MILITANT UNION DEMANDS

Press, Volume LXXXIII, Issue 25243, 23 July 1947, Page 5

MILITANT UNION DEMANDS

INDUSTRY AND WAGE INCREASES

“UNABLE TO ABSORB RISES INDEFINITELY ”

“It. is unfortunate that there are In this country a few men, who, as leaders of certain militant unions, wield a power far out of proportion to their numbers,” said the chairman of Aluminium Utensils, Ltd., Mr L. N. Ross, at the company’s annual meeting at Auckland. “Industry, already hampered by a maze of restrictive legislation and controls, and facing repetitive shortages of commodities essential to production, cannot continue to absorb indefinitely the unreasonable demands of these people, who are not really representative of the workers of New Zealand. The worker is entitled to a full and adequate reward for his part in production; so also is capital,” Mr Ross continued.

"It has recently been suggested that no company should be allowed to earn a dividend greater than 6 per cent, on its nominal capital. If this was adopted the effect would undoubtedly be to prevent funds being directed to the expansion of industries or the creation of new ones. Just as wages vary in accordance with the occupation of the wage-earner, so must the reward for capital vary in accordance with the particular industry in which it is employed,” the chairman said. “While 6 per cent, may be a sufficient return from some avenues of investment, there is no doubt that when capital is required to carry the full risk of creating new industries or increasing production it is entitled to a reward for that risk. In some cases dividends of -15 per cent and 20 per cent., even, are fully warranted by the nature of the investment “Total sales last year were £72,887, an increase of £35,451, or nearly 75 pei cent.,” said Mr Ross. “With adequate stocks of aluminium on hand, and further supplies expected, there is no reason why these figures should not be maintained, or improved upon, in the current year. While some progress has been made in satisfying a market which 12 months ago was almost bare of alumin-ium-ware, there is still a demand in excess of our productive eanacity. There is still a very wide field untouched by us, and consideration is being given to ways and means of extending the range of products maniffactu’-ed ”