POLITICAL CRISIS

New Zealand Herald, Volume LXXIII, Issue 22504, 22 August 1936, Page 13

POLITICAL CRISIS

NEW SOUTH WALES RELIEF WORKERS' CAUSE GOVERNMENT LOSES SUPPORr (Received August 22, 12.45 a.m.) SYDNEY, August 21* An extremely delicate situation has arisen in New South W ales politics. It is due to the revolt of a number of Government supporters, all members of the United Australia Party, against the Government's newly devised plan gradually to discontinue relief work :n favour of full-time employment of men on public works at award rates. The immediate effect of this policy will be to throw back on the dole abou\; 15.000 workers. Most of them al*e single men who will be entitled to food relief orders valued at only a few shillings. The Government, however, anticipates that these men in the course of time will be absorbed in regular employment and thus cease to be a charge on the State.

At least 18 out of the 23 members of the United Australia Party, on the other hand, contend that these men and their possible dependants, will have to suffer great hardship in the interval, reminiscent of the depression days. The Government's action is described as too sudden and retrograde, and feeling in the metropolitan electorates is running so high that following a party meeting the 18 objectors to the Government's plan demanded that the Cabinet should suspend its operation for three months until the return of the Premier, Mr. B. S. Stevens, from abroad.

The Cabinet met to-day and discussed what is regarded as a virtual ultimatum for five hours. Finally it rejected the request. A noteworthy feature of the crisis is that the Country Party group of. Government supporters is ranged solidly behind the Government. :