WAGES AND INDUSTRY.

Horowhenua Chronicle, 22 May 1928, Page 6

WAGES AND INDUSTRY.

NEED FOR INVESTIGATION.

CAUSES FOR UNEMPLOYMENT.

“I want to mention a discussion that took place in the House of Representatives last session," said the Hon. O. J. Hawken. Minister of Agriculture, in his address at Tauranga last week, when referring to the' Arbitration question. “Strange to say, there are still very decided opinions about the Act. Some people think it should be swept out of existence altogether, but whatever opinions in that direction

may be there is certainly a very general feeling that the Act is not working quite as perfectly as it should. “An inquiry is being held in Wellington at present, or is to take place shortly, as to the working of the Act, and its effect on industry, not only the farming industry, but secondary industries, transportation and other actlvities. We hear on every hand that the Act has decreased output, that? it has enabled unions to adopt a ‘go slow” policy. We are told, for instance, that bricklayers in,New Zealand are not laying more than half the bricks they formerly laid. Limitation of Output.

‘T am not saying that it is so, but one hears these remarks and opinionsevery day. We also hear that Klaughtermen have a limitation of output and I do not think that there can' be much doubt about that. Men axe killing 90 sheep or 100 lambs a day, when they are capable of 130, 140, or 150. There is a definite limitation of output there. At the inquiry those who are in a position to* do so should produce the figures.

‘‘As there are many who must be in a position to state the course of events so far as the output of labour is concerned if the output has decreased, then it is perfectly evident to met that wages cannot increase. la America many industries pay their men by results, and a most extraordinary rise in wages followed the adoption of this .system. In many trades in America double the wages are paid compared with those in New Zealand, and they are still able to compete in the world's markets > showing that their output must bo much greater than it is here. Imports and Unemployment. “1 am very much interested in this inquiry; The matter must be probed to the bottom and we must find the reasons why there is unemployment in a country like this, and why it isthat our secondary industries are not progressing. We import about £45,000.000 worth of goods every year. Our secondary industries arc not thriving as they should and every farmer knows that there is always plenty of work left undone on the farms. Why is it that the. employer does not find it profitable to employ the nien who are out of work? “A great deal of criticism has fallen on the Government, but it is doing its best to employ -as many men as possible.” > ,

A Voice: If you stopped immigration, you would got have half the unemployment you have to-day. The Minister: But surely there is

something wrong when a now. country like this, importing such a ’large quantity of goods, and with the land we have, cannot find employment for a few extra men Irom the Old Country, \yhero it is more difficult to find employment. There is something wrong with the system. That is quite evident, and wc want to get to the bottom of it. The Effect of Piecework. “It is not a question of wages with, me.” continued the Minister, “and from what I hear from employers generally, it is not a question of wages with them. They are finding fault with the conditions laid down. If there is a slowing down in the output,.* then no wages you can pay will make up for that loss. I have heard lately of several instances where piece work has been adopted, and the results have been very startling. It istherefore very evident to mo that thorough inquiry is necessary. It is no pleasure to any of us to see mem out of work. It Is certainly not tothe Government. It is a nightmare to them. I am satisfied that there is only one way to get men back towork and that is to get them into industry and not keep them employed on relief work, roacl making and so*

“There arc already 3000 to 4000' men too many on the Public Works and we want'industry to absorb them, but yet tfe fffel more and more being thrown out of industries and the Government being cadled upon to findwork for them.

Going through the country T find that nearly all the unemployment isin the towns. I have made careful inquiry in the country districts through which I have passed and find that very few of the local men are out of employment, nor do I thinlc that the country men have been drifting to the towns since the unemployment became so rife. lam therefore forced to the conclusion -that most of the men mlt of work are-, 1 townsmen and that industry ia nob able to pay the wages which they demand and should receive.”