F.O.L. To File Claim For 71/2% Wage Increase

Press, Volume C, Issue 29643, 13 October 1961, Page 14

F.O.L. To File Claim For 71/2% Wage Increase

(N.Z. Preu Association) WELLINGTON, October 12. A claim for a general wage order is to be filed in the Arbitration Court by the Federation of Labour. The amount of the claim has not yet been determined, but it is expected to be- 7| per cent.

The President of the Federation of Labour (Mr Walsh) said that the national executive had been influenced by the recent Government decision to increase all Parliamentary salaries, and by the Prime Minister's reassurance that the economic state of ’the country was good. Mi- Walsh said the country did not realise how lucky it was In having a man of the capacity and ability of Mr Holyoake as Prime Minister. "His statement published today on the economic state of the nation will put new heart and life into the country,” said Mr Walsh. ”Our claim will be based on a rise in the consumers’ price index of 2.6 per cent., on a rise in productivity, and in compensation for the 1958 taxation increases on beer, cigarettes and petrol which have been only partially removed. "Having regard to the Governments previous opposition to these taxes, we

feel confident that we will receive the support of the Prime Minister and the Minister of Finance and their Cabinet colleagues in our application. "We are compelled to seek this rise in order to protect the living standards of wage and salary-earners and those on fixed incomes." Mr Walsh said the banks were largely to blame for any difficulties the country faced. "If the banks had closed down and restricted overdrafts, we would not be faced with the balance-of-payments crisis. Out of the distress arising from this crisis the banks have made millions at the expense of the country. "Importers have been encouraged to bring in goods by the bankers, and the Government has been so generous in issuing licences that a number of people who were not previously importers are peddling their licences and showing a good profit.

“The only ones suffering from the position created by these people are those on fixed incomes and the wage and salary-earners.” Mr Walsh said the F.O.L. would be seeking an early hearing of the claim. The application would be filed in the name o( one ot the federation's affiliated unions.