Government ‘not sure of itself’

Press, Volume CXI, Issue 32568, 30 March 1971, Page 18

Government ‘not sure of itself’

New Zealanders were living in difficult times because they had a Government that was not sure where it was going, the president of the Federation of Labour (Mr T. E. Skinner) said at a meeting of the Christchurch Musicians’ Union last night.

“I don’t know of any other country in the world that can sell anything it has got and everything it produces and go stone broke in the process,” Mr Skinner said. "New Zealand’s problem is veiy simple—we are living beyond our income. Last year prices and terms of trade went against us by 9 per cent, but we imported 19 per cent more in goods,” he said. “We needed incentive to become more efficient so we could sell more

I rather than introducing dam-pening-down measures. The Government seemed to think that the trade union movement was to blame for wage rates being out of proportion to what it called “our income and our prices.” Wages never caused inflation, said Mr Skinner. Inflation was caused when manufacturers were able to pass increased wages and costs on to the consumer without reference to any other body. "The F.O.L. will co-operate with the Government providing the Government does not say we are the only ones to co-operate,” he said. “We don’t think workers should bear the burden of an economic mess brought about by an economic policy.” The F.O.L. opposed the Stabilisation of Remuneration Bill, Mr Skinner said, because it applied wage restraints without 'price control. "I don’t think anybody should interefere in free negotiations between workers and their employers,” he said.