LABOUR PARTY DIVIDED

Hokitika Guardian, 16 September 1931, Page 2

LABOUR PARTY DIVIDED

DIFFICULTIES OF MR SCULLIN. AN 'EMERGENCY GOVERNMENT SUGGESTED. SYDNEY, September 3. Although the meeting of the Federal Executive of the Australian Labour Party, just concluded, did not impose any penalties on members of Labour Governments who have introduced economy measures, the decisions that were reached can hardly be regarded as a triumph for the Prime Minister (Mr Scullin). Certainly "Mr Scullin has expressed himself as well pleased with the result, but after all it was only a half-hearted recognition of the necessity for the rehabilitation plan. Mr Scullin and the Federal Treasurer (Mr Theodore) dominated the proceedings as delegates for Victoria and 'New Smith Wales respectively, for they realised that they were fighting for their political future. They commanded 22 votes to their opponents’ 13, but the general opinion of the conference seemed to be that they had overstepped the mark in agreeing to cuts in wages and pensions. They were told veiy pla'nlr that no ma‘-o' what happened they must not offend again, and that it would be the duty of Labour politicians in the future to restore all that had been taken away.

Here is one of the clauses in the long motion that was car red : —“Hie conference instructs Federal ami State (Labour parties that there sliali be no further reduction • in wages, pensions and social services, and that any proposals on this respect must be resisted.

The conference reaffirms the policy agreed upon at- the March special interstate Conference in Sydney, together with Labour’s platform in general, as providing' the only pieans whereby social and economic justice, caji be •secured for the people of the Commonwealth, and the period of special crisis brought to an end.” The full resolution made it plain that in the opinion of the executive 'the measures already decided upon violated the principles of the Labour Party, and evaded the essential nature of ,the crisis, which was monetary in character, and could be met only by a policy of monetary and banking reform. It emphasised the dominance of the financial control by compelling Governments to adopl political and economical policies according to the decrees and desires of banking and credit monopolisers. The measures that had been adopted, therefore, could not be regarded as part ot Labour’s policy. The seriousness of the financial position, and the increasing opposition to Mr Scullin and his moderate followers, point, according to some political students, to the possibility that before long Australia may have to follow the example of Great Britain, and place •her destinies in the hands of a National Emergency Government. The position of the Scullin Government has been made extremely difficult by th s latest meeting of the executive of the party. From the conference emerges the fact that Labour is still seriously divided into many sections. Mr Scullin and Mr Theodore presented a strong front, and although they came out of the conference with a measure of success, in that they were not censured, the feeling remains that they have not the solid backing of the Labour movement.