“NEWSPAPER WAR”

Gisborne Times, Volume LXXXII, Issue 12254, 9 April 1935, Page 5

“NEWSPAPER WAR”

MINISTER REFUSES TO 1 INTERFERE UNEAIPLOYAri<!NT COAJMITTEE’S APPEAL REJECTED. “Press AssoclAtian-l OHRTSTOHUROH, April 8. Recently, the, Christchurch Unemployment Committee showed concern about the “newspaper war” in Christchurch, and made an appeal to/ythe newspaper proprietors and sevh r.l Ministers to bring the war to an end by fixing a. minimum, price of newspapers. The committee appealed to the Government to use its pojvei-6 of place fixation under the Board of Trade Act in order to prevent the elimination of one of more of tho four newspapers, thus throwing many men 'out of employment. The newspaper proprietors, the Commissioner of Employment, and Messrs. Coates and Forbes merely acknowledged the committee’s letter, promising that it would receive consideration. The ‘Hon. R. Masters replied that the Government would not act ns requested, stating tho reasons ns follows: “You. will appreciate that before any such action could be taken, an intensive investigation of the position of each and all the Christchurch newspapers would be necessary, and regard would have- to be given to the fact that tho fixation of a- minimum price, for the newspapers themselves would not touch the question of possible intensive comiietition in the price of advertising space which constitutes the other main source of revenue. It will also be appreciated that the view may be taken that public interest would not necessarily be best served by any action which would tend to maintain the publication of as many as four daily newspapers. “Any change in the present position brought about by price competition would not necessarily result in throwing out of employment all the present employees of any one or more of the companies, as these would doubtless in some degree find employment- in the newspaper establishments which would remain to cater for the public demand. “The fixation of minimum prices, particularly in circumstances where doubt exists as to the economic benefit to the public as a whole by the maintenance of existing units, is a course of action which the Government is not inclined to adopt and I regret that, after a careful review of all the circumstances, the Government finds itself unable to accede to the suggestion put forward in the resolution of you - committee.” The committee set up a sub-com-mittee to draft a suitable reply to the letter from Afr. Alnsters.