WAGES POLICY

Poverty Bay Herald, Volume LV, Issue 17452, 29 December 1930, Page 6

WAGES POLICY

STANDARD MINIMUM THE COURT EXPLAINS SPECIAL CIRCUMSTANCES An explanation of the wages policy of the Arbitration Court is given by Mr. Justice Frazer in a memorandum,’ to au order of the court reducing wages under the Wellington industrial district flaxmills employees’ award by 33$ per cent.

“T am of the opinion,” he says, “that when a number of awards are current for a particular trade or industry throughout the Dominion, and no special circumstances exist justifying the fixing of different rates for different districts, the same standard minimum rates should apply in each, district. BUILDING TRADE EXAMPLE - “For example, a building trades award for ,the Marlborough district was allowed to lapse some years ago. That award had been made previously to the court’s pronouncement of September, 1925, by which rates of casual workers were increased by Id per hour, when new awards were made for their respective trades. An application for a new award was heard by the court in October last, and.it was decided, by a majority of the court, that the Marlborough district should be placed in the same wages level as . alb other districts, because there were no circumstances affecting the building trades in Marlborough that did not operate equally in other parts of New Zealand. Similar considerations influenced the. court when making an electrical workers’ award for the northern industrial district last week. “Since the last award for that district was made, the court had decided, In another district, on an increase of Jd per hour in the minimum rates of two classes of workers; and, as there was no special difference in the circumstances affecting the two districts, n majority of the court considered itself bound by the former decision, and applied it in making the new northern district award.

“On the other hand, the court, in June last, heard an application for a new award for the Christchurch taxidrivers, and a majority of the court decided, in view of the fact that all the larger firms, with one exception, had ceased to employ drivers, and had let their cabs ou a rental or share basis, which rendered it impossible for the remaining firm ,to cqmpete at cut rates and pay the wages prescribed by the expired award, to reduce tho original wages rates. WHERE DEPARTURE IS JUSTIFIED

“In the memorandum to the Marlborough building trades award, to which I have already referred, I indicated that, .while the court would apply its standard fates in cases ia which no special circumstances existed to justify a departure therefrom, it would take special circumstances into consideration where they were proved to exist in any trade or industry ini nny district.' The present case is one of the type I had in mind, and, in my opinion, a departure from the court's standard is both necessary and justified.

“In 1900, Mr. Justice Martin, then judge of this court, stated that if an industry could not pay standard rates of wages, it should go out of existence. fie was speaking at the .time of a manufacturing industry, in no way related to the primary products of the country. Essential primary industries, however, cannot be dealt with in .this manner, and the flax-growing and milling industry, if not au essential industry, is of sufficient importance to be given an opportunity, at all' events, tor a limited time, of maintaining its existence.”