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C O N F I D E N T I A L SECTION 01 OF 02 CANBERRA 000709 
 
NOFORN 
SIPDIS 
 
E.O. 12958: DECL: 08/04/2019 
TAGS: AS PGOV PREL
SUBJECT: SUBJECT: RUDD RULES AT LABOR NATIONAL CONFERENCE 
 
REF: CANBERRA 673 
 
Classified By: POLITICAL COUNSELOR JAMES F. COLE.  REASON: 1.4 (C) 
 
¶1.  (SBU)  SUMMARY The ruling Australian Labor Party's (ALP) 
National Conference displayed unprecedented cohesion and 
provided further evidence of Prime Minister Rudd's authority 
over the party.  Although journalists derided it as boring, 
party officials believe the conference gave the public what 
it wanted: the image of a united party focused on steering 
Australia through economic challenges.  Gay marriage and 
industrial relations caused some tensions, but these were 
worked out behind the scenes.  Significantly, not one issue 
required a formal vote.  The conference affirmed the ALP's 
strong support for the Australia/US Alliance.  The Defense 
Minister successfully moved a resolution pledging the party 
to continue support for the fight in Afghanistan.  On the 
debit side, the ALP platform projected a very negative 
position on national missile defense (MD).  A setback for the 
ALP was Employment Participation Minister Mark Arbib's 
embarrassing inability to explain the details of Rudd's 
"Green Jobs" announcement.  End summary. 
 
 
MEDIA FRUSTRATED BY SERENE GATHERING 
 
¶2. (SBU)  The 45th ALP National Conference was held in Sydney 
July  30 - August 1.  Prior to the conference, a draft 2009 
platform was circulated (reftel).  Amendments were proposed 
and "debated" but these were agreed behind the scenes by the 
factions. No formal vote was required on any issue. 
Increasingly, ALP National Conferences are stage-managed 
showpieces for party unity and the party leader. Journalists 
were frustrated that there was little controversy; some even 
questioned the point of the conference. However, ALP insiders 
maintained to us the public wants a united party that is 
focused on solving the nation's problems.  Deputy Prime 
Minister Julia Gillard said: "I know it wasn't all that much 
fun for the media but we're not entertainers, we're a 
political party in government." 
 
FACTIONS WORKING WELL TOGETHER 
 
¶3. (SBU) One senior figure told us the factions have "never 
worked as well together". He opined that the end of the Cold 
War had played a big part in blurring the ideological divide 
between the Left and Right, pointing out that the Defense and 
Finance Ministers are notionally from the Left. It was 
generally accepted that Rudd government Ministers and power 
brokers Mark Arbib (Right) and Anthony Albanese (Left) were 
Rudd's key conduits to the factions. 
 
RUDD TRIES TO INSPIRE RANK AND FILE 
 
¶4.  (SBU)  Rudd's speech to the conference appeared designed 
to appeal to ALP "true believers" and the Left - possibly 
because he is an "outsider" in the ALP (e.g. he is not close 
to the unions).  Rudd praised the achievements of past ALP 
governments and derided the "free market fundamentalism" of 
the Right.  The Rudd government had apologized to indigenous 
Australians; ratified Kyoto; abolished WorkChoices; softened 
immigration policy; and withdrawn combat forces from Iraq. 
Rudd declared Labor was a "nation building" party which 
believes "unapologetically in the role of government".  He 
urged delegates to commit to a "long term reformist 
government," reminding them that the ALP had only been in 
power one third of the time since federation. 
 
ARBIB FUMBLES 
 
¶5.  (SBU)  In a major announcement, Rudd unveiled an 
initiative for "50,000 new green jobs" - traineeships and 
apprenticeships targeted at young Australians.  However, in a 
television interview, Employment participation Minister Mark 
Qtelevision interview, Employment participation Minister Mark 
Arbib stumbled, admitting he didn't have the details of the 
proposal.  The media and Opposition jumped on this. The next 
day, Rudd conceded that Arbib "didn't have the best of days". 
 Arbib's career has flourished under Rudd so it was not 
surprising that some of his detractors in the party took 
pleasure in his embarrassing performance. 
 
SOME TENSIONS OVER INDUSTRIAL RELATIONS & GAY MARRIAGE 
 
¶6.  (SBU As predicted, there were tensions over the Rudd 
government's retention of the building industry watchdog; 
Left-leaning unions marched in protest outside the 
conference.  Union powerbrokers and the government reached a 
compromise which essentially means the government will seek 
to reduce specialist oversight of the industry, but in 
 
CANBERRA 00000709  002 OF 002 
 
 
keeping with Labor's 2007 election commitment.  The issue 
which caused most tension at the conference was the push from 
the Left, including Albanese, for legalized gay marriage (the 
Marriage Act only applies to heterosexual couples). At one 
point, a Right Ministerial adviser - in contact with the 
Christian Lobby - told us he feared Rudd would be "rolled" 
over on this issue (Rudd undertook not to support gay 
marriage before he was elected).  However, Rudd and the Right 
won.  One MP told us the lack of debate on trade - usually a 
big issue for the unions - was an example of how well managed 
the conference was. 
 
STRONG SUPPORT FOR US AND WAR IN AFGHANISTAN 
 
¶7.  (SBU)  The Foreign and Defense chapter of the platform 
was approved without controversy.  There were no amendments 
moved in relation to the draft platform's strong support for 
the US Alliance (reftel).  Defense Minister Faulkner moved a 
resolution, seconded by Foreign Minister Smith, pledging the 
party's support for the war in Afghanistan.  In a passionate 
speech, Faulkner said it was in Australia's interests to 
ensure Afghanistan is no longer a terrorist training ground. 
He said 100 Australians had died in terrorist attacks which 
made it incumbent on the government to ensure success in 
Afghanistan.  Furthermore, he said abandoning the Afghan 
people would go against Labor tradition. Australia "can't 
ignore the strategic reality".  Some ALP figures told us 
there was a push from a small group in the Left for a 
withdrawal of troops, but that this was quelled. 
 
BUT NEGATIVE WORDS ON NATIONAL BALLISTIC MISSILE DEFENSE 
 
¶8.  (C/NF)  In contrast to the strong support for the 
Australia - U.S Alliance voiced by the ALP leaders and set 
down in the platform, on national ballistic missile defense 
(MD) the platform adopted by the Conference was not positive. 
 It declared that MD "is disproportionate, technically 
questionable, costly and likely to be counterproductive.  It 
also has the potential to undermine non-proliferation and 
derail world progress towards nuclear disarmament."  The MD 
issue has long been a focus of ALP left-wing ire, stretching 
from an anti - "Star Wars" movement in the 1980s to present. 
(Note:  The U.S. and Australia signed a 2004 MOU on MD 
cooperation, mainly in exercises and information sharing. 
The GOA is still considering its long-term position.  When 
the Charge expressed to Defense Minister Faulkner on the eve 
of the Conference our disappointment with the strong draft 
language and contrasted it with assurances given earlier that 
the issue would be worked out within the party, Faulkner 
responded that the MD draft language had "dropped through the 
cracks" during the transition following former Defense 
Minister Fitzgibbon's resignation several months ago.) 
 
 
WIN FOR RUDD 
 
¶9.  (SBU) Comment:  Though he received polite applause, there 
was not an overwhelming display of affection for Kevin Rudd 
displayed by the delegates - in contrast to traditional 
outpourings from the party faithful at these conventions.  To 
many observers Mr. Rudd's speech was regarded as boring, and 
his reaching out to the party faithful appeared contrived. 
There was far greater warmth for former Prime Minister Bob 
Hawke - a charismatic former union official - who delivered a 
strong and entertaining speech with little reference to 
notes.  Yet Rudd, to the bewilderment of many observers, 
remains highly popular with voters across the political 
spectrum.  This is the bedrock of Rudd's unchallenged 
Qspectrum.  This is the bedrock of Rudd's unchallenged 
authority over the party.  Rudd went to the conference 
wanting a united party and backing for his agenda - he got 
that.  It invites a contrast between the cohesion of Rudd's 
team and the division in Malcolm Turnbull's Opposition. 
END COMMENT.