UNEMPLOYMENT.

Press, Volume LXVII, Issue 20234, 12 May 1931, Page 13

UNEMPLOYMENT.

BOARD'S FUNDS NOT SUFFICIENT. MINISTER'S STATEMENT. jffifriNG OF LOCAL COMMITTEE t ' Xhe meeting of tlio Christchureh Unefflploymeut Committee yesterday was attended by tho Hon. S. G. Smith, Minister for Labour, and the chairman of the Unemployment Board. f«i® chairman (Cr. E. 11. Andrews), 1 in extending a welcome to the Minister, said that they knew the Minister lad a difficult task in dealing with tie unemployment question, and ho thought that tho general opinion was that Mr Smith had done it exceedingly welL They knew that the Minister would like to do ;t great deal more if funds to do so were 'uvailable. Impossible Tasks. The Minister said that it was a great pleasure to him to bo present and to exprcis to tho chairman and members of the committee his appreciation of the wonderful work that had been accomplished in Christchurch. Wonderful irorfc hfid been done In other parts of New Zealand, but of the big centres (iriatchurch and Wellington alone had grappled with the problem and had cooperated with the Board. The Board had been asked to do impossible tasks. It httd como into existence too early after the passing of the Act, and was confronted with problems that at onco became intensified, and tho Board's jwjition was now serious. From tho JeTjr the Board received £600,000, and a similar amount from tho Consolidated s>ad, a total of £1,200,000. At pretest, under the No. 5 Scheme alone, it was costing tho Board £50,000 per trejßk, and if that rato of payment was MOtinued for 39 weeks, tho * Board BtOttld exceed its total by £75.0,000. Jfo knew that there were a few who knew where millions «r«r« to be picked up, and he had forked into sozno of their suggestions, Jsut had not been able to discover tho Billions. The problem was a sorious one, and at present a Committee of Cabinet was endeavouring to think out wmc ways and means of finding money to that tho Board could do something supplementary to what it was doing, lie. had hoped to have been in a position to have inado an announcement on behalf of the Minister for Finance, but he had not been able to complete matters beforo leaving Wellington on Saturday. They did not protend in the existing conditions—the abnormal numher of men out of work, and the extreme economic difficulties—to do more than make an earnest attempt to minimis the hardships of unemployment as far ns possible. As chairman of tho Board ho expressed his deep gratitude to the members of the Board for the time and attention given by them to ttoj' problem. When ho saw those aramd the committee's table he saw Messrs Leadley and Hatchinaon JftfWreir ideas from, (Laughter.) .This ™ first occasion tfrat he had attended the meeting of a committee in: a district where there were members the Board, and ho realised that tfwsrs Hutchinson and Leadley were tasked up by the opinions of men and «romcn in Christchurch who came in tenth with the great problem of unempStyment. He would be "happy to" ttnrrr any questions. Unemployed Women. - ' "The whole question of unemployed tjjiaea throughout New Zealand," the said, in reply to Cr.Praer,"isa matter for investigation. Some IJES** ave been received, and they reveal the extreme and acute unjjrjfjfeypicnt amongst women that .has 1',,;- 'iffy suggested by some of the newsIfflpffls. I£ possible, before the end of ton week, I hope to make a statement jfM? representations made and the Rations offered to meet the diffito Mr Cross, the Minister MfA that the question of calling on I*I®®® 1 ®®® in a nofdtion to do so to pay the of Government policy, ie, as chairman of tho about it, it was for the' to make an announcen of Age Limit, ilr Crampton, who asked ly chance of the age at >nld take advantage of me being reduced to 28 inter said that at presyoung men, between 18 working on farms,, to rd paid. 15s per week, ; the fact that they were ;o register, nor to pay rong appeal bad been rs throughout the Doi greater advantage of eyond that he could not ouncement, or give any that the Board would go had gone. for Highways. d asked why, considerirable New Zealand's ngland, the Government raising a loan for roadd probably the constrncly from Auckland to tho 3 Minister for Finance," ed. "It is not easy to lon market to-day; the imely difficult in regard r. "After the earljhqualca t down 'to 89, and no, d favour the Governmoney when stocks are ige Mr Drummond gave would move at next eminent be requested to nary internal loan of 5} per cent, having a years; that tho loan be rarpose of constructing iy from Auckland to 3 that the sinking fund ) provided from the unr and the balance of the "red to the Main Highbe used in connexion iction of tho main higUfork for 200 Men. ire (representing the v'er Trust) said that prepared to launch a 'mo of treo-planting for s Unemployment Board's i be relaxed somewhat, tampered under existing ispect of transport and They provided both for ad sometimes 11, 01 - Up. That, was costly ry, and if continued-the carry on. Under the pro-s-day and three-day men use to them, but if some ngement eould be ar-

9<fn ? y wore allow ed to sort total ™ on ' would be prepared « - em off tha e °mmitteo's handa tor the winter—they would take them " ire ° m ontha and keep them on the i. vj r V e da ya each week, and would provide transport. ,«?i r , Le ?, dl , c y suggested that four-dav men should be selected, one lot to start one week on Tuesday, and tho noxt lot •*? « 6 next week on Monday. Mr Manhirc said that they wanted to start the men on Mondays and brine 2J? in 011 nights. Tho chairman said that Mr Bailey was of the opinion that the matter could bo arranged all right. Organisation of Relief. Regarding the organising of relief measures during the coming winter, Mr Olimio reported that over thirty Associations, or agencies, had been invited to send representatives to tho meeting to be held this evening. Mr Leadley said that ho had brought the matter before the Board last week, and in the course of an informal discussion it was indicated that tho Board would consider applications for the employment of men not able to undertake heavy work under the No. 5 Scheme to go round and collect goods. Llain Highways. Air Climio reported that in conformity with the decision of the committee at its meeting last week, ho had written to the Unemployment Board and the Highways Board relative to a scheino for absorbing tho unemployed on highway rconstruction works. Mr Sullivan said that he took it that tho idea was to put the unemployed on highways work in respect of which tho money was being found by the Unemployment Board, otherwise it would mean displacing mei now employed on such work by tho unemployed and that would bo of no advantage to the Dominion. The wages question would create difficulties with the labour unions which would take strong objection to tho present unemployed relief wages replacing tho wages at present being paid. Mr Cross said that the idea of Mr W. J. Walter, who was one of the deputation that waited on the committee on tho subject, was to do away with machinery and go back to concrete-mix-ing on the board, so that a great many | more men would be employed. . Tho Hon. S. G. Smith said that the conference between representatives of the two Boards would be hold, and if a scheme were evolved it would be submitted to the main committees for their comment. A letter was read from a Lees Valley resident, urging that men under the No. 5 Scheme be employed to clean ap the Lees Valley road and remove dangerous corners. , It was decided to get into communication with the Oxford and Ashley County Councils on tho subject, with a strong recommendation that tho work should be put in ''and. Othe* A letter from the Amalgamated Engineering and Allied Trades Union, regarding the payment by tho Heathcoto County Council of relief wages to a blacksmith, instead of the union rate, wfts referred to the County Council to confer with the union. Mr Scarff said that the man. referred to would bo taken off pick-sharpening, and the tool sharp--ening would be done by the foreman. In view of Mr Scarff's statement the committee decidod not to hear the secretary of the union.

The Unemployment Commissioner (Mr Malcolm Fraser) wrote respecting tho application of the Board of Governors of St. Andrew's College for labour under tho No. 5 Scheme that private or .denominational schools were not eligible under that scheme.

* A letter from the Council of the United Burgesses' Association urging that the unemployed should be employed m tar-sealing streets was referred to *he City Council, Cr. Beanland remarking that it would be considered when tho estimates wero being prepared. Thero were present: C'rs. E. H. Andrews (chairman), Annie I. Fraer, .T. "W.Beanland, andD. G. Sullivan; Messrs F. W. J. Belton, C. E. Cross, George Harper, J. W. Crampton, R. jj. Ecroyd, T. L. Drummond, J./8. Baj-nett, W. W. Scarff, R. T. Bailey, J. F, Eames, G. Lawn, A. Manhire, and P. B. Climio j£hbn. secrdtafy). Messrs F. L. Hutchinson and W. E. Leadley, members of the Unemployment Board, also attended.

NEW ZEALAND INDUSTRIES. MINISTER ADDRESSES CONFERENCE, COMMITTEE SET UP.

After addresses by tho lion. S. G,. Smith (chairman of tho Unemployment Board and Minister for Labour) and other speakers, a conference of primary producers, manufacturers, merchants,, shopkeepers, wage-earners, and other sections of the community, which was held in the Chamber of Commerce Hall last night at the invitation of the Unemployment Board decidod to sot up a committee with the object of onoouraging secondary industries and thus assisting to provide work for thousands of unemployed. Tho Mayor-elect (Mr D. (J. Sullivan, M.P.) was in the chair, and thore was a large attendance. Mayor-elect's Views. • The chairman said the. Mayor (Mr J. K. .Archer) woul<J have been present had he not been called out oi town. After .extending a welcome .to the Minister for Labour. Mr Sullivan said that although Mr Smith and he had differed on occasions . they, were in accord on the question of doing wh»*t tliey could to solve unemployment. Mr Smith was carrying a heavy loftd or responsibility at present, for in Christchurch alone there were about 4000. unemployed, and about 36,000 in the whole Dominion. He thought that everyone in the Dominion knew how much misery there was behind tho wold unemployment. Ho took it that no one present was in attendance to criticise the mistakes of the past. It had to be realised that every time people purchased an article they bo came employers of labour, for more work was provided to replace thn goods - bought; - The question was, were the people employing their own race, or foreigners, to replace those croods? He felt sure that in New Zealand there were tho men and the nlant necessary to provide most of the poods needed. - The Unemployment Committee had grappled with the problem ar.d had come to the conclusion that a local patriotism was necessary to encourage people to purclin.se New Zcala-.yl . nods. He hoped that employers employees, buyer* and sellers, would unite to encourage tho development ot the Dominion's existing secondary industries. Local Efforts. Mr E. H. Andrews, chairman of the Christchurch Citizens' Unemployment Committee, said that the committee had been struggling for years to find work for unemployed. In the City to-day thero were about 3000 men receiving their measure of reliof work. But he did not fhink that the problem was bte-

ing settled to the satisfaction of anybody. However, all concerned wore doing their best with the means at their disposal. Lately tho question of encouraging the development of the secondary industries had received a good deal of attention, and lio was convinced that therein lay the solution of the problem. There were, ie had been told, 4000 manufacturers in New Zealand. If theso men would take on an extra three employees it would mean that another 12,000 men would be taken out of the ranks of tho unemployed. Ho was sorry that there woro fcOt more women present, because ho felt sure that if the women decided to insist on locally made goods the unemployment question could be solved. It might be said, he continued, that New Zealand manufactures wore not always up to tho mark. Such was the caso in a certain number of instances, but he was convinced that on the whole, tho quality of New Zealand goods was comparable with that of goods imported from abroad. Minister's Speech. The Minister for Labour said that a tremendous task confronted tho Unemployment Board. It had been said that the Board should provide more work and higher wages than it had done up to the present. Voices: So you should. "It is all a quostion of money," said tho Minister, who went on to state that ho had received a communication from tho Christchurch Communistic Party purporting to show how the unemployment problem could be solved, but he did not attach much importance to it as he was afraid that if tho wealth of the Dominion were to bo divided thero would be nothing mom valuable to take away than perhaps a farm gate. Mr Smith wont on to state that tho Board because of its lack of funds had been forced to bring in a ration scheme. The Board's outgoings were, he said, about £50,000 weekly, sc it was essential to keep an eye on tho expenditure. There was not a member of the Board or of tho Cabinet who felt that it was right for single men to bo paid 18s a week for three weeks out of four. The Minister stated that foreign countries wero to-day exporting increasingly largo quantities of products to England at prices against which New Zealand- could not compete. Russia had been able to achieve results because of low prices and pushfulness. Why, ho asked, did not New Zealand push her goods. He was convinced that tho Dominion had salesmen as good as any to be found elsewhere. Liko Mr Andrews, he believed that if the women of New Zealand would unite tliey could solve the unemployment problem. It was all a question of convincing the people that the goods could bo made in New Zealand, and should be used. In Christchurch on the unemployed register, there was a lengthy list of workers representing all branches of industry who were doing relief work with pick and shovel, yet not a single effort had boen made to get these men back to permanent avenues of employment. Whatever tffo fault was, it had to be admitted that Now Zealand had the men and tho factories to produce the goods necessary tor restore prosperity. All that was required was n demand for the good,.and the money to be spent on them.

Opportune Time. Mr W. Machin said that there was probably never a time in tho history of the Dominion when tho question ol encouraging secondary industries could be better discussed, when tho £9,000,000 due by way of interest was paid, and when it was realised that thero was not a great deal of .money available for overseas Roods, it would bo seen that the time was suitable to launch a campaign for tho use of New Zealand goods. Many of tho goods made in Now Zealand were excellent, and reasonably priced, but on the other hand some were priced too high, and wore not comparable with goods which might bo purchased from our own kith and kin overseas. He had found on analysing certain lines that their cost ox-factorv was 75 per cent, higher in New Zealand than in England. Another line, which was obtainable. ex-factory in Britain at a cost of 12s 4d was landed in the Dominion at 19s Bdi yet a similar line produced in New Zealand cost his company 22s ex-factory. Another lino, which' cost 5s B£d in Britain was landed in New Zealand at lis 6d. A similar line, but one not so good, cost 13s 6d in New Zealand. It had to be remembered that the purses of tho people caused thom to make a study of how best to spend their money. As a mattor of fact, some of 'the industries in New Zealand to-day were well worth developing, because of the number of workers they wore capable of employing, and others were not worth encouraging. With all due consideration to the Minister, ho did not think that it was possible in many cases to produce in New Zealand goods,comparable in price with imported lines. Heavy Imports. j Mr F. L. Hutchinson, a Christchurch member of the Unemployment Board, said that of the £45,000,000 worth of goods imported into the Dominion £10,000,000 could reasonably be made in the Dominion, apparel and readymade clothing alone amounting to £2,234,000; ■ Each million pounds worth of goods gave direct work, on a low estimate, to 2000 hands. Indirectly New Zealand should employ a much larger number, as every trado put into action others, from which it drew its raw and other materials. The average wage in normal times wa9 a little over £4 a week, so the manufacture of this extra ten millions worth would, allowing another 500 hands for allied trades, give work to 25,000 hands and circulate extra wages to the extent of £5,000,000 per annum. This five millions woulu circulate round and round through shops and stores, through the professions, the investors, and tho property owners. Everyone, rich and poor, would feel the benefit of this commercial life blood, and the community would in a very Bhort period become prosperous and the spectre of unemployment would vanish like a bad dream.

"To buy goods/rom overseas because they are cheap, while our own people are unemployed, will impoverish and not enrich us," continued Mr Hutchinson, "and 'a country which neglects her basic industries is committing economic suicide.' By basic industries I mean turning out raw products, wool, hides, etc., into manufactured goods—a production of wealth quite as important in its place as the growing of produce. There is no fundamental difference in wealth production between growing the wool and hides- and turning them into manufactured articles, and because wo cannot develop an overseas market for these goods is no reason why wo should not have our own home market for them to the fullest jxtent possible. This is the crux of the whole question. Can wo have our homo market without injuring any class of the community through raising tho prices in relation to wages. I feel confident that it can be done, and that prices will not be raised, and that' they will be lowered with a larger turnover and tho better and more economical organisation which follows a larger turnover.'"

Other Views. A member of the audience suggested that a law should be made to force New Zeala.nd manufacturers to mark their goods as new wool. Mr James Catr said that the dairymen of New Zealand' had to compete' with London. Why could not the manufacturers of New Zealand blankets compete with the British manufacturers. He eould not see why there should not

be an export trade in blankets as well as dairy produce, seeing that New Zealand blankets wero the best in the world.

Mr T. H. Ilarker suggested that fruit, vegetables, and other edible commodities should bo commandeered and sold at wholesale rates in order to keep down tho cost of living. He claimed that the income of tho Board was sufficient to pay interest on £12,000,000, which, he asserted, was an amount sufficient to start fresh industries.

Another member suggested that consideration should be given to the question of manufacturing spare motorcar parts, thus providing employment for out-of-work engineers. Mr F. W. J. Belton moved that a local committco be set up to go into the question of establishing sub-commit-tees to deal with the question of fostering secondary industries, to consist of Messrs H. S. E. Turner, W Machin, I. Woolf, V. E. Hamilton, 11. D. Acland, J. S. Barnett, A. M. Hollander, C. S. McOully, G. M. Hall, I?, English, C. Ogilvie, G. M. Lawn, James Hay, Professor A. S. Tocker, representatives of the Canterbury A. and P. Association, the Farmers' Union, the Canterbury Commercial Travellers' Association, building, furnishing, boot and engineering trades, tho unemployed, and Mesdames Hotchkin and A. I. Fraer. ' The motion was seconded by Mr. ,A. M. Hollander, and carried.