Ted Theodore | |||||||||||||||||||||||||||||||||||||||||||||||||||||
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| Treasurer of Australia | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| In office 29 January 1931 – 6 January 1932 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Prime Minister | James Scullin | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Preceded by | James Scullin | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Succeeded by | Joseph Lyons | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| In office 22 October 1929 – 9 June 1930 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Prime Minister | James Scullin | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Preceded by | Earle Page | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Succeeded by | James Scullin | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Deputy Leader of the Labor Party | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| In office 5 February 1929 – 19 December 1931 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Leader | James Scullin | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Preceded by | Arthur Blakeley | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Succeeded by | Frank Forde | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Member of Parliament forDalley | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| In office 26 February 1927 – 19 December 1931 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Preceded by | William Mahony | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Succeeded by | Sol Rosevear | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| 20thPremier of Queensland | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| In office 22 October 1919 – 26 February 1925 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Monarch | George V | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Deputy | John Fihelly William Gillies | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Governor | Hamilton Goold-Adams Matthew Nathan | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Preceded by | T. J. Ryan | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Succeeded by | William Gillies | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4thDeputy Premier of Queensland | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| In office 1 June 1915 – 22 October 1919 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Premier | T. J. Ryan | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Preceded by | Thomas O'Sullivan | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Succeeded by | John Fihelly | ||||||||||||||||||||||||||||||||||||||||||||||||||||
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| Personal details | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Born | Edward Granville Theodore[a] (1884-12-29)29 December 1884 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Died | 9 February 1950(1950-02-09) (aged 65) Edgecliff,New South Wales, Australia | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Resting place | South Head Cemetery,Bronte | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Political party | Labor | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Spouse | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Relations | Stephen (brother) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Children | 4 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Edward Granville Theodore (29 December 1884 – 9 February 1950) was an Australian politician who served asPremier of Queensland from 1919 to 1925, as leader of thestate Labor Party. He later entered federal politics, serving asTreasurer in theScullinLabor government.
Theodore was born inAdelaide, the son of aRomanian immigrant. He left school at the age of 12, and spent the next decade working his way around the country. He arrived inQueensland in 1906, and soon became involved in thelabour movement. Theodore was elected to theQueensland Legislative Assembly in 1909, aged just 24. He was also elected state president of theAustralian Workers' Union in 1913. Theodore becameTreasurer of Queensland following Labor's victory at the1915 state election.
In 1919, Theodore succeededT. J. Ryan as premier. His government pursued various interventionist economic policies, establishing a number ofstate-run enterprises and introducing new competition and labour market regulations. These perceived steps towards socialism led to Theodore being nicknamed "Red Ted". A notable constitutional reform was the abolition of theQueensland Legislative Council in 1922; Queensland remains the only Australian state with noupper house in its parliament. Theodore was popular among the general public, and won two state elections (1920 and1923) before resigning in 1925 to enter federal politics. He was defeated at his first attempt, but two years later won a by-election for the Sydney seat ofDalley.
In 1929, Theodore was elected deputy leader toJames Scullin. He became Treasurer and de facto Deputy Prime Minister after the1929 election, but resigned after less than a year amidaccusations of corruption. Theodore returned as a Treasurer in early 1931, and served until the government's landslide defeat at the1931 election, where he lost his own seat. He had little success in combating theGreat Depression, and disputes over economic policy led toa party split and several defections toLang Labor and theUnited Australia Party. Theodore was only 47 when he left politics, and went on to have a successful business career as a partner ofFrank Packer.
Theodore was born on 29 December 1884 inPort Adelaide,Province of South Australia, the second of six children born to Annie (née Tanner) and Basil Stephen Theodore.[1] His parents had met in 1882, on the passage from England to Australia. After arriving inFremantle,Western Australia, they initially went their separate ways; they kept in touch by letter, however, and by the end of the year had married inPerth. They subsequently moved toAdelaide, where their first sonStephen was born the following year.[2]
Theodore's father, originally named Vasile Teodorescu, was born inGalați,Moldavia, into a well-to-do family connected with the Romanian nobility. He and his brother travelled toLondon in their youth, where they learned English. His parents had intended that he follow his father into theRomanian Orthodox priesthood, but he quit divinity school to join theBritish Merchant Navy.[1] Theodore's mother was born inManchester, England, and descended from Irish immigrants. Her father died when she was an infant, and she was sent to work in theLancashire cotton mills. When her mother died, she accepted an invitation to join her step-brother Tom Harrison (an ex-convict) at his farm inGreenough, Western Australia; however, she stayed there only a few months before returning toPerth to marry.[2]
Theodore was educated atLefevre Peninsula Catholic andAldgate State schools in Adelaide, but left school at 12 to work on theAdelaide docks. In 1900, aged 16, he left for the goldfields of Western Australia, working as a labourer atLennonville andPeak Hill. He then joined aguano mining crew on theHoutman Abrolhos, where he acquired his lifelong love of fishing.[3] After a while, Theodore returned to the mainland and worked as a gold miner atDay Dawn andKalgoorlie. He went back to Adelaide for Christmas 1902, and then joined his father on an unsuccessful prospecting expedition toLeigh Creek andBundaleer, where they had hoped to find copper. Later in 1903, Theodore got his first experience in industrial relations, helping negotiate a wage increase for miners atArltunga.[4] He then decided to try his luck atBroken Hill, New South Wales. In 1906 he left forCairns,Queensland where he prospected for tin in theChillagoe area and worked in theVulcan Mine inIrvinebank. It was among the unorganised workers ofStannary Hills and Irvinebank that the Amalgamated Workers' Association of North Queensland was born.[citation needed]
Theodore founded the Amalgamated Workers' Association withBill McCormack. This union used the process and principle of amalgamation to unify with other unions until it became Australia's largest union, theAustralian Workers' Union (AWU). Theodore became Queensland state president of the AWU in 1913. Meanwhile, he had been elected to theLegislative Assembly of Queensland inWoothakata from 1909 to 1912 for theAustralian Labor Party and subsequently from 1912 to 1925 inChillagoe (the seat of Woothakata renamed).[5][6] His position in the AWU made him a power in the Parliamentary Labor Party, and when Labor won a majority in the Assembly for the first time in 1915, he becameTreasurer and Secretary for Public Works in the government ofT. J. Ryan.[7]
In 1919, Ryan resigned and Theodore succeeded him as Premier of Queensland, then Australia's only Labor state government, following the great split in the Labor Party over the issue ofconscription in World War I. He was a popular and successful Premier, and soon began to be talked about as a possible federal Labor leader. Important educational measures were implemented, which benefited the handicapped and isolated, adult franchise in local government was introduced, and theupper house of Parliament abolished. Workers benefited from the introduction of a compulsory unemployment scheme, changes in the Safety and Accommodation Acts, and the Profiteering Prevention Act. Improvements in housing were also secured through amendments to the Savings Bank Act, the Workers' Homes Act, and the Fair Rents Act. Agriculture also received much attention through measures like the Agricultural Education Act, the Irrigation Act, the Main Roads Act, and the establishment of an Agricultural Bank, a cold store, a state cannery, a Cheese Pool, and awheat board. Orderly marketing and controls on price fluctuations were also carried out to develop agriculture, while the Theodore Government also involved itself in the marketing of Queensland fruit produce.[8][page needed]
In 1925, Theodore resigned as Premier and stood for the Queensland seat ofHerbert in the federal election, but was unexpectedly defeated byLewis Nott by 268 votes.[9]
Theodore was elected to theHouse of Representatives for the seat ofDalley in Sydney ata 1927 by-election. His status as an outsider in Sydney Labor politics was a permanent problem for him, but he soon made his mark in federal Parliament. In 1929 he became Deputy Leader of the Labor Party and Deputy Opposition Leader underJames Scullin. In October 1929 Scullin defeated the conservative government ofStanley Bruce and became Prime Minister, while Theodore became Treasurer and de factoDeputy Prime Minister.[citation needed]
Two days after the Scullin government was sworn in,the US stock market crashed. The effects of theGreat Depression were soon felt in Australia, and the Scullin government, like others, was hard pressed to deal with mounting unemployment and the collapse of world trade, on which Australia's export-based economy depended. Theodore, an early advocate ofKeynesian economics, favoured deficit spending to rejuvenate the economy. However, Works and Railways MinisterJoseph Lyons and Trade MinisterJames Fenton supported a more traditional, deflationary approach.[citation needed]
Meanwhile, a conservative government had taken power in Queensland, and appointed aRoyal Commission to investigate Theodore's financial dealings as Premier. The Commission found that Theodore and another former Queensland PremierWilliam McCormack, had corruptly profited by authorising the purchase by the state of a copper mine atMungana while concealing the fact that they had a financial interest in the mine, which furthermore was not economically viable. In July 1930 the "Mungana affair" forced Theodore's resignation.[10][11]
Without Theodore's leadership and financial skills, the Scullin government drifted into deeper crisis. When it became apparent that the Queensland government did not intend charging Theodore with any offence, Scullin re-appointed him as Treasurer, in January 1931. Lyons and Fenton felt that Scullin should have waited until Theodore had been formally cleared, and resigned from cabinet in protest. Two months later, they and three of their supporters crossed the floor to the non-Labor opposition, and eventually joined forces with theNationalists to form theUnited Australia Party, led by Lyons.[citation needed]
During 1931 Theodore faced the greatest economic crisis in Australian history. The government imported an advisor from theBank of England, DrOtto Niemeyer, who recommended an "orthodox" solution, including sharp reductions in government spending such as pensions and unemployment benefits. The radical Premier of New South Wales,Jack Lang, on the other hand, campaigned for the repudiation of Australia's debt to bond-holders in London.[citation needed]
Theodore rejected both these alternatives and proposed instead an expansion of credit to farmers and small business, through the issue of "fiduciary notes" which could be redeemed after the Depression. His Fiduciary Notes Bill was denounced as financially unsound by orthodox economists and the banks. It was eventually defeated in theSenate, which was still controlled by the conservative opposition. Theodore has been described as a visionary proto-Keynesian for this proposal, although it cannot be known what effect his measures would have had on the Depression had the bill been passed.[citation needed]
In March 1931, Lang's supporters in Parliament deserted the main body of Labor. Combined with the defection of Lyons and his supporters a few weeks earlier, this cost Scullin his majority. In November, the UAP and Langites rose to defeat the government on a non-confidence motion, andan election was held in December. Theodore had no base of support in Sydney and he lost his seat to Lang candidateSol Rosevear. This ended Theodore's political career, although during the 1930s several offers were made to him to return.[citation needed]
He was the only sitting treasurer to lose his seat until Josh Frydenberg in 2022.[citation needed]
Theodore left politics entirely after his defeat.[12] In 1932, Theodore began a business relationship with 25-year-oldFrank Packer, the son of newspaper industry veteranR. C. Packer. The duo formed Sydney Newspapers Limited with the aim of acquiringThe World, a daily newspaper published by theAustralian Workers' Union that was known to be in financial difficulties. For £100, they acquired the rights to lease the masthead and plant for one year. It was subsequently announced that the newspaper would be re-branded asThe Star and would be priced at 1d (one penny), compared with 1½d for its major rivalThe Sun, published by Associated Newspapers Limited.Hugh Denison, the managing director of Associated Newspapers, paid Theodore and Packer £86,500 in return for an agreement for them not to publish a daily or Sunday newspaper for three years.[13][page needed]
Theodore invested most of his profits back into Associated Newspapers, buying shares at a low price and selling them later for a 500–600% return.[14] He and Frank Packer subsequently decided to create a new weekly magazine for women, which they titledThe Australian Women's Weekly.George Warnecke, an ALP acquaintance of Theodore's, was appointed as the founding editor. The new publication proved immensely successful, and in 1936 Theodore and Packer joined forces with Denison to formAustralian Consolidated Press (ACP), which became the new publisher of theWomen's Weekly and Denison'sThe Daily Telegraph.[13][page needed] Theodore served as chairman of the new company, but "interested himself only in the financial and administrative aspects" while Packer concentrated on publishing.[15]
In 1933, Theodore learned that gold had been found inFiji on the island ofViti Levu. The area of interest had been pegged by Bill Borthwick and leased by Pat Costello, both of whom had connections with Queensland. Theodore contacted Costello, an old acquaintance, about the find, and offered to finance further exploration of the area. He formed a syndicate with Frank Packer,John Wren, and Wren's associate Patrick Cody, with each of them holding a quarter stake.[16] Geological findings were initially unfavourable. Eventually three mines were established – Emperor, Loloma and Dolphin – with Theodore as managing director of all three. Their success sparked a minor gold rush, but by the end of 1936 the three mines were the only ones remaining. By 1943 Loloma alone had yielded $10 million worth of gold and paid over $2 million in dividends.[17]
Theodore took a keen interest in the welfare of the miners. He advised the government on the creation of medical benefits and workers' compensation schemes, while thecompany town had three schools, a golf course, a bowling green, tennis courts, a dispensary and a maternity hospital.[18] Due to his success in Fiji, Theodore was approached by the British administrations inBorneo and theSolomon Islands to lead prospecting expeditions.[18] Neither were successful, and he contracted malaria while in Borneo; upon his return, he was presented with atabua (polished whale's tooth) and elevated to the chiefly rank ofratu. Theodore took up full-time residence in Fiji, returning to Australia only for business trips and trout-fishing. He had a residence 10 miles (16 km) outside ofSuva, and while at the mines lived in abure.[19]
In March 1939, Prime MinisterJoseph Lyons cabled Theodore in Fiji, asking him to return to Australia and co-ordinate the country's national resources for defence purposes. However, due to Lyons' defection from Labor being a key contributor to Theodore's political demise, Theodore therefore declined, stating that "in the absence of some emergency involving the national safety, I would like to keep out of politics".[20] In the event however Lyons' offer became moot when he died the following month April before anything could be arranged.[21]In May 1940, theLoan Council offered him the position of coordinator of works. This proved highly controversial among members of the government, and Prime MinisterRobert Menzies issued a statement explaining that the offer had been made entirely by the Loan Council and would have to be ratified by cabinet.[22] Theodore eventually agreed in February 1942 to oversee the creation of theAllied Works Council, with himself as Director-General of Allied Works. He subsequently established theCivil Constructional Corps (CCC) to undertake construction work requested by the military.[23]
Theodore faced criticism and political interference from his former opponents in the ALP, particularly Jack Lang andEddie Ward, the Minister for Labour and National Service. He requested that theDepartment of Labour and National Service provide the CCC with lists of men available for work, but Ward refused to allow the information to be issued. The corps had to resort to telephone directories and electoral rolls in order to recruit sufficient workers. Ward then attacked Theodore for calling up elderly and deceased men.[24] In September 1942, Theodore tendered his resignation to Curtin, citing Ward's lack of cooperation.[25] Curtin relaxed political controls and gave him additional powers, including the ability to prosecute men who refused to work. He rescinded his resignation and eventually left the position in October 1944.[26]
Theodore was a delegate to the Imperial Press Conference in London in 1946. He resumed his work in Fiji and considered moving there permanently. However, the following year he was diagnosed with a serious heart condition. His health declined rapidly and he began handing business responsibilities to his children; he resigned from ACP in January 1949.[26]
After several days in a coma, Theodore died at his flat inEdgecliff on 9 February 1950, at the age of 65.[27][28] His funeral was held atSt Mary's Cathedral, Sydney, with the mass celebrated by his friendJames Duhig, Catholic Archbishop of Brisbane.[29] He was buried atSouth Head Cemetery.[7]
Theodore married Esther Mahoney on 20 December 1909. She worked as aphotographic tinter and was the daughter of a cabinetmaker fromToowoomba.[30] The couple had two sons and two daughters.[7] She was eleven years his senior. The couple were estranged at the time of Theodore's death in 1950.[31] After Ted's death his son John assumed charge of the family's joint business interests withFrank Packer and he became the first managing director ofChannel 9.[citation needed]
The Mungana affair likely cost Theodore a chance to become prime minister, and would "irreparably taint his reputation during his lifetime and beyond". HistorianRoss Fitzgerald has called him "the most talented Labor politician never to be prime minister of Australia", and noted that his admirers includePaul Keating,Bob Katter, andJack Lang (his former opponent).[32]
The following things were named after Theodore:
| Political offices | ||
|---|---|---|
| Preceded by | Premier of Queensland 1919–1925 | Succeeded by |
| Preceded by | Treasurer of Australia 1929–1930 | Succeeded by |
| Preceded by | Treasurer of Australia 1931–1932 | Succeeded by |
| Parliament of Queensland | ||
| Preceded by | Member for Woothakata 1909–1912 | Succeeded by Abolished |
| Preceded by New Division | Member for Chillagoe 1912–1925 | Succeeded by |
| Parliament of Australia | ||
| Preceded by | Member for Dalley 1927–1931 | Succeeded by |
| Party political offices | ||
| Preceded by | Leader of the Labor Party in Queensland 1919–1925 | Succeeded by |
| Preceded by | Deputy Leader of the Australian Labor Party 1929–1931 | Succeeded by |
