HARDSHIP CASES

Evening Post, Volume CXI, Issue 71, 25 March 1931, Page 10

HARDSHIP CASES

IN CIVIL SERVICE

(RESULT OF WAGE CUTS

COMMISSION PROPOSED

MR. FORBES'S INTIMATION-

Suggestions made in ihe House of .Representatives last night by the Leader of the Opposition for the relief of cases of hardship arising out of the wage reduction proposals were met by the Prime Minister's announcement that he intended lo provide for a hardship commission to adjudicate on cases of hardship which might occur in the Public Service.

Tho Leader of the Opposition (the Right Hon. .T. G. Coates) declared that the necessity for reduced expenditure could not bo side-stepped. It was not his responsibility to say by how much expenditure could be reduced, but he must lend an ear lo the Prime Minister, who found himself faced with certain obvious difficulties. He had, however, gome proposals to make with v desiro to help, and if possible lo allow the load to fall more equitably on members of the Civil Service, lo whom he paid a high tribute, for the responsibility they carried. The Expenditure Readjustment Act, VJ-I, contained provision for the railwjiymen of the Second Division lo enter into a contract, with the Minister under which two 0 per cent, cuts could apply. Their wages •were reduced 10 per cent., and he did not think it unreasonable to ask tho Prime Minister to adopt the course followed on that occasion.

The Minister of Railways (the Hon. yt. A. Veitch): "That concession was irmly given to the locomotive men."

Mr. Coates added that similar legislation would give satisfaction, and the pavings would bo exactly the same. He discussed the difficulties of married ■men who had to face the double weight of the cost of living and rent, urging 1 hat there should be an effort to reduce hardship in such cases. He asked if the Government coiild provide exemptions from tho proponed cut to the extent of 2-J per cent, on married men ■with one child, making a 7i per cent, deduction from salary, and allowing a 5 per cent, exemption in tho case of a., married man with two children, 7-J per cent, where there were three children, and exempting the man with four or'more children altogether. This would cost the country about. £200,000, and enable the Prime Minister to save * 1,200,000. Labour members: "Where would you »ay the £200,0(i0 should come from'?" Mr. Coates: "I am prepared to make mggestions to the Prime Minister how that side tau be managed." Mr. W. I). Lysnar (Independent, Gisborne): "Not off tho farmers.'' Mr. Coates: "I know as much about the farmer as tho lion, gentleman, not to say more." Mr. Coates suggested to Mr. lorbes that he. should consider Iho suggestions 3iut forward, and that he should not hurry about it, as it. was too serious a matter to deal with without due consideration.

TOO EIG- A MACHINE

Replying to tho Leader of tho Opposition, the Prime Minister said that the country was carrying too big a Public Service machine for its reduced income, and there were only two ways of meeting the position. One was Tdj" reducing expenditure over tho whole Service, and the other was to cut the numbers in the Service. The latter course was the last, he wished to adopt. He reminded the House that the estimated deficit of £750,000 had grown to £1,250,000, and that there was a growing army of 31,000 unemployed, with no work at all. The Government lad to do its best to meet the necessities of the unemployed, which were far greater than the necessities of thoso in the Public, Service. Mr. A. Harris (Reform, "Waitemata) (said Mr. Forbes had to totally ignore the-reasonable suggestion made by the XiCader of the Opposition. He asked if the Prime Minister intended to force •the Bill through the House without any amendment whatever, and without heeding those who wished to afford the Government assistance. If the Prime Minister would say clearly, definitely, and distinctly that ho was going to stand by his proposals and put ■through the whole Bill or nothing, they would know exactly where the Government stood. "I don't know," said Mr. Harris, "where the right hon. gentleman stands on his own Bill.' I want an explanation before I can vote on it."

COMMISSION PROMISED,

The Prime Minister said he did not •wish anyone to east his.vote without having a clear understanding of what he-was voting for. Mr. Coates had asked the speaker not .to give an answer, and Mr. Forbes said he had merely complied with that request in not replying directly. However, he was prepared to give a reply. As to the suggestion for a graduated cut, he repeated his previous statement that that course had been tried, but that it would not give the revenue that •was absolutely necessary. He was absolutely, confident that if the 10 per cent, reduction in wages was made there would be a corresponding reduction in the cost of living. "My intention," Jio announced, "is to introduce a hardship commission into the Public Service."' When tho Government had set up hardship commissions previously Ihry had done their work well; he 1 bought everyone would agree that that was so.

So far as the general principle of the Bill was concerned, he said he ■would sooner t>e defeated a dozen times than go back on the policy he had already placed before the country, and which he believed was the right- one to ensure that the country's finances were put on a proper basis. The only way to restore the position was to make the reduction general right through the country from top to bottom, and he was sure that the real wages of the people, when the cost of living was reduced proportionately, would not be affected in the slightest.

Mr. Somple: "That is only an assump tion."

Mr. Forbes added that he wished in every possible way to meet cases of hardship. Mr. Lysnar characterised the suggestions of the Leader of the Opposition ts mere political eyewash. He had to admit it meant being £200,1)00 short, and could not sny where this would come from, except from a reduction in the cost of living.

A PERMANENT TRIBUNAL.

Mr. T. D. Burnett (Reform, Temuka) congratulated the Prime Minister on .having set up a hardship tribunal, and ho hoped it would bo the nucleus o£ a permanent, body to deal with the *alaries of the Civil servants. It was "up to" members of Parliament, to solve, the problems which were facing the country at the present timo, and

he believed the Labour Party was just as anxious to do that as any other section of the House. Labour members: "Hear, hear." Mr. J» S. Fletcher (-[independent, Grey Lynn): "Help us to remove wheat duties." Mr. Burnett said he was sure a great deal of camaraderie existed between the Prime Minister and himself, as they were both off the tussock slopes of Canterbury. Ho was anxious to make equality of sacrifice a real thing and not so much mouthing. Labour members: "Hear, hear." ■Mr. Burnett said he would like to see a tribunal which would deal with the salaries of the Civil servants from time to time. They should share in the prosperity of the Dominion, and they should also be prepared to take their share when things were not so prosperous. The whole country was looking to Parliament to do something towards making a readjustment, a readjustment which would do more than anyliing else to put New Zealand back on" the high road to prosperity. Mr. R. M'Kcen (Labour, Wellington South) said the Prime Minister's statement indicated that Mr. Forbes feared considerable hardship would result in the Public Service as a result of tho wage reductions. s