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Under Howard the gap has widened between the rich and poor:ACTU
09 July 2004
The ACTU has released an analysis that suggests that Prime Minister John Howard's goal of achieving a fair and decent society is a long way from reality.
You can make up your own mind.
Rich and Poor
- In recent years average incomes for the richest 20% of Australians have increased by $111 a week - more than eight times the increase of $13 a week for the poorest 20%.
- Since the election of the Howard Government, almost half the increase in disposable income (47%) has gone to the richest 20%.
- This means that half the income generated by economic growth under the Howard Govt has been of no benefit to the bottom four-fifths of the Australian population.
Minimum wages
- The Howard Government has consistently failed to support decent increases in the minimum wage for 1.6 million award workers.
- Low paid workers would now be earning $44 a week less if the Government had got its way in the national minimum wage cases that have taken place since 1997.
- This means they would only be getting $423.40 a week instead of the $467.40 or just $24,304.80 a year that the Industrial Relations Commission has awarded.
Tax bias against low and middle-income earners
- Tax cuts under the Howard Government have been biased towards high income earners and the GST has also hit low and middle income Australians hardest.
- Overall, this means around seven in ten low and middle-income taxpayers (70%) are paying more tax than they did in 1996, while higher income people are paying less tax.
- ACTU modelling shows people battling on incomes of only $28,000 a year ($540 a week) will be forced to pay $2,500 more in tax over the next three years of a Howard Government while at the same time, people on $80,000 a year will get an effective tax cut of more than $5,800.
Basic Services
- Low income Australians people have also been hit with prices for basic services rising up to twice the general rate of inflation thanks to the Government's shift to user pays and the running down of publicly provided services.
- Australian Bureau of Statistics data shows health costs have jumped 28% while dental costs are up 46%. Education costs have risen 53% and home ownership costs are up 37%.
Industrial Relations
- The Howard government's changes to industrial relations mean employees no longer receive leave for donating blood and it proposes to strip away jury service leave.
- The government also wants to axe the national body overseeing workplace health and safety while up to 4,500 Australians continue to be killed from work each year - more than the national road toll.
Contact Details
Health Services Union of Australia
hsu@hsu.net.au
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