WAGES CUTS

Southland Times, Issue 21671, 6 April 1932, Page 5

WAGES CUTS

LABOUR OPPOSITION DEPUTATION TO PRIME MINISTER COMBINED CONFERENCE (Per United Press Association.) Wellington, April 5. A deputation representing various Labour and Public Service organizations waited upon the Prime Minister (the Rt. Hon. G, W. Forbes) this afternoon and urged the Government against making further wage reductions and increasing unemployment taxation. After hearing arguments in favour of State control of currency, repudiation of war debts and scaling down other debts Mr Forbes replied that the Government would not dishonour its financial obligations. The 1 money available would be used to the best purposes to provide relief for those unemployed. Steps would be taken to include women in the benefits. The deputation was introduced by Mr H. E. Holland, M.P., who informed the Prime Minister that it had come from a combined conference sitting in Wellington, representative of all the industrial organizations of New Zealand and some of the Public Service organizations as well, - Mr James Roberts, secretary of the Alliance of Labour, said that the reason for the conference was the action of the Government in abolishing the compulsory clause of the Arbitration Act and proposing to cut wages further. The rank and file of the workers demand the conference as they thought the policy of the Government, if proceeded with, would reduce them to a state of want and penury. What the conference said was that if wages were reduced now unemployment would jump to 100,000. The workers were opposed- also, in no uncertain way, to the proposal of the Government to increase unemployment taxation to 1/- in the £. He advocated the scaling-down of interest payments and referred to the displacement of labour by machinery. The deputation, he said, suggested a reduction of employment to 35 hours per week in order that work should be available for all. The 10 per cent, wage cut should be restored to give greater purchasing power to the working people.

Position of Banking Interests. “Rightly or wrongly,” said Mr Roberts, “we have come to the conclusion that the banking interests arc being looked after and that overseas money lenders are getting their due but we think the first duly of the Government is to provide for the economic requirements of its own people. This Government, we consider, is not doing this.” Mr J. McKenzie, secretary of the P. and T. Employees' Association, said the deputation included representatives of four public services, representing- well over 40 per cent, of the Public Servants of New Zealand. “It is just a question,” he said, “how far the Government can test* the loyalty of the Public Servants.” Mr A. Cook, president of the Alliance of Labour and Messrs A. Herbert, of Dunedin, and E. L. Mcllvride, secretary of the Amalgamated Society of Railway Servants, also spoke. Mr Forbes said that deputations were of little use if they meant simply that people came along and made set speeches in order that they might be reported and so form propaganda. Suggestions should be put in- writing. The present deputation knew as well as he did thpt the income of the country had been reduced very substantially. No power on earth could sidestep facts and the substantial reduction in income meant that there hail to be n reduction in expenditure. When it was said that wage reduction had reduced the purchasing power and business of the country he would reply that that was a fallacy. If one could bring into the Dominion £20,000,000 of borrowed .money everything would be good. “Well, we have not got it,” said Mr Forbes, “and you gentlemen pay we should repudiate, that we should refuse to pay our debts,” Mr Roberts: Be fair with the deputation. We said war debts. We were not talking of the others, but play fair with the deputation. , Mr Forbes said that so long as he was in the position of Prime Minister he was not going to let anyone have ground for saying that the country did not honour its debts. If they wanted somebody in his position who would adopt another course they had better get him.” “Give us the opportunity,” called a delegate. “That was a question that was put to the country at the last election,” Mr Forbes replied. “We said that this Government was to be put in with a free hand and that, economies were going to be made all through. Others said it could be done without any of that but the people of this country decided it was the proper way.”

Wages and Purchasing Power. Mr Forbes said that there had been a good deal of talk about starvation but no one had said that the purchasing power of wages to-day was equal to what it was in 1929. If the Government believed that the proposals placed before it with regard to currency, credit or such matters were not good ones was there any reason why it should go against its convictions and adopt what it thought was unsound? "Let them try to prove it,” called a voice. Mr Forbes: Let them try to prove it and ruin the whole country. Referring to public works, Mr Forbes said that works had been carried on on money that had been borrowed and at the present time they were not able to borrow for the purpose. The source had dried up and he did not know how they could. keep them on less. They increased the unemployment tax. There was no country in the world that was doing as much for the unemployed as New Zealand. The present amount available for the Unemployment Board was not sufficient. They were out to get more money so that they could provide for the women as well as the men. The policy the Government was carrying out was one which it sincerely believed to be in the interests of every class in the country. The unsound schemes which had been promulgated would land the country in 10 times greater disaster. The Government was bound to do all it could for everyone and to pay its way and it intended to do all it could to keep the finances pound and stable. Mr Holland expressed to Mr Forbes the thanks of the deputation for having allowed them to come and place their views before him.

RESOLUTION OF PROTEST MEETING AT HAWERA. (Per Upited Frees Association.) Ha'wera, April 5. Wage cut alternatives as proposed by the public service asooiations were outlined at a public meeting of 150 public servants and business men last evening and a resolution of protest against any further wage or salary reductions was adopted unanimously. “WeTio so with a full knowledge that the last cut resulted in aggravating the position, thereby causing the collapse of many businesses throughout the country and we are of the opinion that any further cut in wages will result in disaster to ’the community as a whole," concluded the resolution. '