TIMBER INDUSTRY

New Zealand Herald, Volume LXXV, Issue 22961, 12 February 1938, Page 17

TIMBER INDUSTRY

SAWMILLEBS' WAGES

(APPLICATION FOR INCREASE

ARBITRATION COURT CLAIMS

EFFECT OF STATE HOUSING ,

The question of the minimum adult Wage in thei Baw-milling industry throughout the, Dominion to argued yesterday before the Second Court of Arbitration, over which Mr. Justice Hunter presided. It had been agreed between the parties that when this wage is fixed by the Court they will work out in Conciliation Council the full schedule of wages for various types of worker. > Mr. F. L. Turlev, secretary of the Jfew Zealand (except Taranaki, Canterbury, Otago and Southland) Timber IWorkers' Union, appeared for the union, and Mr. A. J. Seed, secretary of the Dominion Federated Sawmillers' Association, for the employers. *

A five-day week of 40 hours has been agreed upon, and the union asked for a daily minimum wage of £1 2& for adults. The employers' counterproposal was for the existing 1931 standard ranging from 17s 8d to 18s £ day. ,• » Conditions in Industry Mr. Turley submitted that 90 per tent of the workers in the timber industry were at least semi-skilled. Giving evidence himself, he said that, if any null lest, time through lack of Jogs to work on, it did so through inefficient management. He called evidence of the insurance premiums charged on workers in various types of industry regarded as dangerous with a view to showing. that timber work was very dangerous. In reply to the-suggestion of Mr. ;W. E. Anderson, employers' member of the Court, that the industry was not more dangerous now than in 1981 when the wages were fixed, Mr. Turley eaid that speeding-up methods had made it more dangerous. He quoted /figures of accidents, and said that out of 31 fatal accidents in Westland during the last 19 years, 25 had happened \iii;the bush or along the tram lines. These men should be paid something substantial to recoup tliem for the dangerous occupation* they followed. Mey supplied their own axes, and their "Wprk was very hard on clothes and boots. Many had to pay fares on bush tranw. Building Costs The. wages they were asking, said 'fjjj. Turley, could reasonably be paid by the industry with only a very small increase of about Is a hundred feet in the price of timber. The whole of the -rises they asked would not mean on the cost, of a five-roomed house an increase of more than £B. The men ■ were definitely casual, and therefore to a higher rate than if they "were on full time.

% Mr. Turley called evidence of high ;wages* at present being paid in certain teases and of fatal accidents in tho industry. , , Employers' Case «f 1 Presenting the employers'- case Mr. ,6eed said the decision of the Court would affect three distinct compartments of the general industry, each involving separate conditions—employ--ment in bush sawmills, town timber 'ij&urda. and f : boxv factories. It, .was desirable -that' sufficient? elasticity" should allpwed-tomeet each set of circumstances. It- was of vital importance to : "tfie whole community that the decision \wbuld not have the effect of further (raising- costs, resulting-in checking consumption and aggravating unemploy•iinent;'

Mr. Seed admitted that some 'measure of uniformity in competitive or contiguous districts was desirable. Any increase' in wages could only be provided by the consumer 'through an increased price or by gradual inroads into the industry's capital resources. Tho industry, was already burdened with,,the result of wage increases in other callings. Wages alone constituted about 50 per cent of the sale value of timber and up to 86 per cent of actual production cost. Unpromising Outlook

"The immediate outlook for the timber industry is the reverse of promising," said Mr. Stjed. "Notwithstanding the State'housing;'scheme— : or more, probably on account, of it. and recent legislation affecting 'housing th* volume of dwelling construction shows ah: marked decline .in , the last few montlu and the position obtains m the principal aawmilhng districts, that sawmillers are. facing the - imminent prospect of reducing output by shortening, tine or reducing hands owing to excessive accumulation of stocks and reding and completely unbalanced; demand. I am advised that the position of the principal mills on the Main %tmk« line is refilly serious in this i&turd,; .and the position •in Westland ft aggravated by an - almost complete Ipk of orders vfor-Australia/' 'I Imported timbers were increasingly displacing the product of the Dominion timber industry. Every fraction of cost foaded on the latter fostered and hastened this process, Mr. Seed # contended. The growing use of timber substitutes' was "also due to tiising costs. Milling and the handling of timber had decreased in the past year by 8303 ft. per annum per man, from M,3ooft. in 1936 to 48,997 ft. in 1937.

Increased Production In reply to Mr. Seed's statements, Mr. Turley said production per; man had actually increased with the introduction of the 40-hour week. In 1937 there were 220 working days, on each of which each worker put through 220 ft; of timber. On 287 days in 1936 the daily amount per man was 182 ft. The increase over a year was therefore 8000 ft. per man. ."Timber prices are abnormally high dud to the enormous profits made in factories after the timber has been delivered from the mills," continued Mr. Turley. "The prices, however, are not as high as in the peak year of 1929. It is a matter for the Government to adjust timber imports and ensure that they will not affect the standard of living of timber workers in New Zealand." In conclusion, Mr. Turley said the .employers refused to make an agree-ment'-when approached some time ago. They" were in-a better position to-day than at any other time, due to the stabilisation of, prices as the result of the formation of unions and the fixing of wages, which thwarted the price«tting that was formerly, prevalent. •At the close of the case, His Honor Intimated that the award would probably be issued within a week.