INCREASED WAGES

Press, Volume LXXXIV, Issue 25553, 22 July 1948, Page 8

INCREASED WAGES

Sir, —The suggestion of the Otahuhu branch of the Amalgamated Society of Railway Servants clearly shows that they, like many other misled workers, have little knowledge of what costs and profits mean. Take our rail- ! ways. Even now they are run at a ; loss, despite a 20 per cent, freight increase last year. Then take industry. Klost organisations, manufacturing > especially, at present receive less than 20s return weekly an employee, out 1 of which social security and income : tax have to be paid, leaving the bal- ' ance for the proprietor or shareholder, : to which he is entitled for having put ’ up the capital. For what is the difference between paying interest on a i loan and a return to owners? Perhaps the latter may receive 5 per cent. 1 to 7| per cent., whereas interest may ; be 4J per cent., but surely as one is ! secured and the other not, the risk taken by owners is worthy of the extra return. What therefore would result ; in a 40s increase an employee and no recovery?—Yours, etc., FACE FACT’S. ! July 20, 1948.