TOP SPEED TO THE DEVIL?

Evening Star, Issue 22366, 16 June 1936, Page 8

TOP SPEED TO THE DEVIL?

Evkx after allowing for possible exaggeration, used in order to emphasise a point, people who have studied the operation of the forty-hour week in relation to the economic position of New' Zealand should arrive at the conclusion that there is a sound basis for the attack on the new measure made at the International Labour Conference at Geneva by Mr A. C. Mitchell, a New Zealand employers’ delegate. it may have been too much to say that the passing of the forty-hour week proposal into law would send “ God’s own country at top speed to the devil.” The prevailing hope will be that before such a dire end is ours strong steps will be taken to ensure the financial stability of the country. Undoubtedly, however, the proposal does carry with it the threat of serious repercussions. MiMitchell, who for some time past has been in a singularly convenient position to investigate matters pertaining to Empire trade, stresses the vulnerability of New Zealand’s export business. He does so with the confidence of one who, being out of the Dominion’s political scrummage for the time being, follows the game with a clear, if critical, eye. The fact is that, although it may be possible for New Zealand to lead the world in framing legislation of a pitrely social nature, it is not within her power successfully to race ahead of countries nearer the Homo market with farreaching laws affecting industry. The chief danger perhaps lies in the attempt' to maintain or increase the old rates of pay and at tho same time work shorter hours. Frequently it has been pointed out that manufacturers’ costs are bound to rise, and, as the necessity for this upward trend in prices will have been brought on by the Government’s legislation, the manufacturers are entitled to ask what will be done to protect them from overseas competition.

The obvious solution lies in the direction of higher tariffs. But then again the raising of the tariff against at least one very important country—the United Kingdom—would hardly be a. step brimming over with wisdom. New Zealand

lias primary produce to sell. The Minister of Finance and Marketing (Mr Nash) is going to England shortly to sell, if he can, about £40,000,000 worth of it. His party’s legislative enactments are not making the way easy for him. After it has been made apparent to him from first-hand sources that the Homo Country does not need to absorb so much of our produce as she does he may return hero a man with amended views and one ready to inculcate into his Cabinet colleagues the realisation that Labour ideals which have a leaning towards Liberalism are more likely to endure than “ sky’s the limit ” Socialism. Then, in very truth, it might be claimed by Mr Savage that Labour was carrying on from where the Seddon Government left off. At the moment there is only a faint parallel to be discerned between these two regimes. There is none whatever between the economic conditions of the respective periods. There are too many people in New Zealand who seek peace of mind in the reflection: “ Oh, yes, there was the same old outcry against the Seddon Government when it came into power. Labour will be all right. Don’t worry.” But New Zealand’s future for many years ahead at no time seemed brighter than when Mr Ballance and Mr Seddon took charge. They came in on the wave of the prosperous refrigerating era which enabled the country to export in addition to wool such produce as butter, cheese, and meat in almost unlimited quantities. There Avas no talk of quotas then. The competition from other countries Avas not particularly keen. Problems relating to the establishment of reciprocity in trade Avcre not so acute. A comfortable ago indeed. If the present Labour Government Avishes to recapture it the members of it Avill find themselves faced Avith more than they can accomplish. Their own future, as mapped out for the public's edification, is not so promising.