PRESENT PLIGHT

New Zealand Herald, Volume LXXIV, Issue 22860, 15 October 1937, Page 14

PRESENT PLIGHT

1 MINISTER SPEAKS OUT BLAME PLACED ON FIRMS BUYING OF CHEAP LINES EMPLOYMENT FIGURES QUOTED [BY TELEGRAPH —SPECIAL REPORTER] ' WELLINGTON, Thursday "New Zealand boot manufacturers nt this very moment are at tho peak of their production, and are employing the highest number of hands in their history," said the Minister of Labour, the Hon. H. T. Armstrong, to-day, in reply to statements that tho boot industry was in a perilous position as the result of competition from overseas. Operatives employed -bv New Zealand boot factories on April 1 this year, said the Minister, totalled 3105, as compared with 2376 in 1926-27, tho year generally regarded as being the country's year of greatest boom. Fluctuations in Industry , Tlie Minister said that no industry in New Zealand was subject to the same fluctuations as the boot industry. Some cf the big manufacturing firms that had shortened staff were the biggest importers of boots. "Whenever they can get a bargain from another country they buy at once, and New Zealand becomes a dumping ground for these other countries, to tho detriment olr the workers of the Dominion," said Mr. Armstrong. "The firms that are squealing hardest are themselves responsible for the condition they say they are in. * "Somd* members of the Opposition who are now saying that greater protection should be given this industry §re the very people who, a few years ago, advocated that the protection they get now should have been taken from, them." 4 "Legislation Not Responsible" Mr. Armstrong declared that the labour laws in New Zealand were not responsible for the position that had teen represented to tho country by the Opposition. "And," he asked, "will tho Government's critics say that the men employed in the boot and shoe industry are too well paid? This Government does not think so." The Minister recognised that the industry had better protection from countries other than Australia, which was in a position to sell boots to New Zealand at a cheaper price than countries that were affected by the exchange rate.

A DENIAL MADE f " POSITION DIFFERENT " ■ TRADE, SPOKESMAN'S VIEWS i "WORSE! THAN IN DEPRESSION" 'lt 4 - « [by telegraph—PßESS, association] It, ' DUNEDIN, Thursday " The position is w ery different from that outlined by the: Minister, and boot factories are not* by any means employing as many hands as-they would like to," said a prominent representative of the Dunedin trade group of the New Zealand Footwear Manufacturers' . Association to-day. "On evidence that hi has been made available to the Minister, he 'should be thoroughly aware of the real position. The full facts 'of the situation have been placed before | the Minister of Industries and Com- |. merce, the Hon. D. G. Sullivan, and we can only surmise after seeing the statement made by Mr. Armstrong that there is a surprising lack of co-opera-v tion between the Ministers. " The position to-day as far as boot factory employees are concerned is worse than at any time during the depression," the speaker continued, "and one factory manager gave it as his opinion that in over 30 years' experience he has never known the. boot trade fco bad a« it is nOw.- He has had, owing to lack of orders, to reduce' his staff by 25 per cent since the middle of September 'and the remainder of his staff is working only half time. ■' Another factory manager 'reports that he is working with less than half the .staff ho could employ under better conditions. Prospects for the immediate future offer nothing at ail." Going on to deal with the Minister's charge that 'the manufacturers were importing shoes instead of making them, the representative of the group said that this could not be reconciled with the actual position. The policy of his own firm, which was one of the largest, was to import only those classes of footwear which it could not manufacture itself. He described the contention of the manager of another business that "a man must buy in the cheapest market" .as not being applicable to the trade generally * i . -—— ' ■; ■

DIFFICULT POSITION ; LABOUR MEMBER AGREES GOVERNMENT URGED TO ACT [BY TELEGRAPH —SPECIAL REPORTER] WELLINGTON, Thursday Agreement with members of the Opposition that the boot and shoe industry was in a difficult position was expressed by Mr. A. G. Osborne (Government —Manukau) during the financial debate in the House of Representatives to-day. He contended, however, that industry generally was flourishz ing and that the wheels were revolving more rapidly to-day than ever before. ; Mr. Osborne said that while he did not deny that the boot and shoe industry was, in a serious position' lip could not agree that the policy of the Government was in any way to blame. As one who had spent the greater part of his life in a responsible position in , the industry, he claimed to know sorne- „ thing about the developments which had led up to the present stage. When Labour' came into office the boot and j shoo industry was in almost as bad a ritate as most of the other secondary industries. With a more equitable distribution of the national income the people were able to buy the things they had been denied in the past, and consequently a keen demand had set in for goods which in some instances the manufacturers were unable to supply because f of the smashing of apprentice- ~ ship contracts by the previous Government. " Factories simply could not cope with the demand," added Mr. Osborne. "Manufacturers told retailers that they could not supply orders for six months, and in some cases for nine months. Retailers were forced to purchase outgido New Zealand. However, I am looking forward to the Government doing somefar as the boot and shoe inauetry js concerned."