Where does the buck stop?– Ministerial Resignations and Operational Responsibility

In her book, “Diary of the Kirk Years”, Margaret Haywood refers to an incident involving a family who was having problems with their State House rental.  Norman Kirk, who was the Prime Minister, had apparently heard about the situation as he had been listening to the radio in his office.  Kirk’s solution was simple.  He picked up the phone, called the Minister of the relevant state department and sorted the issue.

The reason that Kirk and the appropriate Minister could intervene in such a manner is because there was direct Government oversight over Departments and assorted state agencies.

Shift forward to the present and the situation is dramatically different.  There is no actual Ministerial oversight for Departments or Ministries.  Operationally, Public Sector Departments are run as commercial entities all headed by a Board and by a CEO.  The entire system of state agencies, Departments and Ministries are all answerable to the Head of the State Services Commission.  The State Services Commissioner is their employer, not the Government.

Government has little, to no, role in the current system. Ministers are kept at arm’s length. They are governance and, subsequently, they have no control over, or responsibility for, operational processes.

How did such a state of affairs arise?

Prior to the 1980s, the public sector served the public.  Hence, the term “public servant”.  Regardless of political persuasion, heads of public departments and ministries provided advice to their Ministers and acted on the policy directives that Governments passed in Parliament.  Ministers were ultimately the final authority.  “The Buck” as US President Harry Truman used to say, stopped with them.

Ministers, were of course, chosen from their responsible political party and were the representatives of the people having gained their mandate through the liberal democratic process which included manifestoes, elections and of course, Parliament. If there was an issue with how a Government was preforming then there were recourses open to the public – petitions, marches, rallies, other political parties, unions, etc and, of course, the ultimate recourse in the form of a general election.

However, after 1984 this process was effectively turned on its head.

The reason was because there was a deliberate move to get rid of public control over the state sector by the “free market loving” fourth Labour Government.  That Government’s state sector reforms were consciously conceived to remove political influence and insert more “independent” management.  Independent management was an important component in making sure that the public sector operated as efficient state-owned enterprises and fulfilled their new commercial roles. As Roger Douglas observed at the time, special interest groups should not be allowed to interfere in the running of the marketplace.  And, what is democracy except one large special interest group.

This separation of control was not just limited to state agencies. Various acts also reformed local government in the late 1980s.  They saw local council-controlled organizations being separated from the Councils.  When people complain that the local councils are unrepresentative and do not listen to their concerns and that the democratic councilors appear to be incapable of controlling their own councils, the reason is, like central government, local councils have no control over their businesses.

(A recent example was amply demonstrated in Dunedin with the decision by Dunedin Railways to mothball their trains and lay off their staff despite the local council being opposed to the move

https://www.odt.co.nz/news/dunedin/union-claims-%E2%80%98sabotage%E2%80%99-dunedin-railways ).

Further, the new public sector CEOs were not public servants in the traditional sense of the term. They were mostly appointed from the business and commercial sector.  They were not accountable to the Ministers in the traditional sense and getting rid of them proved to be difficult.

The new public service is responsible to their “stakeholders”, of which the public is merely one group.  The public are there to simply fund the public sector, which neoliberals tolerate but do not actually support.

Simply, the modern public sector acts as a commercial entity with little democratic oversight and, as a result, little responsibility to the public that it supposedly serves.

That is why I have found the calls for Ministerial resignations, from National and its allies, interesting.  National knows that the current framework precludes actual responsibility.  Ministers do not have operational oversight. The buck no longer stops with them.  (Do I think that the Minister in question should resign?  Yes, I do. But, for his failings as a Minister overall, not for one specific reason).

Additionally, while, National and their allies call for ministerial responsibility it is important to remember that they are committed to upholding and maintaining the framework that allows the current situation to continue.   National has never attempted to amend the State Sector Act (and the other Acts) to ensure more direct ministerial oversight and it has not indicated a desire to do so. While, people could say that they are hypocrites, I would respond that they are merely following their class interests.

Modern democracy is a fragile system which has been hard won.  The unrepresentative nature of the modern public service is testament to the strength of those who seek to undermine democratic traditions.  People need to ask themselves what is more important – the ability to have control of the departments through their elected representatives or to allow the system to continue with little political or democratic oversight as commercial entities? If people really want responsibility from their public sector and their Ministers, then they need to strongly say so and pledge their support accordingly.


Reflection on the Elections – Labour’s Loves Lost

It’s been a long time since I have written a blog. My thesis got in the way and I made a promise to my Supervisors not to write a blog as it took time away from that. I was, I admit, bad at keeping some of the other promises that I made to them but I did keep the one about the no blogging – until now.

After one of Nationals’ inevitable victories when I was a kid in the 1970s, my father, who was a railway worker and Labour supporter, said to me; “You know I often think that the working class is its own worst enemy.” Doubtless, if he was still alive he would have said that last night as well. While I feel it’s an overstatement, there is a large amount of truth in that observation. After all, in 1931 in the depths of the Great Depression, the majority of people marched to the polling booths and voted for the Tories. In 1935, the majority of people again marched to the polling booths and voted for the Tories. The difference was that in 1935, the Tory vote was split and the FPP system favoured Labour which won its first election. In 1938, after three years of a Labour Government, the majority of people finally marched to the polling booth and voted Labour.

Not blogging and not being, until relatively recently, politically active has allowed me time to think. To be honest I am really disturbed by the lack of progress that the left has made in the past decade. Certainly, the Labour party needs to have fingers pointed at it. Simply, the party appears to have lost the plot. It does not seem to have any sort of coherent programme or vision. A friend of mine made a similar observation today on his face-book page commenting that once Labour stood for workers. Back in those far-flung days, when my father supported it, Labour did support workers and the poor and it used to get over 40 percent of the vote. We have been informed that times have changed and as a result Labour needed to move and so it therefore adopted neo-liberalism and the ‘third way’ or as the former deputy leader of the UK labour party, Roy Hattersley described the third way “a series of cliques looking for a coherent thought.” Yet, horribly for David Cunliffe his most successful moments as labour leader was when he was actually contesting the position and in the immediate aftermath of his win. This was when he actually had stated positions on programmes and actually renounced the ‘third way’ liberalism of his predecessors. However, this success stopped at his first conference as leader when he fudged over free trade and then continued to fudge thereafter.

Of course, Labour is not alone in its sins and, in this breath, I could mention certain left-wing bloggers who regrettably appeared to spend their time inventing or promoting conspiracy theories or scandals. Certainly, the allegations behind Dirty Politics need to be fully investigated. However, the most annoying thing is the extent to which Dirty Politics and the ill-named ‘The Moment of Truth’ were promoted by these bloggers as legitimate alternatives to serious debate and analysis.

All of this leads me to ask what precisely is it that the left actually stands for? People on the left used to talk about the ‘grand plan’ or ‘grand narrative.’ Essentially that they (we) had a set of ideals for a better society which set them (us) apart from the Tories or the capitalists. This grand plan used to be generally referred to as ‘socialism’ and/or social democracy. While, socialism is a term which I am comfortable with, but which has many unwelcome connotations for others, it nonetheless promoted a society which accepted social justice, equality and economic democracy as its basis. Social Democrats tended to opt for the phrase ‘equality of opportunity’. However, the idea was that in this society people had the equal opportunity to achieve their various aspirations.

I have been told that the social democratic project is over. I would argue that it barely got started in New Zealand and that we adopted a conservative version of it. The Welfare state with its emphasis on full employment, free health care and education, decent standards of living, etc are an important part of such a society. But, they are only one part of the programme. The other part which guarantees economic and social democracy and participation remains untapped. A recreated social democratic grand vision needs to turn its back on neo-liberalism and agitate instead for the restatement of social, economic and democratic justice as a central part of its programme. It needs to restate the ideal that people’s aspirations are not achieved through the ‘free market’ but through the ability of equality of opportunity.

An integral part of socialism (and of Sesame Street) is the concept of co-operation. This is something that the left (and yes, the Labour party) has particular trouble with. To be fair, so does the National party. Peter Dunne and the new forgettable ACT MP for Epson are not co-operating partners with National. Rather, they are vassals to a feudal lord. National has effectively cannibalized the right-wing vote which will cause it problems at some point in the future. But, quite frankly, having partners on the left is not, as many in the Labour party appear to believe, a bad thing. It is, particularly in an MMP situation, a good thing. It is something that should be encouraged. The reason for this is because such parties can actually contribute to building and strengthening the left. They can go places, engage with people and suggest things that might be an anathema to some of Labour’s own supporters but nonetheless shore up a left-wing vote and actually help develop an alternative programme. It has to be remembered that most of the reforms that we have today – the welfare state, employment rights, public healthcare and education were all someone’s radical and revolutionary idea at some point.

It is, therefore, disconcerting when you decide to ‘kill off’ your potential partners. Last night, Labour killed Internet Mana. It may deny that, but that is what it did. For Laila Harre, it would have been a situation of déjà vu, as she was the leader of the Alliance when the Labour party decided to kill it off in 2002. The outcome of that killing was Labour coalitions with Jim Anderton, Peter Dunne and Winston Peters.

Simply, the days of the Labour party being the only major force on the left is over. Subsequently, it should (needs to) embrace other parties on its left as perhaps bothersome, but nonetheless useful potential allies.
This is already occurring in terms of the party vote. Although, the campaign slogan is “only two votes for Labour can change the Government.” People largely know that this is not true with the result that people are casting their electorate and party votes for different parties. This I feel explains some of the discrepancy in votes in various seats. The media, fixated as they are on simplistic reporting, overlook the combined votes of the Greens and Labour in a seat and instead decide to focus on the single large National vote. Mostly, because the vote for National’s right wing partners are virtually non-existent.

Lastly, there remains the need to engage with people. I have been told, but am yet to check that the turnout in this election is low. If it is low then National’s grand victory is illusionary and that the engagement process has failed. People remain disengaged and feel that the current electoral system does not have a place for them within it. It is little good to encourage people to advance vote if the only people who do so are those who would have voted anyway. If the turnout was reasonable then the left has simply failed in its attempt to engage with people. Certainly, the National party has a simple message to engage people by tying their aspirations to those of its leader. He is a self-made man and you can be too. National’s message is like a Tony Robbin’s advertisement or a verse from Hot Chocolate, “Everyone’s a winner, babe, that’s the truth.” Only, it ain’t.

It would be best at this point to reflect on the attitude of Labour’s first (and only Marxist) leader Henry Edmund (Harry) Holland. Holland knew that the progress of a party was based on more than simply an electoral cycle. It was a long-term project which required patience and education. To conclude this is not the time for fear. Now is the time for reflection and rebuilding. To quote the old catch phrase, “Things are always darkest just before the dawn.” The dawn is coming. It might be a while, but it is coming. People just need to have a little patience and a little faith.


Devil and the Deep Blue Sea

Why a ‘Cuppa’ with ACT is problematic for National

Guyon Espiner has written an interesting opinion piece about the dangers of National sitting down for a quiet ‘cuppa’ with ACT. Espiner feels that such a sit down and chat over a cuppa could place National in some difficulty and actually hurt its chances at the polls. He comments that the vast majority of voters simply don’t like or trust ACT mostly as a result of the various actions of its MPs over the past parliamentary term. However, I think that National is caught between the ‘Devil and the Deep Blue Sea’ on this issue.

It appears to me that National has two options. Firstly, to go for a majority government which would mean that it needs to get over 50% of the popular vote. Although the polls are suggesting that it might achieve this, it needs to be remembered that this has only happened, as far as I am aware, three times previously (1938, 1946 and 1951). While, polls can provide good snap shots, the final poll that counts is on the day itself. In 1996, National just managed to hold onto Government despite polling well throughout the year. In 2002, Labour, despite good poll results previously, only gained 41% on election night and was forced to put together an unlikely coalition comprising Peter Dunne’s United Future Party and Jim Anderton’s Progressive Coalition.

This leads to option two, which is to ensure that there is a suitable coalition partner in the event that National does get under 50% of the popular vote. If past election results are any indicator, it appears more likely that while National will emerge with the highest percentage of votes and as the largest party in the House. But, it may lack ‘suitable’ coalition partners, especially, those parties prepared to back its economic programme – even the Maori Party is not open to the idea of asset sales and the economic and social restructuring that is being suggested by National. Therefore, the only party that National can count on in terms of being open to its ideological agenda is ACT.

To sit down with Brash over a cup of tea (The Devil) may lead to the outcomes that Espiner is suggesting – as he notes, 99% of people don’t like ACT and the spinoff of such a deal could be bad for National along the lines of voter cynicism toward National and a corresponding decline in its vote. Plus, there remains no guarantee that National voters in Epson will vote for Banks, given the enmity toward ACT in the electorate. Even if Key endorsed Banks, Goldsmith could still win.

However, not to endorse Banks and ACT could lead to National being forced, in the event that it does not get 51%, having to put together a coalition (or being a minority) Government in which its key economic and social planks are scuttled (The Deep Blue Sea).

National has painted itself into a corner – it needs to get 51% or it needs ACT in parliament.


Full of Sound and Fury

 We live in a disconnected age and nowhere is this disconnection more prevalent than in New Zealand’s Parliament. Over the past several weeks I have been subjected to watching parliamentary debates.  I say, subjected, because a friend and I watch Shortland Street (my guilty little secret) and he has taken to recording Parliament TV prior to us watching the recorded episode of ‘Shorties’.

Parliament TV reveals that National is, simply, arrogant. Its election victory and its continuing high ratings in the polls have led to it treating the business of the House with, what verges on, open distain. Watching John Key in action is like watching the stereotypical smarmy used car salesman at work. Key, who gives the impression that he is generally out of his depth, nonetheless answers questions with real arrogance and glibness. This attitude is more than matched by other National MPs, who following the behaviour provided by their leader, openly mock the Opposition.

However, if the National Government is arrogant and smarmy, then the Labour (Liberal) Opposition is generally loud and ineffectual. L(iberal) MPs appear to be the parliamentary version of possums caught in headlights – in short, parliamentary road kill. The L(iberal) Party has not adapted to its role of parliamentary opposition well. It appears to spend a lot of its time in meaningless points of order, asking (often ineffectual) questions that National effortlessly bats away or bizarrely pointing out the deficiencies of existing policy and statues. The problem with this line of questioning is that, as National points out, Labour had 9 years to rectify the very issues that it is now raising as problems.

If evidence is needed of the inane attitude of parliamentary debates then it was ambly provided for me on March 4 with questions from L(iberal) leader, Phil Goff to John Key about the outcomes of the Job Summit. Key was arrogant and mocked Goff, who subsequently tied parliamentary proceedings up with points of order and supplementary questions that led nowhere. Another was the bumbling attempt, provided last week by Progressive MP,  Jim Anderton (who is essentially a defacto L(iberal) MP), to discredit National in relation to the reintroduction of the royal honour system.

People need to be aware of the debates and discussions that occur in parliament. Indeed, it was this principle that led the first Labour Government to broadcast parliament on the radio. Michael Joseph Savage felt that people should be able to listen in and have the ability to discuss that legislation debated by their parliamentary representatives. He felt that such broadcasts would actually improve the level of democratic discussion both within and without the House.  Unfortunately, parliamentary speaking and debate appear to have actually got worse over the intervening decades. As part of my thesis, I have had to read parliamentary debates from the 1920s and 30s and a comparison of the standard of debate and discussions from that period presents a group of people who were (for the most part) well read, well informed and exceedingly literate. Whereas, modern parliamentary debate and discussion is best summed up by Rodney Hide comparing Points of Order to limbs of trees.

No longer is parliament the place for ideas or wider discussion. Instead, it has become increasing disconnected from the wider world, becoming merely a place for petty point scoring. It is, to paraphrase a soliloquy from Shakespear’s ‘Macbeth’, a place full of “tale(s) told by a fool(s), full of sound and fury, signifying nothing.”