EVIL OF UNEMPLOYMENT.

Shannon News, 11 April 1928, Page 3

EVIL OF UNEMPLOYMENT.

WELLINGTON MAYOR'S PLAN,

FORMALLY RECEIVED BY LEVIN : ) (COUNCIL. ,

A scheme of unemployment insurance, formulated by the Mayor of Wellington, Mr G. A. Troup, was placed before the recent Municipal Conference, at Nelson. It was referred to the executive, and the conference resolved that the Government be asked to increase the subsidy on unemployment relief work to 50 per cent, of the whole cost of the work. At the last meeting of the Levin Borough Council, a printed copy of Mr Troup's proposals was received. It was as follows:; — A scheme to which all manual male workers,. employers, Local Bodies and the Government will contribute, the funds so contributed'to be used in providing work for the unemployed. ' GENERAL PROVISIONS WHICH SHOULD BE MADE: 1. The scheme must be national. 2. Contributions must be compulsory. 3. Wage earners, employers, Local Bodies and the Government to contribute equal proportions, i.e.,. each onefoufth of the whole.

4. The Avork to be provided must necessarily be manual labour. 5. The suin required should be sufficient to provide Avork for 10,000 men for six months in any year. To do this alloAving an average wage (Avet and dry) of £3 per iveek Avould require £780,000. 6. The annual Avagos bill, m Ncav Zealand is approximately £50,000,000. U one penny Insurance Fund was levied for every pound of Avages paid and the worker,' the employer, the Local Body and the GoA T ernment each, paid this levy, an annual contribution of £833,333 would be received. 7. The Avork for the unemployed should be provided by the Local Bodies, each Local Body receiving from the Fund as its share the amount of the various levies collected in its district including the Government contribution, which would pay the cost •of any unemployed Avorks entered upon. 8. A schedule 6f “unemployed works" would require to be prepared by each Local Body beforehand and due preparations made to meet any unemployment contingency that may arise. 9. “Unemployed work” should be confined to the six months from May to November. ;No man would then get more than six months’ “unemployed work’’ in any one year. . . 10. The work Avhere at all possible should be “piece work.” so that payment should be according to Avork done. . 11. No man should be given “unemployed work” unless he has been a subscribed to the “unemployed Insurance Fund” for a given time. 12. In good times Avhen there is little or no unemployment, the funds should be alloAved to accumulate. When a sufficiently large sum has so accumulated payments could be reduced or stopped for a time. •_ 13. Wages paid should be less than “standard” so that men Avould not be encouraged to hang on to “unemployed Avork.” ' ■ , ' T It may be pointed out that an Insurance Fund is in no sense a “dole. It is payment for work done. The advantages of the local bodies carrying out the Avork are:1. Work Avould be available all over the country so that men would not need to croAvd into the cities when unemployed as they now do. 2 Seeing .that the wage is. less than “standard” a man should be given work close, to his home. , To send him aivay from his home means that halt of his Avage is spent on his oavii upkeep leaving only half for the wife and family. Local bodies can 'in most cases provide Avork so that the man can staj at home. Economic reasons demand that work should be provided by local bodies and not by- the Go\ r ernment, a Government jobs are for the most paraAvay from the homes of Avorlcers. An “Unemployed Insurance Fund Avould relieve Hospital and Charitable. Aid Boards. _ The country Avould benefit tron the Avork done by the unemployed. * The levies proposed Avould not pres; unduly heaAuly either on the worke or the employer. A man earning- £- per Aveek Avould only be called upon- tv pay 4d and the employer a like sum. The local bodies would benefit bj getting work done at a comparatively IbAV rate. „ „ ■ COUNCILLORS’ COMMENTS. When the Town Clerk had read th. report, which Avas a reprint from tin Nelson Evening Mail, and Avhicli ha<. come from an anonymous source, Ci Roe stated that the matter Avas it very important one, and it required consid eration. He suggested'that it ,be belt over for further investigation. The scheme Avas evidently a very good one and the copy should be alloAved to lit on the table for a time, in order that councillors might consider it. > Cr. Falloon said he was in accord Avith Cr. Roe. He thought this Avas too important a matter to pass over. Some scheme of unemployment insurance. Avas bound ‘to come. They could not have these recurring periods of unemployment and nothing to meet them. At the same time the Council could not be expected to look after all the unemployed i Avho came into Levin. There must be some national scheme to end this trouble for all time. There should be Avork for all.

Cr. Mortensen- said that the scheme in many respects looked very good. The Council was not looking for unemployment to recur, but it certainly might. There were still improvements wanted in the suggested scheme, but none of the councillors would favour its being thrown aside. They could do nothing further at present, however. The Mayor: It has been handed on to the Municipal Executive, so I think it would be useless for us to do anything in the matter at present. It was approved by the conference, and will come up next year, I take it. The communication was formally received. vvt v • -•