ECONOMY URGED

Otago Daily Times, Issue 27518, 12 October 1950, Page 7

ECONOMY URGED

Britain’s Social Services APPEAL TOMR ATTLEE Rec. 11.30 p.m. LONDON, Oct. 11. The Association of British Chambers of Commerce, in a memorandum to the Prime Minister, Mr Attlee, urges the Government to take immediate steps to economise on social services, for which the last Budget provided £1,530,000,000. The memorandum says extra taxation should not be inevitable. The nation should be productive enough to take the load of rearmament in its stride. The potential increase in the national income, it says, could find about £200,000,000 a year of the required increase at present rates of taxation, and the remaining £250,000,000 could be found by a reduction in avoidable Government expenditure. Increasing Output The memorandum says that increases in output should be large enough to produce armaments and to allow for some extra private spending as well. Referring to factory management, the memorandum says the most-im-portant link in a works establishment is the foreman. No pains should be spared to raise his status and efficiency to work with the management in encouraging the industrious and disciplining the slackers. General wage increases not related to output merely lead straight to the devaluation of money. It will be the turning point in industrial productivity when the leaders can convince the rank and file that in the last resort it is the standard of their work which determines their standard of living. Longer Working Hours

Shift working should be encouraged to keep the machines working for as long as possible and to justify the installation of expensive automatic plant. Some industries could achieve similar efficiency by working longer hours with appropriate incentive schemes.

The memorandum suggests postponing the age of retirement without loss of pension rights and releasing to industry senior schoolboys unlikely to benefit by further education. It adds that, subject to safeguards, working people should be encouraged to invest small savings in the business with which they work. The present basis of social services is designed to discourage work because benefits come without working.