PREMIERS’ PLAN

Taranaki Daily News, 16 April 1932, Page 7

PREMIERS’ PLAN

AUSTRALIAN WAGE CUT

UNEMPLOYED RELIEF LOAN OBJECTIONS BY MR. LANG - ——• HIS REMEDY - FOR TROUBLE REPUDIATION OF INTEREST - ——- By Telegraph—Press Assn.— Copyright. Rec. 5.5 p.m. Melbourne, April 15. The Prime Minister, Mr. J. A. Lyons, at the Premiers’ conference to-day made it plain that the £lO,OOO, 000 loan for the relief of the unemployed would be subject to all the States giving a do finite guarantee that the terms of the Premiers’ plan and the expert committee’s proposals would be carried out. Mr. Lyons said that the Government approved of the recommendation of the committee that the State Governments should compel a reduction in the rates of interest paid by private individuals as contemplated in the Premiers’ plan. The Cabinet had approved of the proposal to set up an honorary Federal employment council and six smaller councils in the States.

The Federal Government agreed with the recommendation that exchange should be increased to bridge part of the gap between costs and prices. It also agreed that the exchange rate be controlled by the Commonwealth Bank free from political control.

The Premiers’ plan had stipulated that Government deficits for 1931-32 should be £13,000,000. They actually would amount to £18,000,000.

Mr. Lang listened attentively to the Prime Minister’s speech. He asked no questions and took no part in the dedebate.

The keynote of Mr, Lang’s speech was the need for the suspension of oversea interest payments. “In our present desperate straits it is not an unfair request to make,” he said, “as I am reliably informed that if made it would be granted. I warn the Governments in all seriousness that if they attempt to put this wage cut plan into operation they will continue as governments only with the aid of policemen’s batons. “Twelve months ago the experts told us that their plan would be the salvation of Australia. I questioned their prediction, and here we are to-day as badly off as ever, debating another plan ‘which aims at doing the same thing. Twelve months hence,probably another £lan will be trotted out to correct more ■unexpected factors, and so the farce ■will continue indefinitely.

“The Labour movement in New South Wales will have nothing to do with the Gipsy mode of living, but at least it ‘was expected to follow the Australians 'way. The people of the Commonwealth should be asked to work for their keep, ■which is the. underlying principle of the ■experts’ report.” Mr. Lang emphasised that £36,000,000 which would ordinarily be sent abroad ■for interest should be kept in Australia to provide jobs for the workless, whose desperate plight was being used to smash wages, industrial conditions and the federation.

The Premiers of Western Australia and Queensland, whilst desirous of making the rehabilitation plan a success, expressed opposition to a flat rate reduction in wages which, they said, was likely ,to lead to further hardship.

The conference adjourned till Monday.

EMBARGO ON TOTALISATOR.

CHECK UPON COMMONWEALTH.

Rec. 11.30 p.m. Sydney, April 15. The Premier’s office to-day notified the Moorefield Racing Club that the totalisator must not be used at tomorrow’s races. This prevents the Commonwealth obtaining revenue from this quarter. The Lang Government has also placed an etabargo on the totalisator at forthcoming pony meetings.