OUR NEW ZEALAND INDUSTRIES.

Press, Volume LXII, Issue 12190, 10 May 1905, Page 9

OUR NEW ZEALAND INDUSTRIES.

EFFECT OF LABOUR LEGISLATION. "THE DECLINE IN THE WOOLLEN TRADE. The quarterly meeting of the Canterbury Employers' Association was held last night, when Mr G. Anderson (president) was in the chair. The report, covering the last five months, referred to the work of the Executive during the last fire months, the banquet to Mr U. T. Booth, an ex-pre-aident of the Association who had left the oolony on a visit to England and " America, and the Conciliation Board 'election. It dwelt at some length upon the judgment of the Arbitration Court on the question' of weekly wages and payment for holidays, given at Dunedm in December last, and upon the Arbitration Court and recent mining legislation. THE CHAIRMAN'S STATEMENT. ,' In moving the adoption of the report thd,<ohairman said that the mem- } bere that night would have brought i prominently before them for discussion ? two issues of the effect* of Labour '] legislation in two aspeote. One of «f these related to our industries, the clothing trade being taken as an illustration. What Mr Blackwell would have to say on that subject, and those who followed him, he was convinoed ■ would Apply -to many other industries. A abort time ago they were proud of , those who had the courage and enterprise to start a new industry, but there was not now the eager spirit to exploit and to launch out into what was new. One did not wish to be critical, but one might notice, ©yon in their , Industrial.Association, a want of that fervour that indicated life and energy - and whioh Booner or later developed in the establishment of ttome new indus-''y-jFew would characterise him ac '." • pessimist—but when one looked around one could not but foci that there wee * something sapping their energies and clogging their enterprise -'. J™ activities. It would be an act of J folly bordering on the criminal, if they W employers and citizens, did not seek »o Jjnd the cause. If they sought to nnd what were not tho factors, they could then consider the .causes. One would imagine that there was no time in the colony's history when there wasi a better opportunity for further development. First, there were no unemployed in tho sense known formerly. ine exports had boen increasing for several years back. All the natural products, such a* wool, meat butter, *ad grain, were selling at high prices, and the spending power of tho people was at no time greater. The altera- ;"«"«» the import duties had been in of excluding goods made *** cheap end foreign lnbour. A steady system of Government expenditure had been going on for years, whether wisely or not hnd not to do with the argument. The money had , been spent, and the workman had had the spending. The population had not r been diminishing, and if not increasing ;>■ as fast as wisdom would expect yot \\ it had been increasing at a rate which f ■ should mean. increased expenditure. &■ Money had been cheaper during the

last few years than ever in the history modities seemed to be at almost record of the colony, so that in addition to prices. Hβ was oertain that the the large amount of money spent an- quality of the goods manufactured by nually by the Government, the muni- the company was not the cause of the cipal bodies, Harbour Boarda, County depression. Hβ had better qualify that Councils, and Road Boards were all statement somewhat, for he was afraid borrowing and spending money. They that the company , , product* were too were not concerned with the wisdom good. (Laughter.) That was really or otherwise of those, but he mentioned about the only objection be knew of it as factors all combining to lead to a* regards the colonial manufactures, the prosperity for the time being, and »nd on account of that, of course, they the fact that such/" circumstances were lese in demand than they otherin other were usually wise would be. The imports of clothfollowed by expansion and ex- mg goods were growing year by year, tenwon of industries of all classes, and were increasing much more rapidly That no new or important industry had than the population. Mr Frostick, in a been established during the last few paper on "Our Clothing BUI," had years was well known. True the Dβ- shown that while the population had partment of Labour, juggling with during recent years increased by 22 per figures, jrould cay that the number of cent., the imports in clothing had infactories had increased, but they were creased 88 per cent. Hβ thought that not honest enough to show what would that really afforded the explanation, and be the position if the definition of a g ave the cause of the depression. There factory was limited to what it was ten ft curious problem for the poliyears ago. That no new industries of t j ca j eoO nomists to 'consider. During importance had been established was tne last few yeare there ha d been a well known, but that many that had tne gradual improvement in the values of elemente of success some years ago had o(|r etap i e com modities, and improvegono back oould also bo proved, lie mQnfc the rate oi wa g CS pa jd to the had given several reasons proving that work an improvement in t'no the were favourable for conditions of the workers the establishing of \"£ fhronghout the colony, and side by side Onf could tell of many proposals to for the class of goods that the Company start eorne new industry or extend one unod to niako 20 years ago but tor the in operation. But the sharebrokers very lowest quality of goods would say that there was no uee offer- produce, and oven then they were uning such, as investors would not put a y o to check the imports of clothing their money into anything where labour an<l woo Hen goods from the older counformed a main factor. If anybody en- tricß Tho price of the locallyquired at tho bankers, they would one ma<le goods had brought about a conand all tell the same tale, flankers dition which tfae i mpor ters desired, and div not care to have largo overdrafts naturally they nad taken full advantage with industrial concerns The puree- f fa .• Q He noticed in strings were, after all, surest imh- given before the Par lacation of the mind of the people.Ap- ry Commission that eomo implying those principles, « wmj be ™S«7hid^SS*that the cry of imed with the hope of better success from enquiries he had made, that the oting to the la P rge spending power of colony was practically low the people from tEe various causes men- quality shoddy goods. He was tioned. The industries were not start- nofc blaming the »mporters. for cd- why? First, it might be said, they wou i d bo fools to import from a lack of enterprise, butmainly., he gtn g that was not m , demand, thought, because the capital or credit fact o{ the demand being there could not be obtained. The fact re- had })tea the cauße o f their importuig inaine, we had no new industries, and that class of goo d s . too low in quality, others were languishing. Not only on and to o little to produce, to eni account of the uncertainty of what able the colonial mills to compete, lo labour would ultimately cost, but alfio in withj there waa not tho density of under the present laws, no one knew population they had in the old counwhethor he would not be told that trice where they could gather up the eomo other way, not his way, wan the mator ial to provide the shoddy. An manner in which oertein goods were to Eng i iß h member of Parliament had be made and the factory controlled. Thon some twelve years ago that, durthey had the groat cost and uncertainty ing t he previous year, 120 million thrown on employers under tie Com- o f shoddy had been manuponsation for Aocidonte and Employers {acturo d into cloth in the Old Country Liability Acte. It might be, from alon<} He imagined that that amount an economic point of view, a wiee mea- ha d since been growing in consequence mire that a man meeting with an of the demand. He felt quite conbacoident should be caved from poverty dent i n stating that to-day mills in and beggary. It was open to very England were using and «ia«- c «a ucrave question whether the whole into cloth an amount of shoddy burden should be thrown on the unfor- whicn ©quailed the total wool clip of tunate employer. It was reckoned en the colony. Shoddy was really the accident, but at present the accident manu f a cture of unmilled goods, euoh as was only counted from the side of the o j d stockings, etc., that had not paeeed man. Why ehould it not, from en in- through the milling machine. The man duetrial point of view, be counted part- tnat j nvon t«d shoddy was a public benely from the employers , eideP True, factor, for there was no doubt that the the employer* might partially insure, , poO rly-fed and half-stauved thousands but at such increasing prohibitive o f the Old Country would never have rates as to be a tax on industries, been as warmly clad and as comfortFrom a national point of view, he> a bly clothed as they were now but for maintained that if we were to progress fa introduction. There was no doubt and develop tibia country ac we ehould, t na t the use of shoddy checked the unit would Dβ neoeaeary to materially <j ue appreciation of wool, and if they alter our standpoint, and adjust both could eliminate the shoddy now used, our labour laws and the Em- wna t price would they have to pay for ployers' liability. The underlying prin- the woolP What would follow would ciples of those might be right, but be that wool would largely go out of their ill-conceived application was proy- use gmj a 0 the price would go down ing, and would prove more in the again, probably very much lower than it future, disastrous to the spirit of enter- ougn t to do. The quantity of shoddyprise and industrial success. No legis- Uged yaried with the mar ]t e t value of lation was right that provided for only W(X)1 the lower the prioe of wool the one class at the expense % of another, j shoddy used, and vice versa, and ignored broad economio principles, "r* !,,\li, «£JLI w «,„« not the rlaas of bf Labour, which had under ite con- hke New Zealand to fall back upon, ■ideratidn no less than forty-four In their capaoity as warehousemen, the separate subjects. This assembly, Kaiapoi Company, like other warewhioh arrogated to iteelf to voice the housemen, had to meet the requirements opinion of the workers of the colony, of customers, and in self-defence his really only represented 27,640 out of company had actually been compelled to 840.280 bread-winners. And bo ill-eon- import stuff or lose trade; but they ceived were their measures that \all safeguarded the public by ticketing the through the proposals class distinction garments as being of imported tweed end class legislation of a most pro- made up in the Kaiapoi Clothing Facnounced character were sought to be tory. It had been stated by one manuenforoed. One would think that the facturer that one cause of the depresvirtues and advantages of trades unions B i on was the over-production of woollen W n r !L£? mo l? ab * ?j the ™ e eto» to bring goods b y the New Zealand mills, but all withm the fold; yet although m ex- f xe thought he would be able to dieintShm2- e r -? e f , fc' 1 k 1 i Wl rt I^S#V > Prove that. The total output from all liament to pass laws P for p?l a million, yet in addition to that clothforence to their class. It Ld in 8 to the v *l ue of , a ."J 1,11 ?,? been remarked that "one of the imported. The colonial mills had only sauaest features of modern indue- succeeded in clothing about one-third ot trial life is the growing difficulty of the the population, so where did the oyerold, the sickly, and the feeble to obtain production come inP Another partisan a living," but one looked in rain in the statement made was that the Kaiapoi whole of the forty-four articles for one Company could not make mantles and hint of any proposed measure to help dress cloths, but he took some pride in those. There were various measured the fact that the company had made for what one regretted to have to term dress cloths to the order of her Majesty the tyranny of Unionism—such as no the Queen. (Applause.) Probably tho importation of labour under contracts, cause of the depression rested with the as the Sydney hatters, employment of feeople for if they .would demand tailors only for orders, Unions to bring co i O nial-made goods importers must proa claim for accident and claim capital a nd sell them. A deputation had amount. Various proposals to avoid nSS the Premier the other publicity and gain an advantage were Jrf to the making of trial, social, ans Defence Department was acting as but'the Trades and Labour* Suncii «g*nt fo T » n . 1 "* m t T ,T' seemed blissfully indifferent to the fact »nd was inducing some of the corps in that "all economic questions are govern- the North Island to send their orders od by principles that act and re-act on Home, notwithstanding the 40 por cent, each other"; that if one trades union duty which the Premier intended to enor seotion adopted a mode of action to force. The Kaiapoi Company had gain at the expense of others, those exerted themselves, and other oomgains could only be got at the cost of panics had done the came, to moot the a greater aggregate loss to other shares requirements of the volunteer corps of in the national dividend; that any re- the colony, and now they stood duction in output either in quantity or a very considerable risk of losing efficiency was a reduction of the a very large proportion of that national earning or dividend, and could trade. The pride once taken in colonial only lead to a continuous descending manufactures seemed to havo died out scale of employment. If proof of that very largely. He thought that tho was required they had 4 only to turn to woollen industry had justified its estabtne acknowledged fact that the work- lishraent—(Hoar, hear)—and the colman had to pay 20 per cent, to 25 per lateral advantages arising from the escent. greater cost for his cottage than tablishment of-concerns liko the Kaiaformorly. They could fairly recognise po i Woollen Company throughout the that the Trades and Labour Council Solony could hardly be over-estimated, were actuated with a desire to help year the Kaiapoi Company paid their, fellows, but one would like to put £63 079 in wages, £7000 in dividends, it to thorn, that their efforts would re- £2612 for coal, £2563 for repairs, £2500 suit in more practical and permanent f o r soap and oil, about £15,000 in good if they were to co-operate with f roight and general expeneoß, or a total employers to consider how industries o f £92,754. With collateral expenncß could be established for the good of the which Aβ had not included the company whole community. (Applause.) he estimated had circulated £100,000 Mr j<,. U Brown, who seconded the last year. If that was multipUed by adoption of the report, said that during the number of mill* in New Zealand the last quarter a great deal of work they would see that there was eomo had been done by the committee. advantage in having those industries The motion for the adoption of the in the colony. In addition to that report was put and carried. tue companies were developing the DEPRESSTfttf TV Tnru , trnnnvv home market, for the population would THE WOOLLEN not bo / armorß) £n d employment \r n >tt vi i "TV , . would have to be found where tfao jj H, B' Bo, ™"*- 11 *hen delivered workers would be fairly paid and fairly an address upon " The Reported De- treated. Just now co-operation, was pression in the Woollen Industry: Its suggested as the cure for all the evils suggested causes." that existed, not only in the woollen Mr Blackwell said that there was no industry but in other industries. To doubt the depression in the woollen his mind that was doubtful, but there trade existed, for the fact was con- w as & kind of co-operation that might firmed by all the woollen manufacturers do good, and that was a co-operatron in the colony. He had referred to tho to ""PPort local industry. Increasing matter in his address at the last annual tne dut ? h - ad hee ? recommended as a meeting of his shareholders, and the means or solving the difficulty, but that opinions then expressed were more than raeant • reduction in purchasing ever confirmed now. For the first of the people, "J would be a time «». iaWJ* company had been th ° c *& compelled to dispense w.th night work ES'SldeTn the rate of wages it was partly owing to the depression, and exce odingly doubtful whether tho partly to the fact that owing to the workers were any better off now than increased rutes of pay, the cost of pro- thov were before, for the all-round cost duction had become too high to enable o f living had greatly increased. The the company to compete. It was very beet remedy that he knew of was for difficult to discover the cause of the the people to be loyal to principle, and depression, for opinions differed very support thoir own industries. (Hear, widely. The general cotumerqial con- hear.) dition of tho colony certainly did not Mr Blackwell then snbmitted a munaccount for it. All our staple com- I ber of samples of imported shoddy doth

material, which sold «t from Iβ 6d per yard. He also produced a number of imported shoddy garments, and compared them with others or aa similar a character as could be manufactured by the Kaiapoi Company. An English-made lady's cape shown by Mr Blackwell oost 12s landed, and the nearest article that the Kaiapoi Co. could produce cost 22a 6d wholesale. Other garments shown included an English jacket which cost 12s, which the company could not produce tor leee than 31s, a suit of clothes which ccet 10s 6d, the fabrio being co thin that Air A. >V. Beavon was able Q push hie thumb through without diincully, an imported coat which cost 27s 6d, but which the company could not produce for less than 31s, an imported rain proof coat which cost 27a 6d, but which the company had to charge 3ite 6d to produce, and an imported sailor suit which cost 3s lid, but which the company could not make for less than 9s Dd, the labour alone costing 4a 9d. Continuing, Mr Blackwell said that the unfortunate feature of the whole thing was that the demand woe almost entirely for low class goods. The company had hod some rough times before, and had weathered them, and he thought they would do the same again. (Hear, hear). Fashions would change, and probably the company would get its innings again, and then they would endeavour to do as they hod done in the .past, carry on a safe and profitable business to tho mutual advantage of both tho employers and employees. (Applause). J v * * ir c A lx.°\ H(wlan <L. who moved a vote of thanks to Mr Blackwell for his address, said that if all New Zoalanders would purchase colonial goods there would be no trouble. Hβ himself had done as much to support the woollen industry as anybody in the colony, and it was through hi* efforts that the tariff was revised whioh led to the building up of the woollen industry or the colony. Ho induced Sir Julius Vogel to take the tariff on hand but Sir Julius went out on it. But after the Atkinson Government came in Sir Harry Atkinson decided to go in for protection or go out on it. Sir Harry got the tariff through, and that, above all other things, led to the building up of the woollen industry. Hβ was glad to see that Mr Blackwell had not recommended tho imposition of an additional duty on ehoddy, for he believed that that would be a great .mistake. When the • tariff was first adopted it was considered by many that the consumer would be taxed thereby, but that did not happen, for the prices of imported goods were reduced, and brought into line with £he prices of locally made goods. With shoddy, however, which could not be produced in the colony, the imposition of a tax would mean an additional burden on the consumer. In reply to Dr. Rusgall, Mr Blackwell stated that shoddy , entered very largely into the manufacture of English broad cloths. The English manufacturers could get a better face on the material by the use of shoddy than the Kaiapoi Company could do. With the better class goods the company could easily hold its own, but under the Qonditions under which the cheaper goods were made at Home, the Kaiapoi Company could not possibly compete, and he hoped that such conditions would not obtain in New Zealand. Dr. Russell said that the broadctoth. made in England forty years ago was very much superior to the more modern fabrio. The Chairman observed that Mr Blackwell had stated that the Kaiapoi Company paid £63,000 in wages, while only £7000 went to the "bloated capitalist" by way of dividend, so that it could not be said that the capitalist was getting a groat deal out of it, nor was there need to establish State clothing mills, or retail factories, or shops- If the Trades and Labour Council would impress upon the workers of New Zealand, who after all formed the great bulK of the people, a spirit of loyalty to the produots of the country, a greater number of workmen would be emoloyed, and a bettor condition of things v»puld prevail. (Hear, hear.) The motion was then put and carried, and the meeting closed.