THE OTAGO DAILY TIMES TUESDAY, December 8, 1936. UNEMPLOYMENT FIGURES

Otago Daily Times, Issue 23058, 8 December 1936, Page 8

THE OTAGO DAILY TIMES TUESDAY, December 8, 1936. UNEMPLOYMENT FIGURES

The statement issued last week by the Minister of Labour, with reference to the extent of unemployment, seems to require some clarification. The Minister claims that unemployment is being reduced steadily, and he anticipates that the figures for November will show a fresh reduction of about 3000 men. He implies, or seems to imply, that in recent months the number of men out of work has been a consistently diminishing one. The official figures do not tell that story. If those published by the Government Statistician are to be accepted—as they must be—it will be found that in May of this year the number of men who were a charge on the Unemployment Fund was 35,270. In June the total" was 39.038, in July it was 42,939. and in August 45,045. A supplementary figure gave the total on August 29 as 44,263 The Minister's own figures, issued on November 10, showed that by September 26 there had been an increase of over 5000 to 49,419. On October 24, he stated, the total had dropped back to 46,140 —representing the first decrease it had been possible to show. If, as the Minister declares, there has been an increasing demand for labour, consequent on the expansion of trade and industrial activity throughout the Dominion, it is reasonable to inquire why the unemployment figures do not indicate a substantial improvement in the position. There are now supposed to be nearly 20,000 men

engaged on public works, the majority of whom were presumably unemployed, and registered as such, before the railway construction works were resumed. The absorption of these men into full-time employment at standard rates of pay does not seem to have materially affected the unemployment position. Others apparently have taken their places on the register, in spite of the consistent demand for labour mentioned by Mr Armstrong. There is also the placement scheme, which is credited with having found jobs for a very large number of men since its inception. According to official information, 110 men were placed in Dunedin alone in the week ended November 27. . Yet we do not find the number of registered unemployed being appreciably reduced as the result of these various factors. What we do find is that Ministerial encouragement is being offered to men to leave public works to take up seasonal employment for which a plenitude of unemployed labour should be available. Mr Armstrong also speaks with satisfaction of the healthy state of the Employment Promotion Fund. Although benefits have been increased and a wider application has been given to the fund, he says, expenditure is being kept well within revenue. From this there might almost be the expectation of a reduction in the tax which the Government was determined to abolish, and which "thousands of taxpayers are unquestionably more able to pay." Incidentally, it is to be observed that the Minister alleges that the fund was in an insolvent condition when he took office. Expenditure, he declares, was then almost double the revenue. It is interesting to reflect, in the light of this information, that Labour in Opposition repeatedly charged the Coalition Government with refusing to expend all of the proceeds of the unemployment tax —with " hoarding " the fund, and thus acting unjustly by the unemployed.