G'day Rhrosty,
Reducing the purchasing power of the dollar to 65c is effectively raising the cost of imports by 35c in every dollar.
While I agree with many of your points (including and most especially "it will never happen here!"), making the country as a whole 35% poorer (comparatively) doesn't strike me as an ideal solution.

Here the author is seeking some modest achievable reforms, at least as a start point to serious discussion - some greater freedom in hiring and firing and an easing-off of penalty rate provisions for small business (and maybe some wages flexibility - lower penalties, but enabling flexible 'bonuses' perhaps) - and these go ignored.
Some simple IR reform just too hard, eh? Too smacking of Work Choices for any to take seriously? Got to hold on to all the so-very-hard-won conditions and resist any nibbling away at the edges, even if it means the ship goes down for want of a nail? Sensible?

We apparently have the highest minimum (and possibly average) 'real' wages in the developed world, but we can't afford a little justifiable trimming.
Not too clever for our own good I don't suppose?

Rather than considering achievable meaningful reform, Rhrosty wants a revolution - total overhaul of taxation, abandoning of the 'floating' dollar (as if our international trading partners would allow it - see Chinese Yuan issue), and go it solo on fuel. Woodside can't make the numbers work for James Price but our illustrious Aus government could turn it into a 'Golden Goose'? Especially in our Union-driven IR system of wages and conditions = a Goose for the Unions to pluck.

Boycott away Rhrosty, and see business shut down for the duration.

Maybe your tax overhaul could work Rhrosty (via expenditure tax), with businesses paying it on all purchases and on wages/salaries, and then everyone along the line paying for purchases and services, a bit like GST eh? And around the money goes, with gov't taking its cut all along the stream, but no deductions.
So, cut purchasing costs, increase prices on sales, maximise profits and minimise tax?

When we become energy and fuel self-sufficient, maybe a 65 cent dollar could be a goer, but until then?
Higher import costs would not amuse small business or the average consumer.
When the U.S. and EU dig themselves out of their 'holes' the $A will steady back in accordance with, hopefully, genuine open-market forces.

"We apparently have the highest minimum (and possibly average) 'real' wages in the developed world, but we can't afford a little justifiable trimming."
Yes, I remember the papers -and K. Rudd- crowing about a report that claimed Australia had the highest minimum wage -As A Percentage OF the Median Wage- in the World.
The other -and more honest- way of spinning that would be to point out that 50% of Australians make buggrall more than the minimum wage.
The most telling statistic is the difference between the "median" (that which 50% of us make less than) and the "average" (total wage pool divided by number of wage earners).
Currently the median is around $40k, while the average is around $70k; dragged upward by the likes of our hard working and self sacrificing "Representatives".