the great depression

• Problems in the ALP:

  Scullin - overseas from August 1930 to January 1931

  Lyons - launched public appeal to raise money
• In the absence of Scullin from August 1930 until January 1931, Lyons was the acting PM. Lyons launched a public appeal to raise money needed to meet Australia’s debt repayments, he called it, “All for Australia Day”. This was basically just a fundraiser for the Australian government and it had actually exceeded the expectations.
• 12 December A campaign was launched to encourage Australians to buy bonds to raise a 14 million pound conversion loan at lower terms of interest towards Australia’s overseas debt. For ‘All for Australia Day’ some businessmen had announced that they would subscribe the day’s takings towards the loan; people were encouraged to do their Christmas shopping on that day to increase the takings. People co-operated so enthusiastically that the loan was oversubscribed by 1 million pounds.
• Formation of the United Australia Party

  United Australia Party - formed by Lyons and four colleagues

  December 1931 - Lyons became PM

  1939 - death of Lyons (was still PM)

  Liberal Party - UAP evolved into the Liberal Party
• Lyons and four other colleagues had joined with the Nationalist Party to form the UAP. In the December 1931 elections, the UAP had taken victory and Lyons subsequently become Prime Minister. He had remained so until his death in 1939. Eventually, the United Australia Party had evolved into the Liberal Party.
• ALP in opposition

  October 1941 - regained government

  1935 - Scullin replaced by John Curtin
• The Federal Australian Labor Party had remained in opposition for ten years, they had only regained government in October 1941. Scullin remained leader of the Australian Labor Party until 1935 when he was replaced by John Curtin.
• Jack Lang

  Popularity - wage cuts, handouts for the poor

  Lyons - unhappy with the situation
• Jack Lang had made his own plans on dealing with the depression, he was popular with the people as he promised to restore wage cuts, establish better handouts for the poor and encouraged delaying evictions. Though, he quickly ran out of money, Lyons had telegrammed Scullin who explained Lang’s actions were causing issues in England.
• Actions of Premier Lang

  1931 - refused to pay interest on British loans

  Scullin Government - stepped in and paid the debt

  1932 - Lang again defaulted on the loan

  Lyons - passed legislation for money in NSW banks to be given to the Federal Government
• In 1931, Lang had refused to pay interest on British loans so the Scullin government had intervened and had paid the debt on his behalf. With Lyon replacing Scullin, he had paid the debt that Lang defaulted on in 1932. To recover the money of NSW, Lyons passed a legislation requiring banks to hand over money belonging to the state.
• Lang’s actions

  Withdrawal - large sums of government money from private banks

  NSW public servants - to forward all money from taxes and fares to the Treasury

  NSW Treasury - barricaded with a security force

  Volunteers - sought volunteers for a state citizens’ army
• Lang retaliated by withdrawing government money from private banks and moving it to the NSW treasury. He instructed public servants to direct all tax and public transport fare revenue to the Treasury instead of banks. Lang barricaded the NSW treasury with Timber Workers Union members to prevent the Federal Government from accessing NSW financial records. Lang additionally issued a notice of seeking volunteers for a state citizens’ army.
• Sacking of Lang

  13 May 1932 - Lang sacked by NSW Governor

  Illegal acts - Lang was defying Federal Law

  June 1932 - defeated at state elections
• On May 13th 1932, Governor of New South Wales Sir Phillip Game dismissed Premier Lang for defying Federal Law, arguing that Lang's actions were illegal. Lang was subsequently defeated in the state elections held in June 1932.
• Secession movement in WA

  1933 - WA voted to secede/break away from the Commonwealth

  Reason - WA would be better off away

  Secession - legally impossible and support declined

  Grants Commission (1933) - financial assistance to lower states
• In 1933, due to widespread economic hardship, Western Australia voted to secede from the Commonwealth of Australia. However, as secession was not legally possible and the economy improved, support for it declined. The same year, the Commonwealth Government established the Grants Commission to provide financial assistance to less populated states.
• Communist Party of Australia

  1917 - Russion Revolution first Communist Revolution

  1920 - Communist Party founded in Sydney

  1930s - significant increase in membership and support

  Protests - demands higher welfare payments and protection for the evicted
• The Communist Party of Australia, found in Sydney in 1920, gained significant membership and support during the early 1930s. The party led protest marches and demonstrations demanding increased welfare payments and protection for evicted individuals.
• Communism in Australia

  1922 - Jock Garden travelled to Communist conference in Moscow

  1930s-1940s - used union positions to create industrial unrest
• Secretary of the Trades and Labour Council travelled to a Communist conference in 1922 located in Mosow. Positions in unions were used to create industrial unrest throughout the 1930s and 1940s. The Communist Party never won representation in Parliament, as they caused a feeling of unease about the communist threat.
• Communist Threat

  Doc Evatt - concerned with communism influence

  Biggest Threat - secrecy of the Communist Party

  Organisations - established to oppose communism
• In the ALP, Doc Evatt expressed concerns about the increasing influence of communism. The main concern was the secretive nature of the communist party and their activities. In response, other individuals who were worried about the possibility of a communist revolution formed their own organizations to counteract communism.
• New South Wale’s Old Guard

  Establishment - Returned Soldiers League Clubs in NSW

  Membership - ex-army officers and businessmen

  Performance - military drills and stockpile of weapons

  Peak - 30,000 members between 1930 to 1932
• The NSW’s Old Guard was established with membership that included ex-army officers and businessmen. They conducted military drills and accumulated weapons. Their membership peaked at around 30,000 between 1930-1932. In the event of an attack on Australia's democracy, their plan was to seize control of the government and safeguard property.
• Victoria’s White Army

  Leader - Thomas Blamey

  Main plan - protect bridges and essential services

  6 March 1931 - responded to rumours of a communist rampage
• Similar to the Old Guard led by Thomas Blamey, their main objective was to safeguard bridges and essential services in case of a communist revolution. On March 6, 1931, they set up roadblocks in response to rumors of a communist rampage, but later realised that the rumors were false and returned home feeling a bit embarrassed.
• Establishment of the New Guard

  Values - extreme right wing fascist

  Leader - Lieutenant Colonel Eric Campbell

  Establishment - February 1931 in Sydney

  Membership - WWI veterans, businessmen and professionals

  Aims - drive Lang out of office
• The New Guard, led by ex-army officer Lieutenant Colonel Eric Campbell, was a far-right fascist organization based in Sydney, established in February 1931. Its membership primarily consisted of WWI veterans from middle-class backgrounds, businessmen, and professionals. The New Guard was strongly anti-communist and anti-Labor, with one of its goals being to remove Lang from office.
• The New Guard

  Actions - disrupted Communist rallies

  March 1932 - disrupted opening of the Sydney Harbour Bridge

  Plans - detailed plans in case Lang introduced communism

  Decline - membership declined as economic situation improved
• The New Guard actively disrupted Communist rallies and even disrupted the opening of the Sydney Harbour Bridge in March 1932, led by Captain De Groote. They had detailed plans in case Lang introduced communism to NSW. However, as the economic situation started to improve, the organization began to decline, and by the start of WWII, it no longer existed.
• End of the 1920s

  Arbitration Court - established to reolve issues before strike

  Communism - slight influence in Australia

  Industrial Workers of the World - pushed for direct action

  1917 - IWW declared illegal
• Due to the increasing number of strikes, the Arbitration Court was established to resolve issues before people resorted to strikes. Communist movements around the world has influenced some in Australia. The IWW aimed for direct action instead of negotiation (againt the Arbitration Court) and in 1917 the organisation was declared illegal in 1917. Whilst membership was low, they had some influences on direct actions.
• Industrial actions in the 1920s

  1927-1928 - wages lowered and a 48 hour working week was introduced

  1928 - waterfront workers strikes led to violence

  1929 - timber works strikes led to violent confrontations

  March 1929 - coal miners on strike in NSW
• Actions of PM Bruce Arbitration Court - disbanded and federal control relinquished

  Commonwealth - maintained responsibility over shipping and waterside industries

  October 1929 - James Scullin ALP new PM

  Labor seats - Labor had a majority but not in the Senate
• Bruce relinquished federal government and control and disbanded the Arbitration Court which gave state governments responsibility for industrial disputes. Though, the Commonwealth Government maintained responsibility over shipping and waterside industries. In October 1929, Bruce was narrowly defeated by James Scullin. The Labor party had a majority in the House of Representatives but their oppositions had the majority in the Senate.
• October 1929

  Prices - wool dropped 30% and wheat dropped 10%

  Overseas debt - reached 53 million pounds
• Scullin

  Background - Catholic Irish

  Isaac Isaac - the first Australian-born Governor General

  Career - journalist before entering politics
• After the crash

  Commodity prices drop - export earning fell further

  Bankcrupcies - rose 50%

  Collapse of construction industry - impacted workers

  Tariffs - raised by Scullin to protect local industry

  Unemployment - 40% in industrialised area

  Housing - several evictions
• Due the the drop of commodity prices, export earning had fallen further. Bankrupcies had rose to 50% and the construction industry had collapsed. Scullin increased tariffs in the name of protecting the local industry. With many people being evicted from their homes, overcrowding had occurred.