The United Firefighters Union of Australia Aviation Branch (UFUAV) has called on major industry superannuation funds and their affiliated Unions to scrutinise whether members' retirement savings could be linked to a proposal to privatise Australia's Aviation Rescue Fire Fighting Service(ARFFS).
The call follows revelations that several union-linked industry super funds have investment relationships with Queensland Investment Corporation (QIC), the sovereign investment manager pursuing the acquisition of ARFSS assets under an Airservices Australia proposal opposed by aviation firefighters as the privatisation and commercialisation of a critical emergency service.
The issue has taken on added significance following the appointment of former Opposition Leader Peter Dutton to the QIC board, raising further concerns among workers and Unions about who is influencing the use of their retirement savings.
Funds with publicly reported financial relationships with QIC include Australian Retirement Trust, Brighter Super, Hostplus and HESTA, each with longstanding links to Unions, including the Australian Workers' Union, Australian Services Union, Electrical Trades Union, The Services Union, United Workers Union, the Australian Nursing and Midwifery Federation and the Health Services Union.
UFUAV Secretary Wes Garrett said the issue raised major questions for Unions and workers whose retirement savings may be invested through funds connected to QIC.
"Workers would be deeply concerned if their retirement savings were in any way associated with supporting the privatisation of an emergency service that exists to save lives.
"Unions and industry super funds may not yet be aware that their members' retirement savings could have a connection to this proposal.
"But it's clear that Union members particularly, will likely not be comfortable with Peter Dutton having direction over investment decisions that could see their retirement savings used to pursue the privatisation of frontline emergency services.
"Workers and their unions have every right to ask whether they are comfortable with retirement savings being associated in any way with the commercialisation of a frontline emergency service."
Mr Garrett said the issue went well beyond Airservices' recent efforts to privatise aviation firefighting.
"QIC’s involvement in Airservices’s attempts to privatise an emergency service raises a bigger question.
“If Union-aligned capital can be linked to the privatisation of aviation rescue firefighting, what does that say about the values underpinning so-called responsible investment?
“Industry super funds have built their reputation on serving workers and investing in the long-term public interest.
“It is entirely reasonable for members and affiliated Unions to ask whether backing a sovereign fund pursuing the privatisation of emergency services is consistent with those values.”
Privatisation is unpopular with workers, a fact that was borne out by the Essential Report survey of 1000+ Australians in late March. Almost two thirds opposed selling off the assets of Australia’s aviation fire fighting service.
Mr Garrett said aviation rescue firefighting, like all other emergency services, was fundamentally not suitable for commercial ownership.
“Aviation firefighting is a not a money-making enterprise, it is a vital emergency service dedicated to protecting the lives of Australia’s air travellers.
“To deliver on its mission, aviation rescue firefighting must remain focused on operational preparedness, maintenance and response times, where seconds can mean the difference between life and death, not on shareholder returns.
“The introduction of a profit motive into that system raises very serious public safety questions.”
The Union said it was urging Unions associated with the relevant funds to ask questions of fund trustees and QIC about whether members’ capital could be implicated in a proposal to commercialise emergency services.
“We believe many Union members, trustees and officials would be alarmed to learn that their retirement savings are being used to privatise emergency services.
“We are asking them to look closely at QIC’s role in this matter, and to stand with firefighters in opposing any move that turns a life saving emergency service into an investment proposition that put the lives of Australia’s air travellers at risk.”
Mr Garrett said this issue should instigate broader scrutiny of whether emergency services should ever become an asset class.
“The UFUAV is talking to our allies in the union movement to build a united front against the use of workers’ retirement funds to privatise essential services and undermine employment conditions.
“We know the privatisation of emergency services hasn’t worked overseas, why are we attempting to introduce it here?
“Firefighters strongly do not believe critical emergency response capability should be treated as a financial product.
“We do not believe workers and fellow Union members would want their retirement savings associated with that either.
“Peter Dutton and his agenda were roundly rejected by Australians at the last Federal election. Lets not now hand him our retirement savings to pursue the privatisation of Australia’s emergency services.”
The UFUAV calls for the privatisation proposal to be abandoned and urges Union linked super funds and their affiliated Unions to carefully investigate their relationship with QIC, and its involvement in the attempted privatisation of Australia’s aviation rescue firefighting service.
Contact details:
Darren Rodrigo 0414 783 405
