Anorexic approach to “Cutting the Fat” in the Australian public service: cut the fat at the Executive level instead.

The Centre for Policy Development   says  that the Australian public sector is as efficient as the private sector once different responsibilities (e.g. more at-risk students going to state schools) are taken into account, and that OECD 2010 reports said Oz had 5th lowest taxing government in OECD but still 9th most effective.

Current State and Federal Oz governments are denigrating their public service staff performance, cutting staff without cutting duties, and not giving the staff guidance as to which officially required activities should be cut when there isn’t time to do everything.  They are  trumpeting “increased investment” in areas when the money is spent on basic construction for aging infrastructure and increasing population,  but actual staff-hours-per-thousand-clients are cut.  They are calling for us to match the  best of OECD results despite lower taxes, less cultural support , and more diverse population – and they dread talk of increasing taxes. Their political philosophy echoes USA conservatives.

It still looks better here than in the USA (read  http://www.viralnova.com/hospital-bill/  ) – but the local politicians are working on matching USA’s treatment of the most vulnerable.  They are even continuing to negotiate “Free Trade” agreements without provision for “Human Rights and OH&S” tarriffs.

It makes sense to learn from others’ mistakes, but our politicians seem determined instead to repeat the errors their predecessors made in using slaves (cheaper than the working class) in Ancient Rome and in too-rapid attempts to balance budgets when dealing with the recovery from the Great Depression.  (See Bill Fawcett’s “Doomed to Repeat”)  We aren’t using slaves?  Consider the conditons in the third-world countries to which work is “outsourced.”

That’s Modern Western democracy in action: “leaders” too much led by daily polls and the “perceived self-interest” push of their wealthy backers.  Alas,  the wealthy backers do not remember that a great gap between employee income and owner’s income leads to social problems which can destroy a civilization.  And our civilization is now global.

So, how about all shareholders (and Oz is, famously, a nation of shareholders – we just don’t usually vote our holdings) getting together and giving our proxies to some socially aware groups, on the condition that they vote to make companies limit the highest pay rate per hour (maximum 24 hours / day 365 days/year)  for any organization to be twenty times the hourly pay of the lowest paid employee – including those overseas, and including those hired by subcontractors.  This includes directors’ “remuneration.”  Remember, as voters, we can limit our politicians’ pay if we choose.   And add an “insult tax” where people are paid too much more than others : where the poorest in your country live on $13,000 pa and the median income is $43,100  an income over $800,000 is a dire insult.

Too hard?

Consider  limiting the “remuneration” to twenty times the workers’ pay as expressed as a percentage of average weekly earnings (AWE) in the county in which the work is performed, and remuneration in terms of the AWE of the Director’s country of residence.

Worried about talented people going overseas?  Consider: if they want more than the limit,  and don’t want to support the poorest, what attitudes will their children bring to our schools?  Do we want that in our society?  What type of society do we want our politicians and business leaders to aim for?

Imagine being known as a country dedicated to equality of opportunity,  and with an underlying belief in “from each according to ability, to each according to need, with our descendants able to live as we do.”  Imagine a society where your value is not measured in money.

Now help make reality fit the dream.

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