USING THE KNIFE

Stratford Evening Post, Volume I, Issue 77, 10 March 1931, Page 2

USING THE KNIFE

CUTTING NATIONAL COSTS PARLIAMENT'S TASK PRIME. MINISTER'S WORK PROBLEM OF WAGES What it will lack in length, the special session of Parliament, which opens to-morrow, will make up abundantly in importance Not for many years have such vital issues demanded attention. The world of trade and finance, and, indeed, the people as a whole, will await with keen interest the outcome of the operation of the legislative machine, says the "Dominion." For several months the Government did its best to stave off an early session and its efforts were directed toward the meeting of each crisis as it. arose. However, the economic trend proved too pronounced to be stemmed by makeshift methods. The decision to attempt by a comprehensive effort to solve the series of problems that had quickly combined to create a national emergency was therefore made by Mr. Forbes shortly after his return from tho Imperial Conference.

The Government has declared its intentions with a frankness unequalled since it assumed office in 1928. In his statement of February 14 the Prime Minister made it clear that isolated measures to rehabilitate trade and stabilise the national finances, would have to be replaced by all-embracing Parliamentary action. Indeed, Mr. Forbes saTci in effect what Richelieu laid down three centuries ago—that there is a time in the life of a State as in that of a man when the application of the knife is a stern necessity. "No Deviation from Policy" The knife is to be applied by the Government and Mr. Forbes was definite in a statement made in the course of an interview with "The Dominion" on Saturday that he would countenance no deviation from the course he had set himself. He said he would stand Or fall by his policy. While there is bound to bo some opposition to such measures as those to provide for salary "cuts," the fact remains that a large and influential section of the community realises that the Prime Minister's proposals are necessary as a contribution to the means by ;which a way may be found out of a. serious position. The length of the session will depend largely upon the amount of opposition to the Government. The Prime Minister is hopeful that the House will rise in three weeks, but the Labour Party has stated definitely that it will do its best to block all legislation dealing with wage reductions. There may be differences of opinion even in the ranks of the Government upon this question, and the attitude to be adopted by the Reform Party in the House has not yet been fully disclosed. It adheres to the policy, however, that a general reduction must be made in production costs and therefore may be expected to give the Government a measure of support, although it may have proposals of its own~lo bring forward. The Prime Minister's intention is to reduce the salaries and wages of all Public Servants by 10 per cent, from April 1. The step will be fought strenuously from the Labour benches, and it is certain that lively opposition will also come from this source in respect of the proposal to empower the Arbitration Court to review awards "In the light of the present economic conditions." The wording of the Government's statement of its intention in this respect is of interest. Control of the Railways The "depoliticali3ation" of the railways, advocated by Reform and now endorsed by the Government, is another step the House will be asked to take. The proposal is to place the railways under the direct control of a board of directors as suggested by the Railway Commission. Up to the present the Minister of Railways, the Hon. W. A. Veitch, has opposed the step, and the Labour Party is definitely against it. The new system will be introduced for one or two years as a temporary measure, and there is little fear that Parlia-

ment will give (he necessary authority, as the Reform Parly lias already advocated this it-form. Apart, from these measures (here is at present a number of Bills being drawn up by the Crown Law Draughtsman. Several validating measures will be necessary to legalise certain actions taken in Hawke's Bay during the emergency period following the devastating earthquake of February 3. Earthquake legislation will form an important part of the Government's programme, and in addition ihere will be other Hills brought down incidental to the major policy proposals. It is possible that legislation will bo brought down to permit Civil Servants to retire on allowances at present in prospect and so prevent hardship through the reduction in wages.

The Government also proposes to provide statutory authority for the remission of the 10 per cent, penalty on rates in cases of hardship. In the present depression the addition of the penalty on rates Unpaid at the expiration of six months and" 14 days from the date of the demand has created hardship, but lo"cal authorities have no power to grant a remission.

Farmers' finance is engaging the Government's close attention. Commissioners of Crown lands have been appointed as adjustment commissioners in various parts of the. country to assist mortgagees and mortgagors to review present circumstances "in an equitable spirit and recognise their losses by easing the mortgage charges or otherwise granting every relief possible." As soon as Parliament meets legislative authority will be obtained lo set up a special judicial body to which disputes in special cases may be referred. Curtailing the Session A session of Parliament, however short, is very costly. Mr. Forbes said on Saturday that bis aim was I to close the special session at the i earliest possible date, and he said j the Government would do all it could jto save expense by curtailing the length of the session. lie expressed the hope that the Address-in-Reply debate would not be drawn out needlessly. This debate could lend nowhere, and it was desired that the House should make an early start with the real business with which i* had been summoned to deal. There would be quite enough m the real measures to keep the House occupied. The Address-in-Reply motion would be moved by Mr. A. E. .Tull, "Waipawa, and seconded by Mr. ,1. A. Macpherson, Oamaru. Mr. Forbes instanced (lie procedure in (lie British House of Commons as an example of business being tackled early. He said he was at Westminster when the King's Speech was read. The Address-in-Reply was disposed of within two days and one night. He loolced forward to the day when the House of Representatives would see fit. to curtail this debate, which sometimes ran into several weeks. Discussing the legislation lo be introduced, the I'rime Minister said he could give no idea of the order in which it would he brought down. Final preparations were being made on several measures in the law-draft.. ing office, and some indication of what measures would bo brought down first would probably be given either to-day or to-morrow.