UNEMPLOYMENT BOARD (REPORT OF THE).

Appendix to the Journals of the House of Representatives, 1931 Session I-II, H-35

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1931. NEW ZEALAND.

UNEMPLOYMENT BOARD (REPORT OF THE).

Presented to both Houses of the General Assembly by Leave.

REPORT.

1. INTRODUCTORY. The acute economic depression through which the world is passing at the present time is causing worldwide unemployment of a magnitude without parallel in recent history. World prices have fallen to pre-war levels in the space of a few short months from the relatively high levels ruling for over a decade, and in the case of some important commodities —notably wool —to prices considerably lower than pre-war prices. New Zealand, in common with other primary producing countries in a comparatively early stage of economic development, is particularly dependent on its overseas trade, the prices received for its products in the world's markets being the principal factor determining the economic welfare of the Dominion. The recent collapse in the prices received for the exported produce of the Dominion has curtailed the national income very considerably, and the consequent disorganization of industry and trade has been accompanied, by an alarming increase in unemployment. Registrations at the employment bureaux of the Labour Department have increased from 7,402 on the 24th November, ] 930 (an already abnormally high figure), to 38,028 on the 30th March, 1931, by a practically unbroken succession of week-to-week increases. The machinery brought into operation by the Unemployment Act, 1930, was designed to deal with the situation as it existed at that time ; and this sudden and unprecedented increase in unemployment registrations occurring immediately upon the commencement of the Board's operations imposed a tremendous strain upon its resources. Although the definite prospect of, at least, partial employment under the Board's schemes was undoubtedly in part responsible for this increase in the number of registered unemployed, the abnormality of economic conditions since the Board has been in existence is the main factor contributing to its difficulties. Brief reference is now made to the main features of the economic situation adversely affecting employment at the present time. The extent of the fall in the prices received for the products exported by the Dominion is illustrated by the export-price index numbers compiled by the Government Statistician. In March, 1931, export prices were, on the average, 14-2 per cent, below the 1914 level of such prices—a fall of 36 per cent, as compared with the figure for March, 1930. The maintenance of a favourable visible trade balance in the face of this tremendous drop in export prices has been achieved only by a ruthless curtailment in imports, the value of imports for the twelve months ended 31st March, 1931, being £10,867,107 lower than the corresponding figure for the previous year. This decline in the import trade, although necessary in the economic adjustment of the Dominion to the altered conditions prevailing at the present time, is necessarily accompanied by a marked falling-off in employment. Although the decrease in import values has been in part caused by a fall in the prices New Zealand pays for its imports, and to that extent is advantageous to the Dominion, the volume of imports has also declined very considerably, thus throwing out of employment a large proportion of the workers engaged in the sale and distribution of that produce. In no department of industrial activity are the effects of altered economic conditions so apparent as in the building industry. The value of building permits issued by cities, boroughs, and town districts during the year ended 31st March, 1931, was £5,473,395, a decrease of 45-05 per cent, since the previous year. The building trades normally provide employment for a large number of workers — both skilled tradesmen and unskilled labourers. The effect of this sudden falling-off in building activity has been the unemployment of a large number of these workers. In addition to the displace-

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ment of labour caused among those directly engaged in building operations, this decline in the volume of building activity has been the cause of serious disorganization in the industries dependent upon the building trades. The sawmilling industry has been experiencing a period of relative inactivity for some years past. Employment in that industry is shown by official statistics to have decreased each year from 9,643 in the year ended 31st March, 1926, to 7,381 in the year ended 31st March, 1930—a decrease of 23-46 per cent. Although no official data are available as to employment in that industry since March, 1930, one of the effects of the collapse in building operations since that date has been a tremendous increase in unemployment among workers engaged in sawmilling operations. Employment in the engineering trades during the years immediately prior to 1930 was steadily on the increase. In the motor-engineering trade alone an average of 5,511 workers were employed during the year ended 31st March, 1930. This industry was, however, affected very adversely by the slump in 1930, the total value of motor-vehicles imported having fallen from £4,278,924 in the calendar year 1929 to £2,448,781 in 1930. In the preceding paragraphs attention has Taeen directed to some of the factors contributing to the abnormal growth of unemployment in New Zealand in recent months. Although, as has been shown, the Dominion is by no means escaping from the efiect of the present world-wide economic crisis, the position in this country compares quite favourably with that elsewhere. Although it is extremely difficult to arrive at a fair basis of comparison of the extent of unemployment in different countries, an indication of the relative position is afforded, by the following table : —

It will be observed that the incidence of unemployment in New Zealand is considerably lighter than is the case in Great Britain, New South Wales, United States, and Germany. The latest available information as to the total numbers unemployed in Canada is contained in a statement by the Prime 'Minister of that country, who estimated the number of unemployed in the middle of the Canadian winter at 177,000. At that time the number of unemployed per 1,000 of population in New Zealand 'was only 7/a figure wliich compares favourably with the Canadian figure (18 per 1,000). The comparatively low figure recorded for South Africa (6 per 1,000 of white population) is accounted for partly by the special labour conditions of that country, most of the manual labour being done in normal times by Native labour, which has now been partially replaced by Europeans. Another important factor contributing to the relatively fortunate position of South Africa is the fact that she is the world's greatest gold-producing country, and has consequently escaped, to a large extent, the full severity of the economic depression. Detailed consideration of the main factors immediately contributing to the present unemployment situation in New Zealand is contained in an appendix to this report. 2. REPORT OF THE UNEMPLOYMENT BOARD FOR THE PERIOD ENDING 31st MARCH, 1931. Eecognition by the Government of the exigencies of the unemployment situation led to the passing of the Unemployment Act, 1930, and the appointment in November, 1930, of an Unemployment Board as executive authority under the Act. An account of the work of the Unemployment Board up to the end of the financial year is n w presented. The Unemployment Act, 1930. The Unemployment Act was placed on the statute-book during the session of 1930, and its provisions became law on the 11th October, 1930. The Act was a direct outcome of the deliberations of-the special Committee appointed by the Government on the 17th October, 1928, and the 26th February, 1929, to report on the problems arising out of unemployment, and, in general, it may be said that the Act was framed on the recommendations of this Committee. One of the most important of these recommendations was that, in order to conserve the Unemployment Fund and give the Unemployment Board time in which to organize the necessary administrative machinery, a period of six months should elapse between the coming into operation of the Act and the granting of any benefits from the fund. If it had been possible to cany this recommendation into effect, the Board would have had some time to consider on what lines its policy should be formulated, and also would have been able to organize the machinery, which subsequent experience proved to be essential for the carrying-out of relief measures and for dealing with the various matter arising out of the

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, T , f Population Number UnemCountry. Date. i UneCtoved (latest Available ployed per 1,000 I Unemployed. Date) _ of Population _ New Zealand .. .. .. End of April, 1931 .. 36,981 1,510,940 24 Great Britain and Northern Ireland End of April, 1931 :.. 1,967,922 41,050,000 48 New South Wales .. .. i End of April, 1931 .. 115,000 2.500,486 46 South Africa .. .. .. i End of April, 1931 .. 10,000 1,767.719 6 Canada I End of December, 1930 177,000 9,934,000 18 United States .. .'. End of January, 1931 6,050,000 ; 122,775,046 49 Germany .. .. .. End of March, 1931 .. 4,744,000 64,583,000 73

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administration of the Act. In addition, the Unemployment Fund would have accumulated for at least six months before any calls were made thereon. Unfortunately, at the time the Unemployment Act came into force the Dominion was on the eve of a grave financial depression. The reflex of world economic conditions brought continued decline in the prices of primary products, and in its train increasing numbers of unemployed. The position was beyond the capacity of remedial measures formerly employed, and necessitated immediate action by the Board. The Unemployment Board. Nominations were invited for the appointment of members to form the Unemployment Board (excepting Government nominees), and on the 20th November, 1930, the official appointments were notified in the New Zealand Gazette, the personnel of the Board being as follows :— Hon. Mr. S. G. Smith, Minister of Labour (Chairman). Mr. H. B. Burdekin, Government representative (Deputy Chairman). Mr. George Finn, Government representative. Mr. Patrick J. Small, representing primary industries. Mr. Francis L. Hutchinson, representing secondary industries and employers. Mr. Walter Bromley, representing organizations of workers. Mr. Oscar Mcßrine, representing organizations of workers. Mr. Walter E. Leadley, representing the New Zealand Returned Soldiers' Association, Inc. The first meeting of the Board was held at Parliament Buildings, Wellington, on the 25th November, 1930, the Hon. Mr. S. G. Smith, Minister of Labour, presiding as Chairman. At this date there were 7,402 men registered as unemployed, but indications that this number would increase considerably in the near future were not lacking. An intimation from the Government was received at this meeting to the effect that finances previously made available for unemployment relief by means of subsidies to local bodies were practically exhausted. The Board therefore was obliged to make immediate arrangements for the relief of the already considerable number of unemployed. The question of administration and the placing of staff at the disposal of the Board required immediate decision. In this connection it was announced that the Government Statistician, Mr. Malcolm Fraser, had been appointed as the executive officer of the Board, with the title of Commissioner of Unemployment. The Unemployment Fund. Under the provisions of the Unemployment Act a separate account was set up in the Public Account and designated " The Unemployment Fund." Its purpose was to make provision, in accordance with the recommendation of the Committee previously mentioned, for financial resources to meet the requirements of an anticipated maximum of 15,000 unemployed men. Moneys payable into the fund comprised— (a) The net proceeds of a levy of £1 10s. per caput on all males required to register under the Act (excluding those exempted from payment), after deduction of the cost of collection of the levy and other incidental expenditure : (6) A subsidy from the Consolidated Fund of an amount equal to one-half of the expenditure from the Unemployment Fund : (c) Any other moneys appropriated by Parliament for the purposes of the fund. (d) Other moneys lawfully payable into the fund, such as fines imposed for failure to carry out the provisions of the Act. No moneys are payable out of the fund except by direction of the Minister of Finance, acting on the recommendation of the Unemployment Board. Expenditure cannot therefore be made by the Board except with the approval of the Minister of Finance, nor can the Minister approve any expenditure without the necessary recommendation from the Board. Registration under the Act. Immediately the Act came into force the Post and Telegraph Department was authorized to compile a register of all males aged twenty years or over who were ordinarily resident in New Zealand. The Act provides penalties for non-registration, and from the numbers who have complied with requirements it is obvious that very few men have failed to register. The actual number of men registered up to the 31st March, 1931, was 462,700. Since this number includes numerous persons exempted from payment of the levy, it is naturally considerably in excess of the numbers quoted as having paid, instalments. The Unemployment Levy. The unemployment levy of £1 10s. per annum was made payable in equal quarterly instalments, due on the Ist day of the"months of March, June, September, and December, respectively, and a period of one month was allowed in which to effect payment of each instalment before penalties for non-payment were incurred. Collection of the levy from those liable for payment was also undertaken by the Post and Telegraph Department. Each contributor was required to make application for the issue of a book of coupons, the book containing eight coupons with counterfoils, representing

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eight instalments of 7s. 6d. each. Each coupon is of a different colour, and bears the due date of the instalment. On presentation of an instalment at any money-order office the relative coupon is detached by the Postal official, who receipts and date-stamps the counterfoil. Payment of the first instalment of the levy, due on the Ist December, 1930, was effected by approximately 415,000 persons, and of the second instalment, due on the Ist March, 1931, by approximately 386,000 persons. Departmental machinery provides an effective check on defaulters, and these are gradually being brought to book. More than 20,000 persons elected to pay the June and September, 193], instalments in advance. Exemptions. Section 7 of the Act wholly exempts from payment of the unemployment levy persons who are in receipt of war pensions under the War Pensions Act, 1915, in respect of their total disablement; persons in receipt of pensions under the Pensions Act, 1926 ; and Natives within the meaning of the Native Land Act, 1909, with the proviso that any Native may elect, with the consent of the Board, to become a contributor to the fund. Exemption from payment of individual instalments of the levy is provided under this section for inmates of public hospitals, mentaljhospitals, public and private charitable institutions, prisons, and reformatories ; also for students enrolled at educational institutions and not in receipt of salaries or wages. The Post and Telegraph Department provided the necessary machinery for recording exemptions. A declaration or other proof of exemption on the specified form.must be produced at a money-order office, together with the person's coupon-book if he has been issued with one. The coupon is detached, and the relative counterfoil date-stamped and marked " Exempt." Persons wholly exempt are not issued with but are required to make a declaration of total exemption. As the first instalment of the unemployment levy fell due on the Ist December, 1930, the thousands of persons who considered they were eligible under the provisions of the Act for exemption from payment of the levy naturally took steps to ascertain the necessary procedure which would protect them from the penalties provided for non-payment. Although machinery for declaration of exemption was provided, it soon became evident that the exemptions provided in the Act did not go far enough, and that it would be necessary for the Governor-General, by Order in Council, to exempt other classes of persons on the grounds of public policy. After serious consideration by the Board, regulations were made and gazetted on the 18th December, 1930, providing exemption for certain classes of aged, infirm, and unemployed men whose financial status was such that they could not reasonably be expected to pay the levy ; also for members of religious bodies whose rules forbid the possession by its members of any personal property other than clothing and similar personal effects. In addition, the regulations provided that exemption from payment of an individual instalment of the levy might be granted to any person if in the opinion of the Board the payment of such instalment would, by reason of sickness or poverty, impose undue hardship on that person or his dependants. In the first few months of the Unemployment Board's existence several thousands of letters dealing with the question of exemption alone were received and dealt with. Applications on the grounds of hardship, which are still coming to hand in considerable numbers, require careful investigation of the applicants' financial position, &c. The applications are then considered periodically by a committee of Board members, which makes its recommendation to the Board. Up to the 31st March, 1931, some 581 applications were dealt with, and in 378 cases exemption was granted, whilst in the remaining 203 cases it was refused. After the Board's decision is made, each applicant is advised of the result so far as he is concerned, and arrangement is made with the Post and Telegraph Department for recording the exemption in the case of successful applicants. Exemptions recorded to the end of March, 1931, are as follows :— Total exemptions .. .. .. .. .. .. .. 9 927 -,-,,., . December March Partial exemptions— Instalment. Instalment. Inmates of mental hospitals .. .. .. 3,344 3,575 Inmates of prisons, reformatories, &c. .. .. 1,071 1,155 Inmates of hospitals, charitable institutions, &c. .. 957 480 Students .. . . .. .. .. 735 674 Cases of mental and physical disability or unemployed and destitute .. .. .. .. .. 3,581 1,971 Hardship .. .. .. .. .. .. 365 366 10,053 8,221 utilization of Existing Organizations in connection with the Administration of the Act. On the constitution of the Unemployment Board, the Government intimated that, as far as possible, the creation of a separate Department of State to carry out the work of the Board was to be avoided, and that the Board was to use existing Government organizations wherever these were suitable. In accordance with this direction, the Labour Department and the Post and Telegraph Department have acted for the Board in the registration of unemployed and in the payment of wages and subsidies for relief work. The services of the Departments of Public Works, Lands and Survey, Industries, Commerce, and Publicity, and Census and Statistics also have been availed of in connection with the work of the Board.

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Although the major part of the Board's time has been devoted to the consideration of ways and means to relieve unemployment, it has been compelled to deal with a large amount of routine work associated with the administration of the Act. For some months prior to the coming into force of the Act much information relative to the problems of unemployment, numerous requests for financial assistance, and other correspondence of a miscellaneous nature had been recived by the Labour Department; this was transmitted to the Board for consideration and action. Apparently the Unemployment Fund was looked upon by many people as a source from which money could be obtained without any special effort, as hundreds of requests were received for financial assistance by way of grants or loans. Many of these requests came from farmers, some from individuals who wished to be set up in business, others from firms and undertakings which presumably had found difficulty in obtaining finance elsewhere. The Act authorizes the Unemployment Board to make grants or loans to any persons or authorities to enable them to undertake, or to continue to carry on, developmental or other works calculated to relieve unemployment; but the essential point in this provision appears to have been overlooked by a large number of these applicants for assistance. There were very many requests for work and sustenance, a large number of criticisms of the Act, and also of schemes for the alleviation of unemployment. Some of the last mentioned were of a distinctly helpful nature, others were decidedly impracticable, but all of these schemes required the consideration of the Board, and in many cases reports on their practicability were first obtained from Government Departments. Natives. A great deal of work has been involved in dealing with the admission of Maoris as contributors to the Unemployment Fund. The Act provides that every Native within the meaning of the Native Land Act. 1909, must register under the Act, but is exempt from payment of the levy unless he obtains the consent of the Board to become a contributor. At a very early date applications from Natives throughout the Dominion began to pour in, and it is thought that these were actuated, in general, by the desire of the Maori to be on the same footing as his pakeha brother. In this connection the Native Department has rendered valuable assistance, and up to the 31st March, 1931, some 1,827 Natives were accepted as contributors and the necessary arrangements made for them to effect payment of the levy. Special consideration has been given also to the provision of suitable employment for unemployed Maoris, and reference is made to this in the supplementary section of the Board's report. Relief of Unemployment. In earlier paragraphs reference has been made to the rapidity with which unemployment developed towards the close of 1930, but in order to obtain a correct perspective of the early operations of the Board further emphasis must be placed upon the factor of urgency. Far from being permitted reasonable latitude to consider means of combating the most serious evil of the present day, and to erect essential administrative organization and machinery, the Board was impelled by force of circumstances to immediate action. The urgency of every question and requirement and the rapid approach of the Christmas and New Year period undoubtedly accentuated the difficulties confronting the Board, but, in spite of this, rapid progress was made in the formulation of schemes for unemployment relief. It has been shown that the problem of unemployment was by no means peculiar to New Zealand. It had already assumed a relatively much more serious aspect in other countries, and it should be emphasized that no other country has been able to find a solution to the problem. The Dominion, by reason of its dependence on the activity and prosperity of the primary producer, is differently placed from most other countries, while the New Zealand legislation, unlike the unemployment-insurance schemes of other countries, was largely pioneer in character, making the imposition of the unemployment tax or levy of universal application for males of twenty years and over. The fund raised by this means was to be utilized for the provision of work for the unemployed, the payment of sustenance being made optional on the part of the Unemployment Board. While, therefore, information on the methods adopted elsewhere was available, the Unemployment Board was unable to take advantage of that knowledge to any extent, and thus found that it would require to break new ground in a search for means to provide the ever-increasing number of unemployed men with work. It was found also that in many instances the Act did not provide all the powers required, with the consequence that the work of the Board was rendered more difficult. Had conditions been only slightly abnormal, the Board could reasonably have expected sufficient time to formulate its policy and organize methods of operation while still providing some relief for the unemployed. Instead, it was faced with the necessity of immediately finding relief for over 7,000 registered unemployed, with the prospect of the number increasing to the 15,000 anticipated by'the Unemployment Committee as the maximum for which provision was likely to be necessary. The rapid development of the unemployment situation absorbed the Board's funds at an abnormal rate, and the necessity for provision of immediate relief handicapped its efforts in devising methods for stimulating employment of a permanent character in industry generally. The first concern of the Board was to provide some immediate relief for the 7,000 men registered as unemployed, so that they might have some money at least to tide them over the holiday period. As a matter of policy, it was decided that work should be performed in return for relief granted, and that the payment of sustenance should be avoided at all costs so long as suitable work could be provided.

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Before the Unemployment Board came into existence, the problem of alleviating unemployment was largely in the hands of the Government, with local bodies doing their share in providing relief work. By the Local Authorities' Empowering (Relief of Unemployment) Act, 1926, and subsequent amending legislation, local bodies were authorized to raise moneys by loan, in order to carry out works for the relief of unemployment, without taking a poll of the ratepayers as provided in the Local Bodies' Loans Act. The Imprest Supply Act, 1927, provided that a sum of £150,000 be set aside by the Government to subsidize moneys expended on relief works carried out by local bodies, and this amount was later increased by Parliament to a total of £400,000. The greater part of this sum had been expended by the end of 1930, while the balance not actually expended was committed. In this connection it will be of interest to show the expenditure by the Government on works for the relief of unemployment during the last five years. The Public Works Department has employed by far the largest number of men, and its relief works have consequently absorbed the bulk of the expenditure. Other Government Departments assisted, however, in finding work for the unemployed, notably the State Forest Service, which has taken on a considerable number of men each year during the tree-planting season. The Lands and Survey and Railways Departments have also assisted in finding work for the unemployed at various times. The cost of such relief works, together with subsidies to local bodies for each financial year, are as follows : — 1926-27— £ £ Public Works Department .. .. .. 130,000 State Forest Service .. .. .. .. 14,240 144,240 1927-28 — Public Works Department .. .. .. 379,565 State Forest Service .. .. .. .. 27,550 Subsidies to local bodies .. .. .. .. 75,106 482,221 1928-29— Public Works Department .. .. .. 680,393 State Forest Service .. .. .. .. 50,250 Other Departments .. .. .. • ■ 3, 500 Subsidies to local bodies .. .. .. .. 68,566 802,709 1929-30— Public Works Department .. .. .. 914,000 State Forest Service .. .. .. .. 185,400 Other Departments .. .. .. .. 204.464 Subsidies to local bodies .. .. .. .. 11l ,728 1,415,592 1930-31— Public Works Department .. .. .. 1,249,446 State Forest Service .. .. .. .. 85,000 Other Departments .. .. .. .. 21,933 Subsidies to local bodies ... .. .. .. 116,768 1,473,147 Total .. .. .. .. .. £4,317,909 The average numbers of men employed during the, year in the case of the Public Works Department relief works, and during the season in the case of the State Forest Service, are as follows : —

Local unemployment Committees. At an early stage the Unemployment Board realized the necessity for some local organization to co-operate with it in the relief work to be undertaken. In common with the General Government and the Unemployment Board, local governing authorities have real responsibilities in regard to the alleviation of distress caused through unemployment in their respective districts, and they have not been divested of these responsibilities by the passing of the Unemployment Act. In recognition of this fact, the Chairman of the Unemployment Board issued, through the press of the Dominion and by special circulars, an urgent appeal to the Mayors of all cities and boroughs to take the initiative in the formation of Local Unemployment Committees of a representative character to co-operate with the Board on a strictly voluntary basis, as provided by the Act. The response to this appeal was prompt and encouraging, and by the end of March some 165 Local Unemployment Committees were functioring satisfactorily, with, in many centres, sub-committees operating in outlyingMistricts under their jurisdiction. Each Local Unemployment Committee has a small executive and a Government officer

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i J 1926-27. 1927-28. 1928-29. 1929-30. 1930-31. Public Works Department .. .. .. 643 1,912 3,014 3,653 4,898 State Forest Service .. .. •• 123 263 640 1,180 700

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(Labour Department or Post Office) acting with the committee or with its executive in dealing with the eligibility of applicants for relief, and the approval and supervision of relief works being carried on in the district. These committees, which were hurriedly formed to meet the requirements of temporary schemes for unemployment relief, have formed the nucleus of a Dominion-wide organization which will eventually comprise the permanent committees contemplated under the Act to co-operate with and assist the Board in its efforts. Early in March the Board drew up rules for the constitution and operation of permanent local committees. The Board wishes to place on record its appreciation of the good work done by the majority of Local Unemployment Committees in assisting with the administration of its various schemes. Rates of Wages on Relief Work. With the introduction of schemes for providing some measure of relief, the Unemployment Board was immediately faced with the question as to the rates of wages to be paid to men employed thereunder. After careful consideration, it was decided that the determination of the rates of wages to be paid was not a function of the Board, but one for agreement between the employers and employees. The Board has adhered strictly to this attitude in all its schemes for relief work, both with local bodies and with private individuals. It has, however, ruled that where skilled work which would ordinarily be subject to Arbitration Court awards is done, then award rates should operate. While adhering to this principle in regard to rates of wages payable, the Board at the same time has insisted that its subsidies and refunds of wages should never exceed the rates operating for the time being on Public Works relief works. Up to the 31st March these rates were 14s. per day for all men, whether married or single. Registration of the Unemployed. The existing organization of the Labour Department for registering applications from the unemployed for work was made available to the Unemployment Board for the purpose of placing men in employment under its various relief schemes. The necessity for such an organization is apparent, and it has been a condition of all the Board's schemes that men engaged thereunder should be obtained through the Labour Department's bureaux. During March the Board made representations to the Labour Department in regard to the system of registration of the unemployed, and as a result a revised system came into operation. Where there was no permanent representative of the Labour Department, the local post-office (if the Postmaster was a permanent official) was created an Employment Bureau with independent registers. This arrangement greatly assisted in the operation of the Board's schemes, as the Employment Bureau officer was authorized to certify payment from the Unemployment Fund only in respect of genuinely registered unemployed men whose employment under the schemes had been arranged by him through ins own bureau. The numbers of registrations, week by week, are quoted in Table I of the appendix. Main Relief Schemes. Scheme No. I. —At its second meeting the Board formulated Scheme No. 1, under which itoffered to subsidize local bodies who were willing to find work for the unemployed. This scheme carried on relief through channels similar to those previously made available by the Government's subsidies. The work was required to be either of a capital nature or else special maintenance, and to contain at least 50 per cent, labour-cost, based on wages computed at the rate of 14s. per day. The Board's subsidy offer was on the basis of £2 for £1, and approval was obtained to the expenditure of £25,000 by this means. All work had first to be reported on and recommended by the Public Works Department Engineer in charge of the district before it was approved by the Board. Local bodies were informed that the offer under No. 1 Scheme was a special temporary one, and not to be regarded as establishing a precedent. The response to this offer was immediate, and during the next three weeks so many applications were received and approved that additional funds had to be allocated. The scheme finally closed on the 18th December, 1930, although expenditure on the work subsidized could be incurred up to and including the 31st January, 1931. In general, the work subsidized under this scheme was of a useful and necessary nature, besides covering a wide range. Instances of the classes of work done are as follows : Eoad-widening ; street-formation ; sewerage-works ; storm-water drainage ; river protective works ; clearing and straightening of streams ; creek-diversions ; school-ground improvements. In view of the very large numbers of unemployed and the unprecedented rate at which registrations were increasing, it was obviously impossible for the Unemployment Board, with the resources at its disposal, to provide continuous work. Some measure of rationing of work was therefore essential, and it was made a condition in regard to work subsidized under this scheme that men should be employed in alternate fortnightly periods, as far as possible, so that the maximum number of men should obtain relief. In all, subsidies amounting to £32,576 were approved under Scheme No. 1, providing employment for 4,600 men, at a conservative estimate. These men worked a total of approximately 50,000 working-days during the two months, of the scheme's operation. From information supplied by practically all the local bodies which obtained subsidies it would appear that almost the whole of the above amount has been actually expended. The total expenditure, therefore, including local bodies'

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share of the cost of work done through Scheme No. 1, may be stated as £48,864. At least 50 per cent, of this total cost was for labour ; but, as in many instances the percentage of labour cost was much higher, it may reasonably be assumed that some £35,000 represents disbursements in wages under the scheme. Scheme No. 2. —ln launching Scheme No. 1 with subsidies to local bodies the Board realized that numbers of unemployed men would still not be reached, and that only local bodies who had proposals of work already prepared for consideration could start work quickly. The Board also very early determined that as far as practicable the unemployed should be directed into avenues where their work would be reflected in increased production, and thus indirectly benefit the country as a whole. For this purpose Scheme No. 2 was inaugurated as a special emergency measure, for work made available by private individuals. The scheme provided for a subsidy on a pound-for-pound basis on wages only, work to be completed by the end of January, 1931. The rate of pay was decided on mutually between employer and employee, but the Board's subsidy was not to exceed 7s. per day per man. The work approved provided for both town and country, and included developmental work of a directly reproductive nature. Approved classes of work were as follows : — (1) Improvements to and. maintenance of land by way of clearing of stones, timber, stumps, scrub, noxious weeds, &c. ; also draining and fencing ; certain classes of harvesting ; ploughing and harrowing after clearing only. (2) Labour on city work, to consist of gardening, wood-chopping, section-clearing, subsoil drainage and trenching, and clerical work. The essential point concerning work done under this scheme was that it did not interfere with ordinary industry. The scheme enabled many private individuals, farmers and citizens, to put in hand work which would not otherwise have been done, and. many unemployed workers received a quick measure of relief not otherwise available. The original amount provided by the Board under Scheme No. 2 was £25,000, subsequently reduced to £17,250 by way of transfers to enable additional amounts to be granted under No. 1 Scheme, through which subsidies were being absorbed more rapidly than under Scheme No. 2. Amounts were allocated to local committees for operation in their respective districts, and further allocations were made, on receipt of advice that funds were exhausted. At first it was decided that all work under the scheme was to be completed by the 31st January, 1931, but its operation proved so successful, particularly in the country districts, that on the 20th January the Board decided to extend the period during which commitments could be made until the end of February, and allow the work to be completed by the end of March. The original allocation, as reduced, proved insufficient, and additional funds were allocated from time to time. When the scheme was closed on the 28th February a total amount of £34,953 had been granted by the Board in subsidies of which £33,142 was actually expended, although the whole of this amount had not been brought to charge by the 31st March. Apparently some £1,811 of the total amount allocated was not expended in subsidies through the local committees. Altogether, some 94,700 working-days were provided, and it is estimated that approximately 23,700 individual men obtained from one to twelve days' employment, the average period of employment being four days. As many employers paid wages in excess of 14s. per day, it may be taken for granted that considerably more than the Board's expenditure on subsidies was paid in wages by private employers under Scheme No. 2, so that in all probability a sum of at least £70,000 reached the unemployed workers. Scheme No. 3. —Notwithstanding the efforts made to speed up work under the first two schemes during the month of December, the Unemployment Board saw that in the very short time available it would be quite impossible to give all the increasing numbers of registered unemployed some relief work before Christmas. Neither could Local Unemployment Committees be expected to be operating sufficiently by that time to enable those not placed with local bodies to be found work under the No. 2 Scheme. The Board decided, therefore, on a special Christmas relief measure, designated the No. 3 Scheme, whereby £10,000 was allocated by way of straight-out grants to local bodies, to be administered by them in conjunction with the Local Unemployment Committees in their respective districts. The local bodies were asked to provide two days' work before Christmas for each man who had been unemployed and registered as such for fourteen days or over, or, failing work being found for all eligible men, the grant was to be distributed in the most equitable manner. The amount actually expended from the Unemployment Fund under Scheme No. 3 was £8,789, and more than 5,500 men shared in the benefits provided through the medium of ninety local bodies. The available information indicates that on an average each man received 2-1 days' wages at 14s. per day. Scheme No. 4 (A and B). —Investigations into the question of utilizing the unemployed on the development and settlement of Crown lands brought into evidence the fact that not a great deal of suitable settlement land remains in the hands of the Crown, and that most of what land is still held undeveloped is of poor quality, hilly in character, and in remote and more or less inaccessible districts. It was realized that the problem of breaking in such lands would require considerable organization in the establishment of camps, tools and equipment, transport, &c, with correspondingly heavy overhead costs, all of which would take some considerable time to arrange. The rationing principle adopted by the Board was unsuitable for this work, as continuous employment would be necessary, with the separation of married men from their homes and from the possibility of their obtaining any other casual work on their own account. Investigation also showed that the numbers which could be utilized in this way were disappointingly small, and insufficient to make any great impression on the large army now seeking relief. This, too, would have entailed a cost per head far in excess of what the Board would be justified in spending in view of the rapidly increasing registrations of unemployed, which had now reached the 16,000 mark. Already the maximum for which it was anticipated relief would have to be provided was pa.ssed, and the Board decided that, if unemployed men were to be

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placed into productive work quickly it would have to be done on the already settled lands of the Dominion. In effect, this meant lands in private occupation where much developmental work still remained to be done, and which was not being done on account of the financial plight of the farmers. With this end in view, therefore, Scheme No. 4 was developed first, in two sections to suit the different circumstances of the farmer. Scheme 4a provided for those farmers who wished to secure additional labour on a weekly basis, and Scheme 4b for those who desired to have developmental work done on a contract basis. In both cases the keynote of the arrangement was the subsidizing and placing of additional labour and the carrying-out of developmental contracts on farms which, owing to the financial position of the farmers concerned, would not otherwise be engaged or done. Both Schemes 4a and 4b came into operation on the 23rd February, 1931. The employment offered being of a somewhat permanent character, it was hoped that as many as possible of the registered unemployed, particularly single men, would be drafted to farms and so gradually relieve the position in the more populous centres. Under Scheme No. 4a farmers willing to employ additional labour on their farms were offered the opportunity of obtaining such labour from the ranks of the registered unemployed, the selection of men being made by the Local Unemployment Committee. The farmer and the worker arranged the rate of pay, and the Board subsidized the actual wages up to 15s. per week for a single man and £1 ss. per week for a married man, a condition being that the employer found the man in board and lodging, or housing where necessary. The periods of subsidized employment varied from four to twenty-six weeks. Under Scheme 4b contracts could be arranged for developmental work on farms, such as bushfelling, scrub-cutting, rush-grubbing, stumping and logging, drainage of farm lands, cutting new drains and improvement of existing drains, clearing noxious weeds, fencing, and developmental work of a similar nature. The Board granted a subsidy of 33| per cent, of labour cost only, the maximum subsidy payable on any individual contract being limited to £75. The men employed were required to be engaged from the ranks of the registered unemployed, and the contract arranged on a co-operative basis. Applications for subsidy were to be forwarded through the Commissioner of Crown Lands for the district; the Field Inspector of the Lands Department inspected the work to be done, and reported thereon with a recommendation to the Unemployment Board. An individual farmer could apply for one or more subsidies under Scheme No. 4b, the idea being to have as many men as possible employed on small contracts. Each application was given individual consideration by the Board. These schemes have given farmers assistance which otherwise they could not have obtained, and have enabled them to put in hand a great deal of developmental work (clearing, fencing, draining, &c.) which, in the ordinary course, would not have been done. The results will be reflected in a benefit to the Dominion generally, by means of an increase in production and export, while unemployed men (whose claims are the main concern of the Board) have been found some work during the winter months. The total number of men actually employed under Schemes 4a and 4b at the 31st March, 1931, was 1,542, and the commitments entered into by the Board at that date were £17,821 and £1,402 respectively, or a total of £19,223. Taking the cases where employment under Scheme 4a terminated on or before the end of March and the completed portions of other engagements which extended beyond that month, it is estimated that 1,280 men were employed up to the 31st March at a cost in subsidies of £2,866. Of these men, approximately 918 were single and 362 married, and they worked an aggregate of 3,340 weeks, which on a basis of six days per week represents 20,040 workingdays. Approved applications for subsidized labour on a contract basis under Scheme 4b in respect of which the work was actually begun totalled fifty, and 155 men were engaged thereon. The labour cost of these contracts was £4,000, and the Board's subsidy £1,333, representing an average of 3-1 men per contract and an average subsidy of £26 13s. 2d. It is impossible to state the amount of work actually done through Scheme 4b up to the 31st March, and the foregoing figures represent commitments entered into by that date. The work in some cases would extend to April, the length of time of the contract being unimportant so far as the Board is concerned. Taking the total labour cost of these contracts and assuming that the average cost per man comes to 14s. per day, 5,715 working-days have been provided through the Board's subsidy offer under this Scheme. Scheme No. 5. —While launching Schemes 4a and 4b with the object of drafting unemployed men from the more populous centres into productive work on farms, the Unemployment Board, was fully alive to the fact that the numbers to be placed under these schemes would not be placed all at once, and that probably progress would resolve into a movement gradual at first but gathering momentum as their provisions became known. Since this rate of absorption would not cope with the alarming increase in. registrations of unemployed at all centres, it was imperative to make arrangements whereby some measure of relief could be afforded immediately to the great numbers of unemployed workers while waiting their reabsorption into industry. After very careful consideration, the Board decided that this could only be provided by soliciting the closest co-operation of all local governing authorities throughout the Dominion. These alone were in a position to provide suitable work sufficiently near the homes of the workers concerned to permit a policy of rationing on a basis within the compass of the Board's funds, which were now obviously inadequate to keep pace with unemployment on this scale. A factor to be considered, also, was that in any major relief scheme such as was obviously necessary it was only right that local authorities should take their share of responsibility in the care of the unemployed in their districts. With these different factors in mind, the Unemployment Board evolved Scheme No. 5, under which, in conjunction with the local authorities, it undertook to provide relief work for all qualified unemployed male wage-earners. Work under the scheme commenced on the 9th February.

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Briefly, the sclieme provided for free labour on a rationed basis, the cost of materials, supervision, tools, transport, &c, to be provided by local bodies, and the Unemployment Board to be responsible for the wages of the men employed. Workers who had been resident in New Zealand for at least six months and who had been unemployed and registered as such at a bureau of the Labour Department or post-office for not less than fourteen days were eligible for work under the scheme, the work to be rationed as follows :— (a) Two days' work each week for a single man : (b) Three days' work each week, for a married man able to show that he was maintaining in New Zealand a wife or a wife and one dependent child under sixteen years of age : (c) Four days' work each week for a married man able to show that he was maintaining in New Zealand a wife and two or more dependent children under sixteen years of age : It was arranged that a widower with, one or more dependent children under sixteen years of age should be treated on the same basis as a married man. Important provisos incorporated in the rules intimated that work approved for the scheme must be exclusive of that already provided for on the current year's estimates or scheduled for the following vear's estimates, or work which had merely been left off the estimates in anticipation of an unemployment subsidy. Ordinary employees were not to be discharged so that advantage might be taken of the offer made under the scheme. This last proviso was made to ensure that ordinary employees of the local bodies would be retained on the usual work which would be done in any case. If no such restriction had been imposed by the Board, it is obvious that numbers of these employees would have been discharged and re-employed under the scheme. Local Unemployment Committees played an important part in the operation of Scheme No. 5, being requested to advise the Unemployment Commissioner periodically of the number of men employed, the estimated weekly wages to be paid, the number of men for whom employment could not be found, and also if the work offering was more than sufficient to accommodate the registered unemployed in their districts. In any places where no committees existed, the local body's Engineer or other officer was directed to engage the men from the nearest bureau and to furnish the necessary returns. The Board left the fixing of wage-rates entirely to the local bodies concerned, but suggested that men should continue to be employed under Scheme No. 5 at the rates previously ruling for the particular class of relief work in their districts, providing, however, that where any work carried out would in ordinary circumstances require to be done by skilled labour under award rates, then the Arbitration Court award rates for that class of work must be paid. Each local body paid the wages to the men and then claimed refund of wages weekly from the Unemployment Board, but such refund, was in no circumstances to exceed the rate current on Government relief works, which at that time was 14s. a day. In cases where the wages paid were in excess of this amount, such excess had to be borne by the local body. In claiming a refund of wages each local body prepared a voucher for the total weekly amount, and attached the wages-sheet showing the men's names and coupon-book numbers, with their receipts for wages paid. These documents were submitted to the Government Certifying Officer, who had to be satisfied that the men concerned were those authorized by him to obtain employment under the scheme and that all conditions of .the scheme had been complied with. If in order, the voucher could then be cashed at any money-order office. The initial amount allocated under this scheme was £150,000, and the scheme was to operate until the end of March. The response from local bodies was immediate, and by the end of February the great majority of the unemployed men were working two, three, or four days per week, according to their status. A further allocation of funds was necessitated, and the estimated total expenditure on wages to the 31st March, 1931, was £331,560. Such an excessive expenditure on a scheme which from the first was intended only as a palliative was occasioned by the continued increase in the numbers of registered unemployed. The rapidity with which the depression spread over the Dominion accentuated the unemployment problem to an amazing degree, while the introduction of Scheme No. 5 was itself an incentive to register. Too much emphasis cannot be laid on the fact that the introduction of this scheme was the first occasion in the history of New Zealand when an effort was made to provide some work for practically all genuinely unemployed male wage-earners. It must be recognized also that the provision of some measure of relief work on a large scale thus afforded an opportunity for employers to dispense with the services of employees whom they had previously retained in spite of the depression. It was inevitable that large numbers of men who had not previously worked for .wages, but who were now suffering from decreased returns from their farm, business, or profession, would register in an endeavour to take advantage of the scheme. Much extra work has been imposed on the Unemployment Board and Local Unemployment Committees in an endeavour to eliminate from the benefits of the scheme those persons who are not strictly unemployed wage-earners and therefore ineligible to register as unemployed. The tremendous drain on the Board's resources will be realized when it is stated that there were 17,000 registered unemployed at the date of commencement of Scheme No. 5, and that this number had risen to over 38,000 by the end of March —an increase of more than 100 per cent. The receipts from the levy, if distributed over twelve months, represent a weekly income of approximately £12,000, and this, if wholly expended, is subsidized by a like amount from the Consolidated Fund. There were approximately 25,000 men working under Scheme No. 5 during the last week of March, and the Board's weekly commitments under this scheme were then almost double its maximum income.

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Obviously, the position had become impossible of continuance. The funds at the disposal of the Board were inelastic, while, on the contrary, there appeared not only no prospect of a diminution of unemployment, but oven a continuance of ascending numbers. The only course open to the Board lay in the reduction of its expenditure to a figure in consonance with its income. The necessary action was taken subsequent to the 31st March, and is discussed* in the appended supplementary report. Some idea of the extent of the relief work provided through the medium of Scheme No. 5 may be gained from the following figures. An investigation of the refunds of wages made prior to the 31st March, 1931, has been made, and in order to obtain reliable figures on which to base calculations a representative sample of refunds made to twelve large local bodies was taken. Resultant data indicate that the average ration of work amounted to 2-62 days and cost approximately £1 16s. in wages. The average daily wage was just under 13s. 9d. Applying these figures to the estimated cost of the scheme to the 31st March—viz., £331,560 —it will be seen that some 184,300 rations of work were provided, representing an approximate total of 483,000 working-days. Subsidiary Relief Schemes. Apart from the operation of its major schemes, the Unemployment Board has granted assistance in respect of several minor but none the less important undertakings calculated to relieve unemployment. Native Trust Development Work. —One of the first operations of this nature considered by the Board was the offer of the Native Trustee to place a number of the unemployed on suitable developmental work available on various sheep-stations administered by the Native Trust Department. The class of work to be done consisted of clearing scrub from hilly country, afterwards cleaning up the land by fire, and sowing grass-seed. The Board made a grant of £5,000, subsequently increased to £5,500, to meet the cost of equipment and the establishment of camps and suitable transport in connection with this work, and arranged for a loan of £15,000 from the Unemployment Fund for a term of three years, with interest at the rate of 4 per cent., on condition that up to 500 unemployed, preferably single men, were engaged for a period of at least four months. The Aohanga Station, Pongaroa, and Motuweka Station, Porangahau, were selected for this purpose, some 6,000 acres of land requiring to be cleared on the former and 600 acres on the latter. An advance party pf men was recruited from the Labour Bureau in Wellington, and despatched with the necessary equipment on the 16th February, 1931, while the main party was sent forward during the following week. Men were drafted also from other bureaux in the Wellington and Wairarapa districts. The majority of the men were placed on the more extensive work at Aohanga, some five miles from the station homestead, which is fifty-six miles from the nearest railway-station. Initial difficulties were successfully overcome, and by the end of March some 250 men were at work on the Aohanga Station and a further thirty men at Motuweka Station. When these areas are cleared and stocked a considerable number of men will be provided with permanent employment. Assistance to Prospectors. —Early in February a grant of £2,000 was made to the Mines Department, to enable a maximum of 100 married men to be sent out prospecting for gold and other minerals on the lines of the ordinary arrangements for prospecting made by that Department, at the wage usually paid—viz., £1 19s. per week. Parties of from two to three men, under the supervision of an experienced prospector, were to be selected from suitable unemployed men and sent out during March and April. This provided productive work for experienced prospectors, miners, and others who would otherwise have been a charge on the Board's main relief schemes, and, in addition, there was the possibility of a valuable discovery being made, with consequent benefit to the whole community. Land Drainage. — Waitakaruru Scheme. —A good deal of land-drainage work has been done through the medium, of Scheme No. 5, but in general this class of work is not suitable for the employment of rationed labour, and when once commenced cannot be suspended without serious inconvenience and possible loss of the undoubted benefits accruing from the successful completion of such work. Scheme No. 5, by reason of the inability of the Unemployment Board to guarantee any definite period over which the scheme will operate, cannot, therefore, be availed of to any extent by local authorities wishing to undertake land-drainage work on a fairly large scale. Several Drainage Boards have, however, applied to the Board for assistance to enable them to absorb numbers of the unemployed, and, recognizing the value of such work, the Board has offered to consider granting subsidies not exceeding one-third of the total labour-cost of the work. One of the first applications for assistance of this nature was received from the Hauraki Plains County Council, which submitted proposals concerning a large undertaking known as the Waitakaruru drainage scheme. The Unemployment Board obtained approval for the granting of a subsidy of £3,000 on an estimated total cost of £12,000, provided the maximum number of men was employed and the work was rationed, if possible; the work to be carried out under the supervision of the Chief Drainage Engineer of the Lands and Survey Department. Subsequent advice was received that the work was unsuitable for rationing, as the day labour involved by this procedure would unduly increase the cost. The Board therefore advised that rationing need not be insisted on, but in that case its subsidy could not exceed one-third of the actual cost of labour. Auckland Waterfront Road. —In November, 1930, the Auckland City Council made application to the Local Government Loans Board for sanction to raise a loan of £29,250 for the construction of a road on the waterfront for the relief of unemployment. The estimated cost of this work was £44,838, and in framing its proposals the Council made allowance for an estimated subsidy of £15,588, being the balance of total cost over the loan for which authority was sought. The Loans Board deferred its consideration until the matter of the subsidy was finalized, and in view of the inability of the Government to grant a subsidy from the special amount set aside for that purpose, for reasons mentioned earlier in this report, application for a subsidy was made to the Unemployment Board. After consideration, the Board recommended that this work be subsidized on a pound-for-pound basis on

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wages only, up to the sum of £15,588, on condition that two gangs of 100 men each be employed in relays, giving two weeks work alternately to each gang. As far as practicable, the men were to be engaged through the Labour Department's bureau. Approval of the granting of a subsidy on these conditions was obtained early in February. Loan to Kauri-gum Control .Board—Towards the end of 1930 the Kauri-gum. Control Board made application to the Unemployment Board for financial assistance by way of a loan to enable the kauri-gum industry to be carried over the period of depression, and to obviate the spread of unemployment on the gum-fields. The Kauri-gum Control Board assists this industry by arranging a market for the gum and also by making advances to gum-diggers during difficult periods. Ordinarily its revenue is derived from an export levy of f per cent, and a commission on sales of gum, but the prevailing slackness of the market had resulted in a material reduction in the finances at the disposal of the Board. After full consideration the Unemployment Board decided to grant assistance in the form of a loan of £650, such loan to be repayable within six months (with a possible extension to eighteen months) from the date of the advance. Grants to Earthquake Area.— The disastrous earthquake in Hawke's Bay on the 3rd February, prevented local bodies in the stricken area from immediately operating under Scheme No. 5, besides creating a great deal of further unemployment. The Unemployment Board therefore made grants totalling £11,000 to enable an early start to be made at Napier, Hastings, and Wairoa in the clearing of debris. Scheme No. 5 also came into operation as soon as the various local authorities were able to resume functioning. _ It is hoped that when the rehabilitation of the earthquake area is commenced the unemployment position so far as skilled tradesmen are concerned will be materially relieved, provided arrangements can be made for satisfactory rebuilding operations. Sustenance. The measures of temporary relief provided under the Board's first three emergency schemes were •realized to be totally inadequate to meet the situation which was rapidly developing. The unprecedented fall in export prices has been discussed earlier in this report. Apart from the general reaction throughout the community, the effect upon the primary industries was immediate. At a period when these industries are at the height of seasonal activity, and when normally work is to be found easily and in plenty in the country, farmers were not absorbing the usual number of casual workers, and in many cases were discharging permanent hands. This supplied eloquent indications of what might be expected when the seasonal occupations were over and the winter season arrived. _ In the face of such a situation the Unemployment Board deemed it wise, in case the necessity of paying sustenance was forced upon it, to be prepared to do so. The Board was unanimous in the determination to find work, if at all possible, but saw that circumstances might arise in which the payment of sustenance in some cases might be required. Towards the end of January rules and regulations, with the necessary forms and instructions, were therefore prepared and distributed to certifying officers. So far, however, the payment of sustenance has not been resorted to, and it is the earnest desire of the Board that it may be avoided. Committees of the Board. With a view to exploring every possibility of reduction of unemployment by means of the rehabilitation of industry, the Board, on the 24th January, 1931, appointed from its members three committees, viz. :— No. 1 (Messrs. Small, Finn, and Leadley) : To consider avenues for the promotion of employment in primary industries. No. 2 (Messrs. Hutchinson and Mcßrine) : To consider avenues for the promotion of employment in secondary industries. No. 3 (Hon. S. G. Smith, Messrs. Bromley and Burdekin) : To consider economic and finance matters relating to unemployment. These committees have devoted earnest consideration to a very large number of matters of wide range arising out of the administration of the Act and the operations sponsored by the Board. The various suggestions and schemes submitted by individuals, organizations, and public bodies, as mentioned earlier in this report, were distributed amongst the three committees and were carefully considered and investigated. In many cases reports were obtained from experts in- Government Departments as to the practicability of the schemes. As a result of their deliberations the committees have brought down numerous reports and recommendations for the consideration of the Board as a whole. The Primary Industries Committee in its investigations has rendered invaluable service in connection with the inauguration and administration of schemes for placing unemployed men on farms, &c. The Board approved this committee's programme for the future, indicating its intention to submit further schemes for the absorption of unemployed men in productive work on the following lines : — (1) Clearing, subdivision, and development of Crown lands. (2) Rehabilitation of abandoned soldier settlers' farms. (3) Drainage of settlements with a view to increasing productivity. (4) Clearing of noxious weeds from lands suitable for settlement. (5) To encourage and foster the pig industry in New Zealand. (6) Reclamation of lands suitable for afforestation. (7) Vigorous propaganda amongst farmers with a view to increasing production, such as growing of root crops and grain for the feeding of cattle, sheep, and pigs.

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The Secondary Industries Committee has considered a large amount of data and a number of reports in connection with existing and projected industries. Several of its recommendations have been received and adopted by the Board, and a brief resume of these is given in a subsequent section dealing with the question of employment in the secondary industries. This committee at the end of March was occupied in considering many different matters, the subject of which forms the basis of later recommendations. The Economic and Finance Committee has deliberated on many important matters dealing with the financing of the Board's various schemes, and has given a great deal of thought to the question of conserving the Fund so that the greatest benefit to the unemployed will be derived therefrom. A large number of applications for financial assistance has been investigated. Influx of Unemployed from Abroad. A matter which caused the Board some concern early in 1931 was the danger of the influx of unemployed men from other countries. A request was accordingly made to the Government to give urgent consideration to the question of restricting the immigration of unemployed from Australia and elsewhere, and largely as a result of these representations the Immigration Restriction Amendment Act was placed on the statute-book during the special emergency session of Parliament. Receipts and Payments. The following statement shows the receipts to and payments from the Unemployment Fund as at the 31st March, 1931 :— UNEMPLOYMENT FUND. Statement of Receipts and Payments fob Pebiod 11th October, 1930, to 31st March, 1931. Payments. Receipts. By Fees and travelling-expenses £ s. d. £ s. d. To Levies paid to Public Account by £ s. d. i under section 16— Post Office .. .. 229,000 00 [ Fees to members .. 1,348 4 0 Subsidy from Consolidated Fund 159,246 11 3 Travelling-expenses.. 582 9 2 Donations .. .. .. 10 0 1,930 13 2 Interest on investments .. 8 16 9 Grants under section 18— Scheme No. 1 .. 24,198 5 7 Scheme No. 2 .. 30,155 8 4 Scheme No. 3 .. 8,788 11 6 Scheme No. 4a .. 1,056 8 11 Scheme No. 5 .. 241,618 2 0 Earthquake relief — Hastings .. .. 1,311 0 0 Napier .. .. 836 16 3 Miscellaneous special grants .. .. 205 13 4 Grant to Native Trustee 5,000 0 0 Accident compensation under Scheme No. 2 38 18 8 313,209 4 7 Administration expenses — Advertising .. .. .14 8 0 Miscellaneous.. .. 0 15 0 Office equipment .. 8 6 4 Overtime and tea-money 37 6 6 Postages and telegrams 393 17 2 . Printing and stationery 2,264 5 2 Salaries .. .. 1,282 9 10 4,001 8 0 Balance .. .. .. .. 69,115 2 3 £388,256 8 0 £388,256 8 0 Note. —The sum of £47,774 10s., held by the Post Office, received before the close of the financial year but not paid to Public Account until after 31st March, 1931, has not been included in the receipts. sth August, 1931. Malcolm Fbaser, Commissioner of Unemployment. I hereby certify that the Statement of Receipts and Payments has been duly examined and compared with the relative books and documents submitted for audit, and correctly states the position as disclosed thereby, subject to the above departmental note. —G. F. C. Campbell, Controller and Auditor-General. 3. SUPPLEMENTARY REPORT FOR THE PERIOD SUBSEQUENT TO 31st MARCH, 1931. The Unemployment Board's report has so far been confined to its activities up to the end of the 1930-31 financial year. In view of subsequent developments leading up to the passing of the Unemployment Amendment Act, 1931, under which the Board, as appointed by the principal Act, is abolished as from the 31st July, 1931, it is deemed advisable to provide a complementary account bringing the report up to date.

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This supplementary portion is presented under two main headings, the first of which deals with the serious position that has arisen through the rapid depletion of the finances available for unemployment relief and the steps taken to meet the position, particularly as regards the operation of Scheme No. 5. Under the second heading the Board avails itself of the opportunity to review what has been done in the direction of reducing unemployment in the primary and secondary industries, together with a brief reference to miscellaneous items of the Board's activities since the end of March. Reduction in Rate of Expenditure under Scheme No. 5. It has already been shown that the expenditure by way of refund of wages paid to relief workers under Scheme No. 5 had assumed such proportions that a continuance of the scheme on the existing scale was quite impossible. Apart from the various specialized schemes for providing certain classes of useful work for a section of the unemployed, Scheme No. 5 had developed into the mainstay of the Board's efforts to alleviate unemployment. On the 31st March, 1931, the Chairman of the Unemployment Board issued for publication an important statement on the Board's financial position, and indicated that the Board had been obliged to consider by what means its expenditure might be reduced. Reduction of Wage-rates on Government Relief Works. —Reference may be made here to the action of the Government in reducing, on and from Ist April, 1931, the rates of wages paid on Government relief works. These rates were reduced from 14s. per day for all men to 12s. 6d. per clay for married men and 9s. per day for single men, in each case for a working-day of eight hours, or to Is. 6|d. and Is. ljd. per hour respectively on an hourly basis. In accordance with its stated, policy of not exceeding Government relief rates in connection with the subsidy on wages paid under its schemes, the Unemployment Board issued instructions that the reduced rates would operate from the Ist April under Scheme No. 5 so far as refund of wages was concerned. This relieved the strain on the Board's funds to a certain extent, but was not by any means sufficient to bring the expenditure within the confines of the Board's income. Temporary Cessation of Scheme No. 5. —Steps were taken, therefore, to effect a drastic curtailment of the relief formerly provided, and this curtailment, in the first place, took the form of a complete cessation of Scheme No. 5 for two weeks after the 11th April. So that the unemployed workers themselves should not suffer unduly, the Board appealed to all local governing authorities to employ as many as possible of these men until the scheme resumed on the 27th April. It is pleasing to record that many local bodies responded to this appeal. Reclassification of Unemployed. —Reference has already been made to the institution of an amended system of registration of the unemployed. This was made to coincide with the suspension of Scheme No. 5, thus giving Employment Bureau officers an opportunity to put their registers on a satisfactory working-basis. In co-operation with the Labour Department, the Board issued confidential inquiry sheets to all bureaux, with instructions that each applicant for relief would be require'd to complete one of these forms. Inquiry officers attached to bureaux in the larger centres were authorized to make personal investigations into the circumstances of all applicants, particularly those whose eligibility for relief was doubtful. With the information obtained by means of the inquiry sheets, Certifying Officers and local committees were enabled in most cases to decide the eligibility of applicants for relief before the resumption of the scheme. In the larger centres, -where it was not possible to investigate all cases prior to resumption, men whose circumstances had not been investigated were allowed to commence work pending their cases being finalized, and the investigation was carried on until completed. The amended rules of Scheme No. 5 had been approved and circulated to all Certifying Officers, local committees, and local bodies prior to the 11th April, and it was expected that the amendments incorporated would result in a decided falling-of£ in the Board's expenditure. Reduction in Rationing Scale. —The essential points on which the amended rules differed from those previously in force are as follows : — (1) A further rationing of relief by the provision of work on two, three, or four days per week for three weeks only out of every four successive weeks ; also a reduction from four to three days' work per week in the case of married men and widowers with two dependent children. (2) The elimination from participation in the benefits provided by the scheme of all men who were not genuinely unemployed workers and who had not previously worked for wages when employment was available. (3) A similar elimination of all those who were considered, by reason of the possession of money or other resources, not to be urgently in need of relief. (4) The adoption of the principle, " No levy, no relief," providing that payment of the March instalment of the levy must be effected by all men before being eligible to resume relief work on the 27th April. (5) A much stricter supervision over the expenditure by local bodies of wages which were to be refunded by the Board. With the curtailment and further rationing of relief under the amended rules the Board came in for a certain amount of criticism, particularly regarding the exclusion of unemployed men possessing sufficient means to enable them to subsist for a time without having recourse to relief work. The Board had no desire to place at any disadvantage the worker who had practised thrift in the past, or the man who possessed a small pension or other private means, but the Unemployment Fund at this time was subjected to such demands that the Board, was perforce obliged to provide relief to the most necessitous cases amongst unemployed wage-earners, particularly those with no resources other than relief work, with the object of making its funds last for as long a period as possible.

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Work involved in amending Rules of Scheme. —During the fortnight's cessation the Board did not meet, but individual members devoted at least three days of each week to co-operating with the local committees in their own districts, particularly in regard to assisting in the elimination of those applicants not eligible for relief under the Board's schemes. Up to this time, local committees and Certifying Officers had done excellent work in arranging employment for the ever-increasing numbers of registered unemployed. With the tightening-up of the rules, and particularly the introduction of the new registration system, a very large amount of extra work was thrown on officers of the Labour Department and Post Office, particularly in the more important centres. While the various local committees responded excellently to the extra demands made on them, it was the Employment Bureaux officers, who are also Certifying Officers under the Board's schemes, who were required to re-register and investigate the claims of nearly forty thousand men. Other committee members did valuable work, but the Certifying Officers, being the representatives of the Board on their respective committees, have the additional responsibility of exercising a close supervision over the expenditure of the Unemployment Board's funds. The Board wishes to acknowledge and express its deep appreciation of the manner in which these officers have carried out their duties in handling such a large number of men and at the same time complying with the requirements of the Board. The excellent manner in which these duties have been performed is perhaps best illustrated by the fact that there has been a surprising lack of complaint from the unemployed themselves. No doubt the continual filling-in of forms and complying with rules and regulations became very irksome to the men concerned, but the work was done tactfully and with all possible despatch. No little credit for this is due to the men, who appear to have realized that in assisting the Board to place its schemes on a basis compatible with its available funds they were helping themselves and conserving the Unemployment Fund so that the greatest benefit would be conferred on the greatest number eligible for relief and genuinely in need of it. Any trouble at this or any other time would have seriously hampered the Board's activities. The absence of any such trouble or delay in the operation of its schemes has therefore been a very pleasing feature of the Board's activities during the strenuous time of the last few months. Many requests for guidance in determining eligibility for relief under the amended rules were made by local committees and Certifying Officers, and some of the unemployed themselves sought rulings on their treatment under these rules. Gradually, however, the fact that the Board was doing its very best under difficult circumstances became generally realized. An indication of the volume of correspondence dealt with after the Ist April may be gained from the fact that the charges for postage and telegrams since that date have exceeded £600, as compared with approximately £400 for the four preceding months. At times the inward and outward mail, including letters, telegrams, circulars, &c, averaged over one thousand per day. Many thousands of vouchers for payment of subsidies and refund of wages have been dealt with during the last six months, and a considerable staff is engaged on this portion of the work alone. Criticism of Work done through Scheme —Some criticism has been levelled at the Board concerning the so-called restrictions imposed on the class of work it has authorized to be done through Scheme No. sby local bodies. It is claimed in many quarters that the work which has so far been done is useless and uneconomic, and therefore a waste of public moneys, apart from the fact that the provision of such work has put some money into the pockets of the unemployed. Work not scheduled for this or next year may not be of immediate economic value, but that does not mean it is necessarily useless. If local bodies have exercised a wise discretion in the selection of relief work, such work will be of material value in the future, and. the results will undoubtedly be reflected in reduced expenditure by the local bodies in later years, thus benefiting the ratepayers and citizens generally. Had local bodies been able to carry out maintenance and other ordinary work at the cost of the Unemployment Board, the local bodies could have discharged their permanent employees and the Board would have been accepting practically the full responsibility for all localbody work in the Dominion, and would not have found the extra work required for the legitimate unemployed. That the work carried out by local bodies under Scheme No. 5 has been appreciated is seen by the following letter received from the President (Mr. Thomas Jackson) of the Municipal Association of New Zealand : — " I would like to express my own and the executive's appreciation of the work your Board has done in evolving the various schemes for the relief of unemployment. " I would particularly stress the importance to local bodies generally of your Board's No. 5 Scheme, which I consider to have been the most efficient scheme which has so far been evolved, in so far as it enabled local bodies to place large numbers of unemployed people at work on useful and permanent works within easy reach of their own homes. " I realize that your Board has been confronted with numerous difficulties. The urgency of the necessity for giving relief made it imperative that such schemes as were evolved should be brought into existence with as little delay as possible, and I consider that the rapidity with which your various schemes have been brought into operation reflects the greatest credit upon your Board, and that the operation of the schemes have conferred great benefits upon the various local authorities in addition to the relief and assistance they have afforded to the unemployed workers." Check on Expenditure. —Work on Scheme No. 5 was resumed on the 27th April, 1931, and the Board reassembled on the following day. Under the amended rules Certifying Officers were required to send in their estimates of men to be employed and wages to be paid by the local bodies two weeks in advance. So close a check on the weekly expenditure was required that they were instructed that

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on no account could expenditure be incurred for the week for which their estimates were made until such estimate had been approved by the Board. Only in special circumstances, and with the sanction of the Board, would commitments in excess of their estimates be approved. This procedure gave the Board the necessary check on the weekly expenditure, and enabled it to observe the effect which the amended scheme had on such weekly expenditure compared with earlier figures. For the two weeks ended 9th May the estimated weekly wages bill was nearly £50,000, and in approving an allocation of this sum for the latter week the Minister of Finance pointed out that if this was an indication of the weekly expenditure, even making allowance for the fourth week in which no work would be carried on, further rationing would have to be provided for. As it was thought that actual expenditure would be less than the estimates, and in order to give the Board time to review the position under the amended rules for a four-weekly period, a trial for this period was requested and agreed to by the Minister of Finance. Towards the end of May the Board was in a position to review the operation of Scheme No. 5 under the amended rules. The total expenditure for the four weeks following the resumption of the scheme on the 27th April was found to be little short of £140,000, representing a weekly expenditure of £35,000, in spite of the restriction of relief to three weeks out of four. These figures are exclusive of expenditure incurred in the other operations of the Board, notably Schemes 4a and 4b. Registrations since Ist April and Numbers working under Scheme. —As an indication of the actual position with which the Board was faced, the following figures of the weekly registrations made at the various bureaux throughout the Dominion, together with the numbers working under the Board's schemes in those weeks since the Ist April, are illuminative : —

Exhaustion of Funds. —On the 9th June the Board received a memorandum from the Minister of Finance approving an expenditure of £48,000 only under Scheme No. 5 for the week ending 20th June, 1931, at the same time advising that this rate of expenditure out of the Unemployment Fund could not be maintained, and requesting further restrictions in the relief afforded under this scheme. The Board, after a very careful survey of the position, carried the following resolution, and asked the Prime Minister for an opportunity to discuss the position which had arisen : — " That in view of the fact that the moneys provided for the Unemployment Fund, including the amount receivable for the levy due Ist June, will at the present rate of expenditure be exhausted by the end of next week (20th June), leaving no provision whatever for balance of the month of June and the months of July and August, and in consideration of the financial position as set out by the Secretary to the Treasury, the Unemployment Board is faced with no other alternative than to advise the Minister of Finance that unless and until further funds can be made available to the Board the operation of Scheme 5 must be suspended on and after the week ending 20th June, 1931, which date completes the second four-weekly period of the operation of Scheme 5 under the amended rules since its previous suspension for two weeks." In addition to the above resolution, it was pointed out that there were certain amounts for which definite commitments had been made under other schemes which had not been brought to charge, and it was not proposed by the Board to interfere with these commitments. On the 10th June Cabinet decided that Scheme No. 5 be suspended on the 20th June, 1931, but subsequently reversed that decision as a result of urgent representations made from all parts of the country and by all sections of the community. Since the end of the third week in June approval to

16

Number of Men Number of Men Week ended registered as employed under v\ eeK enaea unemployed at End Schemes 2 and 5 of Week. during Week. I 1931. April 6th .. .. .. 37,598 26,037 „ 13th .. .. .. 37,558 25,767 „ 20th .. .. .. 38,336 1,284* „ 27th .. .. .. 36,981 6,403* May 4th .. .. .. 36,921 23,950 „ 11th .. .. .. 38,052 27,626t „ 18th '.. .. .. 39,553 28,760 „ 25th .. .. .. 40,507 24,329 June 1st .. .. .. 42,523 30,425 „ 8th .. .. .. 43,4-53 31,961 „ 15th .. .. .. 44,482 32,851 „ 22nd .. .. .. 44,521 28,091 „ 29th .. .. .. 45,264 34,049 July 6th .. .. .. 46,359 34,396 ., 13th .. .. .. 47.203 33,557 , 20th .. .. .. 47,538 29,994 „ 27th .. .. .. 47,772 35,135 * Includes men employed by local bodies on relief work during temporary suspension of Scheme 5. ■f Scheme 5 only from this date.

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commitments representing an expenditure not exceeding £50,000 per week has been notified by the Minister of Finance for the operation of Scheme No. 5. It has been necessary to allocate this sum as equitably as possible week by week to Certifying Officers, with instructions that overexponditure of allocations could on no account be allowed without authority from the Board. This curtailment of expenditure has meant the granting of relief to the most necessitous unemployed first, and during the last few weeks numbers of men have been unable to obtain relief. The Unemployment Amendment Act, which came into force on the 22nd July, 1931, makes provision for additional funds for unemployment relief. Employment in Primary Industries. In spite of financial difficulties, the Board has been able to continue its subsidies under Scheme No. 4 (sections A and B), and the members of the Primary Industries Committee —Messrs. Small, Finn, and Leadley—devoted a great deal of time and. thought to the operation of these and other schemes for placing men in useful productive work on the land. Amendment of Rules of Schemes 4a and 4b. —As the provisions of these schemes became better known, an increasing number of applications for subsidized labour were received. In order to bring the eligibility for relief of workers engaged under these schemes into line with that notified for Scheme 5, similar amended rules were issued, and committees and Certifying Officers were required to exercise the same care in determining the eligibility of men engaged for work on farms. At the same time, it was notified that in future no commitments were to be .made under Scheme 4a until approval of the amount involved had been received, from the Unemployment Board. These schemes were thus brought under adequate control so far as expenditure was concerned. Scheme 4k : Reduction of Expenditure and Limitation of Employment. —Towards the end of May the expenditure on subsidies under Scheme 4a had assumed considerable proportions. The original rules allowed the engagement of workers for periods up to six months, but with the approach of spring, when farming activities will increase and extra labour be engaged in any case, it was considered that engagements should be for a shorter period. Consequently, instructions were sent out that any further engagements entered into under the scheme should not extend beyond the 31st August, 1931. The demands on the Board's funds also necessitated a reduction in the amount of subsidy, so that on and after the Ist June the subsidy payable by the Board in respect of all new contracts or extensions of contracts was limited to 10s. per week for single men and £1 per week for married men. Work for Youths under Twenty Years of Age. —The only direction in which the eligibility of workers under Schemes 4a and 4b differed from that laid down for Scheme 5 was in the provision of work for youths of eighteen and nineteen years. Some time previously the Board recognized that such youths were worthy of consideration, and it was decided that although they were outside the provisions of the Act they could be employed on farms through these schemes if in the opinion of the local committees they were genuinely unemployed and in necessitous circumstances. Value of Productive Work. —Apart from the benefit to many of the unemployed through being placed in varying periods of continuous employment on farms instead of obtaining rationed work in or near the towns, the value of these schemes to the farmers can hardly be overestimated. The Board's subsidy has enabled hundreds of farmers to take on additional labour during the winter months, and thus complete a great deal of reproductive work which in most cases they could not afford to have done at their own expense. During the approaching production season the benefit of this work should be apparent. Statistics of Schemes 4a and 4b. —Statistics of the Board's commitments and of the numbers of men placed in connection with Schemes 4a and 4b are appended. The actual expenditure to date in subsidies cannot at present be accurately stated, but commitments entered into since the inception of the schemes are quoted. Scheme No. 4a. Commitments. Number of men placed in employment to 31st July, 1931 — £ Single men ...".. .. .. .. 6,022 53,614 Married men .. .. .. .. ..1,719 26,763 Totals .. .. .. .. .. 7,741 £80,377 Number of men actually in employment at 31st July, 1931— Single men — At subsidy of 15s. per week .. .. .. .. 2,214 At subsidv of 10s. per week .. .. .. .. 2,252 4,466 Married men — At subsidy of £1 ss. per week .. .. .. 608 At subsidy of £1 per week .. .. .. .. 517 1,125 5,591

3—H. 35.

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Scheme No. 4b. Number of contracts approved up to the 31st July, 1931, less those subsequently cancelled .. .. .. .. .. .. 400 Number of men for whom employment provided by these contracts .. 1,004 Average number of men per contract .. .. .. .. 2-51 Cost of subsidies approved .. .. .. .. .. .. £10,488 Some idea of the extent and usefulness of the work being done may be obtained from the following figures, compiled from particulars of contracts entered into under Scheme 4b since the scheme commenced operation : — Acres. Acres. Scrub-cutting .. .. .. 7,930 Top-dressing .. .. .. 300 Buahfelling .. .. .. 6,882 ChainsStumping, grubbing, &c. .. .. 1,792 Fencing .. .. .. .. 7,102 Sowing .. .. .. .. 645 Draining .. .. .. 6,120 Ploughing and harrowing .. .. 368 Eoading .. .. .. .. 360 Splitting posts, battens, and strainers .. 3,850 posts and strainers, 33,000 battens. Of the 400 subsidies approved, in 322 cases, or 80-5 per cent, of the total, the projected developmental work is estimated to make provision for the carrying of additional stock as follows : Sheep, 26,494 ; cattle, 5,012 ; pigs, 40. Native Trust Development Work. —The Native Trustee has advised the Board that 471 men have been enrolled on the work at Aohanga and Motuweka Stations, and that these are sufficient to complete the available work by the end of July, when the funds provided by the Board would bo exhausted. Although the total area of 6,600 acres was expected to be cleared by this date, the Native Trust Office was prepared to retain the men on other work until the 31st August, thus delaying their return to Wellington and other towns, providing additional funds are forthcoming. In response to this offer, the Board has suggested that the men be retained for the month of August under the conditions obtaining for Scheme 4a —viz., subsidies of 10s. per week for single men and £1 per week for married men, the Native Trust Department to provide accommodation and food. Prospecting. —Towards the end of April the Under-Secretary for Mines advised the Board that some thirty parties, containing ninety-one married men, had been sent out prospecting under the grant of £2,000 made by the Board for that purpose, and that the grant was expended. Developmental Work for Natives. —A matter which has recently occupied the attention of the Board is the difficulty of providing relief for unemployed Natives through the medium of its various schemes. Natives have continued to apply to the Board in considerable numbers for permission to become contributors to the fund, and the total number of applications approved to date is 4,219. It is not known how many of these are registered as unemployed, but the number is thought to be large. On the 30th April the Board recommended to the Minister of Finance that a grant of £10,000 from the Unemployment Fund be made to the Native Department to supplement that Department's funds for the relief of unemployed Natives. Approval to this grant was notified on the 13th May, and a special representative of the Native Department was appointed to deal with the general question of unemployed Natives. The effect of this arrangement is that many Natives have been employed on useful developmental work in their own districts, and have not therefore been employed under the Board's main schemes. In particular, the Rotorua, Te Puke, and Whakatane districts have been relieved of the necessity for employing nearly two hundred men under Scheme No. 5, while arrangements are in hand to relieve other localities where unemployment amongst Natives is acute. The Hon. Sir A. T. Ngata, Minister of Native Affairs, in a memorandum dated the Bth July, 1931, advised the Chairman of the Board that employment had been provided through the Native development schemes, and also through European farmers. An extract from this memorandum summarizes the position to that date, as follows : — " Briefly, the subsidies on contracts finally allocated to date amount to £8,683 3s. 4d. (inclusive of labour loans totalling £441 10s.) on an estimated labour cost to Native development schemes, Maori Land Boards, Native Trustee, and private employers of £27,767, providing employment for 970 men. While the average rate of subsidy is lower than under your Board's Scheme 4b, I have in the allocation followed no hard-and-fast rule, but endeavoured to meet the circumstances in each district both of the farmers and organizations offering employment and of the Maori communities. The rate of subsidy is a little under £9 a head per man employed, and most of the contracts are estimated to tide the majority of the men and their families or dependants over the winter. The low cost to your Board has been made possible by the finance available to Native development schemes ; by the low rate for bushfelling, scrub-cutting, fencing, and other operations ; by the fact that all equipment is otherwise provided for ; and, above all, by the recognition on the part of the Maori communities of the opportunity offered in the present depression of bringing their lands into production at a cost relative to the visible returns from farming. " Pending applications for assistance will absorb the balance of the grant, when I expect that the total number employed will reach 1,100. This does not include the normal workers on the various development schemes. " To enable me to deal with Maori unemployment in other districts, especially North Auckland and Aotea districts, I estimate that a further sum of £8,000 is required. As this will have to be used chiefly to subsidize private employers, I anticipate that the rate will be higher than the average up to date."

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The contracts quoted above provide for work to the following extent : — Acres. Chains. Scrub-cutting .. .. 18,467 Fencing .. .. .. 3,665 Bushfelling .. .. .. 5,809 Draining .. .. .. 823 Stumping, grubbing, &c. .. 5,119 Eoading .. .. .. 402 Ploughing and harrowing . . 2,450 Cords. Top-dressing .. .. 300 Firewood-cutting .. .. 100 Sacks. Plucking maize .. .. 500 Splitting posts, battens, and strainers .. 41,300 posts and strainers, 67,000 battens. Scheme 4 (c). — That the Board is persevering in its endeavour to place men in permanent productive work is shown by the fact that, on the 30th April an official announcement was made of the inauguration of the third section (c) of Scheme 4. This new section has for its object the rehabilitation and settlement of abandoned farms, of which there were estimated to be four hundred in the various parts of the Dominion. Under Scheme 4 (c) the men to occupy these farms must be taken from the unemployed ranks, and the farms are_ to be written down to present-day values. They are to be rent-free for from two to five years, and the occupiers may obtain advances for necessary preliminary work and for the purchase of stock. Gangs of unemployed men are to be sent to each of the selected farms, where they will work under the supervision of the future occupier. Wages of £1 per week and allowances of 15s. per week for board will be paid by the Unemployment Board, such payment to be arranged in a similar manner to that of Scheme 4a. One-half of this expenditure will be paid to the Unemployment Board by the Lands Development Board, and such amount will be a charge on the property and be secured by a mortgage over same. Farms suitable for rehabilitation will be selected from time to time by the Unemployment Board in conjunction with the Minister of Lands, and the selected farms will be advertised by the Lands and Survey Department. Summary. —The foregoing indicates what has been done and is still being done to absorb unemployed men in the primary industries. Briefly summarizing the position, the Unemployment Board has expended and been committed to a total sum of £107,049 to provide 10,277 men with work in the direction of increasing the Dominion's primary production and thus hastening a return to prosperity. Detailed figures are appended : —

It should be emphasized that a considerable amount of reproductive work in the country was also done through the medium of Scheme No. 2. A summary of the various classes of work completed and to be put in hand through contracts subsidized under Scheme 4b and through the grant made for employment of Natives is appended : — Acres. Sacks. Scrub-cutting .. 26,397 Plucking maize .. .. 500 Bushfelling .. .. ..12,691 Chains. Stumping, grubbing, &c. .. 6,911 Fencing—Erection of .. .. 10,767 Ploughing and harrowing .. 2,818 Draining .. .. .. 6,943 Sowing .. .. .. 645 Eoading .. .. .. 762 Top-dressing .. .. 600 Corda. Firewood-cutting .. .. 100 Splitting posts, &c, for fencing .. 45,150 posts and strainers, 100,000 battens. Reproductive Work on Scheme No. s. —Although Scheme No. 5 can be taken advantage of by local bodies only, a good deal of reproductive work has been done through this scheme—Work which is calculated to benefit the primary industries, either directly or indirectly. It is impossible at this juncture to state the extent of this class of work or the numbers of men employed thereon, but the following details are of interest.

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Scheme. Cost to Board. Numb f of , Men employed. £ 4a .. .. ... .. 80,377 7,741 4b .. .. .. .. .. .. 10,488 1,004 Native Trust (Aohanga, &c.) .. .. .. 5,500* 471 Native developmental work ., .. .. 8,684 970 Prospecting .. .. .. .. .. 2,000 91 Totals .. .. .. .. 107,049 10,277 * Exclusive of £15,000 loan. *

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Number of Local Bodies doing Reproductive Work under Scheme No. 5.

Waimakariri River Trust Afforestation. —In this connection the special tree-planting scheme put into operation by the Waimakariri River Trust deserves particular mention. Representations made through the medium of the Christchurch Local Unemployment Committee resulted in the Board recommending a variation of Scheme No. 5 whereby married men eligible for three days' work per week could be employed by the River Trust for six days continuously, after which they would stand down during the subsequent week, when an alternate gang of men would be employed on the same conditions. In view of the special circumstances and the fact that the men would be engaged on reproductive labour, the proposal for the employment of two hundred men for a period of two months was approved by the Minister of Finance. Towards the end of June, 1931, the River Trust started to plant 450 acres of waste land on its reserves with Pinus radiata. Two separate camps were established, some sixteen and twenty-six miles respectively from Christchurch, and two gangs of fifty married men each were transported to the camps. These men returned to their homes at the end of the first week, and on the following Monday the next two gangs were taken out to the camps. The River Trust engaged the services of cooks and supplied all meals, while the men provided their own blankets and eating and drinking utensils. After this scheme had been carried on for three weeks the success of its operation, and particularly the appreciation expressed by the relief workers at the treatment accorded them, led the River Trust to consider an extension of the scheme. The main difficulty was to obtain the necessary trees, as the Trust had already expended its available funds on this and other relief works. The planting-season was well advanced and time was also an important factor. A request was therefore made to the State Forest Service for some assistance in furthering this project, with the result that 750,000 seedling trees were generously donated. A cash donation from the Christchurch Returned Soldiers' Association, on condition that a certain proportion of unemployed returned soldiers would be put on this work, enabled the trust to purchase 250,000 trees from private nurseries. The planting of a further area of 1,500 acres was thus ensured, and approval was obtained to the employment of a further three hundred men in alternate gangs on similar conditions. A start was made at the end of July to establish additional camp accommodation, certain facilities being provided by the Defence and Forestry Departments. As a result of this special scheme the unemployment position in Christchurch has been materially relieved during the winter months, and the value of the afforestation work is evident. Under the initial scheme two hundred men will have planted 225,000 trees by the 22nd August, 1931, and under the extended scheme three hundred men will plant one million trees by the 26th September, 1931. The total area cleared, burnt, and planted will amount to 1,950 acres, and a pleasing feature of the arrangement is that all married men are employed without being absent from their homes for more than a period of six days. Land Drainage. —Reference is made in the main portion of this report to land-drainage work put in hand under Scheme No. 5. Specific instances of certain drainage-work undertaken by local bodies are quoted as likely to be of particular interest. Ashburton County : Drainage of Isleworth Settlement. —An area of 1,425 acres, containing fourteen miles of drains, is being attended to, the work consisting of cleaning, widening, and deepening existing drains. Main drains are being widened to 6 ft. and deepened from 4 ft. to 6 ft. ; other drains range from 4. ft. to 5 ft. wide and from 3 ft. to 5 ft. deep. Up to the 31st July some three miles of drains had already been cleared, &c, and an average of seventy three-day men were being employed. The expenditure on wages to this date was £631. It is anticipated that the present settlers, most of whom are returned soldiers, will be greatly benefited by the completion of this work, and that the land, which is waterlogged for a great portion of the year, will be improved to such an extent that it will compare favourably with any in the South Island for dairying purposes. Manawatu Drainage Board. —This local body has control over an area comprising some 100 square miles of rich alluvial land adjacent to Palmerston North. Much of this area was originally swamp land, under water for a considerable portion of the year. The ratepayers who provide the Drainage Board's funds are all farmers, and since the heavy fall in prices of primary products have been unable

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! ri x- City and River and «,, T , Nature of Worl, Borough Drainage O^L^l! To , aJs . Councils. Boards. ■ j Land-drainage .. .. 26 2 27 3 58 Road access for settlers, &c. .... 26 2 29 Afforestation .. .. .. .. 8 7 1 6 22 River and sea protective work .... 5 6 2 17 General land-improvement .. .. 3 Reclamation .. .. .. .. .. 1 .. 3 4 Irrigation ...... 23 Totals .. .. ..69 18 34 24 145

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to pay the increased rate necessary to allow improvements to existing drains to be carried out. Scheme No. 5 has therefore been of material assistance to this Board, which has employed an average of seventy relief workers for the last few months. Up to the present, approximately seven miles of drains have been widened and deepened by unemployed labour, improving the drainage of some 12,000 acres of rich grazing land, a proportion of which would otherwise have been flooded in the wet season. Employment in Secondary Industries. Owing to the necessity for providing urgent relief to an ever-increasing number of the unemployed and the consequent absorption of the whole of the Board's funds, it has not been possible to allocate finance for the development of secondary industries. The Board has, however, with the assistance of the Secondary Industries Committee (Messrs. Hutchinson, Mcßrine, and Young), passed several very important resolutions and made recommendations to the Prime Minister. The first of those resolutions to be confirmed by Cabinet referred to the purchase, wherever possible, of New-Zealand-made goods by Government Departments. Government Purchase of New-Zealand-made Goods. —The Board asked, as a first measure, that the provisions of the resolution of Cabinet of the 21st September, 1929, be given full effect to and that instructions be reissued to all Departments to carry out these provisions. A copy of the resolution is as follows : — " (1) That the existing preference afforded to goods manufactured in New Zealand be confirmed. (In considering tenders received, the Stores Control Board adds the existing tariff rates, plus all freight and handling charges. Where no duty operates, 10 per cent, is added to British goods and 20 per cent, to foreign, plus above charges.) " (2) That where tenders are invited from abroad for goods which are made in the Dominion, manufacturers in New Zealand be given equal and full opportunity to quote. " (3) In considering quotations where the employment of labour is a large factor in the cost of production, the Stores Control Board will be expected to exercise a bias in favour of the New Zealand tenders. " (4) That the Government desires in its purchase of goods for departmental use to give those produced in New Zealand the most favourable treatment, provided quality, price, and other factors relating to delivery are equal." Representations have been made to the Unemployment Board that considerable purchases from overseas are made by Government Departments of goods and materials which could be manufactured and purchased in New Zealand, and that purchases are made without reference to the Stores Control Board and without giving consideration to the economic necessity for purchasing, wherever possible, the products of this country's industries. In order to facilitate tendering by Dominion manufacturers, the Unemployment Board asked that complete lists of goods required for Government Departments be made available to manufacturers. The Board also requested that the following paragraph be added to the above resolution :— " That the lending Departments of the Government are instructed to give definite preference when granting loans to those applicants who provide for the use of New Zealand timbers and locally manufactured materials in the buildings offered as security for their loans." The Unemployment Board asked also that local bodies receiving grants or help from the public funds be required to give preference to New-Zealand-made goods, and that purchases from overseas shall not be made unless satisfactory reasons can be given for doing so. Statistics submitted with the Board's recommendation showed that for every one million pounds' worth of goods manufactured in the Dominion, approximately 1,500 persons are provided with employment. Stress was laid also on the fact that development in any specific industry would result in development of allied industries supplying raw materials, &c. Publicity Campaign. —An important recommendation by the Board urged the institution of a campaign by the Government to stimulate the demand for New-Zealand-made goods, with the object of absorbing as many of the unemployed as possible in the Dominion's secondary industries. The Unemployment Act gives the Board authority to utilize its funds in any direction calculated to promote employment, and the Minister of Finance authorized the expenditure of £800 towards this campaign on condition that the New Zealand Manufacturers' Federation, who would benefit indirectly, contributed a sum of £400 for the same purpose. The Manufacturers' Federation accepted this condition, and arrangements were made for the Department of Industries, Commerce, and Publicity to carry out the proposal. Assistance from Retail Traders. —Recognizing that an increased production of and demand for New-Zealand-made goods cannot be effective unless retail traders do their share in making these goods available to the public, the Board endeavoured to arrange a conference between the Prime Minister and representatives of certain retail trades. It was felt that such a meeting would have a twofold object, in that the retailers would be able to give expression to difficulties connected with the stocking and selling of New Zealand manufactures as compared with dealing in imported goods, while the national aspect would be placed clearly before them, and also the importance to themselves of increased employment in local factories and. the consequent enhanced purchasing-power in wages thereby made available to their own trades. Applications for Financial Assistance. —ln connection with the many applications from individuals and firms for assistance in establishing or extending a business of a character similar to other already established businesses in the Dominion, the Board decided, that all such applications be declined, on the grounds that assistance of this nature would merely aid one competitor against another without increasing the volume of trade, and consequently without affecting the unemployment position.

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New Industries. —Applications for assistance in the establishment of the following new industries were considered: —the manufacture of a non-poisonous white-lead sulphate, the manufacture of strawboard, of wood-pulp, and the carbonization of coal. Assistance to and Extension of Existing Industries. —Consideration was given to the question of relieving unemployment in the sawmilling industry, the use of concrete for road-construction, and the employment of workless artisans in the Railway workshops in making articles at present imported and for which first-class machinery is available. Evidence having been placed before the Board that the manufacture of insulators and other light clay products, established in New Zealand after considerable expenditure on research, was likely to be discontinued owing to the depression, the Board offered financial assistance to N.Z. Insulators, Ltd., Temuka, to enable a number of their employees to bo retained in employment. The Board's offer is at present under consideration. Proposal to impose Duties. —With the assistance of the Industries and Commerce Department a report was prepared upon the Shell Oil Co.'s plant at Miramax for the manufacture of tins and cases for the packing of oil and motor-spirit imported in bulk. This report is to be brought before Cabinet by the Chairman of the Board. Proposal to impose an Embargo. —The New Zealand Coach and Body Builders' Association of Employers submitted a request that 25 per cent, of cars imported by each importer shall be chassis only. Figures were given showing the amount of work which would be given to skilled and semiskilled employees by the adoption of such a measure. A report was submitted to the Board. This was considered, and referred to the new Unemployment Board, with a strong recommendation that the matter be further investigated, as it is considered that a valuable opportunity exists for assistance to a local industry if a satisfactory basis of operation can be devised. Crippled Civilians. —The case of crippled civilians able to do certain classes of work is a very serious and difficult one. Such men are unable to take advantage of the Board's relief schemes. As the Board's funds do not at present permit of special relief, the Board recommended that the care of such unemployed crippled workers be referred to the new Board, with the recommendation that it watches the operation of the Soldiers' Civil Re-establishment Act in caring for this class of person, and, in the light of any experience gained, endeavour to provide some measure of relief from the Unemployment Fund. Tariffs. —The general question of tariffs in relation to employment was considered, also that of dumping and of end-of-seasons' goods unloaded upon the local market. These questions, which are of importance as affecting the unemployment situation, are left to the new Board. Miscellaneous. Unemployment of Women. —Representations concerning the increase of unemployment amongst women were recently made to the Board, which has given a good deal of consideration to the question. Although the Unemployment Act does not include women in its provisions for registration and payment of the levy, the relief of unemployment amongst women is not outside the functions of the Board. In spite of the heavy demands on the funds, it was considered that some concrete expression of sympathy should be made. The Board accordingly obtained approval of a grant of £500 to assist representative women's organizations to be set up, in the main centres at first, for the purpose of assisting unemployed women to obtain work. Hardship Exemptions. —Since the Ist April, 1931, a further 713 applications for exemption on the grounds of hardship have been dealt with by the Exemptions Committee, which makes its recommendations to the Board. Of these, 390 were granted and 323 refused, the total cases considered to date, therefore, being as follows : Total applications, 1,294 ; exemption granted, 768 ; exemption not granted, 526. Record of Board and Committee Meetings. —The immense amount of work imposed on the Unemployment Board since its inception has necessitated more or less continuous sittings, the usual meeting-days being Tuesdays to Fridays, inclusive. The actual number of days on which the Board sat was 103. The record of committee meetings is as follows : Primary Industries Committee, 49 ; Secondary Industries Committee, 45 : Economic and Finance Committee (which also dealt with exemptions), 57. Deputations. —Some thirty-seven deputations on matters covering a wide range of subjects have been received by the Board since its inception. Resignation of Board Member and New Appointment. — On the 10th April, 1931, Mr. W. Bromley tendered his resignation as a member of the Board owing to pressure of private business. His resignation was received with regret, and the Board, by resolution, placed on record its appreciation of the services rendered by Mr. Bromley. The vacancy on the Board was subsequently filled by the appointment of Mr. W. T. Young of Wellington, who was selected from nominations made by workers' organizations. Mr. Young was appointed to the Secondary Industries Committee, and Mr. Mcßrine filled the vacancy on the Economic and Finance Committee. Payments in Wages to the Unemployed. —From the inception of Scheme No. 1, in November, 1930, until the end of July, 1931 (a period of eight months), it is estimated that through the efforts of the Unemployment Board the total amount paid and committed to be paid in wages to the unemployed from the Unemployment Fund and by private employers and local authorities taking advantage of the Board's schemes, is approximately £1,280,000.

22

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Conclusion.—The members of the Unemployment Board submit their report on the eve of the Board's reconstitution, some eight months after its appointment—months which have been full of difficult and strenuous work. The devising of new means by which the rapidly increasing thousands of unemployed workers have been afforded relief has entailed anxious and careful thought. The co-opting and co-ordinating of the invaluable, assistance of several Government Departments and of hundreds of local bodies and voluntary local committees has called for initiative, persistence, and tact. Nowhere in the world has unemployment relief by means of work been accomplished on the same scale or with the same rapidity. New- ground had at every step to be broken, new machinery devised. In the main the Board's methods will remain as a foundation on which its successors may safely build. Up to the present the imperative need for coping with the immediate situation has been paramount ; but the Board has never lost sight of the fact that it is eminently desirable that the work of the unemployed should, as far as possible, be made the means of increasing production. The totally inadequate funds at the disposal of this Board have made it impossible to put into operation the larger schemes that were contemplated by the Unemployment Committee in its report, but the Board has taken considerable steps to enable this to be done as soon as funds become available, and leaves on record a number of recommendations for the future guidance of the incoming Board. S. G. Smith, Chairman. H. Bukdekin, Deputy Chairman. G-. Finn, ") F. L. Hutchinson, P. J. Small, ■„ , ■ W. E. Lbadley, of Board. 0. Mcßrine, J Wμ. Thos. Young, J Malcolm Feaseb, Commissioner of Unemployment. Wellington, 31st July, 1931.

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APPENDIX.

SURVEY OF FACTORS AFFECTING EMPLOYMENT IN NEW ZEALAND. Dual Aspect of the Present Situation. As a prelude to detailed consideration of the unemployment position in the Dominion, attention may be usefully directed to two broad divisions of the causes of unemployment in New Zealand at the present time :— (1) Maladjustment of the demand for, and supply of, labour due to causes inherent in the modern economic structure, and therefore of necessity a recurring and semi-permanent problem. (2) Unemployment due to a sudden slackening in the demand for labour consequent on the acute depression through which Sew Zealand, in common with other countries, is passing at the present time. Among the causes of unemployment falling under the first of these divisions, the seasonal ebb and flow of employment in the more important primary industries and in industries directly dependent thereon causes a recurrence of unemployment in the Dominion in the winter months. The rapid development in the technique of industry in recent years has been another factor of a recurrent nature contributing to the unemployment problem. Although the volume of production in both the primary and secondary industries has increased very considerably during the past few years, the growth of employment in these industries has not kept pace with the increased, production. A considerable expansion in industry would be normally concomitant with the resulting increase in the efficiency of labour, and this would absorb a large portion, at least, of the labour displaced by machinery and improved processes of manufacture. This has not, however, been the case —due, no doubt, partially to the depressing effect of a continued, though gradual, fall in wholesale prices. Again, the replacement of manual labour by machinery has been particularly marked in the building trade in recent years, which combined with a lessening in building activity, has resulted in a considerable increase in unemployment among unskilled labourers. These and other problems affecting employment, which have been characteristic of economic life in recent years, were considered in detail by the Unemployment Committee set up by the Government in 1928 and 1929 to report on the nature, extent of, and remedies for the unemployment situation in the Dominion, and suggestions for the alleviation of the position are contained in both sections of its report. The effects on the unemployment situation of the normal seasonal and other influences have been obscured by a sudden increase in unemployment consequent on the acute trade depression through which New Zealand is passing at the present time. In view of the serious effects of this depression on the local unemployment situation, it is advisable at this juncture to examine in some detail its characteristics, and the changes in industry and trade which have occurred as a result of the sudden collapse in overseas markets. Cyclical fluctuations in industry are a normal feature of modern economic life, and are not, in themselves, a cause for serious alarm. The depression consequent on the ebb of the trade cycle is essentially of a temporary nature ; and, while little can be done to hasten the economic forces towards recovery, the unemployment consequent on the cyclical trade depression can quite justifiably be met by the provision of schemes for temporary relief, such as the speeding-up of a public-works policy, as has been done in New Zealand in the past. The depression normally follows a period of business activity, high prices, and general prosperity, so that there arc normally sufficient resources available to tide over the temporary distress. The depression of 1921 is a case in point, although on that occasion the period of quiescence was accentuated by the abnormality of the immediate post-war economic conditions. The recovery was, however, rapid. t Fluctuations in the Visible Trade Balance. A disquieting feature of the present trade depression is that it follows a comparatively long period of decline in world prices. Although in New Zealand export prices recovered considerably in 1928, they fell away again in 1929 and collapsed in 1930, the general trend in export prices since 1925 (the peak year) being definitely downward. Wholesale prices in New Zealand have continuously (although slowly) receded since the year 1924. The decrease in prices has fortunately been offset to a large extent by increases in production, a favourable balance of visible export trade having been recorded each successive year since 1920, with the single exception of the year 1926. It is doubtful, however, whether, even with the increased production, this favourable trade balance has been more than sufficient

24

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to meet our external interest obligations in any year, with the possible exception of the year 1928. The following table, showing the total declared values of imports and exports since the year 1920, is of interest in this connection : —

The average annual balance of visible exports over imports for the ten years 1921-30 was £3,817,722. It is interesting to compare this figure with the corresponding average for the prosperous years 1914-19, when the average favourable trade balance was £9,936,987 per annum. The actual favourable visible balance of trade during the year 1930 is probably somewhat less than the amount shown in the foregoing table (£1,914,778). The normal addition of 10 per cent, made to the valuations of imported commodities to cover freight, insurance, exchange, &c, was probably not sufficient to cover these items in the later months of 1930, in view of the adverse movement in the exchange rates on London towards the end of the year. New Zealand is particularly dependent for its prosperity on the state of its overseas trade, the external trade per head being higher than that of any other country in the world. Our remoteness from the great markets of the world and our lack of readily accessible commercial mineral deposits have been, up to the present at least, insuperable handicaps to the development of manufacturing industries on a large scale, so that we are particularly dependent upon our primary produce. The prices realized for this produce in the markets of the world are therefore the final factor determining whether the Dominion is to be prosperous or otherwise, and, to a very large extent, causes completely outside our control regulate these prices. Better marketing methods and increased advertising can help, and, indeed, in recent years have helped very considerably in maintaining prices, while strict attention to quality is essential if we are to hold our place in these markets in the face of increased foreign competition. Much has been done and much remains to be done along these lines ; but, while the relative level of the prices we receive as compared with those received by other primary-producing countries depends largely on our own efforts, the general trend of prices in the world's markets is dependent upon economic conditions over which New Zealand has very little control. During a period of falling prices increased productivity can assist, and has assisted very materially, in maintaining a favourable trade balance. During the past few years the volume of our production, both primary and. manufacturing, has increased very considerably. There is, however, ample evidence that prosperity has not increased in sympathy with this increased productivity, for unemployment has been an acute problem for some years past, and, in view of the importance of the price factor in the economic situation recently, it is expedient at this stage to consider in some detail the extent of the fall in prices. Recent Movements in Export Prices. The following table shows the movement in the export prices of the principal items of produce exported from New Zealand since the year 1925. In view of the interest attached to comparisons with the pre-war period, these index numbers are computed on a 1914 base, the average export prices for that year being equated to 1000 : —

Export Price—Index Numbers.

4—H. 35.

25

_ Year. Imports. Exports. Balance of Exports. £ £ £ 1920 .. .. .. .. 61,595,828 46,441,946 15,153,882* 1921 .. .. .. .. 42,942,443 44,828,827 1,886,384 1922 .. .. .. .. 35,012,561 42,726,249 7,713,688 1923 .. .. .. .. 43,378,493 45,967,165 2,588,672 1924 .. .. .. .. 48,527,603 52,612,711 4,085,108 1925 .. .. .. .. 52,456,407 55.262,272 2,805,865 1926 .. .. .. .. 49,889,563 45,275,575 4,613,988* 1927 .. .. .. .. 44,782,946 48,496,354 3,713,408 1928 .. .. .. .. 44,886,266 56,188,481 11,302,215 1929 .. .. .. .. 48,797,977 55,579,063 6,781,086 1930 .. .. .. .. 43,025,914 44,940,692 1,914,778 I * Excess of imports.

(Base : Average of prices during the year 1914 = 1000.) Month and Year. Meat. Wool. Hides Skins, Miscellancous . All Groups produce. and Tallow. combined. Yearly. 1914 .. .. 1000 S 1000 1000 1000 1000 1000 1925 .. .. 1460 1712 2028 1893 1619 1702 1926 .. .. 1359 1441 1300 1723 1506 1377 1927 .. .. 1325 1365 1387 1680 1438 1366 1928 .. .. 1418 1394 1748 1814 1373 1520 1929 .. .. 1404 1469 1552 1732 1415 1456 1930 .. .. 1163 1352 I 915 ! 1335 1292 1144

H.—35.

Export Price—Index Numbers— continued.

STote. —These index numbers show the movements since 1914 in the prices obtained for commodities exported. The f.o.b. declared values at the port of export as recorded by the Customs Department are taken as indicative of the prices realized for these commodities. Export prices in 1930 were, on the average, only 144 per cent, above the 1914 level, the average prices realized for wool being actually 8-5 per cent, below the 1914 prices for that commodity. The ■monthly figures for 1930 reveal a sharp decline, the falling-away in prices being particularly marked in the later months of the year. Wool prices reached in February, 1931, a level 49-4 per cent, below 1914 prices, while the combined price index for all commodities exported during March, 1931, was 14-2 per cent, below the 1914 level. Comparison of Internal and External Price-levels. The consequences of this rapid collapse in export prices are only too evident in the stagnation of business activity and the alarming increase in unemployment. While the prices received for our primary produce have fallen with remarkable suddenness, the costs of production have not as yet fallen to the same extent, with the result that our principal business —farming —has become relatively unprofitable. A survey of the effects of price-movements since 1914 on farm expenditure was recently made by the Census and Statistics Office, and the results of this investigation, which are summarized below, shown in conjunction with other indexes, throw considerable light on the economic situation at the present time. It should be noted that the farm expenditure index covers not only prices of materials, but interest, wages, rates, and taxes, and other items making up the farmer's budget of expenditure.

26

(Base: Average of prices during the year 1914 = 1000.) Month and Year. ggge. Moat ' WooL andlfuow.' Miscellaneous. 1929. Monthly. January .. .. 1472 1583 1713 155] 1466 1537 February .. .. 1498 1528 1660 1754 1506 1534 March ' .. .. 1367 1487 1595 1709 1483 1475 April .. .. 1366 1477 1473 1978 1256 1480 May.. .. .. 1295 1441 1562 1958 1358 1470 June .. .. 1322 1456 1630 1699 1463 1457 July .. .. 1334 1452 1507 1819 1484 1468 August .. .. 1383 1416 1512 1840 1387 1500 September .. .. 1335 1380 1332 1638 1337 1366 October .. .. 1440 1367 1283 1588 1437 1385 November .. .. 1365 1296 - 1225 1434 1469 1289 December .. .. 1388 1340 1157 1503 1496 1286 1930. January .. .. 1309 I 1447 1149 1462 ! 1268 1257 February .. .. 1309 1422 936 1503 1302 1202 March " .. .. 1243 j 1419 897 1590 1365 1201 April .. .. 1134 1397 804 1428 1348 1117 May.. .. .. 1181 1354 877 1520 1288 1190 June .. .. 1156 1344 964 1476 1238 1210 July .. .. 1194 1315 961 1202 1207 1174 August .. .. 1188 1267 930 1455 1080 1187 September .. .. 1095 1259 867 957 1262 1063 October .. .. 1062 1180 783 1029 1106 1032 November .. .. 1010 1203 725 908 1215 969 December .. .. 988 1314 539 1126 1252 914 1931. January .. .. I 952 1207 566 856 1097 873 February .. .. 983 1169 506 882 1185 877 March " .. .. 1005 1030 548 720 1389 858

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Index Numbers of Farm Expenditure and of Prices, 1914-30.

Note. —The farm-expenditure index shows the effect of fluctuations in prices since 1914 on the working-expenses of farms, while the export-price index indicates the movement in the prices received for produce exported (which are, in the main, produce of the farm). The wholesale-price index shows the movement in the internal Jevel of prices at wholesale. The price quotations in which this index is based are mainly manufacturers' quotations for New Zealand produce, and merchants' quotations for imported commodities. The retail-price index indicates the movement in the l-etail prices of the commodities used by the average household. Comparison of the farm-expenditure index with the general export-price index shows the net effect of price-movements on the economic position of the farmer since 1914. It will be observed that between 1915 and 1919 the export-priee index was consistently higher than the farm-expenditure index. This period was, as has been stated before, characterized by exceptionally favourable trade balances. During 1920, 1921, 1922, and 1923 the position was reversed —the export-price index being consistently lower than the farm-expenditure index. The recovery in export prices during 1924 brought the export-price index to a slightly higher level than the expenditure index, while a further rise in export prices during 1925 increased the advantage in favour of the export index number to 120 points. Since the year 1926 the balance has been heavily against the export-price index, the farm-expenditure index being 178 points higher than the export-price index in 1926, 208 points higher in 1927, 122 points in 1928, and 180 points higher than in 1929. The farm-expenditure index for 1930 (1628) shows a fall of 8 points as compared with the 1929 figure. Although wholesale prices fell in the later months of 1930, other factors making up the budget of the farmers' expenditure had not up till the end of that year shown any considerable reduction. The divergence between the farm-expenditure index and the export-price index reached an adverse record of 484 points in 1930, the previous record being 397 points in 1922. Evidence that the 1931 farm-expenditure index will be substantially below the 1930 figure is, however, not wanting. The reduction of 10 per cent, in award rates of wages made by the Arbitration Court in May, 1931, will have a material though largely indirect effect in this direction, while wholesale prices have also declined considerably below 1930 levels. The amount of land-tax collected for the year ended 31st March, 1931 (£1,145,617), represents a fall of £361,294 as compared with that for the previous year (£1,506,911). The substitution of income-tax on profits from farm lands above £7,500 in unimproved value in place of special land-tax is, however, largely responsible for this reduction in the receipts from land-tax, so that the eSect of this reduction in land-taxation on farm costs is partly illusory. It is clear that wholesale prices have not, in 1930, fallen to the same extent as export prices. The wholesale-price index number is a " consumption " index —that is, the weights used in compiling it are based on the relative consumption in New Zealand of the different commodities included in the regimen of the index number. It is thus different in type from the export-price index, which includes only the principal commodities exported from New Zealand and is " weighted " by the quantities of the different items exported each month (in the case of monthly indexes) and each year (in the case of the annual indexes). The wholesale-price index thus measures the internal level of wholesale prices, while the export-price index indicates the movement in the external levels of wholesale prices of the principal items exported by the Dominion. Wholesale prices have been falling slowly since 1924, decreases in the general index number having been recorded in each successive year since that year, with the exception of the year 1928, when a slight increase of 14 points was recorded. The 1930 annual average index number (1376) represents a fall of 37 points, as compared with a fall of 312 points in the export-price index. It is noteworthy that in 1928 and 1929 wholesale prices were on a lower level than export prices.

27

j v Farm-expenditure Export-price Wholesale-price Retail Prices ear Index. Index. Index. (All-groups Index). 1914 .. .. 1000 1000 1000 1000 1915 .. .. 1096 1187 1125 1072 1916 .. .. 1195 1380 1209 1160 1917 .. .. 1284 1574 1376 1287 1918 .. .. 1452 1623 1619 1426 1919 .- .. 1511 1671 1692 1567 1920 .. .. 1661 1645 1986 1776 1921 .. .. 1606 1523 1844 1774 1922 .. 1543 1146 1581 1594 1923 .. 1593 1403 1517 1580 1924 .. .. 1586 1597 1584 1604 1925 .. . . 1582 1702 1546 1622 1926 .. .. 1555 1377 1475 1628 1927 .. .. 1574 1366 1403 1615 1928 .. .. 1642 1520 1417 1618 1929 .. .. 1636 1456 1413 1607 1930 .. .. 1628 1144 1376 1573

H— 35.

Reference to the retail-price index numbers quoted above shows that retail prices have lagged considerably behind both export prices and wholesale prices during recent years, the 1930 annual average index number for retail prices (1573) being 197 points higher than the wholesale-price index and 429 points higher than the export-price index. Between January and December, 1930, wholesale prices fell 4-4 per cent, export prices fell 27-3 per cent., and retail prices (between November, 1929, and November, 1930) 3-4 per cent. " Lag " in Retail Prices. The "lag "in retail prices is not a phenomenon peculiar to the Dominion. The year 1930 was a year of falling prices all over the world, but retail prices have not yet adjusted themselves to the change in wholesale prices. In this connection, the following comparison of the fall in prices in Britain, the Dominions, and the United States is of interest:—

Percentage Decrease in Prices, January to October, 1930.

Note.—This table illustrates the disparity between the fall in prices realized in the wholesale markets and in the prices paid by householders for commodities used in the average household. Decreases in wholesale prices have been considerably greater than in retail prices in each of the countries examined, the exception being in the case of New Zealand. Wholesale prices dropped gradually in the Dominion throughout the first few months of the year, but the downward movement was checked by the effect of the tariff increases in July, which reflected themselves in the index numbers from the month of August onwards. From the above analysis it is apparent that, while export prices for our primary produce are very sensitive to the state of the overseas markets, wholesale and retail prices " lag " considerably in in responding to such influences. Export prices of dairy-produce and wool are already showing signs of recovery, but it is clear that a very considerable advance in the prices of primary produce would bo necessary to bring export prices back to a level corresponding to that of the index number of farm expenditure ; or, conversely, a very considerable reduction in expenses of production would be necessary in order to bring the farm-expenditure index back to anything approaching the present level of export prices. Until some readjustment of prices received to prices paid is made, an unsatisfactory state of industry, with Consequent acute unemployment, will continue. The divergence between the farm-expenditure index and the export-price index is in part accounted for by the lag of the wholesale-price level in adjusting itself to the falling export prices. The consequence of this lag is that the prices paid for materials continue on a level relatively high as compared with those received for commodities produced by the farmer. This accounts only in part for the difference ; for interest, wages, rates and taxes, freights, insurance, and other items making up the total budget of primary producers' expenditure have not receded to the same extent. While it does not come within the scope of this report to make suggestions as to the methods to be followed in adjusting costs of production to the low level of export values, it is quite evident that unless some such adjustment takes place in the near future a rising tide of unemployment will drain the resources of the Board unless a very marked improvement in export prices takes place. International Comparison of Movements in Wholesale Prices. The problem of the receding wholesale-price level is causing grave concern the world, over, and it is difficult to predict with any certainty the future trend of events in this economic sphere. The importance of the price factor in the economic affairs of New Zealand has already been stressed, and it is informative at this stage to consider the movement since 1914 in wholesale prices in the United Kingdom and other overseas countries. New Zealand indexes are also inserted for purposes of comparison : —

28

Country. Wholesale Prices. ,^* a " Price , s (All Groups). Per Cent. Per Cent. United Kingdom .... 15 6 South Africa .. . . .. 7| 2£ Australia .. .. . . 14 3|* Canada .... 15 5 United States .. .. 12 J 5 J New Zealand .. . . . . 3| 2§f * First to third quarters. t February to November.

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Wholesale-price Index Numbers in Various Countries on Base.

In drawing inferences from the table of wholesale prices in different countries shown above it should be borne in mind that the figures do not indicate the relative levels of prices in the countries shown, but the relative movement in prices in the different countries. A high index number for any one country may not necessarily mean high relative prices at the present time, since it may be caused by a relatively low level of prices in the base year, which is in this case the year 1914. Comparison of the movement in prices in the countries shown is, however, illustrated by the table. From the above table, it is evident that the trend of wholesale prices has recently been definitely downward. It is difficult to say how far monetary influences have contributed to the fall or to what extent increased competition on the world's markets has been responsible. It is quite evident, however, that some of the important, primary products at least arc being sold at a level considerably below costs of production. The " group " wholesale, price index numbers for the United Kingdom compiled by the Statist were at the following levels in November, 1930 as compared with 1914 : — Per Cent. Per Cent. Vegetable food .. .. - 3-6 Minerals .. • • + 7-0 Animal food .. • ■ 4- 27-4 Textiles .. —13-3 Tea, sugar, coffee .. .. -11-0 Sundry materials .. .. +5-3 Total food .. .. + 8-9 Total materials . . + 1-0 Grand total .. 4-4-2 The " Animal foods " group includes butter, cheese, and meats, which commodities form a very large proportion of New Zealand exports to the United Kingdom. Prices in this group, although only 27-4 per cent, above the 1914 wholesale-price level in the United Kingdom, compare favourably with the other groups in respect of movement since that year. Textiles show a decrease of 13-3 percent, since 1914. This group includes cotton and other textile materials besides wool, the decrease in wool being even greater than that in the " textiles " group as a whole. The monetary influences affecting prices indicate a continuation of prices on a comparatively low level, estimates of future gold-production being considerably below the world's requirements. The monetary factor has been further complicated by the action of the United States and France in accumulating huge gold reserves which are prevented from exercising a monetary function. Our exports are, however, confined to a comparatively few commodities, and it is quite possible that conditions of supply of these commodities may have a greater influence on the future prices of the narrow selection of commodities which we forward to the world's markets than monetary considerations, which affect all commodities impartially. An instance at the present time of peculiar conditions in the market for a single commodity affecting New Zealand very adversely occurs in the case of wool, which receded in price far below the general level of prices. It is possible that influences affecting supply may place New Zealand in the future in an especially favourable or unfavourable position ; and the development of new export industries, such as the pig industry (which was strongly recommended by the Unemployment Committee), would, make for safety and stabilization of returns, since we would have a wider range of products to spread out losses which special conditions may cause in any one product. Inferences drawn from Analysis of Recent Price-movements. The foregoing analysis of recent price-movements has been somewhat detailed, but, since the collapse in prices has been the main cause of the present distressing unemployment situation,

29

(Average prices in the year 1914 = 1000.) New United United „ , L ,, ... . . .. Year. Zealand Kingdom States Denmark. | 8 " B1 ? (Official). (Statist). (Bradstreet). (Official). (Official). , (Official) 1914 .. .. 1000 1000 1000 1000 1000 1000 1000 1924 .. .. 1584 1640 1451 1700 1515 1328 1641 1925 .. .. 1546 1600 1567 1440 1564 1317 1605 1926 .. .. 1475 1480 1451 1070 1525 1272 1594 1927 .. .. 1403 1440 1442 1060 1490 1280 1581 1928 .. .. 1417 1412 1485 1140 1469 1242 1560 1929 .. .. 1413 i 1353 1411 1120 1456 1197 1569 1930— January .. 1413 1254 1293 1.070 1458 1105 1496 February .. 1407 1233 1260 1040 1433 .. 1457 March.. .. 1404 1212 1255 1010 1401 .. 1433 April .. .. 1402 1194 1229 1010 1398 1073 1446 May .. .. 1400 1162 1210 990 1371 .. 1465 June .. .. 1391 1127 1185 970 1341 .. 1442 July .. .. 1383 1111 1173 960 1308 1032 1431 August .. 1399 1085 1171 960 1282 .. 1410 September .. 1383 1068 1156 940 1258 .. 1333 October .. 1364 1064 1129 920 1241 1022 1287 November .. 1350 1042 1104 .. 1219 .. 1218

H.—35.

consideration of this aspect of our economic affairs is necessary towards a true understanding of the position. The main conclusions to be drawn from this analysis may be summarized as follow : — (1) Our favourable balance of visible exports has fallen from £11,302,215 in 1928 to £1,914,778 in 1930. (2) The collapse in prices during 1930, superimposed upon a considerable decrease in 1929, has been responsible for this unsatisfactory state of affairs. (3) Costs of production of primary produce have not fallen appreciably. (4) The present level of the export-prices index is considerably below that of the farmexpenditure index. (5) While the long term trend of prices on the overseas markets would appear to be downward, the immediate future outlook points to a recovery from the present exceptionally low level. (6) Conditions of supply may affect the comparatively few commodities which make up our export trade more than monetary conditions, so that prices for these commodities mav move to a less or greater extent than the general price level. (7) Wholesale prices in New Zealand have not fallen to the same extent as export prices, and retail prices have " lagged " still further behind. Effects of Depression on the Banking Situation. The stagnation in industry and trade consequent on the price-movements which have been examined in the preceding pages is reflected in the official banking statistics. The following table shows the total amount of deposits, the total of advances, and the ratio of advances to deposits each month of 1930 and the early months of 1931 : —

The ratio of advances to deposits has increased very considerably during the later months of 1930, the October, November, and December figures reaching an actual excess of advances. It is interesting, in this connection, to take cognizance of the relation between free and fixed deposits during 1930 and 1931.

! { The abnormally low ratio of free to fixed deposits is a significant indication of the inactivity in industry, investors "apparently preferring an assured return on their money, either on account of a lack of" confidence in the business outlook or because of a lack of attractive investments offering.

30

Eatio of Mouth. Deposits. Advances. Advances to Deposits. —_ 1930. £ £ PerCent. January .. •• 56,101,904 53,508,578 95-38 February .. .. 57,151,252 53,083,920 92-88 March ... .. .. 58,803,127 54,285,598 92-32 April .. .. •• 59,201,765 54,940.841 92-80 May . ■• 59,016,402 54,291,956 91-99 June .. .. •• 58,428,332 53,177,632 91-01 July .. .. .. 57,728.232 52,289,888 90-58 iugust .. •• 52,544,150 92-92 September .. .. 54,572.657 52,650,707 96-48 October .. .. 53,413,268 53,421,800 100-02 November .. .. 53,172,354 53,324,720 100-30 December .. .. 53,136,779 53,219,865 100-20 1931. January .. .. 53,325,129 53,059,951 99-50 February .. .. 54,039,144 53,306,944 98-65 March .. .. . • 54,935,342 53,393,890 97-19

Ratio of Month. Free Deposits. Fixed Deposits. "Free" to Fixed Deposits. 1930. £ £ Per Cent. January .. ■• I 23,345,888 30,313,068 77-02 February .. .. 24,024,401 30,179,432 79-61 March '. .. •• 24,244,301 : 29,859,297 81-13 April •• 24,016,259 29,967,398 80-14-May ■■ 23,273,271 30,582,953 \ 76-10 June .. .. i 22,555,389 30,917,262 72-95 July .. .. : 21,743,931 31,249,558 69-58 Wust .. .. I 20,552,141 31,646,012 64-94 September .. .. j 20,251,386 32,226,434 62-84 October .. .. 18,993,705 32,654,956 58-16 November .. .. 18,474,116 32,828,637 56-30 December .. .. 18,380,121 32,829,565 56-00 1931. January .. ...I 18,198,910 32,940,040 55-25 February .. . ."] 18,613,861 33,092,923 56-25 March .. .. •• 18,207,391 32,831,054 55-46 1

H.—35.

Production and Employment in Primary Industries. The rapid abnormal movement in prices has been too recent to have reflected itself yet in the official statistics of agricultural, pastoral, and factory production. Figures for the year ended 31st March, 1930, do not show the full effects of the slump in prices, since the movement had by no means reached its lowest point by the end of March, 1930. Nevertheless, the following summary of production and employment in the principal industries of the Dominion during the last five years throws some light on the present situation. The quantities of the principal items of produce exported from New Zealand during each year since 1926 were :—

The quantity of wool exported increased steadily each year between 1926 and 1929. In 1930 exports of this commodity showed a decline. Evidence that this falling-ofi in exports of wool was due in part at least to the withholding of wool from sale owing to the abnormally low prices ruling during that year is borne out by the official statistics showing the number of sheep in the Dominion, the total number of sheep on the 30th April, 1930 —(30,841,287) —being the highest figure yet recorded in the history of the Dominion. The quantities of frozen meat, butter, cheese, and tallow exported are on a considerably higher level than in 1926. Consideration of these figures emphasizes the fact that the recent fall in prices has been responsible for the reduction in the favourable balance of trade from £11,302,215 in 1928 to £1,914,778 in 1930. There seems little doubt that the increases shown in the quantities of our principal farm-products exported during the past few years have been caused largely by the adoption of more scientific methods of cultivation. Statistics are now collected by the Census and Statistics Office as to the quantities of manure used by farmers in top-dressing. In 1929-30, 8,585,399 cwt. of manures were so used —an increase of 1,070,040 cwt. as compared with the 1928-29 figure (7,515,359 cwt.). These figures were not collected prior to the 1928-29 season. With the present low prices prevailing, there is a grave danger that many farmers will not be able to maintain their holdings at the existing high level of productive efficiency. Apart from the immediate effects on the unemployment situation of the farmer's lack of funds for the proper maintenance and development of his pastures, any retrogression in this respect will necessarily be accompanied by a lowering in the volume of primary production in the future, which would have a very adverse affect on the economic position of the Dominion. With these considerations in mind, the Board has allocated part of its available funds to the payment of wages on farm-development work. Statistics as to the number of wage-earners ordinarily employed on farms are available for the 1928-29 season and the 1929-30 season. In 1929-30 there were 31,427 male and 1,484 female wageearners employed on farms —a decrease of 1,286 males and 1,276 females as compared with the 1928-29 figures (32,713 males and 2,760 females). The total number of persons engaged on farm-work, including occupiers and members of occupier's families engaged in farm-work during the last five years, were (males only) — 1925-26 .. .. 102,771 1928-29 .. .. 112,885 1926-27 .. 102,335 1929-30 .. .. 119,321 1927-28 .. .. 106,649 Production and Employment in Secondary Industries. The steady growth in the volume of factory production in recent years is illustrated by the following table, showing the added value created in process of manufacture during the past eleven years. The " added value "is obtained by deducting the cost of materials from the gross value of the products.

31

I Year. Wool. Frozen Meat. Butter. Cheese. Tallow. lb. Cwt. Cwt. Cwt. Gwt. 1926 .. .. .. 213,154,399 3,034,356 1,168,040 1.461,548 422,560 1927 .. .. .. 220,500,720 3.364,965 1,455,539 1,492,792 477,500 1928 .. .. .. 226,804,744 3,793,828 1,449,570 1,567,272 514,960 1929 .. .. .. 234,955,978 3,336,200 1,653,807 1,779,093 416,640 1930 .. .. .. 197,219,509 4,041.231 1.884,237 1,812,981 492,560 \__ , _J

.2 § % m 8 Belative Number of Relative Added Value tit Ml Added Value I NumW (uncorrected). ° 11 7 (corrected). (1919 _ 20 = Workin | (1919-20 = 1000.) I Proprietor. 100 ° > ,3 S J I £ £ 1919-20 .. .. 21,538,209 1592 13,529,025 1000 72,889 1000 1920-21 .. .. 25,555,220 1737 14,712,274 1087 78,853 1082 1921-22 .. .. 27,101,944 1670 16,228,708 1200 70,316 965 1922-23.. .. 28,757,736 1467 19,603,092 1449 73,662 1011 1923-24.. .. 29,969,364 1650 18,163,250 1343 77,661 1065 1924-25 .. .. 31,939,893 1750 18,251,367 1349 80,327 1102 1925-26 .. .. 32,569,430 1690 19,271,852 1424 82,018 1125 1926-27 .. .. 32,799,021 1545 21,229,139 1569 81,904 1124 1927-28 .. .. 32,423,806 1527 21,233,664 1577 81,756 1122 1928-29 .. .. 33,301,652 1633 20,392,928 1507 83,680 1148 1929-30 . .. 34,255,719 1559 21,908,736 1619 85,797 1177

H.—35.

It will be observed that the " added value " has increased from £21,538,209 in 1919-20 to £34,255,719 in 1929-30, an increase of 59 per cent. The effect of price-fluctuations, which obscure to a certain extent the movements resulting from increased and decreased production, is eliminated by " correcting " the figures by a series of wholesale-price index numbers of New-Zealand-manufactured products which has been specially compiled for the purpose. The corrected figures show that the volume of factory production has increased by 61-9 per cent, since 1919-20. The 1929-30 volume-of-production index is the highest recorded during the period under review. An increase of approximately 3 per cent, in the actual added value as compared with 1928-29 was achieved by an increase of 7 per cent, in the volume of production, the increase in volume being largely offset by a fall in prices received. The index number for wholesale prices of New-Zealand-manufactured" produce for the calendar year 1930 has fallen to 1332, so that it is obvious that a very considerable increase in the volume of production for the 1930-31 year will be necessary if the added value is to be maintained at the high level reached in 1929-30. The number of employees (including working proprietors) has not increased in ratio with the increase in volume of production or added value. In fact, actual decreases were recorded between 1925-26 and the two immediately succeeding years, although an increase between 1927-28 and 1928-29 more than recovered the fall in numbers recorded during the preceding two years. The 1929-30 figure (85,797) represents an increase of 17-7 per cent, as compared with 1919-20, whereas during the same period the volume of production has increased by 61-9 per cent. Although the increase in the number of employees has not kept pace with the increase in the volume of factory production in recent years, the importance of the secondary industries as a means of employment is realized when it is considered that no less than 85,797 persons were employed in factory production during the year ended 31st March, 1930, as compared with 119,321 persons engaged in farm-work. Both figures include working proprietors as employees. It is obvious from these figures that the considerable expansion in our secondary industries which would result if purchasers exercised a marked preference for New-Zealand-made goods would contribute very materially towards providing a permanent cure for unemployment in this Dominion. The movement in employment in the secondary industries is illustrated in the following table, which shows the number of employees (including working proprietors) in the larger industries during each year since 1926 : —

32

Number oi Employees (including Working Proprietors), Year ended 31st Mareh, Industry. 1926. 1927. 1928. 1929. 1930. Meat freezing and preserving .. .. .. 5,798 5,428 6,139 6,581 6,139 Ham and bacon curing .. .. .. .. 353 401 394 374 396 Butter and cheese and condensed-milk manufacture .. 4,]40 3,996 4,167 4,288 4,228 Grajn r milling .. .. .. .. .. 675_ 648 697 693 '731 Biscuits and confectionery making .. .. .. 2,592 j 2,655 2,501 2,570 2,719 Fruit-preserving and jam-making .. .. 247 260 309 325 '298 Brewing and malting .. .. .. .. 978 997 990 981 987 Aerated-water and cordial manufacture .. .. 664 689 702 698 697 Soap and candle making .. .. .. .. 4.60 j 473 470 474 452 Sausage-easing manufacture .. .. .. .. 322 I 212 245 494 442 Coopering and case-making .. .. .. .. 218 275 274 366 381 Sawmilling and sash and door making .. .. 9,643 8,198 7,305 7,130 7 381 Woodware and turnery manufacture .. .. 1,042 1,1.08 1.012 1,039 1,112 Paper bag and box making .. .. .. .. 360 358 361 361 '348 Gasmaking and supply .. .. .. .. 2,053 1,929 1,878 1,849 1,796 Electricity generation and supply .. .. .. 1,985 2,363 2,196 2,408 2,459 Electric tramways .. .. .. .. .. I 3,310 3,291 3,136 3,062 2,936 Lime crushing and burning and cement-making .. : 851 899 915 875 928 Brick, tile, amd pottery making .. .. .. j 1,392 1,316 1,300 1,233 1,156 Leadlight-makmg and glass-bevelling .. .. .. 359 375 380 406 423 Concrete block and pipe and fibrous-plaster making .. 564 607 613 698 780 Tinned plate and sheet-metal working .. .. 1,436 1,489 1,412 1,419 1,494 Iron and brass founding, boilermaking, &c. .. .. 955 947 885 85Ō ' 798 Engineering: General ' .. .. .. .. 3,807 3,778 3,668 3,741 3,890 Range-making .. .. .. .. .. 330 331 319 325 400 Printing and publishing and bookbinding .. . . 7,274 7,874 8,053 8,322 8,255 Agriculture and dairying machinery .. .. .. j 1,040 885 779 826 963 Coachbuilding .. .. .. .. .. ],496 1,497 1,469 1,405 1,522 Motor-cycle engineering .. .. .. .. 3,549 4,331 4,483 4,522 5,511 Tanning .. .. .. .. .. .. 495 | 483 422 409 449 FelJmongering and wool-scouring .. .. .. 466 454 456 407 390 Ship and boat building .. .. .. .. 844 780 739 753 750 Furniture and cabinet making .. .. .. 2,767 2,751 2,708 2,675 2,774 Mattress-making .. .. .. .. .. 318 352 361 392 '384 Chemical-fertilizer refining .. .. .. . . .. 583 672 722 719 Woollen-milling .. .. .. .. .. 2,326 2,380 2,451 2,576 2,478 Boot and shoe making .. .. .. ,, 2,541 2,376 2,338 2,293 2,307 Hosiery-making .. .. .. .. .. 498 575 631 701 729 Clothing-manufacture .. .. .. .. 6,833 6,881 7,101 7,501 7,852 Flax-milling .. .. ,. .. .. 1,241 1,193 1,020 I 879 903 Other ... ... .. .. .. .. 5,796 5,486 5,805 6,057 6,440 Totals.. .. .. .. 82,018 j 81,904 81,756 83,680 j 85,797

H.—35.

Although the 1930 (March year) figures in the above table do not show the full effects of the 1930 slump in prices, nevertheless a decline in the volume of employment is recorded in many industries. In the sawmilling industry a downward tendency in employment has been recorded during the five years under review, the number of employees in 1930 (7,381) being 2,262 below the 1926 figures (9,643) —a decrease of 23-4:6 per cent. The number of employees engaged in the gasmaking industry has steadily declined each year since 1926. The substitution of electricity for gas is no doubt the main cause contributing to this decrease; employment in the electric generating and supply industry having increased from 1,985 in 1926 to 2,459 in 1930. Electric-tramway employees numbered 2,936 in 1930, as compared with 3,310 in 1926. Employment in this industry has also decreased year by year since 1926. A similar position is recorded in the brick, tile, and pottery making industry, which had 1,392 employees in 1926, and 1,156 in 1930. The boot and shoe industry also had fewer employees in 1930 than in 1926. Employment in the engineering trades increased considerably in the years immediately prior to 1930, particularly in the motor-engineering industry, which employed 5,511 persons in 1930, an increase of 1,962, or 55 per cent., since 1926. This industry was, however, affected very adversely by the slump in 1930, imports of motor-vehicles having fallen from £4,278,924 in the calendar year 1929 to £2,448,781 in 1930. Employment in flax-milling is on a definitely lower level than in previous years, the number of employees in 1930 (903) being 338 less than in 1926, a decline of 27 per cent. Building Activity. The value of building permits issued by cities, boroughs, and town districts during the last ten years is shown below as an indication of the movement in building activities during that period : —

The value of building permits issued by cities, boroughs, and town districts during the year ended 31st March, 1931, was £5,473,395, a decrease of £4,486,472 as compared with the 1929-30 figure. During the previous seven years the value of building permits issued varied between £9,054,421 (in 1928-29) and £11,019,389 (1926-27). The sudden falling-off of such great magnitude in building activity has had far-reaching effects on the unemployment situation generally. Apart from the resultant unemployment in the building trades and in industries supplying buildingmaterials, serious repercussions in other industries are caused by the diminished purchasing-power of those directly affected by the slump in building activity. The falling-off in the building trade was particularly marked in the later months of 1930 and early in 1931, as is illustrated in the following table, which shows the actual value of building permits issued in the larger towns during each month of 1930 and the early months of 1931 :—

Value of Building Permits issued in Larger Towns.

5—H, 35.

33

y ear Number of New Value of New Value of Alterations to Total Value of all Buildings. Buildings. Existing Buildings. Permits £ £ £ 1921-22 .. .. 5,015 4,602,834 680,178 5,283,012 1922-23 .. .. 6,563 6,124,439 977,242 7,101,681 1923-24 .. .. 7,804 7,708,933 1,437,546 9,146,479 1924-25 .. .. 6,907 7,823,331 1,480,829 9,304,160 1925-26 .. .. 7,917 8,613,549 1,555,981 10,169,530 1926-27 .. .. 8,354 9,357,977 1,661,412 11,019,389 1927-28 .. .. 6,914 8,127,732 1,537,484 9,665,216 1928-29 .. .. 6,199 7,326,464 1,727,957 9,054,421 1929-30 .. .. 6,705 7,917,349 2,042,528 9,959,877 1930-31 .. .. 4,111 4,240,238 1,233,157 5,473,395

Month. J New Building, E^S£g , Total. 1930. £ £ £ January .. .. .. 546,133 119,823 665,956 February .. .. .. 404,105 148,189 552,294 March " .. .. ... 667,090 159,893 826,983 April .. .. .. .. 301,275 102,831 404,106 May .. .. .. .. 406,980 ' 133,316 540,296 June .. .. .. .. 352,460 164,492 516,952 July .. .. .. .. 451,838 113,248 565,086 August .. .. .. 335,546 85,152 420,698 September .. .. .. 331,160 103,863 435,023 October .. .. .. 407,348 87,638 494,986 November .. .. .. 235,320 81,065 316,385 December .. .. .. 176,702 80,448 257,150 1931. January .. .. .. 174,321 55,285 229,606 February .. .. .. 234,814 65,327 300,141 March .. .. .. 196,686 60,411 257,097

H.—35.

The total value of building permits issued in December, 1930 (£257,150), was considerably less than half the corresponding figures for December, 1929 (£580,116). The January, February, and March, 1931, figures are also much lower than the totals for the corresponding months of 1930. The abnormality of economic conditions when the Board commenced operations, in November, 1930, is illustrated by the survey given in the preceding pages of this report. The magnitude of the task confronting the Board is shown in the next section of the report, in which an analysis of registrations at the employment bureaux of the Labour Department is made. Extent of Unemployment in New Zealand. Census Data. Direct statistical evidence as to the extent of unemployment in New Zealand is available from the census (since 1896) and from the records of the Labour Department (since 1892). In addition, statistics of unemployment among trade-unionists, and of monthly employment in factories and works, have been collected in recent years by the Census and Statistics Office —the former since 1925 and the latter since 1926. The great disadvantage of the Census inquiry as an indicator of the trend of unemployment is that it provides data at quinquennial intervals only, and consequently does not throw light on the rapid fluctuations in unemployment which are characteristic of periods of economic stress. Nevertheless, the. census provides reliable data as to the actual numbers unemployed on the census dates, and, while information has been available from other sources as to the movements in unemployment from time to time, it has hitherto been extremely difficult to gauge the actual total of unemployed wage-earners in the country at any particular time from any other source. The following table showing the numbers and the proportion to total wage-earners of the unemployed at successive censuses is of interest in showing the state of employment at intervals over a long period of years :—

It will be observed from these figures that the unemployment position at the 1896 census date, when there were 100 males unemployed for every 1,000 male wage-earners, was considerably more serious than at any other of the census dates on which this data was collected. The proportion of males unemployed on the 1926 census date (34 per 1,000 male wage-earners) was considerably less than that recorded at the 1921 census, but higher than the figure shown by the 1911 and 1916 censuses. A more comprehensive survey of unemployment than had previously been attempted was made at the 1926 census, data being obtained as to the number of working-days lost during the twelve months immediately preceding the census through sickness, accident, or injury, and through lack of employment not due to strikes or lockouts. The average number of working-days lost through lack of employment among males was shown to be 18-8 days during the year prior to the census date (20th April, 1926). Registrations at Labour Bureaux. The annual reports of the Labour Department (parliamentary paper H.-ll) contain valuable information as to the registrations and placements through the employment bureaux of that Department. Details as to the number of unplaced applicants on registers of the bureaux at the end of each week have been obtained for each week since the beginning of April, 1921. The annual average of these weekly totals shown below gives an indication of the growth of the unemployment problem since that year. Weekly Average Weekly Average Year. of | Year. of Unplaced Applications. Unplaced Applications. 1921 (nine months) .. 1,097 1926 .. .. ..1,196 1922 .. .. .. 1,237 1927 .. .. .. 1,982 1923 .. .. .. 599 1928 .. .. .. 2,504 1924 .. .. .. 437 1929 .. .. .. 3,023 1925 .. .. .. 426 1930 .. .. ~ 5,055 While the number of unfilled applications at the bureaux is an indication of the state of the labour-market, it is unsafe to draw conclusions as to the extent of the movement in unemployment from these statistics unless certain reservations are borne in mind. In the first place, the figures will tend to minimize the extent of unemployment in times of economic prosperity, for in good times the unemployed worker will usually manage to find employment without the assistance of the employment bureaux of the Labour Department. On the other hand, in periods of economic depression, when the chances of obtaining employment are considerably lessened, workers will avail themselves of the services of the employment bureaux to a far greater extent. Consequently the movement in the total of unfilled applications tends to exaggerate fluctuations in unemployment. Apart from this consideration, the Department has during recent years considerably widened the scope of the activities of its employment bureaux. Registrations prior to February, 1928, could only be made at the bureaux ; but since that month facilities have been provided whereby registrations are accepted at any post-office. A further factor which, in 1929 and 1930, undoubtedly caused a larger proportion of unemployed to register with the Labour Department is the recently adopted policy of engaging all men for public works and local bodies' relief works through the bureaux, where such a course is practicable,

34

C enslls Number of Males Proportion per Thousand Unemployed. Male Wage-earners. 12 April, 1896 .. .. 14,759 100 31 March, 1901 .. .. 8,467 48 12 April, 1906 .. .. 8,189 39 2 April, 1911 .. .. 7,152 30 15 October, 1916 .. .. 5,920 26 17 April, 1921 .. .. 11,061 39 20 April, 1926 .. .. 10,694 34

H.—35.

It will be observed from the table published above that the weekly average numbers of unfilled applications on the employment registers has varied, since 1921, between 426 (in 1925) and 5,055 (in 1930). Evidence that the unplaced registrations in the years prior to 1930 formed only a portion of the total unemployed is revealed by the 1926 census inquiry. On the date of the census (20th April, 1926) there were 10,694 males unemployed, while the unplaced registrations on the 19th April of that year totalled only 571. A detailed statement showing the number of unfilled applications on the registers of the employment bureaux week by week since the beginning of the year 1926 is contained in Table I of the appendix to this report. A progressive upward tendency is revealed by these weekly figures, comparisons between approximately similar dates in one year and the immediately succeeding year almost invariably showing an increase. The seasonal ebb and flow of unemployment is well illustrated by this table, a notable exception to the seasonal fluctuation being recorded in October, 1929, when, following on the announcement by the Government that work would be found for able-bodied men registered at the bureaux, the unfilled registrations increased from 2,466 on the 30th September of that year to 4,924 on the 7th October and further to 6,264 on the 14th October. Successive decreases in succeeding weeks brought the total down to 1,242 on. the 30th December of that year. The year 1930 saw a rapid rise in the registrations at the labour bureaux. The average of the weekly totals of unfilled applications for each of the months of that year showed progressive increases, the actual figures being : — January .. .. .. 2,345 July .. .. .. 5,465 February . . .. .. 2,442 August .. .. .. 5, 455 March .. .. ..2,834 September .. '.. 5,765 April .. .. .. 3,382 October .. .. .. 6,038 May .. .. .. 4,519 November.. .. .. 6,671 June .. .. .. 5,306 December .. .. 9,615 The rapid increase in the number of registered unemployed towards the end of the year made it imperative that the Board immediately upon commencing its sittings on the 25th November, 1930, should devise schemes for the relief of the position before taking time to consider its permanent policy. Consequent on the pronouncement of the Board's schemes for the provision of immediate employment a sudden increase in registrations took place, and, despite the placement of a large number of men in various works subsidized by the Board, the number of unplaced applicants on the registers has continued to increase. The following table shows the registrations, placements, the numbers remaining on the registers, and the number of registered unemployed obtaining relief under Schemes 2 and 5 of the Unemployment Board : —

Registered Unemployed, October, 1930, to March, 1931.

Note. —Since the 16th February the numbers temporarily employed on Schemes 2 and 5 of the Unemployment Board are shown. These men, though now partially employed, are still included as registered unemployed.

35

, T , . t. t , T , j. Number of Number of New Number of Wpcktprprl and Renewed Placements Number of ; .... ,, Applications for through the Registered ,y nem P Io y f u ™^ Weekended Employment Bureaux Unemployed at Relief I otally , ' ■. J ,, , . ,, it. i i A? i under Schemes Unemployed, during the during the End of Week. *> i K * j ,„ 6 , , T7 & , z and 5 ot Week. Week. the Board | 1930. 6th October .. .. 1,451 262 6,052 .. 6,052 13th „ .. .. 1,508 277 6,028 .. 6,028 20th „ .. .. 1,603 296 6,055 .. 6,055 27th „ .. .. 1,272 271 6,018 .. 6,018 3rd November .. .. 1,716 372 6,080 .. 6,080 10th „ .. .. 1,813 294 6,432 .. 6,432 17th „ .. .. 1,901 294 6,768 .. 6,768 24th „ .. .. 2,202 297 7,402 .. 7,402 1st December .. .. 2,455 447 8,038 .. 8,038 8th „ .. .. 3,788 781 9,630 .. 9,630 15th „ .. .. 4,433 1,083 11,442 .. 11,442 22nd „ .. .. 3,152 1,219 11,371 .. 11,371 29th „ .. .. 3,237 4,412 7,596 ... 7,596 1931. 5th January .. .. 4,938 1,006 8,703 .. 8,703 12th „ .. .. 6,335 1,465 12,230 .. 12,230 19th „ .. .. 5,766 1,365 14,875 .. 14.875 26th „ .. .. 5,779 1,594 16,607 .. 16,607 2nd February .. .. 4,935 1,543 17,556 .. 17,556 9th ,. .. .. 5,773 3,613 17,002 .. 17,002 16th „ .. .. 6,138 1.180 22,842 7,226 15,616 23rd „ .. .. 8,166 214 27,662 10,978 16,684 2nd March .. .. 6,066 291 29,434 12,119 17,315 9th „ .. .. 5,476 299 29,941 13,096 16,845 16th „ .. .. 5,704 366 31,678 16,236 15,442 23rd „ .. .. 5,402 369 33,946 21,618 12,328 30th „ .. .. 7,669 272 38,028 24,941 13,087 i

H.-35.

Causes of Recent Increase in Unemployment Registrations. The phenomenal increase in the number of registered unemployed since the Board commenced operations is well revealed by this table. Despite the progressive increases in the number of placements through the bureaux the registrations have increased from 7,402 on the 24th November, 1930, to 38,028 on the 30th March, 1931. This increase in the number of registered unemployed is by no means entirely due to a change in economic conditions generally since last November. Indeed, signs of at least partial recovery in the economic sphere are not lacking. In making comparisons of recent unemployed registrations with periods prior to the inception of the Board's activities the following facts should be borne in mind :— (1) The Board has made every effort to induce unemployed to register, for it realizes the absolute necessity of possessing complete and authoritative data as to the extent of unemployment before it can cope effectively with the situation. Wide publicity lias been given to the Board's statement of its policy in this respect. (2) The coming into operation of the Board's schemes for the relief of unemployment has provided the unemployed worker w'th a definite incentive to register, since the Board has made it clear that all workers engaged under its schemes will be recruited from the ranks of the registered unemployed only. (3) Owing to the prevailing economic conditions, local bodies have been unable to provide employment to the same extent as previously, and so a considerable extra burden has been placed on the shoulders of the Board. (4) The very existence of the Board has caused a relaxing of the efforts of employers—both private and local bodies—to provide employment. Some employers who retained workers from motives of sympathy now have no compunction in making dismissals, since they know that some provision is being made for the workless. (5) The uncertainty of the immediate economic outlook, particularly in regard to wagereductions, has meant that many employers are postponing all but absolutely urgent and immediately essential work, in the hope that they will be able to obtain cheaper labour in the near future. The number of registered unemployed thus is probably considerably larger than is strictly justified by the economic state of the country at the present time. (6) Many cases have come under the Board's notice where farmers and farmers' sons, superannuated workers, owners of small businesses, and men with considerable private means have been registering as unemployed in order to qualify for relief work; consequently the Board has been forced to take action to ensure that only genuinely unemployed wage-earners shall be registered and so qualify for employment under its schemes in the future. (7) Since the coming into operation of the Board's Scheme No. 5 on the 9th February the total of registered unemployed includes many thousands who are receiving partial employment under this scheme. Distribution of Unemployment Registrations. Table II of the Appendix shows the distribution of registered unemployed among the larger towns, week by week, during 1930 and 1931. Throughout 1930 a considerably larger number of registered unemployed has been recorded in Auckland City than in the other major centres of population. In Wellington and Christchurch the number of registered unemployed has been considerably less than in Auckland, while in Dunedin registrations have been on a much lower level, as regards numbers, than in any of the other three larger cities. On the 30th March, 1931, the numbers of registered unemployed in the main centres were : Auckland, 8,545 ; Wellington, 4,642 ; Christchurch, 4,517 ; Dunedin, 2,569. Among the smaller centres of population 1,111 unemployed were registered at Greymouth, 1,026 in Invercargill, 947 in Wanganui, and 851 in Palmerston North. There'were 9,358 unemployed registered at various post-offices throughout the Dominion. Registered unemployed on the 30th March totalled 23,183 in the North Island and 14,845 in the South Island. These figures represent 108 registered unemployed in the North Island and 118 in the South Island per 1,000 wage-earners in each Island as estimated for the 31st December, 1930. Analysis of Unemployment Registrations during 1930. An analysis of the unemployed registered at the end of the first week in each month of 1930 is given in Tables 111 -V of the Appendix. In Table V similar data for the years 1929 and 1931 are also given. These are now briefly summarized.

36

H.—36:

As in previous years, the majority of the registered unemployed were labourers, the percentage for each month being as follows :— Per Cent. Per Cent. January .. .. .. 61-5 July .. .. .. 59-5 February .. .. .. 55-5 August .. .. .. 60-6 March ... .. .. 56-1 September .. .. 63-9 April .. . . ■.. 48-5 October .. .. .. 63-8 May .. .. .. 64-4 November.. .. .. 61-0 June .. .. .. 65-8 December .. ...' 51-9 Of the 8,432 men included in the classifications for the month of December, 1930, 3,364 were single and 5,068 married men. The classification according to dependency shows that 3,168 men had no dependants ; 1,406, one dependant; 1,403, two dependants ; 1,089, three dependants ; 652, four dependants ; and 714, five dependants or over. The total number dependent on the 9,630 men on the registers at that date was 15,800, approximately (assuming that the unspecified cases had the same general average number of dependants as the specified cases). The percentage of unemployed fitted for heavy work varied between a maximum of 91-6 in May and 83-7 in December, 1930. Table 111 (attached) shows for each month of 1930, the duration, in weeks, of unemployment during the past six months. The average duration of unemployment of registered unemployed at the end of the first week in each month of 1930 was :— Weeks. Weeks. January .. .. ..12 July .. .. ..12 February .. . . .. 11 August .. .. .. 12 March .. .. ..12 September.. .. ..13 April .. .. .. 11 October .. .. .. 13 May .. .. ..11 November .. .. ..13 June .. .. .. 11 December .. .. .. 13 The classification according to the duration of unemployment, in weeks, shows that on the 9th December, 1930, 2,027 men had been out of employment for less than six weeks during the immediately preceding six months, 1,524 between six and ten weeks, 1,387 between ten and fourteen weeks, 1,102 between fourteen and eighteen weeks, 1,122 between eighteen and twenty-four weeks, while 1,266 men had been out of employment for twenty-four weeks or more during the preceding six months. The percentages of registered unemployed in the various groupings made during each month of the year 1930 were : —

The increase in the severity of unemployment during the year is illustrated by the increase in the proportion of men included in the class "18 to 24 weeks " and "24 weeks and over." In December, 1930, 15 per cent, of the men registered as unemployed had been out of employment for twenty-four weeks or more during the six months prior to that month, while a further 13 per cent, had been unemployed for between eighteen and twenty-four weeks during the same period. The occupations of registered unemployed in the various districts on the Bth December, 1930, are shown, in Table VI of the Appendix. The seasonal variation in unemployment is illustrated by the attached Tables VII and VIII. In Table VII the average number of registered unemployed on the register during each month of the years 1926 to 1930 is expressed as a percentage of the average number so registered during these five years. During the years 1926, 1927, and 1928 the maximum monthly numbers of registered unemployed was recorded in June, July, or August, while in January of 1926 and 1927 and in December of 1928 the lowest numbers were recorded. During 1929 the normal seasonal fluctuation is observed, except for the sudden increase in October of that year consequent on the announcement by the Government that work would be found for registered unemployed. In 1930, however, the seasonal fluctuation was lost sight of in the abnormal increase in registrations during the later months of that year. Table VIII shows the seasonal fluctuations in employment in the main " secondary " industries. As data are not yet available for the year 1930, these figures do not show the effect of the 1930 depression.

37

Percentage of Total. Duration of unemployment (luring the past Six Months. ' '— Jan. Feb. March. April. May. June. July. Augu Sept. Oct. Nov. Dec. Under 2 weeks .. .. 6-0 8-6 7-0 6-5 6-2 6-4 4-8 4-8 3-3 3-5 4-9 6-2 2 weeks and under 4 .. 11-2 10-8 11-2 11-1 10-7 11-0 10-3 9-9 8-1 7-9 7-2 8-3 4 „ 6 .. 11-8 10-6 11-0 12-8 12-7 11-4 10-8 10-9 9-4 8-7 7-6 9-5 6 „ 10 .. 19-6 20-7 20-3 21-5 22-9 22-6 22-1 21-4 21-2 18-8 18-9 18-1 10 » 14 .. 16-9 16-5 16-0 17-0 15-9 16-8 18-2 17-5 19-1 18-8 18-2 16-5 14 „ 18 .. 13-9 12-6 12-4 12-4 11-7 12-1 12-3 13-7 13-3 171 14-4 13-1 18 ■, 24 .. 9-6 10-9 10-5 9-5 10-0 10-5 10-5 10-8 12-8 13-4 14-8 13-3 24 and over .. .. 11-0 9-3 11-6 9-2 9-9 9-2 10-8 11-0 12-8 11-8 14-0 15-0 Total specified cases .. 100-0 100-0 100-0 100-0 100-0 100-0 100-0 100-0 100-0 100-0 100-0 100-0

H.—35.

Table I.—Numbers on Unemployment Register of Labour Department for each Week, 1926-31.

38

Table I.—Numbers on Unemployment Register of Labour Department for each Week, 1926-31. 1926. 1927. 1928. 1929. 1930. 1931. ended Number. Weekended Number. Weekended Number. Weekended Number. Weekended! Number. Week ended Number. - - Jan. 11 384 Jan. 10 1,063 Jan. 2 1,213 Jan. 7 1,828 Jan. 6 1,565 Jan. 5 8 703 „ 18 422 ,, 17 1,406 „ 9 1,507 „ 14 2,419 „ 13 2,520 „ 12 12 230 ,, 25 425 „ 24 1,396 „ 16 2,018 „ 21 2,476 j „ 20 2,723 „ 19 14 875 31 1,349 „ 23 2,192 ,. 28 2,457 „ 27 2,572 „ 26 16 607 „ 30 2,185 Feb. 1 428 Feb. 7 1,372 Feb. 6 2,096 Feb. 4 2,369 Feb. 3 2,398 Feb. 2 17 556 8 428 „ 14 1,501 „ 13 2,267 I „ 11 2,491 I ,, 10 2,402 „ 9 17,002 „ 15 466 21 1,506 „ 20 2,787 „ 18 2,429 | „ 17 2,449 „ 16 22 842 „ 22 448 „ 28 1,433 „ 27 3,137 „ 25 2,440 j „ 24 2,520 „ 23 27,662 Mar. 1 472 Mai-. 7 1,410 Mar. 5 3,002 Mar. 4 2,534 Mar. 3 2,578 Mar. 2 29 434 8 489 „ 14 1,708 „ ]2 2,799 „ 11 2,692 „ 10 2,652 ., 9 29 941 „ 15 480 „ 21 1,725 „ 19 2,436 „ 18 2,790 „ 17 2,806 „ 16 31,678 ,, 22 499 „ 28 1,824 „ 26 2,509 „ 25 2,956 „ 24 3,006 „ 23 33,946 „ 29 547 .. .. .. .. .. .. „31 3,130 „ 30 38,028 April 5 517 April 4 1,940 April 9 2,358 April 1 2,787 April 7 3,328 „ 12 531 „ 11 1,904 „ 16 2,534 „ 8 2,796 „ 14 3,522 „ 19 571 „ 18 1,752 „ 23 2,807 „ 15 3,211 „ 21 3,297 „ 26 576 „ 25 1,553 ,, 30 2,938 „ 22 3,198 ,, 28 3,379 „29 3,263 j May 3 605 May 1 1,712 May 7 3,014 May 6 3,211 May 5 3,953 ,, 10 621 „ 8 1,877 „ 14 3,095 „ 13 3,335 „ 12 4,464 „ 17 711 ,, • 15 2,043 „ 21 3,120 „ 20 3,388 „ 19 4,576 ,, 24 931 „ 22 2,146 „ 28 3,348 „ 27 3,427 „ 26 5,084 ,, 31 1,185 „ 29 2,282 .. .. .. June 7 1,894 June 6 2,328 June 4 3,414 June 3 3,638 June 2 5,259 „ 14 2,169 „ 13 2,322 „ 11 3,220 „ 10 3,418 „ 9 5,067 i „ 21 2,247 „ 20 2,462 „ 18 3,313 „ 17 3,431 | „ 16 5,263 ,, 28 2,092 „ 27 2,408 „ 25 3,317 „ 24 3,662 „ 23 5,448 ! „ 30 5,491 July 5 1,889 July 4 2,141 July 2 3,305 July 1 3,796 j July 7 5,445 „ 12 1,760 „ 11 2,399 „ 9 3,153 „ 8 3,896 „ 14 5,447 „ 19 1,719 „ 18 2,573 „ 16 3,069 „ 15 3,850 [ „ 21 5,609 ,, 26 1,674 „ 25 2,708 ,, 23 3,186 „ 22 3,735 „ 28 5,360 „ 30 3,042 „ 29 3,349 | .. .. .. j Aug. 2 1,784 Aug. 1 2,765 Aug. 6 2,949 Aug. 5 3,368 Aug. 4 5,279 .. ! 9 1,800 „ 8 2,928 „ 13 2,628 „ 12 3,082 „ 11 5,441 j ,, 16 1,815 „ 15 2,700 „ 20 2,536 „ 19 2,941 ., 18 5,639 ,, 23 1,784 „ 22 2,642 „ 27 2,434 „ 26 2,795 „ 25 5,463 „ 30 1,697 „ 29 2,498 .. .. .. | Sept. 6 1,653 Sept. 5 2,327 Sept. 3 2,337 Sept. 2 2,722 Sept. 1 5,371 ! ,, 13 1,634 „ 12 2,316 „ 10 2,318 .. 9 2,618 „ 8 5,536 „ 20 1,762 „ 19 2,302 „ 17 2,292 „ 16 2,608 „ 15 5,793 ,, 27 1,795 „ 26 2,229 „ 24 2,344 „ 23 2,617 „ 22 6,099 „ 30 2,466 „ 29 6,025 Oct. 4 1,711 Oct. 3 2,235 Oct. 1 2,361 Oct. 7 4,924 I Oct. 6 6,052 „ 11 1,625 „ 10 2.118 „ 8 2,425 „ 14 6,264 „ 13 6,028 ,, 18 1,604 „ 17 2,035 „ 15 2,278 „ 21 5,505 „ 20 6,055 „ 25 1,472 ,, 24 1,993 „ 22 2,255 „ 28 4,142 „ 27 6,018 „ 31 1,952 „ 29 2,212 Nov. 1 1,452 Nov. 7 1,851 Nov. 5 2,081 Nov. 4 3,108 Nov. 3 6,080 I 8 1,350 „ 14 1,783 „ 12 1,909 „ 11 2,589 „ 10 6,432; „ 15 1,345 „ 21 1,747 ,, 19 1,903 ,, 18 2,624 „ 17 6,768 „ 22 1,325 „ 28 1,634 „ 26 1.815 „ 25 2,544 „ 24 7,402 „ 29 1,328 .. .. .. .. .. .. .. .. .... Dec. 6 1,308 Dec. 5 1,639 Dec. 3 1,823 Dec. 2 2,404 Dec. 1 8,038 .. ! „ 13 1,226 „ 12 1,613 „ 10 1,788 „ 9 2,080 1 „ 8 9,630 „ 19 1,575 „ 17 1,894 „ 16 1,854 i ,, 15 11,442 „' 24 1,886 „ 23 1,453 ,, 22 11,371 „ 31 1,476 „ 30 1,242 ,, 29 7,596 Totals 58,650 Totals 99,125 Totals 130,325 Totals 157,222 Totals 262,871 Average 1,196 Average 1,982 Average 2,504 Average 3,023 Average 5,055

H.—35.

Table II.—Numbers on Unemployment Register of Labour Department for each Week of 1930.

39

Wee* I I it 4 I ! , 1 4 |s J g I il- ° ntei 1 § Si I 1|| I g| || I § ||«| Total. 1930. Jan. 6 353 257 470 135 10 6 27 14 19 14 55 205 1 565 ,, 13 754 386 583 211 33 17 42 18 23 21 76 356 2's20 „ 20 869 437 484 209 39 25 47 29 23 29 92 440 2'723 „ 27 857 399 505 134 35 29 41 30 21 30 84 407 9*572 Feb. 3 813 401 458 124 26 25 39 25 12 37 81 357 2 '398 „ 10 804 468 444 146 19 21 33 22 11 42 70 322 2'402 » 17 817 483 400 169 29 33 32 17 25 23 75 346 2'449 „ 24 841 467 456 137 34 41 43 29 26 22 78 346 2*520 Mar. 3 875 390 552 134 27 43 37 34 22 30 89 345 2 578 „ 10 857 423 583 131 30 48 35 30 14 38 103 360 2*652 .. 17 913 459 627 141 29 42 43 36 19 46 111 340 2 806 „ 24 1,012 519 628 132 26 49 43 35 19 49 92 402 3 006 „ 31 1,069 520 728 147 24 51 51 31 19 39 79 372 3*130 April 7 1,140 523 736 230 30 64 48 32 25 28 116 356 3 328 „ 14 1,154 570 696 269 44 86 70 37 41 34 112 409 s'522 „ 21 1,172 533 554 279 45 81 59 36 43 26 121 348 3'297 „ 28 1,091 563 634 265 38 75 85 35 42 22 112 417 3 379 May 5 1,131 614 710 298 50 70 171 45 39 35 124 666 3*953 „ 12 1,269 595 809 361 63 61 180 37 48 37 143 861 4 464 „ 19 1,295 622 792 383 66 91 167 57 77 48 155 823 4*576 „ 26 1,494 650 858 367 75 117 141 62 93 60 161 1,006 5*084 June 2 1,380 650 911 336 92 137 159 60 97 73 161 1,203 5 259 „ 9 1,293 647 915 267 71 135 174 44 101 94 135 1,191 5*067 „ 16 1,483 703 919 276 66 111 153 37 93 109 146 1,167 5 263 „ 23 1,524 680 915 273 67 108 195 27 93 110 141 1,315 5*448 „ 30 1,517 686 868 308 62 102 202 34 95 120 146 1,351 5,491 July 7 1,471 644 890 364 66 93 256 36 134 105 145 1,241 5 445 „ 14 1,389 633 903 384 64 86 242 29 99 196 164 1,258 5 447 „ 21 1,413 756 960 414 47 99 202 16 81 241 147 1,233 5*609 „ 28 1,220 766 914 422 66 115 217 1.0 59 194 157 1,220 5 360 Aug. 4 1,218 861 931 452 42 101 181 14 44 189 160 1,086 5 279 „ 11 1,297 855 936 536 59 117 178 65 44 156 157 1,041 5 441 „ 18 1,296 1,006 979 566 42 112 168 77 51 145 164 1,033 5 639 „ 25 1,304 910 994 470 49 103 179 72 46 137 178 1,02] 5 463 Sept. 1 1,408 768 1,039 443 38 107 197 40 46 112 158 1,015 5,371 8 1,518 783 1,032 472 49 106 179 42 55 96 135 1,069 5 536 „ 15 1,470 882 1,122 481 42 119 176 41 105 89 173 1,093 5 793 „ 22 1,556 922 1,150 497 33 116 179 78 93 104 205 1,166 6*099 „ 29 1,689 934 1,090 444 28 110 147 90 111 107 191 1,084 6 025 Oct. 6 1,747 892 1,057 455 53 93 133 80 125 84 186 1,147 6 052 „ 13 1,722 850 1,052 469 70 94 134 59 119 75 184 1,200 6 028 „ 20 1,785 844 1,027 430 74 99 118 53 101 87 194 1,243 6 055 „ 27 1,834 814 956 468 101 96 111 52 86 75 182 1,243 6 018 Nov. 3 1,903 804 1,024 508 69 107 115 64 79 76 148 1,183 6 080 „ 10 2,023 901 1,072 461 83 135 122 65 115 90 172 1,193 6 432 „ 17 2,132 1,057 1,018 436 76 149 128 64 115 88 171 1,334 6 768 „ 24 2,258 1,194 1,089 582 86 128 122 59 125 90 189 1,480 7 402 Dec. 1 2,329 1,200 1,389 547 125 140 176 72 126 93 184 1,657 8 038 8 2,625 1,221 1,671 742 154 165 j 296 146 121 137 213 2,139 9 630 „ 15 3,101 1,854 1,771 687 159 167 289 134 167 168 216 2,709 11,442 „ 22 3,113 1,735 1,835 628 130 131 198 131 191 212 192 2,866 11 371 „ 29 1,592 975 1,136 460 120 83 94 116 208 209 196 2,407 7,596 1931. Jan. 5 1,577 1,860 1,381 491 136 129 276 65 191 159 143 2,295 8 703 „ 12 2,544 2,119 1,875 723 235 208 I 368 145 262 241 316 3,194 12,230 „ 19 3,495 2,233 2,056 828 261 254 416 199 445 280 365 4 043 14 875 „ 26 3,900 2,253 2,106 994 274 308 441 202 557 274 281 5 017 16 607 Feb. 2 4,400 2,415 2,055 1,051 292 363 460 208 462 311 309 5,230 17 556 9 4,647 1,896 1,883 1,456 255 f 403 260 456 389 404 4 953 17 002t „ 16 4,647* 3,313 3,058 1,872 429 459 682 375 606 379 457 6 565 22 842 „ 23 7,166 3,751 3,455 1,923 520 417 788 444 804 461 566 7 367 27 662 Mar. 2 6,639 4,088 4,082 2,216 572 402 879 435 855 510 699 8 057 29 434 9 6,718 4,363 3,635 2,339 620 422 867 537 838 496 791 8 315 29 941 „ 16 6,976 4,257 3,931 2,571 594 404 863 549 783 526 898 9 326 31 678 „ 23 7,606 4,461 4,293 2,730 610 537 874 613 808 490 932 9,992 33 946 „ 30 8,545 4,642 4,517 2,569 703 553 947 620 851 537 1,026 12 518 38 028 April 6 6,403 4,613 4,634 2,389 703* 503 933 644 846 502 1,091 14,337 37,598 * Figures given are for previous week. f Napier figures omitted.

H.—35.

Table III.—Duration of Unemployment of Applicants on Register, First Complete Week of each Month for Year 1930.

Table IV. —Analysis of Applicants on Register, First Complete Week of Each Month of Year 1930.

40

Number of Applicants. Duration, in Weeks. ; , Jan. Feb. March. April. May. June. July. Aug. Sept. j Oct. Nov. Dec. Under 2 .. .. .. 145 204 183 211 273 324 230 251 182 203 307 526 2 and under 4 .. .. 273 257 293 [ 362 470 553 491 .1 519 446 462 449 700 4 ,, 6 ..286 253 288 417 556 574 518 J 573 512 5.12 473 801 6 „ 10 477 I 493 532 700 1,003 1,139 1,055 |1,122 1,159 1,103 1,185 1,524 10 ,, 14 .. .. 410 394 419 554 697 844 872 918 1,048 1,103 1,137 1,387 14 ,, 18 .. 338 301 324 405 512 612 598 716 726 999 899 1,102 18 24 .. 236 I 260 276 311 434 532 501 567 702 786 935 1,122 24 and over .. .. 267 222 307 298 431 460 515, 572 700 691 877 1,266 Unspecified .. .. 88 18 30 70 88 29 665 203 61 169 170 1,202 Totals! .. .. 2,520 2,402 2,«52 3,328 4,464 5,067 5,445 5,441 5,536 6,028 6,432 9,630

—— Jan. Feb. March. April. May. June. July. Aug. Sept. Oct. Nov. Dec. Conjugal condition — Single .. .. .. 1,159 1,092 1,270 1,453 2,092 2,456 2,224 2,149 2,114 2,444 2,542 3,364 Married.. .. .. 1,340 1,292 1,354 1,805 2,333 2,582 2,733 3,089 3,361 3,443 3,721 5,068 Period unemployed during past six months — Under six weeks .. .. 736 714 764 990 1,312 1,451 1,310 1,343 1,140 1,167 1,229 2,027 Six weeks and over .. 1,763 1,670 1,860 2,268 3,113 3,587 3,647 3,895 4,335 4,720 5,034 6,405 Birthplace— New Zealand; .. .. 1,423 1,301 1,512 1,818 2,613 3,055 3,145 3,200 3,310 3,474 3,879 4,934 Elsewhere .. .. 1,076 1,083 1,112 1,440 1,812 1,983 1,812 2,038 2,165 2,413 2,384 3,498 Number of dependants— 0 .. .. .. .1,078 1,017 1,152 1,347 1,865 2,230 2,022 1,878 1,902 2,193 2,294 3,168 1 .. .. 343 371 396 498 707 761 710 792 833 911 1,010 1.406 2 .. .. .. 402 380 394 517 667 762 780 877 943 1,006 1,084 l^403 3 .. .. .. 282 270 300 383 537 580 629 735 738 764 845 1,089 4 .. 192 180 172 266 325 355 386 445 500 490 478 652 5 and over .. .. 202 166 210 247 324 350 430 511 559 523 552 714 Age (in years)— Under 25 .. .. 567 564 637 756 1,084 1,360 1,157 1,123 1,065 1,169 1,263 1,542 25-44 .. .. .. 1,192 1,111 1,206 1,510 2,009 2,249 2,296 2,526 2,439 2,865 3,008 3,902 45-64 .. .. .. 708 682 749 953 1,276 1,366 1,452 1,538 1,921 1,781 1,899 2,824 65 and over ! .. .. 32 27 32 39 56 63 52 51 j 50 72 93 164 Pitted lor— Heavy work .. .. 2,162 2,027 2,234 2,802 4,052 4,531 4,359 4,725 4,953 5,340 5,541 7,060 Light work only .. .. 337 357 390 456 373 507 598 513 522 547 722 1,372 Period on registers— Under three months .. 1,431 1,309 1,426 1,895 2,905 3,569 3,304 3,490 3,174 3,752 3,817 5,541 Three and under twelve 556 586 625 679 773 720 821 979 1,264 1,133 1,268 1,280 months Twelve months and over .. 512 489 573 684 747 749 832 769 1,037 1,002 1,178 1,611 Unspecified cases .. .. 21 18 28 I 70 39 29 488 203 61 141 169 1,198 Totals .. .. 2,520 2,402 2,652 3,328 4,464 5,067 5,445 5,441 5,536 6,028 6,432 9,630 I

H.—35.

Table V. —Numbers on Unemployment Register of Labour Department, classified according to Occupational Groups, for the First Complete Week of each Month for the Years 1929-31.

6— H. 35.

41

«? E e tag Oth^f d Q 3ml lrarmIIandS - nĒ^ d ° theIS ' 1929. Jan. 7 .. 102 95 41 1,208 91 29 262 1,828 Feb. 11 .. 173 140 57 1,489 128 67 411 2,491* Mar. 11 .. 148 135 60 1,731 147 75 380 2,692* April 8 130 137 51 1,802 163 82 406 2,796* May 13 .. 146 150 78 2,139 194 110 432 3.335* June 10 .. 143 161 64 2,215 188 115 483 3,418* July 8 232 195 49 2,468 225 96 548 3,896* Aug. 12 .. 175 175 47 1,864 182 90 498 3,082* Sept. 9 .. 117 122 67 1,698 132 72 386 2,618* Oct. 14 .. 445 378 173 3,472 259 172 1,144 6,264* Nov. 11 .. 197 .176 65 1,498 127 78 379 2,589* Dee. 9 169 153 60 1,163 98 74 316 2,080* 1930. Jan. 13 ... 201 158 71 1,549 116 50 354 2,520* Feb. 10 .. 258 144 74 1,332 126 67 383 2,402* Mar. 10 .. 272 141 82 1,489 169 84 387 2,652* April 7 .. 280 182 109 1,857 229 106 495 3,828* May 12 .. 293 196 80 2,874 242 124 616 4,464* June 9 .. 384 228 86 3,332 279 120 609 5,067* July 7 .. 431 235 81 3,239 260 120 £91 5,445* Aug. 11 .. 486 268 111 3,298 267 119 689 5,441* Sept. 8 .. 492 273 102 3,535 212 146 715 5,536* Oct. 13 .. * 540 267 129 3,847 203 138 763 6,028* Nov. 10 .. 608 279 192 3.923 230 135 896 6,432* Dee. 8 .. 1,014 450 251 5,002 298 204 1,213 9,630* 1931. Jan. 12 .. .. .. .. .. .. .. 12,230f Feb. 9 .. 1,830 672 1,315 8,512 646 445 1,078 17,002* Mar. 9 .. 3,367 1,192 2,086 13,613 1,262 680 1,550 29,941* * Includes cases unspecified as to classification. f Details as to trades not available.

H.—35.

Table VI.— Registered Unemployed on 8th December, 1930.—Occupations, by Districts, including Post Office Registrations.

42

I I ||r I i i i ! ijli fill 111| ill III i Acetone-welders .. .. .. i 3 .. 1 • • | i 4 Bakers and pastrycooks .. .. 6 5 12 7 .... 1 .. 1 2 2 2 39 Biograph operators .. .. .. 1 ; 1 .. .. 2 Blacksmiths 19 8 20 7 .... 111112 2 1 3 67 Boilermakers .. .. .. 11 7 10 1 .. .. I •■ .... 29 Boot operatives .. .. 23 10 16 8 j 2 1 .. 60Bricklayers 17 15 15 1 .... 2 .. 1 1 2 3 .... 67 Brushmakers .. .. . • .. • • 1 1 I • • ■ • Butchers 9 8 13 7 .... 3 .. 21411 2! 3 54 Caretakers and liftmen .. .. 13 7 5 3 I .. I 28 Carpenters and joiners .. .. 263 139 110 53 2 .. 18 13 14 15 18 12 3 4 .. 7 3 14 688 Clerical workers .. .. 65| 40 29 14 .... 5218212.... 3 1 4 177 Coach-workers 2 2 8 1 .. .. 1 .. 2.. 1 1 .. 1 19Confectioners .. .. ..[ 1 2 4 4 • • 11 Cordial-factory workers .. .. 2 .. 2 j • • 4 Curriers * .. .. .. .. .. 4 I .. | 4 Drivers .. 152 65 60 40 1 .. 14 9 . . 5 5 8 7 3 .. 2 4 8 383 Electrical workers .. .. 20 5 7 7.. .. 2 1 1 1 44 Engine-drivers .. 19 6 10 6 .... 4 1 1 1 .... 1 13 53 Engineers — Fitters and turners .. ..45 19 32 26 .. .. 3 .. 1| 7 4 1 .. 1| • • • • 1 4 144 Platelayers .. .. .. 2 • • • • Toolsmiths .. .. .. .. 1 1 •• Marine .. .. . • ■ • 1 i • ■ * Factory workers .. .. 4 .. 4 1| 1 3 .. 2 15 Farmhands 43 22 32 20 .... 22 12 5 5 2 7 17 2 .. 13. 6 15 223 Furniture-trade employees .. 26 19 34 9 2 1 3 1 1 .. .. 4 .. 1 101 Gardeners .... .. 19 13 42 6 .... 212..!.. 171.. 3 i: 1 99 Grocers' assistants .. .. 22 5 11 5 .. .. 1 . . 1 3 2 .. .. j .. .. i 2 .. 2 54 Hairdressers' assistants .. .. 3 1 6 2 ; 1 .. 1 • • 14 Hotel workers and cooks.. .. 89 50 27 11 .... 34216221.. 2 l! 2 203 Labourers .. .. 1,400 684 912 455 123 117 198 49 248 128 335 290 53 192 57 77j 72 1705,560 Leadlight-workers .. 2 J .. .. Married couples.. .. .. .. ! \ I " ■ ■ 2 Mechanics — Cycle and motor .. .. 18 20 24 6 .... 51124.. 21.. 1! .. 1 86 Piano 1 • • I I • • • • j ! • • • • 1 Dental .. .. . • . • 1 • • 1 I • • • ■ Z Message-boys .. .. .. 2 1 2 I m , • ■ • • 5-Metal-workers 13 5 13 12 .. .. 1 .. .. 2, .. .. 46Miners 10 14 41 8 .. .. 3 2 lj .. .. 42 Moulders, iron and brass .. 7 4 9j 7 .. .. 1 .. 2 .. .. 1 31 Painters and glaziers .. .. 83 19 37! 17 1 .. 3 4 7 4| 6 2 .. .. .. ., 1 2 186> Patternmakers .. .. I 1 j • ■ I i ! Plasterers 15 14 12 3 ...... 1 1 3 .... 2 .... 51 Plumbers 34 27 19 10 .. .. 7 1 1 1 1 .. 1 102 Printing-trade employees .. 13 10 10 3 1 • ■ 1 ! • ■ • • 38 Quarrymen 4 3 7 .. .. 1 4 19 Riggers .. .. 1 1 j 2 Saddlers 7 2 5 3 .... 1 1 1 20 Sailmakers .. .. . • • • 1 .. 1 Seamen and firemen .. .. 31 71 8 9 I 2 .. 1 .. .. 122 Shop-assistants and salesmen . . 27 24 17 10 1 • 2j 1 .. 1 .. .. 31 .. 4 90 Stonemasons .. .. .. 4 2 4 3 1 •■ 14 Storemen and packers .. .. 53 23 32 12 1 .. 5 3 .. 130 Tailoring-trade employees .. 10 5 7 21 1 .. 1 .. 1 27 Timber-workers .. .. 11 13 21 3 1 .. 2 2| .. .. .. .. 1 .. 9 63 Tinsmiths 8 1 3 2 .. •• 14 Umbrella-makers .. .. 1 •. ■' i .Warehousemen 3 2 2 2 .. .. 1 ! . • • • 10 Watchmakers and jewellers .. .. 2 I .. ■ ■ | ■ • ■ • 2 Other .. 27 23 16 8 .... 11 1 1 7 2 15 1 .... 3 .. 3 118 Unspecified 114 .. j .... 81 4 .... 1 1 „ - ™ Totals 2 6521 427 1 791 *822 : 128 117 401 113 299 203 404 347 104 207 134 141 100 259 9,649I * Dunedin figures for the 8th December were 803; figures given on schedule are for the 15th December.

H.—35.

Table VII.—Numbers on Unemployment Register of Labour Department.—Seasonal Fluctuation. Average Number on the Register each Month of 1926-30 expressed as a Percentage of Average Registrations during the Five Years.

Table VIII. —Seasonal Fluctuations in Employment in New Zealand, 1926-29. Table showing the Number of Male Wage-earning Employees (excluding Working Proprietors, Managers, Overseers, Accountants, Clerks) engaged on the 15th or nearest Representative Day of each Month of the Calendar Years 1926-29, in (a) the Meat-freezing, Ham and Bacon Curing, Butter and Cheese Making, Sausage-casing, Wool-scouring and Fellmongery, and Boiling-down Industries; (b) the other Manufacturing Industries; (c) in all Manufacturing Industries; (d) the Building Industry.

Approximate Cost of Paper —Preparation, not given ; printing (1,250 copies), £62.

By Authority : W. A. G. Skinner, Government Printer, Wellington.—l93l.

Price ls.~]

43

(Note. —A difference of 1 per cent, represents 36 registered unemployed.) Average 1926-30 = 100. 1926. " 1927. 1928. 1929. 1930. Month. Percentage. Percentage. Percentage. Percentage. Percentage. January .... | 15 47 66 88 85 February ..... 16 53 93 88 89 March .... 18 61 98 100 103 April .... 20 65 97 111 123 May .... I 29 73 114 121 164 June .. .. 76 86 120 129 193 July .. 64 89 114 135 199 August .. .. 81 98 96 111 198 September .... 62 83 84 95 209 October .... 58 75 84 189 219 November .... 49 64 70 99 242 December .... 46 58 64 66 349 Average for year 43 72 91 110 184

Manufacturing Industries. Manufacturing Industries. Tsf g" s St; Jm Building ™ ,, .3 Sri o r «i Building Month. fgS&g Other «ggg* Month. S - Other Mustry _ 15 S3 «I Total . Manu^ ctur - Total. ISlla Industries. , Industries. _. gg ° M I I | I 1926. 1928. January .. 10,349 43,437 53,786 9,126 January .. I 9,829 46,975 56,804 9,464 February .. 10,947 43,800 54,747 9,289 February .. I 10,433 47,057 57,490 9,626 March .. 10,805 43,768 54,573 9,231 March " .. 9,987 47,556 57,543 9,638 April . 10 282 43,462 53,744 9,279 April .. 8,647 46,528 55,175 9,373 May .. 8,995 43,104 52,099 9,368 May .. 7,780 46,151 53,931 9,600 June .. 6,805 42,794 49,599 9,155 June .. 6,545 45,310 51,855 9,541 July 5,495 42,752 48,247 8,937 July .. 5,146 45,185 50,331 9,571 August .. 5,088 42,828 47,916 9,005 August .. 5,042 45,540 50,582 9,773September .. 5,620 43,433 49,053 9,348 September.. 5,730 45,615 51,345 9,781 October .. 6,023 43,548 49,571 9,228 October .. 6,136 46,277 52,413 9,854 November .. 6,782 43,923 50,705 9,330 November .. 6,666 46,498 53,164 9,871 December .. 9,150 44,165 j 53,315 9,178 December .. 8,831 47,206 56,037 9,839 1927. 1929. January .. 10,690 45.974 156.664 9,060 January .. 10,419 46,895 57,314 8,946 February .. 10,868 46,219 : 57,087 I 8,896 February .. 10,449 47,250 57,699 9,070^ March .. 10,830 46,448 57,278 8,748 March .. 1.0,297 47,438 57,735 9,222 April .. 10,063 45,879 155,942; 9,283 April .. 9,044 46,834 55,878 9,303 May .. 9.003 45,391 54,394 9,159 May .. 7,907 46,851 54,758 9,356 June . 7,184 44,998 52,182 8,736 June .. 6,520 46,209 52,729 9,424 July .. 5,452 45,137 50,589 8,530 July .. 5,170 46,096 51,266 9,455 August .. 5,267 45,165 50,432 8,600 August .. 5,280 46,508 51,788 9,616 September.. 5,792 45,6:6 51,468 8,889 September.. 5,648 47,087 52,735 9,896 October .. 6,144 46,057 52,201 i 8.850 October .. 6,011 48,254 54,265 9,942 November.. 6,912 46,328 53,240 j 9,115 November.. 6,479 48,937 55,416 9,990 December .. 9,433 46,351 55,784 j 9,075 December .. 8,795 48,946 57,741 9,938