PUBLIC SERVICE CUTS.

Bay of Plenty Times, Volume LX, Issue 10832, 2 April 1932, Page 2

PUBLIC SERVICE CUTS.

GRADUATION POSSIBLE, An announcement of the Government’s intentions in reference to further salary cuts in the Public service is being eagerly awaited, but it is stated that it will be some little time before Cabinet reaches a definite decision on the point (says the Wellington Post). The National Expenditure Commission recommended a reduction of 10 per rent, in all Public service salaries and wages as from Ist April, resulting in a total saving of approximately £1,260,000, and the members of the Economic Committee expressed the view that such a reduction was necessary in order to bring down wages in conformtiy with the fall in real income

In view of these opinions, it is considered practically certain that reductions in salaries will he made, but a. suggestion has been put forward that the Government might adopt a graduated scale instead of a flat rate reduction of 10 per cent. When the last wage cuts .were made several members of the Reform Party (then the Official Opposition) suggested a graduated scale, aud Mr Coates himself suggested that some provision should be made to meet the cases of workers who were already on the bread line.

The National Expenditure Commission gave some consideration to the question of a graduated scale, but declined to recommend it owing to the possibility of anomalies.

During the emergency session of last year, Mr Forbes stated in the House that he had been inclined In the first place to a graduated scale, but on going thoroughly into the matter he had found that it would not result in the saving that was desired.