GROUP SETTLEMENT FOR UNEMPLOYED

Rotorua Morning Post, Volume 1, Issue 175, 17 March 1932, Page 5

GROUP SETTLEMENT FOR UNEMPLOYED

practigal plan

PROVISION OF FINANCE BY STATE GUARANTEED BONDS LOCAL BOARDS TO SUPERVJSE "The most urgent problem confronting New Zealand to-day is unemployment. "The salvation of the country,' as well as of the unemployed,must be sought on the land. "Primary production is the basis of our well-being -and, in: ' the last resort, it must provide, if all else fails, the necessaries of life — if not a Iucrative income — for the population." T^hese views were expressed by Mr. H. Valder, a prominent Hamilton business man, when interviewed by the "Post" during a brief visit to Rotorua. Mr. Valder, who is chairman of the Waikato Social Welfare j League, has just returned from Wellj ington, where he interviewed several Cabinet Ministers and the Unemployment Board in connection with a plan worked out by the Social Welfare League for the settlement of unemployed on the land under a system of group settlement. ' Several committees of business men in Hamilton had been endeavouring to work out some plan whieh would deal radically with unemployment, said Mr. Valder. Working entirely independently members of the League and of the committee of voeational training of the Hamilton Rotary Club had arrived at identical conclusions and the results had been sent to the Minister in charge of unemployment [ (the Rt. Hon. j. G. Coates), for his consideration. Men and Land Available

The committee of the League, whieh included among its members representatives of the unemployed, had very carefully considered the faets, said Mr. Valder. These undoubtedly were numb'ers of' men at present unemployed who were fitted for farm work and anxious to take up land- and it was believed that land was available. What was wanted was a praetical plan to place 'these men on the land. "Associations have already been iried out in the Waikato under the Land Settlement Finance Act, 1909, with very satisfactory results," Mr. Valder cont'nued. "This Act, with certain modifications, has provided the basis of the plan whieh has been evolved. Group settlement, up to a certain point, gives the advantages whieh come from co-operative effort and strengthens the ultimate prospects of success." The Act, of 1909, enabled associations formed to purchase land by means of debentures guaranteed by the State. By this means money was found for a number of associations eonstituted in the Waikato whieh had been remarkably successful.' Settlers, however, had to make certain payments and this would clearly be impossible in the case of the unemployed. The Act would, therefore, require amendment if it was to be of pny use in the present case. It would bave to be recognised that there could be no margin of security in the ordinary sense behind the State's guarantee. Group Settlement Boards

It was vital, therefore, that the moral or personal security should he «af eguarded and it was suggested that for this purpose group settlement boards along the lines of the present rural credit boards or the old efficiency boards should be eonstituted to administer the groups. Such boards, said Mr. Valder, would exercise a general supervision over the groups, with jurisdiction over all such matters as farming operations, advances, removal of unsatisfactory settlers, and ultimate individualisation of sections. fhe State's security would he over the whole rroup and for this reason both the State and the members of the groups individually would he vitally concerned that unsatisfactory settlers should be eliminated as early as possible. The general idea was to cut ,up considerable blocks of land for group settlement. Such lands might be obtained from the following sources: Lands forfeited to Public Departments (State Advances, Public Trustee, etc.), Crown lands, and privately owned lands not produeing to capacity. It was thought that for the purpose of developing all or any of these sources the scope of the Land Settlement Finance Act, 1909, might well be extended so that, where smaller blocks were available single farmers or smaller groups might also be provided for.

Plan For Finance In these days, when so much money is held on fixed deposit and otherwise more or less idle," said Mr. Valder. "considerable sums would be "aVafiable on a State guarantee, especially for such a truly patriotic purpose. No doubt, also, there are many who hold land who would exchange it for bonds. The following methods are suggested : "(a) Bonds such as the Victory Bonds issued in Great Britain in 1919. These were issued at 85 and bear 4 per cent. interest, As they were made available for payment of death duties and a proportion are redeemable at par at short intervals by ballot, they met a ready demand when issued and are now, I believe, quoted on the market at 93. "(b) Money provided from the lands for settlement fund under the Land Laws Amendment Act, 1929. "(c) By capitalisation of the unemployment levy." It would, of course, be neeessary to make provision for iramediate living expenses of settlers under the scheme especially during the first twelve months, Mr. Valder conrinued. and it was suggested that they should receive the same payments as the unemployed of the same class. Alternatively, they could be ...paid as unemployed and the payments (or some part of them), loaded on the land. All arrangements of this nat-, (Continued on Page 6 at foot of first Column)