WOMAN'S WORLD. FRIDAY, MARCH 7, 1919. A BAD BLUNDER

Dominion, Volume 12, Issue 139, 7 March 1919, Page 4

WOMAN'S WORLD. FRIDAY, MARCH 7, 1919. A BAD BLUNDER

Some of the rush legislation of last session has just been carried into effect ill the Arbitration Court with results, immediate and pros-

pective, which probably will startle its authors when they come to give the matter their calm consideration.

Parliament last session empowered the Court to amend awards or in-

dustrial agreements, taking into consideration any increase since the date of the award or agreement in the cost of living affecting tho workers concerned. Having'before it applications under this provision from certain industrial organisa-

tions, the Court has increased wages in the industries concerned to such a point as in its opinion will give them the same purchasing power as the , wages fixed at the time when the original awards were made. In announcing this decision the President of the Court (Mr. Justice Stringer) very frankly states his belief that the action taken will not serve its intended purpose. It is certain, he points out, that workers in other _ industries than those now dealt with will apply for amendments of their awards similar to those just made, and a general increase in wages is therefore to be expected.

It is inevitable (His Honour continues) that the effect of these increases will be reflected, and probably in a magnified form, in further, increases in the cost of living, if the other and more potent factors in raising the «09t of living remain in full force and effect. Unless, therefore, the cost of the necessaries of life is reduced as a result of the cessation of the war, or, failinj? that, unless the price-controlliuß authorities, the Government and the Board of Trade, are ablo to devise and enforce some method of preventing further increases in the price of such necessaries, the Court will again and again bo asked to amend its awards and increase wages in conformity with the ever-increasing cost of living. Whatever opinion may be held in , regard to the best method of bringing down the cost of living, it is painfully evident that tho only result of Parliament's hasty and illconsidered action has been to intensify and absurdly complicate 'the problem. It is impossible at present to imagine where the riot of wage-raising upon which the Court has been launched will end, .but the main result undoubtedly will be to make the cost of living problem in its' total scope and in detail aspects more than ever formidable and difficult of solution.

The clause under which the Court is acting is contained in the War Legislation Act of last session. It provides that the Court shall have power, under stated conditions, to amend awards or agreements by altering wages or hours of employment. A sub-section provides that these powers shall be exercised "if, having regard to these and to all other relevant considerations, the Court is of opinion that it is just and equitable" to exercise them. This seems to make the clause as a

wholfe permissive in character, but the Court "takes the view 'that it is mandatory. The time during which awards are to be amended under these conditions is uncertain. The

Act which the empowering clause amends is to romain in force for two years after the end of the war unless it is sooner repealed. One part of the clause provides, however, that its repeal.or expiry shall not affect the operation of any award or industrial agreement amended under its authority. When it was before the House of Representatives last session this remarkable clause received no such attention as certainly would have been given to it had its purport and possibilities been fully grasped. It is noteworthy, however, that in the Legislative Council the proposal to empower the Arbitration Court to increase wages on the lines now being followed was pointedly criticised by a prominent member of the Labour, Party, the Hon. J. T. Paul. He said in part:

As soon as peace is declared we are going to be brought fnco to face with world-wide competition bo far, ns industries are concerned;'and if we are forced to claim and to get wages which ore bo much higher than wages in other countries we are goiiitj to be in a very difficult position. Everybody who knows me knows that my argument to-day oiinuot bo construed into an argument in favour of reducing the standard of living of the workers of this country, but ... this legislation, whilst it is hoped in many places it will give us a solution, in .my opinion will not prove to be any solution at all—in fact, in some cases I believe it will really ugguwiit) the position, because, of course, the \rorkers will take advantage of it, will approach the Court, and will got as niuoh as possible from the Court. But this does not get as out of the difficulty—indeed, it gets us into a greater difliculty, because _there is a. promise of a "way of salvation."

As the promise of a "way of salvation" the clause to which the Arbitration Court is now attempting to give effect will prove certainly not less illusory than Mil. Paul inferred. All that can bo said in its favour is that it will enable a considerable number of organised workers to temporarily improve their lot. As against this it will give rise to evils the effects of which will not be escaped even by workers who share in its benefits. An at- ! tempt to overtake a rising cost of jiving by increasing wages is bound in any case to defeat itself, since it progressively intensifies the evil it is sought to remedy. This would hold good .even if wages and salaries were raised on a comprehensive plan. But, as the Arbitration Court points out in its latest judgment, there are many people in this country whoso means are fixed or are not organised in such a way as would enable thorn to secure a revision of their wages. These

people will obtain none of the relief afforded to Labour unions working under Arbitration Court awards, but they will suffer all the ill effects of the further increase in the cost of living which must follow upon a general increase in the wages of such unions. The ultimate effects of Parliament's blundering action will tell heavily against the whole population. Looking only at