COUNCIL PASSES 10 PER CENT CUT.

Star (Christchurch), Volume XLIV, Issue 77, 31 March 1931, Page 5

COUNCIL PASSES 10 PER CENT CUT.

hardship committee WILL HEAR APPEALS.

The salaries of all officers of the City Council are to be reduced by 10 per cent, beginning on April 1. This decision was reached by the council last evening. It was decided a month ago that, where the council is paying wages and allowances in excess of the award rates, the award rates be reverted to as from April 1. A hardship committee, to hear appeals against the salary cut, was set up; and a clause was adopted, providing for a review of the position when the economic position improved. A number of increases in salaries were recommended by the Finance Committee and these were dealt with in committee.. The Recommendations. The Finance Committee submitted the following report:— “ A special meeting was called to consider the resolution of the council which was adopted on February 26, the resolution being as follows: 4 The committee has given consideration to Councillor Armstrong’s notice of motion, and recommends that, as the economic conditions of the Dominion call for material reduction in costs of government, a reduction of salaries be made to operate as from April 1, 1931; that during the month of March the Finance Committee, after receiving recommendations from other standing committees, fixes the salaries for all officers in the council’s employ for the next financial year; that, where the council is paying wages and allowances in excess of award rates, the award rates be reverted to as from April 1, 1931/ “ The committee begs to report that it has reviewed the whole of the salaries paid to the council employees, and submits the following recommendations:— “ That all salaries be subject to a 10 per cent deduction from April 1, 1931. “ That a sub-committee, consisting of the Mayor and four members of the Finance Committee, namely, the chairman and Councillors Beanland, Lyons and M’Lachlan, be appointed to investigate cases of undue hardship and make recommendation to the council. “ That the above recommendations are made with due regard to the grave economic position of the Dominion, and will be subject to review on the economic situation improving.” The committee also recommended that increases in salaries be granted to thirty-seven members of the staff of the Municipal Electricity Department, the increases ranging from £2O to £5. A recommendation was made by the committee that the assistant city engineer (Mr E. Somers) be granted a special bonus of £SO for 1930-31, and a special bonus of £25 be granted to Mr M. J. Barnett, superintendent of parks and reserves. The committee further recommended that the present motor-car allowance of £lB2 paid to the city engineer be reduced to £IOO per annum as from April 1 next. It was also recommended that six employees in the Municipal Electrical Department, who are on special work at special rates of pay, be not considered as salaried men affected by the committee’s recommendation, as they will be subjept to any revision made by the Arbitration Court. With regard to the Mayor’s honorarium, the committee recommended that for the ensuing term it be £4OO a year. Explanation of Proposals. In explaining the proposals, the chairman of the Finance Committee, Councillor E. H. Andrews, said that certain increases of salaries were being recommended for juniors and for those who had been appointed on the understanding that certain annual rises would be given. These salaries would be cut by 10 per cent after the increases had been granted. “The thing’s unfair,” said Councillor H. T. J. Thacker. “An Irishman’s rise,” interjected another member. Councillor Andrews said that the 10 pr cent reduction in salaries represented a saving as follows: £ s d General Account ... 2648 10 9 Waterworks’ Account 202 9 2 Baths Account 115 14 0 Cemeteries Account .. 78 16 8 Quarries Account ... 130 18 0 Abattoir Account .. 77 0 10 Municipal Electricity Department 2860 0 9 Total £6103 11 6 This, added Councillor Andrews, represented a reduction in the rates of 1-20 of a penny in the £ on last year’s valuation. The increases in salaries which were recommended totalled £4Ol 15s Od, and, with the reduction of TO per cent, the increases totalled £361 11s 6d. Councillor A. A. M’Lachlan seconded the motion. Broken Agreements. Councillor Elizabeth R. M’Combs, in opposing the cut, said that the Council had made agreements with certain officers that their salaries would be increased annually until a certain figure was reached. A reduction would be a breach of that agreement. Certain officers had been with the council for a great number of years. Many had had to wait for years for an increase. In one case, where a man had waited eight years for an increase, more than double that increase was now to be taken from him. That was not keeping faith with those officers. Referring to the lower paid employees, she said that many of the men were now living on a low enough scale. Amendment Moved and Lost. Councillor L. B. Neale moved as an amendment: —“That the 10 per cent reduction shall not apply to the first £260 of salary of all employees who are married and have two or more dependents.” He moved that amendment, he said, as a measure of relief to men with dependents. The earning period of a man’s life was the only time he had a chance to put something awa}for a rainy day. The speaker did not concern himself with the higher salaries. Some of the lower paid men did not even live decently. The first £260 was no more than a man with dependents could live on. Councillor Armstrong seconded the amendment pro forma. “ That's a mean way to do it,” said Councillor Lyons. The amendment was lost by 10 votes to 6. The division list was as follows: —Ayes: Councillors M’Combs, Butterfield, E. Parlane, Neale, Armstrong and the Mayor. Noes: Councillors Thacker, Lyons, Beaven, M'Lachlan, Williamson, J. Parlane, Fraer, Beanland, Jones and Andrews. Suggestion by the Mayor. The Mayor moved as a further amendment that the whole matter be referred to the incoming council. He had referred it to no caucus, as had been suggested, but moved the amendment “ off his own bat.” The present I council was going out and would have I nothing to do with the administration

of the scheme. The matter should be made an issue of the election, and the citizens should decide for themselves. If he was returned as a councillor, and the 10 per cent cut was adopted, he would not vote against it nor move an amendment then. Councillor M’Combs supported the Mayor’s amendment. “The other side want to impose their will while they have a chance,” she said. “I do trust that the people will not take any notice of Councillor Andrews’s pathetic promise of a reduction in the rates.” Relief to Ratepayers. Councillor Andrews said that the time had come when the position had tef be faced by the council as well as by all other bodies and concerns in New Zealand. They had considered the matter on the instructions of the council. Council employees were not the only ones who were going to be affected by the cut. He did not claim that the cut would affect the rates, but there were other avenues for reduction. If all were taken, there would be substantial relief for the ratepayers. If the profits on electricity permitted it, the electricity rate would be reduced. That was the principle governing the whole thing. The council was in power for another month. If the ratepayers pronounced against the cut, the incoming council would alter it. If the economic position improved, the matter would be reviewed. The hardship clause would bring relief in extreme cases. Everyone would regret an3 r reduction. He had gone into the matter of a graduated cut, but it had produced anomalies all through. The amendment was lost by 9 votes to 7. The division list was: Ayes: The Mayor, Councillors M’Combs, Butterfield, E. Parlane, Neale, Armstrong and Thacker. Noes: Councillors Lyons, Beaven, M’Lachlan, Williamson, J. Parlane, Fraer, Beanland, Jones and Andrews. Motion Carried. A division on the motion was forced by the Labour councillors. The voting was again on party lines, and the motion was carried. The constitution of the special Hardship Committee was approved, with the addition of Councillor E. Parlane. When the clause referring to the reduction of the Maj-or’s honorarium to £4OO came up, the Mayor said that the present council could not do it, but it was agreed, on the voices, to pass the recommendation. Councillor Thacker gave notice of motion to rescind all the resolutions at the next council meeting.