DEMOCRAT PARTY

Ashburton Guardian, Volume 55, Issue 300, 2 October 1935, Page 3

DEMOCRAT PARTY

LEADER OUTLINES THE POLICY. RELIEF FOR ALL CLASSES. MR- HISLOP AT AUCKLAND. {Special to the “Guardian.”) AUCKLAND', October 1. The election campaign of the Democrat Party opened before' a crowded audience in the Town Hall to-night ; when the party’s leader, Mr T. C. A. Hislop, made his first policy speech, expounding in detail its principles and programme. He was welcomed with loud applause as he entered the hall, accompanied by the Mayor (Mr Ernest Davies), who preside!. Three cheers were given for Mr Hislop, and Mrs Hislop was presented with a bouquet. The leader’s speech, which lasted nearly 2-i hours, was punctuated with applause. Various people, mostly with ljabour sympathies, scattered in the hack of the hall, indulged in a good deal of humorous and occasionally, pointed interjections. Mr Hislop said that his relation with, Rir Alexander Herdman, whom the party would not oppose in the Parnell electorate,' had always beeu most friendly. He felt that any apparent differences of: opinion between them on matters of principle would be found in the long nin to be more imaginary than real. The following motion was moved: “That this meeting of Auckland citizens, one of the largest and most representative that has been held in the city, desires to record its sincere appreciation and thanks to Mr Hislop for. his brilliant exposition of the political policy of the Democrat Party, it therefore pledges {nm the fullest co-operation and sup-

port in his task of rehabilitating the national affairs of New Zealand. The motion was carried, a considerable section voting against'’it. The principal points in the statement include: Restoration of the unemployed to normal work at full normal wages. Creation of a National Development Council to stimulate enterprises designed to become self-supporting. Abolition of annual unemployment levy, reduction of unemployment taxation, reduction of general taxation, and the abolition of the sales tax, the gold export tax, and the unemployment levy. A 10 per cent, reduction in income tax. Reduction of the exchange rate anc] payment of an export subsidy on produce equal to the net benefits of exchange. Restoration in full of Civil Service

salary cuts, and restoration of the superannuation fund. Increase in all pensions under a national health and silperannuative pensions scheme. Elective representation of the Broadcasting Board and encouragement of B stations. Reduction in the number of members of the House of Representatives . and an elective Upper House. Reversion to five years for the school commencement, age. Mr Hislop said that his party proposed to set up a National Development Council consisting of representatives of the Government, local bodies, primary, secondary, manufacturing and financial interests, which would examins and advise on.proposals for the development of national, local and piivate enterprise. The financial provisions would be made through a national development fund. Assistance would not necessarily be given by direct advances, but help would be extended in some cases by a guarantee either of principal or interest or divi-

tlend. The essential principle was that the works must become within a reasonable period self-supporting. He believed that there was a greater opportunity for the permanent absorption of people into work through avenues of private enterprise rather than State enterprise. There were innumerable schemes which could be submitted, including public works, railways, housing, afforestation, mining, irrigation in the South Island, group settlement on the land and bringing back to production deteriorating farm lands. There were definite economic schemes for housing' which would help to rehabili-

tate the building industry, but his party did not intend to embark on a State housing scheme. To finance the schemes they would borrow', and for the first year would take authority to borrow up to

£8,000,000, which it was estimated, would directly employ and supply with materials 16,000 men. At least an equal number would be employeu in the supply of materials and their transport. Thus £8,000,000 in direct payments would create woik lor at least 32,000 men, and probably many more. They would not necessarily, borrow the entire amount in the first year as the sum required would be less if they financed many sf the schemes by guarantee, while the result would be the same. In a comparatively short period the whole cost of the scheme would be removed from the State on to the self-supporting work involved. He was'satisfied that they could in the first year put 40,000 jnen back into work Jit full normal rates of pay, make better provision for the unemployed, and also reduce taxation. The annual levy of £1 would be abolished and the unemployment tax on wages reduced from 8d to 6d in the

£. • A portion of the latter tax would form the basis of the national health insurance scheme. If to complete the entire rehabilitation through these methods a total sum over four years of even up to £20,000,000 was required it would be definitely well worth it. He believed that private enterprise must be free from unfair competition by State departments which should be placed on the same footing for the purposes of taxation. The Exchange Rate. The policy of the Democrat Party was to bring the rate of exchange to its true economic relationship with

sterling, calling into consultation the Reserve Bank and trading banks. They intended as the exchange fell to pay to the individual farmer an export subsidy, on his produce which would give him rather more than the present exchange. A special fund would be set up for the purpose from resources made available from the reduction in the exchange rate. No assistance would he given to the big farmer or a man \yho was not in need of assistance from the State.

Mortgage Adjustment.

. On the question of mortgage adjustment, he stood definitely for the sanctity of contracts. The Democrat Party intended, to repeal those provisions of the Rural Mortgagors Final Adjustment Act which involved a deliberate breach of contract and confiscation of property, and on the other hand the humiliation of farmers under the provisions of the “stay order” budget, together with the loss of his equity. He suggested that the concealed purpose of the Mortgage Corporation was to act as receiver for the State Advances Department and other lending departments. The business could be done without the unjustifiable overhead expenditure of the Mortgage Corporation which, combined with luxuriance and extravagance of accommodation was a crying public scandal. In connection with secondary industries it was a definite plank of the party that manufacturing and other industries which could be developed on sound economic principles should have the fullest support. The Cilvil Service. The party would restore the Civil Service salary cuts in full, leaving none out of that restoration. He gave a definite pledge that they would fulfil to the letter the contract winch the State had made with superannuated public servants and restore tire fund to complete financial stability. They would also ensure without delay, the regrading of the Civil Service, and they would to the fullest possible extent encourage private enterprise to take up the tourist traffic. The day they become the Government of the country the Main Highways Fund would he devoted entirely to the maintenance arid development of the highways. For land defence, a system of volunteer service would be

actively encouraged. Social Welfare. The national health and superannuativc pensions scheme of the party was designed to co-operate with friendly societies and private insurance companies. No direct tax would be placed on employers in respect of each employee. The scheme would be financed by a contributory tax on the same principle as the unemployment tax. The basis of that tax would be altered to include a contributory tax for the purpose of the scheme. All contributors and their dependents would be entitled to full benefits, provided the contributor’s income was below £267 per annum. A national tuberculosis scheme, including improved sanatorium facilities and school tuberculosis officers, would also be provided. There was also a policy for an improvement in the facilities for combating cancer, and it was proposed to investigate and remedy the incidence of malnutrition among children. The superannuative pensions scheme would provide for payments on a similar basis as old age, widows’, miners’, blind and other pensions, but with an increase of approximately 25 per cent, in the amount; while the property exemption would be increased. War pensions would also be similarly increased, with a -widening of the terms for allowances to the wives and dependents .of returned soldiers, and the payment of an ordinary superannuate© pension at the age of 55 instead of 65. In eases of applications from soldiers or their widows or dependents for pensions due to physical conditions arising from war service, the onus would be on the State to prove that the condition was not due to war service. He anticipated a reduction of contributions by local bodies in the form of hospital rates. Education.

Regarding education, the party proposed to provide for unified control of die education system in each education district, and also set upi a national education advisory council. The party would revert immediately to five years as the commencing age for children. Practical training in technical trades and callings and agricultural pursuits would be brought into the schools. A national scale of increased salaries for teachers would be provided and conditions improved. The principle of an elective Council with a reasonable proportion of direct representation would be brought into operation. He was satisfied that the party could reduce taxation through its policy, and savings which they would effect. The sales tax and gold export tax would b© abolished, and in addition they would make a 10 per cent, reduction in the income tax. He had full and complete confidence that the programme could be carried out to the letter, and that there would be a balanced Budget with confidence and prosperity restored to the country.