The Northland Age SATURDAY, JUNE 27, 1931. MORE WAGES WITHOUT WORK.

Timaru Herald, Volume CXXXIV, Issue 18914, 27 June 1931, Page 12

The Northland Age SATURDAY, JUNE 27, 1931. MORE WAGES WITHOUT WORK.

In view of the weak-kneed attitude of the Liberals in the House of Commons in their relations witli the Socialist Government in the Homeland, it is not surprising to find the acid-tongued Chancellor of the Exchequer saying something rather “offensively” in the statements he makes in the House of Commons, on the understandings - that have been concluded between the Labour Tarty and the Liberals. Obviously the Socialists despise such playthings as the compromising Liberals. But it seems incredible that Mr Lloyd George and his supporters can very much longer tolerate the squandering of millions in carrying out the Socialists’ policy of providing wages without work. One of the most quoted stories the Lord Dawson of Penn told during his visit to the United States referred to tlie dole. A farm labourer in England had been out of work for many months and had been living on the dole. He remarked to his physician one day: “Doctor, do you know I had an offer of work some days ago which would have given me five shillings more a week than I am getting from the dole, but after giving it thorough reflection I preferred to remain independent.” This is not a piece of imagination recounted for the amusement of Americans who have strongly opposed the dole, but an accurate revelation of the terrible truth; indeed substantial proof can be obtained to convince the most sceptical that the dole in Britain is inflicting immeasurable injury to the fabric of the race. In this connection, it is interesting to mention a report recently issued by the Newcastle-on-Tyne Public Assistance Committee. It is stated that within nine months of the Committee taking over the administration of the dole from the Guardians: 73 persons married while in receipt of

relief; 40 applied for out-relief one week after marriage; 54 applied one month after marriage; 39 applied three months after marriage;

and 30 applied six months after marriage. As a result 295 children have been added to the chargeable list. It was %lso revealed that there were recipients of out-relief who had not worked since they left school, but had married and now had children dependent upon them. “It is not unusual,” states the report, “for some applicants to proceed almost on the same day of register of marriage to the relieving officer to make their application for relief. “Frequently no home has been prepared, but, regardless of the rent demanded, a furnished room is hlr I and an application Is made for outrelief to which, under law, they have a claim.

“In many cases girls have given up jobs to be married, and these families live on the dole and have now children dependent upon them.” From time to time drastic changes in the system of unemployment relief have been proposed by tlie Trades Union Congress. Not only is organised labour in the Homeland making persistent demands that the exchequer should meet the whole cost of unemployment benefit, and that neither employers nor workers, except as taxpayers ought to be burdened with tlie cost of maintaining the unemployed, but such an important body as tlie Trades Union Council of Great Britain is now demanding that the new scale of unemployment benefit should include; 20/- a week to workers of 18 years and over; 10/- for a wife or other dependent adult; and 5/- a week for each child. The benefit to persons from 16 to 18 should be 15/- a week, and to those between school-leaving age and 16 years, 10/- a week. Obviously if the Socialists in tlie Homeland can squeeze their representatives in Parliament to make an arrangement with the frightened Liberals, the cost of providing the dole for Britain’s vast army of unemployed, will be drawn wholly from the pockets of the taxpayer. It remained for Mr Justice Holman Gregory, who is chairman of the Royal Commission on Unemployment Insurance to point out that all in employment ought to help to carry the burden of providing funds for the relief of their less fortunate fellow citizens.

RAIDING THE TAXPAYER. In evolving schemes for dipping deeply into the pockets of the taxpayers, as Mr Lang is doing in New South Wales, the Socialists are anything if not what have been termed “whole-hoggers.” They are prepared to go the “■whole hog” with the vengeance. The Trades Union Congress demands that: The present emergency should be met by a special unemployment levy on all Incomes, whether from earnings or from interest and profit. The levy should not exceed one per cent, on incomes up to £250 a year, but It would be a matter for the Exchequer to adjust other percentages on a graduated scale according to requirements. Unearned Income should be charged at a higher rate than earned income. In all cases the amount of the levy paid would be allowed as a rebate for ordinary income tax purposes. No one in Labour circles seems to

have bothered to count the cost of the new proposals; on the contrary, the Council rather naively suggests that even tlie unemployment insurance fund debt should be cancelled. Obviously any one with possessions ought to assist in carrying the burden, but tlie Trades Union Congress insists that “there could be no question of reducing benefits, which, it thought, were already too small.”! It nevertheless remained for a member of the Royal Commission, who is president of the Institute of Actuaries, to point out that it had been calculated that the Chancellor of the Exchequer would have to raise tlie enormous sum of £115,000,000 to give effect to Labour’s new demands. “Do you consider that that is practicable?” asked Mr H. M. Trouncer, the member referred to. “No,” replied Mr Haydey, representing the Trades Union Congress. “At the same time we do not accept the figure.” It may be said at once that so long as Britain has representation without taxation, so long will the country be threatened with wild and wilder proposals of the kind outlined above, which are designed to plunder the few for the benefit of the many. From these demands electors in New Zealand, as well as in the Homeland, see the real meaning of “Socialism in our time,” and let no one suppose that the Socialist squanderers would not put their ideas into force if they could, and if they had a majority in the House of Commons, or in any other Parliament within the Empire. In this connection the new “lead” given h t y Mr Lang in New South Wales, demonstrates in the most conclusive fashion that the Socialists are out to “destroy capitalism,” and if they spread wholesale ruin in the process so much tlie better for the cause of Socialism.

PIOUS HOPE OF MR FORBES. Impressed no doubt by the decision of the bankers of Australia to reduce the rate of interest on deposits and advances, the Prime Minister, having borrowed something like £27,000,000 in three years, has begun to talk of doing something really definite in the direction of reduced rates of interest. It is now stated that Mr Forbes has approached all financial interests and engaged them ; in conversation. “These conversations,” Mr Forbes explains, “are still in progress, as difficulties have been pointed out, which I hope we might be able to overcome.” If Mr Forbes and his financial advisers will take the trouble to make a closer examination of the trend of the Australian situation. They will discover that the decision of the Australian banks to lower the rate of interest, followed the acceptance by the Federal Government of definite economy measures, which involved the conversion of maturing loan undertakings, at a low rate of interest, and the definite undertaking that the Government would lower the rate of interest which it offered. Moreover, the position has become so grave in Australia,' that some of the Governments, particularly the repudiationists in New -South Wales, appear to have bad considerable difficulty in borrowing at any price, There are difficulties in the way, as Mr Forbes says, but the principal factor in maintaining a high rate of interest in New Zealand, is heavy borrowing by the United Government on the open local market at 5£ per cent. Something more than the expression of pious hopes are needed to overcome the difficulties confronting the financial interests involved. If Mr Forbes would give an undertaking that he will cease borrowing on the local money market, he will afford the banks an opportunity to secure sufficient deposits to enable them to meet heavier demands for advances, at lower rates of interest. The decision rests, however, not as Mr Forbes would suggest, with certain financial interests but with the greediest borrower of the day—which is the Government, led by Mr Forbes, which has inflicted almost incalculable injury on the internal trade and commerce of the Dominions by literally swallowing up available funds and paying 5J per cent, interest for the privilege. For once, as far as the financial interests are concerned, Mr Forbes occupies the box seat, and by a mere stroke of tlie penreducing tlie interest on all money offered by local lenders to the State —he can almost automatically reduce the rate of interest and thus afford urgently needed relief to the whole community, and by so doing help to restore the much desired days of steady prosperity.