TWO LABOUR PARTIES

Evening Post, Volume CXI, Issue 81, 7 April 1931, Page 9

TWO LABOUR PARTIES

NEW SOUTH WALES SPLIT

DRASTIC DECISIONS

(From "Tho Post's" Representative.)

SYDNEY, 2nd April

Tho serious nature of the split in Labour run kg iv Now South Wales is exemplified by the fact that at the next Federal elections, providing things remain aa they are, there ■will be two sots of candidates each claiming official endorsement. Lnbonr has always boastctl its unity, except whon tho conscription issue rent it asunder many years ago, but now unity seems to have been cast overboard for ever. Australia now is told that the .Federal executive is in supremo command, and by way of reply the State executive says it. cannot, and will, not, be dictated to by anybody. "Very well," says tho Federal executive, in effect, "yon don'l. exist." "Mind your own business," says l.be

Slato executive, which proceeds _to show very positively that it docs exist. The object of the Federal executive is to KDin'sh the Lnng •control oil the Labour Party in New South Wales; hence tho ultimatum, to all 'electoral councils, Labour leagues, and affiliated unions that they must pledge allegiance to tho Federal Labour Party by 30th April or bo expelled. Tho Federal Conference, held in Sydney during the week-end, took the view that unity was now impossible and that a new Labour organisation would have to be cstabr lished in Now South Wales. The decision to expel the State executive immediately was made to apply to it as a body. Individual members could still remain within tho movement by conforming to the Federal policy, which is wholly opposed to the financial arrangements introduced by Mr. Lang. It has been made clear that the fifteen Labour members in New South Wales who have remained true to Mr. Sculliu will be endorsed at tho next election. The State- executive haa decided to fight uncompromisingly tho intrusion of the Federal body into State A.L.P. affairs. Tho president (Mr. J. J. Giraves) said: "By whatever name tho new party may become known, it will not seduce tho allegiance of one man from the Australian Labour Party. On more than one occasion I have referred to the similarity of the present Labour crisis to what occurred in 1916. In 1914 Mr. Fisher was returned with as tremendous majority as Mr. Scullin was in 1929. Before the Labour Ministry was two years old, Mr. Hughes, who succeeded Mr. Fisher, quarrelled with tho Labour movement in New South Wales, just as Messrs. Scullin and Theodore are doing now. But they did not kill it. Mr. Hughes, with a handful of followers, founded a new party and found a, new name for it, just as Mr. Theodore is doing now. Mr, Hughes shunned the Trades Hall, and met in sumptuous surroundings, just aa Mr. Theodore is doing to-day." THE FEDERAL PLATFORM, As opposed to Mr. Lang's repudiation policy, which was declared to be contrary to the Labour policy, the Federal conference adopted the following platform:— (1) The control of currency, interest, and exchange by a Commonwealth central bank. (2) Management of tho Commonwealth Bank to be established on linos that'will enable that institution to function actively and aggressively in competition with private banks, all savings business to be absorbed by arrangement with the State Governments. (3) Immediate efforts to stimulate industry to absorb unemployment by starting Commonwealth and State public works, the fiduciary' currency to finance those works to be pushed forward determinedly. (4) The Commonwealth Government should obtain authority to control rates of interest on bank deposits, advances, and overdrafts. (5) Interest on State and Commonwealth bonds should be taxed for the purpose of compelling bondholders to contribute a share of national sacrifice. (6) An effective tariff should be continued. (7) Overseas exchange to be carefully watched and, if necessary, controlled by tho Federal Government. The Prime Minister, realising the importanco of the issues, attended the Federal conference in tho capacity of a Victorian delegate. He- said that the responsibilities of the States and .the Commonwealth with regard to unemployment had been of more concern to him than any other question since he had become Prime Minister. He regarded it as the duty of the States to deal with unemployment, the Commonwealth to assist in equalising the burden. In the case of South Australia, for instance, greater assistance had been given because the position was worse "thcro than anywhere olso.