. an area of vital interest to Australia.

I think that we might add that it is vital to New Zealand also. Senator Cameron has said that nothing of value emerged from the conference, and he criticized the secrecy associated with it. A day may come - though God forbid that it should - when Senator Cameron and all of us will be thankful for Seato and the Anzus pact and the other arrangements that have been successfully negotiated by this Government. Tt is all very well for Senator Cameron to rise in this chamber, or stand on a stump outside, and try to mislead the Australian people into believing that the secrecy associated with the Seato conference was unnecessary and so much hooey. All of us should rejoice in the reminder that has been given us by this conference that Seato -exists, that we have powerful allies, and that the representatives of eight nations, have gathered in Australia to give us the guarantee to which His Excellency has referred.

Senator Hendrickson:

– What is the guarantee?

Senator PEARSON.^1 read it from the Governor-General’s Speech and Senator Hendrickson should be able to read it, too. His Excellency stated -

This’ high level meeting approved plans which will further strengthen the organization which provides a shield against aggression in. an. area of. vital’ interest to Australia.

Senator Hendrickson:

– What are the plans? 1 am anxious to know them.

Senator PEARSON:

– Does the honorable senator want me to give them to him in detail?

Senator Hendrickson:

– Yes.

Senator PEARSON:

– The honorable senator will not get them from me. I accept the assurance that has been given, and Senator Hendrickson should do so, too. The matters that were discussed at the Seato conference were, of necessity, withheld from the rank-and-file citizens such as Senator Hendrickson and myself.

Senator Hendrickson:

– Does the honorable senator mean that we are the rank and file? This, is the Parliament of Australia.

Senator PEARSON:

– God forbid that some people who sit in this Parliament should ever be entrusted with the secrets of such an organization. I am not referring to Senator Hendrickson, but God forbid that some persons in this country should be entrusted with such information. I hope that I am nor entrusted with that responsibility myself. We are the rank and file. We are members of this Parliament., but that does not mean that we are entitled to know what was discussed at the Seato conference. Senator Hendrickson does not agree ‘with, me, but I should be interested to know whether he ever supported a government which held information back from the public in war-time.

Senator Hendrickson:

– In war-time, but not in peace-time. We have had talk about war from this Government for the past seven years, but nothing has happened yet.

Senator PEARSON:

– What I have said is’ still true. Does Senator Hendrickson deny that the government he supported kept information back, even in peace-time?

Senator Hendrickson:

– I do not agree.

Senator PEARSON:

– The government he supported after World War IT. did not keep anything back from the people?

Senator Hendrickson:

– No.

Senator PEARSON:

– It is farcical to suggest that any government will make its decisions known from the house-tops in war- time or peace-time. The Governor-General referred to the possibility of a stabilization plan for the dairying industry to cover the next five years. I am sure that that will lie acceptable to the dairying industry because the first plan, evolved under the direction of this Government, has been very beneficial to the industry. The industry requested the Government to extend the plan for five years. The Government willingly entered into negotiations and I look forward to the legislation forecast in the Governor-General’s Speech. 1 should like to have seen some reference to a plan for the dried fruits industry. Honorable senators from South Australia and Victoria are deeply interested in this matter. We know that negotiations have been in progress, and that various plans have been submitted by the industry. All of them have been examined by the Minister for Trade (Mr. McEwen). I hope that the negotiations will reach a stage where the necessary legislation will be introduced. The omission of any reference to such a plan from the Governor-General’s Speech might not mean that negotiations are not well advanced. I hope that some progress has been made because negotiations have been taking place for twelve months or more. The industry is waiting for some indication that legislation will be introduced to give effect to a stabilization plan.

His Excellency referred, of course, to other matters that will come before us. One such matter is the Navigation Act Amendment Bill which looks like being something of a marathon. It will be in the. hands of my friend, the Minister for Shipping and Transport (Senator Paltridge). I am glad that he is in the chamber at the moment because I want to say something with which I think every honorable senator will agree. We had the greatest faith in Senator Paltridge when he was selected to take over this portfolio. Having now occupied the position for eighteen months, he has more than justified the faith which we all had in him. He has brought down some very difficult legislation in this Parliament, and he has proved that he is energetic, down to earth and conscientious. I do not think anybody in this chamber will disagree with what I am saying. He is a worker and has produced results, and T sincerely hope that he will be able to see successfully through this chamber the difficult matter which will be placed in his hands. We have to remember that in addition to the difficult portfolio of Shipping and Transport, he has now been given added responsibility as Minister for Civil Aviation. I. would think that that was anybody’s business, but there again he has an insight into the department and I am sure will live up to the reputation which he has built up for himself. I hopethat he does not resent my saying this. 1 have no intention of making comparisons between Ministers in this chamber, but Senator Paltridge, having been in office for only eighteen months, has given sufficient proof of his efficiency for me to say at least what I have said.

I desire to mention one other thing before I resume my seat and I am not very pleased to have to refer to it. We are meeting under a great shadow, the shadow of the Australian Labour party’s conference at Brisbane. If the press reports are correct that conference arrived at decisions which the Australian people will live to regret. The conference denounced secret ballots in industrial unions. If I am not right in saying that. I hope my three friends opposite who are listening will correct me. I do not think they are going to get much thanks for that pronouncement from trade unionists, many of whom have achieved their ambition as the result of secret ballots and have turfed out-

Senator Poke:

– The groupers.

Senator PEARSON:

– The secret ballot has enabled trade unionists to get rid of a few people who are not even trade unionists and not even loyal Australians. The party opposite to-day has made disparaging remarks about this legislation which has enabled trade unionists to turf out some of the people to whom T have referred. It will not get any thanks from the people of Australia nor from trade unionists. My friend, Senator Hendrickson, almost looks afraid, knowing that what I am saying is true. The conference also had the temerity, as a political party meeting on the highest level, to cast aspersions on new Australians simply because they did not vote for the Australian Labour party. What thanks are honorable senators opposite going to receive from the new Australians who, for the first time, will have the opportunity to vote at the approaching election? They will not get any thanks from those people for the attitude they have expressed.

Senator Hendrickson:

– A day is coming when the honorable senator will not get any thanks, either.

Senator PEARSON:

– It looks as if Senator Hendrickson knows that what I say is true. Worst of all we have another pronouncement, almost as bad, if not as bad, as the one that came from Hobart a few years ago. We have a new brand of socialism emerging.

Senator Hannaford:

– Democratic communism.

Senator PEARSON:

– I am satisfied with the expression at the moment, not with the definition, because we have not had one yet. lt has been left to people, apparently like Dr. Burton, to interpret it. Senator Ashley is not here but he would apparently disagree with that. He had something to say about “ egg-heads “. We have yet to wait for a real definition of that term. 1 hope that some honorable senator opposite will tell us what it is all about. 1 for one have to be convinced that it means anything else than Marxism. Democratic socialism is something I do not like the sound of, and I do not think any other Australians will like the sound of it. I say in conclusion that it looks to me as though the Australian Labour party is very rapidly getting into the hands of the leftists and extremists of the party.

Senator Hendrickson:

– Why is the honorable senator worried about it? We are happy about it. Why does he worry?

Senator PEARSON:

– I am worried about this matter for two reasons. Firstly, I am afraid that the Opposition in this Parliament will never be an effective opposition while it discusses matters which divide it so effectively and prevent it from becoming an effective Opposition in Her Majesty’s Parliament. That is the first reason. The second reason is that if honorable senators opposite ever get into office - and God forbid that that should happen - they would have an opportunity to put into practice, I am afraid, democratic Marxism. I repeat, in conclusion, that we have not yet had any definition of democratic socialism. 1 would like to hear some Labour member tell us what, in fact, it does mean - whether it means capital levies or conscription of Labour. 1 think that my friend Senator Cameron might accept it if it meant the imposition of capital levies.

Senator Hendrickson:

– Can the honorable senator tell us what is wrong with capital levies?

Senator PEARSON:

– There is nothing right with them. They are immoral, for one thing. If Senator Hendrickson has £1,000 tucked away somewhere, and 1 believe he might have, my interpretation of a capital levy would be that some one could go along and take a fair portion of that sum from him.

Senator Hendrickson:

– What is wrong with that?

Senator PEARSON:

– Does the honorable senator think it would be all right for him to take it?

Senator Hendrickson:

– Yes, I do.

Senator PEARSON:

– I do not believe the honorable senator when he says he would welcome somebody coming along and lifting half of his savings.

Senator Hendrickson:

– I say I would not mind, because I have not got it.

Senator PEARSON:

– I do not believe the honorable senator. However, this is no joke. It is a serious matter, and I say to my friends of the Labour party that the people of Australia will never be convinced that this is a policy for which they can vote.

Senator POKE:
Tasmania

– I rise to support the amendment which has been moved by the Leader of the Opposition (Senator McKenna). In doing so, I say, first, that I was one of the unfortunate Australians who were not in Australia at the time His Royal Highness the Duke of Edinburgh opened the Olympic Games. I was attending to parliamentary business elsewhere. T would have appreciated being here on the occasion His Royal Highness was in Australia. However, I realize that one cannot be in two places at the same time.

I have been concerned with remarks made by Government senators on the Speech delivered here yesterday by the GovernorGeneral. Naturally, one would expect that the subject of communism would come into the debate, and also that Senator Hannan would introduce it. Apparently, Senator Hannan must look under the bed each night to see if a Communist is there. He is something like the old maid who used to look under her bed to see if a man was there. The only difference is that the old maid hoped that a man would be there whereas Senator Hannan hopes that no Communist will be. 1 invite honorable senators to examine what the Government has done or is doing to reduce the activities of communism in Australia. Senator Pearson referred to court-controlled ballots. I admit that they have been introduced in Australia; but they have not had the effect that the Government expected. I consider that the Government is tackling communism in Australia by wrong methods. I was fortunate enough to have had a trip through South-East Asia where there is a fair amount of communism and I saw, at first hand, some of its effects. On one occasion I was within a few miles of Communist-controlled North Viet Nam. Together with other members of the delegation with whom I was travelling I saw refugees who had been outside Communistcontrolled territory for only a few hours. I agree entirely with all that has been said about the evils of communism. Once one has had the opportunity of interviewing some of the poor unfortunate souls who have escaped from Communist-controlled countries one can really realize some of the evils of communism.

However, the approach that this Government is making to combat those evils is not achieving any real results. In South Viet Nam they have an approach entirely different from that of Australia. If any one has suspicion of a person being a Communist he is not branded as a Communist, as is so often done in this country. In Australia, if any one takes a dislike to a person the first thing done is to label him a Communist. In South Viet Nam, they fight communism mainly by endeavouring to give to the people better living conditions under democracy than can be obtained under communism. That is a most effective way of fighting the evil. I agree that they fight it on the military front as well, and that is necessary; otherwise South Viet Nam would soon be overrun by Communists who would take control of the whole country.

We know that Communists are active in Malaya also, which was another country that I visited. The approach of the Malayan people to this menace is very similar to that adopted in Viet Nam. Certainly, communism is not so acute in Malaya as it is in Viet Nam because Malaya is not bordering, on Communist-controlled territory. But I was very impressed with the precautions that are being taken, and I was impressed also with the effectiveness of the methods followed by Australian soldiers stationed in Malaya to combat communism.

Turning from that subject to the Speech delivered by the Governor-General, I was disappointed, as I think most Australians would be, at the absence of any reference to provision for the relief of unemployment. We know perfectly well that unemployment is with us to-day. Honorable senators on this side of the House have been accused by Government senators, on a number of occasions, of trying to raise the unemployment bogy. It is not a bogy. Unemployment has come round the corner. For those senators on the Government side who have not encountered it, let me suggest that they should go to the coalfields or to the timber industry areas or to the waterfronts. In Hobart, unemployment on the waterfront is most acute, and that is due mainly to legislation introduced by this Government. Some figures relating to the position there will emphasize my point. Since 1st June, 1956, a total of 29,060 man-days have been lost, and not through industrial unrest. For those days the workers were paid attendance money. In June, 1956, the number of man-days lost was 1,296. July was a month of full employment for the whole of the Hobart waterfront.

Senator Scott:

– What is the port quota?

Senator POKE:

– At the moment it is about 950. In August, 1956. the number of man-days lost was 1,357; in September, 1,114; in October, 1,259; in November, 1,388; in December, 3,789; in January, 6.998; in February, 7,925, and from the 5th to 15th March, 3,934. Unemployment has occurred during February and the early part of March at a time when there should toe full employment on the Hobart waterfront because of the apple export season. I mentioned the port quota of 950, or thereabouts, but during the apple export season an additional 300 wharf labourers are transferred to the port to assist in loading the apple crop for despatch to overseas markets. Al the present time, there are almost 1,200 waterside workers in Hobart. Some of those men have been transferred from other ports and are not earning sufficient to pay for their accommodation whilst some of the permanent Hobart waterside workers are faced with eviction from their homes because they cannot earn sufficient on the Hobart waterfront to pay their rent and keep their families. The unemployment position there is acute.

I said a few moments ago that this position is the result of legislation introduced by this Government. I refer to the Stevedoring Industry Act, under the operations of which the gang strength was reduced while the port quota was increased. The present gang strength at Hobart is 21 men. The 1956 apple season was the first in which fruit was- loaded by the pallet system. It was after this system was introduced that the port quota was increased, and now there is strong agitation again by the employers of Hobart for the quota to be increased still further to 1,150 tons. 1 have mentioned unemployment on the coal-fields. Recently, representatives of the coal-miners union gave evidence in Melbourne before the Australian Council of Trades Unions. I happen to be a member of the interstate executive of the Australian Council of Trades Unions, and although I am sorry I have not the figures with me to-night, honorable senators can accept my assurance that the figures submitted by those union representatives to the Australian Council of Trades Unions relating to unemployment on the coal-fields were astounding. Unemployment on the coal-fields, of course, has a twofold effect. Not only does it mean that the mine has closed down; it also creates ghost towns because many of the unemployed miners who are forced to seek alternative employment naturally take their wives and families with them if they are fortunate enough to obtain it. I know of a place near Waratah where there is nothing left now but the foundations of what was once a mine employing a considerable number of miners. What happened there will happen in many other mining townships.

I was very disappointed this afternoon at the attitude adopted by the Minister for National Development (Senator Spooner) when replying to a question asked by Senator Aylett about unemployment in the timber industry. The Minister endeavoured to ridicule Senator Aylett’s question. I am sorry he is not in the chamber at the moment, but for his benefit I tell the Senate now that between 600 and 700 timber workers are unemployed in Tasmania and that of that number 250 lost their employment in one week in a district in which there is little or no alternative employment. The unemployment position is getting very bad not only in Tasmania but also in other States, and it causes me great concern to notice that there is no indication in His Excellency’s Speech of any provision for the amelioration of this position.

The amendment moved by the Leader of the Opposition (Senator McKenna) takes the Government to task for not putting into operation an adequate housing programme. Why should not the Government provide finance to the various State governments, the War Service Homes Division and cooperative building societies when we already have available ample man-power and materials as well as enormous tracts of land upon which houses could be built, provided it could be purchased at a reasonable price? We all know, of course, that at the moment the price of land is considerably higher than it should be, but we shall always have the exploitation of land values by certain sections of the people who control the finances of the Commonwealth. Further, we also have many unscrupulous landlords. There are certainly very few good landlords.

Senator Cameron:

– Some are worse than others.

Senator POKE:

– I agree. They are all bad, but some are worse than others.

Senator Buttfield:

– That is a sweeping statement.

Senator POKE:

– It might be a sweeping statement, but why cannot we on this side make sweeping statements as well as honorable senators on the Government side? Honorable senators opposite make very sweeping statements at times, and we should have the same right. I do not want to take away from honorable senators on the Government side the right to make those sweeping statements.

Some months ago, I spoke in this chamber about the availability and production of timber. A Government senator interjected that, as more timber became available, house construction would become cheaper. Recently, the Prime Minister (Mr. Menzies) stated that the Government would have a look at the availability of man-power and materials because there was a possibility that if more money were made available for houses, prices would rise. Who was correct - the Prime Minister or the Government senator who interjected during my speech?

Senator Annabelle Rankin, when referring to conferences of world leaders, said that more such conferences should be held because they served a very useful purpose. I agree with her wholeheartedly. It was my good fortune to attend the recent conference of the Inter-Parliamentary Union that was held at Bangkok. About 40 nations are affiliated with the Inter-Parliamentary Union, and the conference was attended by more than 300 delegates. Although a great number of effective matters might not be dealt with at such conferences, I. believe that the goodwill that is established between the delegates by personal contact pays considerable dividends. I heartily support Senator Annabelle Rankin’s advocacy of more conferences of this kind. They should be held, not only between the leaders, but also between the private members of the various governments. I believe that, in the clays ahead, the goodwill that was engendered by the Australian delegation at the Bangkok conference and throughout its tour of SouthEast Asia will be very beneficial to Australia. Of course, no one knows whether it will prove effective iri the near future, or whether years will elapse before it manifests itself.

Senator Annabelle Rankin stated that the Opposition displayed a lack of constructive thinking. I firmly believe that honorable senators on this side of the chamber think as constructively as do those on the Government side. On a number of occasions, the putting -forward of constructive proposals by the Opposition has stirred the Government into action. In many instances, the Government has stolen our thunder and done what we would do if we were in office.

The honorable senator also referred to the easing of the means test in relation to pensions. For many years, I have been greatly concerned about the plight of the age pensioners - even long before 1 entered this Parliament. I am convinced that the age pensioner is worse off to-day than he was in 1938, because the ratio of the pensionrate to the basic wage is lower now than it was then. I have noticed that, when referring to age pensioners, supporters of the Government almost invariably state the position in relation to an aged couple, both being pensioners. They seldom consider the case of an age pensioner living alone. To-day, these unfortunate people experience great difficulty in making ends meet. I have heard of many instances in which persons who have reared large families have not been able to save sufficient money to buy their own home, and have been compelled to pay rent all their lives. Let us consider the position that arises in such cases when the breadwinner dies about the time that his child is nearing the completion of his primary education. In order to provide the child with technical education to fit him for useful employment, the widow goes out to work. In consequence, her health may be impaired and, in the twilight of her life, when she receives an age pension of £4 5s. a week, she has to pay rent varying from £3 to £4 a week for the home that she has occupied for many years. In these circumstances, it becomes incumbent on her relatives to keep her in food and clothing. I believe that the Government should make a more realistic approach to the problem of such aged members of the community. Noi only has the ratio of the age pension to the basic wage dropped since 1938, and even since 1949, but the Government has also abolished the free hospital scheme that was instituted by the Chifley Labour Government. Although I know the conditions under which that scheme operated in Tasmania, I am not aware of the conditions that applied in other States.

Senator Aylett:

– Attention was provided free in all public hospitals.

Senator POKE:

– I am glad to hear from Senator Aylett that the conditions governing the scheme in Tasmania applied generally throughout Australia. If one goes into hospital and wants to get even the Commonwealth benefit, one has to be insured under a medical benefits scheme. It can only be described as being a scheme, because it is a means whereby some one drags a few extra shillings from the pocket of the worker.

I had occasion recently to make representations on behalf of a young postman in Hobart, who was in his early twenties and who received a wage of £13 12s. a week. Out of that he had to pay income tax and a superannuation premium, so that he was receiving in his pay packet less than £13 a week. This unfortunate young man had been a member of a medical benefits fund long enough to qualify him for the hospital benefit, but the doctors, claimed that the condition which he had developed was in existence when he joined the fund. Hospital treatment cost him £192, and all he received was the Commonwealth benefit.

Senator Aylett:

– That is all he will get until he has been there for two years. That is done to everybody.

Senator POKE:

– I realize that. In addition, his wife has just been discharged from hospital with their second child. Again, he did not qualify for assistance from the medical benefits fund. Only the week before last he had to go back to the doctor, who informed him that if he did not return to hospital within the very near future and undergo an operation he would contract tuberculosis. If there had been in existence the free hospitalization scheme that existed under the Labour government, this man would not have been put to the expense of probably £250 for an operation and the confinement of his wife and have to face a further big expense for a second operation.

Senator Aylett:

– There are tens of thousands like him.

Senator POKE:

– He is one of very many. I have met a number of men in similar circumstances in Tasmania, and it is reasonable to suppose that throughout Australia there are thousands of such cases. This Government should endeavour to do something to assist those people.

Senator Annabelle Rankin cited the case of an aged couple living, say, on the border of Queensland and the Northern Territory, where the husband has to go to Brisbane for hospital treatment. She said that, if his home had been near the hospital, he could have been discharged, have had his wife care for him, and have gone backwards and forwards for subsequent treatment. The honorable senator advocated the provision of homes and flats for such people in close proximity to the large hospitals. That is a very good suggestion, but I think that Senator McKenna, in paragraph 4(b) of the amendment that he has moved, has furnished the answer to it.

Interest rates on home finance range from 5 per cent, to even 10 per cent. I had occasion to investigate a proposal made to a man in Hobart who had the offer of a home for £2,750. The proposal was that he could go into the house without paying a deposit but could pay a weekly amount for so many years, after which the house would become his property. It was discovered that, over the specified period, the house would cost him more than £7,000. That is the way in which interest accrues and acts to the detriment of the working man who is endeavouring to procure for himself a home in the later years of his life. It is almost impossible for a working man with a large family, who is receiving a wage very little in excess of the basic wage, to save sufficient money to pay a deposit on a house. That applies particularly to public servants, who seem to me to have been completely forgotten by the Government. It is a wonder to me that some of them are able to pay the rent each week, or fortnight, when the landlord calls.

I mentioned a few moments ago that 1 had been in Malaya and had met some of the Australian troops there. They were well cared for and were very happy, although quite naturally they were looking forward to their return to Australia, as do all Australians. While I was there, I received inquiries about whether the Government intended to extend the period of time- for which a serviceman must have a motor car in his possession before he is allowed to bring it back to Australia without having to pay import duty. That matter was causing considerable concern to and unrest among those men. I understand from information which was given to me, that when the troops first went to Malaya, a car which was owned for twelve months could be brought to Australia duty free on a serviceman’s return.

Senator Laught:

– That is not bad treatment.

Senator POKE:

– No, that is not bad treatment. It was rumoured that the Government was to extend that period to eighteen months. I took the issue up with the Minister for Customs and Excise (Sena- tor Henty), and asked whether there would be any extension of the period for which a serviceman had to own a car before being permitted to bring it to Australia duty free. I received a copy of an import licence form in relation to servicemen’s cars. One section provides that the vehicle must remain in the serviceman’s use for a period of two years after his return to Australia. However, that is not the passage to which I desired to direct attention, and I trust to memory when I say that I am reasonably certain that there is a provision that if a serviceman has owned a car for a period of three months it may be brought into Australia duty free, provided it stays in his possession for a period of two years, or for such further period as the Collector of Customs may decide. There is also a provision that the Collector may require the deposit of an amount of money as a guarantee that the serviceman will hold the vehicle for two years. It does not appear to me to be just that one man may make a decision that another man must not sell his motor vehicle within a period of two years without forfeiting an amount lodged by way of a bond on arrival in Australia. [ consider that that is a very bad condition and I suggest that the Government examine it at an opportune time and give some relief in relation to it.

I am very disappointed with the conduct of compulsory military training. I speak on this matter with some experience and authority. A boy in Tasmania, whom I have every reason to believe to be telling the truth, who has completed three months’ compulsory military training and one or two camps of a fortnight’s duration, and who attended every compulsory military parade and a number of voluntary parades, has told me that time after time all that the trainees have had to do when attending compulsory parades is ride bicycles round and round the camp, play cricket and tennis, and pelt one another with all the refuse that they can gather round the camp. He told me that at those parades they do no training whatsoever, yet they are compelled to attend and put in twelve hours, or whatever the period may be. They are paid for attending, but they do absolutely nothing.

Senator Hendrickson:

– The Government is stopping it now.

Senator Aylett:

– Increased production!

Senator POKE:

– I do not know whether it is increased production or what it is, but it is a complete and utter failure and a waste of the taxpayers’ money if the persons in authority do not ensure that these lads get the training for which money is provided.

Senator HARRIS:
WESTERN AUSTRALIA · ALP

– And it is making no contribution to defence.

Senator POKE:

– That is true.

Senator Hendrickson:

– The Government has admitted it now.

Senator POKE:

– The Government may curtail expenditure by diverting that money into housing at a lower interest rate than is obtainable to-day, and so provide the Australian people with better opportunities for housing. The Tasmanian Government has done a particularly good job in relation tohousing with the amount of money which has been made available to it in the past few years. I have inspected quite a number of government housing areas in Tasmania and, in the main, the tenants are particularly good and have cared for their homes in a manner which would be creditable to home-owners. Many have laid very attractive lawns. Others have workshops in the backyards in which they pursue their hobbies or engage in some activity which brings remuneration. I give full credit to the Tasmanian Government for its housing scheme.

There do seem to be other means whereby the Government can save money. I shall be very brief in my reference to them. First, I refer to the security which exists at the Australian Aluminium Production Commission project at Bell Bay. During its construction, when some 800 employees were engaged, three security men were employed.

Debate interrupted.

page 60

ADJOURNMENT

The PRESIDENT (Senator the Hon. A. M. McMullin). - Order! In conformity with the sessional order relating to the adjournment of the Senate, I formally put the question -

That the Senate do now adjourn.

Question resolved in the affirmative.

Senate adjourned at 10.30 p.m.

Cite as: Australia, Senate, Debates, 20 March 1957, viewed 22 October 2017, <http://historichansard.net/senate/1957/19570320_senate_22_s10/>.