Knowledge (XXG)

Ken Henry (public servant)

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409:, to Henry was reported on in the media. No text was published, however the Australian newspaper alleged that the email expressed concerns of the Reserve Bank about a 'flight to safety' caused by the unlimited guarantee of deposits in Authorised Deposit-taking Institutions, and the consequent loss of liquidity in secondary credit markets. It claimed that Stevens called for a cap on the amount of a deposit guarantee ‘...the lower the better' and that he also said 'If this situation is allowed to continue, foreign bank branches will not be able to source funding in the local market as a flight to guaranteed deposits occurs.' 341:, similar to both the Option C developed by Henry for the Hawke Labor government in 1985, and the GST developed for the Howard Liberal Government in 1997. Henry rejects the claim that Treasury acted improperly, saying "We rejected that charge at the time. I would always reject it. There was nothing improper in what we did." He did concede, however that "it is the case that our work was used by the Government to attack publicly an Opposition policy." In reference to the Option C modelling he had previously worked on, Henry said: 292:, providing advice on taxation policy and administration, retirement incomes policy, industry policy and microeconomic reform (including telecommunications reform). In June 1991 he returned to the Treasury, becoming head of the Microeconomic Modelling Unit. In July 1992 he took up the position of Minister-Counsellor (Economic and Financial Affairs) in the Australian Delegation to the OECD in Paris. During this time, he has served as an Australian representative to the 37: 691:. "There are few pursuits more noble in life than giving voice to those who would otherwise suffer in silence." He proudly proclaims his rural upbringing around Taree as contributing to his early realisation about the value of conservation and animal rights. He has a specific interest in the preservation of the endangered 366:
When Fightback! came out, the model the team had developed enabled the identification of a major failing in the package. Income tax bracket creep had been used to fund the package but bracket creep had not been used in the analysis of the after tax income various taxpayers would receive. Treasury was
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policy proposal, Henry was reported as saying that there was a 'greater than usual risk of the development of policy proposals that are, frankly, bad' in the lead-up to the federal election.' Former Howard Government ministers suggested that it was a deliberate attempt to have Henry's critical views
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Henry's advice throughout the GFC has been characterised as "within the mainstream of economic orthodoxy". As of December 2009, Australia's unemployment rate is thought to have peaked at 5.8 percent after several months of job growth. This is much lower than previous Treasury estimates of up to 8.5
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economies had been included in the analysis. When all G20 economies were analyzed, no correlation existed. Treasury later withdrew the graph. IMF research showed statistically significant links between the form of stimulus, and the success or otherwise of various countries through the recession.
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Henry provided advice to the Rudd Government that without the continuation of the stimulus package, 100,000 jobs would be lost, and GDP would reduce by 1.5 percent. No modeling was made public to support either of these contentions. After the release of advice, Shadow Treasurer and Minister in the
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In the Senate hearing, Henry denied there had been any disagreement between Treasury and the Reserve Bank, and that the two bodies were ‘of one mind’ on the Bank Deposit Guarantee Scheme. Henry said that the Opposition's claim that Mr Rudd had ignored Reserve Bank warnings was based on a report in
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Henry stated that the stimulus package would either reduce future Government spending or drive up taxes, but he also said that this would occur in "a period of faster growth in private sector activity and the judgment that has been made is that in those circumstances . . . the Government will have
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had never said to the department, 'I’m going to use this to monster Hewson’s tax package when he gets it out.' Although he’d never said that, we knew, obviously, what it was going to be used to do. We knew that Hewson’s package was going to include a broad based consumption tax, the thing which in
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Notwithstanding this criticism, a raft of economic advice and analysis has subsequently supported Australia's actions. The OECD's 2009 employment outlook said that while "generally have not had a strong effect in cushioning the initial decline in employment caused by the crisis...Australia is a
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Whenever an idea is ventured publicly by a person, whether that person is a policy advisor or whether it's a government minister, there's at least a handful of academics who will contest it. I've seen it on both sides of politics - this is not a partisan comment at all - but for governments,
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Further, graphs were subsequently printed in the budget papers purporting to show that there was a statistically significant correlation with the size of G20 member countries' stimulus packages and their respective economic performances, however the data had been cherry picked and only 11 G20
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The Government, our ministers and other agencies are under no compulsion to rely on our advice. In respect of water, that point is all too obvious. We are competing for influence with other central agencies, line agencies and independent policy advisers, such as think-tanks, commentators and
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aired publicly to the detriment of the Howard Government, and called it 'a deliberate piece of political positioning by Henry' prior to the 2007 federal election. Following the initial controversy, Henry released the full text of the speech, along with clarification. It said, in part, that:
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On 5 February 2019, NAB announced to the ASX that Henry acknowledged the Commissioner's comments and he seemed unwilling to accept criticism. He denied that this was the case. Two days later Henry announced that he would resign as chairman after overseeing the selection of his replacement.
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During negotiations with mining companies, Henry advised that the initial estimates of A$ 12 billion had been revised up to A$ 24 billion due to higher commodity price estimates in the two months since the release of the initial RSPT proposal.
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government ministers who are seeking to get ideas legislated - it is unbelievably frustrating, incredibly frustrating. But I think there are occasions on which economists might, at least for a period, put down their weapons and join a consensus.
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Henry remained head of Treasury in the transition from Liberal to Labor Governments in 2007. In 2008 he headed Australia's Future Tax System Review Panel, charged with examining all aspects of the Australian tax system with a view to reform.
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response embodied in the stimulus package, the desire to maintain expenditure in the economy, and the desire to avoid the destruction of human capital from a recession was encapsulated in the phrase attributed to Henry:
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It was like 1985 all over again. But in other ways it couldn’t have been more different … …But it was completely unlike 1985 in the sense that we were not helping the Government to develop a positive package.
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NAB also stands apart from the other three major banks. ...I thought it telling that Dr Henry seemed unwilling to accept any criticism of how the board had dealt with some issues.
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Treasury, under Henry, gave advice supporting the Rudd Government's stimulus package, which was designed to lessen the size of an economic recession in Australia following the
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consultants.... As I have noted on other occasions, I have never known the Treasurer to not welcome frank and honest advice when it is provided in-confidence and in good faith.
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The Reserve Bank Governor backed Henry, stating that "steps in these directions, in the context of what other countries were doing, were sensible, and the RBA supports them."
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1985 we were helping the Government to design. So you could say that our hearts were not in the job. But we nevertheless had an instruction from the Government. 'You do it'.
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Immediately prior to Henry's appearance at a Senate hearing into the Rudd Government's unlimited Bank Deposit Guarantee Scheme, an email from the Governor of the
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as 'one of the most impressive economic policies I've seen, ever'. The stimulus package foreshadowed $ 42 billion in spending measures. The classical
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notable exception." Australia's unemployment figures remain about 3% lower than the OECD average, and it also avoided recession throughout the GFC.
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Commissioner Hayne, Final Report: Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry. 1 February 2019.
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Henry led the writing of a White Paper on the topic "Australia in the Asian Century", publicly released in mid-2012. He was assisted by Professor
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on 2 May 2010. The review proposed changes to superannuation, a resource rent tax on the mining sector and tax reform for small businesses. The
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Laura Tingle ran a story about Henry's semi-annual speech to staff. In the wake of the Howard Government's development of an A$ 10 
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as a Special Adviser on a part-time basis in her portfolio. He was directly appointed by the Governor General under section 67 of the
338: 954: 520:. The government claimed that miners paid as little as 17 percent tax on their profits, mining companies claimed they paid 43%, but 1315: 1236: 524:
figures indicate that "the average tax take across the mining industry is about 27 percent" with many paying much less than this.
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Henry is the part-time Executive Chair of the Australian National University's new Institute of Public Policy; and chair of the
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Australian Department Heads Under Howard: Career Paths and Practice (Collected articles from the Canberra Times)
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Ken Henry has been criticised for his role in modelling the Hewson Liberal opposition reform package known as
910:"Australia's climate change policy is messier than a teenager's bedroom, but is Turnball the man to tidy up?" 284:
degree at the same institution. From September 1986 to June 1991, Dr Henry worked as a senior adviser to the
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The Australian newspaper. Dr Henry called that report unfortunate, fallacious, unhelpful, and "W-R-O-N-G"
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Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry
2343: 2291: 1872: 950: 582: 1601: 2408: 2353: 2283: 2065: 2038:"NAB CEO Andrew Thorburn and chair Ken Henry resign in the wake of banking royal commission" 1684: 1152: 1085: 815: 546: 485: 234: 106: 325:, however the advice at the time was ignored. His recommendations have since been praised. 2418: 1905: 1577: 840: 712: 429: 145: 222:(born 27 November 1957) is an Australian economist and public servant who served as the 2423: 1709:"Banking royal commission sees NAB chairman Ken Henry grilled on 'fees for no service'" 1520: 1460: 1210: 1179: 1037: 986: 617: 566: 357: 322: 201: 1491:"What Effect Will The Resource Super Profits Tax Have on Australia's Mining Companies" 593:, Deputy Secretary of the Department of Foreign Affairs and Trade form a Secretariat. 2438: 2348: 1855: 1589: 1542: 623: 542: 406: 383: 241: 82: 2231: 2217: 2195: 2368: 499:
Following criticisms of the measures proposed in the Henry Tax Review, Henry said:
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the ability to repay debt without doing damage to gross domestic product growth".
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Ken Henry proposed a Resource Super Profits Tax (RSPT) on all mining companies'
493: 277: 74: 1010:"Personal Reflections: Australia's Treasury and the Formation of Public Policy" 457: 347: 160: 78: 1549:(Press release). Department of the Prime Minister and Cabinet. Archived from 2393: 433: 244:. During his time in this role, he chaired the committee which produced the 197: 2232:"Companion of the Order of Australia (AC) entry for Dr Kenneth Ross HENRY" 762:"Advice Gillard didn't want: How Henry was moved on | the Australian" 2070:"NAB's Andrew Thorburn and Ken Henry quit after royal commission lashing" 1829:"Ken Henry ponders the state of capitalism - and agrees it's not pretty" 574: 2154:"New ANU 'Kennedy School' to play leading national public policy role" 612:
in November 2018, Henry was defensive, with some tense exchanges with
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During his time as Secretary of the Treasury, Henry chaired the major
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Henry was criticised for wanting to avoid debate of his ideas.
1547:"Departmental Secretaries | Prime Minister of Australia" 1316:"Global Financial Crisis is 'over' - Treasury boss Ken Henry" 272:, graduating in 1979. After, he lectured in economics at the 1680:"NAB attracts 88 per cent no vote against banker pay at AGM" 1624:"ANU expert to help Australia prepare for the Asian century" 589:, Deputy Secretary of the Department of the Treasury and Dr 2480:
Secretaries of the Department of the Treasury of Australia
248:. He left his role as Special Adviser in 2013, and became 1956:(Press release). National Australia Bank. 5 February 2019 1259:"The most important chart in the budget | Pollytics" 943:"Chapter 3: From Timber to Tax – Ken Henry, The Treasury" 668:
Foundation Board at the Australian National University.
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Henry was also appointed a director of the board of the
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Chalmers, Stephanie; Letts, Stephen (7 February 2019).
2009:"NAB a 'long way' from its aspiration, Ken Henry says" 616:, Rowena Orr. In his final report, Royal Commissioner 294:
Organisation for Economic Co-operation and Development
1461:"Dear Ken Henry...a plea from the academic sidelines" 367:
accused by the Coalition of having acted improperly.
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singled out Henry and NAB for particular criticism:
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Henry was appointed as an executive director of the
2124:"Board Members of the Sir Roland Wilson Foundation" 1768:Yeates, Clancy; Danckert, Sarah (1 December 2018). 1393:"Unemployment ain't going to get much worse - OECD" 1175:"Rudd hell-bent on beating Whitlam: bad government" 193: 159: 151: 121: 116: 100: 88: 68: 50: 20: 1770:"How Ken Henry opened up a corporate can of worms" 1367:"Aust unemployment rate falls to 5.7% | News" 1148:"Stimulus bill to drive up taxes, warns Ken Henry" 976: 974: 972: 970: 935: 933: 931: 337:. That package contained as a central element a 1060:"Treasury, RBA of 'one mind' on bank guarantee" 637: 439: 343: 2485:Academic staff of the University of Canterbury 1516:"Real resource super-profits tax cost doubled" 1484: 1482: 250:Chairman of the Australian Securities Exchange 2307: 1117:"Nobel laureate lauds Labor's stimulus spend" 492:(RSPT) proposed by Henry proposed to tax the 246:White Paper on Australia in the Asian Century 8: 2240:Department of the Prime Minister and Cabinet 2218:"Voiceless, the animal protection institute" 1598:Department of the Prime Minister and Cabinet 2323:Secretary of the Department of the Treasury 2274:Secretary of the Department of the Treasury 1827:Bartholomeusz, Stephen (28 November 2018). 224:Secretary of the Department of the Treasury 52:Secretary of the Department of the Treasury 2314: 2300: 2292: 2255: 1979:Bartholomeusz, Stephen (7 February 2019). 689:Voiceless, the animal protection institute 545:announced Henry had been appointed by the 35: 17: 1707:Chalmers, Stephanie (27 November 2018). 1415:"Australia's Future Tax System - Papers" 664:in January 2013. He is chair of the Sir 1199: 1197: 1141: 1139: 1137: 723: 254:Chairman of the National Australia Bank 1901: 1891: 1206:"Treasury withdraws exaggerated graph" 836: 825: 317:In 2004, Henry recommended a National 1736:Hutchens, Gareth (6 September 2018). 1467:. Australian Broadcasting Corporation 1438:""Put down your weapons" - Ken Henry" 1286:Coorey, Phillip (17 September 2009). 687:In 2011, Henry joined the council of 537:Special Adviser to the Prime Minister 64:27 April 2001 – 4 March 2011 7: 2475:Companions of the Order of Australia 2465:University of New South Wales alumni 1031:Hewett, Jennifer (21 October 2008). 441:Go early, go hard and go households. 1653:"Bank nabs Ken Henry for board job" 1314:Chalmers, Emma (12 February 2010). 709:Companion of the Order of Australia 268:Ken Henry studied economics at the 1391:Martin, Peter (20 November 2009). 14: 2184:"Members of the Advisory Council" 1678:Frost, James (19 December 2018). 1146:Chalmers, Emma (9 October 2009). 1919:Coglan, Paul (5 February 2019). 1796:Pash, Chris (27 November 2018). 1594:"Australia in the Asian Century" 1115:Irvine, Jessica (20 July 2010). 732:"Ken Henry announces retirement" 561:"Australia in the Asian Century" 2470:University of Canterbury alumni 1600:(Press release). Archived from 885:"Australia's Future Tax System" 795:. Fairfax Media. Archived from 541:On 1 June 2011, Prime Minister 2162:Australian National University 2132:Australian National University 2095:Cal, Peter (22 January 2013). 2007:Karp, Paul (7 February 2019). 1921:"Ken Henry is in deep trouble" 1632:Australian National University 1436:Martin, Peter (22 June 2010). 941:Malone, Paul (November 2006), 662:Australian Securities Exchange 446:Phrase attributed to Ken Henry 258:Australian National University 1: 2188:SMART Infrastructure Facility 2017:. Australian Associated Press 1459:Gans, Joshua (23 June 2010). 1288:"GFC|Australian economy" 1008:Belshaw, Jim (4 April 2007). 673:SMART Infrastructure Facility 484:released the contents of the 397:Bank Deposit Guarantee Scheme 270:University of New South Wales 170:University of New South Wales 2128:Sir Roland Wilson Foundation 1417:. Department of the Treasury 707:list, Henry was appointed a 233:, which became known as the 2236:Australian Honours Database 2097:"Ken Henry joins ASX board" 1748:Australian Associated Press 1489:Eltham, Ben (26 May 2010). 378:Australian Financial Review 2501: 1440:. Petermartin.blogspot.com 1395:. Petermartin.blogspot.com 1204:Maher, Sid (4 June 2010). 949:, ANU E Press and ANZSOG, 889:Department of the Treasury 859:Department of the Treasury 787:Daley, Paul (2 May 2010). 705:2007 Australia Day Honours 577:, and John Denton, CEO of 522:Australian Taxation Office 512:Resource Super Profits Tax 490:Resource Super Profits Tax 456:former Howard Government, 264:Education and early career 2329: 2280: 2271: 2263: 2258: 2102:The Sydney Morning Herald 1986:The Sydney Morning Herald 1869:Commonwealth of Australia 1834:The Sydney Morning Herald 1775:The Sydney Morning Herald 1293:The Sydney Morning Herald 1121:The Sydney Morning Herald 1086:"W-r-o-n-g or R-i-g-h-t?" 1064:The Sydney Morning Herald 551:Constitution of Australia 403:Reserve Bank of Australia 329:Consumption tax modelling 298:Reserve Bank of Australia 208: 112: 57: 46: 34: 2192:University of Wollongong 677:University of Wollongong 675:Advisory Council at the 579:Corrs Chambers Westgarth 371:Pre 2007 election speech 319:Emissions Trading Scheme 274:University of Canterbury 231:Future Tax System Review 204:; Non-executive director 177:University of Canterbury 2238:. Canberra, Australia: 982:"Mandarin's partiality" 603:National Australia Bank 597:National Australia Bank 555:Public Service Act 1999 426:global financial crisis 280:while studying for his 2194:. 2013. Archived from 1012:. Belshaw.blogspot.com 835:Cite journal requires 649: 506: 449: 394: 364: 339:goods and services tax 2455:Australian economists 810:Henry, K. R. (1982). 789:"Henry in the middle" 608:Appearing before the 571:Catherine Livingstone 501: 496:of mining companies. 482:Australian Government 389: 1576:16 June 2011 at the 855:"Treasury biography" 768:on 10 September 2014 532:Post-Treasury career 282:Doctor of Philosophy 2259:Government offices 2068:(7 February 2019). 1858:(1 February 2019). 742:on 6 September 2012 375:In April 2007, the 226:from 2001 to 2011. 2014:Guardian Australia 1931:on 5 February 2019 1808:on 9 February 2019 1743:Guardian Australia 1371:Business Spectator 963:on 16 January 2014 799:on 8 October 2012. 699:Awards and honours 693:Hairy-nosed wombat 553:, and outside the 215:Kenneth Ross Henry 126:Kenneth Ross Henry 2460:People from Taree 2432: 2431: 2290: 2289: 2281:Succeeded by 2160:(Press release). 2066:Grattan, Michelle 1878:978-1-920838-65-2 1630:(Press release). 1604:on 1 October 2011 1096:. 27 October 2008 1066:. 22 October 2008 614:Counsel Assisting 583:Gordon de Brouwer 361:, 23 January 2006 212: 211: 2492: 2316: 2309: 2302: 2293: 2284:Martin Parkinson 2264:Preceded by 2256: 2251: 2250: 2248: 2246: 2228: 2222: 2221: 2214: 2208: 2207: 2205: 2203: 2198:on 24 April 2013 2180: 2174: 2173: 2171: 2169: 2150: 2144: 2143: 2141: 2139: 2120: 2114: 2113: 2111: 2109: 2092: 2086: 2085: 2083: 2081: 2074:The Conversation 2062: 2056: 2055: 2053: 2051: 2033: 2027: 2026: 2024: 2022: 2004: 1998: 1997: 1995: 1993: 1976: 1970: 1969: 1963: 1961: 1955: 1947: 1941: 1940: 1938: 1936: 1927:. 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K. R. 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Index

AC

Secretary of the Department of the Treasury
John Howard
Kevin Rudd
Julia Gillard
Ted Evans
Martin Parkinson
Taree
New South Wales
Alma mater
University of New South Wales
University of Canterbury
PhD
Economist
Public servant
AC
Secretary of the Department of the Treasury
Henry Tax Review
Prime Minister
Julia Gillard
Chairman of the Australian Securities Exchange
Chairman of the National Australia Bank
Australian National University
University of New South Wales
University of Canterbury
New Zealand
Doctor of Philosophy
Labor
Paul Keating

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