New measures “half a step"

Press, Volume CXIV, Issue 33514, 20 April 1974, Page 16

New measures “half a step"

Press Association' AUCKLAND. April I'.L The president of the Federation of Labour (Mr T. E. Skinner) said in Auckland tonight that the Government’s new wage and price stabilisation measures were “acceptable on the basis that they are half a step forward.

Unions had at least won i back the right to hold free (negotiations on everything but wages. “Now all we've got to do in the next 12 months is to deal with that restriction on wages and we will be back where we ought to be. with the right of free bargaining with our employers,” said Mr Skinner.

I “Very substantial increases in wages and salaries and costs and prices are inevitable in the next few months as a result of the Government's steps. We are 'staggered by the level of in (crease on wages granted by (the Government, and cannot accept the basis of this increase as outlined by Mr Watt.” All workers would now expect in addition to the fl per (cent, the 2.25 per cent negotiable as a minimum rise, said Mr Luxford. Part-inflationary The Associated Chambers ■of' Commerce commended the package, said the president (Mr L. A. Cameron), but its failure could mean recession and unemployment. The package would to an extent limit the present dangerous inflationary spiral, but it also contained inflationary elements. With a downward trend in (export earnings such inflation could lead to stagnation (and even a decline in bus’ I ness growth. said Mt (Cameron. The Combined State Service Organisations said that the Government intended equality of treatment, but much would depend on the actual wording of the regulations.

“We are unhappy at th apparent inadequacy of th 9 per cent general wag increase,” said the C.S.S.O