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"We’re not dead yet": connecting with the missing middle

By Wayne Swan - posted Friday, 15 February 2002


At the last election Labor put forward a range of well-crafted policies the centerpiece of which were under the banner of the Knowledge Nation. This wasn’t just an education and training agenda it was a jobs agenda.

As a nation if we want to prosper in the new economy we must continue to argue for the investments in training, education and industry that Knowledge Nation offered.

Complementary to investing in opportunity is to make sure that people are rewarded for their efforts.

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With the GST, low and middle-income earners in this country have had the tax burden shifted decisively to their pockets. The situation is even more acute for low-income families who may in fact be worse off the harder they work due to the withdrawal of family payments, social security and then tax. It is time we put some decent financial incentives into the system at the bottom and the middle to reward hard work and effort.

Beyond this we must further develop our thinking on the world of work, how it intersects with family life and how we can support communities.

We need to look at ways that provide financial means to allow a parent to study and upgrade their skills and knowledge to enter a career that has greater prospects for them and their family.

We also need to look at ways to enable parents to save and invest wisely for things like their children’s education. Ideas from overseas like Opportunity Accounts where the Government makes an up-front contribution on the birth of a child followed by contributions from parents warrant examination in the Australian context.

Conclusion

Labor must now re-build. We must go back to the community. This means re-engaging with the people who did not vote for us, particularly the ‘missing middle.’

Where the loss of a sense of community is greatest and the dog eat dog notion of everyone for themselves is strongest, politicians who practice divisive wedge politics will prosper.

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The only effective way to counter the politics of division is to re-build community trust. And a bold, well-communicated agenda provides a bulwark against politicians offering division rather than solutions.

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This is an edited version of an address given to the Fabian Society in Melbourne, 30 January 2002.  The full text of the speech is here.



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About the Author

Wayne Swan MP is the Member for Lilley (Qld). He is Federal Labor Shadow Treasurer and author of Postcode.

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