THE RAILWAY CRISIS

Hokitika Guardian, 16 April 1924, Page 2

THE RAILWAY CRISIS

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COMPLETE DEADLOCK. WELLINGTON, April 15

The Minister of Railways submitted to Cabinet to-dav tlie Railway Wages Board reports, and Cabinet discussed the whole decision. The Minister of Railways afterwards stated:—“Cabinet has considered the railway-men’s presentation placed before the Prime Minister and the Minister of Railways on Saturday, demanding an increase in wages, apart from the other 71 claims submitted by the railwaymen.” “The decision of the Cabinet is that the demand of the Amalgamated Society of Railway Servants that the question of wages should be reviewed independently if the general conditions of service, cannot be acceded to.”

“Cabinet desired to make it clear that, in'order to deal with the 72 claims raised by the A.S.R.S., the whole subject must lie dealt with comprehensively, including the effect- oil the railways, in relation to road traffic, and otherwise, as well as the effect upon the existing industries and finances of the country generally.” “The Cabinet regrets that the A.S.R.S. refuse to allow all their claims to he considered, hut have forthwith resorted to a strike ballot, thus creating a deadlock. The responsibility for the present position therefore rests with the A.S.R.S.

STATEMENT BY A.S.R.S. LEADER WELLINGTON, April 14.

Mr M. Connelly, President of tho A.S.R.S. made the following . statement in regard to the present railway dispute :

“ft would appear now that tho Minister, in order to holster his already weak case against the railwaymen. has endeavoured to gain the support of a section of the public by telling them what we can give them if they will only assist him in keeping the railwnymen below a living wage; pay 3.V nor cent;, and reduced fares, etc. lie lias however, overlooked tolling them, that several leading and successful business men who are also economists have said that low wages and long hours mean less production. This is, iii effect a challenge to the methods of tho Department of which the Minister is the political head. If. as staled, the railways cannot he worked on a 44 hours’ basis, as was done under the previous Minister, then- it provides good grounds why some reorganisation should take place in the administration of tho railways, and this is supported liy the view of the Cha irinan of the Board, as expressed in his report, published yesterday. The Minister stated that the. Government did everything possible to bring about a settlement, of the dispute, hut his refusal to discuss wages with us does not l>ear this out, nor dees his subsequent utterances, demanding that the men give up their conditions, and go hack to a 48-hour week, in order to get a measure of relief, suggest that he is approaching the position in a conciliatory spirit. He contends that if the men went hack to a 48-hours week, they would he 7s 3d per week better off. This is quite untenable. Figures have been produced to show that in one year the cost of living rose so rapidly that it reduced the purchasing power of the men’s wages hv 17s per week. It only required a lnief calculation to see how long at the same rate it would take the cost of living to absorb tho 7s 3d per week which the Minister so generously offers us. Briellv, the men would, alter 5 months he in exactly the same place, so far as the purchasing power of their wages is concerned, as they are to-day, but would have made a present of 4 hours more of their time per week, for other people to make profits off. Fortunately the members of tho Society recognise this. The statement that the Society’s action in refusing to go on with other remits before wages were settled, was unprecedented, and is without inundation, as at the 1920 Wages Board, progress was made on wages, first. It now seems that whilst the country’s finances are in a state of buoyancy, and there is great prosperity in the country, as stated by the Prime Minister, it is tho intention of the Government to reduce taxation at the earliest opportunity, hut the Minister is not prepared to allow tlie railwaynien to participate in the proserity. In taking up this attitude. lie is forcing the men to take drastic action to enforce their claim lor a. fair standard of living for their wives and children. As stated previously, the Society is st ilk prepared to forego their original demand for 2s Gd per day. and negotiate with the Government on the wage question.” At a meeting of the Executive inmmitlec of the Railway Offieeis Institute held this evening, the question of the present railway industrial unrest was fully discussed. It was tlie unanimous opinion of the committee that the A.S.R.S. claims we:o based on sound grounds. The fcelfng of the committee was one of sympathy with members of sister organisations, and hopes were expressed that their efforts to improve their wages and conditions of service would meet with .success.

STATEMENT 13V MINISTER. WELLINGTON, April 13. A circular issued by the Railway Department signed by Hon ■). G. Coates as Alinister, sets out what the demand of the rail way men for a wages increase would cost, and says: “ 1 lie amnial operating cost of the railway would be increased in respect to 20 out of the 72 demands made, by L8G2,530, as -i sum sufficient to pay 2.05 per cent, interest on the capital cost of the railways.

The circular enumerates the present pay and conditions in the Railway service, and sets out the privileges of the ■sen in the way of annual leave, leave on retirement, free passes, and the p'ivilege tickets, also the fact that household stores are carried free in isolated places, that free passes are given to the men’s wives in certain circumstances to obtain stores and, that the aveinge rental of the railway-men's houses is from 8s per week. “The railway-men in New Zealand, says the circular, “have an eight -our day, and a forty-four hour week. Tbio'c wlint this means! If a man works nine hours in any day. lie gets one hour’s overtime pay. The hour also counts again in the week’s work, so that if be works over -11 hours per week, including the hour which lie has alreaoy been paid for at overtime rates on tne dav (lie is again paid overtime.) Nowhere else in the world can it he found that such conditions pretail. “After enumerating a number "t j other matters, the circular proceeds: “The increase in the railway revenue for the year ending 31st. March 1-123, compared with the year 1020. amounted to £075.315. The increase in toe wages bill for 1023, as compared witn 1010. (after deducting the sum of £332.318. the reduction that was e!fected under the Public Expenditure Adjustment Act 1921). amounted to £1,171.800 and absorbed the whole of the increased revenue, and £106,-185 in addition. For the last three months ■ the Departinnet has failed to return j even 3} per cent, interest on the capital invested. The deficits have had to bo met. by the general taxpayer of the Dominion, including the baokbloeker, who, residing in localities far removed, seldom even sees the Railway. Clearly, therefore, every demand -nvolviug.

increased expenditure, must he fully justified by right and-reason, before it can. or ought to lie acceded.” LONGER HOURS The Alliance of Labour held a meeting to-day to discuss the railway disputes and issued an official, statement to the effect that the men did everything possible to effect a settlement, and it is now clear that

an attempt is being made to force on them a 48-hour week. From the figures in the report by the men’s representatives it is clear that these men are entitled to an increase. The Alliance considers that the attack on the railwaynien is only part of a general scheme by the employers to lengthen the hours of work.

As tlie result of the ballot is not known, the Alliance could not take any definite action, but resolutions were passed to circularise all the affiliated bodies, asking them to hold themselves in readiness to give assistance and hold meetings immediately the result ot the ballot is known, and also to send- a joint deputation of Labour bodies to the Premier, which shall object to any lengthening of hours, but rather shall demand a further shortening of hours. CASE FOR PUBLIC SERVANTS. CHRISTCHURCH, April 15. The following telegram has been torwarded to the Prime Minister from the P. and T. Officers:— “We are of-opinion that the failure of the Government to produce the salary schedule as a preliminary to negotiations with tho Post, and Telegraph Officers’ Association at the time promised by the Minister creates a justifiable resentment on the part of . tho officers affected, and further, creates feelings of extreme irritation in a situation already sufficiently delicate ; and we urge you to at once produce the schedule and open negotiations-there-on.”

“Regarding the railway trouble, the Prime" Minister stated recently at Southland that New Zealand was tho most prosperous country in the British Empire, and one of the most prosperous of the world. He has quoted almost record exports for this year. He further claimed that the position of the public finances is satisfactory, and that there would he a-huge surplus. When a slump came, with falling prices and embarrassed finances, the Government reduced the railwaynien’s wages by ten shillings per. week. We put it to you that bare justice entitles the railwnymen to the 1914 standard of living, at the very least. Me further urge the Government to abandon its attempt to force the men hack to a 4S hours’ work per week, as all organised New Zealand workers Have throughout the history of the Labour Movement, fought for 44 hours. Ihe entire oiganbed workers are opposed to this reactionary attempt, as they recognise that it would be but the preliminary step to a united employers effort to impose the 48 hours’ week on all the. workers.”—(Signed) E. -IHoward, H. T. Armstrong, J. McCombs, D. G. Sullivan, M’s.P.