PRICE INCREASES

Timaru Herald, Volume CXLVI, Issue 21359, 31 May 1939, Page 10

PRICE INCREASES

Minister Disturbed

Tribunal Appointed as a Consequence By Telegraph—Press Association CHRISTCHURCH. May 30 “I admit that I have been disturbed by some increases that have taken place since Christmas and it is on that account I have now set up the price Investigation tribunal,” said the Minister for Industries and Commerce, the Hon. D. G. Sullivan, in a byelection address this evening. Mr Sullivan also quoted figures to substantiate his claim that real wages had increased considerably above the rise hi the cost of living. In February, 1936, Mr Sulivan said, all groups in the index figure stood at 840. To-day it was at 970, representing an increase of 15.5 per cent. Against that the money wages index in 1935 stood at 858. It was now 1096. an increase of "7.7 per cent. “So we have an increase in the cost of living of 15.5 per cent., but we have an increase in money wages of 27.7 per cent., therefore real wages have increased 12.4 per cent, greater than the comparable

increase in the cost of living. “That is not the whole story. Tire amount ot employment has been increased. There are now in our factories 123,551 persons, an increase of 32 per cent. It will therefore be seen that all the claptrap that all the increases in wages and salaries given by this Government have been cancelled out by increases in the cost of living is misleading, false propaganda.” The Minister then made his admission about increases in prices since Christmas. He said an important aspect of the regulations was that in future a trader or any other person selling services and commodities must notify the tribunal of the fact that an increase was taking place. The tribunal will then have a look at it. They will be on the job all the time and if the increase cannot be honestly and fairly justified it will be the business of the tribunal to take the matter up with the parties under either the Board of Trade Act or the Profiteering Act and compel them to adjust prices to what is a fair thing. “Until about last Christmas the method we adopted was effective in keeping prices reasonable, but there have been so many small increases imposed recently that I recommend the Government that a special tribunal be established armed with all the necessary authority to deal with the position.”