Public Services.

Hokitika Guardian, 21 July 1922, Page 3

Public Services.

STATEMENT BY MR. MASSEY

[I,Y TEIJMBAPH —PER PRESS ASSOCIATION']

WELLINGTON, July 21

Referring to a statement hv the representative of the Public Service Association that Government had committed a breach of faith in regard to the terms of an understanding entered into, Mr Massey is emphatic that no shell breach was committed. Reviewing the wiiole position, he said in April 1919 each officer received an increase approximating £45. There was a further increase in the cost of living and the i niforniity Committee recommended an additional £SO. This was granted on condition that “provision should lie made for a rateable increase or reduction should the cast of living rise or fell.”

This was clearly understood at the time. When early this year it became necessary to reduce public expenditure only the £SO increase was dealt with, on figures supplied to the Government and verified by responsible officers. It was clear a reduction of £26 would he justified in salaries from £l9O to £320 and only £25 was taken off. It was not proposed to interfere will the £45. though no one could say definitely what might he necessary in the years to come. He had no hesitation in saying tile Government- had in no way departed from the recommendation of the Committee, nor had it committed any breach of faith. Ht> had interviews with deputations, and one of the points raised was that there should lie no alteration unless there was a rise or fall of ten points in the cost of living figures.. This might bo what the Secretary of the Public Service Association had in his mind hut Government had had no communication from the Uniformity Committee on the matter, and he had clearly indicated he con] 1 not accept the proposal as the State finances would not permit it. He did however, agree to delaying the second cut till July Ist, and the third till the beginning of next; year.