FREEZING INDUSTRY

Dominion, Volume 23, Issue 54, 27 November 1929, Page 13

FREEZING INDUSTRY

UNABLE TO BEAR INCREASE IN WAGES EMPLOYERS’ AGENT’S WARNING Dominion Special Service. Clu'istchurch, November 26. Strong comment on the actions of the industrial unions in presenting numerous claims in Conciliation Council proceedings was made by Mr. F. V. Sanderson, employers’ representative, in the Arbitration Court proceedings this morning when the freezing workers' claim for a Dominion award was heard. "I must, at this juncture, protest against the methods adopted by the unions in presenting an excessive number of claims in Conciliation Council, which make it almost impossible for any agreement to be reached; and not only that: the employers are forced into the position of having to prepare a case in answer ■to all these claims, when the unions must know by now that the Court will not deal with an excessive number,” said Mr. Sanderson. “I feel that, as the employers’ representative in this dispute, it is my duty to point out that in toe primary industries of the country, unfortunately the realisation prices are not governed by the cost of production, but by the actual market value of the law of supply and demand. Consequently, the employers’ aim is to reduce the cost of production as far as possible commensurate with the market value so that at least some margin of profit is available in return for the capital employed in the industry. “This desirable objective is not necessarily only attainable by reduced wages, but rather by increased production, the actual unit cost being the deciding factor between profit and loss and the price the overseas buyers" elect to pay for the article produced. "It was hoped,” Mr. Sanderson continued, “that the industrial conference held in Wellington last year would engender a true spirit of, co-partnersnip in industry as between capital and labour, so that each would co-operate with the other towards placing industry on a sound footing to the mutual advantage of all concerned. In this connection 1 would direct the Court’s attention to the very unreasonable and numerous demands usually put forward by the industrial unions of employees as compared with the modest and reasonable proposals of the employers. The balance-sheets of freezing companies so far published throughout the Dominion reveal the unprofitable and precarious position of the industry at the present time, and it must be apparent to the Court that it cannot stand any increase in the cost of wages, and unless increased production is obtainable the employers may be compelled to demand a reduction in wages.”