Labour's Proposition to Meet Increased Costs

Chronicle (Levin), 25 February 1947, Page 5

Labour's Proposition to Meet Increased Costs

-Press ■ Association

By Telegrrph-

WELLINGTON, Feb. 24. It is reliably rej)orted that the national eouneil oi the New Zealand Federation of Labour has ihecided to press for a general vvage increase on the basis of £1 a week for work ers under all awards. The eouneil has resolved that the increase in wages neeessary at present to reach prices is £1 a week. It believes that such an increase, together with the reduction of 6d in the £1 011 wages tax; seheduled for May next, will give workers a better measure of real vvages. 'Tiie Government has announeed that it will authorise the Federation of Labour to state a case in the Arbitra; tioh' Court for a new general wage order. It iias not yet indieated whether this authority will be for an application for a basic all-over increase, or t'or increases in the standard r-ates existing for seini-skilled, sldlled and linskilled workers. If the Government authorises the (ifst course, then the policy of the national eouneil is that the federation should seek an increase of £1 a week. If the authority is given for an applieation for alteration of the standard rates, then any adjustment granted under a general order must subsequently be applied for by unions under -their separate awards. Qnion leaders are confident that, on the evidence that can he brought, the Court will grant an increase. They are hopeful that any general pay rise will be applicable as from an early date, even thoiight the case may not he completed hefore that date. It is hoped that a fixtufe will be arranged very soon with the Court. Members of the national eouneil of the federation have been mee.ting in Wellington to' determine post-war stabilisation policy for sulnnission to the annual confftrenee in June. They field discussions at the otliees of the Economic Stabilisation Commission, of which the vice-president of the federation, Mr. F. P. Walsh, is a member. It is reported that after full discussion of the wage issue it was decided by a considerable majority in favour of an increase of £1 a week (6d an hour on the 40-hour week hasis) under all awards. It was eonsidered that if workers' ineomes were to overtake price increases already oeeurring, tlien a full £1 a week was neeessary, in addition to the 6d in the £ relief -from wages tax, which the workers will enjoy wlien the promised reduetion. of the tax comes into operation in May. The annual eonference of the New Zealand Manufacturers' Federation, which also met in Wellington last week, deelared: "We cannot aecept the suggestion Ihat there is any possibility of manufacturers being able to absorb an increase in costs arising from a general upward trend of wages. ' ' These two points of view will be two bases of argument when the applieatioii for a general wage order is heard before the Arbitration Court, [f a general increase is granted it xvi 11 be the fourth since the stabilisation policy was introduced.