Sunday 18 May 2003

Soul Searching

The Malta Independent on Sunday

When objectives get missed with nauseating repetition soul searching is obligatory. Labour has failed to get a majority of voters endorsing its policies 5 times from the last 6 elections.

Labour’s soul searching must be deep and thorough.

And it is vital to start from the very beginning by asking what reasons does the MLP exist for. What are its principles? What is its raison d’etre? Are these principles still relevant to the majority of the electorate or have they become irrelevant thus explaining why majority support has become so elusive?

Labour’s principles are those of social justice within a social democratic framework of a market economy and the goal of peace in our region to which we can best contribute by a policy of active neutrality.

“The social justice principle remains relevant for whatever level of economic development the country manages to achieve.”
Are these principles still relevant?

The social justice principle remains relevant for whatever level of economic development the country manages to achieve. The risk is that the more open and market based the economy becomes, the harder it would get for the lowest segment of society to maintain a decent standard. As purchasing power increases generally through economic development and progress, prices are pushed up in a way which suppresses further the protection of those who are unable to participate in the economic benefits of the development through the market mechanism.

A Social Democratic party like Labour must make it its primary mission to continue defending the interest of the unprivileged in society ensuring that economic benefits are routed through taxation and social services to provide them with a minimum level of protection. In doing so it must ensure that social service are not too generous as to create a disincentive for those who can earn their way by participating in the market economy, nor too low to deny access to a decent standard of living to those who genuinely cannot help themselves through the market economy.

Certainly the principle of social justice is still relevant and I do not think that it has been a show stopper that can explain Labour’s loss. Nobody likes to pay taxes even if these go to help fellow citizens who cannot earn their way through market economy activities. But each and everyone of us has a relative that is on state pension, an acquaintance that is genuinely out of job through sickness or skill obsolescence, and we ourselves would not sleep too well if we perceive disintegration of the social net that should give us protection in our old age or in case of earlier mishap.

As for regional peace within the context of active neutrality I dare say that these concepts are fading from focus of the population. They are taken for granted many not understanding what all the fuss is about. The last international incident which was too close for comfort was the US attack on Libya in 1986 and since then we have thankfully been allowed to focus on internal administration of the country without the risk of external threat or of collateral damage from regional turbulence.
“What should be a matter of principle for Labour is that even from the Opposition it should ensure that government delivers on its promise to work within the framework of EU membership to enhance our statehood, our sovereignty and our Constitution.”
So it might be difficult to raise political awareness about the value of neutrality among those who have no idea of what it is like living on an island military base or with threat of war or instability destroying the tranquillity necessary for sustainable economic development and the attraction of investment.

Yet peace is an objective which remains close to the heart of the majority of electorate that have a family to raise. Although it might get harder to explain why neutrality and regional peace are dependant on each other it is not something that can be a source of party division given that the Constitution obliges government to maintain and promote neutrality as a tool for achieving regional and international peace.

Where Labour needs to pay more attention to is in areas which are more tactical rather than strategic and which Labour erroneously raised to strategic level. Labour have elevated issues to the level of principles which indeed are no principles at all and have consequently been dismissed by an electorate that could not perceive common thinking with Labour notwithstanding commonality on the other principles of social justice and regional peace in the context of active neutrality.

Here I should make particular reference to two issues, namely VAT and the EU membership. Both were wrongly elevated by Labour to the status of sacred socialist principles whereas in fact they belonged clearly to the field of tactical operations. There is nothing unsocial about VAT if it is simply used to replace a similar system of indirect taxation. If anything VAT is more social as it brings into the taxation net services used by the more well off in society which were previously tax free thereby permitting lower indirect tax rate on essential products used by the lower strata of society e.g. appliances, clothes etc.

Even Labour’s EU positioning had no credentials for elevation to the status of principle when EU members countries generally operate a social democratic market economic model and government gave repeated assurances that neutrality provisions in the constitution will be fully protected through EU membership.

What should be a matter of principle for Labour is that even from the Opposition it should ensure that government delivers on its promise to work within the framework of EU membership to enhance our statehood, our sovereignty and our Constitution.

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