'(Hip 'QJutmru TUESDAY, DECEMBER 30, 1930. FEDERAL CABINET CRISIS

Timaru Herald, Volume CXXXIII, Issue 18763, 30 December 1930, Page 8

'(Hip 'QJutmru TUESDAY, DECEMBER 30, 1930. FEDERAL CABINET CRISIS

Very little surprise will be occasioned by the announcement of The Sydney Morning Herald that one of the biggest storms in Labour history is developing in Australia. For many months, political tension in Australia, caused by the depression and the financial crisis, has been intensified by dissension in the Federal Labour Party, which has spread to the Cabinet itself. Under the somewhat uncertain leadership of the Acting-Prime Minister (Mr Fenton), the Cabinet, during the absence of Mr Seullin in England, has split into two groups—the Moderates, headed by Mr Fenton and by the Acting-Treasurer (Mr Lyons), who is the strong man of the Government, and the Left Wing, which is bitterly opposed to the financial remedies proposed by the special representative of the Bank of England (Sir Otto Niemeyer). Cabinet dissension is in complete conflict with the traditions and practice of the British system of Government. Theoretically the Cabinet is always unanimous. Once Cabinet has accepted a line of policy every member of Cabinet is held

to have accepted it, and is obliged to take responsibility for it. If a Cabinet Minister finds himself at variance with his colleagues or with his leader on a question of policy, he is bound to resign. The Scullin Cabinet has departed from this traditional practice. Before he left for England, Mr Scullin accepted the Kiemeyer policy, and gave instructions to Mr Fenton to carry it into effect. Because these doctrines are opposed to extreme Labour principles and have given great offence to the industrialists, a section of the Cabinet has done everything possible to prevent them being carried into effect. Four of the Federal Ministers went to the length of taking the platform with the Xew South Wales Leader and mouthpiece of the extremists (Mr Lang), who contested the State election on a

pullcy viumnuj uppuseu iu liliil enunciated by Sir Otto Niemeyer and endorsed by the Premiers’ Conference. This is a spectacle unique in Commonwealth politics. Any other Government would require the instant resignation of Ministers guilty' of conduct disloyal to the policy of the leader. But the four Ministers concerned take the view that they were selected for their Ministerial positions by the Labour Party, and that only the Party can require their resignations. This, of course, is not the constitutional position.. but the Acting-Prime Minister has not the strength to purge the Cabinet of these who are practically in open mutiny. The British constitutional practice is that Ministers are selected by the Prime Minister, after he has received his commission from the King to form a Government. The Labour Party has varied this by insisting upon the right to elect Ministers, the Prime Minister having the authority to allot the portfolios. This variation does not, of course, affect the constitutional position, and the Prime Minister can select his own colleagues at will. But for the Prime Minister or his deputy to take this step, would mean a Labour schism which would destroy the Party in its present form, and the recalcitrant Ministers are taking advantage of Mr Scullin’s natural desire to avoid a break.

“MARKED FOR SLAUGHTER” For some months the position in Australia has been more or less in the melting pot, but the shrewdest of political observers have held to their belief that a split in the Federal Labour Party cannot be avoided, unless Mr Scullin and his colleagues abandon the Niemeyer scheme of reconstruction; on the other hand, there are not a few commentators who are satisfied that the Federal Cabinet will throw the JHemeyer recommendations overboard, ignore the decisions of the Premiers’ Conference, “save its bacon,” and drift along Mieawber-like hoping that something may turn up to help Australia weather the gale. It will be remembered that bitter attacks were made upon Sir Otto Niemeyer by two of the insurgent Cabinet Ministers, and two others have expressed disapproval with his views of the Australian financial situation. Speaking on behalf of Mr Lang at Queanbeyan, the Minister for Health (Mr Anstey) spoke of Sir Otto Memeyer as representing “cormorants and vultures of finance who were grounding down the workers of the world.” Mr Anstey strongly denounced any form of wage reduction. The Assistant-Minister of Industry (Mr Beasley), who speaks for the Sydney extremists, complained that Sir Otto Niemeyer had exceeded the courtesies extended him by the Commonwealth Government. The weakness of the Acting-Prime Minister in failing to call the offending Ministers to task for such outrageous conduct, has caused much public dissatisfaction. The views of Messrs Anstey and Beasley do not, of course, represent those of the great mass

*of Australians, as the wonderful response to Australia s redemption loan appeal revealed, in spite of the outbursts of the extremists who advocated no repayment and the repudiation of loan obligations. The conduct of the insurgent Cabinet Ministers emphasises the opinion that there is no longer cohesion or discipline within the Scullin Cabinet. It is no surprise to learn that the aim of a section of the Federal Labour Party, allied with the militant industrial Labour movement, is to censure the Prime Minister (Mr Scullin), and if possible remove him from his position,' and replace him by an advocate of extreme militancy. It is stated that “other Ministers who are marked down for immediate slaughter are Mi Lyons, Mr Fenton and Mr Barnes.” It is quite obvious, in view of the economic crisis that confronts Australia, that no Government can last long in such circumstances, since drastic reconstruction or early defeat is inevitable if the ranks of Cabinet are not closed in order to shoulder the enormous burden of 1 responsibility that must be ; carried by the political leaders 1 of Australia before the country 1 reaches the calmer waters of ' financial recovery and the desired * haven of economic stability.