EFFICIENCY PLAN

New Zealand Herald, Volume LXXIII, Issue 22402, 24 April 1936, Page 16

EFFICIENCY PLAN

DOMINION INDUSTRIES PROPOSED LEGISLATION HELP AND CONTROL PROVISION FOR LICENCES [BY TEI.EGRAPH —SPECIAL REPORTER] WELLINGTON, Thursday Plans for the promotion, regulation and licensing of industrial undertakings, which will be set out in an Industry Establishment and Efficiency Bill, were outlined in an interview to-day by the Minister of Industries and Commerce, Hon. D. G. Sullivan. Tho legislation will be Introduced in tho House of Representatives at an early date. "The bill will provide organisation and machinery whereby industries inav be encouraged, regulated and licensed," the Minister said. "New industries will be promoted and existing industries developed in the most economic manner and in such a way as to ensure tho highest measure of industrial efficiency for the economic and social welfare of tho Dominion." Mr. Sullivan added that the bill in many respects would be closely related to the Employment Promotion Bill as it would enable funds to be made available for tho development of industry and the employment of labour. An Advisory Bureau There would bo representatives of both the Labour Department and the Industries and Commerce Department on the Bureau of Industry which would be set up under the bill, continued tho Minister. It would be an advisory body, consisting of heads of appropriate departments, together with any other persons, such as experts in any particular industry who might be appointed for a specific purpose. However, the bureau would not have administrative or executive powers and all investigations relative to an industry would bo made by individual departments under existing powers.

The bureau would really provide a collaborative channel for an examination of industrial problems, would report on or prepare efficiency plans and would advise as to assistance to industries, or the setting up of new industries.

"There will bo provision in the bill," the Minister continued, "for particular industries to prepare their own efficiency plans by means of industrial group committees representative of tho industries and the workers concerned. The Minister may also request an industry to appoint such a committee and if this request is not complied with he may set up a committee himself. Committees will confer with the bureau and prepare plan's to bring about greater efficiency in own particular spheres. If a committee is unable to prepare an adequate plan the Minister may request the bureau to take over the task. Minister's Final Decision

"Any plans submitted by an industry must, of course, be supported by evidence that the plan has the support of the majority or a significant section of the industry, or has some merit in the public interest. Thero will be no planning by a minority section. The Minister will have the final decision as to the acceptance or rejection of any plan. An approved ( plan will be carried out by the committee concerned and there will be power to appoint Government representatives on these committees, particularly as the State may be involved, either through financial assistance or tariff protection. "An important provision will be the licensing of industries by the Minister. This power must be regarded as an essential part of any legislation that seeks to secure the greatest measure of efficiency and co-ordination in industry, as some control is essential over producing units and ovtr further units that may be established to produce tho gtods of that, industry. The Minister will be the licensing authority and he will use every care to sco that the public is protected against anything in the nature of monopolies. " Sole Desire to Help "

"Wo do not wish to wave the big stick at industry. Our sole desire is to help. Other countries which have reached a much higher state of industrial efficiency have already had to meet this problem. Most commercial men will admit existing weaknesses in the Dominion, due to such conditions as redundant and obsolete plant, overcapitalisation and foreign competition. They all react on the general prosperity of the country, affect the prices of commodities produced, and in the long run have a bearing on the purchasing power of the people. "The substance of the plan is that the Government is getting ready to servo industry in various ways by giving it concessions. The Government will require from industry a greater service to the country than it is capable of rendering to-ciay, by providing more employment at better wages and under improved conditions, with cheaper products if possible."