TUNNELLERS' WAGES.

Auckland Star, Volume LXII, Issue 117, 20 May 1931, Page 9

TUNNELLERS' WAGES.

PRIME MINISTER EXPLAINS. "WE CANNOT PAT MORE." TAWA FLAT WORK NOT ABANDONED. An intimation that it was not the intention of the Government to abandon the Tawa Flat railway construction was given* by* the Prime Minister, the Rt. Hon. G. W. Forbes, this morning, when rejecting a suggestion by Mr. H. E. Holland, Leader of the Labour party, that the present dispute should be referred to the Arbitration, Court. "Unless we can conserve to the utmost the funds we have, we will have an army of unemployed that will be disastrous," said the Prime Minister, in indicating that even if an independent tribunal suggested increased rates the Government would not be able to pay them. Mr. Forbes said he had informed the deputation representing the tunnellers that the wages offered by the Government would, according to the engineers, enable from 18/6 to 23/8 a day to be earned, and that was the utmost that could be offered. To provide additional rates would involve the dismissal of men on public works, and he would not stand for that policy. It was only by the greatest care that the Public Works fund could be made to keep employed the men engaged at the present time. "We are not in a position to pay the tunnellers any more than is being paid at present," said the Prime Minister. Mr. Holland: That is a matter in dispute. The Prime Minister: I don't think so. The question ia whether we can find more money to give them or not. I say we can't. Mr. Holland said that the whole idea when the Finance Bill was before the House was that a 10 per cent cut was proposed, but the rates of the Tawa Flat men had suffered a cut of anything from 30 per cent to 50 per cent. The Prime Minister said notice had been given of the 16/ rate before the general "cut" was introduced. Mr. Holland: The men say they are prepared to go on on day wages at 16/ a day. Co-operative Contracts. The Prime Minister replied that his attitude, as' expressed to the men's deputation, was that the system of co-opera-tive contract had been sponsored because it was a moro satisfactory way of getting the work done and value for the money. Mr. Holland said it was contended by the men that they could not make the wages suggested. There was a point in dispute there. A return of £1 a day was really exceptionally low wages for men engaged on work of the dangerous and arduous nature tunnelling was. Even £1 10/ a day would not be high wages. "If you allow work on the tunnel to be suspended," added Mr. Holland, "it will cost more than if the work is completed quickly. It is a better proposition to get the job done quickly and get rid of the overhead charges." The Prime Minister Wc arc up against the problem of carrying on the men we have on public works. A system of rationing docs not work out on public works. Mr. Holland said that if the men were on contract price they would make the pace as fast as possible in order to make the bigger money. Indeed, many tunnellers injured themselves by their efforts to obtain the higher return. Government's Intentions. Mr. Holland suggested that the quickest route to settlement would be by reference of the dispute to a tribunal. 'There had been some suggestion that the work at Tawa Flat would be hung up indefinitely. Was that the intention of the Government?

The Prime Minister replied that there was no intention of abandoning the undertaking. If a tribunal was set up and recommended to the Government that higher rates be paid the Tawa Flat tunnellers, his answer would have to be that he could not find the money to meet the increases. To provide an increase, men on Public Works would have to be dismissed, and, said Mr. Forbes, he was not prepared to do that.