WAGES CUTS

Rotorua Morning Post, Volume 2, Issue 585, 17 July 1933, Page 2

WAGES CUTS

c. j.

TUOK,

Sir, We read that at last borough counoil meeting there was a resolution proposed to reduce the wages, salaries and emoluments of the staff. When one reads the income and expenditure of the borough, this seems at first glance to the usual orthodox thinker, the only way out, but other unorthodox thinkers like myself thmk otherwise. There are 1076 ratepayers 1 in this borough and they are levied i for rates of £12,522 or roughly £12 per ratepayer. Wages, salaries and emoluments total £8000. If the whole of these rates were collected, i.e., paid j by the ratepayers, I do not think our city fathers would think of reducmg the spenddng power of their employees- ^ But as only about 75 per cent. of the total amount of rates levied are paid, it would seem that some measure of relief is necessary. Through all the discussion that I read not one word was said about reducing the interest to the banks on loan or overdraft monies. For some unholy reason, when we run short of that devil s invention — money — we say cut down expenses," and the strange thing about it all is that we consider wages, salaries, etc., the greatest expense. Why, the angels only know. There are a hundred and one other means whereby we could under our present money bungle, keep expenses down without victiinising the unfortunate wage earner.

I say emphatically tnat tne nrsi lu ffet the axe should be finance, finance . arranged hy hankers' interests and that are still piling up huge reserves and still paying handsome dividends to a few people who have already more of this world's goods th'an would keep four times the number of wage workers in luxury. Should they not (seeing that we are all compelled to make some sacrifice) be asked, or compelled t0 adopt the same measures | as their less fortunate ihrothers. I believe we have an overdraft of .about £4000 at 5 per cent per annum. That means that we are compelled to pay £200 out of our rates before we can pay our workmen — the people wh'o spend every penny of their money in this town and help to keep the butchers, bakers, storekeepers and a host of other shops going who .in turn help to keep our banks going. lOur City Fathers intend to take out of circulation £350 in a wages cut, which means reduced income to our | banks to that amount. Now sir, would it not be good business for the banks to offer to waive the amount of interest necessary to pay these wages in full? A gesture of helpfulness of this nature would dissipate the now prevalent idea that hankers throughout the world are usurers and financial tyrants and wbich will have to be eliminated if society is to stand. Another way of saving the position would ,he to reduce the salaries of the higher paid officials, i.e., all over SA per week or shorten the hours and put more men at work. But for the sake of humanity don't depress us any further or we will all b.e in the unemployment stream. If the banks will not make a gesture, what is to prevent us from printing suificient notes fon our own purpose. Make them negotiable in Rotorua only. Something of this sort has got to come and quickly or hell will hreak loose. There is nothing wrong with any feature of society but the want of sufficient money or tickets of exchange per h'ead. Again I would ask our guardians not to furbhfer decease spending power but to increase

it. — I am, etc., Rotorua, 15/7/33.