PENALISING PRODUCTION

Evening Star, Issue 25926, 18 October 1946, Page 5

PENALISING PRODUCTION

ENDANGERING ECONOMIC STABILITY OTAGO EMPLOYERS CRITICAL " The position has now been reached where overtime rates are payable for all work done on more than 240 out of the 365 days of the year, - and there i has been a general decline in individualproductivity as well,’’ states the report presented at the annual meeting yesterday of'the Otago Employers’ Association. The question .whether economic stability can be maintained under the working conditions created by the Government ; is raised in the report, which also criticises the actions of certain employers in subordinating the benefits of unified action to a policy of selfishness in attempting to sabotage •stabilisation by agreeing in conciliation proceedings to higher rewards for employees. " It is to be regretted,” the report states, ‘‘ that, contrary to what might reasonably have been Expected, the termination of a state of war extending over a period of more than six years has . been followed by industrial unrest of a nature which probably •k has never before been experienced In the history of the Dominion. UNBALANCED PROGRAMME. 1 “ In the early days of the war the • Government , initiated a policy of ’ stabilisation to which whole-hearted support was given by our federation ’ and- by, employers’ organisations in general, and which, had its principles been faithfully adhered to, would have resulted in a much', greater measure of economic and industrial equilibrium than exists to-day. An outstanding feature of , the policy of the present Government in respect of industry has been to provide workers with greater opportunities for rest and recreation by shortening hours of work, at the same time ensuring that they will suffer no reduction in wages. Notwithstanding the crying' need for greater production, that policy has been .progressively promoted, so that

to-day, no hours beyond. 40 a week may be worked except at . penal overtime rates. It might reasonably have been expected, the report continues, that the adjustments of wages to the new standard rates established ,by the Arbitration Court under the provisions of the amendment made early last year to the Economic Stabilisation Emergency Regulations would. result in a diminution of claims by workers’ organisations for new awards, but such, unfortunately, had.not proved to bd.the case. FUTILITY OF PALLIATION. The policy of the Employers’ Association had been to oppose any increase in wages beyond those which had already been made under the Stabilisation Regulations, and, in this, it had hitherto been supported by the court. This attitude was dictated by a firm conviction of the futility of seeking to palliate industrial unrest by higher and ever higher rates of pay, which must be reflected in increased costs of living and could not, therefore, be materially beneficial to the workers, nor to the general well being of the community. Had a similar policy been followed throughout the Dominion, it was quite conceivable that the court’s standard rates might have remained stable for some considerable period. Although, as has been stated, the court, generally speaking, had declined to grant increases where applications for such had been opposed by the employers, it had nevertheless ratified a number of agreements entered into in Conciliation Council providing for substantial increases, the effect, of which will be very far-reaching. REVOLUTIONARY AGREEMENTS. Some of these agreements were of an extremely 'revolutionary nature, as, for example, the adoption in a section of the building trade of payment of wages on a weekly instead of an hourly basis, as had been the practice from time immemorial. It did riot appear that any logical argument could now be adduced against the general substitution of the ' f weekly for the longestablished' hourly system of payment. “ It would seem,the report concluded, “ that the unsatisfactory position which has developed is largely attributed to the • selfish attitude adopted by certain groups of employers in subordinating the undoubted benefits of - ■unified action to-a course which may have appeared to offer to them some immediate advantage in the securing of labour, regardless of any ultimate repercussions.?’

ELECTION DAY ARRANGEMENTS. Mr W. E. Earnshaw presided at the annual meeting of the association yesterday afternoon, when it was decided to recommend that employers should I’bserve the provisions of the Electoral Act, 1927, on election day, which, with some minor exceptions, required that' shops and offices must be closed, and employees be given a holiday from 12 noon. The Act, it was pointed out, did' not require factories to be closed, but it provided that the occupier must afford reasonable opportunity, not exceeding one hour without deduction of pay, for employees to record their rotes. Such time off need only be granted on request of the employee. The provisions of the Act did not apply to workers employed on outside work such as carpenters, labourers, painters, plumbers, electricians, etc. OFFICERS ELECTED. Officers for the ensuing year were elected as follows :—President, Mr Jas. Grant; vice-presidents, .Messrs C. R. Nicholson and L. G. Stephens; coriiniittee—Messrs C. E. Begg, G. M. Bruce, W. E. Earnshaw, M.C. Gamble, N. L. Hutton, A. Ibbotson, J. H. Kirkwood,; H. L. Longbottom, S. Owen, J. Sutherland Ross,. J. C. H. Somerville, Geo. Simpson, W. 11. Tucker. D. R. Wilson, and one additional member to be appointed by the .executive. .. s * It was decided' that a special minute be recorded I expressing appreciation of the valuable services rendered by Mr Earnshaw during his three' years' occupancy of the office of president.