BRITISH COAL INDUSTRY

King Country Chronicle, Volume XXX, Issue 4870, 14 July 1936, Page 3

BRITISH COAL INDUSTRY

NEW ERA AT HAND. REFORM TO HELP DEPRESSED AREAS. August will see the beginning of a new era in the coal-mining industry of Great Britain, says a London paper. This new era for coal will have a beneficient effect on the depressed areas, and will still further strenthen the flowing tide of British trade and industry. On August 1, sixteen rural coalselling scheme and a central national co-ordinating scheme will come into operation. The work of these bodies will mean big economies in the production,' transport and sales of coal, and will bring better wages for the miners, and stable and increased profits for the mine-owners.

The coal crisis that developed at

the end of last year and the settlement of the dispute in January, when the miners threatened a national strike for increased wages and some form of national negotiating machinery, were the beginning of the present development.

Origin of Schemes

Because of cut-throat competition between colliery and colliery, and district and district, the price of coal, on which the miners' wages are paid, was unduly lowered. One of the terms of settlement provided that the mineowners would formulate coal-selling schemes that would end this wasteful competition. These schemes have now been drawn up; there are 16 of them, each covering one of the coal-producing districts of the United Kingdom. A central scheme co-ordinating these 16 district schemes will be completed in the next few days, and all will come into operation by August 1.

At the present time every colliery sells its coal when and where it can. Competition is keen, and prices are cut to the barest minimum. Cost of selling and transport is increased out of economic and profits and miners' wages are adversely affected.

After August 1 all inquiries and orders will be dealt with by one central district committee, which will place the orders and arrange the distribution of the coal with the appropriate colliery. Orders for coal where possible will be sent from the closest colliery, and so transport charges will be saved.

Various other costs and charges and duplication that takes place at present will be saved, leaving more in the pool from which wages and profits are paid.

Basis of the Scheme.

The main principle on which sixteen different schemes are based is that where the district committee cannot handle the actual sale of the coal because of large undertakings or for other reasons, the committee will control the sale of all coal to see that such sales conform with the

objects of the schemes. The central board in its turn will co-ordinate and control the sales to prevent inter-district competition and generally, to effect any economies that are possible. One district, that of Lancashire and Cheshire, has been operating a district selling scheme for over a year now, and as a result the wages are higher than elsewhere. The Prime Minister, Mr. Stanley Baldwin, has high hopes that this new development will be of great benefit to the industry.

It has been proposed by the owners and is favoured by the miners, and the only points of difference that will be raised in Parliament refer to the question of whether the miners and the big consumers such as gas, light and public utility undertakings should be represented on either the district or central boards.

This nationally co-ordinated coal selling scheme is a big step in the reorganisation of the mining industry. It is expected to bring not only better wages for the miners, but more employment directly and indirectly to the distressed areas, and it is believed that it will also help in winning back some of our lost markets. The first real Merry Christmas for many years is already in sight for the miners and their dependents throughout the country.