Shipping Finance.

Hokitika Guardian, 25 August 1922, Page 3

Shipping Finance.

DISCUSSION barred IN ARBITRATION COURT. WELLINGTON, August 23. Tho question of the finances and profits of shipping companies, which on tlie previous day had. been ruled out in the Arbitration Court, during the hearing of the Seamen’s dispute, and tho argument upon the point took place* between the Bench and the Union’s representative, Mr W. T. Young, secretary of the Federated Seamen’s Union

Mr Young suggested to a witness that he should present his company’s balance-sheet for perusal. Mr T. O. Bishop, representative of the Shipowners’ Federation, said that that point iu.d already been settled by the Court-.

Mr Young: I submit it has not been settled. These proceedings started outon the issue of finance. Defeated on that, the other side lias retreatedjind brought’ up the question of competition in trade. Evidently defeated on that, they are now retreating to the question as to what is a fair wage for work performed. I don’t know rvliere we shall he retreating to next.

Mr Justice Frazer reiterated his ruling of the previous day that unless the employers pleaded bankruptcy, tho Court could not concern itself with the question of finance. It was only concerned with tlie issue as to what were fair conditions, and that were fair rates of pay for the nature of tlie work performed. Mr Young: It seems to me that the worker gets a different ruling on a specific issue as the years go by, according to circumstances. T recollect his Honor Mr Justice Cooper ruling in our proceedings in this Court in 1902 that wages and overtime could only he determined on the profits of the employers. His Honor said that he thought Chat th 0 general ruling for some years past, both in Australia and in New Zealand. had been ordinarily that the Court did not regard the condition ot the industry. He mentioned a case in Mr Justice Martin’s time, in which a match manufacturing firm commencing operations in Wellington wished to pay exceedingly low wages. The question of manufacturing expenses was raised.-and the Court ruled, as it "had always done since, that an industry must pay fair living wages. Cases had occurred 411 South Australia in which in times of extreme depression, when industries had pleaded poverty, and that they were hard pressed, the Con I. had suspended awards so as to enable the parties to confer upon the question of reduced wages for a limited period. Tho Court in New Zealand had not had occasion to do anything like that until poverty was actually pleaded. Tt would adhere to its ruling, investigate the nature of the work and fix fair rates and conditions accordingly. Tlie companies in tlie present dispute were not pleading poverty or financial strain so much as slackness of trade, which everyone knew prevailed all over the world. This question was mixed up with the question of competition from outside, where other companies wer* paying lower rates. Tlie Court considered these factors in determining whether the rates awarded in the past or fixed by agreement during or since the war had .been advanced unduly and out of proportion to the nature of the work and the cost of living. The employers in the present ease disclaimed all through the dispute that they Were pleading poverty. Mr Young: Then what have they got us here for!' His Honour: For a revision, apparently of the whole dispute. They rue asking us to determine fair rates and conditions.

.Mr Young: Could not all that have been accomplished through the medium of a conference!'

His Honour salll that if both partus were in the mood to confer, no doubt the dispute could lie settled. The Court was willing to adjourn if there iviis any possibility of that. Mr Young: I think the Court should order it. (Laughter)-

Mr Bishop (one of the employers’ representatives) : AYe prefer to leave it to vou sir.

Mr Young; 1 know you do. (Laugh ter.)

His Honour: I suppose that at a time like this we must recognise that either side can hardly take the responsibility for agreeing to altered conditions. It would be very awkward for the officials of the union to agree to modifications ol conditions fixed during Lhe war. Air Young: Cnioii officials are not in any way afraid of their responsibility. lii s Honor: It is not a question of being afraid. The responsibilt.v is rather a heavy one to place on the executive of a union. Times are much more critical than they were two or three years ago.

Air Young: What is the ditferenee, your Honor. lietween parties meeting in conference and unions’ representatives taking the result- to meetings of members of their organisations and asking them whether they agree to them, ami our coining to the Court, and subsequently taking the award of the Court to the men and asking them if they will agree to it?

*I is Honour: I don’t know that that is a proper way to deal with an an award of the Court. An award must be delt with according to law. His Honor agreed that more satisfactory results were, obtained by conciliation. Tn times of stress, as at.

present it was much more difficult to arrive at an agreement in that way. In fact, it required rather exceptional tact on both sides to secure an agreement at all.

After further discussion, Mr A'oung maintained that members of the Seamen’s Union had never been paid a proper wage- for their services. His Honour said that it would be quite proper for the- union’s representatives to raise that contention in dealing with their side of the ease. The Court had been careful all along not to express an opinion one way or the- other concerning the men’s earnings, but lie knew that wages paid to seamen in the past had been ridiculously low. Tie' wished the question of finances to lx- disposed of once and for all. Until the shipping companies pleaded destitution the Court would not consider any question of finance

from tho point of view of bankruptcy cf the companies.

Mr Young: I have an article prepared on finances, and T claim the right to read it in this ease.

His Honour: Why should we go into it, though, Mr Young? The other side do not dispute the question. Mr Young: Why is there such an evident desire to put- tho cover on finance?

His Honor: Why do you wish to lift the cover? It is lor the other side to plead poverty. If they don’t do so von cannot throw riches at them. The subject was then dropped.