IN THE HOUSE

Hokitika Guardian, 13 April 1932, Page 5

IN THE HOUSE

EXPENDITURE BILL AN INDICATION OF THE CRISIS. (By Telegraph—Per Press Association)

WELLINGTON, April 13. In the House of Representatives an important stage of tile session’s work liegau when the Prime Minister, moved the second reading of the National Exp- nditure Adjustment Bill. He said that the measure was so far reaching, and so drastic, that it served to indicate the- seriousness of the crisis facing the country. On no other grounds would the Government have brought down n Bill of this kind, which called upon every class of the community to make a, sacrifice. The Government’s position was quite clear. It had gone to the electors with a request for a free hand to put into operation measures necessary for the financial reliability- 1 tion of the country. I The Labour Party had gone to the country with a policy of restoring cuts. It had undertaken to lead the people along (he Howerv path, but the electors had pre'erred the hard, stoney path, which, at the same time, was the straight path to the return to prosperity.

The Lender of the Opposition said that the Prime Minister claimed tliflt the Government had been given u frtv' hand, ft- should be remembered that the free hand had b n en off von on t’>n understanding that definite pledges would lie fulfilled. L was safe to t",that- 50 per cent of those who h"d voted for the Government would be sorry to-day that it had been given the free hand.

Mr I). G. Sullivan (Lab. A von,),,,insisted that flie Government had no mandate for the legislation embodied in the Bill. He said that it was freely rumoured that there were already a good dozen members of the Government party who- were feeling very tinea-sy, and had made no secret of their intention to oppose some of the clauses at least. He hoped their number would be increased from twelve to twenty, and that there would lie sufficient to join forces with the Labour party in sending the Coalition Cabinet about its business, and replacing it with a’’ Government prepared to provide a satisfactory solution to the country’s difficulties. Hon. E A. Ransom (Pnhiatua) concurred m the view that the Bill would result in the restoration of confidence. Pie declared that there was capital available for investment, which would be brought into use as soon as confidence was restored. Reduction in interest rates and rents would go a long way towards a solution of farmers’ difficulties.

, He' considered that, at the presenttime, New Zealand depended too much on primary industries, and must foster the secondary industries. La,hour members also advocated assistance to -secondary industries, yet they demanded a, steeply graduated income taxation, The Minister asked what would be-‘ come of the great manufacturing industries if taxation were increased in this manner. Fie believed New Zealand was getting out of its difficulties, and the Bill would assist them on | the way, He gave members the assurance that any constructive suggestion for the improveinnt of the Bill would he favourably considered by the Government. Air FI. M. Uuxhworth t'C.l’., Bay of Islands) said that in line with the manner in which the Government was dealing with the depression, the Bill was deplorably inevitable, and ho was afraid the measure was the forerunner of many similar Bills. He believed that the destruction of sanctity of contracts, and the cutting down of monetary supplies to all sections of the community must inevitably weaken ami finally destroy the whole social order. There was a world wide glut of all products, and not a single industry was working at full time. Ho believed that- the system was wrong, and the problem confronting the world would have to he faced, or there would ho a world wide revolution. If New Zealand had set herself out to study the currency problem and its related problems a year ago she could have led the world, hut she had lost the chance and had allowed other countries to get: ahead of her. The debate adjourned and the House rose a | 11.13 p.m.

THE LEGISLATIVE COUNCIL. WELLINGTON. April 13. The Legislative Council met at 2.2) yesterday and immediately went hire committee on the Industrial Conciliation .-’lid Arbitration Amendment Bill. On Clause 7, (I■ ■:11 i>lir with tli<> method of disposing of disputes. Sir T. Sidey moved that in cases in which the majority of assessors favoured roleroiico of (,he dispute to the Court, that course should he pillowed. The amendment was defeated by 22 voles i-i n, these supporting it, being, lions. Carrington Fagan, Hamm, .Mclntyre, Sidey and Smith. A Government ami ndment g.iv iug women work ws the right to apply to the Court;, for lhe fixing ol a minimum wage was agree.| I", and the third reading was '•ari'ied by PI votes to ,j the (lisseui ion Is being lions. Carriimton, Fagan. Hamm, Mclntyre and Sidey. The Bill via- passed with amendments, and the Council rose at 1.3 u p in. until to-day.