Australian Mining-

Hokitika Guardian, 24 May 1921, Page 4

Australian Mining-

IN A DEPLORABLE CONDITION

SYDNEY, May 11

The Australian mining industry—apart from coal—is in a most deplorable condition, owing to the collapse of the world’s metal markets. The excessive cost of production makes it practically imjjossible for metals produced in Australia now to compete with the products of other countries. It is understood that mines in such places as Africa and lido-China, where there is plenty of very cheap coloured labour, can still carry on profitably, but paralysis has practically fallen upon the entire industry in Australia. The trouble lias fallen most heavily upon the mining towns of Broken Hill, and Cobar. Cobar, comparatively, is a small place, which formerly lived upon the copper taken from the great mines there. But they ceased mining a year ago, and now Cobar is just a few streets of gaunt empty houses, set down in the midst of a dismal, arid plain. There is scarcely a person moving now in Cobar, where there used to b# a couple of thousand people. Broken Hill is worse. Here was a city which, in its heyday, was nearly as big as Dunedin. The miners, early in 1919, embarked on a strike which lasted for nearly two years—years in which Briken Hill products were selling at a high price. When tho miners were ready to work again, the bottom had fallen out of the markets. So the condition of Briken Hill, workless for over two years, can be imagined. The people are on the verge of starvation, and are only kept koing by “Govern-, ment relief”—a weekly dole which just buys food. Yet. it costs the Government several thousands a month. i There is only one way in which these mines can be reopened—namely, by substantially reducing co?ts. It has been put quite plainly to the minors all over the country that,..if they will accept reduced wages—roughly, about 20 per cent reduction—tho companies will

carry on the mines without profit, for the sake of the emjdoyees. This plan lias been put to the vote on the various mining fields, and in every ease lias been defeated by small Red-Rag majorities. Some 1300 men voted on the proposal at Mount Morgan the other day, and the “no reductionists” carried the day by only 170 votes. Much the same thing has happened at Mount Lyoll, in Tasmania, where the directors submitted facts and figures to their men, and left to them the choice. The reply is “No reduction.” One can only wonder what sort of madness dominates these men. The reduction of wages must come, in mining as in everything else. The ease is more urgent in milling, however. Yet they would rather live on charity than work at a reduced wage.