The Taihape Daily Times. AND WAIMARINO ADVOCATE WEDNESDAY, APRIL 16. A FIXED BASIC WAGE.

Taihape Daily Times, 16 April 1919, Page 4

The Taihape Daily Times. AND WAIMARINO ADVOCATE

WEDNESDAY, APRIL 16. A FIXED BASIC WAGE.

(With whieh Ift incorporated The fal* hape Foot tnd Walraamo News).

This journal has urged time after time that it is futile to continue to endeavour to settle the labour question by tinkering, as that process is nothing more than one side trying to outflank the other by diplomatic means. It has been frequently shown that such patching up only results in. the whole fabrication being torn to pieces and the end is worse than the i beginning. The groat war has furn- j ished an unprecedented • opportunity j for reviewing and recasting the whole industrial structure and all may | rest well assured that a reconstruction will he enforced despite the continued; persistent efforts of some employers of labour to go on their tinkering way. The Arbitration Court has proposed to fix differential basic wages for skilled, semi-skilled, and unskilled workers. In other words the Court means to fix a minimum wage commersurate with the skill of the wage-earner, hut is it not an economic fallacy to render one side of production rigid while the other side has full play in the open markets of the world? Parliament has accepted this view and has decreed that Arbitration Court awards are all ! subject to revision if prices of coinmod itics have advanced since (the award was made, and the Court has revised awards ami increased wages accordingly. It should he plain that the all-essential part of production cannot -he* ‘rendered rigid by Act of Parliament so long as the cornering of commodities is unsuppressed, and so long as the eternal law of supply and demand will assert itself. There is ample proof that what constitutes a fair and reasonable wage to-day is unfair and inadequate to-morrow. Under abnormal conditions wages One day may be sc high as to render its use unprofitable, as bas been witnessed in munition-making and other work during the war. In fact, there , is an amplitude of evidence running through the past two or three cen- i turies that wages cannot satisfactorily, or finally be determined by mechanical arrangement. The basic wage as proposed by the Court is the minimum wage that some labour men have advocated in r.be past, and which we have pointed out is entirely wrong in principle. Industry and production constitute a running stream, its current strong at one season, and weak at another, and it would be just as practicable to permanently cause the greatest volume of that stream to run at a fixed pace, whatever the season or circumstance*, as it "would be to regulate a mountain torrent in the same way. With the industrial stream three lasic degrees are to be established according to the Court’s view, but we contend that it is just about as logical a process as reducing the mountain torrent to three basic degrees of running regardless of climatic conditions. Wages, if wages are to bo the vogue, will be as subject to markets as the running stream is to volume of rainfall. Prices, profits and wages must he considered together; if one is to be subject to fixing all must be subject to fixing; but is it not obvious that any such

mechanical levelling- must, aim can, only result in industrial enervation and anemia? While to fix one and not the other will give cause for frequently recurring industrial dislocation with its appalling national loss. It ought to he apparent that our old unsatisfactory industrial processes are ■ being thrust into the melting-pot; apostle? of the old order arc straining every power that money can buy to save them from it, and they arc creating exasperation' on the .other side that is pregnant With direst results from the Bolshevism that is fast gaining a footing amongst us, helped on by the greed of the few. The Arbitration Court is, no doubt, very desirous of settling labour troubles for, at least, a lengthy period, but we need not enlarge upon the utter impracticability of fixing a basic"wage for labour until such time arrives that they can show by actual figures that 1 they have fixed prices that may legally be charged for commodities, and also fixed the profits that all middlemen, including banks, insurance, , eompanes and shipping, may make. One might as well try to tether one star in the firmament to a fixed basis as to tether labour to a fixed basic wage while leaving other contributors to production and industry to do as they please. It will prove far more profitable from a national viewpoint to at once concede that the day for tethering workers to a basic wage has gone never to return. Efforts may still continue tc have the tethering'uiethod? tried, but any such effort is doomed to certain and absolute failure because it is a more striving for the utterly impracticable. To push the fixing proposals to their legitimate and logical extreme and fix prices, profits and wages, is to struggle and roach out for a. fugitive Utopian bubble, the very capture of which would burst it. As sure as that the sun would rise, the Federation of Labour, is protesting against having labour tethered to a basic wage, and Government is being asked that the Arbitration Court shall stay proceedings until labour has boon given an opportunity to discuss the subject. The Federation of Labour says: “We think the time opportune for a National industrial conference of representative employers and workers, at which the whole position of industry in New Zealand may be discussed and proposals formulated on any important matters, including wages, upon I which, up to the present, the opinion j of those engaged in industry have not j been ascertained, and that the Govj eminent be asked to call this confer- | cencc as soon as possible/' There is nothing of Bolshevism about this proposal; it is the essence of desire to reach a fair and just basis for future industrial effort. The Federation’s request forces upon us the fact that the working classes arc no longer the ignorant classes; they are prepared to enter the forum and argue their cause against the best that employers can anliont them with. To longer delay to effect a quasi-national discussion between Labour and capital; between workers and employers, is simply to cast caution to the winds, and drive workers into the arms Nf Bolshevism. We are surprised at the ’Federation's moderation under such circumstances as have obtained during the war. and their attitude clearly discovers the fact that they > are anxioug to have industrial difficulties righted by absolutely lawful and peaceful means. It is an indication that the Federation is not dominated or swayed by Bolshevism; that labour wants to secure justice through channels of justice, and why there should bo any hesitation by the Government in conceding to» the request for a national conference between workers and employers is not understandable. Employers ami workers should he brothers in arms, why delay the reconciliation. it has to come.