COSTS IN INDUSTRY

Dominion, Volume 30, Issue 175, 21 April 1937, Page 10

COSTS IN INDUSTRY

Doubt Whether Fair Profit is Being' Macle SOCIALISTIC TRENDS Reference to the increased costs in industry resulting from the Government’s ' industrial legislation is made in the report adopted at the annual meeting of the New Zealand Federated Ironmasters’ Association in Wellington yesterday. It also mentions the socialistic trend of the legislation and invites industry to be watchful. “The new industrial legislation of the Labour Government has affected employers in the engineering industry together with all other employers, ’ the report states. “The Factories Act, the Shops and Offices Act and the amendment of the I.C. and A. Act, have all had their effect. Labour costs have been substantially increased,. and while there has been increased activity there may be some doubt as to whether a fair margin of profit is being maintained generally. “Another statute which may have important effects upon the engineering industry is the Industrial Efficiency Act, the provisions of which are very wide. It is recommended that the federation should appoint a committee to consider the possible application of this Act to the industry, particularly as small groups may take action which might seriously prejudice the interests of members outside of those groups. “There is a strong socialistic trend in all the Government’s legislation. Rationalisation of industry may be a very long step toward nationalisation of industry, and business firms who may be brought under the provisions of the Industrial Efficiency Act should make sure that they do nothing which will even to a limited extent bring them under bureaucratic control and deprive them of their rights to control their own business enterprises."