A relative of mine is half Australian and has spent much of his life in NSW. He's nearly 60 now. He and his wife have always been kind, hospitable and generous towards me. My relative was a volunteer member of a lifeboat crew until recently and once earned a bravery award for carrying out a particularly difficult and dangerous rescue.
However, he is somewhat racist. He uses terms for other races which would be unacceptable in the UK. Usually, he uses these in a neutral way (if that's possible), but recently, he was the victim of theft while on holiday and commented, "bloody [ethnic slur in plural]". I was a bit shocked and very disappointed. It was the same slur that once caused controversy on an episode of Top Gear. I've never heard his wife say anything racist, but she recently posted a photo of her hobby room and there was a pair of gollywogs on a shelf😞
Having read The Slap, which contains various ethnic slurs and not just in the dialogue, I'm wondering if this is partly a cultural difference. Not that that would make it OK, but it might go some way to explaining it.