TAKEN TO TASK.

Auckland Star, Volume LXXI, Issue 191, 13 August 1940, Page 8

TAKEN TO TASK.

ARBITRATION COURT. WAGES INCREASE ORDER. DUNEDIN, this day. The New Zealand Manufacturers' Federation issued to-day a statement on the 5 per cent increase in wages. It holds that the Arbitration Court took an over-optimistic view of the prospects of the coming export season and the expansion of factory production, and dismissed lightly overseas shipping difficulties, though the Court must be aware that Great Britain is having such difficulty in storing her own food that rationing may be diminished. "Second, since Britain no longer need worry about France's food, she probably will obtain supplies from countries nearer her than New Zealand," says the statement. "As for increased factory production, the Court must be aware of the very great difficulties manufacturers have experienced in procuring licenses to import sufficient raw materials to carry on, even on the present basis, apart altogether from securing goods from overseas after a license has been granted." The statement concludes with an expression of. the belief that the step will cause embarrassment to those responsible for the country's finance. "If the increase will guarantee increased production, the usual coat of living spiral might not eventuate, but the Court order carries no aucb guarantee. Tho federation only hopes the workers will voluntarily respond to the Government and Court appeal for increased production."—(Press Assn.)