FARMERS UNION AND LABOUR

Dominion, Volume 21, Issue 287, 4 September 1928, Page 12

FARMERS UNION AND LABOUR

IS THERE AN AGREEMENT? ORGANISERS AT WORK HON. A. D. McLEOD’S ALLEGATIONS Dominion Special Service. / Te Arolia, September 3. The existence of a political agreement oetween the I' armers' Union and the Labour Party was suggested by statements made by the Minister of Lands (Hon. A. D. McLeod) in the course of a public address at Waitoa to-night. It was alleged by the Minister that direct organising was being done by paid servants of the union in favour of the Labour Party.

“It lias been said that i object to executive officers or members of the Farmers’ Union entering politics, although 1 myself am a member of the union and a Minister of the Crown in the Government party,” the Minister said. “For me to make such an objection would be, of course, nonsensical: What I have objected to, however, and have used my voice against for the past thirty years, ,is the union, as a union, entering into party polities,- for the reason that apart from such a course destroying the union, it would have the effect of isolating into political groups sections of the primary producers, who would have little or no real power in the directing of a country’s political actions. Such lias been the case in Australia, where the first effect was to place a Labour Government in power. not only in the Commonwealth Parliament, but also in almost all the State Parliaments. Labour, as had been proved in Australia, can become as predatory in its objectives against all other sections of a community as can trusts or Governments ruled or directed entirely by capitalistic influences. . For instance, country political groups in Australia are for their own protection being forced willy-nilly back into the political camps from winch they first dissociated themselves. This is largely the result of the ravings of a few individuals who are quite incapable of directing for any length of time anything of importance to themselves or to anybody else.. . “The same political process is going on to-dny in this country, largely because of the actions of the president of theFarmers’ Union. I go further, and say tliat. direct organising is being done by paid servants of the union in favour of the Labour Party. “Mr. Polson publicly states that he is averse to the union entering into party politics; yet quite recently his naine was published as taking part in the selection of a Country Party candidate against the sitting member for Rotorua, who, not only as a member of the union, but also as ’a member of Parliament, has for a great number of years done more in a practical way for farmers than has even Mr. Polson himself. So far as I know. Mr. Polson has not contradicted the statement. * The Stratford Seat. “From Waikato, Taranaki, Motueka, and elsewhere, I am in receipt of letters from fanners, stating that they have been advised to oppose the Government at the coming election, aud even to support Labour candidates, especially where those candidates arc members of the I’ armers Union, and this irrespective of what pledges the candidates are compelled to "ivc to other unions oh organisations which arc essential before they cun be allowed to carry the banner of political Labour. I make this further assertion —and time will, prove it to be true —that there will be no Country Party candidates in electorates represented by Labour or having Labour eandidates on offer, where the Labour representative is a member of the Farmers’ Union. Also, that in all 1 electorates where Country Party candidates arc always in evidence, thev will have a free run as far as official Labour is concerned. Stratford I also include in this list. Close Contact with Government. “No matter what party occupies the Treasury benches, I believe it to be necessary to the future of our great primary industry for the Farmers’ Union to he in close contact with the Government of the day. The present Government has urged time and again that a selected executive of the union be set up so. that such a course might be followed; but Mr. Polson bus consistently turned down' the proposal, and more recently has entirely ignored the receipt of such requests. Since the last Dominion Conference of. the union a number of delegates have expressed to mo the opinion that the Government was only feeding the growth of the Country Parly by ignoring the union's annual conference. When I told them that neither the Prime Minister nor any of his Ministers had received an invitation lo attend they were astounded, and scarcely believed what I stated to’be true. As a Government we are constantly being confronted with problems of great moment to primary producers, showing the necessity for a confidential inner executive. which, however it might be opposed in the main to the Government’s ideas, would be available for consultative purposes. ? Advice Wanting'. “As an illustration: No sooner was last year's Rural Intermediate Credit legislation passed, empowering borrowing by way of bond issue, than a wild demand arose throughout branches of the union, abetted rather than controlled by Air. Polson, that the bonds be immediately placed on the market. The Minister of Finance at the same time was confronted “with the renewal or repayment of a two and a half million pound local war loan, and in order to secure a renewal for an extended term, without great additional cost to the Dominion, it was essentia] tha't the market be kept clear of other gilt-edged securities until the adjustment had been arranged, So it was with the pork subsidy. Instead of a representative executive being available to the Government from which it could have sought advice with a view to arriving at a prompt decision, the inevitable shoal of telegrams urging action in different directions was the only assistance the Government received, with criticism galore to follow, no matter what might have been done. “Where Is He Now?” “Mr. Polson’s record while president has been largely one of suggesting principles which if not immediately adopted by the Government of the day must be cured by th, removal of such Govern meat at the first opportunity. Agricul turnl blinks, State-subsidised co-operative shipping, and absolute and compulsory control by farmers of their own produce and production. Where is he to-day on these matters? State guarantees behind the borrowing of unheard-of millions for all sorts of purposes was his cry a few years ag,. To-day he is loud in his condemnation of over-borrowing by the Gov eminent. What is the difference between direct borrowing by a Government and the Stale guaranteeing the borrowing of others? Ask the question of those overseas from whom we must borrow, if interest rates are . to be kept within even reasonable limits, and they will with one voice tell you that so far as they are con cerned State borrowing and State guar nnteeing are one and the same thing. Retention of Compulsory Powers. “After visiting with a commission iuosi countries of the world, Mr. Polson re turned and said that lie could find no thing better than the State Advances Office system, aud signed in that com-

mission s report, a schedule of 38 recommendations which did not even suggest the setting up of an agricultural bank by that name. Here is what he had to say respecting control when urging the passing of a remit at the 1023 conference of the-union: — The president thought it essential that the conference should say something emphatic on the question, lie thought there was a possibility of some of the most important principles in the Bill being lost through a stonewall or something of the kind in the House. It was necessary that the compulsory powers should be retained. All would agree that without them the Bill would be ■ worthless. lie would therefore like to see the remit amended so that the point might be emphasised.’ “Finally the words with compulsory powers retained’ were added to the remit, and the motion carried unanimously. Where is he to-day on this question and on the question of a majority of primary producers having the absolute right to say what should be done regarding the sale of all produce? No doubt he will have plenty of opportunity of answering the electors of North Taranaki during the course of his election campaign. ~ Valuations and Mortgages. “While scarcely a week goes by that 1 am not in receipt of complaints that Government valuations are too high in rural districts where local rating on the capital value obtains, I am also in receipt of complaints from the same localities that Government valuations for loan purposes are far too low,” the Minister continued’. “The latter complaints invariably come from farmers carrying large vendor mortgages upon which only too often they are unable to iheet interest payments. Only the other day I had handed to me a letter of bitter'complaint against the Government in which the writer stated that he had had a talk with a leading Farmers’ Union man. who said that it was time we had a Government which would ntiher lend the necessary money or pass a law compelling the mortgagee -Io reduce his mortgage. Investigation went to show that the valuation placed upon the farm in question, although higher (linn when it was purchased in 11)20. was lower than the amount of the existing mortgage by nearly 20 per cent. I have found, after examining hundreds of cases, that this position unfortunately exists, or did exist, in all too many instances. and that those chiefly responsible for tlie building up of a Country Party in the first place were composed either of the unfortunate farmer about to lose his home, or he irresponsible Farmers’ Union man who gave the ndviee I have referred to as a solution of (lie over-mort-gaged settler's difficulties. "Every farmer should realise the taet that the Government cannot remove tinuncial obligations to the State other than by removing them from the shonl tiers of one section of the community and placing them ou the shoulders of another.” '