MEN WITHOUT WORK.

New Zealand Herald, Volume LXIV, Issue 19739, 12 September 1927, Page 12

MEN WITHOUT WORK.

POSITION IN NEW ZEALAND. REVIEW OF THE CAUSES. WAGES AND PRODUCTION. An exhaustive review of the problem of unemployment in New Zealand was given by Dr. E. P. Neale in an address under the auspices of the Workers' Educational Association on Saturday evening. He described unemployment as. one of the-most difficult and perplexing of all current oconomic - problems. "Of all the evila that befall the capable and industrious worker none seems so cruel and unjust as unemployment," said Dr. Neale. To be willing and anxious to work, and to ba unable to find remunerative work to do, is in itself a hardship. To hive a family dependent on one's easing, and young children actually in need of food make this hardship a bitter wrong. Modern life has no more tragic -figure than the gaunt, hungry labourer wandering about the cities begging in vain to be permitted to share in industry, and asking in return not the comforts £nd luxuries of civilised life, but mere food and shelter for himself and family." Increase During Winter. Dr. Neale said unemployment in New Zealand was definitely seasonal, attaining a maximum some time during the winter. In 1926, unemployment reached a peak with 2247 applicants during the third week in June. This year 2238 applicants were recorded in the third week of July. During the past two years these figures had been kept down somewhat by the employment of additional men on public works; . The rate of unemployment fluctuated considerably over a period of several years. It was heavy during the winter of 1922 and high figures were not again recorded until the winters of 1826 and 1927. The unemployment* curve moved in close sympathy with th® curve for export prices, although the relation was inverse. When unemployment increased export prices fell, and vice versa. That unemployment never entirely vanished might be ascribed to the existence of a class of semi-continual loafers, delinquents, and dependents, but there Was every reason to believe that this class was relatively not as numerous in New Zealand as it Was in most countries. Then again, there was the class of casual, unskilled workers, morally if not physically incapable of sustained efficient work, who were usu.tUy the first hands to be dispensed in retrenchment, and who did; not readily find new employment. Ac Interesting Comparison. Dr. Neale gave iigures comparing unemployment rates in New Zealand with those abroad, stating that owing to different methods of compilation, international comparisons required to be viewed somewhat cautiously. The figures, which show the percentage of Wage earners unemployed, are rtet out in the following table:— Country. Nov., 1926. May, 1027. New Zealand .. 6.7 9.7 Australia 5.7 6,4 United Kingdom . 18.5 8.8 Ireland .. .. 11,0 10.1 Cantda .. 4.7 5,6 Sweden .. .. 13.0 11.1 Germany . .. 14.2' -• 7.0 Norway • ... .. 25.0 28.2 Belgium . „ .. 1.4 1.7 Denmark . . . 22.4 20.1 Hungary . . • 12.3 3.8 Nethcrland .. . 8.9 7.1 Switzerland .. 5.6 2.3 "Unemployment is likely to be prevalent if work people are paid above an economic level," proceeded Dr. Neale. "In times of falling prices wages will normally be higher than the prevailing price lesel warrants. Any attempt to reduce wages, however, will be met with hostility on the part «of the workers. Accordingly, in times of falling prices, such as we have recently gone through, unemployment will be increased through the prevailing rate of wages being so high that large numbers of persons are simply. not worth these wages. , This is one of the causes of the recent abnormal prevalence of unemployment throughout the world." A Problem of Youth. Closely connected with this was the problem of "blind alley" occupations. These were such that boys and girls entering them on leaving ijcnool could not hope to remain in them for more than a few years, and these occupations in no way provided a training or equipment for a future career. The fact that unemployment rates in New Zealand increased sharply at about the age of 21 indicated that the Dominion was not entirely free from this problem and further investigation on this point was needed. "Special conditions in various Indus tries and in various localities are affect ing the position," Dr. Ne&le "Butter production, and therefore the Auckland district, has been badly hit by the disastrous policy of the Dairy Produce Board Over-expansion of building in response to the shortage of houses that previously existed has now led to » collapse of demand for savvmilling and building labour. The rapid expansion of population in the north, mainly due ,to the development of dairying and the opening of the country generally in recent years, has caused some speculative over-expansion of business there and the inevitable reaction has been fairly severe."