COST-OF-LIVING BONUS

Dominion, Volume 14, Issue 36, 6 November 1920, Page 7

COST-OF-LIVING BONUS

THE ADDITIONAL COST • EMPLOYERS' ESTIMATE CHALLENGED A LABOUR CALCULATION The statement made by Mi-. W: J'rvor, secretary of the Now Zealand* Employers Federation, on Thursday, with reference ,to the financial effect of the new cost-of-living- bonus granted by the Arbitration ' Court, was replied to 'yesterday £ ..-V I'-,1'-, E - Kennedy, president of the Wellington Trades and Labour Council. . I never thought to seo Mr. Prvor combing out as a sensation-monger," said Mr. Kennedy. "Mr. Pryor says it is certain that the 'addition to the wages bill of the Dominion will Ije <100,000 to . per annum. These figures are sensational and inaccurate. According to 'the latest returns there are 350 trades -.nnions in the Dominion registered under the Arbitration Act, witli a membership of 82,553. Only the members of Buch unions - working under awards of the Court nre entitled to the bonus. Tf the bonus of 9s. now declared by the Court was granted to all the unionists it would full far short of Mr. Prvor's figures. ■ " "Taken in round number*. 82,000 workew at- 9s. a week for 52 weeks Kvould reckon out at X 1,931,740. This is counting every unionist every week on the full bonus. But it must bo clearlv understood that there are a, large number of casual workers who will only receive the bonus of 2}d. an hour for the hours they work. Then there are holidays in the vear that would not be paid' for. Furthermore, _it must he remembered that, there will be_ hundreds of workers who will not participate in this • bonus, owing to the Court's discretionary powers. which it has already exercised in several instances. Mr. Pryor is quite wrong in assuming that the" Court holds its powers . mandatory in every case. The Court has discretionary powers, and I am surprised Mr. Pryor was not aware of it. . Then, again, the bonus. _as intimated by the Court, is given in the following' ways:—9s. to adult ma'.o workers (over 20 years). 4s. fid. to females over 2ft. and 3s. a week to youths and girls under 20. It would be a high average to estimate it all round at 6s. a week. This brings the estimated cost of £01,287,828 16>. per year, provided that every worker who is a member of a trades unicjn in New Zealand was in . receipt of this amount for tlio wholo fiftv-two weeks. This clearly shows that Mr. Pryor has sensationally overstated his .case. •

"There is-one further point. The Court bases _ns pronouncement on th» figures supplied by tlie Statistician on starch 31 nnd September 80 each year. But the Court does not award to the workers the bonus as from April l and October 1, but Rives it a month later. This deprives the whole of the workers > who would be entitled, to the bonus of two months' increase in'"each year, which in the aggregate would amount to. roughly. .£200.000 a. year. So, takihg all these factors into consideration, instead of the .£4,000,000 or ,£5.000.00 a year estimated br Mr. Prvor, I should be inclined to put the' figure at not much over X 1.000.000. "We have noticed a statement made by Mr. Massey in the Fouse on Thursday ' night, to tlio eflei't that legislation was : in ' prospect: This seems to imply an interference with the-bonus system .now In operation. If this is his intention. I most emphatically protest on behalf of the workers against any interference fcr the Government' with the law as it exists at the present time, unless the Government: is prepared to bring in legislation which will immediately reduce the cost of .living to which this- bonus applies at a. rate corresponding. I may ftiy that the living wage in JTew Zealand. even with this increase! is much below the living wage just granted in' New South Wales." j i

REPLY BY MR. PRYOR GENERAL BODY OP WORKERS AFFECTED. In conversation witli a Dominion reporter, Mr. Pryor said that the statement tie hau made had -been misunderstood by Mr. Kennedy. "My figures were basod 011 the increases B i ai i}' etl Court since the beginning' of the year noA' merely on the latest bonus of 9s„" added Mr. Pry6r. "We esuniate that the new bonus of 9s. will ' rough £' aR iuldition of about £},000,000 annually to the wages bill of the Dominion, and that estimate is not very far away from Mr. Kennedy's figures Mr. Kennedy bases his figures' on the number of 82,000 trades unionists. I , culous to 6u Sß ß?t that the effect ot- the bonus ceases with these 82 000 - workers alone. The great army of workers m the Dominion outside of that number will expect-in any case, they will de-, ■wand—ilhe same bonus as that granted by trio Court, even where 710 award is 111 existence. The general body of worken in the Dominion is affected, and considered from that point, of view the estimate of .£4,000,000 to .£5,000,000 is not exaggerated, and certainly is no sensawonal statement;." RAILWAY OFFICERS' MOTION. By Tolegr.iph—Preia Association. Hamilton, November 5. A' meeting of' the committee of the South Auckland branch of the Railway Officers Institute passed a motion that the branch considers the time lias ar- . ''™J 1 ! approach tho Government for ft iJO bonus, to compensate partially' the increase in the com: of livin"