BUILDING SUBSIDY

Otago Daily Times, Issue 22999, 30 September 1936, Page 10

BUILDING SUBSIDY

THE SCHEME DISCONTINUED ITS PURPOSE FULFILLED (From Our Parliamentary Reporter) WELLINGTON, Sept. 29. The cessation after to-morrow of the building subsidy scheme introduced by the last Government for the relief of unemployment was announced to-day by the Minister of Labour (Mr H. T. Armstrong). According to the Minister’s announcement, applications for subsidies received later than the first post on Thursday morning will not receive consideration.

Mr Armstrong explained that the subsidy was inaugurated at a time when the depression had caused an almost complete cessation of building operations and when there was a paramount necessity for retaining trained men in their occupation and of reinstating those already unemployed. The operation of the scheme was particularly beneficial in this direction, and, although it had been reviewed on several occasions, it had been allowed to continue because of its efficiency in promoting employment in the building and related trades. -

“ With the impro\ ement of the economic position,” the Minister continued, “it is* found that competent building tradesmen are almost at a premium and this, coupled with the advent of the Government’s housing plan with its attendant absorption of these skilled operatives, clearly shows that necessity for the subsidy has disappeared. The following figures will serve to give some indication of the extent to which the building trade generally has been stimulated since the introduction of the scheme:— Applications approved .. 12,063 Number of men employed for varying periods 54,654 Net amount of subsidies granted £616,997 Total value of work undertaken .. .. £9,178,985 Of the last-mentioned figure,” the Minister added, “ the sum of £8,148,520 represents the estimated amount paid directly and indirectly in wages.”