N.Z. UNEMPLOYED

Hokitika Guardian, 11 June 1930, Page 3

N.Z. UNEMPLOYED

INCREASED SUBSIDY.

(By Telegraph--Per Press Association.)

WELLINGTON, June 10. The Priiile Minister (Hon. G. W. Forbes) announced to-day. that the Government had decided to improve the basis on which State subsidy is payable in respect of unemployment relief works undertaken in Urban and Suburban districts—i.e. cities, boroughs, etc. In the past the Government has subsidised the labour costs on unemployment relief works on the basis of £ for £. but in future the subsidy will be increased to £2 for £l. This increase is for the purpose of encouraging local bodies tb provide 'relief works adjacent to the workers’ homes, and to thus obviate, as far as possible, the necessity for sending married men with large families to unemployment relief works in the country,- where the number of unemployed in a district is sufficient to justify the local body in undertaking special relief works.

A state subsidy of £2 for £l, based on the standard relief wages of 14s per days, will b e paid on labour costs in respect of (a) moneys borrowed for the sole purpose of unemployment. relief, provided the works on which such moneys are to be expended have not been included in any schedule of works for which a loan has already been raised; and (b) moneys expended from revenue on works of a capita! nature undertaken expressly for the. relief of unemployment. In the case of works undertaken from voluntary subscriptions, the subsidy is £ for £ based on the expenditure on materials as well as labour, and is not limited to relief rates of pay. The foregoing subsidies apply to tJrbnn and Suburban districts. In Rural districts (counties, road disticts, etc.) £ for £ subsidy is payable on materials as well as wages in respect of works undertaken from revenue, loans, or voluntary subscriptions. Works which local bodies propose to undertake with public subscription, and all works in rural districts must contain at least 60 per cent, of labour, as in these cases the subsidy is payable on both materials and wages.

In addition tb providing moneys to subsidise the relief works provided by local bodies, the Government is also meeting the position by. pushing ahead with public .works and afforestation as far as funds will permit.