Editing Harold Holt (section)

==Postwar ministerial career==
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After eight years in opposition, the Coalition won the [[1949 Australian federal election|federal election of December 1949]] and Menzies began his record-setting second period as Prime Minister. In a redistribution held ahead of that election, Holt's majority in Fawkner nearly disappeared. He transferred to [[Division of Higgins|Higgins]], one of several new seats created in the 1949 redistribution. The seat was created as a safe Liberal seat; it had been carved out of the wealthier portions of Fawkner. Holt won it easily. He was appointed to the prestigious portfolios of [[Minister for Employment and Workplace Relations (Australia)|Minister for Labour and National Service]] (1949–1958; he had previously served in this portfolio 1940–41) and [[Minister for Immigration and Citizenship (Australia)|Minister for Immigration]] (1949–1956), by which time he was being touted in the press as a "certain successor to Menzies and a potential Prime Minister". In Immigration, Holt continued and expanded the massive immigration programme initiated by his ALP predecessor, [[Arthur Calwell]]. However, he displayed a more flexible and caring attitude than Calwell, who was a strong advocate of the [[White Australia policy]].<ref name = ADB /> One of his first acts was to intervene in the case of [[Lorenzo Gamboa]], a Filipino man with an Australian wife and children who had been denied entry by Calwell due to his race. Holt reversed the decision, allowing Gamboa to settle in Australia permanently.<ref>[https://www.theguardian.com/commentisfree/2014/mar/18/annie-white-australia-policy How one refugee signalled the end of the White Australia policy], ''The Guardian Australia'', 18 March 2014. Retrieved 14 December 2017.</ref>

Holt excelled in the Labour portfolio and has been described as one of the best Labour ministers since Federation. Although the conditions were ripe for industrial unrest—Communist influence in the union movement was then at its peak, and the right-wing faction in Cabinet was openly agitating for a showdown with the unions—the combination of strong economic growth and Holt's enlightened approach to industrial relations saw the number of working hours lost to strikes fall dramatically, from over two million in 1949 to just 439,000 in 1958. He also had ministerial responsibility for the [[1956 Summer Olympics|Melbourne Olympics]] in 1956.<ref>{{cite news |title = Harold Holt: urbane treasurer |first = John |last = Hawkins |work = Economic Roundup Issue 1, 2012 |publisher = The Treasury |url = http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |page = 62 |url-status = dead |archive-url = https://web.archive.org/web/20140212121321/http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |archive-date = 12 February 2014 }}</ref>

Holt fostered greater collaboration between the government, the courts, employers and trade unions. He enjoyed good relationships with union leaders like [[Albert Monk]], President of the [[Australian Council of Trade Unions]]; and [[Jim Healy (trade unionist)|Jim Healy]], leader of the radical [[Maritime Union of Australia|Waterside Workers Federation]];and he gained a reputation for tolerance, restraint and a willingness to compromise, although his controversial decision to use troops to take control of cargo facilities during a waterside dispute in [[Bowen, Queensland|Bowen]], [[Queensland]] in September 1953 provoked bitter criticism.

Holt's personal profile and political standing grew throughout the 1950s. He served on numerous committees and overseas delegations, he was appointed a [[Privy Counsellor]] in 1953,<ref name = ADB /> and in 1954 he was named one of Australia's six best-dressed men. In 1956, he was elected Deputy Leader of the Liberal Party and became [[Leader of the House (Australia)|Leader of the House]],<ref name = ADB /> and from this point on, he was generally acknowledged as Menzies' heir apparent.

===Treasurer (1958–1966)===
[[File:Holt and Menzies.jpg|thumb|right|Holt with Prime Minister [[Robert Menzies]]]]
In December 1958, following the retirement of [[Arthur Fadden]], Holt succeeded him as [[Treasurer of Australia|Treasurer]].<ref name = ADB /> Holt had little knowledge or interest in economics, but the job cemented his position as Menzies' likely successor.<ref>{{cite news |title = Harold Holt: urbane treasurer |first = John |last = Hawkins |work = Economic Roundup Issue 1, 2012 |publisher = The Treasury |url = http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |page = 63 |url-status = dead |archive-url = https://web.archive.org/web/20140212121321/http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |archive-date = 12 February 2014 }}</ref> As Treasurer, Holt relied strongly on the advice of Treasury secretary [[Roland Wilson (economist)|Roland Wilson]].<ref>{{cite news |title = Harold Holt: urbane treasurer |first = John |last = Hawkins |work = Economic Roundup Issue 1, 2012 |publisher = The Treasury |url = http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |pages = 63–64 |url-status = dead |archive-url = https://web.archive.org/web/20140212121321/http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |archive-date = 12 February 2014 }}</ref> His achievements included major reforms to the banking system (originated by Fadden){{spaced ndash}}including the establishment of the [[Reserve Bank of Australia]]{{spaced ndash}}and the planning and preparation for the introduction of [[decimal currency]]. It was Holt who convinced Cabinet to call the new currency the "dollar" rather than the "royal".<ref name="Hawkins 66–67">{{cite news |title = Harold Holt: urbane treasurer |first = John |last = Hawkins |work = Economic Roundup Issue 1, 2012 |publisher = The Treasury |url = http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |pages = 66–67 |url-status = dead |archive-url = https://web.archive.org/web/20140212121321/http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |archive-date = 12 February 2014 }}</ref>

The economy Holt inherited was growing strongly, aided by the opening of new iron ore mines.<ref>{{cite news |title = Harold Holt: urbane treasurer |first = John |last = Hawkins |work = Economic Roundup Issue 1, 2012 |publisher = The Treasury |url = http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |pages = 64–65 |url-status = dead |archive-url = https://web.archive.org/web/20140212121321/http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |archive-date = 12 February 2014 }}</ref> However, in 1959, inflation was running at 4.5% and Treasury was alarmed. Holt was reluctant to act, but in November 1960 introduced a deflationary package of tax changes. He also reluctantly agreed to an interest rate rise by the Reserve Bank. The [[credit squeeze]] was nicknamed the "Holt jolt". The economy went into recession, and unemployment rose to three percent, which was considered high for the time and contrary to the government's policy of [[White Paper on Full Employment in Australia|full employment]].<ref>{{cite news |title = Harold Holt: urbane treasurer |first = John |last = Hawkins |work = Economic Roundup Issue 1, 2012 |publisher = The Treasury |url = http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |pages = 65–66 |url-status = dead |archive-url = https://web.archive.org/web/20140212121321/http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |archive-date = 12 February 2014 }}</ref><ref>[http://www.smh.com.au/business/its-half-a-century-since-australia-received-the-holt-jolt-20100222-orwn.html It's half a century since Australia received the Holt Jolt], ''[[The Sydney Morning Herald]]'', 23 February 2010. Retrieved 15 December 2017.</ref>

The credit squeeze brought the Coalition dangerously close to losing the [[1961 Australian federal election|1961 election]], with the Coalition being returned with a precarious one-seat majority. There were calls for Holt to be sacked, but he retained Menzies' support.<ref>{{cite news |title = Harold Holt: urbane treasurer |first = John |last = Hawkins |work = Economic Roundup Issue 1, 2012 |publisher = The Treasury |url = http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |page = 66 |url-status = dead |archive-url = https://web.archive.org/web/20140212121321/http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |archive-date = 12 February 2014 }}</ref> He later described 1960–61 as "my most difficult year in public life". Most of the deflationary measures were reversed in 1962,<ref name="Hawkins 66–67"/> and unemployment dropped down to 1.5 percent by August 1963.<ref>Frame (2005), p. 119.</ref> In later budgets, Holt retreated to his Queensland holiday home while it was being prepared.<ref>{{cite news |title = Harold Holt: urbane treasurer |first = John |last = Hawkins |work = Economic Roundup Issue 1, 2012 |publisher = The Treasury |url = http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |page = 68 |url-status = dead |archive-url = https://web.archive.org/web/20140212121321/http://www.treasury.gov.au/~/media/Treasury/Publications%20and%20Media/Publications/2012/Economic%20Roundup%20Issue%201/Downloads/05%20Hawkins%20Harold%20Holt.ashx |archive-date = 12 February 2014 }}</ref> He said that the 1965 budget "has had the best reception yet of any in the series I have presented".<ref>Frame (2005), p. 127.</ref>