BOOTS AND SHOES

Dominion, Volume 22, Issue 12, 9 October 1928, Page 15

BOOTS AND SHOES

EIGHTY-ONE FACTORIES IN OPERATION

NO INCREASE IN OUTPUT

“The boot and shoe industry in 1927-28 showed practically no increase in output as compared with the previous year. According to manufacturers,- adverse conditions in the form of fluctuating leather prices and increased importations were contributory factors against any expansion in output. Moreover, there was a noticeable diminution in demand consequent on the v restriCted purchasing power resulting from the depression out of which the Dominion is now emerging.” This statement is made in the review in the Abstract of Statistics of the boot and shoe industry in the Dominion. “There were 81 boot and shoe factories operating, during the year ended March 31,1928, compared With the same number in the preceding year,” states the Review. “The value of land, buildings, plant, and machinery declined by 7.19 per cent., the number of persons engaged (including working proprietors) declined by 1.60 per cent., while the total salaries and wages bill receded from £412,979 in 1926-27 to £405,443 in 1927-28. A very slight recession (0.22 per cent.) was also recorded for the total cost of materials. Used, but a small advance was shown for the total value of products. The result of these movements is reflected in the ‘added value' (difference between cost of materials and value of products), which showed an advance of 0.28 per cent. The added value per employee affords an index of the relative productivity of labour, subject, of course, to the extent it is affected by changes in the value of money, and the use of machinery, etc. It is of interest to note that this figure for 1927-28 (£258) is slightly greater than the corresponding figure for 1926-27 (£253). The proportion per cent, of the ‘added value’ required to reward labour in the form of salaries and wages decreased from 69 per cent, in 1926-27 to 67 per eent. in 1927-28. “The following table shows the principal statistics for the years ended March 31, 1927, and 1928:—

“The output of adults’ boots and shoes receded by 0.43 per cent, in quantity and 3.19 per cent, in value in 1927-28 as compared with 1926-27. These rec.sslons were more than counterbalanced by a marked activity in the production of children’s footwear, which advanced by 68.34 per cent, in quantity and 82.60 per cent, in value. The value Used in this table is based on the selling price at the factory.

“The number of pairs of boots and shoes (adults' and children's) imported in. the calendar year 1927 represented almost twice the local production in 192728. and showed advances of 6.84 per cent, in quantity and 1.70 per cent, in value over the imports in 1926. The difference in these relative increases appears to be due to increases in the amount of children’s footwear and cheaper grades of adults’ boots and shoes. In 1923 the United Kingdom supplied 85 per cent, of the footwear imported, in 1927, 75 per cent. How the Tanneries are Faring. “There were fourteen tanneries operatining in the Dominion during the year ended March 31, 1928, against fifteen in the previous year. The closing down of one establishment creates a gap which is traceable in all phases of the statistics for the year under review. The value of land, buildings, plant, and machinery declined by 6.72 per cent, in 1927-28, as compared with 1926-27; the total number of person engaged decreased by 61, or 12.63 per cent.; while the total salaries and wages bill declined in sympathy by 9.88 per cent., from £119.551 in 1926-27 to £107,740 in 1927-28. The raw materials operated upon cost altogether in 1927-28 just a shade under the figure for the previous year; the total value of products stood nt £597,848 in the later ns against £601,345 in the earlier year: with the result that the “added value,” which represents the difference between the cost of materials and the .value pt

products, was recorded at £178441 in the year under review, against £179,543 in 1926-27. An increase of £5l, or 13.71 per cent., was recorded for the added value’ per employee, while the _ proportion of the total 'added value that was utilised in the payment of salaries and wages dropped from 67 per cent, in Ij2u--27 to 60 per cent, in 1927-28.

1927. 1928. Establishments .. 81 81 Value of land, buildings. plant, and machinery £434,707 £403,432 Persons engaged— i z Males . 1,484 1,467 Females 892 871 Total • .......... 2,376 2,338 Salaries and wages £ £ paid— To males 324,713 817,219 To females 88,261 88,224 Total 412,979 405,443 Cost of materials used 506,498 565,250 Other expenses 103,492 90,722 Value of products . 1,168,314 1,168,737 “Added value” .... 601,816 603,487 “Added value” per employee ...... 253 258