THE UNEMPLOYMENT PROBLEM

Otago Daily Times, Issue 20354, 10 March 1928, Page 20

THE UNEMPLOYMENT PROBLEM

TO THE EDITOR. Sir, —I have read with interest all writings in_ respect of the unemployed question during the past 12 months, and the only remedy advocated is the insurance scheme, commonly called the dole. I propose to offer another solution, but would first stress the fact that every person not working is decreasing the national wealth, and therefore affecting every man and woman in New Zealand. Tiiat being so, then everyone should be anxious to abolish all unemployment if possible. Any thinking person can point to the main cause of the present discussion —Now Zealand’s productive wealth being sent away to buy luxuries, instead of being used at home to increase production. If it had not been for the present Government’s excessive borrowing, the depression would have been much more acute. Unemployment, like the influenza, will occur again and again, and to remedy the evil effects of both, we must have the remedy ready, and so for my suggestion finance comes first. Every income receiver shall by way of income tax (independent of the present vax) contribute on a sliding scale to the national fund. There shall be no minimum amount of income. For every £1 paid in, he or she shall receive a debenture, S.s in an ordinary company. I propose that the scheme be provincial and that directors be elected as in an ordinary election, but that the position bo an honorary one, as for a town council. The money so received shall bo deposited to bear interest, until required to meet unemployment. The directors shall receive suggestions from district bodies (say county councils) as to where this money could be most profitably used with a view to making it return a dividend. Swamps, for instance, could bo bought and drained and lands sown in flax and forests. Our waste products such as sawdust, town refuse, coal dross, etc., might be made a source of wealth, in fact, there are dozens of projects that might bo profitably exploited with a prospect of not only giving employment, but adding to the wealth of the Dominion and returning a dividend to the debenture holders. As these debentures are a compulsory saving of the public and will always have a face value, their protection will require some details. The scheme proposes to provide work for the unemployed when required; save a part of our present income as an investment for future years, and at the same time add to the productivity of New Zealand by developing its latent resources. I hope some of your able writers will criticise the scheme. —I am, etc., D. R. Sir, —The order of the court increasing the wages of labour employed by the City Council by one penny per hour fully illustrates the' cause of the present unemployment. The City Council must either dismiss a number of its employees or raise the rates, The court, by its act'on in continually raising wages to a scale, that the Dominion is unable to pay, is, in my opinion, the sole cause of unemployment. The court has decided that all labour is to be paid on the basis of the 1914 rate and, takes no account of the fact that we have had a war, and that it has to be paid for. Under these circumstances it is evident that unemployment must increase. It is not that there is no work wants doing, there is ample work, but only at rates that will give a return for the money paid. I believe that if wages were fixed on a scale that would show a fair return for the money expended. New Zealand would boom. We are none of us the better off for the present fictitious -wages on the contrary, we are worse off; the cost of living raised by the high tvages absorbs the apparent improvement in wages. The only remedy suggested by the Labour Party for the present unemployment is to borrow more money, and make a fictitious prosperity. Wcro it not for the huge sums borrowed yearly by Australia and New Zealand, the present scale of waves could not have been maintained. The day of reckoning is onlv being deferred, it will surely come Wo cannot go on everlastingly piling up debt. Apparently there is not a man in the Labour Party who has the courage to admit that the present scale of wages is a fictitious' one. that it is causing tho shutting down ot many of our secondary industries, and ■- tho direct cause of tho present unemployment. —I am, etc., Old Settler, j

ANDERSON’S BAY TRAM TERMINUS'. TO THE EDITOR. Sib, —Would you, through your paper, kindly give a ruling on the following question : As the Anderson’s Bay trams approach the terminus the conductors are in the habit of raising the guard rails on trains to allow of quick egress of pas sengors and also to be in readiness for the return journey. This practise results in passenger alighting from the tram c.i both sides, and as the terminus is in the centre of the road it means traffic is held up on both sides of the tram, or else drivers must take a rick of accidents. The by-law states that a motorist, must not pass a standing tram whilst passengers are flighting or joining cars, but surely no tramcar can hold up traffic on both sides. Several of us would be pleased to hear your opinion on the question, 'the position I have indicated is created practically every day.—l am, etc., Motorist. Anderson s Bay, March 7. [lf the facts are as stated, and passengers are discharged from the tram rn loth sides at once, a practice seems clearly to be indicated which should bo discontinued in the interests of traffic and public safety.— Ed. O.D.T.J