Govt. To Honour Some Industrial Agreements

Press, Volume C, Issue 29499, 28 April 1961, Page 12

Govt. To Honour Some Industrial Agreements

(New Zealand Press Association)

AUCKLAND, April 27. i Secret agreements entered into by the Labour Government to give substantial protection to new industries will be honoured by the present Government where they are considered to be legally binding, but where such arrangements were not concluded, the Government has not continued with the negotiations and no new monopoly arrangements have been made. This information has been given to the Constitutional Society by the Minister of Industries and Commerce (Mr Marshall). The society had written to the Minister saying that considerable concern was felt at reports that the Labour Government had promised protection for certain new or contemplated industries up to 80 per cent, of the New Zealand market for five years. The society asked if this was true, and if the new Government felt obliged to honour those agreements. Mr Marshall replied that certain agreements had been entered into by the previous Government and the details would be made public at the appropriate time. The question whether it was constitutionally possible for a Government to bind its successor in such matters had been raised by some members of .the society, said the chief executive officer (Mr A. F. Manning) today. It had been argued that a Government should have power to cancel agreements which were not in the public interest, particularly where a start had not actually been made in establishing the industries conthe Waiau, and much livestock is trucked out each week across the bridge. The railway terminus is on the south bank of the river.

cerned. The United States I had cancelled a number of big defence contracts be- ' cause it had changed its 1 policy. > “The society welcomes the > Minister’s assurance thatde- > tails of agreements will be • made public, and also that •no new monopoly arrange- : ments have been entered t into by the present Govern- ! ment,” Mr Manning said.