FURTHER RETRENCHMENT.

Colonist, Volume LIV, Issue 13566, 6 November 1912, Page 5

FURTHER RETRENCHMENT.

WATER BOARD" EMPLOYEES DIS-

MISSED

(Received Nov 5, 8.50 p.m.) Sydney, Nov 5

The Government's predicament owing to tho shortage of money lias produced a further wholesale sacking, five hundred employees of tho Water Board having been dismissed. i Tho Board, which expended £80,000 during the past four months, has been informed that £75,000 will be available for tho remaining eight months of tho year. Possibly another 500 dismissals will bo necessary. The employees at present total two thousand.

(Received Nov 6, 0.40 a.m.) The secretary of the Water Board Employees' Union declares that if 1000 men are dismissed it will cause a revolution. Mr MeCowon, in tho Assembly, replying to a question, said he was not aware that the men were dismissed owing to

Australians are, to Uso a popular figure "of speech, up against a very tight money market, and financial authorities tell us that tho stringency will rapidly become more, severe, wrote the Sydney correspondent of tho "New Zealand Herald" last week. However, wo are assured that there is no need to fear that we are going to havo a time of acute depression. Iv the statement of causes of the tightness first place is given to the action of the Governments in taking so much money off tho market by way of loans in recent years. At the same time investments in new companies and extensions of old companies have not been without their effect. In tho last threo years New South Wales alone has raised over £12,500,000 on tho Sydney market, and "Western Australia' also had some. Lavisk expenditure by the State* Governments has operated, it is pointed out, to make labour short and money difficult to obtain. Private enterprise has been delayed. By the timo of tho next elections matters are likely to be in such a condition that tho Governments which have been spending so profusely will havo to smooth away, if they can, a lot of lilteefinrr and disappointment arising from the necessary curtailment of works. This will, of course, allow room for much Opposition talking of tho "We told you so" and "sound finance" order. It is an open secret that m nef South Wales the Treasurer has found it necessary during the past few weeks to notify 'the Departmental heads that their estimates must be cut down > severely for tho coming year. His directions' to this effect are now being repeated with added emphasis in view ot the Treasurer's failure to get more than half of the loan of £3,000,000 which he was trying to raise abroad. Thepnco of the debentures is £90, and the interest is four per cent. Tho Treasurer is more disappointed than he publicly admits. He was told that lie had got in at a favourable moment. Tje'fore war was declared in tho Balkans, ami that he would havo little difficulty about getting his £3,000,000.