Blue smoke

In my previous post on the Canterbury Earthquake Response & Recovery Act (CERRA) I lamented the conspicuous absence of outrage in response to the bill’s provisions from partisans on the right. I have since been heartened by the responses from some of the more principled commentators on the right; well done them.

But there is one most conspicuous exception. I have on many occasions in the past defended Kiwiblog’s David Farrar from allegations that he’s a bog-standard Tory authoritarian. Yes, he’s a loyal partisan; yes, he does have his authoritarian tendencies, but his typical policy alignment is clearly classical-liberal. He is is consistently more liberal than almost all of his fellow-travellers and has regularly exhibited a forthright commitment to democratic principles of the rule of law, of good constitutional practice and the importance of checks and balances. Even yesterday’s response conveyed lukewarm concern about the scope and extent of the act. But I take back all that defence of David’s character; and so, apparently, does David take back his commitment to those liberal principles.

Because this morning’s post on the CERRA is nothing short of cringing, snivelling partisan apologia for dictatorship dressed up as a simplistic classical history lesson. Dictatorship, it appears, is a-ok with David just as long as the dictator wears the right coloured tie. Where now are the lofty appeals to the principles of good governance, the shrieking about attacks on the nation’s constitutional integrity, the billboards bearing the endorsements of dictators? There are plenty around, including a very explicit homage to the Free Speech Coalition campaign which David fronted, but nothing from this erstwhile and self-proclaimed champion of democracy himself.

The fact that DPF is being schooled on both the principled and pragmatic problems with this bill by some of the more wide-eyed and reactionary members of his commentariat suggests that he has taken leave of his political instincts as well as his principles; for instance, the notorious ‘burt’, who urges him to consider what might happen if (due to the collapse of ACT) National fails to win the 2011 election and a Labour minister takes over from Brownlee; a possibility he and the government had either not anticipated or don’t believe was worth considering. Nothing would be sweeter irony, but either way: David’s credibilty on these matters is up in a cloud of Tory-blue smoke; a legacy destroyed by unprincipled partisan loyalty. Such is the price of political dependence.

Update: Similar sentiments from Peter Cresswell, Danyl Mclauchlan and The Standard, from whom I purloined the image.)

Another update: More angels required to dance on DPF’s pinhead.

L

No democracy on the honour system

This morning I posited a conspiracy theory that the government would use the temporary deregulation measures undertaken in response to the Canterbury earthquake to progress another tranche of wide-ranging reforms to the resource management regime and building and construction industries after the 2011 election.

Absurdly, if the Canterbury Earthquake Response and Recovery Bill is passed without very extensive amendments of the sort proposed by the Greens and voted down by both major parties (it’s going through all three stages right now), then all that and much, much more could happen this week, no election required, and without any review by the courts. The executive powers granted to the relevant Minister (that’s Gerry Brownlee) in this bill are so sweeping as to permit him to do almost literally anything as long as it has something to do with quake recovery — amend or suspend almost any piece of legislation, overturn any electoral decision — really, Dean Knight, Graeme Edgeler and Andrew Geddis (themselves no wide-eyed conspiracy nuts) are just three of the constitutional law experts who are boggling at the possibilities; Idiot/Savant is also much more than usually incandescent, and Gordon Campbell pulls few punches, either. Geddis says the law gives him “a case of the screaming collywobbles”. How’s that for a technical term. Their argument — contra government speakers such as Nick Smith — is that, because there is no real oversight to test whether actions taken are “reasonably necessary or expedient for the purpose of the Act”, the bill’s scope is not strictly limited in black-letter law to those matters, nor indeed to the region impacted by the quake, and the minister and his commission basically enjoy immunity. These are sweeping powers such as those which might be accorded an executive head of state in a command-government situation such as a major war.

Not would happen, mind. I don’t think anyone genuinely thinks Gerry Brownlee will decriminalise murder, approve mining across all schedule 4 land, enact wartime conscription or overrule the results of the forthcoming Supercity election. I don’t. But the point is (assuming Dean Knight knows what he’s talking about) that Brownlee can. Or will be able to tomorrow, until April 2012, which astute readers will note is a good half-year after the next general election must be held. There are no real checks or balances, much of the actions taken under this legislation are able to be taken in secret, and actions taken will not — at least on paper — be subject to judicial review. This means that we are relying on Gerry Brownlee to not be evil. But democracy doesn’t work on the honour system. It can’t. It doesn’t work on the basis that you give a government power in the hope that they use it legitimately; you give it power on the basis that you have the authority and ability to wrest it back from them if they misuse it, and on the assumption they will misuse it. The honour system is fine for bouquets being sold at the cemetery gates. It’s no basis upon which to run a country.

As I’ve often argued here and elsewhere, what sets liberal democracy, with all its failings, apart from authoritarian systems is the ability for the electorate to transfer power by the exercise of these sorts of checks and balances. Under orthodox authoritarian socialism for examplem — more or less the only form of socialism ever fully implemented on a nationwide scale, in the USSR and China, for instance — the transitional dictatorship is empowered with the sole authority and means to put down any such counter-revolution as might endanger the transition to genuine communism; and because of this, the dictatorship enjoys impunity. It has no reason to work in the interests of the people it purports to serve, inevitably becoming inefficient, corrupt and brutal. (Thus, the problem with socialism is authoritariansm which accompanies it, not so much the economic aspects, but that isn’t my point here).

The Canterbury Earthquake Response and Recovery Bill, of all the ridiculous things, brings into being the potential for just such a regime in New Zealand, and we can only hope it is not used to that effect. It is a colossal, hypervigilant overreach. And if any ill comes from this, Labour — and even the Greens and the māori party — will bear as much responsibility as National; they are all supporting it out of “unity”.

Where now are those who railed against the Electoral Finance Act, who speculated darkly that Helen Clark might not relinquish power after the election, or might suspend the operation of the free press; who shrieked about the Section 59 repeal; against ‘Nanny State’ and the illusory Stalinism of lightbulbs and shower heads, drink-drive limits and alcohol purchase ages and compulsory student union membership? Here the papers are being signed to dismantle robust constitutional democracy right under our very noses, and there’s barely a whimper.

(Updated to add Lyndon Hood’s fantastic image of Brownlee VIII, link to Campbell’s article, and tidy the post up a bit.)

L

Just don’t think about the offspring

Misery acquaints a man with strange bedfellows, and so it is that Chris Trotter finds common cause with Peter Cresswell in selectively revising the story of Ngāi TÅ«hoe to frame them up as our very own Khmer Rouge, and the Tino Rangatiratanga movement as the mortal enemy of civil society as we know it. I do not seek to defend Te Kooti and his followers: it’s not necessary to do so to abhor the brutality of the Crown response. But even that isn’t the point of this post: I’ve covered that ground before. The point is that their reading is anitithetical to the ongoing development of a peaceful and modern Aotearoa.

Both frame up the Crown position as a matter of swordright — TÅ«hoe ‘picked the wrong side’ in their war and were justly punished for it. Should have been punished more. Both Chris and Peter seem to be of the view that the Crown would have been entirely justified in leaving not one stone upon another, not one man, woman or child alive. And more than a century later, based on their own (conveniently one-eyed) assessment of incidents surrounding Te Kooti’s succour in Te Urewera, they argue that TÅ«hoe still deserve whatever they get: nothing if they’re bloody lucky. Frankly, I expect this sort of thing from permanent-state-of-jihad Objectivists; not so much from an actual historian claiming the mantle of a peace-loving social democrat.

Because the end justifies the means, you see. The brutal and systematic dispossession and wholesale slaughter of Māori throughout Aotearoa was perhaps unfortunate, but necessary in ‘civilising’ the uncivilised hordes of savages found here by the noble white man of 1840. I asked Chris a while ago whether he thought that NZ would have been better off if Europeans had just landed with boatloads of armed soldiers and done to the natives what they did in the rest of the world. He responded by saying I was “not mentally wired for this sort of historical argument.” But I guess I have a fuller answer now.

These are people who claim to want to ‘move on’ from our colonial history, for Aotearoa to become ‘one nation’. But doing so on the basis of swordright cannot result in a nation of two people joining together as ‘iwi tahi tatou’, but of one people who set the rules and another who live by them; the former wielding the righteous sword of civilisation, the latter’s efforts to work with the former rather than under them cut down by it, and even their efforts to work within the rules viewed with eternal suspicion and distrust. This is beyond misery — it is ignorant, paranoiac hatred and fear of ghosts long passed which has brought these two bedfellows together. Just don’t think about the offspring they might bear.

Update: Fresh approval from PC.

L

Unions are to capitalism what opposition parties are to government.

In the debates about the proposed labour law reforms there appears to be fundamental misunderstanding or ignorance by National and ACT of the purpose of unions in capitalism. The latter are seen by NACT as at best a source of inefficiency and profit loss; at worst parasitic wealth destroyers. They appear to misunderstand that capitalism left to its own devices, with no collective counter-weight provided to workers, is akin to a political regime without opposition parties. That is, it is inherently an authoritarian status quo in which owners rule and workers obey. Thus, if we hold it self-evident that democracy is a better form of regime than dictatorship precisely because it allows for the existence of a freely organised competitive political opposition that can contest power and times compete for it, then we must also recognise that capitalism needs unions in order to be representative and fair to the society at large. The trade off between democracy and capitalism is exactly that: a diminished rate of exploitation in direct proportion to the measure of voice exercised by workers in pursuit of a fair share for all.

That is why unions were organised in the first place: to bring a subordinate group vehicle of voice and redress to the economic system. Whatever their very evident flaws (Leninist organisation, iron law of oligarchy bureaucratic rationales), unions provide a democratic counter-weight to unfettered capitalist exploitation. Just as it is preferable not to have a closed, unaccountable (or at least vertically unaccountable) oligarchical elite run the affairs of state, so too is it undesirable, from a democratic perspective, to have a closed, vertically unaccountable economic elite determine the social relations of production. If one believes in democratic capitalism, one must believe in a central partnership role for unions within it.

This is true whether labour-based or capitalist-oriented parties are in power, since in capitalist societies the material welfare of all is dependent on the investment decisions of capitalists. But capitalists need workers to realise their investment, and workers need to be productive for profits to occur. There is consequently a structural bias in favour of providing the working conditions and larger social context in which profitable production can occur over the long term. For that to happen workers need to accept the system as given, which is a function of them perceiving a partnership stake in it. That means a modicum of voice and representation. Democratic capitalists consequently understand the need to exchange super-exploitation and authoritarian control of the workplace for increased working class representation in both politics and production. In turn workers (and their political representatives) accept the capitalist foundations of society and the dominant role of capitalists within it (in other words, they forego a move towards socialism). This exchange is at the heart of democratic capitalism. Although negotiating the margins of the democratic capitalist social contract can occur depending on the nature of the government in power, “touching the essential” aspects of it is not.

Authoritarian capitalism offers many short term advantages to business, but it does not guarantee long term gains. Unmitigated authoritarian exploitation, be it in the workplace, politics or both, breeds resentment. Born of a lack of consent to the dominant system, resentment can be manifest in everything from petty acts of social defiance to industrial sabotage to revolution. Short term acquiescence may be bought with material rewards, but the long-term picture remains clouded so long as workers do not buy in to the system as given and instead resent their subordinate status in it. Absent mass consent and given the inevitability of working class resentment, the resort to the “weapons of the weak” negatively impinges on profit, if for no other reason then that the costs of repression grow larger the longer authoritarian control is maintained. After all, you cannot repress the same amount of people in the same measure over time.  Since capitalists abhor uncertainty and seek stable rates of secure return, a peaceful, consent based socio-economic and political order is preferable to an imposed one. That gives economic utility to democratic capitalism.

In fact, where democratic capitalist systems work best (hegemonically, as it were), many if not most workers strive to become capitalists themselves (small businesspersons, at a minimum). They see themselves on a continuum of upward mobility based on workplace fair play and merit. Socialism is not their preferred option. The proof is in the mythos: is this not the Kiwi, Ozzie and American dream?

Here is where NACTs reforms and the demands of the employer class says much about their true orientation. They claim belief in freedom of choice and the benefits of market competition as the great levelers of social ambition. If that were true, then they would welcome workers to freely organise without legal constraint or negative repercussion because true market competition and workers freedom of choice would improve overall economic (labour) market efficiency. After all, according to their own logic, the market works best when all have equality of opportunity, and it clears best when all actors enter into the market exchange exercising their full potential as free agents involved in the mutual supply and demand of goods and services. So if workers exercising their free choice want unions, then more the better from a market perspective. Why put constraints on that freedom?

Yet in practice NACT seeks to place constraints on working class collective choice and voice so as to better exercise owner/manager prerogatives in the workplace. They are, in other words, hypocrites who do not really believe in the power of the free market or closet authoritarians out of ignorance (unlikely) or by design. Or both. No amount of political spinning can disguise that fact.

What is more, NACT does not appear to comprehend, from a cynical perspective, that allowing for unionisation, including union workplace access, while reducing limitations on the right to strike and collectively bargain across economic sectors can actually serve very usefully as an alienation device in which workers are led to believe that they are real partners in production in a system in which the fruits (surplus value) of their labour are appropriated by others (in a variant of Lenin’s “democracy as capitalism’s best possible political shell” argument). Although unfettered collective action has the potential to open the door to worker challenges to control of production, the reality is that in democratic capitalism private ownership is reified from birth to grave and most workers live with the dream of being bourgeois in culture and consumption if not employment. So whether cynically or sincerely committed to workplace democracy, enlightened capitalists understand the long-term political utility of union representation in democratic society. NACT and its business supporters appear to be anything but enlightened.

As I mentioned in my previous post on the matter (“The Blues Go Black”), the proposed reforms owe their inspiration to the Pinochet Labour Code. The question is whether NACT have the same view of unions as Pinochet and “Pepe” Pinera did, and if so, why do they make any pretense as to being democratic? Could it be that what we are seeing in NZ is the first attempts to turn the economic bases of the democratic social contract into something akin to unchecked elite imposition under manipulated electoral conditions?

The Blues go Black.

The announcement that National will undertake labour legislation reform has revealed the dark side beneath its happy face veneer. Riding high in the polls and 14 months before having to call an election, the Key-led government has dropped its populist pretense and unveiled its anti-worker credentials with the thrust of its proposed reforms. It also violates a 2008 campaign promise not to substantially revise the Employment Relations Act (ERA). In fact, the reforms are a return to the old Employment Contracts Act (ECA), one of the most draconian, overtly authoritarian pieces of labour legislation seen in the modern liberal democratic world. Rather than address all of the proposals, to include making dismissals easier, narrowing the scope of personal grievance claims and extending the 90 day probationary period to all industries, I would like to focus here on just one: the proposal that unions must secure the permission of an employer before accessing a work site. 

Due to the asymmetric power relationship between employers and workers, collective action is the best way for the latter to secure rights and protections within the productive process. Collective action requires organisation, and the ability to organise is contingent on the ability of prospective agents to access workers in an effort to persuade them to act collectively in defense of their common interests. Access does not mean compulsory membership or even recruitment success. It just means that prospective collective agents have the ability  to approach workers at their work places in an effort to organise them collectively.

Under International Labour Organisation Convention 87 on freedoms of association, such access is defined as an absolute democratic right for both workers and agents. In fact, it is a cornerstone of most democratic labour legislation that employers not have the right to interfere with the right of workers to organise, including organisation efforts by collective agents such as unions. Thus National’s proposal that unions must secure employer consent before approaching employees on a work site, and that such consent must not be withheld “unreasonably” (with the definition of reasonable left purposefully vague), is a direct violation of one of the most cherished international labour standards.

There is a historical precedent for this move, and that is where National’s real darkness shows. The 1991 ECA entered into law by the Bolger government had exactly such provisions. In 1993 the ILO upheld a complaint that the ECA violated convention 87 on rights of association as well as convention 98 on freedom to bargain collectively. The Bolger government ignored it and it was not until 1999, after the 5th Labour government came into office, that the more egregious anti-worker sections of the ECA were eliminated in the revamped ERA.

National’s black side runs even deeper. The ECA explicitly borrowed many of its provisions directly from the 1979 Chilean Plan Laboral. The Plan Laboral was the Pinochet dictatorship’s labour code, and was championed by its then Labour Minister Jose “Pepe” Pinera, the father of the current Chilean president. Under the pretense of promoting “labour market flexibilisation,” the Plan Laboral was an outright assault on the Chilean union movement, using both structural as well as politically-focused clauses to atomise the Chilean working class and forever break union influence on economic decision-making. To a large extent, and even with subsequent reforms by successive post-Pinochet democratic governments, it largely succeeded in doing so.

Pepe Pinera, somewhat unsurprisingly, was a friend of Roger Douglas and made regular Business Round Table visits to NZ in the 1980s and 1990s before his death. Ruth Richardson, the main instigator behind the ECA, was also an admirer of Pinera. These two individuals, with their direct and immediate past dictatorial connections and coalition relationship with National, are believed to be the prime movers behind this attempt to return to the ECA as the framework in which the social relations of production are determined. In other words, National is proposing changes to the labour relations system that have their origins in the Pinochet dictatorship, and which were suggested by people with direct links to that dictatorship. Beyond the violations of ILO convention 87, that alone should give reason for concern.

Hence, while some of the other proposed reforms can be the topic of honest debate keeping in mind where the balance between efficiency and fairness in production should be located, the attempt to curtail union access to workplaces is an overt assault on working class collective rights. This proposed clause is not about getting unions to ring employers up in order to make an appointment to see employees. This is about shutting them out.

It remains to be seen if this time around the CTU and other mainstream unions will offer more than token resistance to these proposals (as was the case when the 90 day probation period was introduced). It also remains to be seen if the NZ working classes will do anything other than bow meekly to the powers that be. But if ever there was a moment to rise up against the resurgent union-busting, anti-worker tide, that time has come. Remember: the reforms embodied in the ERA where at best minor adjustments meant to “humanise” the ECA. But the thrust of NZ labour law under the ERA was by no means a bold step towards worker’s control of production, and in fact retained much of the pro-business biases of its predecessor. Thus the current labour reform proposals are very much about putting the boot into the working class, and the union movement in particular.

It may take defection from mainstream, Labour-affiliated union ranks to more independent and militant unions for any effective resistance to happen, but whatever the case, if the worker’s movement stands silent on this one, then further rollbacks of worker’s rights can be expected the longer National is in power. For workers, those will be dark days indeed.