The Daily News TUESDAY, JUNE 9, 1931. THE EVILS OF THE DOLE.

Taranaki Daily News, 9 June 1931, Page 6

The Daily News TUESDAY, JUNE 9, 1931. THE EVILS OF THE DOLE.

It is not surprising to learn that a preliminary report presented by the majority of the Royal Commission which is investigating the working of the Unemployment Insurance Act in Great Britain recommends drastic changes aiming at balancing the fund. The scheme upon which the Act is based originally contemplated the establishment of an insurance fund with contributions from workers, employers and the State, its purpose being simply to tide workers over periods of unemployment. But the scheme has developed into a perpetual sustenance fund, and the claims upon it are so great that the statutory contributions are only sufficient to meet a very small, fraction of the outgoings. A few weeks ago the Minister of Labour confessed that the indebtedness of the fund to the Exchequer had reached £60,000,000, that sum having been provided ostensibly by way of loan, and it request was made for the addition of £12,000,000 to the debt to meet the needs of the next four months. The commission apparently has not offered a suggestion as to the possibility of recouping the Exchequer, though witnesses whom it has heard have proposed either that the debt should be funded with a view to its repayment out of increased contributions over a number of years or that it should be simply “written off,” in which case the Chancellor would have to make provision for it in his Budget. It lias, no doubt, seemed wise to the majority of the commission to tackle first the question of reducing the drain on the State, for which purpose it recommends reduction of the benefits under the Act, increase of the payments to the fund by the three contributing parties, and very drastic limitation of the period covered by benefit allowances. Twenty years ago the dole for an unemployed man was 1/- a clay. Now a married man receives 17/- a week, his wife 9/-, and each child 2/-, and on top of this the local authority may grant him additional relief. The result is that tremendous numbers of people are satisfied to live on the dole. The commission has heard much evidence to that effect, some very startling cases having been cited. One was that of a married man with five children in receipt of 47/- a week, as against the 42/he '.would earn if working at his trade. In one recent English report of a sitting of the commission some very striking evidence concerning conditions in South Wales is recorded. To such an extent, said an important official, had men become accustomed to existence on the dole that it was not uncommon to find them marrying, though they seemed to have neither desire for nor prospect of employment. A random test of 300 claims in the Merthyr area showed that 13 of the claimants had married while unemployed. After hearing other statements the chairman remarked that it would appear that in Wales the people “have not only solved the problem of living on the unemployment insurance benefit; they are also able to support their relatives, and on top of that to buy wireless sets.” Actual returns have shown that men for whom work has been found have had no more money than they had from the dole. But one of the worst evils created by the dole is the sapping of manhood. It is claimed by those who should be reliable witnesses that men\who are kept in fair comfort though they are idle are losing the will to work. One witness before the commission gave an analysis of 723 claims for the dole current in the Abertillery district of Wales as recently as April. He had ascertained that four of the claimants had done no work for six years, 42 for five years, 62 for four years, 62 for three years, 240 for two years and 179 for one year. Of the 723 claimants only 134 had worked at all during the twelve months prior to April. The proposal to limit the continuous availability of the dole to 26 weeks instead of 74 weeks would surely prevent such a sorry possibility as that revealed by the figures, for it is asserted that work could be found, intermittently if not continuously, for many of those now Jiving in idleness. The demoralising effects of the dole obviously are serious, and the financial aspect of the matter is not less grave. Any but a Socialist Government would realise that Great Britain cannot support the tremendous burden imposed by the dole, and would make a i'esolute effort to bring about a change. It is said to be the general opinion among members of the House of Commons that the Government will not attempt to carry out the com mission’s recommendations, which have been opposed by a minority of the commissioners—no doubt Labour representatives. It is, of course, the fault of the Labour Government that the Unemployment Insurance Fund is in its present condition. Labour’s refusal to attempt to restore the fund to a sound footing would be a valid reason for a change of Government.