NOT OBSTRUCTIONISTS

Evening Post, Issue 82, 6 April 1936, Page 4

NOT OBSTRUCTIONISTS

ORGANISED MANUFACTURERS

HELP FOR GOVERNMENT

"Organised manufacturers are not to be regarded as obstructionists to the Government's policy; indeed, they have repeatedly offered their co-operation and help," says Mr. A. E. Mander, general secretary of the New Zealand Manufacturers' Federation, in a statement to "The Post." "The following points are of vital importance to industry; but I put. them forward solc]y with the object not of creating difficulties, but of foreseeing and avoiding them:—

"(1) The' Government has a mandate from the people to improve wages and labour conditions. It is a waste of time now for anybody to argue against that. The question was settled last November. . .

"(2) Care is necessary to ensure that the results of the Government's policy do not turn out to be the exact opposite of what is intended. If the cost of producing New Zealand goods is increased, while imported goods are not affected, many of our industries will be rendered unable tp hold their own in competition with imported goods. It must be realised that, every day, hundreds of orders turn on the question whether the New Zealand goods are a fraction cheaper or a fraction dearer than the prices quoted by importers; and if they are even a fraction dearer, the order goes overseas. "(3) The Prime Minister has repeatedly assured us that the Government intends to safeguard manufacturing, industries and the employment of the workers engaged in them. Nevertheless, we are also given to understand that while the cost-raising legislation will come into force almost immediately, the balancing or safeguarding measures may not follow' until next year. If this is so, the outlook is distinctly alarming, for New Zealand -Industries will in the meantime suffer a disastrous set-back, and the amount o/ employment in industry must be substantially reduced.

"(4) We know that the Government is alive to this danger, but it appears that there are only two ways of avoiding it. If possible, the safeguarding measures , should be: introduced now, simultaneously with . the cost-raising measures. But-if that is deemed to be inexpedient, then the only alternative is that legislation to increase ■ the cost of producing New Zealand goods should not come into force immediately. It might be put on the Statute Book now, but with a provision that it became operative only at. the same time as the other and counter-balancing part of the Government's policy.

"(5) Expressing it concisely, the Government's industrial policy is composed, of two parts, which will balance. One part of the policy will increase the cost of producing goods in New Zealand, and the other part of the policy ,'will prevent the New Zealand industry losing orders as a result. If both parts of the policy become effective simultaneously, all will be well. But if one part is put-into force this year, arid the other part not until next year, the balancing will be completely upset and a serious dislocation of industry will occur during the interval."