SHORTAGE OF CAPITAL

Sun (Auckland), Volume IV, Issue 1027, 18 July 1930, Page 1

SHORTAGE OF CAPITAL

REASON FOR DISMISSALS ASSOCIATIONS OPINION Press Association WELLINGTON. Thursday. Shortage of finance rather than lack of work is the reason for railway staff dismissals, according to the statement issued today by the Railway Tradesmen’s Association. The president of the association, Mr. E. J. Mulligan, stated that following on drastic reductions in the workshops’ staff and representations by a deputation to the Minister of Railways the Executive Council of the association met in Wellington. The council had since been continuously in session and a consultation committee of representatives of the four railway societies again met the Minister, the Hon. W. A. Veitch, today. Mr. Mulligan said later it was admitted by the Minister that was sufficient work available in the workshops to retain those men under notice of dismissal, the trouble being not shortage of work, but the lack of capital. As requested by the consultation committee, the Minister of Railways conferred with the Prime Minister and his colleagues with a view to obtaining a larger grant for the department. Mr. Veitch stated today that it was impossible to arrange this and the men under notice would have to go. He intimated, however, that he would give further consideration to any individual cases of hardship, particularly to the cases of long service casual workers, with a view to their retention.

Mr. Mulligan said a larger deputation was being arranged to meet the Hon. G. W. Forbes as Minister of Finance. The object was to stress the necessity for providing the finance required to retain all men under notice of dismissal, since according to the Minister of Railways they can be more economically and productively employed than if they were on public works relief jobs.