DELEGATES at the NSW Labor
conference gave Prime Minister Julia Gillard a 20-second round of
applause when she declared she wasn't about to 'lie down and die'.
With polls showing the Gillard government on course for an electoral wipe-out, the prime minister gave a backhanded compliment to Opposition Leader Tony Abbott.
"Tony Abbott got it right when he told his party room: she won't lie down and die," Ms Gillard told 850 delegates in Sydney Town Hall on Sunday as she recalled the opposition leader's comments in May.
Along with the thunderous applause from the conference floor, there was laughter when Ms Gillard said: "Delegates, a lot of things get said about prime ministers, some of them are even printable.
"And this year, I received the best compliment I have ever had in my life time.
"It came from the opposition so never let it be said it's impossible to get agreement between the two parties."
A day after Queensland Liberal National Party president Bruce McIver told his party conference future Labor leaders needed to be tied to the "toxic Labor brand", Ms Gillard said the ALP was more than a brand.
"Delegates, sometimes when reforming our great party is talked about, people say there is a problem with the Labor brand," Ms Gillard said.
"But delegates, Labor isn't a brand, it's a cause." Earlier today, Ms Gillard announced the federal government will spend an extra $1 billion to fund a pay rise awarded to Australia's social and community sector workers.
The boost will take the government's contribution to close to $3 billion to June 2021, as part of the phase-in period.
"We're not waiting for the Liberal states before we fund our share - because frankly, we might be waiting a while," Ms Gillard told the conference.
Nonetheless she called on state Liberal governments to "do the right thing" and make significant funding commitments of their own.
From December this year, 150,000 of Australia's lowest paid workers will receive pay rises of between 23 and 45 per cent, as a result of a Fair Work Australia decision in February.
About 120,000 of them are women.
Ms Gillard said these workers do some of the most challenging jobs in the country and they deserve to be properly rewarded.
"Every day, they're hard at work, leading teams of counselling professionals, taking charge of homes for homeless men and the mentally ill, running women's refuges, disability support centres and family support services," she said.
"Put simply, Australia cannot ever be a fair nation without the efforts of these workers."
Ms Gillard also used her speech to set the scene for a fresh battle with the coalition over workplace relations.
She pointed to Opposition Leader Tony Abbott's call this week for the need for "more flexibility" in workplace arrangements.
"Delegates, when he said 'more flexibility', something tells me he didn't mean making it easier to get time off when your kids are sick," she said.
"So the fight's on and we will fight it and win it.
"I am too proud of what we have achieved for working people, to do anything else but fight."
Ms Gillard said Labor would not make it easier to sack people or cut pay and conditions like penalty rates.
"And we won't bring back a culture of confrontation that sets employer against employee and destroys productivity through conflict."
The Australian Services Union (ASU) has welcomed the additional federal funding for pay rises for community sector workers.
"This means that the government is not only committed to equal pay, but also that they're committed to ensuring services that provide support to vulnerable people," ASU secretary Sally McManus said.
The onus was now on NSW Premier Barry O'Farrell to act.
"The O'Farrell government is yet to put a single cent on the table," Ms McManus said.
"The time for excuses is now over - either he proves he does believe in equal pay and stumps up the cash, or he's going to force cuts in services."
Her comments come as she was due to announce the opening of Garden Island naval base to cruise ships in a bid to boost tourism in Sydney -- just days after snubbing Australia's biggest city.
The historic Woolloomooloo site will become Sydney's new international gateway under the move, to be unveiled by Ms Gillard when she fronts the party faithful at the NSW Labor conference.
The announcement, to be made at Sydney Town Hall, is an olive branch from Ms Gillard, who spent the week defending her decision to give Brisbane the 2014 G20 summit of world leaders.
The federal government blamed the G20 decision partly on Sydney's lack of airport capacity -- a fact Premier Barry O'Farrell said was not mentioned during his phone call with the prime minister on Tuesday.
Sydney Harbour is overwhelmed by cruise-liners and 2011-12 was our busiest year on record, with 214 ships arriving, up from 150 the previous year.
Cruise operators -- which pour $150 million into the NSW economy every year -- must fight to obtain berths at the Overseas Passsenger Terminal and Barangaroo docks.
Some have admitted they avoid Sydney altogether because of the logjam.
Tourism lobby groups have been calling on the federal government to force the Department of Defence to share Garden Island, a narrow peninsula which navy has occupied for more than 150 years.
Ms Gillard said the government was preparing a long-term plan for the base, with three of the biggest cruise ships to be given guaranteed spots at the naval base immediately.
"When the Queen Mary, the world's biggest cruise ship, came to Sydney in March it brought 2500 visitors to the city on its own," Ms Gillard will say today.
"With a guarantee of expanded capacity, we could see a visit of that kind every month in summer. That's why we are expanding the number of guaranteed berths for the biggest visiting cruise vessels, ensuring three visits this coming cruise season and next, and we will prepare a plan to meet the long-term needs of our cruise industry.
"Better use of Garden Island as a new gateway for international visitors to Sydney Harbour will pump millions of dollars into the local economy and create valuable tourism jobs."
Garden Island -- so named for its role as the colony's first food source -- is the main east coast naval base and a crucial strategic installation.
Security fears have resulted in only a limited number of cruise ships being allowed to dock at the island under a pre-arranged deal with Defence.
Passengers have also until now not been allowed to disembark, instead being ferried by smaller boats to the city. The Sunday Telegraph understands the federal government proposal will entail Customs building a permanent facility at Garden Island to process international passengers as they disembark.
Passengers will also be allowed to walk to the CBD.
NSW Ports Authority figures show there were 153 liners berthing at Circular Quay and Barangaroo in the 2010/11 cruise season.
The authority has warned in the past that a new additional terminal will be required in the next decade to cater for the growing number of cruise ships, which are unable to pass under the Harbour Bridge.
Ms Gillard will be hoping the announcement will overshadow her stoush with Mr O'Farrell.
The federal government also blamed the lack of a convention centre to host the summit for its decision to deprive Sydney of the G20's expected economic windfall.
The existing convention centre at Darling Harbour is soon to close for three years while a new one is built.
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