The Railways: Attack And Defence

Northern Advocate, 31 August 1938, Page 6

The Railways: Attack And Defence

[Per Press Association. CopyrzgntJ WELLINGTON, This Day. When the House resumed yesterday evening, Mr. J. Hargest (OppositionAwarua), criticised the Government’s attitude with regard to the operation of exchange on the Dominion's currency in Britain. Referring to the railways, he contended that there had been a serious drift in the department’s finances. When the Labour Government had come into office it had abolished the Railways Board, and responsibility for the drift must rest with the Minister and the General Manager for Railways. He stated that the expenses of the department had increased from 50 to 60 per cent, in the last three years for an increased revenue of some £2,500,000. Altogether, he said, there were some £30,000,000 to £40,000,000 invested in the railways in the Dominion, and the annual profit for this expenditure was only £300,000.

“Social Service” Criticised

“The Minister may state that the railways are giving a social service,” continued Mr Hargest, “but the service is no better than it was three years ago.” Even railcars were not an innovation. He also complained of the tendency on the part of the Railway Department to take over control of more and mere outside businesses. Increases in the staff of the department were also criticised.

The Minister’s Defence,

The Minister of Railways, the Hon. D. G. Sullivan, asked if the honourable gentlemen on the other side of the House were so frightfully keen on making the railways pay. Then .he would ask why they had not done so themselves when they had been in office? He contended that when the Opposition had been in control the railways had lost some eight million pounds in a period of six years. He wondered at the Opposition having the courage even to mention railways in the House, and proceeded to criticise the administration of the department under the Railways Board, when salaries had been cut, vast reductions made in maintenance costs and rolling stock starved through lack of replacements. Expenditure on maintenance and rolling stock had had to be increased very considerably to bring back the railways to the/r former standard of safety. Railway revenue had been increasing despite the necessity for this additional expenditure and the restoration in cuts of wages and conditions of railwaymen. Comparisons. Regarding the taking over of services outside the department, the Minister said one would think this system had been initiated by the present Government, but he considered the total eliminations and purchases of services fay the previous Government would come very close to the total transactions of this nature by the present Government. The policy of single, ownership was going to prove very beneficial to the people of this country, and they had instances where an income of £SOOO a year was being received as a result of real co-ordination between road and rail services.

As Minister of Railways, said Mr Sullivan, he was very proud of Hie many letters of commendation of our railway service received from visitors to New Zealand and people living all over the Dominion. Never had a better sex’vlce been given to the people of the Dominion by the Railways Department than was being given at the present time.