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==Prime Minister in 1904== {{main|Watson government}} [[File:J. C. Watson - T. Humphrey & Co (cropped).jpg|thumb|upright|Watson c. 1904]] Labour <!-- do not change spelling, is correct in historical context -->under Watson doubled their vote at the [[1903 Australian federal election|1903 federal election]] and continued to hold the [[Balance of power (parliament)|balance of power]] despite all three parties holding about the same number of seats. In April 1904, however, Watson and Deakin fell out over the issue of extending the scope of industrial relations laws concerning the [[Conciliation]] and [[Arbitration]] Bill to cover state public servants, the fallout causing Deakin to resign. Reid declined to take office, which saw Watson become the first Labour<!-- do not change spelling, is correct in historical context --> [[Prime Minister of Australia]], the world's first Labour head of government at a national level ([[Anderson Dawson]] had led a short-lived Labour government in Queensland in December 1899), indeed the world's first [[socialist]] or [[social democratic]] government at a national level.<ref name=moadoph/> He was aged only 37, and remains the youngest prime minister in Australia's history.<ref name=adb/> [[Billy Hughes]] later recalled the first meeting of the Labour<!-- do not change spelling, is correct in historical context --> Cabinet with characteristic sharp wit:<ref name=apmfnlg>{{cite web | title =Chris Watson, The first national Labour government | publisher =[[National Archives of Australia]] | work =Australia's Prime Ministers | url =http://primeministers.naa.gov.au/primeministers/watson/in-office.aspx#section1 | access-date =10 February 2010 | archive-url =https://web.archive.org/web/20160218184033/http://primeministers.naa.gov.au/primeministers/watson/in-office.aspx#section1 | archive-date =18 February 2016 | url-status =dead }}</ref> {{blockquote|text=Mr Watson, the new Prime Minister entered the room, and seated himself at the head of the table. All eyes were riveted on him; he was worth going miles to see. He had dressed for the part; his Vandyke beard was exquisitely groomed, his abundant brown hair smoothly brushed. His morning coat and vest, set off by dark striped trousers, beautifully creased and shyly revealing the kind of socks that young men dream about; and shoes to match. He was the perfect picture of the statesman, the leader.}} [[File:Watson Ministry (cropped).jpg|thumb|left|The [[Watson Ministry]], 1904]] Despite the apparent fitness of the new prime minister for his role, the government hung on the fine thread of Deakin's promise of 'fair play'. The triumph of the historic first Australian Labour government was a qualified one β Labour<!-- do not change spelling, is correct in historical context --> did not have the numbers to implement key policies. The 'three elevens' β the lack of a definite majority in the parliament after the second federal election β dogged Watson just as it had Deakin.<ref name=apmfnlg/> Six bills were enacted during Watson's brief government. All but one β an amended ''Acts Interpretation Act 1904'' β were [[Money bill|supply bills]]. The most significant legislative achievement of the Watson government was the advancement of the troublesome [[Conciliation and Arbitration Act 1904|Conciliation and Arbitration Bill]].<ref>{{cite web|url=http://static.moadoph.gov.au/ophgovau/media/images/apmc/docs/03-Watson-Web.pdf|title=John Christian Watson, Prime Minister 27 April to 17 August 1904|website=[[Museum of Australian Democracy]]}}</ref> Another accomplishment was the appointing of a Royal Commission on a Bill related to Navigation and Shipping, whose report (presented a couple of years later) led to "major redrafting of the Navigation Act"<ref>{{cite book|author=Brian Carroll|title=Australia's Prime Ministers: From Barton to Howard|url=https://books.google.com/books?id=W8PUBuw4idYC&pg=PA59|year=2004|publisher=Rosenberg Publishing Pty, Limited|isbn=978-1-877058-22-6|page=59}}</ref> and improvements in conditions for Australian seamen.<ref>{{cite web|url=http://www.alp.org.au/australian-labor/achievements/index.html |archive-url=https://webarchive.nla.gov.au/awa/20100722034100/http://pandora.nla.gov.au/pan/22093/20100722-1341/www.alp.org.au/australian-labor/achievements/index.html |url-status=dead |archive-date=22 July 2010 |title=Achievements |publisher=Australian Web Archive |date=5 June 2018 |access-date=30 June 2018}}{{cbignore|bot=medic}}</ref> Once he became the Prime Minister Watson recognised the limitations of his position in the Labour caucus and endorsed the concept of a deputy leader. Andrew Fisher won the position by one vote over the more dynamic Billy Hughes.<ref>Julian Fitzgerald ''On Message: Political Communications of Australian Prime Ministers 1901β2014'' Clareville Press 2014 p 54</ref>
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