A new year, a new Bill?

The last few weeks have been good for Bill Shorten. He’s been increasingly bold, has set the agenda and gotten favourable public response, putting the Coalition government on the backfoot. The polls have tightened, with two (Newspoll and Essential) recording 50-50 2PP.

Malcolm Turnbull meanwhile has been struggling. While expectations about Shorten have been extremely low, even among the party base, for Turnbull expectations are sky-high — and he is not living up to them. He is constrained by trying to keep the peace in his party room, fending off leaks and backbench revolts. In the last few weeks alone, there have been leaks about the Defence White Paper and conservative uproar about the safe schools program.

Turnbull’s tax reform agenda, which was to be the centrepiece of his re-election campaign, is in shambles. Internal opposition led to the dumping of GST changes, and even modest changes to negative gearing are unlikely to get party room support. Bereft of a tax reform agenda, the government is caught between indecision and reaction.

Even with all this going on, Labor knows that a small-target strategy would not work against Turnbull. The negative gearing announcement made everyone pay attention because Shorten took a position that might be unpopular with some swinging voters in the electorate, challenging assumptions about his aversion to risk. Similarly, calling Senator Cory Bernardi a homophobe and replacing Joe Bullock with Patrick Dodson has caused people to start reassessing Shorten.

Negative gearing has been particularly potent because it is a policy that the party base really likes. Communication expert Anat Shenker-Osorio has argued that progressives should engage their base and persuade swinging voters, rather than cater to them and alienate their opponents. The Coalition’s policies on immigration and refugees did this; negative gearing does it perfectly for Labor.

It’s a sensible strategy. Since the Second World War, Labor has only won from Opposition three times, and in each case did so by having, a positive agenda with clear and distinctive ideas. With doubts growing about Turnbull, it gives Shorten an opportunity to outline clear and distinctive ideas.

The big danger here is that big policy announcements this early open Labor up to attack and give the Coalition time to respond. In addition to its proposed changes to negative gearing Labor has made big commitments on Gonski education reform. If Turnbull can create enough doubt about Labor, he can get re-elected. With the conservative wing of the Coalition making it difficult for Turnbull to outline and focus on a bold policy agenda, resorting to a fear campaign may become his only option.

But Labor needs to be bold and continue strengthening its narrative. A clear lesson from the British election is that a shopping list of appealing policies is not enough. Labor has sought to establish a narrative about the future and science, focusing on jobs of the future by announcing policies on coding, renewables and start-ups. But while this has potential, as evidenced by Turnbull’s attempts to neutralise it with his innovation statement, it has not been convincing, as yet.

People increasingly understand that change is necessary. They are worried about the future, not only out of self-interest but also out of concern for their children’s future and living standards. They want someone to be straightforward about the challenges we face, and have a plan.

Shorten’s speech at the National Press Club this week showed signs that he recognises this underlying public mood and that determining how to ensure a just transition in the face of big structural forces is shaping Labor’s thinking.

Digital disruption, the ageing population and climate change will have profound effects on Australia and the world. Most people understand we need to innovate and adapt, but they also want some security and certainty for themselves. Not everyone will benefit equally from disruption. There are some big risks, and intervention is necessary to ensure opportunities and burdens are fairly shared.

While Turnbull may be ahead as preferred prime minister, the Coalition has yet to demonstrate the principle of fairness — in government, let alone in their future plans. That principle of fairness is deeply held and widely felt across the electorate, as shown by the reaction to the 2014 Budget.

If Shorten can capture this mood, he has a chance of winning. Labor’s narrative needs to be not only that it is the party best equipped to deal with the challenges we face, but is the only party that can ensure any changes will be just and equitable. A plan for the future that is both convincing and seen as fair may end up being the difference between being in government and opposition.

Published in Eureka Street on 18 March 2016

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