Widespread Demands For Wage Rises Likely

Chronicle (Levin), 8 April 1949, Page 5

Widespread Demands For Wage Rises Likely

(N.Z.P.A.-

—Reuter,

Cnvyright)

Received Fridav, 10.26 a.m. LONDON, April 7. British Trade Union leaders today warned the Minister of Economic Affairs. Sir Stafford Cripps. that they mighk -be powerless to stem widespread industria1 wage inerease demands after his "hisher food prices" Budget, announced in Parliament vesterday. Sir Stafford was present today at a meeting of 400 members of the Parliamentary Labour Party and he gave a spirited defence of his Budget, particularly in regard to the proposbd inerease in the price of meat, cheese, butter and margarine. The meeting opened in an atmoisphere of resentment, says Reuter's correspondent, but the open explosion predicted in some quarters did not take place. Morierate elements in the party accepted the Budget, despite its depressing details, as inevitable in Britain's present circumstances Nearly all the Cabinet Ministers except the Prime Minister. Mr Attdee, attended the meeting. The Ministers subsequently discussed public reaction +o the Budget at their normal Thursday Cabinel meeting. The. main challenge to Sir Stafford was on the inerease in food prices, but the Chancellor pofnted out that the amount added tc weekly food costs by the Budget was only a few pence per ration book. Sir Stafford also pointed out that the present heavy food sid s'dips in themselves gave the ordimrv h~u-mhnlder an equiva'ent of a remis'ion op r,"*rnral shillings in income tax a week. Trade s Union representnl:,'r' emphasissd their opinirn stronslv that immediate wage increas^ de man'ds from lower paid workers were inevitable.