SUBSIDISED LABOUR.

Manawatu Standard, Volume LIX, Issue 23, 24 December 1938, Page 6

SUBSIDISED LABOUR.

The announcement by the Minister of Labour (Hon. P. C. Webb) that the operation of the No. 13 unemployment relief scheme is to be continued, at least until January 31, will be received with satisfaction both by the men most directly concerned, and by the various local bodies which have benefited indirectly since its inauguration. The opportunity was taken during the rearrangement of Cabinet portfolios to review this scheme, which has afforded employment for thousands of men throughout the Dominion —in Auckland alone 2330 men in the metropolitan area last month were employed by this means. By enabling a subsidy equal to the full wages to be paid to local authorities for carrying out works of national or local utility, as, for example, the beautification of the former unsightly pit at Teirace End, the scheme has proved to be among the most popular and practicable of the kind, and some concern had been felt lest it be withdrawn. The former Minister of Labour (Hon. 11. T. Armstrong), during his term of office, expressed the hope that by the time contributions to the Employment Fund cease on March 31 next all men employed on such works will have been absorbed in industry, but so far there is little sign of that hope being fulfilled. It is the Government’s intention to review the siuation again at the end of January, when a decision will be reached whether or not to continue the scheme.. On March 31 the collection of eightpence in the pound on all wages and salaries will cease, being replaced by the social security contribution of a shilling, and the Employment Fund will be eliminated, and it is with these facts in mind that the Government will be required to determine whether it is possible to taper oft" a scheme which has been the avenue of absorption of a large number of men. The interim announcement will enable certain undertakings to be proceeded with.