COST OF LIVING

Dominion, Volume 29, Issue 195, 15 May 1936, Page 10

COST OF LIVING

Government to Check Exploitation AMPLE POWERS Full Benefit From Better Wages A statement that the Government would take definite action under the Board of Trade Act, or, if necessary, under fresh “blanketing” legislation to prevent any undue rise in the cost of living, was made in an interview yesterday by the Prime Minister, Rt. Hon. M. J. Savage. The Government’s aim, Mr. Savage said, was to raise the standard of living but not at the expense of a heavy increase in the cost of living. “Our opponents are claiming that the result of all our legislation will merely increase the cost of living, and leave the worker no better off than he is today,” the Prime Minister continued. “If that is to be the position, we would be foolish to go on with our programme. But it will not be allowed to happen. Workers who receive an increase in salaries or wages will be safeguarded against any artificial increase in the cost of living or any attempt at exploitation. We have said time and again that we aim at increased buying power for the people. That is impossible of attainment if costs are allowed to rise in exactly the same proportion at the same time.”

Mr. Savage said that the Government hoped ultimately to be able to conclude trade agreements with Empire and foreign countries, biff In the meantime it might be necessary to protect local manufacturers by means of tariff increases. The Government was prepared to take any necessary action to prevent costs from soaring

The whole position with regard to Government action against rising costs applied to rents as well, the Prime Minister continued, and in this connection he had asked the legal section of his party to expedite the preparation of a Bill to prevent landlords from profiteering in rents. “Our guaranteed price scheme will also increase the incomes of dairyfarmers,” Mr. Savage said, “and I can only repeat that we are definitely prepared to take action to prevent the guaranteed price from finding its way into the pockets of land speculators. “It cannot be said too often that we will take all the necessary power to enable the people to enjoy in full measure everything that they are capable of producing themselves. It is not a question of despotism or autocracy. It is merely a question ot giving effect to the policy which we placed before the people and which was responsible for our return as the Government.” The Prime Minister added that the Finance Bill with a clause making a general order for the restoration of all wages and salaries to the 1931 level would definitely appear before the recess, which it is proposed to take either at the end of the month or early next month. In that respect salary restorations would anticipate the Budget.