UNEMPLOYMENT.

Hawke's Bay Tribune, Volume XVII, Issue 205, 13 August 1927, Page 8

UNEMPLOYMENT.

THE SUBSIDY CONDITIONS. PREMIER’S REPLY TO MAYOR’S LETTER. < The Prime Minister (the Hon. J. G. Coates) has replied to the letter from the Mayor of Hastings (Air G. A. Maddison) requesting the Government to relax the stipulation that a Government subsidy to local bodies for unemployed relief works, is conditional on .the expenditure consisting of at least 60 per cent of labour. The Premier regretted that a large number of men were out of work in Hastings but pointed out that the District Engineer of Public Works in Napier had been instructed to employ 30 additional men on Government relief works, which would doubtless take some of the men from Hastings. The Hastings Council hud recently submitted to the District Engineer proposals for an expenditure of £1325 on construction of footpaths and improvement to reserves for relief of unemployment and he (Mr Coates) had been advised by the Minister of Public Works that a £ for £ subsidy of £4OB, on public subscriptions had been granted in respect to this work, at the request of the council. The stipulation that works which local bodies desire to undertake for relief of unemployment and receive a subsidy from the Government should, contain, at least, Oh per cent of labour, was made with the object of ensuring that expenditure on maatcrials would not be unduly high, and that the works would afford relief to lhe largest number of men pos sible.

From inquiries he made made it would appear that the Hastings Bor ougli Council was one of the very few local bodies that were experiencing difficulty in finding works suitable for unemployed which complied with the condition that they must contain, at least, 60 per cent of labour. He feared there was little likelihood of the Government granting a subsidy on works in which the proportions of labour and materials do not closely approximate 60 per cent and 40 per cent respectively, but he realised the Mayor’s difficulty, and if the council would submit'to the District Engineer at Napier, a schedule of the further works that they had in view for the relief of unemployment and would mention in the estimates the proposed expenditure on materials and labour, the matter would receive further consideration.