CAPITAL & LABOUR

Dominion, Volume 12, Issue 223, 14 June 1919, Page 10

CAPITAL & LABOUR

THE NEED FOR AN UNDERSTANDING

A "PARLIAMENT OF INDUSTRY"

MR. H. BEAUCHAMP'S SUGGESTIONS

"The problems of war have been many and perplexing; but the problems of peace art! more numerous and bewilder-' ing," said the (Chairman <if directors of the Bank of Xe.v Zealand (Mr. 11. Bcauchamp) yesterday. "The world is confronted with' a moit serious and unprecedented position. Most of. tho 'nations have been living and fighting upon their capital. Some have exhausted their capital and have been living and fighting upon credit. The capital lost has to be restored, and tho indebtedness incurred has to be paid off. It is to be feared that the process of retrieving the position will be long and painful. "Unfortunately, just when the country is-faced with this vital need of an increase of production and a decrease of wa?te—waste of material and waste <n power-/£ome extremists in the ranks of Labour are exerting themselves tu check production. By tiieir tactics they are culling down production; they are rt- : during the quantity of goods for general distribution; they ;ire lessening the shaib per head of tho population; that is, they are increasing the of living, for it is essential to fix the mind on that cost :n terms of goods for distribution rather than'in terms of money, the over-vary-ing medium of exchange.' 'Pr.oduco less tintl liavc more' is tho cry of these thoughtless thcui'hta. Thcir'doctrine U ;i complete reduclio ad ausurduui. Tlieii , phrase.?! and eatch-ei'ies ure borrowed from older countries, whero (ho conditions aro immeasurably less favourable for the workers than those in New Zealand.

"Whatever may be said or written -about tho temporary disadvantages caused'by more than four years of worlddevastating war, it is undeniable that tl.o standard of living ks steadily improved .in New Zealand during the past quarter of ii century. The fuels nro plain for nil to see. Any additional iinprovemuiitiiiiist come from constructiv« thinking and lliu irieiully co-opcratioi: of all classes in »h----iug effecb to tho constructive- thinkers' rational proposals. Obstructive intimidating tactics and 'go slow-ing' will simply antagonise tho community, which has to suffer as .a council iienct"'thereof, and throw into n more remote future Ijiu rapprochement between Capital and labour irhich is so earnestly to bo desired. Experience has proved that the persons who, like the Hussiau UnlsJioviki,wish lo lake a short wit' to the millennium are usually unwilling to listen to reason. They 'have ;i disposition to icgard any friendly proposal from the ulher side us cither a sign of. weakness or tho beginning of surrender. Tim '■slart-eut-lers,' it appears, have declared li'ieiusulvcs iigAinst anything less than terms of vlicir own dictation--tlic domination by one class. Jn New Zealand, this irreconcilable, unreasonable- element, in Luboiir-thoiHi temporarily promineiiHhas not imposed its impetuous, reckless will cm the great body of Labour. An iippeal to zeason can bo made with wirkors who know- that a steady maintenance, mid increase oi' production a re,, necessary to assure Labour's welfaro; men who know, 100, Miata castiron restriction of their individuality cannot make for personal contentment. These men have it in their power to assure for Ihemselvl's an infinitely better liiture than the obstructive and destructive tactics of their rash lenders could bring.

"For many years, class suspicion has constituted a powerful hindrance to tho realisation of the right, Mutually helpful relations between Labour and Capital. It may be conceded without <iny reservation that (hero have been faults tin both sides. A better understanding, however, cannot be reached by a persistence in tho policy nl suspicion and cold i.-!oofuess which has been at the root of so much misunderstanding in the past. There must be, in future, more consultation— n nioro extensive and intensive discussion of views. Just as all classes have worked together to.savu-the State from a .foreign aggressor, so they must now again work together harmoniously to save society from the internal wrecker. ,

ihroußh much strife iind turmoil, the Old Country seems to be fooling ils way towards a solulion of the industrial problem. The Jtitpst proposal is lo establish a. permanent Titdusirial Council, or an assembly of representatives of Labour and Capital—in other words, a Parliapienlr of liidustry-by v.-hirh «11 cjiiestions aflectmg ffjaijour and Capital shall bo decided. Probably along ci-ino such .lines the'solution o? ihe problem lies. It seems clear that the method hitherto pursued in this Dominion no longer meets the necessities of the case. Our country is suffering under a continued process of wage-raising, as a result of cppeals to ho Industrial anil Conciliation Courts by the various trades unions. Every increase awarded to workers automatically increases the price of tho articles produced, and, as :i Tesu'lt, Ihe increased' cost of production in passed on to tho consumer. Consequently, wages • and prices are pursuing each olhor in an unending circle; end iii the ijial results even Hie workers Iheuisi'lvo.s -in whose interests the movement was primarily made, derive, little or no benefit, whilst certain classes of the community (namely, the class consisting mostly of'brain workers, who belong to no (nides union, and the class composed of people with lixed incomes, which do not n.ove upward in sympathy with th 6 upward movement of prices) are krs«ly in straitened circumstances or siiiiVring hardship. "It would be. folly to think that this state of things enn continue. The iiinn is past when any ono rrade can bo allowed to .settle ils working conditions, remuneration, etc., irrespective if the effect which the proposed modification wi.ll liavo upon the community in jroiieMl. All such trade union appeals :is I nave indicnfpd should bu dealt with by an industrial assembly in which uoitars and employers should have equal numerical icprcseiittition. Such ;in assembly smmild be pre's'idwl over by men of judicial mind and wide industrial expi.'rience, ranking in tho social order on (lie si me footing as Judges of the Supreme Court. Men of this calibre could guide tlm deliberations of the indiistrinl assembly, so that the decisions arrived at might'not prove abortive or ojicrute unfairly to any -section of-the eoiaiuuiiitv.

"1 have Miliicient confidence in the sound common sense of the nvcrcigo worker, and in tins scjih) of i'uirne.ss and justice possessed by the average employer, to be assured that every just and fair'demand of Labour would be met by such an assembly.' Jt would fall wiu'iiii il.s province to make such recommendations to the Government of the day in regard to control of prices of essential commodities as would ensure that »uch prices should not be increased by dealers beyond the point necessary to yieid them u"reasonable return upon their invested capital.

"With this position attained, strikes and lock-outs would, by coiuuioil consent of workers and employers, be absolutely tabooed and made illegal by legislation, all trades unions and associations of employers agreeing to* be bound by Ihe decisions of the industrial assembly, subject perhaps, in certain cases, to tlie right , of appeal to the Parliament oj' the country, with whom final decision might resi "The., Bolshevist and I.W.W. would tlicncefoiilt bo operating upon barren soil, and in due course would -cease to disturb social conditions in all iaVds where employers and employees had come to recognise that well lias rights which should be cheerfuily conceded by the other, and that ea<:h has 'duties to tlm other which should be faithfully performed; whilst both, as members of the human family, must work together in unity for the couiimin ;?ood."

MY, Jienuohamp udded that he regarded the trend towards collectivism and communism with profound distrust. To limit the output, of industry so that a good workman produced (inly the .same as a poor onij; to fix the scale of wages so that the, indifferent workman shall be remunerated on the same scale as tlm skilful one; tn limit the hours of labour, so that (here might bo full employment for both efficient and inefficient, were all measures the effect of which was 10 m>. ducn labouring mankind as far as possible to a dead level of equality.

"Industrial freedom i.s the mainspring of proxies.-—the indispensable condition of the highest degree of advancement," said Mr. licauchamp. "Wo shall ueed it iu liio dark days that lie ahead. Willi

it, we may have courage to face, ami confidence to overcome, the worst Hint can beset us; Ijiit without it llhe end may l>o confusion anil disaster. 1 am in distinct antagonism (o those who look lo The nationalisation of induslrier. as l.hu remedy for tho existing labour unrest. 1 am confident that it. -would provo no remedy. The right remedy must lie sought for and found in oilier directions."