CABINET PROGRAMME

Rotorua Morning Post, Volume 1, Issue 185, 30 March 1932, Page 5

CABINET PROGRAMME

("Post" Special Gommissioner) ;

week's hard work PREPARING LEGISLAT ION IN READINESS FOR PARLIAMENT ECONpMIES BEING CONSIDERED

Wellington, Tuesday. C.abinet will cbnimence rit 10.30 a.m. to-niorrpw a week of intensive sittiiigs preparihig legislatiori for th'e remainder bf th'e Rarii'aihefitary sesslon. ' ~- It is impossible at the moment, in the absence of definite Iegisiative'proposals, to foresee the end of the session, but much will depend oh the pfogress made by the Ministfy in the cofirse of the next few days. The hfimoui' of the Horise of Representatives after its reshmption op April 5 and the manner of presentation of the econoniy and other measures tb be brought down, will be otHer determining factbrs; The Pfihie Minister, the Rt. Hon. G. W. Forbes, is still hopeful that Parliament's wbrk, which has dlready bccupifed more than the four weeks he briginally ailotted to it, Will be bfought tb a close hy the erid of April. Mr. Forbes stated tb-day that He prbposes a period of work at high pressure, sitting daily, morning, afternoon and evfehihg, so that When Parliament resumes next Tuesday the remairi'ing legislative measures may be iritroduced as quickly as possible ahd members may get down to busirie^s, having before them a comprehensive idea of the Govfef-nfheht's proposals. Ecoriomy Recommend&tions The greater part of Cabinet's time will be occupied in considering the recommefidations of the Economic Committee and'the National Expen'diture Commissipn for effecting bf economies in puhlic administration. Uppermost in the minds of .the people is the question whether a further cut in wages is to be made. If a reduction is decided on, the extent of it will have to be determined Having regard for the proposed shilling in the pound tax on wages and incoitte for the purpose oi unemployment relief, itself amounting to a cut of five per cent. So far as wages outside Civil Service are concerned, the Prime Minister has already intimated that the Government proposes to allow freedom for employers and employees to come together to review industrial conditions, as provided for in the Industrial Conciliation and Arbitration Amendment Bill recently passed by the House and now about to be considered by the Legislative Council.

Reduction of Interest Another important policy decision iS awriited iri the iriatter of hririgirig about a reduction in interest rates throughput the Dominion. Definite statemerits have been made from the Treasury beriches that the Government intends to tackle that questiori, but ihe means ahd the ahiofiht of redu.etion have yet to hs fixed. The degree of carrylrig into effect of many other of the detailed rbcom-. mettdations of the two comiriittees is, as yet in the melting" pot. Some of the more important recommendations ' of thb Economists' Committee have , beeri withheld for publication simul-, taneously with the findncial statement to be presented to the House shortly: by the Minister of Finance, the Hon. j W. Downie Stewart. They deal chief- ; ly with the budgetary position and no dbuht will have an important bear-, ing ori Cabinet's decisibhs. The chief field for administrative ; economies is opened up by the in-! terim report of the National Expenditure Commissiori, Which has subihitted proposrils for savihgs in national serviceS amouriting to, roughly, -£3,OOO,OO0 in the coming financial year. The greriter part of this pruning down is proposed to he done hy euts iri permarient appropriations. »Debt services, peftsioris, motor taxation, salaries and wages, etc., and so far as possible, economies in departments of State have been indicated. In two sections of the service, the Legislative Department and tlie Education Department, it is uriderstood that the respeetive ministers rire to submit recommendations to Cabiriet as to the extent to which they think it advisabie the Gommission s suggestions shouid be carried lrito effect. It is not thought that holus bblus approval wili he given to the Commission's proposal.

Other Economies The National Ekpfendithre Cbrnmissioh is contirifiing _ its inquiries intd possible economies iri fiiatiy Pther departments of State aiid their hrariches; The Prime Minister fetated to-day, iri reply to a 4uestion,i that the Commission was making good pi'ogress with its work and he expected that thb balance of its report would be submitted to the Government before the session ended. He added, however, that he did not think it wofild be necessary to have Pafliamentary authority for carrying out approved re--commeridations. EePnofliies could be made by Cabinet' decision and could be put into effect forthWith. _ , Iri order to giye effect to its pfograriime with a minimfim of delay ririd to avPid openihg up discussions ori the ramiReations of many of the departmerits of State, Mr Forbes intends to eihbody as mariy as possible of the decisions of Cabiriet arising out of this week's discussions in a Pomposit'e Finance Bill. The range of debate on such a ifieasure will naturally he very wide, but tlie passing of such legislation will not he so lengthy as the opening of separfite statiites fof the purpose of amendment would involve.

Measures Jugti&xd 'fkat ineasfires abofit to he takeh by the Government in thd cause of ecqnomy are justified hy the present outlook of the Dbminioh Was the buflden of remarks made by the Prime Minister to-day. Mr Forbes said that motives of sympathy with those whom the economies would effedt could not he allowed to shape" public policy. The position bf tke country necessitated steps that would he bound to hurt soiheorie or other. Howevbr much one miglit regret having tb make economies in public expenditure

at times like the present, it had to be remembered that the solvency of the counti-y was wrapped up in the problem and if expenditure was not curtailed, the consequences to the country arid the individual would he everi wofse than at present. Mr. Forbes said that the first bfisiness to be considered by Parliament on resumption wouid be the Unemployment Bill introduced last week whiie realisirig that relief workers were riot to receive as nltich as they Would like, he said that New Zealand was providing more for the assistance of the unemployed than most other countries and so mariy taxation burdens.were being home by the people just now that any proposal to increase greatly the burden of unemploymept relief had to he watched with care so as not to be too severe bn those who had to pay.

The position of Great Britain, Mr Forbes observed, gave rise for hope that better things were ahead for New Zeriland. Confidenfee had heen restored at Home because the people had faced their difficulties sfiuarely and had applled rfemedial measures promptly, arid hb waS certaih that the people bf New Zealand would be just as willing tb face the position in order to ovefcome theif difficulties.