STATE SALARIES TO BE INCREASED

Press, Volume XCIX, Issue 29245, 1 July 1960, Page 10

STATE SALARIES TO BE INCREASED

“Substantial Alterations Justified”

(New Zealand Press Association) WELLINGTON, June 30. The Government has decided that substantial alterations, to salary margins in the State services are justified. The Prime Minister (Mr Nash) announced this tonight. Mr Nash said the Government would grant increases to bring salaries more in line with those for comparable positions outside the Government service. Mr Nash said a ruling rates survey was also being taken to ensure that tradesmen and manual workers in States services would be paid in relation to payments for similar work outside.

The Government Is providing for some increases in higher salaries—amounting to about half the total increase proposed—to be made from April 1 this year, and for the remainder to be payable from April 1 next year. Mr Nash said that any increases in lower salaries would be paid in one amount from April 1 this year. He said the results of the ruling rates survey should be available in about a month. Any increases would be paid from April 1 this year. The complete new salary scale is expected to be announced soon. Mr Nash said the decision to alter salary margins had been made by a Cabinet committee set up to consider implications of university salary increases. Losses Of Staff "The Government has for some time been concerned at the losses of professional and other highly qualified staff from departments of the service to other employment,” he said. In almost all cases the salary offered and the ultimate prospects outside were important factors In the decision to leave the service. “Although the review by the Cabinet committee dealt mainly with salary margins, which have contracted over a number of years through the granting of flat salary increases, it is also most important that those serving the State as tradesmen and in other manual occupations should receive remuneration relative to what is being paid for such work outside.” Mr Nash said. “The method used for some years for ensuring such relativity is known as the ruling rate survey. This survey is taken by the Department of Labour from a representative sample of employers’ wage payment?, and provides an index of average rates paid. The last survey taken was in February, 1958, and it is considered desirable to take a further survey now to ensure that corresponding workers in State employment are being paid comparable rates after taking all factors into account. Early Survey “Such a survey will be undertaken by' the Department of Labour within the next week so, and the results should be available in about a month,” Mr Nash said. “Any increases found to be justified as a result of the survey will be paid from April 1, 1960.

“By reviewing margins, and by ensuring that base salary rates are reasonable by means of the ruling rates survey, the Government will provide up-to-date salary scales on which the statutory regrading in the State services on April 1, 1960, can be based,” said Mr Nash. - “Provision for increased salary margins, and an estimated amount to cover the possible results from a ruling rate survey will be made in the estimates of expenditure to be placed before Parliament in July.”