MANAWATU DAILY TIMES. WEDNESDAY, JULY 28. 1920. WHY NOT RETRENCH?

Manawatu Times, Volume XLIII, Issue 1596, 28 July 1920, Page 4

MANAWATU DAILY TIMES. WEDNESDAY, JULY 28. 1920. WHY NOT RETRENCH?

An arresting paragraph appears in the Budget. The Prime Minister, after stating that he considers the financial position of the Dominion satisfactory, but not altogether free from anxiety, says: "The margin between the annual increase in revenue and expenditure is diminishing to such an extent that increased expenditure in one direction must be met by a decrease in another, or by the imposition of fresh charges. Honourable members will, 1 am sure, recognise that demands for concessions cannot be considered without regard to the financial consequences, and that claims for Increased expenditure are not consistent with the demand for a reduction in taxation. We cannot increase our expenditure if we diminish our resources, as there is no great reservoir of wealth which can be drawn upon at will. The heavy expenditure which was so cheerfully met during the war period cannot be continued on the same lavish scale, and there must be a. tapering-off, with due regard to reconstruction requirej.aents and the urgent necessity for developing our resources; but economy, without parsimony, is essential. Anything approaching" waste or extravagance must be eliminated from all State activities, so that full value may be ensured to the taxpayer in return for his expenditure. In this connection the Government will, without fear or favour, party motive, or personal interests, conscientiously discharge its duty to the community—• not in the selfish interests of any class, but for the good of all.” This statement, boiled down, moans Hurt the country is living beyond its means, and that unless expenditure is cut down, and a period of retrenchment entered upon, the general development of New Zealand will be seriously retarded, * ® » a But Mr Massey does not make any decided announcement; he has no

policy; he merely indulges in a string of platitudes and leaves it at that. It is to be hoped that the financial committee which he proposes to set, up will exhibit some amount of resourcefulness and courage. It will be remembered that directly the war was over the British Government sent an ultimatum to all State Departments that they must eliminate superfluous personnel and take every means to encourage economy, under pain of dismissal, A very different policy has been pursued in New Zealand. Here many of the departments are carrying a personnel vastly in excess of requirements, and the process of billotfilling has increased instead of diminishing, while we hire subsidiary outsiders to come here to do the country’s work. No attempt has been made to co-ordinate or reorganise the various staffs or to eliminate overlapping. The condition of the military establishment is a perfect scandal. Although the territorial system has collapsed as far as the country districts are concerned, there arc a greater number of highly-paid officers now than before the war, and the Defence Department is paying permanent staffs and big rent .bills for premises, storerooms, stables, etc., in every part of New Zealand. Some of the men higher up have found employment in drawing up defence measures, and, quite natural! .i”, they will recommend schemes involving greater expenditure right along the line. If the heads of the State Departments were given a free hand to eliminate their drones there would very soon be a marked diminution in the wages bill. Instead of that the only thing which seems to concern Ministers is to devise direct and indirect methods of extracting the last copper out of the pockets of the taxpayers.