RAILWAYS AND RETRENCHMENT,

Auckland Star, Volume LXI, Issue 172, 23 July 1930, Page 6

RAILWAYS AND RETRENCHMENT,

» 'In view of the situation in New Zealand » the foiowing article taken from the June i issue of the "Canadian National * Railways i Magazine" should be of interest. .It maybe • pointed out, however, that the situation in Canada with regard to decrease in railway . earnings is due not to general conditions but to the "farmers holding back their, wheat crops: "During a dinner address at the Kitchener Board of Trade's annual meeting Sir Henry Thornton outlined the policy of the Canadian Railways with respect to the unemployment situation. 'We were suddenly... visited to" autumn with a shrinkage of revenues, t>i Henry said. 'Two courses were open, to us: that of the immediate dismissal of a large> number of men, with its attendant misery and the transfer of the burden of maintamffli them to the cities or provinces, or that Or more liberal policy of prudence and which permitted us to extend their contl ""3 of service. It is a comparatively easy tnwg to alter a transitory condition into a perm * nent condition. The traffic falling off wouiau of relatively short duration and if we Jeep up our courage and endeavoured to keep wheels of progress turning the bad times worn pass. If, on the other hand, we had pursu» a much different policy harm would have Dee done.. I maintain that such a policy pursued in keeping as many of our. , jrien possible employed was a sound business, > and, in the last analysis, helped to prompi trade, and at the same time we were apiuo business a good turn and ourselves a g turn. It is an accepted axiom that, on average, only so much may be got out Q 1 particular proposition. Capital, for exa can wring a maximum amount of service \ of its employees for a certain time; employees can take a certain amount 01 m i out of capital by unfair means for a .ceri length of time; but these conditions canu endure. Such things as enter into hum economics cannot be carried on into P e jP e .. 1 unless based upon justice and fair <»wuy We maintain a doctrine that, not oply the people of Canada shareholders innational system, but that our employees;* partners and that this partnership-contin on a basis of fair dealing. This *$ \ underlying principle that promptedJr® t L ue way companies to seek means to■ S?V ye employing the most of its men, and, qW. -u that it was a policy which commends itseu county &Vmh