PARLIAMENT

Inangahua Times, 17 March 1932, Page 4

PARLIAMENT

HOUSE OF REPRESENTATIVES _ THE EXCHANGE RATES (Per United Press Asan.)

WELLINGTON, Last Night. Th« Bouse of Representatives met at! 2.30. Replying to Mr Langstone. the Hon J. G. Coates said efforts were being advanced to make provision for men ■who were being dismissed from the Public Works. He would announce at a later date what form that provision would take; meantime a complete i list of the men concerned, their qualifications, responsibilites and occupa-

tions was being compiled, with a view to ascertaining whether they could lie absorbed in other avenues of employment. If employment could not be found, at least some measure of relief would be furnished, pending improvement in the general outlook, j Mr Poison asked, whether the Gov-

I eminent would make representations I to the Banks with a view to obtainI ing a reduction of charges for the I | service of exchange in conformity with ] I a reduction in the London bank rates. I He said Australian banks had reI duced their charges by 2/6 per cent | as a result of a fall in the bank rate. Mr Forbes replied that representaI tions had already been made to the I Banks and the matter was under conI sideration.

I Mr O’Brien asked whether, in view I of the fact that the Banks now had | complete control of exchange, the Gov-, I ernment would request them to bring I the rate between the Dominion and I Australia as closely as possible to par. I He said the rate of exchange beI tween New Zealand and Australia was I seriously affecting the Dominion’s coal I and timber industries, Insofar as it I favoured importations of coal into the II Dominion and detrimentally affected I New Zealand’s export of timber to I Australia. I | He declared, if the exchange rate II were brought to par, it would have the 11 effect of providing employment for a 11 considerable number of men in these [ I two industries.

Mr Forbes replied that the exchange rates between Australia and New Zealand were determined by the respective rates of exchange of Australia on London and New Zealand on London. If the rates between Australia and New Zealand were brought down to about par, Australians would inevitab ly obtain large amounts of exchange on London through New Zealand, to the detriment of the Dominion’s resources in London. Mr O’Brien:" The majority of the banks are prepared to bring the rate down to about par. —.— Mr Forbes said previous efforts to maintain a lower rate for trading transactions had been futile. An arrangement had been made whereby some advantage would be given the New Zealand exporter of timber, but it had broken down, because it had been found impossible to maintain a special rate of that description. Mr O’Brien; I am assured that if pressure is brought to bear on the banks, they will bring the rate down to par.

Mr Forbes; I will raise the question with the Banks. Mr Jones asked the Hon Hamilton whether his attention had been drawn •to a statement, that at a meeting of Dunedin Manufacturers’, the trend of discussions showed clearly that a large number of manufacturers were distinct jly opposed to any legislation that would have the effect of abolishing the Arbitration Court. Mr Hamilton said the Bill before the House would not result in abolition of I the Court. I Labour Members: Nonsense.

Messrs Henare and Black -were granted live days leave of absence on 1 account of Illness In their families. Consideration of the Industrial Conciliation and Arbitration Amendment Bill In committee was resumed. The discussion on the short title was continued till 6.18 when Mr Torhes moved, that the question he put. The Leader of the Opposition pointed out that the Minister of Labour had spoken on three occasions While a number of Labour members had spoken duly once. The Chairman of committees, Mr Smith, stated live hours had been spent on the short title. He was satisfied that the rights of members had not been infringed. The closure was applied by 43 ,to 23 votes.

The House adjourned at 6.30. the short title •WELLINGTON, Last Night. The House resumed at 7.30. atr Schramm, in committee, moved to add to the short title of the Industrial Conciliation -and Arbitration Amendment BUI, to provide that the measure should not come into operas tion uhtU the first Jannary, 1036. This was defeated by 44 to 30 votes and, on a subsequent division, the short title was retained by 43 to 30, Messrs Atmore, Connolly, W. W. Massey, Rushworth, Samuels, Stallworthy, WUkinson and Wright voting wth Labour against the clause. Progress was then reported to enable Introduction, by Governor-General's message of the Mortgagors and Tenants’ Belief Bill. There would have to be some permanency of tenacy before the provision: of the Bill applied. It would not apply to premises which were rented only for a week. There was also power for the Court to re-. view personal covenants. Replying to an interjector, Mr Forbes said this provision woiUd apply to land but not to chattels.

H wsg’hJt to the Court to RactM of h&rrtwMp. The Court had power to reduce or emit interest an<i to extend the period of mortgage.

Mr Langstone: 1* there any chance of reducing the principle? - Mr Forbes: There is ho power to reduce the amount of principal, bnt there is power to extend the period. It is not possible to cover every case under this Bill. Outlining the measure, Mr Forbes said, power would be given to a mortgagor to approach the Court, even though tbe mortgagee had taken no steps against him in reference to his holding.

When a mortgagor appealed to tbe Court, Ms case would be referred to one of the Adjustment Commissions that had been set np. The Commission would then make

recommendations to the Court regarding the case. Authority was also given to grant relief to lessors by way of remission or reduction of rent. This was very much wider power than was provided under the existing legislation and would apply to all leased premises.

Mr W. Nash: Weekly premises. The Leader of the Opposition said : it seemed to him that what the Government now proposed was an improveI ment on the existing legislation, but I what disappointed him was the rude | deference in methods of dealing with I wages of working men and money lent by mortgagees and others. 1 He considered a statutory reduction I of interest, rents and so forth was ( wanted.

The Arbitration Court had had power to deal with wages, but the Government was now taking it away. It was. however, making provision for that power to be used in connection with mortgages. The logical thing to do would be to reduce tbe fixed charges to enable those who had had wages reduced to meet their commitments. Replying to further Labour complaints, that no provision had boon made for a straightout reduction of interest rates and rents, Mr Forbes said the Bill before the House was not one in which anything could bo put regarding statutory reduction of this kind. He had already told the House there would be no class of the com-

munity that would escape in connection with the general sacrifice. So far there had been no statutory reductions at all. There wsoe other measures yet to come down in regard to reductions right through. Replying to Mr Semple. Mr Forbes said leases with respect to renting houses would come under review in connection with the Bill. The Bill was read a first time. An amendment to the 16. sad 'A. Amendment Bill was introduced by Governor-General's message. Mr Hamilton said it simpiy gave the Govemmenf power, by Order-ln-Ooan-ctl to appoint one or two additional Conciliation Commissioners fop a tsem not exceeding one year. The present Act was somewhat-rigid and It was considered that an amendment would enable the measure to act more smoothly. Tbe introduction of the Amendment was still being debated whan the House rose at midnight.