MOUNT MORGAN MINES.

Auckland Star, Volume LII, Issue 129, 1 June 1921, Page 5

MOUNT MORGAN MINES.

MEN GIVEN MONTH'S NOTICE. MAT REMAIN AT 20 PER CENT REDUCTION. (Received 10.30 a.m.) BRISBANE, this day. The Mount Morgan Company has given its whole staff a month's notice, but has informed the employees that they ma/ remain if they arc willing to accept -20 per cent reduction in wages.—(A. and N.Z. Cable.)

Negotiations for a settlement of the Mount Morgan trouble have been in progress for some months. At a recent } conference the company submitted proI posals for an unconditional all-round rcjduetion of 20 per cent, off existing rates. I The unions declined to entertain the proposal, and submitted an alternative scheme, to assist the company to continue operations during the period of high cost and low metal prices. They agreed (1) that employees receiving wages in excess of the minimum rate should allow twenty per cent of the wages to be withheld pending improvement in the industry. (2) that deferred wages eertifk-atas be issued by -the company in respect of withheld wages; (3) thnt as the financial position of the industry improves normal wages be restored and deferred wages certificates be redeemed by the company. The proposals were placed before the directors of the Mount Morgan Company by thu general manager (Mr. A. A. "Boyd). Wtio replied:—"l have been instructed by the board of directors to express regret that the union proposal is impossible. The unions must recognise that the industry cannot now pay its way, and the present offer by the company is made to carry over the crisis. Under present conditions the mine is being exhausted without profit. Already there is evidence that tlie reduction in wages has been largely met by a decline in general commodities. The company is being asked to tako all the risks," in addition to exhausting its ore reserves. The board regrets the offer being declined, but can offer no alterna-' live, except the adoption of a sliding reale of wages based on tho price ol metals, 'which it is prepared to discuss." 'Tlie proposal was submitted to the union representatives, who, however, were not prepared to continue the negotiations Which would be involved in the adoption of a sliding scale, and negotiations were then suspended for some little time, the company forcasting its present action by affirming that it was impossible to continue operations under present conditions. The Queensland Government offered freight concessions, but these were not adequate to provide for the Working of the mines on a payable basis.