CANADA’S RAILWAYS

Manawatu Standard, Volume LIII, Issue 52, 28 January 1933, Page 8

CANADA’S RAILWAYS

“THREATENING ECONOMIC LIFE.” MR R. B. BENNETT’S STATEMENT. (United Press Association—By Electric Telegraph—Copyright.) OTTAWA, Jan. 20. “The railway problem of Canada is threatening the very economic life of the country,” Mr R. B. Bennett told a deputation of raiiwaymen on Thursday. “No language could be too extravagant to describe the seriousness of Canada’s railway problem,” the Prime Minister said.

The raiiwaymen submitted that too much emphasis had been placed on the financial side of the problem and not enough on the hunftin, as represented by men and families who would be affected by any steps taken. “But if these enterprises stop altogether there will be no work at all,” said Mr Bennett. “Our effort is to maintain, as a going concern, these enterprises, but if this country continues as we have done in the past, we cannot continue long. We must stop incurring fresh responsibilities or we cannot pay on the past, and if 'vo cannot pay on the past responsibilities we cannot borrow more. “The Duff Royal Commission has advised paying the Canadian national deficit each year. The deficit in IJJJ was seventy million dollars and this year it looks as if it might be well within it if I said a million dollars per week. This country has only ten million people and they find it exceedingly difficult to pay their present taxes. We know tliere is a breaking point and every day gets us closer to it. In this time of depression it would be the responsibility of the Government and Canadian National Board Trustees, recommended, by the Duff Commission, to maintain.the railways as a going concern, giving employment. Sacrifices have to be made. We may as well face that, but it will be a common sacrifice. Everyone will have to suffer. Under normal conditions, the Canadian National Railway at the present time would be considered as in receivership, but receivership is impossible because the bonds guaranteed by the Government Board of Trustees for the railway would be considered as receivers to maintain the property and provide work for raiiwaymen.”