AUSTRALIA’S ILLS

Otago Daily Times, Issue 21242, 24 January 1931, Page 11

AUSTRALIA’S ILLS

MR THEODORE’S REMEDY. CHANGE IN MONETARY POLICY. COMPULSION ON BANKS. (United Press Association.) (By Electric Telegraph—Copyright.) ’’ SYDNEY, January 23. Speaking at Earlwood,- Mr Theodore said that the bankers would be driven to change the monetary policy of Australia. “ I am trying to make them realise their responsibilities, and if they won’t they will have to stand out of the way and let someone else dictate it. Our bankers have slavishly followed the banking policy of England, which is unsuited to our needs. The deflation policy has .caused many people to lose their homos and jobs, has ruined tens of thousands of business men, has sent thousands more bankrupt, and has created a situation to-day when one-fifth of the employable population is out of work.” THE NEW BASIC WAGE. LABOUR COUNCIL URGES STRIKE. SYDNEY, January 23. The Sydney Labour Council, after a heated argument, decided that its whole machinery should be employed in arranging for a-general strike against the new basic wage. A big minority favoured an amendment, to ask the Federal Government to disallow the finding. Union officials generally believe that the shortage of funds and the abnormal unemployment would make any strike a tragic failure. THE RAILWAY SALARY BILL. A BIG SAVING EFFECTED. SYDNEY, January 23. The effect of the court's judgment is that the new Federal basic wage will be £3 ISs 2d, and a 10 per cent, reduction of all Federal award earnings for the unions' cited, representing reductions for 130,000 employees in New South Wales and nearly 300,000 throughout the Commonwealth. There will be a saving of £700,000 in the railway salary bill. EFFECT ON PRODUCTION COSTS. A HUGE REDUCTION. 1 , SYDNEY, January 23. Mr Brooks, a member of the Legislative Council, addressing the Employers’ Federation, said that the reduction would reduce production costs in Australia by £17,500,000, and would create employment. WHEAT FOR HOME CONSUMPTION. FIXING OF THE PRICE. SYDNEY. January 23. A proposal will be placed before the Parliamentary Labour Caucus to-day by the Minister of Agriculture (Mr Dunn) fixing the price of wheat for homo consumption at 4s per bushel. No increase in the price of bread will be countenanced.

THE GOLD STANDARD. WHAT AUSTRALIA IS DOING. V ■ LONDON, January 22. In a series of broadcast lectures on the gold position Mr Denis Robertson, lecturer on economies at Cambridge University, said it was not surprising that countries were in temporary difficulties about the balance of payments. Sometimes they slid gracefully a little way off the gold standard rather than face the full rigour of readjustment. This was what Australia had been doing. The effect of the discount on the Australian pound had been to raise the cost of the overseas products in Australia, bat to lessen the prices of Australian goods abroad and stimulate exports, but this was a relatively gentle and painless way of setting those forces in motion. “Wo must not harshly judge Australia, which has already parted with a good deal of gold, for having recourse to this method.” AUSTRALIAN LOANS. IMPROVEMENT IN LONDON. LONDON, January 22. (Received Jan. 23, at 9 p.m.). The Morning Post’s financial editor says: “A good feature of the. markets Is, the fairly general improvement in Australian loans, and some justification can be found for the improvement in the •Australian cables referring to cuts in Wages of a fairly substantial character, which indicate that the Australian authorities are really trying to bring down the costs of production. This is a most important development.”

STRIKE TALK RIDICULED. SYDNEY, January 23. (Received Jan. 23, at 10 p.m.) The Labour Council’s strike talk owing to the reduced basic wage is described by union officials as gigantic bluff. Upwards of 40 per cent, of unionists arc already unemployed,, while, a large number of those who are in work are already receiving less than the basic wage due to time off through trade slackness. FURTHER CUT IN WAGES. SYDNEY, January 23. (Received Jan. 24. at 1 a.m.) Following the 10 per cent, reduction in the Federal basic wage it is now announced that an additional cut “to conform to the variations in the retail price index, figures” will be.made in the wages of employees, governed by a majority of the Federal awards in the capital cities, as follow: —Sydney 3s, Melbourne ss, Brisbane 3s, Adelaide ss, Perth 5s Gd, Hobart 4s. NEW SOUTH WALES FINANCE. REQUEST FOR A LOAN. SYDNEY, January 23. (Received Jan. 24, at 1 a.m.) The New South Wales Labour caucus to-day instructed the Premier (MrLang) to approach the Loan Council for a grant of £1,000,000 for necessitous farmers.