WEBVTT - Immigration, gambling and big tech: Labor’s big policy push

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<v S1>I'm Jacqueline Maley, and you're listening to Inside Politics from

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<v S1>the newsrooms of the Sydney Morning Herald and The Age.

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<v S1>Today we're going to talk about gambling reform. We're going

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<v S1>to talk about immigration, and we're going to talk about

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<v S1>the news media bargaining code. Joining me from Canberra, we

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<v S1>have our chief political correspondent, Paul Satchell, and our chief

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<v S1>political reporter, Natassia Chrysanthos. Welcome to you both.

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<v S2>Good morning. Good morning.

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<v S1>Paul. Home Affairs Minister Tony Burke was due to give

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<v S1>a speech to the Press Club on Thursday to unveil

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<v S1>the government's new immigration policy, but he was a late cancellation.

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<v S1>What happened?

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<v S3>Yeah, this was a curious one, Jack. For a government

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<v S3>that prides itself on its kind of coherence, cabinet process

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<v S3>and adult managerial style, this was an odd moment that

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<v S3>you don't often see from this labor administration. So the

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<v S3>Prime Minister is away on leave. He has, I think,

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<v S3>4 or 5 days off. He's with his wife, Jodie.

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<v S3>The acting prime minister, Richard Marles, said the other day

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<v S3>that he often encourages the prime minister to take more

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<v S3>leave than he does. But he's a workaholic, so never

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<v S3>agrees with with the suggestion. But perhaps the Prime Minister

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<v S3>should have stuck around this week, because the perception is

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<v S3>that the one week when the PM misses a cabinet

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<v S3>meeting which was held on Monday, the whole show goes

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<v S3>off the rails. Now, that's a simplistic interpretation of what's

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<v S3>happened here. It's far more complicated, and that would be

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<v S3>a cynical view. But that is one view out of this,

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<v S3>that on a Monday, um, scheduled cabinet meeting, there was

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<v S3>an important debate on Tony Burke's big immigration announcement, which

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<v S3>was due for Thursday, as you said, and the debate

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<v S3>got a bit messy. There were concerns from some ministers

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<v S3>that there would be lots of left wing blowback on

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<v S3>pushing too hard on the migration question, potentially aping Hanson

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<v S3>questions around family reunion visas, which tasks will get to

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<v S3>in a sec, and also some unresolved policy implications about

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<v S3>how lower migration numbers would feed into the budget and

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<v S3>the workforce question, particularly at a moment when there are

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<v S3>labour supply issues. So a decision was taken, I'm told,

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<v S3>by Burke. Others say there was a view from the

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<v S3>Prime Minister, who chipped in from leave that this should

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<v S3>be delayed until next week or the week after to us.

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<v S1>Tony Burke was expected to announce that they were going

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<v S1>to bring net migration down by 75,000 people a year,

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<v S1>and migration numbers have been climbing, climbing. They sort of

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<v S1>went on a spike after the pandemic when people couldn't

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<v S1>get in, and then people sort of rushed in after that.

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<v S1>I just want to ask, what are the main visa

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<v S1>classes that Labour is proposing to restrict?

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<v S4>Yeah. So I think what's just to go back one step,

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<v S4>I think what's interesting is that reduction in the migration

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<v S4>programme by 75,000 people is already kind of baked into

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<v S4>the budget. That's already the forecast. So at the moment,

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<v S4>the annual overall net migration intake is about 300 000 people.

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<v S4>The budget papers say this is going to get down

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<v S4>to 225 000 people within two years time. So the

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<v S4>the lower number is there and has been there for

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<v S4>a while. The issue is that Labour never meets the

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<v S4>lower number. So we've actually got quite an interesting debate

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<v S4>where it's not actually about setting a new number or

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<v S4>setting a lower number. It's about how do we actually

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<v S4>get to that number? Because at no point have they

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<v S4>been able to. And this is where we have to

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<v S4>we this is where the government have to have more

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<v S4>serious conversations, I suppose, about policy settings and where sections

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<v S4>of the migration programme need to be tightened. So that

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<v S4>that's actually achievable, because this constant overshooting of migration forecasts

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<v S4>has become a political problem for Labour. Mhm. So and

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<v S4>this is then when we get to this question about,

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<v S4>well which visa classes do you go to. Um I'll

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<v S4>try and do a migration programme in a nutshell. But

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<v S4>essentially um there's temporary visa holders. There's permanent visa holders.

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<v S4>There are two different streams, the permanent visa holders. That

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<v S4>is a set number of people each year, about 185,000.

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<v S4>A lot of them are already in the country. Um,

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<v S4>so the big pressure on the overall migration um intake.

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<v S4>And that net intake comes from temporary visas because that's

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<v S4>people coming in each year. A lot of those visa

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<v S4>classes are demand driven. They're not capped. So working holidaymakers backpackers,

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<v S4>that's a special class of visa, but they're not capped.

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<v S4>So they could realistically, you know, balloon by 100,000 people.

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<v S4>If 100,000 young British people decided they want to come

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<v S4>to Australia one year a similar with New Zealand as well.

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<v S4>So the issue for the government is figuring out, okay,

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<v S4>how can we clamp down or issue more controls on

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<v S4>that part of the temporary visa system? Um, another kind

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<v S4>of class of temporary visa that has blown out is

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<v S4>bridging visas. Now, these are people who come here on

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<v S4>a temporary visa, want to apply for another visa, kind

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<v S4>of get stuck in a bit of administrative limbo, um,

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<v S4>while applying for a visa, a visa, um, and then

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<v S4>get this kind of visa to hold them over. Now

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<v S4>we have more than 400 000 people in that category

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<v S4>at the moment, which is far higher than it's ever been. Um,

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<v S4>a big issue is how for the government, how do

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<v S4>they take people out of that backlog and either kind

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<v S4>of get them to go home or streamline moving them

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<v S4>into other visa classes. And that's where now there's a

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<v S4>conversation about how people can apply for family visas, for example, students,

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<v S4>asylum seekers, backpackers.

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<v S1>So it seems like there's sort of three main groups

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<v S1>that they're going after, if that's the right verb, the

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<v S1>asylum seeker, working rights and appeal rights and backpacker visas,

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<v S1>as you mentioned, and also family reunions. That's certainly what

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<v S1>was briefed out ahead of Burke's non-appearance at the Press Club,

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<v S1>which is, of course, just been postponed. I want to

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<v S1>ask you both about the pressure points for labor, because

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<v S1>on the one hand, they do have business groups who've

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<v S1>come out and said businesses depend on backpackers and particularly

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<v S1>on skilled migrant intake, and I guess secondarily on family

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<v S1>reunion visas, because that helps attract people, attract the best

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<v S1>talent to Australia. So Paul, just talk about the pressure

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<v S1>points for labor. There's business and there's also some of

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<v S1>the electorates, the home electorates of the MPs.

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<v S3>Totally, I. There's probably no area of government policy where

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<v S3>there are more trade offs than the immigration space, I think,

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<v S3>and really sharp imperatives on either side. As you mention,

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<v S3>there's big pressure from the business groups today in the

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<v S3>newspapers saying don't go too hard and fast here. We've

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<v S3>got labor shortages everywhere, and we need these numbers to

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<v S3>remain high. Otherwise, um, you know, wages will be unsustainable.

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<v S3>It's bad for the economy. Um keep the, keep the levels,

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<v S3>you know, at a, at a reasonable rate. On the

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<v S3>other hand, Labor's confronting an electorate that's becoming increasingly uneasy

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<v S3>on this question. There's no policy, uh, topic on which

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<v S3>Hanson has a bigger lead on Angus Taylor and Anthony

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<v S3>Albanese than and on migration. She's the clear leader in

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<v S3>terms of trust on that issue. And even though the vast,

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<v S3>vast majority of Labor's voting base has not followed the

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<v S3>Jacinta Price online right into adopting fringe rhetoric around mass

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<v S3>migration and replacement theory, there is a growing view that

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<v S3>Labour ministers are very acutely aware of in the community

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<v S3>that the high levels of migration post the pandemic, when

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<v S3>borders were shut, there was a natural correction, have led

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<v S3>to increased strain on services, have exacerbated the housing crisis

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<v S3>and have generally led to a flatter economy. People are

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<v S3>blaming that topic, accurate or otherwise. Yeah, the tension for

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<v S3>Labour is that its voting coalition is underpinned in significant

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<v S3>part by migrant communities and people from non-English speaking backgrounds.

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<v S3>Labor caucus members have been surprised in recent months at

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<v S3>how many non-English as their first language voters are shifting

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<v S3>to Hanson, so they don't think there is a don't,

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<v S3>you know, assume there is a monolithic group here that

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<v S3>looks at Hanson and another group that rejects her. But.

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<v S3>So they're trying to tread this path of acknowledging this

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<v S3>serious concern around the migration program, which is feeding into

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<v S3>broader cost of living unease at the same time as

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<v S3>not going to not not betraying that migrant voting bloc,

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<v S3>which once labor to retain a sense of compassion in

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<v S3>its rhetoric and language.

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<v S1>Well, also, I think for a lot of people, you know,

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<v S1>in particularly in the electorates, that some of the cabinet

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<v S1>ministers hold in the south west of Sydney, it's it's

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<v S1>a very real pressure for them because they have enormous

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<v S1>migrant communities there. And the migrant communities are particularly interested

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<v S1>in the family reunion visa stream, and they don't want

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<v S1>to see it restricted. We had a really nice piece

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<v S1>from Mustafa Rajwani, who's one of our reporters who went

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<v S1>out to Watson, which is Tony Burke's electorate was in

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<v S1>in the paper on Thursday, and he was interviewing people saying,

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<v S1>you know, we want our families here. And, you know,

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<v S1>the government should be bringing families together, not trying to

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<v S1>keep families apart in its immigration processes. I want to

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<v S1>move on to gambling advertising reform tasks. You've been covering this.

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<v S1>We had a couple of days of Senate committee hearings

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<v S1>where the gambling, gambling company bosses and lobbyists were grilled,

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<v S1>and some quite lurid allegations were aired about the tactics

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<v S1>of these companies. What were some of the things the

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<v S1>hearing heard?

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<v S4>Mhm. So we had on the it was the first

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<v S4>opening session of the inquiry on Monday. Um, gambling reform advocates,

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<v S4>people with experience of gambling harm and gambling addiction themselves

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<v S4>gave evidence. Um one of those was Luke Bateman, former

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<v S4>NRL player who's now more known, I believe, as a

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<v S4>potential fantasy fiction author. He's big on BookTok.

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<v S3>Fanfic.

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<v S4>Guy. Yeah, he's really good. He's just gonna be on

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<v S4>he's got a two book deal.

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<v S5>Oh, wow.

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<v S4>Yeah, yeah.

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<v S1>So he's become a book influencer.

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<v S4>Yeah. And he's got a really, um, yeah, like a

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<v S4>really significant kind of footprint influence around, around, I would

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<v S4>say kind of Gen Z millennial Australians. So having someone

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<v S4>like that, I think front the inquiry, someone who's been

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<v S4>like deep in the world of sport now kind of

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<v S4>talks to a very different audience, speak so candidly about

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<v S4>his experience. Um, and he described, You know, in the

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<v S4>depths of his gambling addiction in his early 20s, being offered,

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<v S4>you know, thousands of dollars worth of free bonus bets

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<v S4>to keep him betting he was stealing from his mom

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<v S4>and his, um, his siblings and his partner for that

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<v S4>being offered kind of whatever drugs he wanted. Um, by

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<v S4>betting companies being flown into state for events. And then

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<v S4>he described one event where he said he was in

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<v S4>a room, basically with the entire C-suite of this betting

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<v S4>company all doing drugs. So he was saying, you know,

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<v S4>these companies are very aware of that culture and the

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<v S4>tactics they use. Um, and this was among other evidence

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<v S4>as well, other people in the inquiry said, you know, yeah,

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<v S4>we hear this all the time. Then we had the

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<v S4>peak body, uh, responsible Wagering Australia, uh, Sportsbet, Tabcorp come

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<v S4>in the next day and say, we have no evidence

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<v S4>of this whatsoever. If other people do, they should report

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<v S4>it to the police because that's illegal.

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<v S1>I think one of them said the immortal line, this

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<v S1>is not part of our offering, which I liked. So

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<v S1>they're basically saying if these tactics are used or inducements,

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<v S1>I think they're called euphemistically, then then they're illegal and

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<v S1>they're not they're not they're not condoned by the companies.

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<v S1>And they they said they hadn't actually seen any evidence

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<v S1>apart from the guy who was giving evidence saying these things.

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<v S4>And on that inducements euphemism, which you just picked up,

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<v S4>which is interesting, the betting companies drew drew a line.

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<v S4>So inducements are kind of colloquially these things that encourage people,

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<v S4>you know, to bet.

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<v S3>They're not drugs. Just to be clear, they're ads, the

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<v S3>ads which say if you sign up, we'll give you

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<v S3>a $50 bonus bet.

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<v S4>Yeah. But for the purpose, I guess, of the discussion,

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<v S4>it's anything that could induce someone. Right? So the drugs

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<v S4>were being brought into this into this conversation, which which

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<v S4>the betting companies were like, whoa, whoa, whoa, that's not inducements. Um,

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<v S4>but the Murphy report, which is the kind of gambling

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<v S4>reform advocate, gold standard for gambling reform, recommended an immediate

0:11:49.990 --> 0:11:53.230
<v S4>ban on inducements. Again, more the inducements of the kind

0:11:53.230 --> 0:11:56.630
<v S4>of like here's a free $10,000 batted away so forth.

0:11:57.030 --> 0:12:00.320
<v S4>The Albanese government's legislation does not touch this. So this

0:12:00.320 --> 0:12:02.520
<v S4>has emerged as one of the bigger missions in the

0:12:02.520 --> 0:12:05.920
<v S4>gambling package. Yeah. Um, just to go back, the gambling

0:12:05.920 --> 0:12:09.240
<v S4>companies drew a clear line. They said, look, there's inducements

0:12:09.240 --> 0:12:11.959
<v S4>which are these free bets? Um, or the racing industry

0:12:11.960 --> 0:12:18.520
<v S4>called them generosities. Yeah. Um, there's so sorry. Yeah. They

0:12:18.520 --> 0:12:22.560
<v S4>called them promotions and generosities. Yeah. Then they said inducements.

0:12:22.559 --> 0:12:26.040
<v S4>They described inducements as something like offering people to sign

0:12:26.040 --> 0:12:28.160
<v S4>up and recruiting new members. And they said, we're not

0:12:28.160 --> 0:12:29.960
<v S4>allowed to do that. We don't do that. And then

0:12:29.960 --> 0:12:34.000
<v S4>they said, yeah, offering of drugs and escorts is just illegal.

0:12:34.000 --> 0:12:37.520
<v S4>So they're talking about the grey area is now, okay,

0:12:37.760 --> 0:12:41.240
<v S4>should these promotions where someone. And there was another example

0:12:41.240 --> 0:12:45.240
<v S4>where someone had gambled $500,000 or $500,000 in a month,

0:12:45.240 --> 0:12:48.520
<v S4>and he was given $50,000 of free bets, should that

0:12:48.520 --> 0:12:50.800
<v S4>be allowed? And now this is an issue that the

0:12:50.800 --> 0:12:53.840
<v S4>coalition has taken issue with.

0:12:53.880 --> 0:12:55.719
<v S1>Yeah. So just I just want to stop you there.

0:12:55.720 --> 0:12:57.679
<v S1>Just for the listeners who won't be familiar with the

0:12:57.679 --> 0:13:00.079
<v S1>gambling package as it is basically what the government has

0:13:00.080 --> 0:13:03.319
<v S1>put forward as their reforms. They don't touch this inducements issue.

0:13:03.360 --> 0:13:07.400
<v S1>They talk about advertising and they've sort of restrict gambling advertising,

0:13:07.400 --> 0:13:11.199
<v S1>like on prime time TV, basically between until 8:30 p.m.

0:13:11.240 --> 0:13:13.400
<v S1>you can only show three ads an hour, which still

0:13:13.400 --> 0:13:16.160
<v S1>seems like quite a lot of ads, and they haven't

0:13:16.160 --> 0:13:19.120
<v S1>really done much else besides. From what I can tell.

0:13:19.440 --> 0:13:24.040
<v S4>There's a couple of extra things around online and offshore

0:13:24.080 --> 0:13:25.520
<v S4>lotteries which.

0:13:25.559 --> 0:13:25.800
<v S3>Which.

0:13:26.200 --> 0:13:27.440
<v S4>Someone would argue kind.

0:13:27.440 --> 0:13:28.280
<v S3>Of lotteries.

0:13:28.320 --> 0:13:32.360
<v S4>Yeah. There's stuff around, um, sponsorships on jerseys and stuff.

0:13:32.360 --> 0:13:35.520
<v S4>But in terms of basically what people have been calling

0:13:35.520 --> 0:13:39.320
<v S4>for was a full advertising blackout on all platforms. And

0:13:39.760 --> 0:13:42.400
<v S4>that hasn't happened. It's this kind of limits across.

0:13:42.720 --> 0:13:45.480
<v S1>There's also the issue of online advertising, because so many

0:13:45.480 --> 0:13:49.360
<v S1>people bet online now and also children's exposure to advertising.

0:13:49.360 --> 0:13:51.240
<v S1>So basically there's a lot of people who are unhappy

0:13:51.240 --> 0:13:54.559
<v S1>with what the government's put forward there. Um, you know, independent,

0:13:54.559 --> 0:13:56.800
<v S1>some of the independents like David Pocock, the Greens don't

0:13:56.800 --> 0:13:58.410
<v S1>like it. And Now the coalition has said they're not

0:13:58.410 --> 0:14:00.970
<v S1>going to support the reforms either. So Paul, where does

0:14:00.970 --> 0:14:03.210
<v S1>this leave the reforms? Is the government going to work

0:14:03.210 --> 0:14:05.250
<v S1>with the coalition or the crossbench, or are they just

0:14:05.250 --> 0:14:06.010
<v S1>going to drop them?

0:14:06.929 --> 0:14:09.850
<v S3>It's a good question. Hard to predict. The Prime Minister,

0:14:09.850 --> 0:14:13.610
<v S3>though privately and he's alluded to this publicly, is not

0:14:13.610 --> 0:14:17.050
<v S3>for shifting. If people will recall, and perhaps our listeners

0:14:17.050 --> 0:14:20.170
<v S3>weren't following closely at the time, but this debate was

0:14:20.170 --> 0:14:23.010
<v S3>subject to years of to and fro in the Albanese

0:14:23.050 --> 0:14:25.690
<v S3>government's first term. There was a lot of pressure from

0:14:25.730 --> 0:14:29.770
<v S3>teal independent Zoe Daniel and others in the first term

0:14:29.770 --> 0:14:32.370
<v S3>of the Albanese government, particularly off the back of this

0:14:32.370 --> 0:14:34.890
<v S3>report by the labor MP Peter Murphy, who tasked just

0:14:34.890 --> 0:14:39.810
<v S3>mentioned to blanket ban gambling advertising. The Prime Minister was

0:14:39.810 --> 0:14:43.450
<v S3>resistant to this and really didn't really avoided it for

0:14:43.450 --> 0:14:46.330
<v S3>years leading into the last election, and then pulled a

0:14:46.330 --> 0:14:50.250
<v S3>proposal that was drafted by his then commerce minister, Michelle Rowland,

0:14:50.250 --> 0:14:52.530
<v S3>about a year out from the election and pushed it

0:14:52.530 --> 0:14:56.330
<v S3>out till this term. He came to it this term

0:14:56.330 --> 0:14:59.500
<v S3>with a more open mind, and realized that there was

0:14:59.700 --> 0:15:02.100
<v S3>quite a lot of angst in the labour base and

0:15:02.100 --> 0:15:06.700
<v S3>in the general progressive part of the labour movement, but

0:15:06.700 --> 0:15:09.780
<v S3>also more generally outside of the labour movement, that something

0:15:09.780 --> 0:15:12.700
<v S3>needed to be done here. But he's his conviction was

0:15:12.700 --> 0:15:15.740
<v S3>that he needed to find a middle road that satisfied

0:15:15.740 --> 0:15:19.460
<v S3>both both the big sporting codes, media companies like ours,

0:15:19.460 --> 0:15:22.460
<v S3>who draw a lot of wagering revenue as well as

0:15:22.460 --> 0:15:25.380
<v S3>the activists. In his mind, the activists were never going

0:15:25.420 --> 0:15:28.100
<v S3>to be satisfied with the government's response, so he wanted

0:15:28.100 --> 0:15:30.620
<v S3>to find something that find a middle ground that pacified

0:15:30.620 --> 0:15:33.020
<v S3>the issue and allowed the government to move on. Yeah,

0:15:33.060 --> 0:15:35.620
<v S3>the government really didn't want to have this inquiry. They

0:15:35.660 --> 0:15:37.620
<v S3>were annoyed behind the scenes that the great.

0:15:37.820 --> 0:15:40.380
<v S4>I think even that framing though of, you know, oh,

0:15:40.420 --> 0:15:42.980
<v S4>it's kind of the activist versus the code kind of

0:15:43.020 --> 0:15:46.540
<v S4>shows it potentially, you know, that might may well be

0:15:46.540 --> 0:15:50.300
<v S4>the Prime Minister's view. But I think it's, it's, it's

0:15:50.300 --> 0:15:52.660
<v S4>not your kind of bread and butter left wing activists, right?

0:15:52.700 --> 0:15:55.340
<v S4>Like there are a lot of people across, across a

0:15:55.340 --> 0:15:58.540
<v S4>range of experience. Yeah, yeah. And it's people with experience

0:15:58.540 --> 0:16:01.700
<v S4>of gambling harm and gambling addiction. And that doesn't discriminate

0:16:01.700 --> 0:16:03.780
<v S4>based on politics. And that's why I think it's interesting

0:16:03.780 --> 0:16:06.380
<v S4>that the coalition has bought into this issue. And there

0:16:06.420 --> 0:16:07.660
<v S4>are some people in the coalition.

0:16:07.780 --> 0:16:08.220
<v S3>The coalition.

0:16:08.420 --> 0:16:10.940
<v S4>Have. Yeah. Well, they've they've they've at least drawn a

0:16:10.940 --> 0:16:13.740
<v S4>line at this point. There's backbenchers within the coalition who

0:16:13.740 --> 0:16:17.020
<v S4>want it to go forward. I think the question will be, um,

0:16:17.180 --> 0:16:22.340
<v S4>how far the coalition pushes it. Um and if at

0:16:22.340 --> 0:16:24.780
<v S4>the end of the day, the government who has been

0:16:24.780 --> 0:16:27.460
<v S4>talking with the coal like Wells and Sarah Henderson, who's

0:16:27.460 --> 0:16:30.100
<v S4>the coalition communications spokeswoman, have been talking this week, I

0:16:30.100 --> 0:16:33.100
<v S4>think the question is, if they land a relatively modest

0:16:33.100 --> 0:16:36.060
<v S4>set of tweaks that the government is happy with, I

0:16:36.060 --> 0:16:41.180
<v S4>think dropping it all together for Albanese will create troubles

0:16:41.180 --> 0:16:44.060
<v S4>with his backbench and with the labor base, who just

0:16:44.060 --> 0:16:47.260
<v S4>last month put into the labor national platform and even

0:16:47.260 --> 0:16:50.980
<v S4>stronger position on gambling. So I don't really think dropping

0:16:50.980 --> 0:16:52.060
<v S4>it is.

0:16:52.420 --> 0:16:54.340
<v S3>He would want to do it. And because he wants

0:16:54.340 --> 0:16:56.100
<v S3>to sort this issue out and move on. Yeah, I

0:16:56.190 --> 0:16:59.470
<v S3>wouldn't underestimate the extent to which ministers and the Prime

0:16:59.470 --> 0:17:03.790
<v S3>Minister believe this to be a third or fourth order issue. Um,

0:17:03.830 --> 0:17:07.070
<v S3>if you talk to pollsters and party officials who speak

0:17:07.070 --> 0:17:09.350
<v S3>to voters in focus groups, they believe that this is

0:17:09.350 --> 0:17:12.109
<v S3>one of those issues that captures attention in Canberra, because

0:17:12.109 --> 0:17:15.310
<v S3>it's symbolic of the government's alleged lack of progressive instinct,

0:17:15.310 --> 0:17:17.030
<v S3>but really doesn't register out there.

0:17:17.350 --> 0:17:18.750
<v S5>So it's a kind of it's a.

0:17:18.790 --> 0:17:20.550
<v S1>It's a nice to have for some voters, but it's

0:17:20.550 --> 0:17:22.710
<v S1>not a bread and butter issue because with cost of living,

0:17:22.710 --> 0:17:23.990
<v S1>immigration and so forth.

0:17:24.310 --> 0:17:26.510
<v S3>Exactly. And that's, that's how the that's how the cabinet

0:17:26.510 --> 0:17:29.310
<v S3>sees it. And the view also from senior ministers.

0:17:29.310 --> 0:17:30.669
<v S4>Get some kind of deal done.

0:17:30.710 --> 0:17:32.310
<v S3>Yeah. They want to just get it done.

0:17:32.350 --> 0:17:32.870
<v S5>And square.

0:17:32.869 --> 0:17:34.670
<v S1>It away. Tas there is I mean, on the other

0:17:34.670 --> 0:17:36.909
<v S1>side of this there is, you know, the gambling, the

0:17:36.910 --> 0:17:40.550
<v S1>gambling companies, whether or not you believe this, this by

0:17:40.550 --> 0:17:43.790
<v S1>this they do say that if people don't gamble with

0:17:43.830 --> 0:17:47.510
<v S1>Australian companies, then they'll gamble online, you know, through illegal

0:17:47.510 --> 0:17:52.750
<v S1>gambling streams online. And there's also the issue of gambling

0:17:52.790 --> 0:17:55.990
<v S1>advertising is of course propping up or. It's an important

0:17:56.119 --> 0:17:59.040
<v S1>revenue stream for some of the media companies. Which brings

0:17:59.040 --> 0:18:01.760
<v S1>me to my next topic, because we're one of those companies. Nine,

0:18:01.760 --> 0:18:05.000
<v S1>which publishes the Sydney Morning Herald and The Age has

0:18:05.000 --> 0:18:08.880
<v S1>some gambling advertising on it, on its various platforms. It's

0:18:08.880 --> 0:18:12.639
<v S1>an important revenue stream for us. Uh, and this is

0:18:12.640 --> 0:18:15.119
<v S1>a time when media companies need all the revenue streams

0:18:15.119 --> 0:18:18.640
<v S1>they can get. The news media bargaining code is another

0:18:18.640 --> 0:18:21.280
<v S1>piece of legislation or draft legislation that the government's put

0:18:21.280 --> 0:18:24.440
<v S1>forward this week. The media companies are not happy with it,

0:18:24.440 --> 0:18:27.440
<v S1>or certainly big media companies, I should say like nine. Paul,

0:18:27.480 --> 0:18:29.480
<v S1>can you just tell us what this is about? Because, again,

0:18:29.520 --> 0:18:31.960
<v S1>it's a fairly niche issue that that maybe listeners won't

0:18:31.960 --> 0:18:32.919
<v S1>won't be familiar with.

0:18:33.280 --> 0:18:36.359
<v S3>It is it is niche. It's important because it pits

0:18:36.359 --> 0:18:40.399
<v S3>the government against very powerful stakeholders, both big media companies

0:18:40.400 --> 0:18:43.360
<v S3>in Australia, including ours and News Corp and Channel seven,

0:18:43.400 --> 0:18:48.119
<v S3>who can obviously wage campaigns against the government, which frightens, uh, ministers.

0:18:48.119 --> 0:18:50.840
<v S3>But also the Trump administration is a big stakeholder in

0:18:50.840 --> 0:18:53.520
<v S3>this one too. And the reason for that is Trump

0:18:53.520 --> 0:18:56.679
<v S3>has come into power with an agenda of protecting US

0:18:56.680 --> 0:19:01.280
<v S3>tech firms from any tax in either Europe or Asia

0:19:01.280 --> 0:19:05.040
<v S3>or Australia, which they believe are punitive attempts to, uh,

0:19:05.080 --> 0:19:08.399
<v S3>you know, eek into the to dig into the revenue

0:19:08.400 --> 0:19:11.959
<v S3>of US tech darlings and hurt the US's interests. So

0:19:12.160 --> 0:19:16.720
<v S3>they've been taking retaliation against, uh, European nations or at

0:19:16.760 --> 0:19:22.520
<v S3>least threatening retaliation against European authorities who have suggested digital taxes.

0:19:22.520 --> 0:19:27.320
<v S3>And they consider this Australian framework, which is a coalition era, uh,

0:19:27.359 --> 0:19:30.880
<v S3>scheme which has been revamped by labor, which effectively pushes

0:19:30.880 --> 0:19:34.200
<v S3>or forces big tech firms like meta, Google and others

0:19:34.200 --> 0:19:36.920
<v S3>who have snatched revenue under the feet of media companies

0:19:36.920 --> 0:19:40.520
<v S3>like ours to pay Australian media firms for news articles

0:19:40.520 --> 0:19:44.040
<v S3>on their platforms. Yeah, the websites, the platforms themselves say

0:19:44.640 --> 0:19:47.400
<v S3>the newspapers need them much more than they need us,

0:19:47.440 --> 0:19:49.879
<v S3>and we actually need their distribution channels. And so we

0:19:49.880 --> 0:19:53.200
<v S3>should be helping them. We argue that they've stolen all

0:19:53.200 --> 0:19:56.530
<v S3>our revenue, taken all our eyeballs, and have a. To

0:19:56.570 --> 0:19:59.930
<v S3>maintain their social license should contribute to public interest journalism.

0:19:59.970 --> 0:20:03.570
<v S1>Yeah. So basically when when someone posts on their Facebook page,

0:20:03.609 --> 0:20:06.890
<v S1>a Paul Sakhile article about gambling reform or a Natasha

0:20:06.930 --> 0:20:11.330
<v S1>Chrysanthos article about gambling reform, we say the media companies say, well,

0:20:11.330 --> 0:20:13.810
<v S1>we're giving you content. You should pay for that content.

0:20:13.850 --> 0:20:16.570
<v S1>The social media companies say, well, actually, we're giving you

0:20:16.570 --> 0:20:19.970
<v S1>another distribution platform. You should be paying us, if anything.

0:20:20.250 --> 0:20:23.050
<v S1>So the government is trying to bring a revenue stream

0:20:23.050 --> 0:20:25.730
<v S1>to the big media companies. They've they've cooked up this model.

0:20:25.770 --> 0:20:27.449
<v S1>Can you just tell us a little bit about the

0:20:27.450 --> 0:20:28.450
<v S1>model they've cooked up?

0:20:28.890 --> 0:20:32.889
<v S3>Yeah. So it mimics the coalition era model that Josh

0:20:32.890 --> 0:20:36.410
<v S3>Frydenberg as treasurer led and negotiated directly with Mark Zuckerberg.

0:20:36.450 --> 0:20:39.050
<v S3>It's one of the achievements that he talks about was

0:20:39.050 --> 0:20:41.970
<v S3>one of his proudest moments. Labor argues that his model

0:20:41.970 --> 0:20:46.090
<v S3>eventually became broken. And so they've created a new, quite

0:20:46.130 --> 0:20:50.250
<v S3>technical scheme which would if these tech firms didn't strike

0:20:50.250 --> 0:20:53.570
<v S3>voluntary deals with companies like ours, they'd be forced to

0:20:53.609 --> 0:20:56.170
<v S3>pay a charge. Labor Labour doesn't call it a tax

0:20:56.170 --> 0:20:59.209
<v S3>because that would, uh, irk the Trump administration further. They

0:20:59.210 --> 0:21:01.250
<v S3>call it a charge, which was going to be a

0:21:01.250 --> 0:21:04.970
<v S3>percentage of their overall revenue. Yeah. There's an 11th hour change,

0:21:04.970 --> 0:21:08.090
<v S3>which has really drawn the ire of companies like nine

0:21:08.090 --> 0:21:11.970
<v S3>and News Corp, which has amended the revenue base from

0:21:12.010 --> 0:21:14.930
<v S3>being total revenue, which is obviously a bigger figure to

0:21:14.970 --> 0:21:19.290
<v S3>a smaller revenue pool related to digital digital advertising. Now,

0:21:19.330 --> 0:21:21.970
<v S3>in part behind the scenes, this move was designed to

0:21:22.010 --> 0:21:24.770
<v S3>ameliorate the concerns of the tech firms who are dealing

0:21:24.770 --> 0:21:27.530
<v S3>with the white House and pushing the white House to

0:21:27.570 --> 0:21:30.890
<v S3>retaliate against Australia. So it's a really tricky position for

0:21:30.890 --> 0:21:34.410
<v S3>Albanese to be in, because he wants to put this

0:21:34.410 --> 0:21:37.650
<v S3>scheme forward, to keep our businesses alive or to keep

0:21:37.650 --> 0:21:42.010
<v S3>them healthy. Um, and our, our bosses are, uh, putting

0:21:42.010 --> 0:21:44.450
<v S3>a lot of pressure on the government publicly. This ties

0:21:44.450 --> 0:21:47.969
<v S3>into the wagering advertising conversation because the same bosses of

0:21:47.970 --> 0:21:50.690
<v S3>media firms like ours who are pushing for this scheme

0:21:50.690 --> 0:21:54.129
<v S3>are also pushing against the government's gambling advertising bill. So

0:21:54.130 --> 0:21:58.100
<v S3>there's a there's a enmeshment here with all these issues.

0:21:58.300 --> 0:22:00.020
<v S3>And and on the other hand, they're trying to keep

0:22:00.020 --> 0:22:03.020
<v S3>the US onside. So it's it's difficult. But these 11th

0:22:03.020 --> 0:22:06.619
<v S3>hour changes have been put without any consultation, which is

0:22:06.619 --> 0:22:09.900
<v S3>quite typical of this government to put significant changes that

0:22:09.900 --> 0:22:12.660
<v S3>annoy stakeholders quite late in the process. And so it's

0:22:12.660 --> 0:22:13.580
<v S3>become quite messy.

0:22:14.140 --> 0:22:16.860
<v S1>So the Trump administration, you know, I think it's fair

0:22:16.859 --> 0:22:19.139
<v S1>to say on behalf of the tech companies, hates the

0:22:19.140 --> 0:22:22.740
<v S1>social media ban. Um, they also don't like local content

0:22:22.740 --> 0:22:25.100
<v S1>laws that we've imposed or the government's imposed for the

0:22:25.100 --> 0:22:29.300
<v S1>big US streamers, the big international streamers. And now this, um,

0:22:29.340 --> 0:22:32.300
<v S1>you know, imposition of basically, let's call it a tax

0:22:32.300 --> 0:22:36.139
<v S1>on the social media companies for using news content. Um,

0:22:36.380 --> 0:22:39.379
<v S1>what I mean, the Albanese government is big. You know,

0:22:39.380 --> 0:22:42.700
<v S1>Anthony Albanese often says I make laws in Australia's best interests.

0:22:42.700 --> 0:22:44.500
<v S1>I make laws in the sovereign interest. But the sovereign

0:22:44.500 --> 0:22:46.780
<v S1>interest here is not so clear cut because on the

0:22:46.780 --> 0:22:48.820
<v S1>one hand, you have you know, I would say the

0:22:48.820 --> 0:22:53.340
<v S1>very worthy, uh, aim of keeping media companies alive. And

0:22:53.420 --> 0:22:56.430
<v S1>on the other, you have the possibility of further tariffs

0:22:56.430 --> 0:22:59.470
<v S1>or higher tariffs being imposed. If we to do too

0:22:59.470 --> 0:23:02.390
<v S1>much digital taxation of the big media tech companies in

0:23:02.390 --> 0:23:02.910
<v S1>the US.

0:23:03.510 --> 0:23:06.150
<v S3>You're right on those all those conflicting imperatives, Jack. But

0:23:06.150 --> 0:23:08.750
<v S3>if you're in the US and you're an official in

0:23:08.750 --> 0:23:11.310
<v S3>the Trump administration and you see some small sovereign nation

0:23:11.310 --> 0:23:14.510
<v S3>like Australia who is really who is in truth reliant

0:23:14.510 --> 0:23:17.030
<v S3>on the US, not the other way around in defence

0:23:17.030 --> 0:23:19.949
<v S3>and other other matters. You'd say, why are you guys,

0:23:19.990 --> 0:23:22.910
<v S3>those little guys down in Australia setting this precedent for

0:23:22.910 --> 0:23:25.070
<v S3>the rest of the world to tax our firms, to

0:23:25.109 --> 0:23:29.630
<v S3>pay for dying businesses when we want to unleash the,

0:23:29.670 --> 0:23:32.869
<v S3>you know, growth and dynamism of these firms to help

0:23:32.869 --> 0:23:36.350
<v S3>boost us prestige and economic clout across the world. Yeah.

0:23:36.390 --> 0:23:39.270
<v S3>So if you are someone who believes in tech regulation,

0:23:39.310 --> 0:23:42.189
<v S3>Albanese deserves huge credit for going so forcefully on the

0:23:42.190 --> 0:23:45.030
<v S3>social media ban and taking on the US there. So

0:23:45.030 --> 0:23:47.310
<v S3>this is another example of Australia punching above its weight

0:23:47.310 --> 0:23:49.590
<v S3>in that regard. But there are limits on how hard

0:23:49.590 --> 0:23:50.390
<v S3>and fast we can go.

0:23:50.390 --> 0:23:52.750
<v S1>And we have seen other countries, particularly in Europe, follow

0:23:53.109 --> 0:23:55.870
<v S1>our example on the social media ban, the. The US

0:23:55.869 --> 0:23:58.590
<v S1>trade Representative has already said, you know, these laws amount

0:23:58.590 --> 0:24:01.909
<v S1>to foreign extortion. This sort of suite of laws. Anyway.

0:24:01.950 --> 0:24:05.590
<v S1>The new Australian ambassador, Greg Moriarty, will have his work

0:24:05.590 --> 0:24:07.270
<v S1>cut out for him dealing with the white House on

0:24:07.270 --> 0:24:09.790
<v S1>this stuff. Guys, thanks so much for clipping through all

0:24:09.830 --> 0:24:13.270
<v S1>of those extremely diverse topics with such aplomb. Thank you

0:24:13.270 --> 0:24:15.110
<v S1>very much. We'll see you both again soon.

0:24:15.710 --> 0:24:16.629
<v S3>Great to chat. Talk to you.

0:24:16.630 --> 0:24:17.510
<v S2>Soon. See ya.

0:24:22.470 --> 0:24:22.910
<v S5>You can read.

0:24:22.910 --> 0:24:27.790
<v S1>All of our political news on our website, si.com.au and smh.com.au.

0:24:28.510 --> 0:24:31.390
<v S1>Today's episode was produced by Kai Wong with help from

0:24:31.390 --> 0:24:34.790
<v S1>Debbie Harrington. Our executive producer is Tammy Mills, and our

0:24:34.790 --> 0:24:39.109
<v S1>podcasts are overseen by Lisa Muxworthy and Tom McKendrick. Before

0:24:39.109 --> 0:24:41.670
<v S1>you go, follow Inside Politics and leave a review for

0:24:41.670 --> 0:24:45.950
<v S1>us on Apple or Spotify. I'm Jacqueline Maley. Thanks for listening.