WOOLLEN TRADE

Evening Post, Volume CXXV, Issue 71, 25 March 1938, Page 5

WOOLLEN TRADE

FUTURE PROSPECTS

"POSITION NOT SO BRIGHT"

LABOUR COSTS

The contention that the prospects in the woollen industry in New Zealand are not as good at the present time as they were twelve months ago was made in the Court of Arbitration yesterday afternoon during the hearing of the case for the employers in the Dominion woollen mill and hosiery factory employees' dispute. Mr. A. S. Cookson, agent for the employers, said that the position of the woollen industry today was such that it was quite unable to bear any increased labour cost. A SLACKENING OFF. "The experience of the majority of. the mills and factories," he proceeded, "is that trade is slackening off, forward orders are not being booked in anything like the normal quantity, and the outlook for the immediate future of the industry is anything but bright. That .this position is recognised by the Government is evidenced by the fact that it has just recently made tariff adjustments designed to foster, and protect the textile and hosiery industries. The benefits which might be expected to have accrued from this adjustment will be entirely nullified if any increase in wages is granted by the Court. The capacity of the industry to continue to find employment for the very large number of workers who rely upon it for their means of livelihood depends entirely upon its ability to produce its goods at a price which will permit them to be sold in competition with importations from overseas, and the menace of that form of competition is continually becoming more serious. It is most strongly urged that in deciding upon the rates of wages which the industry is to pay in future, the fullest consideration should be given by the Court to this important factor." DIFFERENT POSITION. It would not be denied, said Mr. James Evans (employers' representative), when he was addressing the Court, that the past year was a prosperous one. But the position today was very different from what it was this time last year' when the parties met in conciliation council. No mill wanted to dismiss workers unless there was good reason for doing so, and the only reason was lack of orders. The position in industry today was not nearly as, good, or the prospects as good, as they were twelve months ago. The Court probably did not want him to go into the reaspns. They knew that there had been excessive imports. That had affected the position to some extent. He thought another reason was the big stocks being carried by retailers. LACK OF CONFIDENCE. "The buying public today, for some reason or other," Mr. Evans continued, "does not seem to have the confidence of twelve months ago, and the position as far as we see it is a very difficult one at the moment. I mention that fact because I don't think it right that the Court should be told the industry is prospering. I don't say it is not prospering, but rather that the outlook for the future is-not nearly so good as it was.''" ' ; "On behalf of my company (Ross and Glendining, Ltd.), and I think on behalf of the other companies, our main objective, even at the expense of shareholders, is to keep our workers employed, and that is what we hope to do in the future." ■ The position of certain companies— Roslyn, Kaiapoi, and Petone—had been referred to, Mr. Evans continued. Their accounts had been made up, but they did not cover the woollen industry alone. Ross and Glendining employed 2000 hands throughout New Zealand. A great number of these people were employed in the company's clothing factories. The success of the woollen industry meant a great deal to the workers-employed in their other factories manufacturing the materials the company was making in its mill. MR. HAMILTON'S PREDICTION. Mr. W. W. Batchelor (employees' representative) said that Mr. Evans, at the conciliation council proceedings, had told the same story about a want of prosperity or poorer prospects. Perhaps he might be able to strengthen that argument now, for, according to a newspaper'report, Mr. Hamilton predicted a change of Government. Perhaps the employers were afraid of the other Government. Mr. Justice O'Regan (laughing): You are entitled to have your little joke. Mr. W. T. Young (employees' representative): I reckon the prospect of another Government is a good joke. His Honour: You mustn't introduce politics here, Mr. Batchelor. "I am sorry, your Honour," Mr. Batchelor replied, and the matter then dropped.